Nifty FMCG: Despite the fall in the stock market today, Nifty FMCG index is trading in the green. It has emerged as the top sectoral gainer in the negative market. At present this index is trading at the level of 57499.40 with a gain of 0.93 percent or 531.80 points. The biggest growth is being seen in Marico, Colgate-Palmolive and Godrej Consumer Products Limited.
Marico shares are trading at Rs 666.90 with a gain of 4.46 percent. Apart from this, shares of Colgate-Palmolive are up by 3.65 percent and shares of Godrej Consumer Products are up by 2.37 percent. At the same time, shares of industry leader Hindustan Unilever are also trading with a rise of 1.44 percent.
CLSA’s opinion on Nifty FMCG
The reason for the sharp rise in the FMCG index was the report of brokerage firm CLSA, in which the Consumer Staples sector has been described as the biggest anti-consensus call for 2025. Anti-consensus call means that CLSA’s opinion is contrary to the opinion of most experts. This call is often given when the firm feels that the market is underestimating the prospects of a particular sector or stock.
Consumer staple sector is a group of companies that manufacture and sell essential items of daily use. This sector includes those products whose demand always remains, no matter what the state of the economy is. CLSA has made consumer staples the biggest ‘overweight’ sector in its India portfolio.
What do experts say on Nifty FMCG?
Speaking to CNBC-TV18, CLSA’s Vikas Kumar Jain said the Hong Kong-based brokerage has reduced its ‘overweight’ stance on banks and commodities. Besides, domestic brokerage Ambit Capital maintained its Buy ratings on Marico and Tata Consumer, boosting bullish sentiment.
Vikas Kumar Jain said, “Staples, I believe, has taken a big decision, which is contrary to the general market sentiment. The kind of low spending on government capital expenditure, both at the state level and the central level, we have seen. “I think it probably also points us towards changing priorities of the government. If that happens, the stocks related to investment and capex are already very bullish and their valuations are very high.”
He further added, “So we believe that the realities of the coalition government and the signals we have got from the recent state elections, coupled with good rains and good sowing, will probably bring back affordable consumption and give us a boost in consumer staples like food.” -Related companies are looking more attractive.
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