Market Outlook
May 24, 2016
Market Cues
Domestic Indices
Chg (%)
(Pts)
(Close)
BSE Sensex
(0.3)
(72)
25,230
Indian Markets are expected to open in the red tracking the SGX Nifty and weak
Nifty
(0.2)
(19)
7,731
Asian cues.
Mid Cap
(0.3)
(32)
10,991
U.S markets closed flat after a lack of direction led by concerns of a rate hike by the
Small Cap
(0.4)
(42)
10,922
US Fed and continued sluggishness in corporate earnings. Markets continue to
brace for the possibility that there could be more than one hike this year.
Bankex
(0.5)
(88)
18,652
European markets traded briefly in the green trading negative for most part of the
day, finally ending with modest losses. An unexpected decrease in Eurozone private
Global Indices
Chg (%)
(Pts)
(Close)
sector data disappointed traders.
Dow Jones
(0.0)
(8)
17,493
Indian shares ended modestly lower, due to mixed global cues and weakness in
Nasdaq
(0.1)
(4)
4,766
rupee for the seventh consecutive session. Investor sentiment dampened ahead of
FTSE
(0.3)
(20)
6,136
the F&O expiry of May series derivative contracts which is due on Thursday.
Nikkei
(0.5)
(82)
16,655
News Analysis
Hang Seng
(0.2)
(43)
19,809
Result Review - Lupin, Jyothy Labs, HSIL
Shanghai Com
0.6
18
2,844
Detailed analysis on Pg2
Advances / Declines
BSE
NSE
Investor’s Ready Reckoner
Advances
1,065
587
Key Domestic & Global Indicators
Declines
1,536
982
Stock Watch: Latest investment recommendations on 150+ stocks
Unchanged
171
78
Refer Pg6 onwards
Top Picks
Volumes (` Cr)
CMP
Target
Upside
Company
Sector
Rating
BSE
2,085
(`)
(`)
(%)
Amara Raja
Auto/Auto Ancillary
Buy
921
1,076
16.8
NSE
14,601
HCL Tech
IT
Buy
733
1,000
36.4
LIC Housing
Financials
Buy
436
592
35.6
Net Inflows (` Cr)
Net
Mtd
Ytd
Bharat Electronics
Capital Goods
Buy
1,099
1,414
28.7
FII
(692)
1,119
12,909
Navkar Corporation Others
Buy
187
265
41.7
MFs
1,051
3,401
5,997
More Top Picks on Pg5
Key Upcoming Events
Top Gainers
Price (`)
Chg (%)
Previous
Consensus
Date
Region
Event Description
Manappuram
53
8.6
Reading
Expectations
Ttkprestig
4,607
5.9
May 24 US
New home sales
511
521
May 26 US
GDP QoQ (Annualised)
0.5
0.9
Sadbhav
275
5.7
May 26 US
Initial Jobless claims
278
275
Itc
347
5.3
May 27 UK
GDP (YoY)
2.1
2.1
Bajajelec
237
4.9
More Events on Pg6
Top Losers
Price (`)
Chg (%)
Cox&Kings
150
(14.0)
Welcorp
88
(11.5)
Gvkpil
5
(9.3)
Britannia
2,681
(8.6)
Monsanto
2,078
(8.6)
As on May 23, 2016
Market Outlook
May 24, 2016
Result Review
Lupin Ltd (CMP: `1,656 / TP: / Upside :)
Lupin posted results above expectations. The sales came in at `4,091cr V/s
`3,665cr expected a yoy growth of 34.0%. The sales growth was driven by
Formulations (`3,807.5cr), posting a yoy growth of 38.6%, while API (`283.8cr) a
dip of 7.7%. Formulation sales were driven by USA (`2,187.1cr), a 58.7% yoy
growth. Europe (`125.4cr) posted a yoy growth of 40.7%. India (`761.5cr) posted
a 14.7% yoy growth, while Japan (`344.2cr) posted a 17.0% yoy growth. ROW
(`275.8cr), posted a 38.3% yoy growth. On operating front, the EBDITA came in
at 31.2% V/s 25.1% in 4QFY2015 and V/s 29.5% expected. The expansion in the
OPM was on back of the GPM expansion which came in at 73.8% V/s 68.7% in
4QFY2015, V/s 72.7% expected. This along with high other income (`115.2cr V/s
`41.3cr in 4QFY2015), lead the net profit to come in at `806.9cr V/s `547.2cr in
4QFY2015, V/s `828.7cr expected. We maintain our neutral stance on the stock.
Y/E
Sales OPM
PAT EPS ROE P/E P/BV
EV/EBITDA EV/Sales
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2016E
13,092
25.0
2,266
50.4
22.8
32.8
6.8
22.0
5.5
FY2017E
16,561
27.0
3,072
68.3
24.7
24.2
5.4
15.6
4.2
Jyothy Labs (CMP: `299/ TP: -/ Upside: -)
For 4QFY2016, Jyothy Labs reported a mixed set of numbers. Consolidated top-
line for the quarter increased by 11.1% yoy to `445cr, which is in-line with our
estimate of `446cr. On the operating front, the company enjoyed the benefit of
lower input prices which declined by 135bp yoy to 50.0% of sales resulting in
gross margin expansion. However, on qoq basis, gross margin dipped by 248bp
yoy. Employee expense declined 312bp yoy to 8.9% of sales, while other expenses
were flat. As a result, the EBIDTA margin expanded 431bp yoy to 14.1% of sales,
higher than our estimate of 12.9%. The company’s tax rate was higher at 35% in
comparison to the past where it was availing benefits from the Henkel merger. As
a result, the net profit after minority interest grew by 23.8% yoy to `36cr which is
lower than our estimate of `38cr.
On segmental basis, revenue from Home Care segment grew by 18.7% yoy to
`142cr while Soaps and Detergent segment grew by 10.1% yoy to `289cr. The
Home Care segment reported profit of `10cr (vs. loss of `0.8cr in 4QFY15) while
EBIT for the Soaps and Detergent came in at `53cr as against `42cr in 4QFY15.
We currently have a Neutral rating on the stock.
Market Outlook
May 24, 2016
HSIL Ltd (CMP: `313/ TP: -/ Upside: -)
HSIL reported a decent set of numbers of 4QFY2016. Its standalone top-line
during the quarter grew by 6.6% yoy to `596cr which is almost in-line with our
estimate of `581cr. The Building Products business grew by 9.0% yoy to `314cr
while Packaging Products grew by 4.1% yoy to `282cr.
The raw material cost was stable during the quarter however; employee and other
expenses grew by 139bp yoy and 168bp yoy to 11.1% and 32.4% of sales,
respectively. As a result, the EBITDA margin contracted by 230bp yoy to 16.6%,
which is the same as our estimate. The EBIT margin for the Building Products
declined by 530bp yoy to 13.2%. The packaging products business margin
increased by 265bp yoy to 15.1%. Aided by lower debt, interest expense declined
by 49.9% yoy to `9cr. On the back of decline in operating profitability, the net
profit declined by 4.3% yoy to `38cr.
We currently have a Neutral view on the stock and will update our rating post
management interaction.
Economic and Political News
India, Iran ink pact to develop Chabahar port, aluminium plant
EPFO might invest more in equity markets
Records of assets created under MGNREGA to be kept in improved format
Corporate News
Aban Offshore plans to raise around $400 million through FCCBs, GDRs
Apollo Tyres earmarks `3,200 crore capex for FY17
Infosys bags 5-year deal from Commerzbank
Market Outlook
May 24, 2016
Quarterly Bloomberg Brokers Consensus Estimate
Tech Mahindra Ltd. Consol - May 24, 2016
Particulars (` cr)
4QFY16E
4QFY15
y-o-y (%)
3QFY16
q-o-q (%)
Net sales
6,835
6,117
11.7
6,701
2.0
EBITDA
1,133
928
22.0
1,136
(0.3)
EBITDA margin (%)
16.6
15.2
16.9
Net profit
742
472
57.1
759
(2.3)
Colgate Palmolive India Ltd. - May 24, 2016
Particulars (` cr)
4QFY16E
4QFY15
y-o-y (%)
3QFY16
q-o-q (%)
Net sales
1,062
1,022
3.9
1007
5.5
EBITDA
266
247
7.5
231
15.2
EBITDA margin (%)
25.0
24.2
22.9
Net profit
169
164
3.5
159
6.3
Tata Global Beverage Ltd. Consol - May 24, 2016
Particulars (` cr)
4QFY16E
4QFY15
y-o-y (%)
3QFY16
q-o-q (%)
Net sales
1,950
1,875
4.0
2,051
(4.9)
EBITDA
195
188
3.7
172
13.5
EBITDA margin (%)
10.0
10.0
8.4
Net profit
76
4
1,852.6
59
28.7
Power Finance Corp. Ltd. - May 24, 2016
Particulars (` cr)
4QFY16E
4QFY15
y-o-y (%)
3QFY16
q-o-q (%)
Net profit
1,580
1,561
1.2
1,582
(0.1)
Cipla Ltd. - May 24, 2016
Particulars (` cr)
4QFY16E
4QFY15
y-o-y (%)
3QFY16
q-o-q (%)
Net sales
3,356
2,981
12.6
3,027
10.9
EBITDA
612
502
21.9
455
34.5
EBITDA margin (%)
18.2
16.8
15.0
Net profit
354
287
23.3
361
(1.9)
Market Outlook
May 24, 2016
Top Picks HHHHH
Large Cap
Market Cap
CMP
Target
Upside
Company
Rationale
(` Cr)
(`)
(`)
(%)
To outpace battery industry growth due to better technological
Amara Raja Batteries
15,737
921
1,076
16.8
products leading to market share gains in both the automotive
OEM and replacement segments.
Uptick in defense capex by government when coupled with
Bharat Electronics
26,368
1,099
1,414
28.7
BELs strong market positioning, indicate that good times are
ahead for BEL.
The stock is trading at attractive valuations and is factoring all
HCL Tech
1,03,450
733
1,000
36.4
the bad news.
Strong visibility for a robust 20% earnings trajectory, coupled
HDFC Bank
2,87,599
1,137
1,262
11.0
with high quality of earnings on account of high quality retail
business and strategic focus on highly rated corporates.
Back on the growth trend, expect a long term growth of 14%
Infosys
2,73,509
1,191
1,374
15.4
to be a US$20bn in FY2020.
LICHF continues to grow its retail loan book at a healthy pace
with improvement in asset quality. We expect the company to
LIC Housing Finance
22,016
436
592
35.6
post a healthy loan book which is likely to reflect in a strong
earnings growth.
Huge bid pipeline of re-development works at Delhi and other
NBCC
11,495
958
1,089
13.7
State Governments and opportunity from Smart City, positions
NBCC to report strong growth, going forward.
Source: Company, Angel Research
Mid Cap
Market Cap
CMP
Target
Upside
Company
Rationale
(` Cr)
(`)
(`)
(%)
Favorable outlook for the AC industry to augur well for
Cooling products business which is out pacing the market
Blue Star
3,850
428
481
12.4
growth. EMPPAC division's profitability to improve once
operating environment turns around.
With a focus on the low and medium income (LMI) consumer
Dewan Housing
5,441
186
270
44.8
segment, the company has increased its presence in tier-II &
III cities where the growth opportunity is immense.
Commencement of new projects, downtrend in the interest
IL&FS Transport
2,293
70
93
33.4
rate cycle, to lead to stock re-rating
Economic recovery to have favourable impact on advertising
& circulation revenue growth. Further, the acquisition of a
Jagran Prakashan
5,571
170
205
20.3
radio business (Radio City) would also boost the company's
revenue growth.
Speedier execution and speedier sales, strong revenue visibilty
Mahindra Lifespace
1,805
440
554
26.0
in short-to-long run, attractive valuations
Massive capacity expansion along with rail advantage at ICD
Navkar Corporation
2,666
187
265
41.7
as well CFS augurs well for the company
Earnings boost on back of stable material prices and
Radico Khaitan
1,139
86
125
45.9
favourable pricing environment. Valuation discount to peers
provides additional comfort
Strong brands and distribution network would boost growth
Siyaram Silk Mills
953
1,017
1,354
33.2
going ahead. Stock currently trades at an inexpensive
valuation.
Source: Company, Angel Research
Market Outlook
May 24, 2016
Key Upcoming Events
Result Calendar
Date
Company
Tata Global, Amara Raja Batteries, J & K Bank, Power Fin.Corpn., Bank of India, Colgate, Tech Mahindra, MOIL,
May 24, 2016
Prakash Industries, Page Industries, Cipla
Bajaj Auto, Bosch India, Ashok Leyland, Cummins India, Thermax, LMW, Hindustan Media Ventures, Tata Steel, GAIL,
May 25, 2016
Abbott India, GSK Pharma
May 26, 2016
Tata Chemicals, India Cements, Mphasis, HT Media, BPCL, Finolex Cables, Banco, UFO Moviez
BHEL, Crompton Greaves, St Bk of India, Canara Bank, Rural Elec.Corp., Central Bank, ONGC, IOC, HPCL,
May 27, 2016
Cravatex, Surya Roshni, Indoco Remedies, GIPCL, S H Kelkar & Co.
May 28, 2016
Coal India, Hindalco, Divi's Lab., NHPC
Tata Motors, M&M, Blue Star, SAIL, Bajaj Electrical, Hitachi, Sun Pharma, Aurobindo Pharma, NTPC, Unitech,
May 30, 2016
Transport Corporation of India
Source: Bloomberg, Angel Research
Global economic events release calendar
Date
Time
Country
Event Description
Unit
Period
Bloomberg Data
Last Reported Estimated
May 24, 2016 1:00PM Germany
PMI Manufacturing
Value
May P
52.40
52.00
7:30PM US
New home sales
Thousands
Apr
511.00
521.00
May 26, 2016 6:00PM US
GDP Qoq (Annualised)
% Change
1Q S
0.50
0.90
6:00PM US
Initial Jobless claims
Thousands
May 21
278.00
275.00
May 27, 2016 2:00PM UK
GDP (YoY)
% Change
1Q P
2.10
2.10
May 31, 2016 1:25PM Germany
Unemployment change (000's)
Thousands
May
(16.00)
--
7:30PM US
Consumer Confidence
S.A./ 1985=100
May
94.20
96.00
Jun 1, 2016
2:00PM UK
PMI Manufacturing
Value
May
49.20
--
6:30AM China
PMI Manufacturing
Value
May
50.10
50.00
Jun 2, 2016
5:15PM Euro Zone
ECB announces interest rates
%
Jun 2
--
--
Jun 3, 2016
6:00PM US
Change in Nonfarm payrolls
Thousands
May
160.00
163.00
6:00PM US
Unnemployment rate
%
May
5.00
4.90
Jun 7, 2016
2:30PM Euro Zone
Euro-Zone GDP s.a. (QoQ)
% Change
1Q F
0.50
--
11:00AM India
RBI Reverse Repo rate
%
Jun 7
6.00
--
11:00AM India
RBI Cash Reserve ratio
%
Jun 7
4.00
--
11:00AM India
RBI Repo rate
%
Jun 7
6.50
--
Jun 8, 2016
2:00PM UK
Industrial Production (YoY)
% Change
Apr
(0.20)
--
China
Exports YoY%
% Change
May
(1.80)
--
Jun 9, 2016
7:00AM China
Consumer Price Index (YoY)
% Change
May
2.30
--
Source: Bloomberg, Angel Research
Market Outlook
May 24, 2016
Macro watch
Exhibit 1: Quarterly GDP trends
Exhibit 2: IIP trends
(%)
(%)
9.0
8.3
12.0
9.9
7.8
7.7
8.0
7.5
7.6
10.0
7.3
8.0
6.3
6.7
6.6
6.7
7.0
6.4
6.0
4.2
4.3
3.7
5.8
4.0
2.5
6.0
2.0
2.0
0.1
5.0
4.5
-
4.0
(2.0)
(0.9)
(1.5)
(4.0)
3.0
(3.4)
(6.0)
Source: CSO, Angel Research
Source: MOSPI, Angel Research
Exhibit 3: Monthly CPI inflation trends
Exhibit 4: Manufacturing and services PMI
Mfg. PMI
Services PMI
(%)
56.0
5.6
5.7
6.0
5.4
5.4
5.4
5.3
5.0
5.0
54.0
4.8
5.0
4.4
52.0
3.7
3.7
4.0
50.0
3.0
48.0
2.0
1.0
46.0
-
44.0
Source: MOSPI, Angel Research
Source: Market, Angel Research; Note: Level above 50 indicates expansion
Exhibit 5: Exports and imports growth trends
Exhibit 6: Key policy rates
(%)
Exports yoy growth
Imports yoy growth
(%)
Repo rate
Reverse Repo rate
CRR
0.0
7.50
(5.0)
7.00
6.50
(10.0)
6.00
(15.0)
5.50
(20.0)
5.00
4.50
(25.0)
4.00
(30.0)
3.50
(35.0)
3.00
Source: Bloomberg, Angel Research
Source: RBI, Angel Research
Market Outlook
May 24, 2016
Global watch
Exhibit 1: Latest quarterly GDP Growth (%, yoy) across select developing and developed countries
(%)
8.0
6.7
6.0
5.3
4.9
4.2
4.0
3.2
2.1
1.9
2.0
1.3
1.3
0.6
-
-
(2.0)
(1.2)
(4.0)
(6.0)
(5.9)
(8.0)
Source: Bloomberg, Angel Research
Exhibit 2: 2016 GDP Growth projection by IMF (%, yoy) across select developing and developed countries
(%)
10.0
7.5
8.0
6.5
6.0
4.9
4.4
4.0
3.0
2.4
1.9
1.5
2.0
1.1
0.6
0.5
(3.8)
(1.8)
-
(2.0)
(4.0)
(6.0)
Source: IMF, Angel Research
Exhibit 3: One year forward P-E ratio across select developing and developed countries
(x)
20.0
18.0
16.0
14.0
12.0
10.0
8.0
6.0
4.0
2.0
-
Source: IMF, Angel Research
Market Outlook
May 24, 2016
Exhibit 4: Relative performance of indices across globe
Returns (%)
Country
Name of index
Closing price
1M
3M
1YR
Brazil
Bovespa
49,330
(8.0)
18.7
(13.8)
Russia
Micex
1,868
(1.3)
6.5
12.6
India
Nifty
7,731
(2.3)
7.9
(7.7)
China
Shanghai Composite
2,844
(3.8)
(3.0)
(34.1)
South Africa
Top 40
46,538
(1.0)
5.9
(2.9)
Mexico
Mexbol
45,236
(0.7)
4.0
0.9
Indonesia
LQ45
812
(4.2)
(2.8)
(9.5)
Malaysia
KLCI
1,635
(4.3)
(2.4)
(10.3)
Thailand
SET 50
882
0.2
7.3
(10.6)
USA
Dow Jones
17,493
(2.7)
5.2
(3.0)
UK
FTSE
6,136
(4.3)
2.8
(12.8)
Japan
Nikkei
16,655
(1.1)
3.7
(15.7)
Germany
DAX
9,842
(5.6)
4.0
(16.4)
France
CAC
4,325
(5.6)
2.4
(13.9)
Source: Bloomberg, Angel Research
Stock Watch
May 24, 2016
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( Čcr )
OPM(%)
EPS (Č)
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
(Č)
Price ( Č)
( Č cr )
FY16E FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
Agri / Agri Chemical
Rallis
Neutral
205
-
3,991
1,612
1,911
13.3
13.3
7.4
9.5
27.7
21.6
4.4
4.0
16.7
18.4
2.5
2.1
United Phosphorus
Buy
571
684
24,486
13,083
15,176
18.5
18.5
31.5
37.4
18.1
15.3
3.6
3.0
21.4
21.4
2.1
1.7
Auto & Auto Ancillary
Ashok Leyland
Accumulate
100
111
28,445
17,995
21,544
11.4
11.6
3.4
4.7
29.4
21.3
5.2
4.7
17.7
22.2
1.5
1.2
Bajaj Auto
Accumulate
2,417
2,585
69,933
22,709
25,860
20.9
20.1
129.0
143.6
18.7
16.8
5.7
4.9
30.7
29.4
2.7
2.3
Bharat Forge
Buy
711
875
16,551
7,351
8,318
19.9
19.7
31.2
36.5
22.8
19.5
4.1
3.5
19.3
19.2
2.4
2.1
Eicher Motors
Accumulate
18,268
20,044
49,618
15,556
16,747
15.5
17.3
464.8
597.5
39.3
30.6
14.4
10.6
36.2
34.3
3.1
2.8
Gabriel India
Accumulate
90
101
1,294
1,415
1,544
8.7
9.0
4.6
5.4
19.6
16.7
3.6
3.2
18.1
18.9
0.9
0.8
Hero Motocorp
Neutral
2,884
-
57,589
28,244
30,532
15.5
15.9
156.7
168.5
18.4
17.1
7.4
6.2
39.9
36.4
1.9
1.7
Jamna Auto Industries Accumulate
148
160
1,182
1,281
1,473
11.2
11.5
7.6
9.2
19.5
16.1
4.9
4.0
25.4
25.2
1.0
0.8
L G Balakrishnan & Bros Neutral
475
-
746
1,254
1,394
11.6
11.8
35.9
41.7
13.2
11.4
1.8
1.6
13.5
13.8
0.7
0.6
Mahindra and Mahindra Accumulate
1,286
1,364
79,894
38,416
42,904
13.7
13.9
54.8
63.4
23.5
20.3
3.6
3.2
15.4
15.8
1.7
1.5
Maruti
Neutral
3,912
-
118,160
57,865
68,104
16.4
16.7
176.3
225.5
22.2
17.4
4.3
3.7
19.4
21.2
1.8
1.5
Minda Industries
Neutral
1,151
-
1,827
2,523
2,890
8.7
9.0
55.0
65.4
20.9
17.6
4.0
3.3
19.3
18.7
0.8
0.7
Motherson Sumi
Buy
264
313
34,920
39,343
45,100
8.8
9.1
10.1
12.5
26.1
21.1
8.3
6.5
35.3
34.4
1.0
0.9
Rane Brake Lining
Buy
394
465
312
454
511
11.5
12.0
25.2
31.0
15.6
12.7
2.3
2.1
14.9
16.6
0.8
0.7
Setco Automotive
Neutral
32
-
425
594
741
12.7
13.7
1.7
3.2
18.7
9.9
2.0
1.7
10.4
16.9
1.1
0.9
Tata Motors
Neutral
383
-
110,508
259,686
273,957
13.0
13.4
25.9
29.5
14.8
13.0
1.9
1.7
8.0
9.0
0.6
0.6
TVS Motor
Accumulate
295
330
14,022
11,263
13,122
6.9
8.5
9.2
15.0
32.1
19.7
7.3
5.8
22.7
29.6
1.2
1.0
Amara Raja Batteries
Accumulate
921
1,076
15,737
4,892
5,871
17.4
17.6
28.8
37.1
32.0
24.8
7.5
6.0
23.4
24.1
3.3
2.7
Exide Industries
Accumulate
152
162
12,958
6,950
7,784
14.4
14.8
6.6
7.3
23.1
20.9
2.9
2.7
12.6
12.8
1.6
1.4
Apollo Tyres
Buy
151
183
7,709
12,056
12,714
17.2
16.4
23.0
20.3
6.6
7.5
1.2
1.0
17.7
13.6
0.7
0.7
Ceat
Buy
926
1,119
3,745
6,041
6,597
14.1
13.7
99.5
111.9
9.3
8.3
1.8
1.5
19.6
18.5
0.8
0.7
JK Tyres
Neutral
80
-
1,817
7,446
7,669
15.2
14.0
19.6
18.4
4.1
4.4
1.0
0.9
25.2
19.5
0.6
0.6
Swaraj Engines
Neutral
1,105
-
1,372
552
630
14.2
14.7
44.6
54.1
24.8
20.4
5.8
5.2
23.2
25.6
2.3
2.0
Subros
Neutral
97
-
585
1,293
1,527
11.8
11.9
4.2
6.7
23.2
14.5
1.8
1.6
7.7
11.5
0.8
0.7
Indag Rubber
Neutral
185
-
486
283
329
17.0
17.2
13.0
15.4
14.3
12.0
3.1
2.6
21.8
21.6
1.4
1.2
Capital Goods
ACE
Neutral
41
-
403
660
839
4.7
8.2
1.0
3.9
40.7
10.4
1.3
1.1
3.2
11.3
0.8
0.6
BEML
Buy
851
1,157
3,542
3,277
4,006
6.0
8.9
36.2
64.3
23.5
13.2
1.6
1.5
5.7
11.7
1.2
0.9
Bharat Electronics
Buy
1,099
1,414
26,368
7,737
8,634
16.8
17.2
54.0
61.5
20.4
17.9
2.9
2.6
39.3
45.6
2.5
2.1
Stock Watch
May 24, 2016
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( Čcr )
OPM(%)
EPS (Č)
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
(Č)
Price ( Č)
( Č cr )
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
Capital Goods
Voltas
Accumulate
328
353
10,860
5,363
5,963
8.0
9.1
11.0
13.8
29.8
23.8
4.6
4.0
16.2
17.9
2.0
1.8
BGR Energy
Neutral
107
-
771
3,615
3,181
9.5
9.4
16.7
12.4
6.4
8.6
0.6
0.6
10.0
7.0
0.6
0.8
BHEL
Neutral
119
-
29,016
33,722
35,272
10.8
11.7
10.5
14.2
11.3
8.4
0.8
0.8
7.0
9.0
0.9
0.9
Blue Star
Accumulate
428
481
3,850
3,548
3,977
6.3
6.9
13.7
17.2
31.3
24.9
7.9
5.1
26.1
25.4
1.2
1.0
Crompton Greaves
Neutral
62
-
3,895
13,484
14,687
4.9
6.2
4.5
7.1
13.8
8.8
1.0
0.9
7.2
10.8
0.4
0.4
Greaves Cotton
Neutral
136
-
3,316
1,655
1,755
16.6
16.8
7.4
7.8
18.4
17.4
3.7
3.5
21.1
20.6
2.0
1.9
Inox Wind
Buy
235
286
5,215
4,406
5,605
15.5
15.7
20.4
24.8
11.5
9.5
2.6
1.9
27.9
25.9
1.4
1.1
KEC International
Neutral
127
-
3,271
8,791
9,716
6.1
6.8
5.4
8.2
23.6
15.5
2.4
2.2
10.0
14.0
0.6
0.6
Thermax
Neutral
707
-
8,424
6,413
7,525
7.4
8.5
30.5
39.3
23.2
18.0
3.6
3.1
15.0
17.0
1.3
1.1
VATech Wabag
Neutral
570
-
3,107
2,722
3,336
7.9
8.1
19.5
24.6
29.2
23.2
3.1
2.7
11.1
12.4
1.2
1.0
Cement
ACC
Neutral
1,420
-
26,666
13,151
14,757
16.4
18.3
63.9
83.4
22.2
17.0
2.9
2.6
13.3
16.1
1.8
1.6
Ambuja Cements
Neutral
213
-
33,009
11,564
12,556
19.4
20.7
8.9
10.1
23.9
21.1
3.0
2.8
12.8
13.8
2.5
2.2
HeidelbergCement
Neutral
94
-
2,128
1,772
1,926
13.3
15.4
1.0
3.0
93.9
31.3
2.4
2.2
2.6
7.9
1.8
1.5
India Cements
Neutral
84
-
2,583
4,216
4,840
18.0
19.5
4.0
9.9
21.0
8.5
0.8
0.8
4.0
9.5
0.9
0.8
JK Cement
Neutral
598
-
4,179
3,661
4,742
10.1
15.8
7.5
28.5
79.7
21.0
2.4
2.1
7.5
22.9
1.6
1.2
J K Lakshmi Cement
Neutral
347
-
4,084
2,947
3,616
16.7
19.9
11.5
27.2
30.2
12.8
2.9
2.5
9.8
20.8
1.8
1.4
Mangalam Cements
Neutral
238
-
636
1,053
1,347
10.5
13.3
8.4
26.0
28.4
9.2
1.2
1.1
4.3
12.5
1.0
0.7
Orient Cement
Neutral
152
-
3,114
1,854
2,524
21.2
22.2
7.7
11.1
19.7
13.7
2.8
2.4
13.3
15.7
2.5
1.7
Ramco Cements
Neutral
487
-
11,604
4,036
4,545
20.8
21.3
15.1
18.8
32.3
25.9
4.0
3.5
12.9
14.3
3.4
3.0
Shree Cement^
Neutral
13,068
-
45,527
7,150
8,742
26.7
28.6
228.0
345.5
57.3
37.8
8.4
7.1
15.7
20.3
6.1
4.9
UltraTech Cement
Neutral
3,125
-
85,747
24,669
29,265
18.2
20.6
82.0
120.0
38.1
26.0
4.1
3.6
11.3
14.7
3.6
3.0
Construction
ITNL
Buy
70
93
2,293
7,360
8,825
34.0
35.9
7.0
9.0
10.0
7.7
0.3
0.3
3.2
3.7
3.7
3.6
KNR Constructions
Buy
515
603
1,449
937
1,470
14.3
14.0
44.2
38.6
11.7
13.3
2.3
2.0
15.4
15.4
1.6
1.1
Larsen & Toubro
Neutral
1,241
-
115,627
58,870
65,708
8.3
10.3
42.0
53.0
29.5
23.4
2.0
1.9
8.8
11.2
2.2
2.0
Gujarat Pipavav Port
Neutral
159
-
7,692
629
684
51.0
52.2
6.4
5.9
24.9
27.0
3.3
3.0
15.9
12.7
11.7
10.6
MBL Infrastructures
Buy
126
285
523
2,313
2,797
12.2
14.6
19.0
20.0
6.6
6.3
0.7
0.6
11.3
10.6
0.9
0.8
Nagarjuna Const.
Neutral
73
-
4,036
7,892
8,842
8.8
9.1
3.0
5.3
24.2
13.7
1.2
1.1
5.0
8.5
0.8
0.6
PNC Infratech
Neutral
559
-
2,870
1,873
2,288
13.2
13.5
24.0
32.0
23.3
17.5
2.3
2.0
12.1
12.3
1.6
1.4
Simplex Infra
Neutral
265
-
1,310
5,955
6,829
10.3
10.5
16.0
31.0
16.6
8.5
0.9
0.8
5.3
9.9
0.7
0.6
Stock Watch
May 24, 2016
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( Čcr )
OPM(%)
EPS (Č)
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
(Č)
Price ( Č)
( Č cr )
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
Construction
Power Mech Projects
Neutral
608
-
895
1,539
1,801
12.8
12.7
59.0
72.1
10.3
8.4
1.6
1.3
18.6
16.8
0.6
0.5
Sadbhav Engineering
Accumulate
275
298
4,711
3,186
3,598
10.2
10.3
8.0
9.0
34.3
30.5
3.2
2.8
9.4
9.9
1.7
1.5
NBCC
Accumulate
958
1,089
11,495
5,816
7,382
6.9
7.7
29.6
39.8
32.4
24.1
5.8
4.6
24.1
26.7
1.7
1.3
MEP Infra
Neutral
42
-
684
1,956
1,876
28.1
30.5
1.3
3.0
32.4
14.0
6.8
4.6
21.2
32.8
1.8
1.7
SIPL
Neutral
98
-
3,452
675
1,042
62.4
64.7
-
-
3.7
4.2
-
-
16.8
11.3
Engineers India
Neutral
176
-
5,939
1,667
1,725
13.5
16.0
9.7
11.4
18.2
15.5
2.1
2.1
11.7
13.4
2.4
2.4
Financials
Allahabad Bank
Neutral
50
-
3,078
8,569
9,392
2.8
2.9
16.3
27.5
3.1
1.8
0.3
0.2
7.6
11.9
-
-
Axis Bank
Neutral
486
-
115,969
26,204
29,738
3.6
3.5
34.5
35.4
14.1
13.7
2.2
2.0
16.8
14.9
-
-
Bank of Baroda
Neutral
132
-
30,357
18,802
21,088
2.0
2.2
(7.4)
13.0
10.1
1.1
0.8
(4.2)
7.3
-
-
Bank of India
Neutral
81
-
7,524
15,972
17,271
1.9
2.0
15.3
33.4
5.3
2.4
0.2
0.2
3.6
7.6
-
-
Canara Bank
Neutral
180
-
9,793
15,441
16,945
2.0
2.1
46.6
70.4
3.9
2.6
0.3
0.3
8.0
11.2
-
-
Dena Bank
Neutral
28
-
1,894
3,440
3,840
2.1
2.3
7.3
10.0
3.9
2.8
0.3
0.2
6.1
7.9
-
-
Dewan Housing Finance Buy
186
270
5,441
1,828
2,225
2.9
3.0
24.9
29.7
7.5
6.3
1.2
1.0
15.1
16.1
-
-
Federal Bank
Neutral
50
-
8,504
3,279
3,787
2.8
2.9
3.9
5.5
12.6
9.0
1.0
0.9
8.4
10.8
-
-
HDFC
Neutral
1,161
-
183,356
10,358
11,852
3.3
3.3
41.1
47.0
28.3
24.7
5.4
4.9
24.7
24.9
-
-
HDFC Bank
Accumulate
1,137
1,262
287,599
38,606
47,696
4.4
4.5
48.8
61.4
23.3
18.5
4.0
3.4
18.7
20.0
-
-
ICICI Bank
Accumulate
221
243
128,494
34,279
39,262
3.3
3.3
21.0
24.4
10.5
9.1
1.8
1.5
14.4
14.7
-
-
IDBI Bank
Neutral
64
-
13,269
9,625
10,455
1.8
1.8
8.5
14.2
7.6
4.5
0.5
0.4
5.9
9.3
-
-
Indian Bank
Neutral
91
-
4,347
6,160
6,858
2.5
2.5
24.5
29.8
3.7
3.0
0.3
0.3
7.7
8.6
-
-
LIC Housing Finance
Buy
436
592
22,016
3,179
3,758
2.6
2.6
32.9
40.6
13.3
10.7
2.5
2.1
19.6
20.7
-
-
Oriental Bank
Neutral
78
-
2,698
7,643
8,373
2.4
2.4
37.2
45.4
2.1
1.7
0.2
0.2
8.2
9.4
-
-
Punjab Natl.Bank
Neutral
72
-
14,167
23,122
26,022
2.8
2.8
7.0
21.6
10.3
3.3
0.5
0.5
3.4
10.0
-
-
South Ind.Bank
Neutral
18
-
2,437
1,965
2,185
2.5
2.5
2.5
3.3
7.2
5.5
0.7
0.7
9.5
11.7
-
-
St Bk of India
Neutral
169
-
131,152
79,958
86,061
2.6
2.6
13.4
20.7
12.6
8.2
1.0
1.0
11.5
12.8
-
-
Union Bank
Neutral
105
-
7,235
12,646
14,129
2.3
2.4
31.0
39.1
3.4
2.7
0.4
0.3
9.8
11.4
-
-
Vijaya Bank
Neutral
30
-
2,821
3,536
3,827
1.9
1.9
5.5
6.7
5.5
4.6
0.5
0.4
7.8
8.8
-
-
Yes Bank
Neutral
977
-
41,100
7,190
9,011
3.2
3.3
58.2
69.7
16.8
14.0
3.0
2.6
19.2
19.6
-
-
FMCG
Asian Paints
Neutral
947
-
90,850
16,553
19,160
16.0
16.2
17.7
21.5
53.6
44.1
14.2
12.8
29.4
31.2
5.4
4.6
Britannia
Neutral
2,681
-
32,165
8,481
9,795
14.0
14.1
65.5
78.3
40.9
34.2
19.4
15.9
38.3
41.2
4.1
3.5
Stock Watch
May 24, 2016
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( Čcr )
OPM(%)
EPS (Č)
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
(Č)
Price ( Č)
( Č cr )
FY16E FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FMCG
Colgate
Neutral
811
-
22,069
4,136
4,632
22.5
23.3
22.2
25.3
36.6
32.1
22.2
19.8
68.6
67.5
5.2
4.6
Dabur India
Neutral
285
-
50,083
9,370
10,265
17.6
17.3
7.3
8.1
38.8
35.2
10.1
9.2
31.7
30.6
5.0
4.6
GlaxoSmith Con*
Accumulate
5,804
6,118
24,409
4,519
5,142
19.6
19.8
164.3
191.2
35.3
30.4
9.8
8.3
30.8
29.9
4.8
4.2
Godrej Consumer
Neutral
1,359
-
46,272
9,003
10,335
18.1
18.7
34.1
41.8
39.9
32.5
8.6
7.4
23.9
24.8
5.3
4.7
HUL
Neutral
820
-
177,345
33,299
35,497
17.1
17.1
18.9
20.0
43.4
41.0
22.0
25.2
87.6
80.8
5.1
4.8
ITC
Accumulate
347
359
279,560
36,804
38,776
37.9
37.9
12.2
12.9
28.5
26.9
7.9
7.0
27.7
25.8
6.8
6.4
Marico
Neutral
247
-
31,919
6,151
6,966
17.2
17.3
5.4
6.4
45.8
38.7
14.4
11.4
33.2
32.4
5.0
4.4
Nestle*
Neutral
5,954
-
57,409
9,393
10,507
22.2
22.3
106.8
121.8
55.8
48.9
19.6
17.6
34.8
36.7
5.9
5.3
Tata Global
Accumulate
120
137
7,599
8,635
9,072
9.8
9.9
5.8
7.2
20.8
16.7
1.8
1.8
6.8
7.4
0.9
0.9
Procter & Gamble
Accumulate
6,370
7,369
20,677
2,588
2,939
23.3
23.2
130.2
146.2
48.9
43.6
97.6
93.5
27.6
25.3
7.6
6.6
Hygiene
IT
HCL Tech^
Buy
733
1,000
103,450
37,061
30,781
21.5
20.5
51.4
40.0
14.3
18.3
3.7
2.7
20.1
20.3
2.6
2.7
Infosys
Accumulate
1,191
1,374
273,509
62,441
70,558
27.5
27.5
59.0
65.3
20.2
18.2
4.1
3.7
22.2
22.4
3.9
3.3
TCS
Buy
2,492
3,004
490,972
108,646
122,770
28.3
28.3
123.7
141.0
20.1
17.7
6.7
6.1
33.1
34.6
4.1
3.6
Tech Mahindra
Accumulate
477
530
46,249
26,524
29,177
16.2
17.0
28.8
33.6
16.6
14.2
3.2
2.7
19.3
19.1
1.5
1.3
Wipro
Buy
540
680
133,443
50,808
56,189
23.7
23.8
37.3
40.7
14.5
13.3
2.8
2.5
19.2
17.7
2.1
1.8
Media
D B Corp
Accumulate
328
356
6,020
2,025
2,187
27.4
27.4
17.4
18.9
18.8
17.4
4.2
3.9
22.9
23.7
2.9
2.7
HT Media
Neutral
87
-
2,019
2,495
2,673
12.9
13.2
6.8
7.2
12.8
12.1
1.0
0.9
7.5
7.8
0.4
0.3
Jagran Prakashan
Buy
170
205
5,571
2,170
2,355
27.2
26.2
8.9
9.9
19.2
17.2
4.0
3.5
20.9
20.5
2.5
2.3
Sun TV Network
Neutral
366
-
14,416
2,510
2,763
71.8
71.5
21.9
24.8
16.7
14.8
4.0
3.6
22.8
24.3
5.3
4.8
Hindustan Media
Neutral
278
-
2,040
914
1,016
21.7
21.5
21.9
23.3
12.7
12.0
2.3
1.9
18.0
16.2
1.6
1.4
Ventures
Metals & Mining
Coal India
Buy
281
380
177,237
76,167
84,130
19.9
22.3
22.4
25.8
12.5
10.9
4.5
4.4
35.5
41.0
1.6
1.5
Hind. Zinc
Accumulate
166
175
70,098
14,641
14,026
50.4
50.4
17.7
16.0
9.4
10.4
1.4
1.3
16.2
13.2
2.3
2.1
Hindalco
Neutral
87
-
17,955
104,356
111,186
8.7
9.5
6.7
11.1
12.9
7.9
0.5
0.5
3.5
5.9
0.7
0.6
JSW Steel
Neutral
1,317
-
31,828
42,308
45,147
16.4
20.7
(10.3)
49.5
26.6
1.5
1.4
(1.0)
5.6
1.8
1.7
NMDC
Neutral
89
-
35,187
8,237
10,893
46.6
44.5
10.0
11.7
8.9
7.6
1.0
0.9
12.5
13.0
4.2
3.2
SAIL
Neutral
39
-
16,149
45,915
53,954
7.2
10.5
1.5
4.4
26.0
8.9
0.4
0.4
2.3
4.1
1.0
0.9
Vedanta
Neutral
98
-
28,906
71,445
81,910
26.2
26.3
12.9
19.2
7.6
5.1
0.5
0.5
7.2
8.9
0.9
0.6
Tata Steel
Neutral
314
-
30,457
126,760
137,307
8.9
11.3
6.4
23.1
49.3
13.6
1.0
1.0
2.0
7.1
0.8
0.8
Oil & Gas
Cairn India
Neutral
138
-
25,901
11,323
12,490
49.4
51.0
20.7
20.7
6.7
6.7
0.4
0.4
6.4
6.1
1.3
0.7
Stock Watch
May 24, 2016
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( Čcr )
OPM(%)
EPS (Č)
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
(Č)
Price ( Č)
( Č cr )
FY16E FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
Oil & Gas
GAIL
Neutral
372
-
47,137
64,856
70,933
9.1
9.6
24.0
28.9
15.5
12.9
1.3
1.2
8.8
9.6
0.9
0.8
ONGC
Neutral
208
-
178,211
154,564
145,998
36.8
37.4
20.8
22.6
10.0
9.2
0.9
0.9
10.1
9.7
1.4
1.5
Petronet LNG
Neutral
260
-
19,496
29,691
31,188
5.8
6.2
12.8
13.4
20.3
19.4
3.0
2.7
15.8
14.8
0.7
0.7
Indian Oil Corp
Accumulate
404
455
98,186
359,607
402,760
5.9
6.1
42.5
48.7
9.5
8.3
1.3
1.1
14.1
14.4
0.4
0.3
Reliance Industries
Buy
930
1,150
301,440
304,775
344,392
12.6
13.4
91.3
102.6
10.2
9.1
1.1
1.0
11.8
12.0
0.9
0.8
Pharmaceuticals
Alembic Pharma
Neutral
550
-
10,362
3,274
3,802
26.9
19.4
35.0
28.7
15.7
19.2
7.0
5.2
55.6
31.2
3.2
2.7
Aurobindo Pharma
Accumulate
759
856
44,429
14,923
17,162
22.0
23.0
35.7
42.8
21.3
17.7
6.3
4.7
34.0
30.2
3.4
2.9
Aventis*
Accumulate
4,161
4,738
9,584
2,049
2,375
15.4
17.3
115.4
153.5
36.1
27.1
5.9
4.6
19.3
25.8
4.5
3.8
Cadila Healthcare
Buy
325
400
33,261
9,469
11,246
21.2
22.0
14.9
17.1
21.8
19.0
6.2
4.9
28.8
26.6
3.4
2.9
Cipla
Buy
497
605
39,960
13,979
16,447
20.2
18.6
25.7
27.5
19.4
18.1
3.2
2.7
17.6
16.1
2.9
2.4
Dr Reddy's
Accumulate
3,031
3,476
51,685
15,471
17,479
24.6
24.6
138.2
152.4
21.9
19.9
4.0
3.4
19.7
18.7
3.3
2.9
Dishman Pharma
Neutral
152
-
2,459
1,733
1,906
21.5
21.5
10.1
10.0
15.1
15.2
1.8
1.6
10.5
11.2
2.0
1.7
GSK Pharma*
Neutral
3,360
-
28,457
2,870
3,158
20.0
22.1
59.5
68.3
56.5
49.2
16.7
17.1
28.5
34.3
9.5
8.7
Indoco Remedies
Neutral
268
-
2,470
1,033
1,199
15.9
18.2
9.4
13.6
28.5
19.7
4.2
3.6
15.7
19.7
2.4
2.1
Ipca labs
Buy
445
750
5,617
3,363
3,909
12.9
18.6
13.4
28.0
33.2
15.9
2.4
2.1
7.4
14.0
2.0
1.7
Lupin
Buy
1,467
1,809
66,095
13,702
15,912
23.7
26.4
50.5
58.1
29.0
25.2
6.0
4.9
22.9
21.4
5.4
4.3
Sun Pharma
Buy
784
950
188,757
28,163
32,610
25.8
30.7
17.4
26.9
45.1
29.2
4.3
3.7
13.0
16.6
6.2
5.2
Power
Tata Power
Neutral
71
-
19,108
35,923
37,402
22.6
22.8
4.1
5.2
17.4
13.7
1.3
1.2
7.5
9.3
1.5
1.4
NTPC
Accumulate
136
146
111,891
87,271
99,297
23.5
23.5
11.8
13.3
11.6
10.2
1.3
1.2
11.5
12.2
2.3
2.1
Power Grid
Buy
148
170
77,454
20,702
23,361
86.7
86.4
12.1
13.2
12.3
11.2
1.8
1.6
15.6
15.1
8.6
8.0
Real Estate
MLIFE
Buy
440
554
1,805
826
1,133
20.1
21.8
22.6
30.7
19.5
14.3
1.2
1.1
6.0
7.4
4.1
2.8
Telecom
Bharti Airtel
Neutral
346
-
138,270
101,748
109,191
32.1
31.7
12.0
12.5
28.8
27.7
2.0
1.9
6.9
6.7
2.0
1.8
Idea Cellular
Neutral
110
-
39,696
34,282
36,941
32.0
31.5
5.9
6.2
18.7
17.8
1.7
1.6
9.9
9.3
1.7
1.6
zOthers
Abbott India
Neutral
4,591
-
9,756
2,715
3,153
14.5
14.1
134.3
152.2
34.2
30.2
8.5
7.0
27.4
25.6
3.4
2.8
Bajaj Electricals
Neutral
236
-
2,382
4,719
5,287
5.2
5.8
8.6
12.7
27.6
18.6
3.2
2.8
11.4
14.8
0.5
0.4
Finolex Cables
Neutral
287
-
4,391
2,520
2,883
12.2
12.0
12.7
14.2
22.7
20.2
3.1
2.7
13.6
13.5
1.5
1.3
Goodyear India*
Buy
528
582
1,218
1,800
1,600
11.7
11.5
58.7
52.9
9.0
10.0
2.0
1.7
24.6
18.7
0.4
0.4
Hitachi
Neutral
1,346
-
3,659
1,779
2,081
7.8
8.8
21.8
33.4
61.7
40.3
10.0
8.1
17.4
22.1
2.1
1.8
Jyothy Laboratories
Neutral
299
-
5,413
1,620
1,847
11.5
11.5
7.3
8.5
41.0
35.3
5.3
4.9
13.3
14.4
3.3
2.8
Stock Watch
May 24, 2016
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( Čcr )
OPM(%)
EPS (Č)
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
(Č)
Price ( Č)
( Č cr )
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
FY16E
FY17E
zOthers
MRF
Buy
31,788
45,575
13,482
20,316
14,488
21.4
21.1
5,488.0
3,798.0
5.8
8.4
2.0
1.6
41.1
21.2
0.6
0.8
Page Industries
Neutral
12,936
-
14,429
1,929
2,450
19.8
20.1
229.9
299.0
56.3
43.3
24.8
17.3
52.1
47.1
7.6
5.9
Relaxo Footwears
Neutral
460
-
5,517
1,767
2,152
12.3
12.5
19.3
25.1
23.9
18.3
5.9
4.5
27.7
27.8
3.3
2.7
Siyaram Silk Mills
Buy
1,017
1,354
953
1,636
1,815
11.5
11.5
89.9
104.1
11.3
9.8
1.9
1.6
17.9
17.8
0.8
0.7
Styrolution ABS India* Neutral
604
-
1,063
1,271
1,440
8.6
9.2
32.0
41.1
18.9
14.7
1.9
1.7
10.7
12.4
0.8
0.7
TVS Srichakra
Buy
2,317
2,932
1,774
2,035
2,252
15.9
15.3
248.6
268.1
9.3
8.6
4.1
2.9
43.6
33.9
0.9
0.8
HSIL
Neutral
312
-
2,253
2,123
2,384
16.1
16.5
15.0
18.9
20.7
16.5
1.6
1.5
8.0
9.4
1.4
1.2
Kirloskar Engines India
Neutral
243
-
3,516
2,403
2,554
8.6
9.9
9.2
10.5
26.5
23.2
2.5
2.4
9.7
10.7
1.1
1.0
Ltd
M M Forgings
Buy
457
546
552
511
615
21.7
21.6
43.1
55.8
10.6
8.2
1.9
1.6
19.9
21.2
1.3
1.0
Banco Products (India) Neutral
127
-
905
1,208
1,353
11.0
12.3
10.8
14.5
11.7
8.7
1.3
1.2
11.9
14.5
0.7
0.6
Competent Automobiles Neutral
146
-
90
1,040
1,137
3.2
3.1
25.7
28.0
5.7
5.2
0.9
0.8
15.0
14.3
0.1
0.1
Nilkamal
Neutral
1,189
-
1,774
1,871
2,031
10.7
10.5
63.2
69.8
18.8
17.1
3.1
2.6
17.6
16.6
1.0
0.9
Visaka Industries
Buy
141
162
224
1,020
1,120
8.7
9.1
13.9
20.1
10.1
7.0
0.7
0.6
6.4
8.7
0.4
0.4
Transport Corporation of
Neutral
273
-
2,079
2,830
3,350
8.8
9.0
14.4
18.3
19.0
14.9
2.9
2.6
15.4
17.1
0.9
0.7
India
Elecon Engineering
Neutral
60
-
650
1,359
1,482
10.3
13.7
0.8
3.9
74.3
15.3
1.2
1.2
1.6
7.8
0.8
0.8
Surya Roshni
Buy
152
201
664
2,992
3,223
8.1
8.4
14.7
18.3
10.3
8.3
1.0
0.9
9.7
11.0
0.5
0.5
MT Educare
Neutral
182
-
723
286
366
18.3
17.7
7.7
9.4
23.5
19.4
5.0
4.3
20.2
21.1
2.4
1.8
Radico Khaitan
Buy
86
125
1,139
1,543
1,659
12.6
13.0
5.8
6.3
14.8
13.5
1.3
1.2
8.5
8.6
1.2
1.1
Garware Wall Ropes
Buy
340
473
744
862
974
11.2
11.2
24.9
29.6
13.7
11.5
2.1
1.8
15.1
15.4
0.9
0.7
Wonderla Holidays
Neutral
405
-
2,289
206
308
44.0
43.6
9.0
12.9
45.0
31.4
6.2
5.6
13.7
17.8
10.8
7.2
Linc Pen & Plastics
Neutral
192
-
284
340
371
8.3
8.9
10.8
13.2
17.8
14.5
2.8
2.5
16.0
17.1
0.9
0.8
The Byke Hospitality
Neutral
166
-
666
222
287
20.5
20.5
5.6
7.6
29.5
22.0
5.6
4.6
18.9
20.8
3.0
2.3
Interglobe Aviation
Neutral
992
-
35,755
17,022
21,122
20.7
14.5
63.9
53.7
15.5
18.5
23.3
19.1
149.9
103.2
2.1
1.7
Coffee Day Enterprises
Neutral
261
-
5,380
2,692
2,964
17.0
18.6
-
4.7
-
55.1
3.2
3.0
0.2
5.5
2.4
2.2
Ltd
Navneet Education
Neutral
89
-
2,112
998
1,062
24.1
24.0
5.8
6.1
15.4
14.6
3.4
3.0
22.0
20.6
2.2
2.1
Navkar Corporation
Buy
187
265
2,666
365
436
38.3
37.5
5.6
5.9
33.2
31.8
2.1
2.0
6.3
6.1
8.0
6.9
UFO Moviez
Neutral
510
-
1,408
558
619
32.0
33.2
22.5
30.0
22.7
17.0
2.7
2.4
12.0
13.8
2.4
2.0
VRL Logistics
Neutral
393
-
3,590
1,725
1,902
16.5
16.7
12.2
14.6
32.3
27.0
6.7
5.9
20.8
21.9
2.3
2.0
Team Lease Serv.
Neutral
946
-
1,617
2,565
3,229
1.3
1.5
15.2
22.8
62.3
41.5
5.0
4.5
8.0
10.7
0.5
0.4
Stock Watch
May 24, 2016
Company Name
Reco
CMP
Target Mkt Cap
Sales ( Čcr )
OPM(%)
EPS (Č)
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
(Č)
Price ( Č)
( Č cr )
FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E
zOthers
S H Kelkar & Co.
Neutral
226
-
3,270
928
1,036
15.3
15.1
4.9
6.1
45.8
37.0
4.3
4.0
9.4
10.7
3.5
3.1
Quick Heal
Neutral
224
-
1,568
339
408
27.8
27.3
7.1
7.7
31.7
28.9
2.7
2.7
8.5
9.3
3.9
3.3
Narayana Hrudaya
Neutral
324
-
6,619
1,603
1,873
10.9
11.5
1.0
2.6
340.0
122.5
8.2
7.5
2.4
6.1
4.3
3.6
Manpasand Bever.
Neutral
507
-
2,537
540
836
19.9
19.6
10.2
16.9
49.5
30.0
4.0
3.6
8.1
12.0
4.4
2.8
Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on May 23, 2016
Market Outlook
May 24, 2016
Research Team Tel: 022 - 39357800
DISCLAIMER
Angel Broking Private Limited (hereinafter referred to as “Angel”) is a registered Member of National Stock Exchange of India Limited,
Bombay Stock Exchange Limited and Metropolitian Stock Exchange of India Limited. It is also registered as a Depository Participant with
CDSL and Portfolio Manager with SEBI. It also has registration with AMFI as a Mutual Fund Distributor. Angel Broking Private Limited is a
registered entity with SEBI for Research Analyst in terms of SEBI (Research Analyst) Regulations, 2014 vide registration number
INH000000164. Angel or its associates has not been debarred/ suspended by SEBI or any other regulatory authority for accessing
/dealing in securities Market. Angel or its associates including its relatives/analyst do not hold any financial interest/beneficial ownership
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