Hindustan Unilever Limited (HUL): Comprehensive Stock Analysis Report | Scrolls

by KarNivesh | 18 August, 2025

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Overview Hindustan Unilever Limited (HUL) is India’s largest Fast-Moving Consumer Goods (FMCG) company, with a market capitalization of ₹6,03,398 crores as of August 2025. The company trades at ₹2,568 per share, commanding premium valuations with a P/E ratio of 54.86x. Known as a defensive stock, HUL has consistently delivered growth, recording a 5-year revenue CAGR of 7.40% and a profit CAGR of 7.43%. Recent strategic steps, including acquisitions like Minimalist (₹2,706 crores) and divestments such as Pureit (₹601 crores), show its focus on premiumization and portfolio transformation. Financial Performance

HUL’s revenue grew from ₹46,807 crores in FY2021 to ₹62,288 crores in FY2025, while net profit rose from ₹7,995 crores to ₹10,649 crores. In Q1 FY2026, revenue increased 5.1% YoY to ₹16,514 crores, with net profit up 5.6% at ₹2,768 crores. EBITDA margins stood at 22.8%, reflecting higher investments in innovation, digital initiatives, and premium brands.

Segment-wise, Home Care delivered robust growth driven by liquid detergents, while Foods & Refreshments performed well in tea and coffee despite inflationary pressures. Beauty & Wellbeing saw strong demand in health and hair care, though margins were impacted by competition.

HUL Business Segment Revenue Breakdown (FY2025)

Shareholding and Governance

As of June 2025, promoters (Unilever plc) held 61.9%, FIIs owned 10.18%, mutual funds 6.57%, insurance firms 8.53%, and retail investors 11.85%. Governance aligns with global best practices, with a strong board structure and transparent disclosures.

Valuation and Peer Comparison

HUL trades at premium valuations with P/E of 54.86x and P/B of 11.81x, higher than peers like ITC (28.87x) and Colgate-Palmolive (42.05x). However, premium valuations are supported by strong brand equity, market leadership, and consistent dividend payouts.

HUL remains a fundamentally strong FMCG leader with deep market penetration, consistent growth, and robust governance. While valuations are stretched, its focus on premiumization, sustainability, and digital innovation positions it well for long-term growth.