The company has in-house design and manufacturing capabilities. However, it historically has a lower operating margin before depreciation and amortisation (Ebitda margin) compared with peers. This is expected to change given the improvement in the margin for the six months that ended September 2024 due to rising operating efficiency.
Gautam Duggad sees PE re-rating potential in 2 sectors; likes largecaps & may raise weight in Reliance
Gautam Duggal, Head of Research at Motilal Oswal, sees limited PE re-rating potential, primarily in large-cap financials and capital market stocks. He favors earnings visibility