Marico: Falling input cost prices set to give a fillip to margins

Copra prices have come down by 32% in 2018

The stock of Marico is up over 11 per cent since the end of the July-September quarter, aided by a fall in input cost prices. This has helped the stock outperform benchmark indices this year. A Marico investor would have made 14.9 per cent gains since December last year, even as the S&P BSE Sensex is up 4.1 per cent.  

Falling raw material costs, especially copra, has buoyed sentiment for the stock. Copra is a key raw material in the making of coconut oil. A continuing fall is likely to help act as a tailwind in the next quarter too,