Vous êtes sur la page 1sur 14

Market Outlook

September 4, 2012

Dealers Diary

Domestic Indices

Indian markets are expected to open flat with a positive bias, following a
marginally positive opening in the SGX Nifty. Most of the Asian markets are
currently trading in red.

BSE Sensex

(0.3)

Nifty

(0.1)

(4.8)

5,254

0.1

5.6

6,011

The US markets remained closed on Monday. The European markets ended the
day higher on Monday despite news that Chinas manufacturing activity fell to its
lowest level in three years. Germanys manufacturing activity too fell below
estimates for the month of August. The final Markit/BME Purchasing Managers'
Index came in at 44.7 in August, down from the flash reading of 45.1, but rose
from 43 in July.
Meanwhile, the Indian benchmark indices which opened in the green on Monday
fell shortly due to the growing concerns about the domestic economy. The markets
remained weak for most part of the day, before ending the day lower by ~0.3%.
The markets would be keenly awaiting some announcements on the reforms front
after the implementation of GAAR has been postponed by three years.

MID CAP
SMALL CAP

2.2

6,397

(25.2)

7,470

BSE PSU

(0.0)

(2.9)

6,936

BANKEX

(0.7)

SENSEX
NIFTY

R1

R2

17,254

17,319

17,415

17,480

17,575

5,212

5,233

5,264

5,285

5,317

News Analysis

Supreme Court permits mining operations for category A mines in Karnataka


Cement dispatches August 2012
BJAUT, AL Monthly volumes: August 2012
Infosys top executive Shaji Farooq quits, possibly to join Wipro
L&T bags orders worth `1,063cr
Tech Mahindra to announce strategic move today, might buy Hutch's India
BPO business
UB group considering stake sale in Whyte and Mckay

Refer detailed news analysis on the following page

Net Inflows (August 31, 2012)


` cr

Purch

Sales

Net

MTD

YTD

FII

3,126

3,272

(146)

4,430

61,880

314

372

(58)

(807)

(9,020)

MFs

FII Derivatives (September 3, 2012)


` cr

Purch

Sales

Net

Open Interest

Index Futures

1,003

1,193

(190)

10,659

Stock Futures

1,020

1,274

(254)

23,720

Gainers / Losers
Gainers
Company

Losers

Price (`)

chg (%)

Aurobindo Phar

118

6.8

Exide Inds

138

5.3

IFCI

32

5.1

Jet Air India

68

4.2

JSW Ispat

(4.0)

128

4.2

Divis Lab

1,110

(3.8)

Shree Renuka Sug


Chambal Fert
IRB Infra

www.angelbroking.com

Company
Piramal Health

Price (`)

chg (%)

457

(6.4)

25

(4.8)

338

(4.5)

(74.4) 11,442

AUTO

0.4

37.2

9,278

METAL

(0.6)

(57.5)

9,630

OIL & GAS

(0.8)

(65.7)

8,146

BSE IT

(0.1)

(7.6)

5,734

(Pts)

(Close)

Global Indices

Chg (%)

Dow Jones

0.7

90.1 13,091

NASDAQ

0.6

18.3

3,067

FTSE

0.5

28.5

5,740

(0.6)

(56.0)

8,784

Hang Seng

PIVOT

(45.2) 17,384

0.0

Nikkei

S1

(Close)

(0.3)

The trend deciding level for the day is 17,415 / 5,264 levels. If NIFTY trades above
this level during the first half-an-hour of trade then we may witness a further rally
up to 17,480 17,575 / 5,285 5,317 levels. However, if NIFTY trades below
17,415 / 5,264 levels for the first half-an-hour of trade then it may correct up to
17,319 17,254 / 5,233 5,212 levels.
S2

(Pts)

BSE HC

Markets Today

Indices

Chg (%)

Straits Times

0.4

76.6 19,559

(0.3)

(8.2)

3,017

0.6

11.6

2,059

Chg (%)

(Pts)

(Close)

0.3

0.1

$42.5

WIT

(2.5)

(0.2)

$7.8

IBN

(0.4)

(0.1)

$32.5

HDB

(1.5)

(0.5)

$33.6

Shanghai Com
Indian ADRs

INFY

Advances / Declines

BSE

NSE

Advances

1,387

786

Declines

1,428

633

106

93

Unchanged
Volumes (` cr)

BSE

1,644

NSE

7,821

Market Outlook
September 4, 2012

Supreme Court permits mining operations for category A


mines in Karnataka
The Supreme Court has allowed 18 mines (category A) to resume iron ore
mining in Karnataka after a suspension of over a year on environmental concerns.
This is in line with our expectations given that the Central Empowered Committee
had earlier recommended category A mines to resume operations. The A category
mines are the ones that are either free of any illegality or had committed marginal
illegalities in their mining operations. However, the mines need to get fresh
environmental and pollution clearances from the Ministry of Environment and
Forest before they resume operations which could delay the commencement of
operations in our view. Further, there is no clarity on the quantum of annual
production capacity of these mines as of now (although some media reports
suggest that the new mines could produce ~7mn tonne p.a.). NMDC has been
producing iron ore at a run rate of 8-10mn tonne in Karnataka over the past one
year. Given the Karnataka steel industrys requirement of 30mn tonne, we believe
the commencement of production from these 18 mines is slightly positive for the
steel industry in Karnataka, especially JSW Steel which operates a 10mn tonne
plant in Karnataka with annual iron ore requirement of 18mn tonne. For JSW
Steel, the eventual start-up of production from these mines will be positive as this
will result in higher availability of iron ore at slightly lower prices. However,
currently it is challenging to quantify the impact on JSW Steels financials given the
uncertainty on the timelines and production quantity. As far as Sesa Goa is
concerned, there is no clarity whether any of its Tumkur mines are a part of these
18 mines which have been cleared to resume operations.
Until further update,
we maintain our Neutral rating on JSW Steel and recommend Accumulate on Sesa
Goa with a target price of `192.

Cement dispatches August 2012


For August 2012 Ambuja cements posted a 2.4% yoy decline in its dispatches to
1.45mn tonnes (1.49 mn tonnes). The south west monsoon monsoons picked up
in the month of August after remaining weak in June and July, resulting in lower
cement demand. We remain neutral on Ambuja Cements.

Monthly volumes: August 2012


Ashok Leyland (ALL)
Ashok Leyland (AL) reported in-line sales for August 2012 riding on the strong
growth of its small commercial vehicle, Dost. Total volumes ex-Dost registered a
8.6% yoy (5.5% mom) decline to 6,597 units on account of sluggish demand led
by slowdown in economic activity. However, Dosts sales continued to be strong at
2,835 units. As a result, total volumes grew by a strong 30.4% yoy (down by 3.6%
mom) to 9,432 units. ALL continues to witness strong growth traction YTD in
FY2013 mainly led by the success of the Dost and a gradual pick-up in demand in
South India. While medium and heavy commercial vehicle (MHCV) sales going
ahead will remain under pressure due to slowdown in industrial activity, we expect
the sales momentum in Dost to continue with it gets introduced across India

www.angelbroking.com

Market Outlook
September 4, 2012

(currently available in seven states). At `21, the company is trading at an attractive


valuation of 7.5x FY2014E earnings. We maintain our Buy rating on the stock with
a target price of `30.

Bajaj Auto (BJAUT)


BJAUT reported in-line sales for August 2012 with total volumes registering a
decline of 9.9% yoy (flat mom), due to weak demand in the domestic motorcycle
segment. Three-wheeler sales on the other hand recovered (volumes up 14.9%
mom) as demand in Sri Lanka and Egypt picked up considerably during the
month. The company dispatched around 7,500 units in Sri Lanka during the
month as against 3,000 units in July 2012. The total motorcycle sales however,
declined by 10% yoy (1.5% mom), led by subdued demand in the domestic
markets. The motorcycle volumes continues to benefit from the new launches Pulsar NS (7,200 units) and Discover 125ST (25,000 units). Exports posted a 4.8%
yoy decline (up 4.8% mom) during the month to 131,562 units mainly due to
under performance in the key export markets of Sri Lanka and Egypt. Going
ahead, as domestic demand continues to remain sluggish, we believe that revival
in exports will be necessary for the company to maintain its volume momentum. At

`1,664, BJAUT is trading at 13.7x FY2014E earnings. We maintain our


Neutral rating on the stock.

Infosys top executive Shaji Farooq quits, possibly to join Wipro


As per media reports, in yet another senior-level exit at software major Infosys,
Shaji Farooq, senior vice-president and head of financial services, Americas at
Infosys has quit and is headed to join Wipro. Shaji Farooq has been in Infosys for
the last ten years and has over 20 years of industry experience. He is unit head for
financial services, Americas and responsible for all client facing activities,
delivery/execution and operations. Farooq's exit is the latest in a series of seniorlevel exits at Infosys in the last one year. Other top executives who quit in the last
year include board member Mohandas Pai, sales head Subhash Dhar and Infosys
BPO COO Ritesh Idnani. Infosys is currently witnessing near-term challenges in
terms of growth after the restructuring exercise it went through in the last year. We
maintain Accumulate rating on the stock with a target price of `2,530.

L&T bags orders worth `1,063cr


Larsen & Toubro (L&T) Construction has bagged orders worth `1,063cr across
business segments in the month of August 2012. A major order worth `377cr has
been bagged from Delhi Metro Rail Corporation for the construction of elevated
viaduct and stations. This project is a part of Phase-III of Delhi MRTS. Another
order valued at `212cr has been secured from Rail Vikas Nigam for doubling the
lines of the Rewari - Manheru section on the Bikaner division of North Western
Railway. The company has also secured orders aggregating `474cr which include
design and construction of an IT campus in the southern part of India and
construction of residential towers in Mumbai. This also includes additional orders
from various ongoing building projects.

www.angelbroking.com

Market Outlook
September 4, 2012

At the current market price of `1,353, the stock is trading at PE of 13.5x FY2014E
earnings, after adjusting for investments, which is below the historical trading
multiple for L&T. We have used the sum-of-the-parts (SOTP) methodology to value
the company to capture all its business initiatives and investments/stakes in the
different businesses. Ascribing separate values to its parent business on a P/E basis
and investments in subsidiaries on P/E, P/BV and mcap basis, our target price
works out to `1,553. We recommend Accumulate on the stock.

Tech Mahindra to announce strategic move today, might buy


Hutch's India BPO business
Tech Mahindra is expected to announce a strategic move today. As per media
reports, Tech Mahindra could seal a deal to acquire BPO services firm Hutchison
Global Services for ~US$100mn. As part of the deal, it is also expected that Hutch
has also made a revenue commitment of US$1bn over the next 5-7 years to Tech
Mahindra. Hutch's India BPO business caters to three geographies UK, Australia
and Ireland. This deal is expected to give a revenue boost to Tech Mahindra and
give it a much larger BPO footprint. Hutchison Global Services has ~12,000
employees operating out of five facilities in India. This move is positive for Tech
Mahindra as it would give inorganic boost to revenues when the company is not
able to grow in tandem with other IT services players organically. We continue to
remain positive on the stock and maintain Accumulate rating on the stock with a
target price of `850.

UB group considering stake sale in Whyte and Mckay


As per media reports, UB group, which is the promoter of United Spirits (USL) with
a 28% stake is considering to offload up to 48% stake in its flagship brand Whyte
& Mackay (W&M). USL bought Whyte and Mckay in 2007 for a consideration of
US$1.2bn. UB group has been looking at selling its stake in USL to raise funds for
repaying the debts of its other group company Kingfisher Airlines. The proposal to
off-load stake in W&M is intended to enable the sale of 27% stake in USL for a
consideration of ~`3,000cr to UK based Diageo, without attracting UK anticompetition laws as USL and Diageo put together have a considerable market
share in the scotch and vodka segments. However, off-loading of stake in W&M
might make the deal financially unattractive for Diageo. We continue to remain
neutral on USL.

Economic and Political News

July exports down 14.8% at USD$22.4bn


Govt will ensure stable tax regime: Chidambaram
Finance Mininster wants loss-making banks, insurers out of CCI ambit
Govt taking steps to bridge demand, supply gap in power: Moily

Corporate News

Wockhardt gets USFDA nod for anti-depressant tablets


Reliance Power starts production at controversial Sasan mines
Strides Arcolab gets USFDA nod for cancer drug
Suzlon arm REpower bags 131.2 MW contract
Uflex aims to double revenue to USD$2bn in 3 years
Source: Economic Times, Business Standard, Business Line, Financial Express, Mint

www.angelbroking.com

Market Outlook
September 04, 2012

Global economic events release calendar


Date

Country

Event Description

September 05, 2012

Germany

PMI Services

September 06, 2012

US

Unit

Period

Bloomberg Data
Last Reported

Estimated

Value

Aug F

48.30

48.30

Initial Jobless claims

Thousands

Sep 1

374.00

370.00

Euro Zone

Euro-Zone GDP s.a. (QoQ)

% Change

2Q P

(0.20)

(0.20)

UK

BOE Announces rates

% Ratio

Sep 6

0.50

0.50

Euro Zone

ECB announces interest rates

Sep 6

0.75

0.50

UK

Industrial Production (YoY)

% Change

Jul

(4.30)

(2.70)

US

Change in Nonfarm payrolls

Thousands

Aug

163.00

125.00

US

Unnemployment rate

Aug

8.30

8.30

China

Industrial Production (YoY)

% Change

Aug

9.20

9.10

China

Consumer Price Index (YoY)

% Change

Aug

1.80

2.00

September 10, 2012

China

Exports YoY%

% Change

Aug

1.00

3.00

September 12, 2012

UK

Jobless claims change

% Change

Aug

(5.90)

--

India

Industrial Production YoY

% Change

Jul

(1.80)

--

US

Producer Price Index (mom)

% Change

Aug

0.30

1.00

US

FOMC rate decision

Sep 13

0.25

--

Euro Zone

Aug

2.40

--

% Change

Aug

6.87

--

US

Euro-Zone CPI (YoY)


Monthly Wholesale Prices
YoY%
Industrial Production

Aug

0.65

0.20

US

Consumer price index (mom)

% Change

Aug

--

0.50

India

RBI Repo rate

Sep 17

8.00

--

India

RBI Cash Reserve ratio

Sep 17

4.75

--

India

RBI Reverse Repo rate

Sep 17

7.00

--

September 18, 2012

UK

CPI (YoY)

% Change

Aug

2.60

--

September 19, 2012

US

Existing home sales

Millions

Aug

4.47

--

US

Housing Starts

Thousands

Aug

746.00

--

US

Building permits
Euro-Zone Consumer
Confidence

Thousands

Aug

811.00

--

Value

Sep A

(24.60)

--

September 07, 2012

September 09, 2012

September 13, 2012

September 14, 2012

India

September 17, 2012

September 20, 2012

Euro Zone

September 25, 2012

US

Consumer Confidence

September 26, 2012

US

September 27, 2012

Germany

Sep

60.60

--

New home sales

S.A./
1985=100
Thousands

Aug

372.00

--

Unemployment change (000's)

Thousands

Sep

9.00

--

US

GDP Qoq (Annualised)

% Change

2Q T

1.70

--

UK

GDP (YoY)

% Change

2Q F

(0.50)

--

October 01, 2012

China

PMI Manufacturing

Value

Sep

49.20

--

October 18, 2012

China

Real GDP (YoY)

% Change

3Q

7.60

--

November 15, 2012

Germany

GDP nsa (YoY)

% Change

3Q P

0.50

--

Source: Bloomberg, Angel Research

www.angelbroking.com

Market Strategy
September 4, 2012

Macro watch
Exhibit 1: Quarterly GDP trends

Exhibit 2: IIP trends

(%)

(%)

10.0

8.0

9.2

9.0

8.5

9.0

8.2
7.6

7.5

8.0

6.0
6.0

8.0

5.3 5.5

5.0

1.0

2.0

1QFY13

4QFY12

3QFY12

2QFY12

1QFY12

4QFY11

3QFY11

2QFY11

1QFY11

4QFY10

3QFY10

2QFY10

1QFY10

4QFY09
(%)

Mfg. PMI

Jun-12

May-12

Apr-12

Mar-12

Feb-12

Services PMI

58.0

9.5
7.7

8.0

Jan-12

(5.0)

60.0
9.9

(1.8)

(2.8) (0.9)

(6.0)

Exhibit 4: Manufacturing and services PMI

12.0
10.0

Dec-11

(4.0)

Source: MOSPI, Angel Research

Exhibit 3: Monthly WPI inflation trends

9.8

Nov-11

Oct-11

Sep-11

(2.0)

Source: CSO, Angel Research

Aug-11

3.5

3.0

6.9

7.4

7.7

7.5

7.6

7.3

56.0
6.9

Source: MOSPI, Angel Research

Jul-12

Jun-12

May-12

Apr-12

Mar-12

Feb-12

Jan-12

Dec-11

Nov-11

Sep-11

Source: Market, Angel Research; Note: Level above 50 indicates expansion

Exhibit 5: Exports and imports growth trends


Exports yoy growth

(%)

Jul-11

Jul-12

Jun-12

May-12

Apr-12

Mar-12

Feb-12

Jan-12

48.0

Dec-11

0.0

Nov-11

50.0

Oct-11

2.0

Sep-11

52.0

Aug-11

4.0

Oct-11

54.0

6.0

Aug-11

10.0

2.5

2.7

2.5

Jul-11

4.0

3.4

6.1

5.7

6.0

4.3

3.7

4.0

6.7

7.0

Exhibit 6: Key policy rates

Imports yoy growth

75.0

(%)
9.00

60.0

8.00

45.0

7.00

30.0

Repo rate

Reverse Repo rate

CRR

6.00

15.0

5.00

Source: Bloomberg, Angel Research

www.angelbroking.com

Source: RBI, Angel Research

Aug-12

Jul-12

Jun-12

May-12

Apr-12

Mar-12

Feb-12

Jan-12

Dec-11

Nov-11

Oct-11

Sep-11

Jun-12

May-12

Apr-12

Mar-12

Feb-12

Jan-12

4.00

Aug-11

(30.0)

Dec-11

Nov-11

Oct-11

Sep-11

Aug-11

(15.0)

Jul-11

0.0

Market Outlook
September 04, 2012

Stock Watch
Company Name

Reco

CMP

Target

Mkt Cap

Sales ( cr )

OPM(%)

EPS ( )

( )

Price ( )

( cr )

FY13E

FY14E

FY13E

FY14E

FY13E

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

Agri / Agri Chemical


Rallis

Neutral

135

2,631

1,466

1,686

14.8

14.8

7.0

8.1

19.3

16.7

4.1

3.5

22.6

22.5

1.8

1.6

United Phosphorus

Buy

119

170

5,502

8,421

9,263

16.5

16.5

15.0

17.0

8.0

7.0

1.2

1.0

15.6

15.5

0.8

0.7

Amara Raja Batteries

Accumulate

374

402

3,191

2,844

3,225

15.4

15.5

31.7

36.6

11.8

10.2

3.0

2.4

28.8

26.2

1.0

0.9

Apollo Tyres

Accumulate

92

99

4,617

13,412

15,041

11.0

11.0

11.5

14.2

8.0

6.5

1.4

1.2

18.7

19.4

0.5

0.4

Ashok Leyland

Buy

21

30

5,481

14,920

16,850

9.0

9.3

2.2

2.8

9.5

7.5

1.7

1.5

13.3

15.6

0.5

0.4

Automotive Axle

Buy

341

430

515

993

1,140

11.6

11.5

36.9

43.0

9.2

7.9

1.8

1.6

21.2

21.3

0.6

0.4

Bajaj Auto

Accumulate

1,664

1,698

48,164

21,285

23,927

18.2

18.3

108.5

121.3

15.3

13.7

6.4

5.1

46.1

41.3

1.8

1.5

Bharat Forge

Buy

279

351

6,503

7,004

7,985

16.2

16.4

20.3

25.1

13.7

11.2

2.6

2.2

20.0

20.9

1.1

0.9

Bosch India

Neutral

8,651

27,164

9,034

10,286

17.8

18.3

373.6

435.8

23.2

19.9

4.8

3.9

20.5

19.8

2.6

2.2

CEAT

Buy

110

164

376

4,989

5,634

8.7

8.5

32.7

41.1

3.4

2.7

0.5

0.4

15.8

16.9

0.3

0.2

Exide Industries

Accumulate

138

149

11,743

5,899

6,771

16.0

17.0

7.4

9.1

18.8

15.1

3.4

2.8

19.0

20.2

1.6

1.3

FAG Bearings

Neutral

1,589

2,640

1,505

1,747

17.7

18.0

111.5

130.0

14.3

12.2

3.0

2.4

22.8

21.7

1.5

1.2

Hero Motocorp

Buy

1,797

2,428

35,891

26,097

29,963

15.0

15.3

139.5

151.8

12.9

11.8

6.1

4.6

54.6

44.3

1.1

0.9

JK Tyre

Buy

107

135

439

7,517

8,329

6.1

6.3

26.2

38.5

4.1

2.8

0.5

0.4

13.4

17.2

0.3

0.3

Auto & Auto Ancillary

Mahindra and Mahindra Accumulate

757

879

46,497

36,536

41,650

11.6

11.5

49.3

54.9

15.4

13.8

3.2

2.7

22.1

21.1

1.0

0.9

1,159

1,227

33,483

42,887

49,079

5.5

6.6

66.8

87.6

17.3

13.2

2.0

1.8

12.1

14.1

0.6

0.5

Buy

190

228

7,462

24,173

27,055

6.6

7.1

11.7

15.2

16.3

12.5

3.4

2.8

22.4

24.2

0.5

0.4

Subros

Buy

27

34

163

1,230

1,378

8.8

8.6

4.5

5.7

6.0

4.8

0.6

0.6

9.8

11.8

0.4

0.3

Tata Motors

Buy

231

292

61,524 195,096 219,428

12.8

12.8

39.0

43.9

5.9

5.3

1.7

1.3

32.6

28.2

0.4

0.3

TVS Motor

Accumulate

37

43

1,739

7,545

8,301

6.2

6.1

4.9

5.4

7.4

6.8

1.3

1.2

18.8

18.2

0.2

0.2

Maruti

Accumulate

Motherson Sumi

Capital Goods
ABB*

Sell

720

498

15,264

8,760

10,023

5.5

7.5

12.4

20.7

58.0

34.7

5.6

4.9

10.1

15.2

1.7

1.5

BGR Energy

Neutral

258

1,865

3,669

4,561

11.0

11.0

24.7

29.6

10.5

8.7

1.5

1.4

15.3

16.7

0.5

BHEL

Neutral

216

52,978

47,801

43,757

19.4

19.8

25.7

23.9

8.4

9.1

1.8

1.6

22.7

18.3

1.0

0.8

Blue Star

Neutral

176

1,584

3,047

3,328

5.4

6.9

12.5

16.2

14.1

10.8

3.4

2.8

26.1

28.2

0.6

0.5

Crompton Greaves

Buy

107

128

6,842

12,691

14,096

7.0

8.5

6.5

9.1

16.4

11.7

1.8

1.6

11.1

14.2

0.6

0.5

Jyoti Structures

Buy

37

59

305

2,622

2,801

10.3

10.7

8.7

13.1

4.3

2.8

0.4

0.4

10.3

14.0

0.3

0.3

KEC International

Buy

56

69

1,449

6,858

7,431

7.5

8.3

9.0

11.5

6.3

4.9

1.1

0.9

26.9

27.2

0.3

0.3

LMW

Neutral

1,989

2,241

2,369

2,727

11.7

11.7

143.4

166.0

13.9

12.0

2.3

2.1

17.4

18.4

0.5

0.3

Thermax

Neutral

485

5,783

5,514

5,559

8.9

9.6

26.9

28.4

18.1

17.1

3.1

2.8

18.4

17.1

1.0

1.0

www.angelbroking.com

Market Outlook
September 04, 2012

Stock Watch
Company Name

Reco

CMP

Target

Mkt Cap

Sales ( cr )

OPM(%)

EPS ( )

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

( )

Price ( )

( cr )

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

Cement
ACC

Neutral

1,308

24,564

11,220

12,896

20.0

20.6

71.1

81.2

18.4

16.1

3.2

2.9

18.1

19.0

1.9

1.6

Ambuja Cements

Neutral

182

28,003

10,205

11,659

24.6

24.2

10.8

12.0

16.8

15.1

3.5

3.2

19.7

19.8

2.4

2.0

India Cements

Neutral

85

2,600

4,393

4,914

19.3

19.5

10.1

12.7

8.4

6.7

0.7

0.7

8.8

10.6

1.0

0.9

J K Lakshmi Cements

Neutral

96

1,177

1,964

2,278

19.5

20.4

16.3

17.9

5.9

5.4

0.9

0.8

14.7

14.6

0.8

1.1

Madras Cements

Neutral

182

4,335

3,608

3,928

27.4

26.9

15.6

18.1

11.7

10.1

1.8

1.6

16.8

16.9

1.8

1.5

Shree Cements

Neutral

3,359

11,702

5,767

6,337

28.4

26.9

216.9

253.3

15.5

13.3

5.3

4.6

24.7

23.4

1.5

1.2

UltraTech Cement

Neutral

1,666

45,659

20,167

22,752

21.7

23.0

90.8

107.8

18.3

15.5

18.3

15.5

1.9

1.7

250

304

1,316

2,014

2,293

22.4

22.4

22.6

26.7

11.1

9.4

1.2

1.1

11.4

11.9

2.5

2.8

Construction
Ashoka Buildcon

Buy

Consolidated Co

Neutral

14

255

2,262

2,522

6.7

7.5

1.5

2.7

9.3

5.2

0.4

0.4

4.4

7.5

0.4

0.4

Hind. Const.

Neutral

16

965

4,239

4,522

9.9

11.2

(2.3)

(1.0)

(7.0)

(16.5)

0.9

1.0

(11.4)

(5.6)

1.1

1.1

IRB Infra

Buy

128

166

4,258

3,964

4,582

42.3

40.2

15.5

16.9

8.3

7.6

1.3

1.1

16.6

15.8

2.6

2.5

ITNL

Buy

166

232

3,222

6,840

7,767

26.4

26.1

24.4

28.4

6.8

5.9

1.0

0.9

16.0

16.2

2.6

2.8

IVRCL Infra

Buy

39

61

1,192

5,510

6,722

8.8

9.0

2.5

4.6

15.3

8.5

0.5

0.5

3.4

5.8

0.7

0.6

Jaiprakash Asso.

Buy

64

91

13,609

15,259

17,502

25.7

24.7

4.2

5.0

15.1

12.8

1.2

1.2

8.5

9.3

2.2

2.0

Larsen & Toubro

Buy

1,353

1,553

83,064

60,474

69,091

12.1

11.5

79.7

85.4

17.0

15.9

2.9

2.5

16.3

15.1

1.5

1.3

Madhucon Proj

Buy

30

56

220

2,206

2,502

10.7

10.7

4.6

4.7

6.4

6.4

0.3

0.3

5.2

5.0

0.7

0.7

Nagarjuna Const.

Buy

33

45

842

5,804

6,513

8.0

8.6

3.0

3.5

10.8

9.4

0.3

0.3

3.2

3.6

0.6

0.6

Patel Engg.

Neutral

66

459

3,609

3,836

13.1

13.1

14.0

14.6

4.7

4.5

0.3

0.3

6.3

6.1

1.0

1.0

Punj Lloyd

Neutral

45

1,498

11,892

13,116

8.9

8.9

1.7

3.1

26.6

14.6

0.5

0.5

1.9

3.4

0.5

0.5

Sadbhav Engg.

Buy

129

182

1,942

2,789

3,147

10.6

10.7

8.4

10.4

15.3

12.4

2.1

1.8

15.0

15.6

0.9

0.8

Simplex Infra

Buy

194

265

960

6,732

7,837

8.1

8.4

23.5

29.4

8.3

6.6

0.8

0.7

9.6

11.0

0.5

0.4

Allahabad Bank

Accumulate

120

128

6,008

7,233

8,579

3.1

3.3

40.5

40.9

3.0

2.9

0.5

0.5

19.4

17.0

Andhra Bank

Neutral

91

5,098

4,959

5,787

3.1

3.1

22.7

24.5

4.0

3.7

0.6

0.6

16.0

15.3

Axis Bank

Buy

978

1,373

40,512

15,961

19,583

3.1

3.2

117.3

143.1

8.3

6.8

1.6

1.3

20.1

20.8

Bank of Baroda

Buy

628

829

24,581

15,830

19,300

2.6

2.7

118.9

147.1

5.3

4.3

0.8

0.7

16.7

18.0

Bank of India

Buy

256

323

14,686

13,159

15,851

2.4

2.5

61.1

71.1

4.2

3.6

0.7

0.6

16.6

17.0

Bank of Maharashtra

Neutral

Canara Bank

Buy

Central Bank

Neutral

Financials

www.angelbroking.com

44

2,591

3,471

3,889

3.1

3.1

9.0

11.5

4.9

3.8

0.6

0.6

13.7

15.5

320

421

14,156

11,334

13,629

2.2

2.3

75.4

85.1

4.2

3.8

0.6

0.6

15.2

15.3

66

4,855

7,181

8,365

2.5

2.7

16.3

21.8

4.0

3.0

0.7

0.6

12.7

15.1

Market Outlook
September 04, 2012

Stock Watch
Company Name

Reco

CMP

Target

Mkt Cap

Sales ( cr )

OPM(%)

EPS ( )

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

( )

Price ( )

( cr )

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

Financials
Corporation Bank

Buy

372

436

5,507

5,067

5,998

2.1

2.3

105.6

111.0

3.5

3.4

0.6

0.5

17.6

16.3

Dena Bank

Buy

87

107

3,060

3,177

3,595

2.8

2.8

25.2

25.4

3.5

3.5

0.6

0.5

18.9

16.4

Federal Bank

Accumulate

406

459

6,946

2,697

3,171

3.4

3.4

47.9

58.0

8.5

7.0

1.1

1.0

13.6

14.7

HDFC

Reduce

734

671

112,476

7,340

8,805

3.5

3.5

31.5

37.8

23.3

19.4

4.7

4.2

34.8

32.2

HDFC Bank

Neutral

590

139,258

21,936

27,454

4.4

4.4

28.7

36.0

20.6

16.4

3.9

3.3

20.7

22.0

ICICI Bank

Buy

903

1,169

103,848

22,356

27,157

2.9

3.0

68.7

82.0

13.2

11.0

1.6

1.5

14.2

15.5

IDBI Bank

Buy

85

101

10,847

7,952

9,876

1.9

2.2

18.5

23.6

4.6

3.6

0.6

0.5

12.8

14.7

Indian Bank

Buy

156

190

6,689

6,294

7,191

3.4

3.4

40.6

44.9

3.8

3.5

0.6

0.6

18.1

17.4

IOB

Buy

68

80

5,408

7,473

8,732

2.5

2.5

16.7

22.6

4.1

3.0

0.5

0.4

11.8

14.4

J & K Bank

Accumulate

905

1,026

4,385

2,625

2,921

3.6

3.5

194.4

191.9

4.7

4.7

0.9

0.8

21.2

18.0

LIC Housing Finance

Buy

239

279

12,084

1,867

2,338

2.4

2.4

21.1

28.5

11.4

8.4

1.9

1.6

17.5

20.4

Oriental Bank

Buy

223

278

6,500

6,518

7,458

2.8

2.9

61.3

65.1

3.6

3.4

0.5

0.5

15.2

14.3

Punjab Natl.Bank

Buy

669

950

22,705

20,116

23,625

3.3

3.4

152.8

173.9

4.4

3.9

0.8

0.7

18.2

18.0

South Ind.Bank

Buy

22

27

2,475

1,514

1,717

2.8

2.7

4.0

4.2

5.5

5.2

1.1

0.9

20.5

18.5

St Bk of India

Buy

1,849

2,270

124,090

64,470

75,940

3.5

3.5

224.4

258.7

8.2

7.2

1.4

1.2

17.6

17.8

Syndicate Bank

Buy

94

119

5,652

6,840

7,996

2.9

3.0

25.7

29.2

3.7

3.2

0.6

0.5

17.9

17.8

UCO Bank

Neutral

64

4,228

5,488

6,338

2.4

2.5

17.3

17.7

3.7

3.6

0.7

0.6

17.0

15.3

Union Bank

Buy

158

230

8,723

10,299

12,227

2.9

3.0

42.1

49.3

3.8

3.2

0.7

0.6

16.7

17.1

United Bank

Buy

50

79

1,818

3,634

4,194

2.8

2.9

18.2

23.0

2.8

2.2

0.4

0.4

15.0

16.7

Vijaya Bank

Neutral

47

2,344

2,579

3,028

2.1

2.3

8.8

11.6

5.4

4.1

0.6

0.6

11.1

13.3

Yes Bank

Buy

328

453

11,642

3,255

4,228

2.8

3.0

34.2

42.7

9.6

7.7

2.0

1.7

23.3

23.8

3,653

35,041

11,198

13,184

16.3

16.3

121.0

144.8

30.2

25.2

10.1

8.0

37.4

35.3

3.1

2.6

504

584

6,026

5,835

6,824

5.7

6.0

20.7

25.4

24.4

19.9

9.6

7.4

43.1

41.9

1.0

0.8

1,216

16,533

3,018

3,429

20.9

22.3

34.6

41.0

35.1

29.7

32.4

24.6

99.5

94.1

5.3

4.7

FMCG
Asian Paints

Neutral

Britannia

Buy

Colgate

Neutral

Dabur India

Neutral

125

21,795

6,124

7,030

17.0

16.8

4.5

5.2

28.0

24.2

11.5

9.1

43.2

41.5

3.5

3.0

GlaxoSmith Con*

Neutral

2,910

12,237

3,124

3,663

17.1

17.6

104.5

123.8

27.9

23.5

8.7

7.0

34.4

32.8

3.6

3.0

Godrej Consumer

Neutral

679

23,115

6,097

7,233

18.4

18.6

21.9

26.5

31.1

25.7

6.9

5.7

25.5

25.4

4.0

3.4

HUL

Neutral

515

111,380

25,350

28,974

13.9

13.9

14.3

16.5

36.1

31.3

21.5

16.6

70.9

59.8

4.2

3.6

ITC

Neutral

268

209,883

29,513

33,885

35.4

35.8

9.3

10.8

28.8

24.8

9.5

8.0

35.6

35.0

6.8

5.9

www.angelbroking.com

Market Outlook
September 04, 2012

Stock Watch
Company Name

Reco

CMP

Target

Mkt Cap

Sales ( cr )

( )

Price ( )

( cr )

FY13E

OPM(%)

EPS ( )

FY14E

FY13E

FY14E

FY13E

PER(x)

P/BV(x)

FY14E

FY13E

FY14E

FY13E

RoE(%)

EV/Sales(x)

FY14E

FY13E

FY14E

FY13E

FY14E

FMCG
Marico

Neutral

204

13,123

4,840

5,643

13.1

13.1

6.8

8.5

30.0

24.1

8.3

6.3

31.4

29.7

2.7

2.2

Nestle*

Neutral

4,601

44,361

8,610

10,174

20.9

21.2

114.8

139.8

40.1

32.9

24.2

16.8

71.2

60.3

5.3

4.4

Tata Global

Neutral

130

8,064

7,207

7,927

9.7

10.0

6.6

7.9

19.7

16.6

2.0

1.9

8.6

9.5

1.0

0.9

HCL Tech

Accumulate

556

585

38,541

24,400

27,049

18.6

17.5

41.1

45.0

13.5

12.3

3.0

2.6

22.7

21.1

1.5

1.3

Hexaware

Accumulate

125

133

3,710

1,947

2,161

22.0

21.4

11.4

12.1

11.0

10.3

2.8

2.4

26.4

24.0

1.6

1.4

Infosys

Accumulate

2,370

2,530

136,067

39,151

41,743

31.6

31.9

161.9

174.5

14.6

13.6

3.5

3.0

23.8

22.1

2.9

2.6

Infotech Enterprises

Neutral

181

2,018

1,889

2,065

18.0

17.5

18.0

19.7

10.0

9.2

1.5

1.3

14.5

13.7

0.7

0.6

KPIT Cummins

Neutral

128

2,280

2,149

2,331

15.6

14.8

10.7

11.2

11.9

11.4

2.5

2.0

20.6

17.8

1.0

0.9

Mahindra Satyam

Neutral

94

11,050

7,574

8,062

19.6

18.4

9.5

9.7

9.9

9.7

1.6

1.4

16.1

14.1

1.1

0.9

Mindtree

Accumulate

665

708

2,716

2,341

2,513

18.6

17.1

66.5

70.8

10.0

9.4

2.2

1.8

22.3

19.3

1.0

0.8

Mphasis

Neutral

382

8,026

5,704

6,009

18.6

17.7

36.0

37.1

10.6

10.3

1.5

1.3

14.0

12.6

0.9

0.8

NIIT

Buy

31

40

504

1,162

1,304

14.8

15.1

7.1

8.8

4.3

3.5

0.7

0.6

16.7

18.4

0.3

0.2

Persistent

Neutral

387

1,547

1,193

1,278

25.6

24.3

42.6

44.3

9.1

8.7

1.6

1.4

17.2

15.5

0.9

0.8

TCS

Neutral

1,339

261,974

61,046

67,507

29.3

29.1

67.3

72.4

19.9

18.5

6.3

5.2

31.9

28.3

4.1

3.7

Tech Mahindra

Accumulate

811

840

10,342

6,148

6,434

18.4

17.6

91.8

97.6

8.8

8.3

2.1

1.7

23.4

20.2

1.6

1.5

Wipro

Accumulate

365

420

89,727

43,492

48,332

19.4

19.3

25.1

28.0

14.5

13.0

2.7

2.3

18.6

18.0

1.8

1.5

D B Corp

Buy

189

236

3,463

1,597

1,785

22.9

24.2

11.1

13.9

17.0

13.6

3.2

2.8

20.2

22.1

2.1

1.8

HT Media

Buy

92

113

2,156

2,111

2,263

15.2

15.2

7.3

8.1

12.5

11.3

1.3

1.2

11.2

11.2

0.6

0.4

Jagran Prakashan

Buy

91

112

2,881

1,506

1,687

22.5

23.2

6.2

7.0

14.7

13.0

3.5

3.2

25.0

25.7

2.1

1.9

PVR

Neutral

186

482

625

732

17.4

17.1

13.3

15.6

13.9

11.9

1.5

1.3

13.2

13.8

1.2

1.0

Sun TV Network

Neutral

292

11,525

1,981

2,239

77.0

76.7

18.6

21.3

15.8

13.7

4.0

3.5

27.1

27.5

5.4

4.6

Bhushan Steel

Neutral

462

9,818

11,979

14,584

31.6

31.0

49.2

61.4

9.4

7.5

1.2

1.1

14.1

15.2

2.8

2.3

Coal India

Accumulate

360

385

227,673

69,808

75,550

27.4

27.4

26.0

28.3

13.9

12.8

4.0

3.3

32.5

28.1

2.3

1.9

Electrosteel Castings

Buy

18

23

616

1,984

2,074

11.2

12.6

2.5

2.9

7.2

6.2

0.3

0.1

5.1

5.7

0.5

0.5

Hind. Zinc

Buy

125

144

52,795

12,446

13,538

52.3

52.9

14.3

15.5

8.8

8.0

1.7

1.4

20.5

18.9

2.3

1.7

Hindalco

Neutral

104

19,902

84,855

92,446

8.7

9.3

13.2

16.2

7.9

6.4

0.6

0.6

7.8

8.9

0.6

0.5

JSW Steel

Neutral

670

14,947

38,740

41,459

17.3

17.0

79.9

89.4

8.4

7.5

0.8

0.8

10.4

10.6

0.8

0.8

MOIL

Accumulate

241

271

4,055

918

993

50.7

50.9

24.5

26.1

9.8

9.3

1.5

1.4

16.0

15.5

2.0

1.7

Monnet Ispat

Buy

291

379

1,869

2,511

3,303

23.8

26.0

46.3

57.3

6.3

5.1

0.7

0.6

12.4

13.7

1.7

1.2

IT

Media

Metals & Mining

www.angelbroking.com

Market Outlook
September 04, 2012

Stock Watch
Company Name

Reco

CMP

Target

Mkt Cap

( )

Price ( )

( cr )

50

12,822

187

214

74,081

Sales ( cr )
FY13E

OPM(%)

EPS ( )

FY14E

FY13E

FY14E

7,401

7,841

16.7

19.2

12,934

14,266

79.4

80.1

FY13E

PER(x)

P/BV(x)

RoE(%)

FY14E

FY13E

FY14E

FY13E

FY14E

3.4

4.1

14.5

12.2

1.1

1.0

21.1

23.4

8.9

8.0

2.4

1.9

FY13E

EV/Sales(x)

FY14E

FY13E

FY14E

7.4

8.4

1.3

1.2

29.6

26.5

4.0

3.4

Metals & Mining


Nalco

Neutral

NMDC

Accumulate

SAIL

Neutral

Sesa Goa

Accumulate

Sterlite Inds
Tata Steel

77

31,640

47,252

60,351

14.2

14.8

9.6

11.7

8.0

6.5

0.7

0.7

9.4

10.6

1.1

0.9

170

192

14,736

7,704

8,034

33.6

34.6

42.0

43.1

4.0

3.9

0.8

0.7

22.3

19.2

0.2

(0.2)

Buy

96

115

32,195

41,680

45,382

24.2

23.2

16.3

16.9

5.9

5.7

0.6

0.6

11.3

10.7

0.4

0.3

Buy

358

481

34,774 145,799 150,431

10.3

11.2

48.6

63.3

7.4

5.7

0.7

0.7

10.5

12.4

0.5

0.5

Sarda

Buy

117

148

419

1,251

1,321

22.7

23.4

33.0

37.1

3.5

3.2

0.5

0.4

15.1

14.8

0.7

0.6

Prakash Industries
Godawari Power and
Ispat
Oil & Gas

Buy

49

73

654

2,694

2,906

14.6

16.6

17.9

22.6

2.7

2.2

0.3

0.3

11.4

12.8

0.5

0.3

Buy

113

161

360

2,341

2,425

15.6

17.3

33.8

43.8

3.4

2.6

0.4

0.3

13.2

14.4

0.5

0.5

Cairn India

Accumulate

340

380

64,862

16,605

17,258

75.4

71.7

57.0

54.9

6.0

6.2

1.1

0.9

20.2

16.3

2.9

2.3

GAIL

Neutral

350

44,359

50,176

55,815

15.5

15.8

35.4

36.5

9.9

9.6

1.7

1.5

18.9

17.0

0.1

ONGC

Accumulate

273

312

233,437 147,139 154,821

33.9

33.7

30.7

32.3

8.9

8.5

1.5

1.4

18.3

17.2

1.3

1.2

Reliance Industries

Neutral

764

250,258 362,700 380,031

Gujarat Gas

Neutral

291

Indraprastha Gas

Neutral

239

3,350

Petronet LNG
Gujarat State Petronet
Ltd.
Pharmaceuticals

Buy

157

176

11,775

78

4,400

Alembic Pharma

Buy

70

91

Aurobindo Pharma

Buy

118

156

Aventis*

Neutral

2,189

Cadila Healthcare

Neutral

Cipla

Accumulate

Dr Reddy's

Neutral

Dishman Pharma

Reduce

GSK Pharma*

Neutral

Indoco Remedies

Buy

70

92

642

Ipca labs

Accumulate

447

475

5,631

Lupin

Accumulate

589

647

26,330

Orchid Chemicals

Neutral

111

783

Neutral

www.angelbroking.com

7.9

8.0

61.5

64.3

12.4

11.9

1.2

1.1

10.3

9.9

0.7

0.6

3,267

16.1

11.5

21.2

19.2

13.7

15.2

4.7

4.0

33.4

28.7

1.4

1.1

3,040

3,135

24.3

26.7

24.8

27.9

9.7

8.6

2.2

1.9

25.5

23.6

1.2

1.0

22,696

29,145

8.1

6.6

14.1

14.2

11.1

11.1

3.4

2.7

34.1

26.9

0.6

0.4

1,041

939

91.8

91.9

8.5

7.4

9.2

10.6

1.6

1.4

18.1

14.0

5.2

5.7

1,323

1,624

1,855

14.2

15.6

6.6

9.1

10.6

7.7

2.6

2.0

27.9

29.2

0.9

0.8

3,441

5,243

5,767

14.6

14.6

11.8

12.6

10.0

9.4

1.0

0.4

17.9

16.4

1.1

1.0

5,041

1,482

1,682

15.5

15.5

95.0

104.0

23.0

21.1

4.1

3.2

18.6

17.0

3.2

2.7

902

18,468

6,148

7,386

18.6

19.6

36.0

46.1

25.1

19.6

5.9

4.7

25.8

26.8

3.3

2.7

385

399

30,904

8,031

9,130

23.4

22.4

18.4

20.0

20.9

19.2

3.5

3.0

17.8

16.6

3.6

3.0

1,670

28,341

10,696

11,662

20.7

21.0

83.7

92.9

20.0

18.0

4.1

3.4

22.4

21.0

3.0

2.6

100

92

809

1,280

1,536

17.8

17.8

9.2

11.3

10.9

8.9

0.8

0.8

7.7

8.5

1.3

1.1

2,098

17,771

2,651

2,993

31.7

31.2

76.0

82.4

27.6

25.5

8.0

7.1

20.1

26.3

6.0

5.2

685

837

15.2

15.2

7.4

8.9

9.4

7.8

1.4

1.2

16.4

17.0

1.1

0.9

2,850

3,474

20.7

20.7

29.2

36.6

15.3

12.2

3.6

2.9

26.1

26.1

2.1

1.7

8,426

10,082

19.7

20.0

27.4

32.4

21.5

18.2

5.2

4.2

26.0

24.7

3.2

2.6

1,667

1,835

13.9

13.9

11.4

13.3

9.8

8.4

0.6

0.6

6.6

7.3

0.9

0.8

3,738

2,472

Market Outlook
September 04, 2012

Stock Watch
Company Name

Reco

CMP

Target

Mkt Cap

Sales ( cr )

OPM(%)

EPS ( )

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

( )

Price ( )

( cr )

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

FY13E

FY14E

Pharmaceuticals
Ranbaxy*

Neutral

570

24,061

12,046

11,980

18.0

15.8

35.7

29.8

16.0

19.1

6.2

5.0

39.1

28.9

2.0

1.9

Sun Pharma

Neutral

667

69,013

9,752

12,134

41.6

41.6

26.0

28.2

25.7

23.7

4.8

4.1

20.3

18.8

6.3

4.9

CESC

Accumulate

303

342

3,784

5,218

5,644

24.2

23.8

44.6

47.6

6.8

6.4

0.7

0.7

11.0

10.6

1.0

1.1

GIPCL

Accumulate

NTPC

Neutral

Power
70

77

1,065

1,557

1,573

29.3

28.7

10.8

11.0

6.5

6.4

0.7

0.6

10.8

10.2

1.1

1.0

169

139,637

74,111

85,789

23.2

23.6

12.4

14.0

13.7

12.1

1.7

1.6

13.0

13.5

2.6

2.4

Real Estate
Anant Raj

Buy

DLF

Neutral

44

78

1,300

657

875

52.0

56.1

8.4

12.7

5.2

3.5

0.3

0.3

6.3

8.9

3.3

2.5

195

33,070

9,878

12,033

44.7

46.1

9.6

13.4

20.3

14.5

1.3

1.2

6.4

8.7

5.9

HDIL

Buy

4.8

67

115

2,805

2,441

3,344

55.1

48.2

22.7

26.6

3.0

2.5

0.3

0.2

8.8

9.4

3.0

MLIFE

2.3

Accumulate

348

396

1,420

813

901

26.2

26.6

32.0

37.1

10.9

9.4

1.1

1.0

10.4

11.0

2.1

1.8

Bharti Airtel

Neutral

247

93,780

79,542

87,535

30.9

32.2

10.3

15.0

24.0

16.4

1.7

1.6

7.2

9.6

1.9

1.6

Idea Cellular

Neutral

75

24,675

22,988

25,333

26.4

26.9

3.5

4.9

21.5

15.3

1.7

1.6

8.1

10.2

1.5

1.3

Rcom

Neutral

48

9,887

21,553

22,494

31.0

30.7

3.5

4.5

13.8

10.8

0.3

0.3

1.9

2.4

2.0

1.8

Abbott India

Neutral

1,598

3,395

1,602

1,833

10.4

11.8

54.7

71.7

29.2

22.3

5.5

4.7

20.0

22.7

1.9

1.6

Bajaj Electricals

Buy

170

234

1,694

3,569

4,172

8.1

8.8

16.3

21.3

10.4

8.0

2.1

1.8

21.7

24.6

0.5

0.4

Cera Sanitaryware

Neutral

350

443

396

470

16.7

16.5

28.0

33.2

12.5

10.5

2.6

2.1

23.8

23.1

1.2

1.0

Cravatex

Buy

412

785

106

302

364

5.7

6.0

49.0

71.0

8.4

5.8

2.5

1.8

29.8

30.7

0.5

0.4

CRISIL

Neutral

927

6,501

982

1,136

34.3

34.3

34.3

40.0

27.0

23.2

12.2

9.8

50.9

46.9

6.1

5.1

Finolex Cables

Buy

36

61

552

2,334

2,687

8.8

9.3

7.6

10.2

4.7

3.5

0.6

0.5

13.7

16.1

0.2

0.1

Force Motors

Buy

425

591

554

2,214

2,765

4.5

5.4

39.5

73.9

10.8

5.8

0.5

0.4

4.4

7.6

0.1

0.1

Goodyear India

Accumulate

320

370

738

1,543

1,646

8.1

9.2

32.3

39.4

9.9

8.1

2.0

1.7

21.7

22.4

0.3

0.2

Graphite India

Buy

77

113

1,509

2,158

2,406

18.1

18.9

12.4

14.0

6.2

5.5

0.8

0.8

14.0

14.3

0.8

0.7

Greenply Industries

Buy

190

309

458

1,925

2,235

10.6

10.9

29.6

44.1

6.4

4.3

1.1

0.9

16.8

21.0

0.5

0.4

HEG

Accumulate

201

229

803

1,586

1,685

17.9

18.1

16.1

25.7

12.5

7.8

0.9

0.9

7.5

11.6

1.2

1.1

Hitachi

Accumulate

114

130

261

868

977

3.9

6.6

2.7

10.9

41.5

10.5

1.5

1.3

3.7

13.6

0.4

0.3

Honeywell Automation

Buy

2,481

2,842

2,193

1,847

2,162

4.3

7.3

61.0

120.0

40.7

20.7

3.2

2.8

9.3

16.3

1.1

0.9

INEOS ABS India

Buy

643

744

1,131

1,056

1,081

8.1

10.6

33.8

46.5

19.0

13.8

2.6

2.2

14.7

17.5

1.0

0.9

ITD Cementation

Accumulate

229

241

264

1,451

1,669

12.3

12.4

32.4

41.5

7.1

5.5

0.6

0.6

9.4

10.9

0.6

0.6

Jyothy Laboratories

Reduce

153

145

2,465

1,248

1,468

9.8

10.4

5.9

7.2

25.8

21.3

3.7

3.4

15.0

16.6

2.4

2.0

MCX

Buy

1,168

1,440

5,956

553

624

65.3

66.3

62.5

72.0

18.7

16.2

5.1

4.4

27.5

27.4

7.6

6.3

Telecom

zOthers

www.angelbroking.com

Market Outlook
September 04, 2012

Stock Watch
Company Name

Reco

CMP

Target

Mkt Cap

Sales ( cr )

OPM(%)

EPS ( )

( )

Price ( )

( cr )

FY13E

FY14E

FY13E

10,090

12,884

4,279

11,804

12,727

10.4

10.5 1,289.9 1,431.3

7.8

7.1

3,024

3,373

887

1,108

18.3

18.6

95.0

120.9

31.9

25.0

FY14E

FY13E

PER(x)

FY14E

FY13E

P/BV(x)

FY14E

FY13E

RoE(%)

EV/Sales(x)

FY14E

FY13E

FY14E

FY13E

FY14E

1.5

1.3

21.3

19.4

0.5

0.4

16.6

13.5

57.4

59.5

3.9

3.1

zOthers
MRF

Buy

Page Industries

Neutral

Relaxo Footwears

Accumulate

632

684

758

1,019

1,208

12.3

13.0

51.0

68.4

12.4

9.2

3.3

2.4

30.3

30.2

0.9

0.7

Sintex Industries

Buy

54

79

1,470

4,751

5,189

16.3

16.6

13.6

15.8

4.0

3.4

0.5

0.5

12.9

13.2

0.7

0.5

Siyaram Silk Mills

Buy

293

392

274

1,042

1,173

12.4

12.5

66.3

78.5

4.4

3.7

0.9

0.7

21.1

20.8

0.5

0.4

S. Kumars Nationwide

Buy

19

38

575

7,279

8,290

20.5

20.5

13.4

16.3

1.5

1.2

0.2

0.2

12.3

13.1

0.7

0.6

SpiceJet

Buy

30

43

1,460

5,720

6,599

5.3

6.8

3.6

5.4

8.4

5.6

12.1

3.8

0.4

0.3

TAJ GVK

Buy

64

108

400

300

319

35.8

36.2

7.9

9.1

8.1

7.0

1.1

1.0

13.9

14.4

1.6

1.4

Tata Sponge Iron

Buy

289

424

446

787

837

16.2

17.5

58.5

66.9

5.0

4.3

0.7

0.6

14.9

15.1

0.2

0.1

TVS Srichakra

Accumulate

318

335

244

1,476

1,643

7.1

8.2

24.7

42.8

12.9

7.4

1.6

1.3

16.6

24.8

0.4

0.3

United Spirits

Neutral

987

12,903

10,289

11,421

13.5

14.3

31.0

42.9

31.8

23.0

2.5

2.3

8.1

10.3

1.9

1.7

Vesuvius India

Neutral

351

713

560

611

16.1

17.0

24.7

28.8

14.2

12.2

2.1

1.9

15.8

16.2

1.2

1.1

Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on September 03, 2012

www.angelbroking.com

Market Outlook
September 04, 2012

www.angelbroking.com