Nestlé India Ltd. is a leading player in the food and beverage industry, known for its wide range of products including dairy, coffee, and nutrition items. As of October 9, 2024, the Nestlé India share price is ₹2,520, reflecting a decrease of 2.38% from the previous trading session. The stock opened at ₹2,579.00 and has seen a trading volume of over 1 million shares so far today.
Nestlé India Share Price in Today’s Market
In today’s trading session, the Nestlé India share price reached a high of ₹2,580.00 and a low of ₹2,468.95. The current market capitalization stands at approximately ₹240,894.67 crore, indicating its significant presence in the consumer goods sector.
Nestlé India Financial Overview
Nestlé India has an enterprise value of ₹240,146.96 crore and approximately 96.42 crore shares outstanding. The company’s P/E ratio is reported at 74.25, while its P/B ratio stands at 58.93. Recent financial reports indicate a robust sales growth rate of 44.37%, alongside a profit growth rate of 64.52%. With cash reserves of ₹778.85 crore against total debt amounting to ₹31.14 crore, Nestlé India demonstrates strong fundamentals and financial health.
Nestlé India Share Pros & Cons
Pros:
- Strong Sales Growth: A sales growth rate of 44.37% indicates robust demand for its products.
- Healthy Profit Growth: A profit growth rate of 64.52% reflects effective management and operational efficiency.
- Attractive Dividend Yield: With a dividend yield of 1.25%, Nestlé provides income opportunities for investors.
Cons:
- High Valuation Ratios: A P/E ratio of 74.25 may suggest that the stock is overvalued compared to industry peers.
- Market Volatility: A beta of 0.35 indicates that the stock is less volatile than the broader market, which can be both an advantage and a disadvantage depending on market conditions.
- Promoter Holding: A promoter holding of 62.76% shows confidence but also indicates that a significant portion is held by insiders.
Indiahood Recommendation on Nestlé India Share: Buy or Sell?
Considering the current market conditions and the fundamentals surrounding Nestlé India Ltd., it is advisable to buy shares for long-term growth while monitoring market trends closely for any changes in performance.
Conclusion
In summary, while the recent decrease in Nestlé India’s share price may raise some concerns among investors, its strong sales and profit growth provide compelling reasons to consider investing in this stock. However, potential investors should also be aware of high valuation ratios before making investment decisions.
Disclaimer
This article is for informational purposes only and should not be considered as financial advice. Always conduct your own research or consult with a financial advisor before making investment decisions.
