4 FMCG stocks trading at discount of up to 41% to keep on your radar

SYNOPSIS: India’s FMCG sector remains structurally strong, but select stocks have corrected sharply, trading at steep discounts due to near-term earnings and regulatory pressures.

India’s FMCG sector has been growing at a steady pace, powered largely by everyday consumer demand and periodic price hikes, especially in essential categories. The sector is also a major job creator, employing close to three million people and accounting for roughly 5 percent of total factory employment across the country.

As the fourth-largest sector in India, FMCG plays a crucial role in the economy. Household and personal care products alone make up nearly half of total FMCG sales. In 2024, the industry generated revenues of about Rs. 20.7 lakh crore ($245 billion) and is projected to grow at a strong pace over the coming years, with market size estimates pointing towards nearly $616 billion by 2027.

That said, market movements haven’t been uniformly positive for all FMCG stocks. Despite the sector’s long-term growth story, several FMCG names have corrected sharply from their 52-week highs up to 41 percent from their recent peaks:

AWL Agri Business Limited

With a market cap of Rs. 27,195.7 crores, shares of AWL Agri Business closed in the red at Rs. 209.25 on BSE, down by around 0.4 percent on Friday. The stock has delivered negative returns of over 20 percent in the last one year, and has fallen by around 13 percent in the last month. Additionally, the stock is currently trading at a discount of over 28 percent from its 52-week high of Rs. 291.25 on BSE, recorded on 21st April 2025.

AWL Agri Business Limited, is in the FMCG business, comprising primarily of Edible Oil and the Food & FMCG Segment. The company also engaged in industry essential commodities such as castor derivatives, oleo derivatives, de-oiled cake, etc.

The company sells its entire range of packaged products in edible oil and food FMCG segment under the following brands: Fortune, King’s, Raag, Alpha, Bullet, Fryola, Jubilee, Aadhar, Kohinoor, Charminar and Trophy.

On the financial front, AWL reported a net profit of Rs. 245 crores in Q2 FY26, a marginal rise of around 3 percent QoQ but a drop of over 21 percent YoY, while the revenue from operations stood at Rs. 17,605 crores, rising around 3 percent QoQ and 22 percent YoY, over the same period.

AWL Agri Business reported low single-digit volume growth during the period. While edible oils and the food & FMCG segments showed an uptick, overall volumes were weighed down by a decline in castor and de-oiled cakes within the industry essentials segment.

Festive demand remained muted as trade partners maintained lean inventories. That said, the food & FMCG business has been showing gradual improvement over recent quarters, supported by better offtake following operational interventions and a recovery in the rice business.

ITC Limited

With a market cap of Rs. 4.05 lakh crores, shares of ITC closed in the red at Rs. 323.45 on BSE, down by around 0.5 percent on Friday. The company is a diversified conglomerate with businesses spanning fast-moving consumer goods (cigarettes & cigars, foods, personal care products, education & stationery products, safety matches and agarbattis), paperboards, paper and packaging, and agri business. Though the company operates across multiple businesses, it is included in the NSE FMCG index due to its strong presence in the FMCG space.

The stock has delivered negative returns of around 26 percent in the last one year, and has fallen by nearly 21 percent in the last month. Additionally, the stock is currently trading at a discount of over 31 percent from its 52-week high of Rs. 471.3 on BSE, recorded on 1st February 2025.

On the financial front, ITC reported a net profit of Rs. 5,187 crores in Q2 FY26, representing a marginal decline of around 3 percent QoQ but a growth of about 3 percent YoY, while the revenue from operations stood at Rs. 19,502 crores, falling over 9 percent QoQ and 2 percent YoY, over the same period.

ITC came under the spotlight in early January 2026 after announcing a hike in excise duty on cigarettes, bidis and other tobacco products, a move that immediately caught the market’s attention. The Finance Ministry of India notified that a 40 percent GST, from the existing 28 percent GST, along with the subsuming of excise and NCCD, would be effective 1st February 2026.

Additionally, the ministry clarified that a specific excise duty ranging from Rs. 2,050 to Rs. 8,500 per 1,000 cigarette sticks, depending on cigarette length, will also come into force from the same date. These changes could weigh on cigarette volumes and margins in the near term.

With ITC scheduled to announce its Q3 FY26 results on 29th January 2026, investors will be closely watching whether the earnings provide any trigger for a turnaround in the stock.

Tasty Bite Eatables Limited

With a market cap of Rs. 1,804 crores, shares of Tasty Bite Eatables Limited closed in the red at Rs. 7,032.25 on BSE, down by around 1 percent on Friday. The company is in the business of manufacturing and selling ‘Prepared Foods’. 

The stock has delivered negative returns of around 30 percent in the last one year, and has fallen by nearly 12 percent in the last month. Additionally, the stock is currently trading at a discount of nearly 41 percent from its 52-week high of Rs. 11,888 on BSE, recorded on 7th August 2025.

Tasty Bite Eatables delivered a weak earnings performance in Q2 FY26. Net profit fell sharply to Rs. 3.62 crores, declining around 56 percent QoQ and 64 percent YoY. Revenue from operations stood at Rs. 132.87 crores, showing a modest 10 percent sequential increase but registering a year-on-year decline of over 15 percent.

Jyothy Labs Limited

With a market cap of Rs. 9,158.3 crores, the stock closed flat at Rs. 249.4 on BSE on Friday. Jyothy Labs Limited, one of India’s leading FMCG companies with its flagship brand Ujala, is a household name across India, producing and marketing a diverse range of products in fabric care, dishwashing, household insecticides, and personal care segments.

The stock has delivered negative returns of around 33 percent in the last one year, and has fallen by over 11 percent in the last month. Additionally, the stock is currently trading at a discount of nearly 41 percent from its 52-week high of Rs. 422.6 on BSE, recorded on 5th February 2025.

On the financial front, Jyothy Labs reported a net profit of Rs. 88 crores in Q2 FY26, a decline of more than 9 percent QoQ and 16 percent YoY, while the revenue from operations stood at Rs. 736 crores, a decline of around 2 percent QoQ but a marginal rise of 0.4 percent YoY, over the same period.

The company saw some near-term disruption after the government revised GST rates in September 2025. As distributors adjusted to the new tax structure, channel activity slowed, resulting in almost flat growth during the September quarter.

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post 4 FMCG stocks trading at discount of up to 41% to keep on your radar appeared first on Trade Brains.