We value Havells on 35x P/E on Sep-19EPS, hence our TP is Rs 558. The stock has run- up by ~18% in the last three months, after we upgraded it to BUY. With limited upside, we downgrade our rating to NEUTRAL. Havells 2QFY18 revenue grew by 4% (ex-Lloyd Consumer) to Rs 15.1bn. Like-to-like growth was at 6.7%, adjusted for the impact of higher excise duty. Hence, core business growth was slower vs. expectation of 11% and 9% clocked in 1QFY18. EBITDA and APAT (ex-Lloyd Consumer) was up by 17% and 9% YoY respectively.