Dabur India shares rise on better sales vs rival; Nomura upgrades

Written by Reuters | Mumbai | Updated: Apr 30 2014, 20:34pm hrs
Dabur India Ltd shares gain 1.6 per cent after the company's sales volumes growth beat rivals for the January-March quarter despite a challenging macro environment, dealers say.

Dabur posted a sales volume growth of 9.4 percent for the March quarter while that of Hindustan Unilever's came at 3 percent, lagging analyst estimates.

Nomura also upgrades the stock to "buy" from "neutral" and raises its target price to 200 rupees from 174 rupees, citing better outlook compared to rivals.

"Management's commentary indicates that the current quarter trend is likely to sustain into 1HFY15, which is a key positive as compared to peers where the outlook is more muted," Nomura said in a report dated Wednesday.