FMCG

ITC & Nestle India: Cash Flow Analysis

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ITC and Nestle India Ltd are 2 of the leading players in Indian fast moving consumer goods (FMCG) industry; top 5 players include:

  • Hindustan Unilever Ltd
  • ITC
  • Nestle India Ltd
  • Britannia Industries
  • Dabur India Ltd

Read Cash Flow Analysis of Hindustan Unilever Ltd (Click to read) in our previous post.

Top 4 Basis of analyzing Cash Flows of ITC & Nestle India Ltd

(1) Cash Flows over years

Click to enlarge the image

itc cash flow analysis over last 10 years
nestle india cash flow analysis over last 10 years

(2) Earning Quality of ITC & Nestle India

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ITC share analysis by comparing net profit and cash form operating activities
nestle india share analysis by comparing cash flows with netprofit over last 10 years

(3) Free Cash Flows

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ITC ltd share analysis with free cash flows over last 10 years
nestle india share analysis with free cash flows over last 10 years

(4) FCF/Sales

ITC Ltd free cash flow analysis with net sales
nestle india free cash flow analysis with net sales

Note: Both the companies, ITC Ltd and Nestle India Ltd are part of NIFTY FMCG. Although, on the basis of businesses, both are not comparable as ITC’s 60-65% of revenue is from cigarettes business.

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Disclaimer: The report only represents personal opinions and views of the author. Therefore, No part of the report should be considered as recommendation for buying/selling any stock. Also, the report & references mentioned are only for the information of the readers about the industry stated.

6 Responses

  1. The analysis of comparison on ITC and Nestle is just superb . Please share similar if you have for hind unliver visa vis ITC ! Thanks .

  2. That is a very simple analysis rather than the complex ones we get in the garb of valuing a Co and its stock.

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