Dabur India (DABUR IN) – Company Update – IGNITE to drive growth, M&A a key rerating trigger – Upgrade to ‘ACCUMULATE’
Published on 11 Nov 2026
Dabur has outlined a growth acceleration strategy under ‘Ignite’, with focus on 1) stepping up A&P by 150-200bps in core brands (60% of business) 2) Increase share of premium products (17% to 20% in 18 months) which is margin and growth accretive 3) strengthening execution through Project Saksham and operating efficiencies and 4) funding growth through increase in savings from Rs1.15bn to Rs2bn and 5) higher M&A for strategic acquisitions, although no timeline for acceleration. We estimate a Sales and EPS CAGR of 10% and 11.9%, respectively, over FY27–29. We value Dabur at 32x Sep’28 EPS, arriving at a TP of Rs450 (earlier Rs476 at 35x Jun’28 EPS). While valuations at 25x FY29E EPS limit downside, management’s delivery on M&A (particularly value-accretive D2C acquisitions) and improved growth in core business would be key to stock re-rating. Upgrade to Accumulate
