Titan, Marico, Tata Consumer Over Paint Stocks: Morgan Stanley Picks Consumer Stocks

Morgan Stanley expects consumer stocks to remain driven by topline growth and earnings trends, with the brokerage highlighting Marico and Tata Consumer among its preferred staples names, Titan as its preferred discretionary stock and Page Industries as a potential near-term recovery play. Morgan Stanley said revenue growth momentum should remain strong across most consumer staples companies. However, with inflationary pressures building, the market is likely to focus more closely on two-year CAGR volume growth and EBITDA growth.