Hindustan Unilever Limited (HUL), one of India’s most widely held FMCG stocks, is trading through a pivotal week. The stock is hovering just below ₹2,500 while investors brace for the 5 December spin‑off of its ice‑cream business, Kwality Wall’s (India) Ltd (KWIL), and digest mixed but mostly constructive brokerage commentary on growth and margins. [1]
Below is a detailed, news‑driven look at where HUL stands today, how the demerger will work, what analysts are saying, and how the chart is shaping up as of 3 December 2025.
HUL share price today (3 December 2025)
As of the morning update on 3 December 2025, Hindustan Unilever is trading around ₹2,460–2,470 per share, down roughly 0.5% from the previous close of ₹2,477.40. The intraday range so far has been about ₹2,404–₹2,484, indicating a relatively narrow band ahead of a major corporate action. [2]
Key snapshot metrics (TTM – trailing 12 months): [3]
- Market cap: ~₹5.8 trillion
- TTM P/E: ~53–54×, versus a sector P/E around 50×
- Dividend yield: about 1.7–1.8%
- 52‑week high: ~₹2,779.70 (4 September 2025)
- 52‑week low: ~₹2,136 (4 March 2025)
- 3‑month return: about –7.5%
- 1‑year return: roughly flat to slightly negative (around –0.3% to –1%)
- 3‑year return: modestly negative (around –5.5% to –6%)
- 5‑year return: more than 13% cumulative
Economic Times live blogs on 1–2 December show the stock closing at ₹2,464.5 on 1 December (–0.09% day-on-day) and ₹2,477.8 on 2 December (+0.54%), with one‑month returns mildly positive and three‑month returns still down about 7–8%. [4]
In intraday technicals, TopStockResearch data shows HUL trading near ₹2,465, below several short‑term support levels such as Camarilla S3 and multiple pivot lines, suggesting mild short‑term weakness around the current band. Daily standard pivot is near ₹2,488 and weekly pivot near ₹2,489, with important weekly support around ₹2,425. [5]
MarketWatch notes that as of 2 December the stock closed at ₹2,477.40, about 11% below its 52‑week high, but still outperforming some FMCG peers on that day. [6]
Demerger of Kwality Wall’s: what investors need to know this week
The biggest near‑term driver for HUL’s stock is the demerger of its ice‑cream business into Kwality Wall’s (India) Ltd (KWIL).
Key dates and mechanics
According to HUL’s exchange filings and detailed coverage from LiveMint, Economic Times, NDTV Profit, Upstox and brokerage bulletins, the structure looks like this: [7]
- Effective date of demerger:
- 1 December 2025 – the scheme of arrangement became effective, and HUL’s ice‑cream business (Kwality Wall’s, Cornetto, Magnum, Feast, Creamy Delight and others) moves into KWIL.
- Record date:
- Friday, 5 December 2025 – shareholders on HUL’s register on this date are entitled to shares in KWIL.
- Share entitlement ratio:
- 1:1 – for every 1 share of HUL, shareholders will receive 1 share of KWIL (face value Re 1 each). [8]
- Allotment date:
- HUL has set 29 December 2025 as the share allotment date for KWIL. [9]
- Listing window for KWIL:
- The company has not yet given an exact listing date, but regulations require listing within 60 days of NCLT approval, and LiveMint notes that broker Nuvama expects a February 2026 listing. [10]
Financially, HUL’s ice‑cream division contributes about 3% of annual turnover, or roughly ₹1,800 crore in revenue. [11]
Index and derivatives impact
The demerger triggers temporary quirks in index composition and the derivatives market: [12]
- Nifty 50 special pre‑open session (SPOS):
- On 5 December, NSE will run a special pre‑open session from 9:00–9:45 a.m. to discover HUL’s ex‑demerger price.
- During this period, the Nifty 50 will temporarily include 51 securities, as KWIL appears in the index as a dummy.
- KWIL dummy ticker:
- KWIL will be temporarily included in 35 Nifty indices at zero price, with a provisional symbol (e.g. “DUMMYHDLVR”), whose notional price reflects the gap between HUL’s T–1 close and the discovered ex‑demerger price.
- Futures and options:
- All existing HUL F&O contracts with expiries on 30 December 2025, 27 January 2026 and 24 February 2026 will expire early on 4 December 2025 and be physically settled.
- Post price discovery on 5 December, exchanges will introduce fresh F&O contracts based on the adjusted HUL price.
Brokerage and platform notes from Upstox, Zerodha and Whalesbook all flag 5 December as the crucial “ex‑spin‑off” date for HUL. [13]
How the demerger might affect HUL’s share price
On 5 December, HUL’s quoted price will be adjusted downwards to reflect the value of the ice‑cream business that has moved out. In theory, the combined value of HUL (ex‑ice‑cream) plus the new KWIL shares an investor holds should approximate the pre‑demerger HUL valuation, subject to how the market prices KWIL and the core HUL business.
Nuvama Institutional Equities, quoted by LiveMint, pegs KWIL’s implied valuation at around ₹1,200–₹1,500 crore, translating to approximately ₹50–₹55 per share, based on about 5× EV/sales, a discount to HUL’s ~9× EV/sales for the core business. The brokerage argues that KWIL could see a re‑rating over time as margins improve, premiumisation accelerates and cold‑chain distribution expands. [14]
Crucially, Nuvama remains positive on HUL, retaining a “Buy” rating and target price of ₹3,200 per share, even after factoring in the spin‑off. [15]
Management changes and strategic direction
Leadership continuity and bench strength are an important part of the HUL thesis.
- New CEO:
- Reuters notes that Priya Nair took over as CEO on 1 August 2025, following a period where HUL focused on rural recovery and premium brand revamps in categories like Ponds, Surf Excel and Vaseline. [16]
- Executive Director, Home Care:
- On 1 December 2025, HUL announced the appointment of Vandana Suri as Executive Director, Home Care and General Manager, India Home Care BU, effective 1 January 2026, replacing Srinandan Sundaram, who becomes CEO of Unilever International. [17]
- Suri has over 20 years of experience across India and Southeast Asia, including roles in premium laundry and skin care, where she led premiumisation and growth initiatives. [18]
- Board refresh:
- Economic Times reports that HUL has also appointed Bobby Parikh as an Independent Director for a five‑year term starting 1 December 2025, strengthening governance and financial oversight on the Board. [19]
Taken together, the management moves signal continued emphasis on home care, premiumisation and disciplined capital allocation, while the ice‑cream demerger allows the core business to focus more tightly on higher‑margin categories.
Recent financial performance: Q1 and Q2 FY26
Q1 FY26 (quarter ended 30 June 2025)
Reuters reports that in Q1 FY26 HUL delivered: [20]
- Profit growth: nearly 8% YoY – profit rose to around ₹2,732 crore (27.32 billion rupees) from ₹2,538 crore.
- Revenue growth: up about 4% YoY to ₹15,747 crore, with 3% volume growth, driven by brands such as Ponds, Surf Excel and Vaseline.
- Drivers:
- Ongoing recovery in rural sales, which make up just over one‑third of FMCG demand.
- Stronger demand for revamped and premium variants.
- Margins: gross margin shrank by around 190 bps to 49.5%, pressured by elevated input costs (palm oil, coffee), though management guided for sequential improvement and better growth in the first half of FY26 compared with the prior half‑year.
Q2 FY26 (quarter ended 30 September 2025)
The September quarter was more nuanced and is central to the current debate around the stock.
From exchange filings and analysis by LiveMint, Moneycontrol and Economic Times: [21]
- Consolidated net profit:
- Up 3.6% YoY to about ₹2,685 crore from ₹2,591 crore.
- However, this increase was largely due to a one‑off tax gain (about ₹184–273 crore) from the resolution of historical tax issues between UK and Indian authorities.
- Revenue and volumes:
- Revenue from operations grew only 0.6–2% YoY to about ₹16,061–16,388 crore.
- Underlying sales growth was ~2% with flat volumes, reflecting temporary disruptions from GST‑related changes and destocking.
- Margins:
- EBITDA margin slipped roughly 90 bps YoY to about 23–23.2%, as GST‑driven price cuts and higher trade investments offset sequential improvement in gross margins.
- Management nevertheless guided for stable margins in the 22–23% range, expecting trading conditions to normalise after the GST transition and for Q3 to be stronger.
- Segment trends:
- Home Care saw growth led by liquids but with negative price growth.
- Beauty & Wellbeing (including skin care and colour cosmetics) performed well.
- Personal care volumes came under pressure.
- Foods grew low single digit with modest volume growth. [22]
LiveMint’s coverage of the Vandana Suri appointment reiterates that Q2 numbers were partly impacted by GST changes and an extended monsoon in some regions, but still showed profit growth once one‑offs are included. [23]
What brokerages and analysts are saying now
Overall Street stance
LiveMint’s stock page collating broker coverage shows that 39 analysts cover HUL, with: [24]
- 8 rating it Strong Buy
- 19 rating it Buy
- 10 rating it Hold
- 2 rating it Sell
In other words, consensus leans clearly positive, albeit with valuation caveats.
Multiple sources, including Yahoo Finance aggregates, point to a consensus 12‑month target price around ₹2,780–2,790, only slightly reduced in recent updates, implying moderate upside from current levels. [25]
Key brokerage views after Q2 FY26
Moneycontrol and Economic Times summarise a spectrum of views from large brokerages following the Q2 print: [26]
- Goldman Sachs – Buy, target ₹2,850
- Sees Q2 as largely in line, with GST transition temporarily impacting volumes.
- Expects gradual growth recovery in H2 FY26, with prioritisation of volume‑led revenue growth under CEO Priya Nair.
- Citi – Buy, target ₹3,000 (up from ₹2,900)
- Notes revenue growth of about 2% and margin at the higher end of guidance (~23%).
- Views the GST‑related destocking as temporary (estimated ~200 bps impact).
- Projects about 8–9% revenue and EPS CAGR over FY25–28, with only marginal tweaks to earnings.
- Nuvama Institutional Equities – Buy, target ₹3,200–3,240
- Acknowledges short‑term headwinds but expects H2 FY26 to outperform H1.
- Forecasts EBITDA margin improvement of 50–60 bps in Q3 post demerger as the lower‑margin ice‑cream business is carved out.
- Believes the demerger unlocks value and allows better margin optics in the core. [27]
- Elara Capital – Accumulate, target ₹2,780
- Cautiously optimistic; emphasises volume‑led strategy and a favourable macro environment but flags rural recovery and GST disruptions as key monitorables.
- Also sees the ice‑cream spin‑off adding 50–60 bps to margins over time. [28]
- Morgan Stanley – Equal‑Weight, target ₹2,335
- More conservative on upside; expects H2 FY26 to be stronger than H1, with low single‑digit price growth and stable margins.
- Notes that the GST transition temporarily shaved about 2% off volumes but sees demand stable in both rural and urban markets. [29]
- CLSA – Underperform, target ₹1,966
- The most cautious among the major houses.
- Highlights subdued operational performance, negative price growth in parts of Home Care and intensifying competition, especially from regional players and D2C brands.
- Concerned about rich valuation against modest near‑term volume momentum. [30]
Overall, brokerages broadly agree on three themes:
- Near‑term growth is subdued and noisy because of GST transition and destocking.
- Margins should remain resilient, with a potential uplift from the ice‑cream demerger.
- Valuation is demanding, so upside hinges on a convincing recovery in volume growth and successful premiumisation.
Technical view: support, resistance and trading calls
Technically, HUL has been in a down‑to‑sideways phase since its September 2025 peak near ₹2,780. TopStockResearch’s pivot analysis shows: [31]
- Current price (~₹2,465) is below multiple intraday supports (Camarilla S3, Woodie S1, Demark S1), indicating short‑term weakness.
- Daily standard pivot: ~₹2,488; weekly pivot: ~₹2,489.
- Significant weekly support lies around ₹2,425, with a broader monthly support zone just above ₹2,360–2,380 based on Fibonacci retracements from the September high.
Economic Times live blogs also show the stock trading below its 5‑day simple moving average (~₹2,509), with three‑month returns in negative territory but six‑month returns still positive, consistent with a corrective phase within a longer‑term uptrend. [32]
On 3 December 2025, a Times of India technical note by Mehul Kothari (Anand Rathi Shares & Stock Brokers) lists HUL among the “top stocks to buy today”, citing: [33]
- Bullish divergence on the RSI,
- A positive MACD crossover, and
- A breakout above a recent consolidation range.
The recommended trading plan from that note:
- Buy zone: around ₹2,470–2,450
- Stop loss:₹2,399
- 90‑day target:₹2,575
That call essentially treats the 2,400–2,450 band as a major support zone where risk–reward becomes more favourable for positional traders, especially if the demerger volatility offers dips.
Sector backdrop: rural recovery, premiumisation and competition
HUL doesn’t operate in a vacuum; its numbers sit inside a shifting FMCG landscape.
An Economic Times sector piece on FMCG trends for April–June 2025 highlights that: [34]
- Rural markets grew about 8.4% YoY by volume, roughly twice as fast as urban markets (4.6%), helped by easing inflation and a favourable monsoon outlook.
- Overall FMCG value sales grew 13.9%, with volumes up 6%, as consumers favoured smaller packs.
- Small and regional manufacturers are gaining share, often outpacing legacy players via aggressive pricing, faster innovation and last‑mile reach through e‑commerce and quick commerce.
- In this backdrop, HUL reported around 4% volume growth for that quarter, beating expectations and benefiting from government incentives and better monsoon forecasts.
Reuters further underscores HUL’s strategic push into premium variants and new categories under existing brands (e.g., floor cleaners under Vim), plus increased digital reach, as it navigates elevated raw‑material costs. [35]
For investors, this means HUL is:
- Facing tougher competition in staples and personal care categories, especially from regional players.
- Leaning more on brand strength, innovation and premiumisation to defend margins.
- Still heavily exposed to rural demand, which is recovering but sensitive to inflation, weather and policy.
Key risks to watch
Based on current news flow and analyst commentary, the main risk factors around HUL stock today include: [36]
- Execution risk around the demerger
- Any delays or confusion in allotment, listing or F&O adjustments could trigger short‑term volatility or arbitrage.
- Valuation risk
- At ~53–54× TTM earnings, HUL trades at a premium to the FMCG sector and global peers, though slightly below its own historical peaks. A weaker‑than‑expected recovery in volumes could compress this multiple.
- Demand and competitive pressures
- Rural demand is improving but remains vulnerable to weather, incomes and inflation.
- Smaller and D2C players in foods, personal care and home care continue to chip away at market share, sometimes forcing price cuts or higher promotion spend.
- Regulatory and tax overhangs
- The recent GST transition has already dented volumes and margins temporarily. Future tax or regulatory changes could have similar short‑term effects.
Opportunities and long‑term positives
On the other side of the ledger, the latest data and commentary also highlight several structural positives: [37]
- Spin‑off potential
- The ice‑cream business, at just ~3% of revenue and lower margin, gets its own valuation lens via KWIL.
- The core HUL franchise should enjoy cleaner margin optics and a more focused portfolio.
- Defensive, low‑beta profile
- With a beta well below 1 (various sources place it around 0.4–0.7), HUL tends to be less volatile than the broader market, an attribute many investors value in uncertain macro conditions. [38]
- Strong cash generation and dividends
- A consistent dividend yield near 1.7–1.8%, with regular interim and final dividends, continues to make HUL attractive for income‑oriented investors. [39]
- Premiumisation and innovation
- Investments in premium personal care, home care liquids and nutrition, combined with digital and rural reach, give HUL multiple levers for mid‑single to high‑single digit volume growth over the medium term if the macro backdrop cooperates. [40]
Outlook: buy, sell or hold HUL in December 2025?
Taking all the current news, forecasts and analyses together as of 3 December 2025:
- The Street stance is broadly constructive – most major houses are in the Buy / Accumulate camp, with target prices clustering roughly between ₹2,335 and ₹3,240, and a consensus around ₹2,780–2,800. [41]
- The de‑merger of Kwality Wall’s is the immediate catalyst. It may cause visible price adjustment and short‑term volatility, but does not in itself destroy value; instead, it rearranges it between HUL and KWIL.
- Fundamentally, HUL is coming off a quarter with flat volumes and modest revenue growth, but management and most brokerages expect a stronger second half of FY26, helped by normalising trade channels, festive‑season demand and a cleaner GST environment. [42]
- Technically, the stock sits in a corrective zone roughly 10–11% below its 52‑week high, with important support around ₹2,400–2,450 and some technicians seeing early signs of momentum bottoming out. [43]
For long‑term investors, HUL continues to represent a classic defensive FMCG compounder with strong brands, deep distribution and a steady dividend profile. The main debate is not about survivability or business quality, but about whether current valuations adequately discount near‑term growth headwinds and the evolving competitive landscape.
For short‑term traders, the coming week around 5 December’s demerger ex‑date is likely to be eventful, with special pre‑open price discovery, F&O adjustments and price gap moves that can cut both ways.
References
1. www.livemint.com, 2. www.livemint.com, 3. www.livemint.com, 4. m.economictimes.com, 5. www.topstockresearch.com, 6. www.marketwatch.com, 7. www.livemint.com, 8. www.livemint.com, 9. www.livemint.com, 10. www.livemint.com, 11. www.livemint.com, 12. www.livemint.com, 13. upstox.com, 14. www.livemint.com, 15. www.livemint.com, 16. www.reuters.com, 17. www.livemint.com, 18. www.livemint.com, 19. economictimes.indiatimes.com, 20. www.reuters.com, 21. www.livemint.com, 22. www.moneycontrol.com, 23. www.livemint.com, 24. www.livemint.com, 25. finance.yahoo.com, 26. www.moneycontrol.com, 27. m.economictimes.com, 28. m.economictimes.com, 29. www.moneycontrol.com, 30. www.moneycontrol.com, 31. www.topstockresearch.com, 32. m.economictimes.com, 33. timesofindia.indiatimes.com, 34. m.economictimes.com, 35. www.reuters.com, 36. www.moneycontrol.com, 37. www.livemint.com, 38. www.livemint.com, 39. www.livemint.com, 40. www.reuters.com, 41. www.moneycontrol.com, 42. www.moneycontrol.com, 43. www.topstockresearch.com
