Hindustan Unilever (HUL) share price slipped 2.7 per cent on BSE, registering an intra-day low at ₹2344.8 on BSE. At 9:28 AM, HUL shares were trading 1.98 per cent lower at ₹2,362.45 per share. In comparison, the BSE Sensex was down 0.82 per cent at 82,987.1. In two sessions, HUL has slipped over 4 per cent post Q3FY26 results reported in market hours on Thursday.
The selling pressure on the counter came after brokerages stayed cautiously constructive, with the common theme being: execution and volume-led growth need to improve, while margins are likely to stay stable.
In the December quarter, HUL posted a 30 per cent decline in consolidated net profit (from continuing business) to ₹2,118 crore, compared to ₹3,027 crore year-on-year (Y-o-Y).
Reported profit after tax came in at ₹6,603 crore, up 121 per cent Y-o-Y, primarily driven by one-off positive impact arising from the Ice Cream business (Kwality Wall’s) demerger. The revenue of the company came in at ₹16,441 crore, compared to ₹15,556 crore a year ago, up 5.6 per cent.
Check detailed results here. Brokerages’ view on HUL
Emkay Global Financial Services | Add | Target: ₹2,475
Following a marginally improved Q3 performance—where revenue and Earnings before interest, tax, depreciation and amortisation (Ebitda) rose 6 per cent with stable margins at 23.7 per cent, though profit after tax (PAT) growth was limited to 4 per cent due to lower non-operating income—the brokerage noted that the new leadership is focusing on reviving topline growth through portfolio- and channel-specific interventions and tighter execution, including structural changes with direct reporting to the CEO.
Management has guided for stronger performance in H2FY26 versus H1FY26 and an improved FY27 over FY26, driven by continued traction in the premium portfolio, which is delivering double-digit growth. However, Emkay believes growth at the mass end remains muted, and with raw material costs stable to inflationary, the company is guiding for low single-digit price growth while aiming to sustain Ebitda margins in the 22.5–23.5 per cent range.
Motilal Oswal Financial Services | Buy | Target: ₹2,800
The brokerage has largely maintained its FY26–28 estimates and expects the company to remain focused on accelerating topline growth through volume-led expansion and new product launches across categories and channels.
HUL has introduced its ‘Unified India’ strategy, aimed at streamlining the organisational structure to enable faster decision-making and sharper execution. Motilal Oswal believes supportive macroeconomic factors will aid consumption recovery, positioning HUL—given its leadership in staple categories—to benefit meaningfully. It models a 7 per cent revenue compound annual growth rate (CAGR), 9 per cent Ebitda CAGR, and 10 per cent adjusted PAT CAGR over FY26–28E, with management optimistic about improved performance in the coming quarters.
ICICI Securities | Buy | Target: ₹3,000
ICICI Securities has reiterated its ‘Buy’ call on HUL, stating that durable acceleration in large consumer franchises typically follows a phase of stabilisation, and it believes the company is in the early stages of that acceleration.
The brokerage also said that HUL is also sharpening execution through a simplified reporting structure with stronger India-level accountability, higher local research and development (R&D) investments, and the creation of a dedicated quality control vertical supported by deeper data-led platform partnerships. With structural drivers aligning and risk-reward turning favourable, ICICI Securities sees an improving outlook for the stock.
JM Financial Institutional Securities | Add | Target cut to ₹2,695 from ₹2,770
JM Financial has trimmed its estimates by 2–3 per cent to factor in the ice-cream business demerger. In Q3FY26, consolidated net sales, with underlying volume growth, came broadly in line with expectations. While gross margins were steady, adjusted Ebitda came in 3–4 per cent ahead of estimates as lower-than-expected advertising spends offset higher staff costs.
With margins already at the top end of the 22.5–23.5 per cent guidance range, JM Financial expects limited scope for margin expansion and sees FY27 earnings growth largely dependent on revenue acceleration. It remains constructive, projecting 8 per cent sales and Ebitda CAGR over FY26–28E, with execution under the new CEO and the pace of topline improvement as key rerating triggers.
Centrum Broking | Buy | Target cut to ₹2,700 from ₹2,850
Centrum said HUL’s Q3 was a mixed bag, with volumes beating expectations but margins missing, and described the quarter as “normalised” due to October destocking followed by November restocking and steadier growth in December.
It expects demand sentiment to improve gradually on the back of better macros (stronger liquidity, lower inflation) and company-led moves such as portfolio transformation, sharper channel capabilities and fewer, bigger bets. Centrum sees FY27 growth outperforming FY26, led largely by volume growth alongside low single-digit pricing, and highlighted early positives including a simplified organisational structure, increased investments in “channels of the future” like quick commerce, a push in high-growth spaces (premiumising laundry, expanding bodywash), lifestyle nutrition delivering a third straight quarter of positive growth, and relatively better category performance versus peers in areas like oral care and tea.
Disclaimer: View and outlook shared belong to the respective brokerages/analysts and are not endorsed by Business Standard. Readers discretion is advised.
 "HUL slips 4% in 2-days post Q3; brokerages remain cautiously optimistic")
