About the stock: 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.
Strong revenue growth; sequential improvement in margins.
Strong B2C brand, focus on market share gains of Lloyd through improved product mix and dealer addition. The company’s share price has grown ~2.1x in the last five years.
We rollover our valuation on FY25E. We value the stock at 48x FY25E EPS with a revised target price of ₹ 1420/share.
We like Supreme Industries in our coverage.
|(| Crore)||FY20||FY21||FY22||5 Year CAGR (FY17-22)||FY23E||FY24E||FY25E||3 Yr CAGR (22-25E)|
|EBITDA Margin (%)||10.9||15.0||12.7||-||10.1||12.8||12.9||-|
|Price/Book Value (x)||16.7||13.9||12.1||-||12.6||11.2||10.4||-|
Q3FY23 Results: Growth in topline, margin recovery in progress…
Q3FY23 Earnings Conference Call highlights
Future Demand Outlook:
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