Sharp dip in input cost to aid Pidilite Industries' margin recovery

While prospects remains healthy, upsides are limited post recent run up

Pidilite Industries has been a major outperformer in the consumer basket, gaining 30 per cent over the last three months, as compared to the 13 per cent gains for the BSE Fast Moving Consumer Goods, its peer index. It is the second-highest gainer in the large cap FMCG space, with only Varun Beverages ahead of it, with a gain of 46 per cent.

The gains, for the dominant market leader in the adhesive space, with brands like Fevicol, Dr Fixit, Fevikwik, M-Seal, came on the back of falling raw material costs, market share gains, growth from expansion in new categories