See 35% upside in Havells India: IIFL

See 35% upside in Havells India, says Santanu Chakrabarti, IIFL.

Chakrabarti told CNBC-TV18, "Havells investment thesis is fairly simple. Havells is a domestic electrical major and in that they have four basic businesses, which is cables and wire, switchgears and they have fan business. These are their main businesses and with that the stock should compound its revenues at anywhere between 15-16%."

He further added, "We feel that there is some margin expansion scope also given the fact that this company has taken price increases of almost 15-20% in the current year despite what has happen to copper and aluminium prices. So if we value the domestic standalone business at about 15 times and the loss making acquisition, which they had made Sylvania is valued equity wise as zero, you still a fairly steep 35% upside in that stock."