CESC has posted in line revenue of Rs17.7bn, up 6.7% yoy in 2QFY16, while PAT came in at Rs1.95bn, up 1.6% yoy, but marginally lower than our estimate of Rs2bn. In the last one year, the stock price of CESC lost its value by 27% mainly on account of cancellation of captive mines Sarisatolli coal block. The stock is now trading at 0.8x FY17E BV, which in our view, is attractively valued mainly on account of commissioning of plants, improvement in retail business showing positive EBITDA at the store levels and better operating performance of First Source. We upgrade our recommendation from...