Buy Havells India; target of Rs 1545: ICICI Direct

ICICI Direct's research report on Havells India

Havells India (HIL) is India’s leading electrical appliances & equipment manufacturer with a diversified product portfolio consisting of switchgears, cables, electrical consumer durables and lighting & fixtures. Apart from ‘Havells’, HIL’s other major brands include Crabtree, Standard, Reo and Lloyd. At all its business segment, Havells has a strong presence in the organised product category with market share ranging between 6% and 20% Robust balance sheet with RoE & RoCE of 20% & 25%, respectively (fiveyear average), with stringent working capital policy

Outlook

We continue to remain positive and maintain BUY rating We introduce FY24 estimate and rollover our valuation on FY24E and value stock at Rs 1570/share i.e.53x P/E FY24E EPS