Havells India (HAVL IN) – Q2FY27 Result Update – Further hikes planned amid cost pressures – Downgrade to ‘ACCUMULATE’
Published on 23 Oct 2026
Management retained a positive outlook on festive-season demand and margins, with FY27 capex guidance at INR14bn, primarily towards cables and R&D centres. We estimate revenue/EBITDA/PAT CAGR of 15.7% / 14.1% / 14.4% with ECD/Cables/Lloyd revenue CAGR of 6.8%/18.7%/15.3% over FY26-29E and EBITDA margin of 9.4% by FY29E. We downward revise our FY28/29 earnings estimates by 8.6%/6.3% factoring in raw material inflation and continued margin pressure. We downgrade to ‘ACCUMULATE’ rating from ‘BUY’ with a revised TP of INR1,212 (earlier INR1,309) based on DCF, implying 38x Sep’28E earnings.
