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ICICIdirect Research 23 Oct 2026 DISCLAIMER

Indian Hotels Company (IHCL) – (Reco – Buy; CMP – Rs771; PT – Rs950)

IHCL registered strong performance in seasonally weak Q2FY27 with consolidated revenues and PAT growing by 22% and 20% respectively. BRICs summit in Delhi along with steady demand for premium/luxury rooms aided in 25%+ RevPar growth for IHCL. Considering the strong performance in H1 and sustained demand in the upcoming holiday/wedding season, the company has upgraded its FY27 revenue guidance by 300bps to 15-17%, which further reinforce confidence in the stock.

Bluestone Jewellery & Lifestyle (Bluestone) – (Reco – Buy; CMP – Rs 740; PT – Rs945)

Bluestone’s Q2FY27 performance largely indicates the growing demand for light weight jewellery. It registered 40% revenue growth (SSSG of 28%) and 3.4x EBIDTA growth on strong performance by matured stores. The company’s H1FY27 revenue growth of 47% is largely in-line with the company’s medium-term guidance of 50% revenue growth. Q3FY27 will be boosted by high festive demand while medium term growth will be driven by rising demand for light weight jewellery and increasing store penetration. Recent correction of 29% from its high provides good entry opportunity.

Crompton Consumer (CMP - ₹ 195, Reco – Buy)

Crompton Consumer reported a healthy Q2FY27, with consolidated revenue growing 18.2% YoY to ₹2,263 crore, marking its third consecutive quarter of double-digit growth across all business segments. Going ahead, core categories and newer segments i.e. BLDC fans, solar products, wires, etc. are expected to drive ~14% revenue CAGR over FY26-28E. EBITDA grew 24.3% YoY to ₹205 crore, with margins expanding 45 bps to 9%; despite gross margin pressure from geopolitical tension-led commodity inflation. Going ahead, price hikes, premiumization and operational efficiencies are expected to drive margins to 11.1% by FY28E. We estimate 21.4% PAT CAGR over FY26-28E. Trading at a 30%+ discount to historical P/E averages, the stock offers an attractive risk reward. We maintain BUY with a target price of ₹275, valuing the stock at 24x FY28E EPS

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