Marico shares slip 2% in trade; Is it a buying opportunity post Q1?

Marico shares slipped 1.8 per cent in trade, logging an intra-day low at ₹709.7 per share on BSE after posting Q1 results

Marico shares slipped 1.8 per cent in trade on Tuesday, August 5, 2025, logging an intra-day low at ₹709.7 per share on BSE. The selling pressure on the counter came a day after the company posted its Q1 results. 

 

At 9:41 AM, Marico share price was down 1.33 per cent at ₹713.5 per share. In comparison, the BSE Sensex was 0.44 per cent lower at 80,663.36. Marico released its Q1 results on Monday, during market hours. Post the release, the stock closed 1.74 per cent higher at ₹723.15 per share. 

Marico Q1 results 

Consumer goods maker Marico, in Q1, reported a consolidated net profit of ₹504 crore, up nearly 9 per cent, as compared to ₹464 crore year-on-year (Y-o-Y). 

 

 

Its revenue from operations for the quarter under review stood at ₹3,259 crore, as against ₹2,643 crore a year ago. 

 

The company's domestic volumes rose 9 per cent, led primarily by its Saffola brand cooking oils and hair oils.  

Marico management guidance 

Marico is targeting ₹15,000 crore in revenue by FY27E and ₹20,000 crore by FY30E. It is expecting 25 per cent Y-o-Y revenue growth in FY26E.

 

The management has guided for high single-digit volume growth in India and double-digit volume growth for select quarters. 

 

Earnings before interest, tax, depreciation, and amotisation (Ebitda) margin may start improving from H2FY26, as commodity pressures ease and premium mix improves, according to the company.

Should you buy, sell, or hold Marico post Q1? 

Nuvama Institutional Equities has retained its 'Buy' rating on Marico and has raised its target to ₹850 per share from ₹815. The remains positive on Marico led by value-added hair oils (VAHO) segment recovery, scale-up in foods, and digital-first brands. Nuvama also increased its FY26E/27E revenue by 1.9 per cent/2.4 per cent, but has cut FY26E earnings per share (EPS) by 2.6 per cent. 

 

Motilal Oswal has reiterated 'Buy', with a target of ₹825 per share. Although rising input costs may weigh on near-term margins, the outlook for 2HFY26 remains positive, the brokerage note read. 

 

The company aims to deliver a double-digit profit after tax (PAT) compound annual growth rate (CAGR) over the next two years, and also projects an 11 per cent PAT CAGR over FY25–28E. Given the sustained growth trajectory, analysts at Motilal believe the stock’s premium valuation is likely to be sustained. 

 

JM Financial Institutional Securities has also made an upward revision in its target to ₹800 per share, from ₹765, maintaining a 'Buy' call. 

 

The brokerage believes that Marico has navigated the inflation cycle well by demonstrating strong pricing power in core and also has other margin levers (margin expansion in Foods/D2C and recovery in VAHO) to cushion the impact on profitability. 

 

"We continue to like Marico as its execution on portfolio diversification remains strong," the brokerage said.