STRONG 85/100

fmcg · UNITDSPR

United Spirits

United Spirits: PE below historical average. NARROW LEADERSHIP regime. sector leading.

Price

₹1,427.3

Price 2026-07-06

5 day

+5.54%

Short-term move

1 month

+14.49%

Medium-term

Regime

NARROW LEADERSHIP

62% confidence

Market cap

₹104.7k Cr

inflow sector flow

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How does today's NARROW LEADERSHIP regime affect United Spirits (UNITDSPR) in the fmcg sector?

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Price chart

1,373

-10.41% over period

2025-06-021,190 – ₹1,6052026-07-02

About United Spirits

Nifty Next 50fmcg

United Spirits Limited, together with its subsidiaries, manufactures, sells, and distributes alcoholic beverages and other allied spirits in India and internationally. It operates through Beverage Alcohol and Sports segments. The company offers alcoholic beverages, such as Scotch whisky, Indian made foreign liquor whisky, malts, tequila, brandy, rum, vodka, and gin under the Godawan, McDowell's No.1, Royal Challenge, Royal Challenge American Pride, Signature, Antiquity, Black Dog, Director's Special Black, McDowell's Rum, McDowell's Brandy, and McDowell's X-series brands. It also imports, manufactures, distributes, and sells alcoholic beverages under Diageo's iconic brands, which include Don Julio, Singleton, Tanquery, Captain Morgan, Johnnie Walker, J&B, Baileys, Lagavulin, Talisker, VAT 69, Black & White, Smirnoff, and Ciroc. In addition, the company holds the perpetual right to the Royal Challengers Bengaluru cricket franchise of Indian Premier League and Women's Premier League. It also exports its products to approximately 24 countries. The company was formerly known as McDowell & Company Limited and changed its name to United Spirits Limited in October 2006. The company was...

Beverages - Wineries & DistilleriesBengaluru, IndiaWebsite →

At a Glance

ValuationPE 59.7 (43%ile of 7 quarterly points (limited history), range 40-85). Trading near median.
Sector Positionfmcg sector. Flow: inflow. is in the leaders group. Regime: NARROW LEADERSHIP (62%).
Fundamental Score85/100 (STRONG). 1 positive flags, 3 concerns.
Historical ContextRSI oversold bounces for this stock succeeded only 0% of the time (avg -6.6% over 14 days) — not a reliable pattern.
Revenue TrendRevenue growing at 80.0% YoY. Strong revenue growth — 80.0% YoY

RSI pattern warning

RSI oversold bounces for this stock succeeded only 0% of the time (avg -6.6% over 14 days) — not a reliable pattern.

52-week position

Trading at 95.9% of 52-week high

52W low ₹1,210.852W high ₹1,488

Technicals

RSI 14

72.5

Trend

uptrend

50 DMA

Above

200 DMA

Above

Key metrics

P/E ratio

59.7

43th pct · 7 quarterly points (limited history)

P/B

11.4

ROE

20.0%

Strong profitability — 20.0% return on equity

Market cap

₹104.7k Cr

Revenue growth

80.0% YoY

Promoter

59.5%

52-week range

₹1,210.8 – ₹1,488

95.9% of high

RSI (14)

72.5

uptrend

vs 50 DMA

Above

DMA ₹1,315.38

Fundamental

85/100

STRONG

Trust

95/100

Verification

Coverage

100/100

HIGH

Quick Take

United Spirits scores 85/100 on fundamentals (strong). United Spirits: PE below historical average. NARROW LEADERSHIP regime. sector leading.

Fundamental Score: 85/100 · STRONG · 0 signals detected

DuPont Analysis

ROE 20.1% broken into three drivers. Each shows how efficiently the company generates returns.

ROE20.1%=
14.1%Net Margin
×
0.9xTurnover
×
1.6xLeverage

ROE of 20.05% is strong efficiency-driven and stable. Net margin 14.1%, asset turnover 0.88x, leverage 1.6x.

What This Means

Net margin of 14.1% means the company keeps ₹14.1 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.88x means the company efficiently uses its assets to generate revenue. Leverage of 1.6x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.

Margin Structure

Gross

47.9%

Operating

20.2%

Net

14.1%

improving

Gross margin 47.9% → operating margin 20.2% → net margin 14.1%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.

Financial Health

Earnings Quality

WEAK

Cash flow only covers 0.8x of net income — earnings quality is WEAK. Profit may not be converting to cash. Check receivables and inventory.

Debt Sustainability

COMFORTABLE

Interest covered 16.1x — very comfortable. Debt service is not a concern. Debt/EBITDA at 0.1x is low — balance sheet has capacity.

Free Cash Flow

MODERATE

FCF margin at 10.1% — strong cash generation. Business is self-funding.

Peer comparison

StockPrice5DP/EROERev growthMcap
HINDUNILVR

Hindustan Unilever

₹2,202+2.4%48.921.6%430%₹5.2L Cr
ITC

ITC Limited

₹288.25-0.8%17.529.3%-500%₹3.6L Cr
BRITANNIA

Britannia Industries

₹5,454.5+6.9%51.753.3%790%₹1.3L Cr
GODREJCP

Godrej Consumer Products

₹1,100.6+7.7%60.415.1%840%₹1.1L Cr
DABUR

Dabur India

₹449.75+5.5%42.516.2%730%₹80.4k Cr
COLPAL

Colgate-Palmolive India

₹2,079.6+4.0%42.781.6%910%₹56.5k Cr
GODFRYPHLP

Godfrey Phillips

₹2,143-2.3%21.826.6%1360%₹33.3k Cr
GILLETTE

Gillette India

₹7,772.5+2.8%47.966.4%320%₹25.6k Cr
UNITDSPR

United Spirits

₹1,427.3+6.4%59.720%80%₹1.0L Cr

Key Watchpoints

🟢

Breaks above ₹1499 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹1356 (-5%)

Further downside risk

🟡

PE reverts to median of 59.7 (7 quarterly points (limited history))

Valuation normalization

🟢

Fmcg sector holding leadership position

Sector momentum continuing

Risk Flags

🔴 1 Critical⚠️ 2 Warning1 Positive4 total flags
🔴Cash covers only 17% of current liabilities
Balance Sheet

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

⚠️Working capital changes are 40% of operating cash flow
Cash Flow

Working capital is consuming significant cash. Operational efficiency declining.

⚠️Price/Sales: 8.4x — expensive on revenue basis
Valuation

High revenue multiple. Market pricing in significant growth or margins expansion.

High promoter holding: 59%
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

revenue growth (1)margin pressure (1)capex expansion (1)debt reduction (2)management outlook (4)

50 articles scanned for fundamental themes

Facts

P/E Ratio
59.7MODERATE
P/B Ratio
11.4HIGH
ROE
2003.0%HIGH
Market Cap
₹10470213.6L CrHIGH
From 52W High
96% of high
Promoter Holding
59.5%MODERATE
Institutional
25.1%
Sector Peers
10

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