Anand Rathi has recommended buying Finolex Cables with a target price of Rs 1,577.

The company"s Q2 performance was negatively impacted by declining copper prices, high-cost inventory, and destocking challenges. Margins were also affected by multiple price cuts during the quarter. However, stable copper prices are expected in the second half of the year, which could benefit the electrical cable segment.

The company is also expected to see growth in the optical fiber cables (OFC) segment due to opportunities with BharatNet. The company"s capital expenditure for OFC and automotive wires is progressing as planned, positioning it to meet rising demand. Finolex Cables has a strong balance sheet and positive cash flows, supporting its positive outlook.