HUL Posts Modest Q2 Growth, But Charts Hint At Bullish Breakout Above ₹2,750

• Q2 profit rose 4% YoY to ₹2,694 crore, aided by a one-time tax gain.
• HUL declared an interim dividend of ₹19 per share
• Technical analysts see strong support near ₹2,500 and a potential upside if ₹2,750 is breached.
  
   

Shares of Hindustan Unilever rose nearly 3% to ₹2,667.2 on Thursday, after the FMCG major posted a stable Q2 print.

Q2 Profit Up 4%

HUL reported a 4% year-on-year (YoY) rise in consolidated net profit to ₹2,694 crore, aided by a one-time tax gain of ₹184 crore from the resolution of past tax matters between Indian and UK authorities.

Revenue from operations grew 2% to ₹16,061 crore, while profit before exceptional items declined 4% due to softer operating performance.  The company declared an interim dividend of ₹19 per share.

Underlying sales growth (USG) stood at 2%, with flat volume growth, as the quarter was impacted by GST rate transitions and an extended monsoon. EBITDA margin slipped 90 basis points to 23.2% due to higher brand investments.

Volume growth remained flat, impacted by GST adjustments and an extended monsoon. However, management expects recovery from November, driven by rural demand and normalisation in distribution, with FY26 expected to be better than the first half.

Segment-wise Breakdown

The Home Care segment recorded mid-single-digit volume growth but flat sales, while Beauty & Wellbeing rose 9% to ₹3,732 crore, supported by skincare and health products. Personal Care turnover remained stable at ₹2,425 crore, while Foods & Beverages achieved 3% growth, driven by double-digit growth in tea and coffee.

Analyst Sees Rally Beyond ₹2,750

On the technical front, HUL’s stock has been range-bound between ₹2,400 and ₹2,750 for nearly two years, consolidating within a broad sideways channel, noted SEBI-registered Finkhoz RoboAdvisory.

The weekly chart shows repeated rejections near ₹2,740, marking a strong resistance zone, while multiple supports near ₹2,420 - ₹2,470 indicate consistent buying interest, the analyst said.

The stock currently trades above its 50-day and 200-day exponential moving averages (EMA), a short-term bullish sign, with relative strength index (RSI) hovering near 60, suggesting improving momentum but still room before turning overbought.

A decisive breakout above ₹2,750 could trigger a rally toward ₹2,850 - ₹3,000, while ₹2,420 remains a crucial stop-loss level, they added.

HUL continues to find strong support between ₹2,400 and ₹2,500, with immediate buying interest visible near ₹2,513 - ₹2,519. The stock faces resistance around ₹2,650 - ₹2,700, and a breakout above this zone could open the path toward ₹2,850, according to SEBI-registered Financial Independence.

The technical setup remains neutral to mildly bullish as long as prices hold above ₹2,500, with a stop loss placed near ₹2,395 on a closing basis.

At the time of writing, Hindustan Unilever was the top trending stock on Stocktwits.

Year-to-date, the shares have gained 12.5%.

For updates and corrections, email newsroom[at]stocktwits[dot]com. 

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