Companies with longstanding brands often have diversified portfolio of business and can better cope ups & down in the markets. These are called “defensive” stocks that can protest your portfolio in times of market volatility.
| CMP (24-Dec-2016) |
52 wk low | 52 wk high | Other Recommendaion | |
| Nestle | 5826 | 4990 | 7390 | Axis – 5800 KR Choksey – 8000 |
| Gillette India | 4276 | 3805 | 4888 | Axis (320) ICICI Sec – 355 |
| Procter & Gamble Hygiene & Healthcare | 6600 | 5171 | 7279 | HDFC Sec – 1335 |
| L&T Foods | 271 | 180 | 319 | |
| Pidilite Industries | 587 | 521 | 769 | ICICI – 775 Prabhudas – 770 |
| Bata India | 425 | 400 | 613 | ICICI – 462 Axis – 535 |
| Asian Paints | 874 | 825 | 1227 | Geojit – 1108 Reliace Sec – 1154 |
Nestle – Nestle India’s brands such as Maggi noodles and Nescafe coffee are consumed across the world. Even after the fiasco over lead content in Maggi, the product saw robust response from consumers when it returned to stores. For the quarter ended September 30, 2016, Nestle reported over two-fold growth in net profit at Rs 269.39 crore compared with Rs 124.20 crore reported for the corresponding quarter last year.
Gillette India and Procter & Gamble Hygiene & Healthcare (P&G) are among the safest bets that one consider for protecting a portfolio from contingencies
In the smallcap space, L&T Food’s Daawat Basmati rice has emerged as an enduring brand. With Bollywood superstar Amitabh Bachchan as its brand ambassador, the product is available in over 50 countries.
Pidilite Industries is a domestically-grown multinational adhesives manufacturing company. It also produces art material, construction chemicals and other industrial chemicals. The Fevicol brand of adhesives is the most famous product of the company.
One can also consider Bata India, Asian Paints, Pidilite, P&G and HUL as their products are available in markets for ages.”