From Investing.com: 2024-05-12 05:44:05

Morgan Stanley revises India’s consumer industry outlook to “In-Line” despite favorable GDP growth. Intense competition in household and personal care likely to impact sector performance. Cyclical consumption expected to outperform defensives. GDP growth projected at 6.8% and 6.5% in FY25 and FY26, with staple businesses underperforming.

Optimism for consumption growth recovery supported by inflation moderation and rural sector resilience. Long-term consumption story remains intact, with a shift towards discretionary spending as income levels rise. Challenges persist in the consumer sector, but India’s consumption narrative poised for growth as economy evolves. Morgan Stanley offers insights for investors.

Consumer stocks like Dabur India and Hindustan Unilever may be overvalued. Dabur India showing minor upside potential despite overvaluation, while Hindustan Unilever underperformed with negative return. InvestingPro offers stock analysis tool at a discount, providing insights for investors navigating the consumer industry landscape.



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