New Delhi, May 18 (IANS): Brokerage house ICICI Securities has given a "hold" call for Adani Wilmar stocks with a target price of Rs 550.

At 2.50 p.m., it traded at Rs 636.55 per scrip.

The brokerage feels that the Adani Group company is well poised to capture accelerated growth in packaged food retail business.

Adani Wilmar is a strong market leader in branded edible oil and industry essentials with aspirations to further scale-up packaged foods business.

Strong competitive advantages (price-laddering), oil segments, scale, market intelligence in edible oil provide the Adani company an edge over competitors and acts as an entry barrier for entrants, said the brokerage in a report.

Further, it enjoys multiple synergies across all three business segments which augur well for scaling up of packaged foods business -- scale in procurement and logistics; brand recall of 'Fortune'; and readily available distribution and mix-load supply chain benefit from edible oil.

That said, key risks, the report cited, were higher volatility in raw material prices and failure in scaling up packaged foods.