Kerbside

STRONG EARNINGS

Marico
BSE Code: 531642
CMP: Rs.387.05



The company is one of the leading consumer product companies in the beauty and wellness space. Its core products are coconut hair oil, value-added hair oils and grooming products. Overall, the FMCG sector has been witnessing a slack in demand, but Marico’s strength from its core brands such as Parachute and Saffola and increasing market share in product categories (overall volume market share of about 59 per cent as of FY19) substantiate its position. In Q1FY20, the company delivered strong earnings growth on the back of resilient volume growth. There is a strong murmur on the D-Street that its performance will be superior relative to its peers’ performance. Also, benign raw material cost would continue to help the company maintain elevated margins.

FAVOURABLE ANNOUNCEMENT

CESC
BSE Code: 500084
CMP: Rs.800.35

The rising volumes, along with the surge in price, indicates that retail buyers and big institutions are active in this stock. Also, there are murmurs on D-Street that a favourable announcement is due for the stock in the coming weeks, which is likely to set the stock on fire. Traders and investors with a risk appetite may accumulate this stock for smart gains.

PULLBACK RALLY

NCC
BSE Code: 500294
CMP: Rs.59.75



The company is a diversified construction company The stock has witnessed a significant correction from the higher levels in the last three months and the company’s topline in the Q1FY20 was impacted due to stoppage of work and payments on Andhra orders in the wake of the government’s decision to review projects. Besides the AP projects, the turnover from two-three states because of elections and some other projects, particularly electrical projects in UP and Jharkhand, also made slow progress. However, after a recent sharp correction in the stock prices, one of the technical analysts from a leading broking firm is advising his clients who have high risk appetite to look for opportunity in this stock for the short term as the stock may witness a pullback rally.

MARKETING FILLIP

Glaxosmithkline Consumer Healthcare
BSE Code: 500676 
CMP: Rs.7920.10



The company’s core business is manufacturing of health drinks under the brand Horlicks. The company’s product range includes nutritional drinks. The company’s PAT jumped 23.77 per cent in Q1FY20 to Rs 248.08 crore YoY. Recently, the company has initiated a rural marketing initiative. The company has unveiled ‘Sabse Pehele Aap’, a new initiative at educating and connecting registered medical practitioners (RMPs) and chemists in remote rural areas via the digital medium. An attractive buy.