fmcg

Dabur India

DABUR · Nifty 50

429

Price 2026-06-17

BROAD EXPANSION73% confidence

At a Glance

Sector Positionfmcg sector. Flow: neutral. is not among current leaders. Regime: BROAD EXPANSION (73%).
Fundamental Score90/100 (STRONG). 2 positive flags, 3 concerns.
Historical Context53 similar technical setups. Average outcome: -6.8% decline. 0% positive.

Fundamental

90/100

STRONG

Trust

95/100

Verification

Coverage

44/100

LIMITED

Quick Take

Dabur India scores 90/100 on fundamentals (strong). Dabur India: BROAD EXPANSION regime.

Fundamental Score: 90/100 · STRONG · 1 signals detected

DuPont Analysis

ROE 15.4% broken into three drivers. Each shows how efficiently the company generates returns.

ROE15.4%=
13.7%Net Margin
×
0.7xTurnover
×
1.5xLeverage

ROE of 15.44% is moderate margin-driven and stable. Net margin of 13.7% × asset turnover of 0.73x × leverage of 1.5x.

What This Means

Net margin of 13.7% means the company keeps ₹13.7 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.73x means the company efficiently uses its assets to generate revenue. Leverage of 1.5x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.

Margin Structure

Gross

47.6%

Operating

18.7%

Net

13.7%

declining

Gross margin 47.6% → operating margin 18.7% → net margin 13.7%. Margins are DECLINING. Check if input costs are rising or competition is pressuring pricing.

Financial Health

Earnings Quality

ADEQUATE

Cash flow covers net income 1.5x — earnings are ADEQUATE quality. Cash conversion is reasonable.

Debt Sustainability

COMFORTABLE

Interest covered 16.6x — very comfortable. Debt service is not a concern. Debt/EBITDA at 0.4x is low — balance sheet has capacity.

Free Cash Flow

STRONG

FCF margin at 16.8% — strong cash generation. Business is self-funding.

Peer Comparison

Dabur India is compared against 10 peers in the fmcg sector.

Key Watchpoints

🟢

Breaks above ₹450 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹408 (-5%)

Further downside risk

🟢

Fmcg sector entering leadership

Sector rotation signal

Detected Patterns

➡️ Leverage Slowly Rising: Debt growing faster (35.5%) than equity (5.7%)

Risk Flags

🔴 1 Critical⚠️ 2 Warning2 Positive5 total flags
🔴Cash covers only 4% of current liabilities
Balance Sheet

Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.

⚠️81% of debt is short-term
Balance Sheet

High refinancing risk. Company needs to roll over debt frequently. Vulnerable to credit market freezes.

⚠️PEG ratio: 3.2x — expensive relative to growth
Valuation

Market paying premium for growth. If growth slows, multiple compression risk is high.

Minimal unusual items — clean earnings
Earnings Quality

Profits are from core operations, not one-offs. High quality.

High promoter holding: 68%
Governance

Strong insider alignment. Promoters have significant skin in the game.

⚠️ 1 critical + 2 warning flags. Exercise caution.

Data Quality

95/100All ratios self-computed from verified sources. 🟢 5 years of financial data — sufficient for trend analysis

News Correlation

margin pressure (4)management outlook (4)
Our margin analysis (declining) matches news reports of cost/margin pressure

50 articles scanned for fundamental themes

Facts

P/E Ratio
40.0UNAVAILABLE
P/B Ratio
6.6HIGH
Market Cap
₹7564133.0L CrHIGH
From 52W High
74% of high
Sector Peers
10