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Hindustan Unilever Limited (HINDUNILVR) Fair Value & Analysis

Consumer Defensive · IN · Market cap ₹5.0T (≈ $53.4B) · ISIN INE030A01027

What is Hindustan Unilever Limited really worth?

HU Hindustan Unilever Limited HINDUNILVR · NSE
Price₹1,973
Fair Value₹789.46
Upside−60.0%
Quality79/100

A strong business, but trading 150% above our fair value of ₹789.46.

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Strengths

Healthy Growth (revenue 5y +6.6 %/yr)
Highly profitable · 23.3% net margin
Low debt · generates free cash flow
Ranks above peers (9/15)
Wide moat 85/100

Risks

!Weak on future: 22 out of 100

For context

·3.69% dividend yield
Evidence: High Range ₹503.69 – ₹1,049

Fair value as of: Aug 23, 2026

From 26 valuation models · updated 13 days ago

Share price −5.4% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • A high-quality business (quality 79/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
  • The price sits above even our optimistic bull case (₹1,049). The favourable scenario is already priced in.
  • A fairly wide model range (₹503.69 to ₹1,049) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

₹2,875 ₹1,772 Fair Value ₹789.46 May 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 23, 2026.

How to read this chart

60‑month range ₹1,772 – ₹2,875 · fair‑value band ₹503.69 – ₹1,049 · the ₹1,973 price screens above the ₹789.46 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 23, 2026.

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Analysis

Hindustan Unilever Limited (HINDUNILVR) currently trades at ₹1,973, while our model-based Fair Value estimate is ₹789.46, implying the stock looks roughly 149.9% overvalued today. The Quality Score stands at 79/100 (high quality), in the Consumer Defensive sector. Bull case: the Growth Earnings group reads highest at a median of ₹1,236 per share, and 0 of the 26 models we run sit above the ₹1,973 price. Bear case: the Asset-Based group reads lowest at ₹138.98, and 26 of the 26 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Hindustan Unilever Limited generated revenue of ₹645B at a net margin of 23.3%. Revenue grew 4.3% year over year. It earns a return on equity of 21.6%. The balance sheet holds a net cash position of ₹17.7B. Fundamentals as of Aug 23, 2026

Our scenario range runs from ₹503.69 (bear case) to ₹1,049 (bull case); at ₹1,973, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 27% below its 52-week high, currently below its 200-day average. For context, the median of 10 Consumer Defensive peers we cover trades at −28% fair-value upside, at −60%, HINDUNILVR screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF ₹543.56 ₹890.47 ₹1,463 78
Growth DCF ₹551.85 ₹855.26 ₹1,322 77
Owner Earnings ₹802.91 ₹1,319 ₹2,169 75
All 26 models by family
DCF Models
FCF DCF ₹543.56 ₹890.47 ₹1,463 78
Owner Earnings ₹802.91 ₹1,319 ₹2,169 75
5Y Revenue Exit ₹371.62 ₹565.33 ₹811.03 72
5Y EBITDA Exit ₹562.39 ₹930.26 ₹1,366 74
5Y P/E Exit ₹793.89 ₹1,373 ₹1,996 70
10Y Revenue Exit ₹416.52 ₹612.96 ₹876.99 67
10Y EBITDA Exit ₹551.44 ₹875.35 ₹1,319 68
10Y P/E Exit ₹703.74 ₹1,194 ₹1,822 63
Earnings-Based
Graham-Dodd ₹435.28 ₹1,502 ₹2,017 64
Lynch FV ₹347.26 ₹496.09 ₹644.91 61
PEG = 1.0 ₹347.26 ₹496.09 ₹644.91 57
EPV ₹459.65 ₹538.97 ₹609.47 74
Dividend Discount
Gordon GGM ₹414.47 ₹904.86 ₹1,522 65
DDM Multi-Stage ₹414.47 ₹733.64 ₹943.00 66
Multiples
P/E Multiple ₹1,008 ₹1,344 ₹1,680 63
P/S Multiple ₹329.26 ₹439.01 ₹548.76 58
P/B Multiple ₹816.14 ₹1,088 ₹1,360 55
EV/EBIT ₹754.73 ₹1,003 ₹1,251 66
EV/EBITDA ₹634.85 ₹843.08 ₹1,051 67
EV/Revenue ₹298.26 ₹421.73 ₹545.20 54
Asset-Based
NCAV (Graham) ₹103.72 ₹138.98 ₹207.44 54
Growth DCF
Growth DCF ₹551.85 ₹855.26 ₹1,322 77
Rev-Margin DCF ₹371.62 ₹568.22 ₹802.13 72
Economic Profit
Residual Income ₹402.67 ₹493.29 ₹1,999 64
ROIC Compounder ₹499.68 ₹642.81 ₹814.60 72
Growth Earnings
Growth-Adj P/E ₹864.95 ₹1,236 ₹1,606 67

Widest divergence: Growth Earnings (₹1,236) versus Asset-Based (₹138.98). Highest evidence: FCF DCF (78).

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Key figures & financial health

P/E ratio 42.6
P/S ratio 9.94 P/E × margin
EPS (TTM) ₹46.31 price ÷ EPS = P/E 42.6
Dividend yield 3.7% payout 157%
Net margin 23.3% FY2026
Return on equity 21.6% TTM
More key figures
Profitability
Return on assets (EBIT) 17.2% avg 5y
Operating margin 21.1% TTM
Growth
Revenue (TTM) ₹645B TTM
Revenue growth (YoY) +4.3% 3y avg +2.2%
EPS growth (YoY) +21.4%
Balance sheet & cash flow
Free cash flow ₹102B FY2026
Net cash ₹17.7B FY2026

Figures from reported company fundamentals · as of Aug 23, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 79/100

Of which business quality 75 · Market factors (momentum, volatility) 40

Profitability 83
Margins and returns on capital today
Quality Growth 55
Are margins and returns improving?
Cashflow 60
Earnings quality: real cash, not paper profit
Fin. Strength 81
Balance sheet, leverage, solvency risk
Investment 95
Disciplined investing over empire-building
Low Volatility 93
Calm price path (market factor)
Momentum 27
Price trend over the last 3–12 months (market factor)
52W Momentum 4
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Hindustan Unilever Limited, a fast-moving consumer goods company, manufactures and sells food, home care, and personal care products in India and internationally. It operates through Home Care, Beauty & Wellbeing, Personal Care, Foods, and Others segments.

Full company description

Hindustan Unilever Limited, a fast-moving consumer goods company, manufactures and sells food, home care, and personal care products in India and internationally. It operates through Home Care, Beauty & Wellbeing, Personal Care, Foods, and Others segments. The company offers detergent bars, detergent powders, detergent liquids, and scourers; skin care and hair care products; skin cleansing, oral care, bodywash, and deodorants; and culinary products, such as tomato based products, fruit based products, soups, etc., as well as tea, coffee, functional nutrition drinks, and lifestyle nutrition products. It is also involved in beauty salons, job work, real estate, and discharge trust business. Hindustan Unilever Limited was founded in 1888 and is headquartered in Mumbai, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Hindustan Unilever Limited reported revenue of ₹645B in FY2026 versus ₹523B in FY2022, a compound +5.4%/yr. Reported net income was ₹150B in FY2026, compounding +14.1%/yr from FY2022.

Growth Quality 83/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
₹645B
Latest YoY
+2.5%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+2.2%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.6%
Avg. revenue growth/yr (22Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+8.6%
Value creation/yr (5Y, in INR) Earnings growth per share (CAGR 5 years, EBIT basis) plus dividend yield: value created per share and year. Measured in INR: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+9.0% (5.3 + 3.7)
Revenue +5.4%/yr
FY22 ₹523B
FY23 ₹604B
FY24 ₹617B
FY25 ₹629B
FY26 ₹645B
Net income +14.1%/yr
FY22 ₹88.8B
FY23 ₹101B
FY24 ₹103B
FY25 ₹106B
FY26 ₹150B
Character of growth · EPS growth decomposed (2015-2026) +11.0 % p.a.
Revenue per share +6.7 %

of which total revenue +7.7 % · buybacks/dilution −0.9 %

EBIT margin +2.6 %
Tax rate +1.3 %
Residual (interest, one-offs) +0.2 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

HINDUNILVR screens 150% overvalued. Compare with L'Oréal S.A →

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Cite: Fair Value Calculator (2026). "Hindustan Unilever Limited Fair Value". https://www.fairvalue-calculator.com/stock/HINDUNILVR

Peer Group

Household & Personal Products · 244 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 79 · Top 25%
Fair Value upside −60% · Bottom 25%
Return on equity (TTM) 22% · Top 25%
Return on assets 11% · Top 25%
Net margin (TTM) 23% · Top 25%
Operating margin (TTM) 21% · Top 25%
Revenue growth 4% · Above median
Dividend yield (TTM) 3.7% · Above median
Debt / equity 0.02× · Lower than median

Valuation Multiples vs Household & Personal Products median · lower = cheaper

P/E (TTM) 42.6× · Pricier than 75% of peers
P/B 10.33× · Pricier than 75% of peers
P/S (TTM) 7.81× · Pricier than 75% of peers
P/FCF 0.5× · Cheaper than median
EV/EBITDA 34.5× · Pricier than 75% of peers
PEG 3.69× · Pricier than 75% of peers

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 28
FUTURE22 · sector 8
PAST86 · sector 27
HEALTH99 · sector 98
DIVIDEND74 · sector 56

VALUE 0: the price sits above our fair-value range.

Insider activity: 40/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Household & Personal Products stocks, each showing price versus our Fair Value estimate (as of Aug 23, 2026).

Stock Price Fair Value vs Fair Value
L'Oréal S.A LORL C$24.76 C$22.64 −9%
Unilever PLC UNA €55.92 €40.47 −28%
Colgate-Palmolive Company CL $90.75 $55.28 −39%
500696 500696 ₹2,093 ₹641.55 −69%
Kenvue Inc KVUE $18.95 $10.97 −42%
Kimberly-Clark Corporation KMB $109.55 $79.71 −27%
Henkel AG HEN3 €75.82 €85.95 +13%
The Estée Lauder Companies Inc ESLA €86.54 €18.84 −78%
Church & Dwight Co CHD $101.26 $65.12 −36%
Beiersdorf Aktiengesellschaft, BEI €80.42 €68.36 −15%

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Frequently asked questions

Is Hindustan Unilever Limited (HINDUNILVR) overvalued or undervalued?
As of Aug 23, 2026, our model estimates a fair value of ₹789.46 versus a price of ₹1,973, about −60% upside (overvalued).
What is the fair value of HINDUNILVR?
Our model-based fair value for Hindustan Unilever Limited is ₹789.46 (as of Aug 23, 2026), built from audited fundamentals. The current price: ₹1,973.
What is the quality score of HINDUNILVR?
Hindustan Unilever Limited has a Quality Score of 79/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Hindustan Unilever Limited (HINDUNILVR)?
Hindustan Unilever Limited reported trailing-twelve-month revenue of about ₹645B (latest available figure, as of Aug 23, 2026).
What is the net profit margin of HINDUNILVR?
The net profit margin of Hindustan Unilever Limited is about 23.3%, meaning it keeps roughly 23.3% of revenue as net income. Based on the latest reported figures.
Does Hindustan Unilever Limited pay a dividend?
Hindustan Unilever Limited currently shows a dividend yield of about 3.69% relative to its recent price (as of Aug 23, 2026).
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