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2
Fundamental Market Update
August 2020
Economic recovery led rally expected to continue
Expectations of further improvement in economic activities along with the
possibility of a vaccine sometimes by end of 2020 or early 2021 has led to the
rally becoming more broad based recently. While we see continued momentum in
sectors with strong revenue visibility like IT, Pharma and Telecom, beaten down
sectors like aviation, hotels and retail have also started out performing the
markets. We expect the recovery theme to play out over the next few quarters and
are adding Chalet Hotels, Inox Leisure, Hawkins cooker and VIP industries to the
portfolio. These companies belong to the worst impacted sector but are market
leaders with strong business franchises and available at prices which are
significantly below their pre Covid levels.
Sectors with revenue visibility will continue to outperform markets
Though the rural, essential and digital theme have played out along expected lines
since the beginning of the crisis we believe that there are is a clear case for further
upsides in most sectors given revenue visibility and strong growth prospects. We
expect rural focused sectors like Agrochemicals, two wheelers and tractors along
with IT Pharma and Telecom will continue to do well given strong demand
dynamics.
Current phase of global rally led by improvement in economic activities
Global markets have recovered sharply from the lows in March with the S&P 500
at all time highs and is currently trading ~8% higher than its Jan closing levels.
While the initial phase of the rally from the March lows was led by fed induced
liquidity the second phase of the rally from July was driven by improvement in the
global economy.
While India too has witnessed improvement in economic activities from April lows
we are still well behind most developed countries in terms of recovery to pre Covid
levels. However pent up demand along with inventory buildup prior to the festive
season and gradual opening up of the services sector should lead to further
improvement in economic activities over the next couple of months.
Increase in recovery rate coupled with improved visibility on vaccine is positive
While there has been a surge in new cases in India post unlocking there has also
been a sharp increase in recovery rates to over 75% along with drop in mortality
rates. Moreover there has been positive development on the vaccine front with
three promising vaccine which are at various stages of development and markets
are building in the possibility that vaccination could start in the beginning of 2021.
Leading to rally in cyclical and beaten downs sectors on recovery hopes
Market rally has become broader based due to positive news flow on vaccine and
expectations of continued economic recovery due to pent up demand and further
opening of the services sector. While we expect that cyclical and beaten down
sectors will continue out performing markets for some more time we believe that
one should take a stock specific approach and buy into the leaders in the sector
which have strong business franchises.
Key risks which can derail the recovery rally are 1) Delay in vaccine production as
compared to timelines expected by markets 2) Growth faltering significantly as
compared to market expectations post festive season.
Top Picks
Company
CMP (`)
TP (`)
Auto
Endurance Technologies
1,093
1,297
Swaraj Engines
1,634
1,891
Banking/NBFC
Cholamandalam Inv
241
280
IDFC First Bank
32
36
Chemicals/Agro Chemicals
PI Industries
1,982
2,416
FMCG
Britannia Industries
3,827
4,220
IT
Persistent Systems
1,050
1,276
Zensar Technologies
178
204
Pharma & Healthcare
Alembic Pharma
1,002
1,400
Metropolis Healthcare
1,790
2,156
Telecom/ Others
Chalet Hotels
165
200
Hawkins cooker
4,918
5,682
Inox Leisure
294
350
JK Lakshmi cement
280
328
Reliance Industries
2,112
2,366
VIP Industries
303
348
Source: Company, Angel Research
Note: Closing price as on 27th August,2020
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3
Fundamental Market Update
August 2020
Sectors with revenue visibility have outperformed markets post
Covid-19
The Covid -19 outbreak globally this year had an unprecedented impact on global
economy and markets. As the rapid spread of the virus risked overwhelming
healthcare in various countries given the infectious nature of the disease only
option was to implement strict social distancing measures. However such measures
brought the world to a virtual standstill and hurt the global economy substantially.
Given the lockdowns significant portion of the economy barring a few were
adversely impacted. Therefore sector specific investment strategy was the key in
such unprecedented times with a clear focus on sectors which were either
1. Rural Focused
2. Essential in nature
3. Benefitted from adoption of work from home (Digital)
Sectors like FMCG and Pharma which are essential in nature were amongst the
least impacted sectors. While FMCG companies did face same headwinds due to
distribution related issues, Pharma sector posted a good set of numbers for
Q1FY21 led by surge in exports.
Exhibit 1: Essential sectors have been the first to recover
Sector
Recovery in Q1FY21*
Current status**
Comment
FMCG
~95%
~100%
FMCG being an essential item had limited impact due to covid-19
though discretionary demand was impacted adversely.
Pharma
>100%
>100%
Pharma sector benefitted from Covid -19 due to Increase in demand
for API along with strong growth in US/EU markets
Source: Company, Angel Research; *Revenues as a percentage of Q1FY20, ** Revenues in Jul/Aug as per management interaction
Rural focused sectors also continued to do well though two wheeler and tractor
numbers were adversely impacted due to total lockdown in the month of April
which had led to zero sales for the month. However as the lockdowns were relaxed
we saw strong sequential improvement in sales in June and July. Agrochemicals
did extremely well due to bumper Rabi crop and increased food grain procurement
by the Government which has led to improvement in rural income.
Exhibit 2: Rural focussed sectors also delivered
Sector
Recovery in Q1FY21*
Current status**
Comment
Agrochemicals
>100%
>100%
Due to government support in the initial phase of lockdown and on the
expectation of normal monsoon, demand is robust for this sector
2 wheelers
~38.0%
~88%
Strong demand from rural India, down trading, greater focus on personal
mobility along with pent up demand to drive growth for the sector
Tractors
~78%
~100%
Strong demand momentum, aided by positive sentiments due to good
Rabi crop, normal monsoon and higher spending by Government
Source: Company, Angel Research; * Revenues as a percentage of Q1FY20, ** Revenues in Jul/Aug as per management interaction
Lockdown due to Covid-19 crisis had
an adverse impact on most part of
the economy
As expected sectors with strong
revenue visibility have outperformed
markets
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Fundamental Market Update
August 2020
As expected Telecom sector was one of the biggest beneficiary due to the
increased adoption of work from home which led to a data boom. Similarly IT
companies too managed to seamlessly adapt to work from home while demand
side impact was less than feared initially.
Exhibit 3: It and telecom also posted better than expected numbers for Q1
Sector
Recovery in Q1FY21*
Current status**
Comment
IT
>100%
>100%
Companies expected to post sequential growth from Q2 onwards driven by
Strong demand due to greater adoption of digital technologies
Telecom
>100%
>100%
We expect sector will continue to do well on the back of increased data
consumption. Jio and Airtel will continue to gain market share.
Source: Company, Angel Research; * Revenues as a percentage of Q1FY20, ** Revenues in Jul/Aug as per management interaction
Sectors with revenue visibility will continue to do well
Though the rural, essential and digital theme have played out along expected lines
since the beginning of the crisis we believe that there are is a clear case for further
upsides in most sectors given revenue visibility and strong growth prospects.
Continues strength in the rural economy on the back of a good monsoon along
with pent up demand bodes well for Agrochemicals, two wheelers and tractors.
While FMCG should continue to witness good demand upsides would be limited
for the sector given rich valuations.
Similarly we expect IT sector will continue to do well as demand environment
continues to remain robust due to greater adoption of digital technologies.
Telecom is also expected to continue doing well given increased demand for data
and gradual increase in ARPUs due to consolidation in the industry.
Exhibit 4: List of recommended stocks with strong revenue visibility
Company
CMP (`)
Target (`)
Rationale
Alembic Pharma
1,002
1,400
We expect growth in demand for Indian API to continue along with recovery
in domestic market and growth in US markets led by new launches.
Britannia
3,827
4,220
We expect healthy growth and profitability on the back of increase in
market share, strong brand, wide distribution network and new product
launches.
Endurance Technologies
1,093
1,297
Pent up demand along with consumer preference for personal
transportation is expected to act as tailwinds for domestic 2W, which would
benefit Endurance
Pi Industries
1,982
2,416
We remain positive on the company given strong demand for
Agrochemicals and continued traction in the CSM business
Swaraj engine
1,634
1,891
Strong recovery in the tractor industry (due to robust Rabi crop production,
hike in MSP & the forecast of a normal monsoon) will benefit players like
Swaraj Engines.
Source: Company, Angel Research
We expect agrochemicals, two
wheeler, IT, telecom and tractors will
continue to do well
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5
Fundamental Market Update
August 2020
Second phase of global rally led by economic recovery
Global markets have recovered sharply from the lows in March with the S&P 500
at all time highs and is currently trading ~8% higher than its Jan closing levels.
While the initial phase of the rally from the March lows was led by fed induced
liquidity the second phase of the rally from July was driven by recovery in the
underlying economy which is reflected in high frequency data points like the PMI
numbers, Retail sales and Industrial production data.
Europe has staged a bounce back as lockdowns were eased - Europe was
amongst the first of the developed economies to witness a surge in infections in
March after China. As a result many countries like France, Spain & Italy
implemented nationwide lockdowns which led to a sharp fall in aggregate
demand. However as social distancing norms were gradually eased from May
there was a rebound in the economy led by pent up demand.
Exhibit 5: German retail sales above pre Covid levels
Source: Company, Angel Research, Bloomberg
Exhibit 6: UK retail sales also above pre Covid levels
Source: Company, Angel Research, Bloomberg
US economy also improving despite a surge in infections in July – The US too
continued reporting improvement in the underlying economy despite resurgence of
new Covid-19 cases in the US. Despite many states deferring or rolling back their
reopening plans the US economy continued to improve contrary to expectations
which were reflected in better industrial production and retail sales numbers. The
US economy is expected to continue improving over the next few months as
reopening plan gets back on track due to drop in new cases.
Exhibit 7: US Retail sales remained strong in July
Source: Company, Angel Research, Bloomberg
Exhibit 8: Manufacturing too recovering with a lag
Source: Company, Angel Research, Bloomberg
-1.2
5.8
3.5
3.9
2.1
3.2
2.3
2.7
6.6
0.5
-5.9
3.8
6
-8
-6
-4
-2
0
2
4
6
8
Jun-19
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20
May-20
Jun-20
Germany Retail Sales growth YoY (%)
3.6
2.7
2.7
3.1
0.6
0.6
0.9
-0.1
-6.1
-22.7
-12.9
-1.6
1.4
-25
-20
-15
-10
-5
0
5
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20
May-20
Jun-20
Jul-20
UK Retail Sales growth YoY (%)
3.6
4.3
4
3.3
3.3
5.6
4.9
4.5
-5.6
-19.9
-5.6
1.1
2.7
-25
-20
-15
-10
-5
0
5
10
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20
May-20
Jun-20
Jul-20
US Retail sales growth YoY (%)
1.0
0.4
0.3
-0.2
-0.8
-0.4
-0.8
-0.9
-0.2
-4.8
-16.3
-15.4
-10.6
-7.9
-18.0
-16.0
-14.0
-12.0
-10.0
-8.0
-6.0
-4.0
-2.0
0.0
2.0
Jun-19
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20
May-20
Jun-20
Jul-20
US Industrial production (% YoY)
Global economy has improved
significantly since bottoming out in
April
US economy improved in July
contrary to expectations
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Fundamental Market Update
August 2020
India - Full blown recovery yet to happen
India which had implemented one of the strictest lockdowns globally was amongst
the last to be impacted and therefore amongst the last to recover. As the unlock
process was started the economy started gaining traction from the second half of
June as supply chain issues were sorted out. The India economy continued to
improve through July which was reflected in high frequency data points like PMI
numbers, auto sales numbers and cement & steel production
Auto companies reported another month of strong sequential growth with Maruti
Suzuki reporting a 1.1% yoy increase in July domestic sales as compared to a
53.7% degrowth in June. Similarly Hero Motocorp also reported a 14% sequential
growth in motorcycle sales.
Exhibit 9: 2 wheeler sales almost at pre Covid levels
Source: Company, Angel Research, SIAM * Hero, Bajaj & Eicher motors
Exhibit 10: PV sales posted strong sequential growth
Source: Company, Angel Research, SIAM
Cement and steel production data also point to continued improvement
sequentially. Cement demand has rebounded strongly led by pent up demand and
was down by just 7% YoY in Jun’20. Steel production has also been improving
though at a slower pace and is down 26% YoY in July.
Exhibit 11: Cement production has improved sharply
Source: Company, Angel Research, SIAM, MOSPI
Exhibit 12: Steel production also improving gradually
Source: Company, Angel Research, World steel organization
Despite the slowdown in the last few days of July we expect that the economy will
continue to improve from here on given pent up demand which along with
inventory buildup prior to the festive season and gradual opening up of the
services sector should lead to further improvement in economic activities over the
next couple of months.
11.9
12.0
13.1
13.9
11.7
9.8
11.2
11.1
7.2
0.0
3.0
9.4
10.5
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20
May-20
Jun-20
Jul-20
2 Wheelers Sales numbers (Lakhs) *
1.6
1.4
1.4
1.6
2.0
1.9
1.7
1.9
1.7
1.0
0.0
0.2
0.8
1.4
0.0
0.5
1.0
1.5
2.0
2.5
Jun-19
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20
May-20
Jun-20
Jul-20
4 Wheelers Sales lakhs (Maruti,Hyundai,M&M)
28.1
24.5
25.1
26.2
27.2
30.5
31.4
30.7
24.9
4.3
22.4
26.3
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20
May-20
Jun-20
Cement Production (mn Tonne)
9.6
9.6
9.0
9.3
9.8
10.4
9.8
10.0
8.2
2.1
5.8
6.6
7.2
0.0
2.0
4.0
6.0
8.0
10.0
12.0
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20
May-20
Jun-20
Jul-20
Steel Production (mn Tnonne)
India too has recovered since bottom
in April though full blown recovery
yet to happen
Pent up demand and further opening
of economy will provide further
impetus to economy
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7
Fundamental Market Update
August 2020
Increase in recovery rate coupled with improved visibility on
vaccine is providing confidence to markets
With the Government easing restrictions in a phased manner since Unlock 1.0 in
June there has been a surge in new Covid-19 cases in India. However the surge in
cases may be partially attributable to increased testing which is leading to more of
asymptotic cases also being recognized which were probably not being counted
before.
This is reflected in higher recovery rates and lower death rates in India despite the
surge in new Covid-19 cases. Recovery rate in India has improved to over 75%
and is expected to improve further. Moreover there has been positive development
on the vaccine front as there are three promising vaccine which are at advanced
stages of development and there is a very high possibility that vaccination could
start in the beginning of 2021.
Exhibit 13: Promising vaccines in advanced stages of development
Sno
Country
Company / Institute
Name of Vaccine
Current Status
Expected Timelines
1
USA
Moderna
mRNA-1273
Phase 3 Human trials
Result of Phase 3 in October 2020
2
UK
University of Oxford
Adenovirus vaccine vector
Phase 3 Human trials
Production as soon as October 2020
3
Russia
Gamaleya Research Inst.
Gam-Covid-Vac Lyo
Phase 3 Human trials
Start of Production by end of year
Source: Angel Research, nytimes.com
Leading to rally in cyclical and beaten downs sectors on recovery
hopes
The Government had already been easing restrictions in a phased manner since
Unlock 1.0 in June. While growth remained strong through most of July there was
some tapering off towards the last 10 days as various states imposed localized
lockdowns due to sharp surge in Covid-19 cases.
However most of the localized lockdowns in large metros have been withdrawn as
the Covid-19 situation seems to be improving in India. Due to lockdowns in April
and May there is pent up demand which along with inventory buildup prior to the
festive season and gradual opening up of the services sector should lead to further
improvement in economic activities over the next couple of months.
Expectations of improvement in economic activities due to easing of restrictions
along with the possibility of a vaccine sometimes by the end of 2020 or early 2021
has led to the rally becoming more broad based recently. We are seeing continued
participation from cyclical sectors like Auto, construction and consumer durables
while beaten down sectors like aviation, hotels, retail and real estate have also
recently started out performing the markets.
Promising news flow on vaccine
development is encouraging
Low mortality rates despite surge in
new cases is positive
Rally to be more broad based due to
expectations of continued economic
recovery
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8
Fundamental Market Update
August 2020
Exhibit 14: Worst impacted sectors are also reporting improvement in activity levels
Sector
Recovery in Q1FY21*
Current status**
Comment
Consumer durables
~51%
90%+
Seen decent sales recovery in July and August 20 due to pent-up demand.
However there could be slowdown post festive season
Aviation/Hotels
9%/17%
15%/35%
Aviation demand expected to remain muted in the near future. However hotel
sector is witnessing increase in occupancy in June and July
PV
~23%
~97%
Pent up demand and inventory push prior to festive season should lead to
improvement in demand over next few months
Cement
~68%
~90%
Sector expected to reach pre Covid levels demand from Q3FY21. Despite
lower volumes, companies able to maintain EBIDTA/tonne
Consumer discretionary
(Retailing /Footwear
/Liquor /Luggage/)
48% /41% /38% /
8%
60% /80% /85%
/20%
Expect slow recovery in Consumer discretionary segment due to slowdown in
economy. However, we expect quick recovery low-ticket size items and liquor
segment
Multiplex
0%
0%
It will take months for the industry to come back at pre covid level although
stocks are trading attractive valuation.
Infrastructure
~65%
~80%
Strong order book and robust balance sheet will be crucial for the companies
during covid-19 times. We expect private capex to be muted at least for next
few months.
Realty
~42%
~60%
Expected muted demand for residential sector though commercial continues
to do comparatively better with over 95% collection efficiency
Source: Company, Angel Research * Revenues as a percentage of Q1FY20, ** Revenues in Jul/Aug as per management interaction
As we expect that the recovery theme is expected to play out over the next few
quarters we are taking exposure to market leaders from few of the worst impacted
sectors which have very strong business franchises and are available at prices
which are significantly below their pre Covid levels. While few of the companies
are most likely to incur losses for a few more quarters we expect business to
normalize for them by the second half of FY2022.
Exhibit 15: Recommended stocks in recovery theme
Company
CMP (`)
Target (`)
Rationale
Chaet Hotel
165
200
Company has posted strong sequential Revpar growth in July and future
improvement is expected over next few months led by increased occupancy
Inox Leisure
294
350
Share prices have corrected more than 40% as all theatres are closed down
due to covid-19 issue. Although, long term fundamentals are intact. Covid-19
can lead to further consolidation in the industry.
Hawkins Cookers
4,912
5,682
Gaining market share with peer, strong demand post Covid-19 and increase
in penetration of cooking gas to drive higher growth
JK Lakshmi Cement
280
328
It is trading at a significant discount compared to other north based cement
company such as JK Cement as well as historical valuation.
VIP Industries
303
348
Market leader (~50%+ share) with strong brand and wide distribution
network. Recent correction provides investment opportunity in high quality
stock from long term perspective
Source: Company, Angel Research
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Fundamental Market Update
August 2020
Exhibit 16: Top Picks
Company
CMP (`)
TP (`)
Rationale
Auto
Endurance Technologies
1,093
1,297
Pent up demand and consumer preference for personal transportation is
positive for domestic 2W companies, which would benefit Endurance.
Swaraj Engines
1,634
1,891
Strong recovery in the tractor industry (due to robust Rabi crop, hike in MSP
& a normal monsoon) will benefit players like Swaraj Engines.
BFSI
Cholamandalam Inv.
241
280
Diversified product mix will help capture growth in LCV, tractor and 2W
segment. Adequate capital adequacy (20%+) and declined trend in Cost of
fund and strong parentage provide comfort.
IDFC First Bank
32
36
We believe efforts to built retail liability franchise, fresh capital infusion and
provision taken on the wholesale book will help to tide over this difficult
time.
Chemicals/Agro Chemicals
PI Industries
1,982
2,416
We remain positive on the company given strong demand for
Agrochemicals and continued traction in the CSM business.
FMCG
Britannia Ind
3,827
4,220
We expect healthy growth and profitability on the back of increase in
market share, wide distribution network and new product launches.
IT
Persistent Systems
1,050
1,276
Company has won deals worth USD 150mn in Q1Y21 and management
has highlighted strong deal pipeline which will drive growth in H2FY21.
Zensar Technologies
178
204
We expect strong sequential growth in Q2FY21 driven by ramp up of
existing projects and limited exposure to sectors like retail and Oil & gas.
Pharma & Healthcare
Alembic Pharma
1,002
1,400
We expect growth in demand for Indian API to continue along with recovery
in domestic market and growth in US markets led by new launches.
Metropolis Healthcare
1,790
2,156
We are positive on the company given expected long term growth rates of
~15% CAGR, stable margins profile and moderating competitive intensity.
Telecom/ Others
Chalet Hotels
165
200
Company has posted strong sequential revpar growth in July and future
improvement is expected over next few months led by increased occupancy.
Hawkins cooker
4,918
5,682
Gaining market share with peer, strong demand post Covid-19 and
increase in penetration of cooking gas to drive higher growth.
Inox Leisure
294
350
Share prices have corrected more than 40% as all theatres are closed down
due to covid-19 issue. Although, long term fundamentals are intact. Covid-
19 can lead to further consolidation in the industry.
JK Lakshmi Cement
280
328
It is trading at a significant discount compared to other north based cement
company such as JK Cement as well as historical valuation.
Reliance Industries
2,112
2,366
Digital and retail business to be key growth driver for the company. Spin off
and investment by strategic investor in O2C business is key monitarable.
VIP Industries
303
348
Market leader (~50%+ share) with strong brand and wide distribution
network. Recent correction provides investment opportunity in high quality
stock from long term perspective
Source: Company, Angel Research
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10
Fundamental Market Update
August 2020
Exhibit 17: Top Picks Valuation Table
Market Cap
(` Cr)
CMP
(`)
Sales
(`)
PAT
(`)
ROE
(%)
P/E
(x)
FY21
FY22
FY21
FY22
FY21
FY22
FY21
FY22
Auto
Endurance Technologies
15,367
1,093
5,884
7,465
281
608
8.7
16.2
54.7
25.3
Swaraj Engines
1,983
1,634
711
899
64
86
16.2
17.1
31.0
23.1
Chemicals/Agro Chemicals
PI Industries
30,079
1,982
4,411
5,514
661
833
20.3
20.9
45.5
36.1
FMCG
Britannia Ind
91,125
3,827
13,269
14,624
1,712
1,753
30.5
29.8
53.2
52.0
IT
Persistent Systems
8,024
1,050
4,159
4,756
415
488
15.4
15.9
19.3
16.4
Zensar Technologies
4,001
178
4,059
4,558
319
384
12.5
14.3
12.5
10.4
Pharma & Healthcare
Alembic Pharma
19,689
1,002
5,595
6,188
980
981
24.4
21.0
20.1
20.1
Metropolis Healthcare
9,072
1,790
920
1,156
144
217
23.0
27.4
63.1
41.8
Telecom/Others
Chalet Hotels
3,377
165
484
995
(73)
83
(4.6)
4.9
NA
40.9
Hawkins cooker
2,600
4,918
575
728
51
77
32.5
42.4
51.0
33.8
Inox Leisure
3,024
294
628
2,153
(146)
162
NA
14.5
NA
18.7
JK Lakshmi Cement
3,288
280
3,793
4,306
223
278
14.5
12.3
14.7
11.8
Reliance Industries*
13,387
2,112
3,342
4,241
264
420
5.7
8.7
50.8
31.8
VIP Industries
4,288
303
808
1,650
(136)
108
NA
19.6
NA
39.7
Source: Company, Angel Research * RIL standalone numbers (market cap, revenues & PAT in ‘00’ crore)
Exhibit 18: Top Picks Valuation Table – Banking/NBFC
Particular
Market Cap
(` Cr)
CMP
(`)
NII
(` Cr)
PAT
(` Cr)
EPS
(`)
ROE
(%)
P/BV
(x)
FY21
FY22
FY21
FY22
FY21
FY22
FY21
FY22
FY21
FY22
IDFC First Bank
18,095
32
6,939
8,121
90
1530
0.2
2.7
0.5
8.0
1.1
1.0
Cholamand. Inv. & Fin
19,732
241
3,783
3,962
987
1346
12.0
17.0
11.5
14.1
2.2
2.0
1.1
1.0
Source: Company, Angel Research
Note: CMP is Closing price as of 27
th
Aug, 2020
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August 2020
Research Team Tel: 022 - 39357800 E-mail: [email protected] Website: www.angelbroking.com
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over 12 months investment period): Reduce (-5% to -15%) Sell (< -15)
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August 2020