Five fundamentally strong FMCG stocks are down 30% from 52-week highs

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Subscribe to enjoy similar stories. The Indian fast-moving consumer goods (FMCG) industry has been experiencing continuous expansion recently. The key drivers of this expansion are consumer-driven growth and higher product prices, particularly for essential goods.

The sector plays a crucial role in the Indian economy, providing employment to around 3 million people and accounting for approximately 5% of the total factory employment in the country. The sector's growth is fuelled by a combination of favourable government initiatives and policies, an expanding rural market, a youthful population, the introduction of new branded products, and the rise of e-commerce platforms. To sustain this growth and create long-term value for consumers, resilience must be a key focus across manufacturing processes, daily operations, retail and logistic channels, consumer insights, and communication strategies.

As we continue this path of resilience, the sector has experienced significant growth recently, bolstered by the strength of the leading players in the FMCG industry. However, there are some companies whose share prices have not reflected this overall growth. Today, we will discuss these companies, which may be undervalued by the market and have seen their share prices decline by nearly 30% from their peak values.

Let’s have a look… Nestle India is a subsidiary of Nestle which is a Swiss multi-national corporation. The company operates in the food segment. The company is among the top two players in most of its product categories, including milk products and nutrition, beverages, prepared dishes and cooking aids, and chocolate and confectionery.