Hindustan Unilever Limited (HINDUNILVR.NS) stock analysis

In our weekly check, Hindustan Unilever Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 18 pass, warnings: 5, red flags: 2.

About Hindustan Unilever Limited

Hindustan Unilever Limited is a Consumer Defensive company (Household & Personal Products) based in India, listed on NSE as HINDUNILVR.NS.

What our checks show for HINDUNILVR.NS

Red flags

• Analysts expect the net margin to shrink by 6.1 points from today's 22.7%.
• Return on capital (ROCE) is zero or negative: the business does not earn on the money put into it.

Warning signs

• Operating cash flow is only 0.76x net profit: part of the reported profit does not arrive as cash.
• Analysts expect earnings per share to shrink about 3.1% a year.
• Revenue grew only 3% a year over the last 3 years.
• The stock has fallen as much as 40% from a peak. Would you have held through that?
• The stock is still below its previous peak.

Strengths

• Debt is low: 0x equity.
• Operating profit covers interest 37.8 times over.
• The net margin rose by 5.7 points over 5 years, to 22.7%.
• The gross margin is 46.9% and has risen by 4.1 points: pricing power is holding.
• Earnings per share grew 13.9% a year over the last 3 years.
• Net profit grew 13.9% a year over the last 3 years.

Next earnings report: 2026-10-28

Similar companies

4452.T · NESTLEIND.NS · TATACONSUM.NS

Questions

What grade does Hindustan Unilever Limited (HINDUNILVR.NS) have?

In our weekly check, Hindustan Unilever Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 18 pass, warnings: 5, red flags: 2. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of HINDUNILVR.NS stock?

This week's biggest flags for Hindustan Unilever Limited: Margins expected to shrink, Low return on capital, Profits not backed by cash. In total 7 of 25 checks show a warning or a red flag.

What does Hindustan Unilever Limited do?

Hindustan Unilever Limited is a Consumer Defensive company (Household & Personal Products) based in India, listed on NSE as HINDUNILVR.NS.

When does Hindustan Unilever Limited report earnings next?

The next earnings report is expected on 2026-10-28. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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