Havells a good buy even at current levels: Taher Badshah, Motilal Oswal AM

In a chat with ET Now, Taher Badshah, Senior Vice President & Co-Head Equities, Motilal Oswal AM, shares his views on Havells.

ET Now: One standout stock in the portfolios you manage is Havells. The stock has seen an extraordinary move this year. What is the view on it going forward?

Taher Badshah: Given that it is a fairly important stock in our portfolios, we are reasonably positive on its medium-term outlook. Out of the three or four different segments of its business in the domestic market, most of them happen to be doing exceedingly well.

We have seen the results in the last quarter, and probably the momentum continues both in the cables and wires businesses. In the appliances and lighting business, margins remain reasonably healthy for the company. The company is actually guided for slightly better growth for the remainder of the year than what they have clocked in the first quarter.

This is a stock which is to some degree a combination of consumer as well as infrastructure kind of play. That keeps us reasonably excited on this name. Besides, we are seeing a marginal turnaround in the European business as well. We could probably see a little more momentum build up on that side of the business over the next couple of years.

So, all in all, Havells is a pretty decent name to own, even at these levels, despite the sharp rally in the stock that we have seen recently.