Havells India’s stock price gained 0.54% to Rs 1,292.95 during the intra-day trade on Monday.
On Thursday, October 19, the company reported revenue growth of 6% in the second quarter of FY24, led by weak sentiment, delayed festival season, pricing revisions led by technology change and price deflation in LED impacting performance across the ECD segment (5.2% YoY) and flat lighting business (0.5% YoY). The company’s EBITDA and PAT saw growth of 29.6% and 32.4% respectively, year-over-year. The stock price of Havells India fell 8.76% in the last five days and 7.64% in the last one month, while it gained 7.33% in the last six months and 17.21% year to date.
Prabhudas Lilladher: Accumulate – Target Price: Rs 1,538
“We believe Lloyd along with ECD, W&C is well placed to grow on account of positive outlook for upcoming festival season, pick-up in residential demand, declining inflation, commodity price stability and B2B portfolio sustaining steady demand led by infrastructure/construction. We downward revise our FY24 earnings by 2.0% mainly with correction in margins as H2FY24 is expected to see revival in demand & margins and maintain FY25/FY26 estimates. Maintain ‘Accumulate’ rating at a DCF based Target Price of Rs 1,538, which implies 49x Sep’25 EPS.”
LKP Securities: Buy – Target Price: Rs 1,545
“Management highlighted that B2B demand has remained strong and is likely to drive revenue growth of Cables & Wires and Switchgear in H2FY24 while recovery across white goods and durables revenues will be seen in H2FY24 as some green shoots visible ahead. Lloyd continues to witness losses as highlighted earlier in our report as the management continues to focus on RAC market share gains and ramp-up in other categories. We remain structurally positive on the stock and believe that its premiumisation strategy, products portfolio across segments, pick up in residential demand, commodity price stability and B2B portfolio sustaining steady demand led by infrastructure/construction. We maintain ‘Buy’ with a Target Price of Rs 1,545.”
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