Market Outlook

September 11, 2017

Market Cues

Domestic Indices

Chg (%)

(Pts)

(Close)

Indian markets are likely to open positive tracking global indices and SGX Nifty.

BSE Sensex

0.1

31,688

US markets had a mixed session as concerns due to hurricane Irma as well as a

Nifty

0.0

9,935

possible North Korean nuclear test made investors cautious. A report from the

Commerce Department showed that wholesale inventories rose by 0.6 percent in

Mid Cap

(0.4)

(69)

15,755

July against an expectation of an increase of 0.4 percent. The NYSE Arca Natural

Small Cap

(0.1)

(13)

16,325

Gas and the Philadelphia Oil Service Indices fell by 2.8 and 1.8 percent respectively

as crude oil prices fell by 1.6$ per barrel to $47.48 per barrel.

Bankex

0.0

27,491

UK stocks fell during Friday’s trade a continuation in the weak performance shown

Global Indices

Chg (%)

(Pts)

(Close)

during the week. Mining stocks showed weakness as Chinese export data acted as a

source of negative sentiment. Antofagasta, BHP Billiton and Anglo American

Dow Jones

0.1

113

21,798

dropped by 4.11, 3.77 and 3.36 percent respectively.

Nasdaq

(0.6)

(38)

6,360

Indian markets closed on Friday with a mixed session. Mid and small cap stocks

FTSE

(0.3)

(19)

7,378

moved slightly lower during the session on profit booking. The capital goods index

Nikkei

(0.6)

(122)

19,275

had a strong session and closed up 1.9 percent. The healthcare index closed down

0.9 percent.

Hang Seng

0.5

146

27,668

Shanghai Com

(0.0)

(0)

3,365

News Analysis

 Biocon targets $1 bln in revenues by FY19

Advances / Declines

BSE

NSE

Detailed analysis is on Pg2

Advances

1,111

1,692

Declines

1,545

1,002

Investor’s Ready Reckoner

Unchanged

124

Key Domestic & Global Indicators

Stock Watch: Latest investment recommendations on 150+ stocks

Volumes (` Cr)

Refer Pg7 onwards

BSE

3,799

Top Picks

NSE

26,292

CMP

Target

Upside

Company

Sector

Rating

(`)

(%)

Blue Star

Capital Goods

Accumulate

792

807

1.8

#Net Inflows (` Cr)

Net

Mtd

Ytd

Dewan Housing FinanceFinancials

Accumulate

544

610

12.1

FII

(5(303)

(2(3,409)

4143,87

Mahindra Lifespace

Real Estate

Buy

445

522

17.4

MFs

8531

4,1,890

1470,77

Navkar Corporation

Others

Buy

198

265

33.9

KEI Industries

Capital Goods

Accumulate

275

290

5.3

More Top Picks on Pg5

Top Gainers

Price (`)

Chg (%)

Geshipm

418

7.4

Key Upcoming Events

Consensus

Jswenergy

7.3

Date

Region

Event Description

Reading

Expectations

Sreinfra

117

6.0

Sep 11, 2017 China

Consumer Price Index (YoY)

1.40

1.60

Exideind

220

5.9

Sep 11, 2017 India

Exports YoY%

3.94

Sep 12, 2017 UK

Jobless claims change

(4.20)

Igl

1,382

5.3

Sep 12, 2017 UK

CPI (YoY)

2.60

2.80

Sep 13, 2017 India

Industrial Production YoY

(0.10)

1.70

Top Losers

Price (`)

Chg (%)

More Events on Pg7

Dishtv

276

(4.2)

Icil

117

(4.1)

Network18

(3.7)

Bajfinance

1,893

(3.4)

M&M

1,295

(3.3)

#as on 08^th Sep, 2017

www.angelbroking.com

Market Outlook

September 11, 2017

News Analysis

Biocon targets $1 bln in revenues by FY19

Biocon is betting big on small molecules and generic formulations, biosimilars,

branded formulations and research services as it targets $1 billion revenue by the

next fiscal. The company has been chasing this target since 2011 and has

identified these verticals as its key focus areas. Biocon had posted a revenue of

`4,078.7cr in FY17.

To achieve the revenue target, the company expects meaningful near-term growth

in biosimilars that from emerging markets and by increasing their presence in post

developed markets.

Biocon expects that the growth drivers would be supplemented by addition of new

offerings such as products, services and partnerships to help the company achieve

its target of $1 billion revenues by FY19.

Economic and Political News

 Domestic hotel industry room revenue to rise 11-13 per cent over the next 5

years: CARE

 Trade deficit may narrow to $10.3 bln in Aug: Morgan Stanley

 Forex reserves increase by $3.572 bln during the week, touches a record high

of $ 398.122 bln

Corporate News

 SAIL posts 7 percent increase in sales at 5.5 mln tonnes in the first five months

of FY18

 Amrutanjan Healthcare to expand direct distribution network from 2,40,000

outlets to 3,00,000 by the end of FY18

 GMR Infrastructure to seek shareholders approval to raise up `2,500cr

www.angelbroking.com

Market Outlook

September 11, 2017

Top Picks

Market Cap

CMP

Target

Upside

Company

Rationale

(` Cr)

(`)

(%)

Strong growth in domestic business due to its leadership

in acute therapeutic segment. Alkem expects to launch

Alkem Laboratories

21,370

1,787

2,161

20.9

more products in USA, which bodes for its international

business.

We expect the company would report strong profitability

Asian Granito

1,360

452

490

8.4

owing to better product mix, higher B2C sales and

amalgamation synergy.

Favorable outlook for the AC industry to augur well for

Cooling products business which is out pacing the

Blue Star

7,588

792

807

1.8

market growth. EMPPAC division's profitability to improve

once operating environment turns around.

With a focus on the low and medium income (LMI)

consumer segment, the company has increased its

Dewan Housing Finance

17,067

544

610

12.1

presence in tier-II & III cities where the growth

opportunity is immense.

Loan growth is likely to pick up after a sluggish FY17.

Karur Vysya Bank

9,034

150

160

7.0

Lower credit cost will help in strong bottom-line growth.

Increasing share of CASA will help in NIM improvement.

High order book execution in EPC segment, rising B2C

KEI Industries

2,143

275

290

5.3

sales and higher exports to boost the revenues and

profitability

Speedier execution and speedier sales, strong revenue

Mahindra Lifespace

2,281

445

522

17.4

visibility in short-to-long run, attractive valuations

Expected to benefit from the lower capex requirement

Music Broadcast

2,156

378

434

14.9

and 15 year long radio broadcast licensing.

Massive capacity expansion along with rail advantage at

Navkar Corporation

2,823

198

265

33.9

ICD as well CFS augurs well for the company

Strong brands and distribution network would boost

Siyaram Silk Mills

2,071

2,209

2,500

13.2

growth going ahead. Stock currently trades at an

inexpensive valuation.

Market leadership in Hindi news genre and no.

viewership ranking in English news genre, exit from the

TV Today Network

1,613

270

344

27.2

radio business, and anticipated growth in ad spends by

corporates to benefit the stock.

After GST, the company is expected to see higher

volumes along with improving product mix. The Gujarat

Maruti Suzuki

2,40,842

7,973

8,544

7.2

plant will also enable higher operating leverage which

will be margin accretive.

Source: Company, Angel Research

www.angelbroking.com

Market Outlook

September 11, 2017

Key Upcoming Events

Global economic events release calendar

Bloomberg Data

Date

Time

Country

Event Description

Unit

Period

Last Reported

Estimated

Sep 11, 2017

7:00 AMChina

Consumer Price Index (YoY)

% Change

Aug

1.40

1.60

India

Exports YoY%

% Change

Aug

3.94

Sep 12, 2017

2:00 PMUK

Jobless claims change

% Change

Aug

(4.20)

2:00 PMUK

CPI (YoY)

% Change

Aug

2.60

2.80

Sep 13, 2017

5:30 PMIndia

Industrial Production YoY

% Change

Jul

(0.10)

1.70

Producer Price Index (mom)

% Change

Aug

(0.20)

Sep 14, 2017

6:00 PMUS

Initial Jobless claims

Thousands

Sep 9

298.00

7:30 AMChina

Industrial Production (YoY)

% Change

Aug

6.40

6.60

12:00 PMIndia

Monthly Wholesale Prices YoY%

% Change

Aug

1.88

3.15

6:00 PMUS

Consumer price index (mom)

% Change

Aug

0.10

0.30

4:30 PMUK

BOE Announces rates

% Ratio

Sep 14

0.25

Sep 15, 2017

6:45 PMUS

Industrial Production

Aug

0.19

0.10

Sep 18, 2017

2:30 PMEuro Zone

Euro-Zone CPI (YoY)

Aug F

1.50

Sep 19, 2017

6:00 PMUS

Housing Starts

Thousands

Aug

1,155.00

1,148.00

7:30 PMUS

Existing home sales

Million

Aug

5.44

5.49

Sep 20, 2017

6:00 PMUS

Building permits

Thousands

Aug

1,230.00

1,205.00

11:30 PMUS

FOMC rate decision

Sep 20

1.25

Sep 21, 2017

7:30 PMEuro Zone

Euro-Zone Consumer Confidence

Value

Sep A

(1.50)

Sep 22, 2017

1:00 PMGermany

PMI Services

Value

Sep P

53.50

1:00 PMGermany

PMI Manufacturing

Value

Sep P

59.30

Sep 26, 2017

7:30 PMUS

Consumer Confidence

S.A./ 1985=100

Sep

122.90

7:30 PMUS

New home sales

Thousands

Aug

571.00

Sep 28, 2017

6:00 PMUS

GDP Qoq (Annualised)

% Change

2Q T

3.00

Sep 29, 2017

1:25 PMGermany

Unemployment change (000's)

Thousands

Sep

(5.00)

6:30 AMChina

PMI Manufacturing

Value

Sep

51.70

Source: Bloomberg, Angel Research

www.angelbroking.com

Market Outlook

September 11, 2017

Macro watch

Exhibit 1: Quarterly GDP trends

Exhibit 2: IIP trends

(%)

5.7

10.0

6.0

9.1

8.8

4.9

9.0

5.0

8.0

7.9

7.6

7.5

3.8

8.0

7.3

7.2

4.0

7.0

3.0

2.6

2.8

7.0

6.1

3.0

5.7

1.9

6.0

2.0

5.0

1.0

4.0

3.0

(0.1)

(1.0)

Source: CSO, Angel Research

Source: MOSPI, Angel Research

Exhibit 3: Monthly CPI inflation trends

Exhibit 4: Manufacturing and services PMI

56.0

Mfg. PMI

Services PMI

(%)

6.0

54.0

5.1

52.0

5.0

4.3

4.2

3.9

50.0

3.6

3.7

4.0

3.4

3.2

3.0

48.0

3.0

2.4

2.2

46.0

2.0

1.5

44.0

1.0

42.0

40.0

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

Source: MOSPI, Angel Research

Exhibit 5: Exports and imports growth trends

Exhibit 6: Key policy rates

(%)

Exports yoy growth

Imports yoy growth

(%)

Repo rate

Reverse Repo rate

CRR

60.0

6.50

50.0

6.00

40.0

5.50

30.0

5.00

20.0

4.50

10.0

4.00

0.0

(10.0)

3.50

(20.0)

3.00

Source: Bloomberg, Angel Research

Source: RBI, Angel Research

www.angelbroking.com

Market Outlook

September 11, 2017

Exhibit 4: Relative performance of indices across globe

Returns (%)

Country

Name of index

Closing price

1YR

Brazil

Bovespa

73,079

7.6

16.4

22.7

Russia

Micex

2,033

2.9

7.9

0.6

India

Nifty

9,935

(1.2)

2.8

12.8

China

Shanghai Composite

3,365

3.6

7.2

10.0

South Africa

Top 40

49,274

(0.6)

7.7

5.3

Mexico

Mexbol

50,084

(2.3)

1.9

7.8

Indonesia

LQ45

976

1.0

2.0

3.8

Malaysia

KLCI

1,780

0.3

0.2

5.8

Thailand

SET 50

1,046

4.4

5.9

8.5

USA

Dow Jones

21,798

(1.3)

2.9

20.5

FTSE

7,378

(2.2)

(2.0)

10.1

Japan

Nikkei

19,275

(3.6)

(3.2)

13.9

Germany

DAX

12,304

1.2

(3.0)

18.6

France

CAC

5,113

(0.6)

(2.4)

18.0

Source: Bloomberg, Angel Research

www.angelbroking.com

Stock Watch

September 11, 2017

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 )

FY18E FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

Agri / Agri Chemical

Rallis

Reduce

222

209

4,307

1,873

2,099

15.0

9.5

10.5

23.3

21.1

3.5

3.2

15.8

16.0

2.2

2.0

United Phosphorus

Neutral

813

41,311

18,922

21,949

18.0

18.5

36.2

45.6

22.5

17.8

4.7

3.9

22.7

23.8

2.3

2.0

Auto & Auto Ancillary

Ashok Leyland

Accumulate

115

127

33,670

23,339

27,240

10.1

10.8

4.7

6.2

24.8

18.5

4.9

4.4

20.0

23.6

1.4

1.2

Bajaj Auto

Accumulate

2,914

3,151

84,317

23,936

27,955

19.5

20.1

142.7

167.3

20.4

17.4

4.4

4.0

21.8

22.8

3.1

2.6

Bharat Forge

Neutral

1,162

27,041

7,637

8,755

21.7

23.2

36.1

47.3

32.2

24.6

5.8

4.9

18.5

20.8

3.4

2.9

Eicher Motors

Neutral

32,629

88,824

19,043

22,837

19.5

19.9

835.4

1,019.0

39.1

32.0

14.6

11.2

40.9

37.8

4.5

3.7

Gabriel India

Neutral

206

2,959

1,782

2,033

9.7

10.2

7.1

8.9

29.0

23.3

5.9

5.0

21.0

22.2

1.6

1.4

Hero Motocorp

Neutral

3,959

79,060

32,239

36,878

16.0

15.6

184.4

206.5

21.5

19.2

6.7

5.9

31.3

30.7

2.2

1.9

Jamna Auto Industries Neutral

252

2,011

1,441

1,662

14.4

14.8

13.9

17.6

18.2

14.3

5.0

4.0

30.0

31.0

1.4

1.2

Mahindra and Mahindra Neutral

1,295

80,413

46,971

53,816

13.6

14.0

67.7

79.8

19.1

16.2

2.7

2.4

15.0

15.9

1.6

1.3

Maruti

Accumulate

7,973

8,544

240,842

81,825

101,245

15.0

283.5

356.0

28.1

22.4

6.1

5.0

21.9

22.4

2.6

2.0

Minda Industries

Neutral

873

7,540

4,328

5,084

11.0

11.9

27.3

36.4

32.0

24.0

6.8

5.3

23.1

25.6

1.8

1.5

Motherson Sumi

Neutral

328

69,113

55,937

64,445

10.8

11.4

16.9

21.1

19.4

15.6

4.3

4.4

25.2

25.4

1.3

1.1

Tata Motors

Neutral

375

108,290

303,167

343,649

11.8

13.8

33.1

54.7

11.3

6.9

1.9

1.5

16.9

23.0

0.4

0.3

TVS Motor

Neutral

635

30,187

13,992

16,216

9.0

9.4

17.1

20.3

37.3

31.3

9.9

7.7

29.7

27.7

2.1

1.8

Amara Raja Batteries

Accumulate

796

858

13,590

6,140

7,122

14.3

15.6

29.3

39.0

27.2

20.4

4.6

3.9

17.1

19.0

2.2

1.9

Exide Industries

Neutral

220

18,658

8,689

9,854

15.1

15.2

9.7

11.0

22.8

20.0

4.0

3.6

15.7

16.1

1.9

1.6

Apollo Tyres

Neutral

252

12,845

15,739

17,326

13.3

14.6

20.4

26.7

12.4

9.5

1.5

1.3

20.4

26.7

1.0

0.9

Ceat

Neutral

1,724

6,975

6,661

7,717

11.1

14.2

116.2

178.2

14.8

9.7

2.6

2.1

15.2

21.3

1.2

1.0

JK Tyres

Neutral

145

3,290

8,318

9,239

16.2

16.4

21.0

27.5

6.9

5.3

1.3

1.1

19.1

20.4

0.8

0.7

Swaraj Engines

Neutral

2,030

2,522

788

889

16.4

16.5

71.6

81.0

28.4

25.1

8.2

7.6

29.6

31.0

2.9

2.5

Subros

Neutral

247

1,484

1,855

2,135

11.6

11.8

10.3

14.7

24.1

16.9

3.7

3.1

15.8

19.1

1.0

0.9

Capital Goods

BEML

Neutral

1,856

7,728

4,286

5,194

7.1

8.2

42.9

58.1

43.3

31.9

3.6

3.2

7.6

8.7

1.9

1.5

Bharat Electronics

Neutral

188

42,026

10,258

12,470

19.6

19.5

7.3

8.6

25.8

21.9

0.5

0.4

20.4

21.9

3.6

2.9

Voltas

Neutral

536

17,722

6,778

8,004

9.6

11.0

17.1

22.4

31.3

23.9

7.5

6.6

17.7

19.8

2.3

1.9

BHEL

Neutral

128

31,280

33,200

39,167

6.8

9.5

6.2

11.2

20.6

11.4

1.0

0.9

4.6

8.0

0.5

0.4

Blue Star

Neutral

792

7,588

5,101

5,997

6.0

7.0

17.9

26.6

44.3

29.8

9.4

8.6

21.9

29.0

1.5

1.3

CG Power and Industrial

Neutral

5,459

6,555

7,292

7.5

0.8

8,710.0

108.9

1.4

0.1

1.2

0.9

0.8

Solutions

Greaves Cotton

Neutral

147

3,586

1,778

1,993

14.7

15.1

8.1

9.1

18.1

16.1

4.1

3.8

21.8

23.6

1.8

1.6

www.angelbroking.com

Stock Watch

September 11, 2017

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 )

FY18E FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

Capital Goods

KEC International

Neutral

313

8,051

9,779

11,113

9.4

9.8

14.2

18.2

22.1

17.2

4.2

3.5

21.1

22.1

1.1

1.0

KEI Industries

Accumulate

275

290

2,143

3,001

3,391

10.0

13.0

16.1

21.2

17.1

3.9

3.2

18.2

18.7

0.9

0.8

Thermax

Neutral

879

10,474

4,125

4,747

10.3

10.8

26.7

31.5

32.9

27.9

3.7

3.4

11.2

12.0

2.3

2.0

VATech Wabag

Accumulate

619

681

3,377

3,867

4,126

9.6

10.0

34.9

39.8

17.7

15.5

2.9

2.5

17.7

17.5

0.9

0.8

Cement

ACC

Neutral

1,793

33,666

12,255

13,350

13.5

14.3

58.0

66.2

30.9

27.1

3.7

3.4

11.5

12.2

2.7

2.5

Ambuja Cements

Neutral

282

55,906

10,250

11,450

17.5

19.0

7.2

8.3

39.1

33.9

2.8

2.6

7.0

7.8

5.2

4.6

India Cements

Neutral

183

5,647

6,135

6,750

14.8

15.2

8.5

11.5

21.6

15.9

1.1

1.0

4.8

6.2

1.3

1.1

JK Cement

Neutral

1,023

7,154

4,150

4,775

19.2

20.0

49.0

63.5

20.9

16.1

3.3

2.8

17.0

18.5

2.2

1.8

J K Lakshmi Cement

Neutral

423

4,980

3,422

3,757

15.5

17.0

13.5

23.2

31.4

18.2

3.3

2.8

10.8

15.5

1.9

1.6

Orient Cement

Neutral

159

3,257

2,215

3,233

16.8

17.0

5.9

6.9

27.0

23.0

2.1

1.9

10.8

10.1

2.5

1.6

UltraTech Cement

Neutral

4,127

113,290

28,250

35,150

20.2

23.5

77.5

122.2

53.3

33.8

4.5

4.1

9.6

14.8

4.5

3.6

Construction

KNR Constructions

Neutral

203

2,852

1,846

2,203

14.5

12.1

13.7

16.8

14.9

0.9

0.8

17.5

16.7

1.6

1.3

Larsen & Toubro

Neutral

1,172

164,186

95,787

109,476

10.2

11.6

44.5

50.8

26.4

23.1

3.3

3.0

12.9

13.1

2.3

2.0

Gujarat Pipavav Port

Neutral

134

6,468

739

842

61.6

62.7

5.1

6.2

26.2

21.8

3.3

3.2

12.7

14.9

8.2

7.1

PNC Infratech

Accumulate

134

143

3,438

2,040

2,935

13.0

6.4

9.0

20.9

14.9

0.5

9.7

12.2

1.7

1.2

Simplex Infra

Neutral

450

2,226

6,012

6,619

11.6

11.7

21.1

31.0

21.4

14.5

1.5

1.4

6.5

8.6

0.9

0.8

Sadbhav Engineering

Neutral

284

4,876

3,823

4,426

10.7

10.8

10.3

11.8

27.6

24.1

3.3

2.9

10.1

10.5

1.6

1.4

NBCC

Neutral

209

18,792

9,099

12,706

6.4

7.3

9.6

28.7

21.8

1.3

1.0

27.5

30.5

1.9

1.4

MEP Infra

Neutral

100

1,622

2,403

2,910

18.3

16.8

2.4

6.1

42.4

16.4

16.1

10.9

35.2

55.8

1.8

1.5

SIPL

Neutral

100

3,520

2,060

2,390

46.8

47.7

(5.8)

(3.1)

3.7

4.3

(14.2)

(2.3)

6.5

6.1

Engineers India

Neutral

160

10,775

1,795

2,611

21.1

22.4

5.9

8.1

27.1

19.7

1.9

12.9

16.1

4.4

2.8

Financials

Axis Bank

Buy

493

580

118,261

32,558

35,843

3.5

3.2

27.8

41.0

17.7

12.0

1.9

1.7

11.4

14.9

Bank of Baroda

Neutral

137

31,521

22,533

26,079

2.4

12.0

20.9

11.4

6.6

0.7

6.6

11.0

Canara Bank

Neutral

332

19,815

17,925

20,235

2.0

2.1

18.5

36.5

17.9

9.1

0.7

0.6

3.4

6.2

Can Fin Homes

Neutral

2,861

7,617

586

741

3.5

107.8

141.0

26.5

20.3

5.8

4.7

24.1

25.6

Cholamandalam Inv. &

Accumulate

1,161

1,230

18,143

2,826

3,307

6.3

53.7

64.6

21.6

18.0

3.7

3.1

18.3

18.9

Fin. Co.

Dewan Housing Finance Accumulate

544

610

17,067

2,676

3,383

2.4

2.7

37.4

49.7

14.6

11.0

1.9

1.7

13.8

16.2

Equitas Holdings

Buy

172

235

5,836

1,125

1,380

9.6

9.8

1.5

6.0

114.8

28.7

2.6

2.4

8.2

Federal Bank

Accumulate

111

125

21,646

4,896

5,930

2.8

3.1

5.4

7.6

20.7

14.7

1.8

1.6

8.5

11.0

www.angelbroking.com

Stock Watch

September 11, 2017

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 )

FY18E FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

Financials

HDFC Bank

Neutral

1,788

461,553

55,236

63,253

4.5

4.4

68.9

82.4

26.0

21.7

4.5

3.8

18.7

18.5

ICICI Bank

Accumulate

292

315

187,326

42,361

51,378

3.6

3.9

18.4

25.7

15.9

11.4

1.7

11.3

15.0

Karur Vysya Bank

Accumulate

150

160

9,034

3,289

3,630

3.7

3.9

10.8

14.1

13.8

10.6

1.7

1.5

12.5

14.7

LIC Housing Finance

Neutral

659

33,267

4,895

6,332

3.4

3.7

50.7

66.8

13.0

9.9

2.6

2.1

21.7

23.8

Punjab Natl.Bank

Neutral

138

29,355

23,708

25,758

2.1

5.9

16.4

23.5

8.4

0.7

3.0

8.3

RBL Bank

Neutral

537

20,369

2,309

2,888

2.6

2.5

16.4

19.1

32.8

28.2

4.1

3.7

13.3

13.8

Repco Home Finance

Buy

666

825

4,167

496

597

4.4

4.2

38.5

48.7

17.3

13.7

3.1

2.6

19.6

20.6

South Ind.Bank

Neutral

5,179

3,195

3,567

3.0

3.1

3.0

3.8

9.5

7.5

1.0

0.8

10.5

11.9

St Bk of India

Neutral

272

234,749

105,827

121,056

2.4

2.5

16.1

25.6

16.9

10.6

1.3

1.2

6.6

9.9

Union Bank

Neutral

131

9,531

14,650

16,225

2.3

23.1

32.5

5.7

4.0

0.4

7.1

9.2

Yes Bank

Neutral

1,789

81,878

11,088

13,138

3.0

2.9

84.0

99.3

21.3

18.0

3.3

2.8

16.3

16.8

FMCG

Akzo Nobel India

Neutral

1,823

8,745

3,164

3,607

13.8

13.7

58.6

67.9

31.1

26.8

7.6

6.7

24.5

25.1

2.6

2.3

Asian Paints

Neutral

1,203

115,358

17,603

20,615

18.6

2,128.9

2,543.3

0.6

0.5

11.9

10.0

28.0

28.9

6.4

5.4

Britannia

Neutral

4,291

51,517

9,690

11,278

14.8

15.4

84.0

101.0

51.1

42.5

18.6

14.8

40.6

39.0

5.3

4.5

Colgate

Neutral

1,157

31,458

4,420

5,074

24.9

25.3

28.6

32.8

40.4

35.3

16.0

12.9

43.8

40.5

6.9

5.9

Dabur India

Neutral

307

54,105

8,346

9,344

19.6

19.9

7.8

9.0

39.4

34.1

7.9

7.2

25.2

24.8

6.1

5.3

GlaxoSmith Con*

Neutral

5,175

21,764

5,072

5,760

18.2

18.4

176.3

199.2

29.4

26.0

6.2

5.6

21.2

21.7

3.6

3.1

Godrej Consumer

Neutral

923

62,873

10,171

11,682

20.8

21.5

21.7

27.1

42.5

34.1

9.6

8.2

22.3

23.4

6.3

5.4

HUL

Neutral

1,207

261,198

37,077

41,508

20.3

21.8

5,189.9

6,318.5

0.2

36.8

31.4

74.8

82.0

6.9

6.2

ITC

Neutral

272

331,853

44,588

49,853

37.0

37.3

9.6

11.0

28.4

24.8

7.0

6.6

25.1

27.3

6.9

6.2

Marico

Neutral

325

41,998

6,788

7,766

18.5

19.2

7.1

8.5

45.8

38.3

16.0

13.7

36.9

38.0

6.0

5.3

Nestle*

Neutral

7,195

69,369

10,083

11,182

20.0

20.9

119.7

141.3

60.1

50.9

211.8

193.6

36.7

39.8

6.6

5.9

Tata Global

Neutral

207

13,045

7,121

7,641

11.9

12.3

6.9

8.0

30.0

25.8

2.0

1.9

6.8

7.2

1.6

1.5

Procter & Gamble

Neutral

8,350

27,105

3,034

3,579

27.1

27.7

167.7

198.8

49.8

42.0

13.4

11.5

28.8

29.5

8.4

7.0

Hygiene

HCL Tech^

Buy

860

1,014

122,778

52,342

57,053

20.9

62.8

67.6

13.7

12.7

3.1

2.6

22.4

20.6

2.0

1.7

Infosys

Buy

884

1,179

203,144

73,963

80,619

26.0

64.4

69.3

13.7

12.8

2.7

2.5

19.7

19.6

2.2

1.9

TCS

Accumulate

2,470

2,651

486,725

127,403

138,870

27.6

144.5

156.0

17.1

15.8

5.1

4.7

29.7

29.8

3.5

3.1

Tech Mahindra

Buy

430

533

41,954

31,015

33,496

15.0

35.6

38.1

12.1

11.3

2.1

1.9

17.0

16.3

1.1

1.0

Wipro

Neutral

300

146,195

58,536

61,858

20.3

18.2

19.1

16.5

15.7

2.6

2.2

14.6

13.4

2.4

2.3

www.angelbroking.com

Stock Watch

September 11, 2017

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 )

FY18E FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

Media

D B Corp

Neutral

374

6,876

2,404

2,625

30.5

31.5

23.7

26.9

15.8

13.9

3.7

3.2

23.5

22.8

2.7

2.5

HT Media

Neutral

102

2,381

2,589

2,830

15.1

15.4

8.3

10.9

12.3

9.4

1.0

0.9

8.4

10.4

0.5

0.3

Jagran Prakashan

Buy

177

225

5,783

2,541

2,835

28.5

28.7

12.7

14.1

13.9

12.6

2.9

2.5

21.3

21.4

2.1

1.8

Sun TV Network

Neutral

807

31,799

3,238

3,789

51.9

55.1

30.9

38.0

26.1

21.2

7.5

6.5

30.0

31.0

9.3

7.9

Hindustan Media

Neutral

265

1,945

1,002

1,074

23.3

23.5

29.2

33.8

9.1

7.8

1.4

1.2

15.6

15.4

0.9

0.7

Ventures

TV Today Network

Buy

270

344

1,613

667

727

27.7

18.6

20.1

14.5

13.5

2.3

15.6

17.3

1.9

1.8

Music Broadcast Limited Accumulate

378

434

2,156

271

317

91.0

109.0

6.0

10.0

63.0

37.8

3.9

3.6

6.5

9.3

7.5

6.2

Metals & Mining

Coal India

Neutral

254

157,948

82,301

91,235

17.0

18.0

17.1

20.5

14.9

12.4

2.8

2.6

45.0

55.0

1.6

1.4

Hind. Zinc

Neutral

304

128,619

22,108

24,555

57.0

58.0

22.1

26.3

13.8

11.6

4.5

3.6

32.0

35.0

4.8

4.0

Hindalco

Neutral

249

55,922

102,350

105,355

13.5

14.5

21.5

24.5

11.6

10.2

1.6

1.4

15.0

15.2

1.1

JSW Steel

Neutral

263

63,500

64,500

68,245

21.1

21.5

20.1

21.2

13.1

12.4

2.4

2.1

1.7

1.6

NMDC

Neutral

135

42,554

10,209

11,450

47.0

48.0

11.1

12.1

11.1

1.7

1.6

3.7

3.3

SAIL

Neutral

26,040

54,100

63,555

3.0

10.0

(10.0)

1.5

42.0

0.8

1.5

1.3

Vedanta

Neutral

330

122,705

81,206

87,345

28.0

29.0

26.5

33.5

12.5

9.9

2.8

2.4

2.3

1.9

Tata Steel

Neutral

656

63,663

121,445

126,500

16.2

17.2

65.4

81.3

10.0

8.1

1.6

1.4

1.0

0.9

Oil & Gas

GAIL

Neutral

379

64,160

53,115

52,344

14.2

15.3

30.0

31.1

12.7

12.2

1.6

1.5

0.9

ONGC

Neutral

162

207,770

83,111

84,934

44.2

44.9

16.4

16.9

9.9

9.6

1.2

1.1

2.4

Indian Oil Corp

Neutral

429

208,391

396,116

432,560

8.5

8.8

40.1

42.2

10.7

10.2

1.9

1.7

0.7

0.6

Reliance Industries

Neutral

817

531,458

257,711

267,438

17.0

18.2

89.1

89.5

9.2

9.1

0.9

0.8

1.7

1.6

Pharmaceuticals

Alembic Pharma

Buy

499

600

9,409

3,903

4,584

18.2

19.2

21.8

27.2

22.9

18.4

4.2

3.5

19.8

20.6

2.4

2.1

Alkem Laboratories Ltd

Buy

1,787

2,161

21,370

6,901

7,850

18.4

19.1

85.0

100.5

21.0

17.8

4.3

3.6

20.2

20.1

3.1

2.7

Aurobindo Pharma

Accumulate

738

823

43,229

17,086

19,478

22.1

22.0

44.7

51.4

16.5

14.4

3.7

3.0

24.7

22.7

2.6

2.3

Aventis*

Neutral

3,953

9,105

2,508

2,862

16.8

139.9

153.8

28.3

25.7

4.1

3.3

23.5

25.8

3.2

2.7

Cadila Healthcare

Sell

502

426

51,397

11,584

13,228

20.3

20.4

18.7

21.3

26.9

23.6

6.0

4.9

24.6

22.9

4.3

3.7

Cipla

Sell

551

458

44,310

16,619

19,437

15.4

16.2

19.7

24.3

28.0

22.7

3.2

2.8

12.0

13.2

2.8

2.4

Dr Reddy's

Neutral

2,159

35,791

15,844

17,973

17.6

18.2

91.7

111.0

23.5

19.5

2.7

2.4

11.9

13.0

2.5

2.2

GSK Pharma*

Neutral

2,458

20,816

3,260

3,651

15.0

18.0

46.1

58.6

53.3

41.9

10.9

11.3

20.0

26.5

6.3

5.7

Indoco Remedies

Sell

194

153

1,784

1,154

1,310

14.9

11.3

12.7

17.1

15.2

2.4

2.2

15.0

1.7

1.4

Ipca labs

Buy

421

540

5,309

3,593

4,022

14.5

15.5

19.4

25.2

21.7

16.7

2.0

1.8

9.5

11.2

1.5

1.4

www.angelbroking.com

Stock Watch

September 11, 2017

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 )

FY18E FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

FY18E

FY19E

Pharmaceuticals

Lupin

Buy

968

1,467

43,741

18,657

21,289

21.3

23.3

52.8

66.7

18.3

14.5

2.8

2.4

16.3

17.5

2.4

2.0

Natco Pharma

Accumulate

721

796

12,568

1,836

1,946

31.8

28.9

22.1

20.6

32.6

35.0

6.6

5.8

20.1

16.7

6.7

6.3

Sun Pharma

Buy

471

558

113,017

32,899

36,451

26.9

25.4

31.6

32.3

14.9

14.6

2.6

2.3

18.7

18.8

3.1

2.6

Syngene International

Buy

483

557

9,658

1,402

1,823

32.8

36.0

15.9

20.7

30.4

23.4

5.7

4.7

18.7

20.0

6.9

5.3

Power

Tata Power

Neutral

20,827

32,547

33,806

20.5

4.7

5.4

16.4

14.4

1.6

1.4

10.5

1.6

NTPC

Neutral

168

138,194

86,070

101,246

28.3

30.7

12.9

16.2

13.0

10.4

1.3

1.2

10.6

12.4

3.0

2.7

Power Grid

Neutral

213

111,511

29,183

32,946

89.7

90.0

18.0

20.8

11.9

10.3

2.0

1.8

17.7

18.2

7.8

7.2

Real Estate

Prestige Estate

Neutral

259

9,705

4,607

5,146

21.0

22.2

7.9

9.8

32.8

26.4

2.0

1.9

10.3

12.0

3.3

3.0

MLIFE

Buy

445

522

2,281

487

590

12.3

17.8

21.0

31.2

21.2

14.3

1.1

5.2

7.4

3.4

2.8

Telecom

Bharti Airtel

Neutral

403

161,175

97,903

105,233

36.0

36.3

9.3

11.1

43.4

36.5

2.1

2.0

5.0

5.6

2.6

2.3

Idea Cellular

Neutral

28,765

35,012

37,689

27.1

27.7

(4.4)

(2.7)

1.2

1.3

(6.8)

(4.6)

2.1

1.9

zOthers

Abbott India

Neutral

4,198

8,921

3,244

3,723

14.9

16.1

167.5

209.4

25.1

20.1

5.5

4.6

23.7

24.8

2.4

2.0

Asian Granito

Accumulate

452

490

1,360

1,169

1,286

12.5

16.0

19.7

28.3

22.9

3.0

2.7

10.7

11.6

1.4

1.2

Bajaj Electricals

Accumulate

345

395

3,507

4,646

5,301

6.7

7.6

16.1

22.3

21.5

15.5

3.5

3.0

16.4

19.2

0.7

Banco Products (India)

Neutral

219

1,563

1,530

1,695

13.2

12.7

19.0

20.0

11.5

10.9

1.8

1.6

0.2

0.9

103.5

Coffee Day Enterprises

Neutral

242

4,977

3,494

3,913

17.4

18.0

4.8

5.7

42.4

2.1

2.0

0.1

1.9

1.7

Ltd

Elecon Engineering

Neutral

565

171

201

15.0

16.2

36.0

43.0

1.4

1.2

0.1

2.7

2.3

Garware Wall Ropes

Neutral

913

1,998

928

1,003

15.2

39.4

43.2

23.2

21.2

3.8

3.3

16.5

15.4

2.0

1.8

Goodyear India*

Neutral

826

1,904

1,717

1,866

11.8

12.3

47.9

49.8

17.2

16.6

2.7

2.3

15.6

15.7

0.8

115.2

Hitachi

Neutral

1,925

5,234

2,355

2,715

10.3

10.8

49.0

60.9

39.3

31.6

9.2

7.3

0.2

2.3

1.9

HSIL

Neutral

380

2,744

2,240

2,670

14.6

15.0

17.0

22.0

22.3

17.3

1.8

1.7

0.1

1.4

1.2

Interglobe Aviation

Neutral

1,222

44,198

22,570

27,955

14.2

15.0

63.6

81.8

19.2

15.0

10.1

8.5

0.5

0.6

1.6

1.2

Jyothy Laboratories

Neutral

396

7,200

1,781

2,044

14.1

15.0

9.4

10.5

42.4

37.7

9.0

8.5

0.2

4.3

3.6

Linc Pen & Plastics

Neutral

239

353

420

462

9.3

15.3

17.1

15.6

14.0

2.6

2.7

16.9

19.5

0.9

0.8

M M Forgings

Neutral

619

747

542

642

20.1

21.0

41.6

56.8

14.9

10.9

2.1

1.7

0.1

0.2

1.8

1.6

Mirza International

Neutral

166

1,991

1,148

1,285

18.0

8.0

9.4

20.6

17.7

3.4

2.9

16.3

16.1

1.9

1.7

Navkar Corporation

Buy

198

265

2,823

561

617

41.5

11.5

12.7

17.2

15.6

1.8

1.6

10.5

10.4

5.7

5.0

Nilkamal

Neutral

1,588

2,370

2,317

2,525

11.4

11.1

96.0

105.0

16.5

15.1

2.8

2.5

0.2

1.0

0.9

Parag Milk Foods

Neutral

246

2,071

1,987

2,379

7.6

9.0

12.4

18.3

19.9

13.5

2.8

2.5

8.2

13.2

1.2

1.0

www.angelbroking.com

Stock Watch

September 11, 2017

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 )

FY18E FY19E FY18E FY19E FY18E FY19E FY18E FY19E FY18E FY19E FY18E FY19E FY18E FY19E

zOthers

Radico Khaitan

Neutral

176

2,343

1,811

1,992

13.2

8.1

8.8

21.7

20.0

2.2

2.4

10.1

12.0

1.6

1.5

Relaxo Footwears

Neutral

508

6,100

1,981

2,310

13.7

14.5

12.0

15.5

42.3

32.8

8.2

6.7

0.2

3.1

2.7

Siyaram Silk Mills

Accumulate

2,209

2,500

2,071

1,769

1,981

12.7

113.1

131.1

19.5

16.9

3.0

2.6

15.5

1.4

1.2

Styrolution ABS India* Neutral

912

1,604

1,800

1,980

8.0

8.1

42.0

46.2

21.7

19.7

2.4

2.2

0.1

1.0

0.9

Surya Roshni

Neutral

301

1,321

4,870

5,320

7.7

7.8

22.8

28.1

13.3

10.7

1.8

1.5

0.1

0.5

0.4

TVS Srichakra

Neutral

3,229

2,472

2,729

2,893

12.7

12.5

248.5

265.0

13.0

12.2

3.7

3.0

0.3

0.9

Visaka Industries

Neutral

656

1,041

1,104

1,214

12.1

12.6

31.0

37.9

21.2

17.3

2.6

2.3

0.1

1.2

1.0

VIP Industries

Accumulate

227

250

3,202

1,450

1,693

10.4

10.5

6.5

7.8

34.6

29.0

7.3

6.4

21.1

22.1

2.2

1.9

Navin Fluorine

Accumulate

668

730

3,293

945

1,154

22.4

22.6

28.7

34.8

23.3

19.2

3.9

3.3

3.0

2.3

Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on September 08, 2017

www.angelbroking.com

Market Outlook

September 11, 2017

Research Team Tel: 022 - 39357800

E-mail: [email protected]

Website: www.angelbroking.com

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