FMCG stocks today
Share prices of fast moving consumer goods (FMCG) companies were under pressure, with the BSE FMCG index hitting a 52-week low at 16,740.58, falling nearly 2 per cent in Thursday’s intra-day trade.
Hindustan Unilever (HUL), Tata Consumer Products and Godrej Consumer Products (GCPL) hit their respective 52-week lows on the BSE in intra-day deals today.
At 09:58 AM; the BSE FMCG index was down 1.5 per cent, as compared to 2 per cent decline in the BSE Sensex.
Among individual stocks, share price of HUL hit a four-year low at ₹2,030.30, falling 2 per cent on the BSE in Thursday’s intra-day trade. The stock price of the FMCG major now quotes at its lowest level since March 2022. In the past five weeks, the market price of HUL has declined by 15 per cent.
Thus far in the calendar year 2026, HUL has outperformed the market by falling 12 per cent, as compared to 16 per cent decline in the BSE Sensex. However, in the past one year, it underperformed with 8.9 per cent fall in its market price, as against 6.4 per cent decline in the benchmark index.
ALSO READ: Stock Market LIVE: Sensex sinks 1,500 pts; Nifty breaks 22,200; SMIDs fall; realty, PSU bank drag
Why are FMCG stocks under pressure?
FMCG companies saw improvement in trends in December 2025 quarter (Q3FY26) and seemed well poised for sustained growth in the coming 4-6 quarters. However, the West Asia conflict has emerged as a new headwind.
The surge in crude oil prices is also driving up the costs of palm oil, polymers and LAB. Palm oil price spike is most negative for Godrej Consumer Products, while Dabur has the largest West Asia revenue exposure. A surge in LAB prices might compel HUL to raise detergent prices, analyst at BNP Paribas India said.
Sustained volatility in crude prices could create pressure on gross margins across the FMCG sector. Crude and its derivatives constitute a significant portion of raw material costs, particularly for Beauty & Personal Care (BPC) companies (30–40 per cent of the raw material basket). In contrast, Food FMCG companies have relatively lower exposure, with crude derivatives accounting for only 10–15 per cent of total raw material costs, according to analysts at Choice Institutional Equities.
If crude prices climbed to $100–130/b range, the brokerage firm estimates a 100–250 bps impact on gross margins for most BPC FMCG players. In order to offset the cost pressure, FMCG companies might have to take high single-digit to low double-digit price increases. However, this would eventually lead to near term volume pressure on the sector (reversing the volume recovery trend of last 1-2 quarters). The impact on food-focused FMCG companies is expected to remain limited, as their key raw material exposure is palm oil, which has remained relatively stable.
ALSO READ: Sensex tanks 1,500 pts, Nifty cracks 2%: Key reasons for market fall today
Indian consumer stocks have come off sharply in the last 6 months and even assuming the risk to consensus earnings estimates, the stocks have seen a sharp de-rating, and this could present buying opportunities as the situation improves. However, key factor to watch out for will be price level at which crude stabilizes over the next 3-6 months. If the new normal is above the pre conflict level, even the FY28E estimates could be at risk, said analyst at BNP Paribas India. ================================= Disclaimer: View and outlook shared on the stock belong to the respective brokerages and are not endorsed by Business Standard. Readers discretion is advised.