Following Havells’ Q2 FY25 results, several major brokerages have shared their views on the stock. While the overall sentiment is positive, there are concerns about margin pressures and growth challenges. Here’s what the brokerages are saying:
| Brokerage | Rating | Target Price (Rs) | Key Points |
|---|---|---|---|
| Goldman Sachs | Buy | 2,100 | Maintained ‘Buy’ rating with earnings inflection expected soon. Lloyd’s performance was a positive surprise. |
| Investec | Hold | 1,850 | Margins missed expectations; lowered target price due to weaker-than-expected margin outlook for FY25-27. |
| Macquarie | Outperform | 2,100 | Growth up but margins lagging; valuations are reasonable, and earnings inflection should happen soon. |
Summary:
- Goldman Sachs maintained its ‘Buy’ rating, raising the target price to Rs 2,100, citing an expected earnings inflection and positive surprise from the performance of Lloyd, even in a seasonally soft quarter.
- Investec kept its ‘Hold’ rating, cutting the target price to Rs 1,850 from Rs 1,910, citing weaker-than-expected margins. While Lloyd’s performance was decent, the overall margin outlook led to a downgrade in earnings estimates.
- Macquarie reiterated its ‘Outperform’ rating, highlighting decent growth but lagging margins. However, they expect earnings to inflect soon, with the stock still trading at reasonable valuations.
Disclaimer: The information provided in this article reflects the views and target prices shared by various brokerage firms and is for informational purposes only. It should not be construed as investment advice or a recommendation to buy, sell, or hold any stock. Readers are advised to conduct their own research and seek independent financial advice before making any investment decisions. Neither the publication nor the author is responsible for any investment actions taken based on this information.
