Mumbai, December 12, 2025: Hindustan Unilever Limited (HUL) stock (NSE: HINDUNILVR, BSE: 500696) remained under pressure in Friday’s trade, even as the broader market held up better. By late afternoon, the FMCG major was trading around ₹2,260–₹2,262, down roughly 1.8%–2% on the day, after moving in an intraday band of about ₹2,245–₹2,309. [1]
The day’s move extends the post-demerger volatility seen since early December, when HUL’s share price reset lower following the spin-off of its ice cream business (Kwality Wall’s India). At the same time, fresh company commentary around lifestyle nutrition (Horlicks) and upbeat signals on rural demand are shaping investor expectations for FY26—creating a tug-of-war between near-term caution and long-term optimism.
HUL share price on Dec 12: Heavy trading, but weaker-than-sector performance
Market activity in HUL was notably high for a defensive large-cap. One market analysis note flagged 8.67 lakh shares traded and turnover of about ₹196.5 crore on December 12, alongside a session low near ₹2,245 and a decline that lagged the FMCG pack and the benchmark index performance on the day. [2]
Price trackers also show the stock hovering near the lower end of its recent range. One widely followed quote page showed a 52-week band of ~₹2,136 to ~₹2,780 (methodologies vary by provider, especially around corporate actions), underscoring the distance from recent highs and the persistence of caution in the tape. [3]
The biggest overhang: HUL’s Kwality Wall’s demerger is still driving “price discovery” in December
A key reason HUL stock continues to see choppy trade in December is the market’s ongoing recalibration after the ice cream business demerger.
What investors already know from reported timelines and filings coverage:
- The record date for eligibility was December 5, 2025. [4]
- The entitlement ratio is 1:1 (one share of Kwality Wall’s India for every HUL share held as of the record date). [5]
- Media reports cited December 29 as the allotment date, and noted that listing would be taken up “in due course,” while also pointing to the SEBI timeline expectation referenced in coverage (listing within a specified period after approvals). [6]
- Broker commentary carried in market coverage suggested Kwality Wall’s India could list around February, with one view pegging the likely value around ₹50–₹55 per share, and another valuation range cited elsewhere at ₹40–₹50 per share, depending on assumptions. [7]
Why this matters for HUL stock today (Dec 12):
Even after the ex-demerger adjustment, investors are still trying to separate:
- the “new” HUL (core FMCG, excluding ice cream), and
- the prospective value of the soon-to-list ice cream entity.
That split can temporarily distort what looks like “weakness” in the parent stock—especially when passive index mechanics, short-term positioning, and valuation models are being updated at the same time. [8]
Leadership + macro tailwinds: Unilever signals a bigger push for India and HUL growth
Against the near-term technical softness, the strategic narrative around HUL has turned more ambitious in December.
A PTI-syndicated report quoted Unilever CEO Fernando Fernandez describing India as a “massive” opportunity, linking the optimism to India’s GDP trajectory and recent policy moves such as GST reductions, plus other demand-supportive measures referenced in the discussion. The same report also reiterated how important India is to the global parent—describing HUL as Unilever’s second-largest market after the US, contributing roughly 12%–14% of total sales. [9]
Separately, at a CEO roundtable event, HUL’s CEO Priya Nair was quoted pointing to an on-ground shift: rural wages “starting to go up” and rural affluence improving—exactly the kind of signal FMCG investors watch for when gauging volume recovery and mix upgrades. [10]
GST cuts: supportive long-term, disruptive short-term—HUL has already flagged the transition pain
Investors are also stitching together the policy backdrop with HUL’s near-term growth path.
Earlier in FY26, HUL flagged that GST cuts on consumer products created a temporary sales disruption as channel partners cleared older inventory at pre-cut prices. The company indicated it expected consolidated business growth to be nearly flat or low-single digit for the quarter ending September 30, with some impact extending into October, before price stability improved from November onwards. [11]
That “transition dip” showed up in subsequent results coverage too, with the company and analysts watching for normalization as the new pricing settles through the distribution chain.
What the last reported quarter said about underlying demand: volume flat, beauty stronger
In its results reported in late October (for the second quarter), Reuters reported:
- Profit before tax and exceptional items down nearly 5% to ₹33.89 billion,
- Revenue from sale of products up about 2% to ₹160.34 billion,
- Underlying volume growth broadly flat, and
- a stronger performance in the beauty division (reported as up ~5%, led by skincare/cosmetics), while overall margins saw pressure (EBITDA margin down 90 bps, per the same report). [12]
The key takeaway for December: markets are looking for evidence that post-GST disruption demand is improving—especially in mass categories—while premium segments (like beauty) continue to provide resilience.
Fresh business focus on Dec 12: HUL doubles down on lifestyle nutrition and Horlicks
One of the most actionable pieces of company-specific news dated December 12 is HUL’s sharpened focus on lifestyle nutrition, anchored by the Horlicks franchise.
According to a report published Friday, HUL is intensifying its play in lifestyle nutrition after the segment saw a turnover decline in the September quarter, even as underlying volume growth (UVG) remained positive—helped by mix and early signs of consumer uptrading following pack-price interventions. The same report noted management commentary that a GST rate cut had a short-term impact, but could support demand recovery over time. [13]
The report also highlighted:
- Horlicks as a roughly ₹4,000-crore brand,
- launch momentum around Horlicks Superfoods variants (including oats/almonds/millets and a no-added-sugar option), and
- a broader portfolio strategy to meet consumers across formats (including ready-to-drink and biscuits). [14]
For longer-horizon investors, an especially notable detail is the R&D angle: HUL/Unilever is aligning India’s R&D network as a global center for lifestyle nutrition, with the report citing ~800 scientists across India hubs (including 300+ PhDs). [15]
Analyst forecasts for HUL stock: targets imply upside, but valuation remains the debate
Despite the weak tape on Dec 12, consensus “street” targets still point to potential upside—at least on paper.
- One consensus summary showed 38 analysts with an average target near ₹2,784, with a low near ₹1,966 and a high near ₹3,200. [16]
- Another analyst aggregation showed an average target around ₹2,792 (with the estimate described as ~23% upside from a last price near ₹2,262). [17]
However, valuation is where the market splits. A live market page on Dec 12 showed HUL trading at about 53x trailing earnings (TTM P/E), with a stated dividend yield ~1.87% and a short-term performance snapshot that had the stock down ~4.8% over five days. [18]
In plain terms: targets may be higher, but investors still want proof of sustained volume growth and margin durability to justify premium multiples—especially after the portfolio becomes “cleaner” post-demerger.
Broker calls around the demerger: where some targets are landing
The demerger has also triggered a new wave of brokerage math on what “core HUL” should be worth and what the ice cream business could fetch when listed.
A market report compiling brokerage views noted:
- a ‘buy’ stance maintained by at least one house with a revised target around ₹2,776,
- another bullish view retaining a ₹3,200 target, and
- a DCF-based approach around ₹2,772 with an ‘accumulate’ stance, alongside assumptions like mid-to-high single digit growth and the potential for modest margin upside post demerger. [19]
These are not guarantees—but they do set the “debate range” the market is trading against.
Derivatives and technicals: why Dec 12 positioning looks different post corporate action
Two technical/structure points matter for traders following HUL into year-end:
- HUL is trading below key moving averages, according to one Dec 12 technical recap—often read as a bearish setup until the stock reclaims those levels. [20]
- F&O contracts were mechanically impacted by the demerger. Broker and platform notices explained that existing HINDUNILVR derivative contracts were made to expire early on Dec 4 due to the corporate action, and then reintroduced after the ex-date with the usual three expiries visible again (including Dec 30, 2025, Jan 27, 2026, Feb 24, 2026). [21]
Also, India’s derivatives market structure has been evolving: Reuters reported earlier in 2025 that SEBI approved changes that shift NSE expiries to Tuesday (with BSE on Thursday) for certain derivatives schedules—helping explain why stock derivative expiries now show dates like Dec 30 rather than the older Thursday convention. [22]
Key risks investors are watching in HUL stock
Even with defensives like HUL, December’s price action shows investors are not ignoring risks:
- Margins vs commodity inputs: Earlier in 2025, HUL pointed to pressure from elevated raw materials like palm oil and coffee, alongside margin movement in reported results. [23]
- Demand shape (urban vs rural): The market wants confirmation that rural improvement translates into broad-based volume expansion, not just isolated pockets. [24]
- Execution risk on the demerger and listing timeline: Until Kwality Wall’s India lists and price discovery completes, the parent stock can face periodic volatility and “sum-of-the-parts” re-rating swings. [25]
- Premium valuation sensitivity: With TTM P/E cited around the low-50s, any disappointment on volumes, margins, or guidance can have an outsized impact on the stock. [26]
What to watch next for Hindustan Unilever stock
As of December 12, 2025, investors tracking HUL share price are likely to focus on four near-term signposts:
- Kwality Wall’s India listing and final valuation: It will clarify how much value the market assigns to the separated ice cream business—and whether any “unlocking” occurs beyond what’s already priced in. [27]
- Evidence of post-GST normalization: Watch for commentary that confirms the channel has fully reset after the inventory clearing phase and pricing has stabilized. [28]
- Lifestyle nutrition execution: New Horlicks launches, format expansion, and R&D-led innovation could become a bigger swing factor for Foods growth and mix over FY26. [29]
- Rural demand momentum: Any new datapoints supporting rising rural wages and affluence can strengthen the volume-growth narrative that the street is leaning on. [30]
References
1. www.moneycontrol.com, 2. www.marketsmojo.com, 3. www.moneycontrol.com, 4. www.businesstoday.in, 5. www.businesstoday.in, 6. www.businesstoday.in, 7. www.businesstoday.in, 8. www.businesstoday.in, 9. www.business-standard.com, 10. m.economictimes.com, 11. www.reuters.com, 12. www.reuters.com, 13. timesofindia.indiatimes.com, 14. timesofindia.indiatimes.com, 15. timesofindia.indiatimes.com, 16. www.investing.com, 17. trendlyne.com, 18. www.livemint.com, 19. www.businesstoday.in, 20. www.marketsmojo.com, 21. zerodha.com, 22. www.reuters.com, 23. www.reuters.com, 24. m.economictimes.com, 25. www.businesstoday.in, 26. www.livemint.com, 27. www.businesstoday.in, 28. www.reuters.com, 29. timesofindia.indiatimes.com, 30. m.economictimes.com
