Market Outlook

September 1, 2015

Dealer’s Diary

Domestic Indices

Chg (%)

(Pts)

(Close)

BSE Sensex

(0.4)

(109)

26,283

Indian markets are expected to open in the red tracking the SGX Nifty and weak

Asian markets.

Nifty

(0.4)

(31)

7,971

MID CAP

(0.2)

(25)

10,734

US markets closed negative led by renewed concerns about the Chinese economy

SMALL CAP

(0.2)

(22)

10,971

after a report said the Chinese government has decided to abandon attempts to

BSE HC

1.8

316

17,962

boost the stock market through large-scale share purchases.

BSE PSU

0.1

6,915

European markets too ended lower led by the concerns over China. The snap

BANKEX

(0.3)

(66)

19,637

elections in Greece and the likelihood of a near-term U.S. interest rate hike also

AUTO

(0.8)

(138)

17,865

weighed on investor sentiment.

METAL

0.6

7,446

Indian markets witnessed a modest decline led by weak global cues and as investors

OIL & GAS

0.3

8,878

waited for the 1QFY2016 GDP data.

BSE IT

(0.2)

(27)

11,161

Global Indices

Chg (%)

(Pts)

(Close)

News & Result Analysis

Dow Jones

(0.7)

(115)

16,528

 Result Review: Dishman Pharmaceuticals

Refer detailed news analysis on the following page

NASDAQ

(1.1)

(52)

4,777

FTSE

0.9

6,248

Markets Today

Nikkei

(1.3)

(246)

18,890

The trend deciding level for the day is 26,334 / 7,988 levels. If NIFTY trades above

Hang Sang

0.3

21,671

this level during the first half-an-hour of trade then we may witness a further rally up

Straits Times

(1.2)

(34)

2,921

to 26,453 - 26,624 / 8,027 - 8,083 levels. However, if NIFTY trades below

Shanghai Com

(0.8)

(26)

3,206

26,334 / 7,988 levels for the first half-an-hour of trade then it may correct towards

26,045 - 26,164 / 7,932 - 7,892 levels.

Indian ADR

Chg (%)

(Pts)

(Close)

Indices

PIVOT

INFY

(2.1)

(0.4)

$17.2

SENSEX

26,045

26,164

26,334

26,453

26,624

WIT

(1.0)

(0.1)

$11.7

NIFTY

7,892

7,932

7,988

8,027

8,083

IBN

(1.7)

(0.2)

$8.7

HDB

(2.4)

(1.4)

$57.0

Net Inflows (August 28, 2015)

` cr

Purch

Sales

Net

MTD

YTD

Advances / Declines

BSE

NSE

FII

5,683

5,624

(16,652)

124,318

Advances

1,153

660

MFs

3,644

1,524

2,121

9,490

67,438

Declines

1,522

827

Unchanged

110

FII Derivatives (August 31, 2015)

` cr

Purch

Sales

Net

Open Interest

Volumes (` cr)

Index Futures

2,845

2,306

539

19,091

BSE

2,199

Stock Futures

3,442

2,783

659

44,300

NSE

22,110

Gainers / Losers

Gainer

Loser

Company

Price (`)

chg (%)

Company

Price (`)

chg (%)

SREINFRA

8.2

SUNASIAN

235

(10.0)

HINDPETRO

466

7.4

GPPL

172

(6.9)

MUTHOOTFIN

173

7.2

M&MFIN

254

(5.0)

PUNJLLOYD

6.2

KAILASH

(4.7)

CYIENT

583

6.0

VOLTAS

273

(4.4)

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Market Outlook

September 1, 2015

Result Review

Dishman Pharmaceuticals (CMP: `222/ TP: `290 / Upside: 30.6)

Dishman Pharmaceuticals for 1QFY2016, posted net sales of

`400cr V/s

`361.5cr, a yoy growth of 10.6%. The sales growth was driven by CRAMS

(`251.8cr), a yoy growth of 5.2%, while others (`148.1cr) a yoy growth of 21.3%.

On the Operating profit, the OPM’s came in at 26.0% V/s 20.5% in 1QFY2015,

mainly on back of gross margins expansion, which came in at 79.4% V/s 71.1% in

1QFY2015. The deprecation, which dipped by 15.2% yoy, lead the net profit come

in at `37.8cr V/s `23.8cr, a yoy growth of 58.7%. We maintain our buy with a

price target of `290.

Y/E

Sales OPM

PAT

EPS ROE

P/E P/BV EV/Sales EV/EBITDA

Mar

(` cr)

(%)

(` cr)

(`)

(%)

(x)

FY2016E

1,716

20.2

132

16.3

9.7

13.6

1.3

1.2

6.0

FY2017E

1,888

20.2

174

21.6

11.7

10.3

1.1

1.0

4.7

Economic and Political News

 1QFY2016 GDP growth at 7% vs. 7.5% in 4QFY2015

 July core industries growth slows to 3-month low of 1.1%

 April-July fiscal deficit at 69% of annual target

 Petrol Price Cut by `2/Litre, Diesel by `0.5/Litre

Corporate News

 Axis Bank cuts deposit rates by 50bp

 HDFC Bank drops loan rates by 35bp; Canara Bank cuts lending rate by

10bp

 Eros International picks up worldwide rights of ‘Rock On 2’

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Market Outlook

September 1, 2015

Top Picks

Large Cap

Market Cap

CMP

Target

Upside

Company

Sector

Rating

(` Cr)

(`)

(%)

Axis Bank

Financials

1,20,419

Buy

507

704

38.9

ICICI Bank

Financials

1,61,452

Buy

278

373

34.1

Infosys

2,51,561

Buy

1,095

1,306

19.2

Inox Wind

Capital Goods

8,123

Buy

366

505

38.0

LIC HFL

Financials

22,392

Buy

444

570

28.5

Power Grid

Power

68,351

Buy

131

170

30.1

TCS

5,02,463

Buy

2,565

3,168

23.5

Tech Mahindra IT

49,595

Buy

516

646

25.3

Yes Bank

Financials

28,845

Buy

690

951

37.9

Source: Angel Research, Bloomberg

Mid Cap

Market Cap

CMP

Target

Upside

Company

Sector

Rating

(` Cr)

(`)

(%)

Bajaj Electricals

Others

2,568

Buy

255

341

33.9

Garware Wall

Others

646

Buy

295

390

32.0

Ropes

HMVL

Media

1,596

Buy

218

292

34.3

JK Tyre

Auto Ancillary

2,454

Buy

108

129

19.2

MBL Infrastructures Construction

986

Buy

238

360

51.4

Minda Industries Auto Ancillary

838

Buy

528

652

23.5

MT Educare

Others

545

Buy

137

169

23.5

Radico Khaitan

Others

1,191

Buy

112

25.1

Surya Roshni

Others

565

Buy

129

183

41.9

Source: Angel Research, Bloomberg

www.angelbroking.com

Market Outlook

September 01, 2015

Global economic events release calendar

Date

Time

Country Event Description

Unit

Period

Bloomberg Data

Last Reported Estimated

September 1, 2015

1:25PM

Germany PMI Manufacturing

Value

Aug F

53.20

1:25PM

Germany Unemployment change (000's)

Thousands

Aug

9.00

(3.50)

6:30AM

China

PMI Manufacturing

Value

Aug

50.00

49.70

2:00PM

PMI Manufacturing

Value

Aug

51.90

52.00

September 3, 2015

6:00PM

Initial Jobless claims

Thousands

Aug 29

271.00

275.00

1:25PM

Germany PMI Services

Value

Aug F

53.60

5:15PM

Euro Zone ECB announces interest rates

Sep 3

0.05

September 4, 2015

6:00PM

Change in Nonfarm payrolls

Thousands

Aug

215.00

220.00

6:00PM

Unnemployment rate

Aug

5.30

5.20

September 8, 2015

2:30PM

Euro Zone Euro-Zone GDP s.a. (QoQ)

% Change

2Q P

0.30

China

Exports YoY%

% Change

Aug

(8.30)

September 9, 2015

2:00PM

Industrial Production (YoY)

% Change

Jul

1.50

September 10, 2015

India

Imports YoY%

% Change

Aug

(10.28)

India

Exports YoY%

% Change

Aug

(10.30)

7:00AM

China

Consumer Price Index (YoY)

% Change

Aug

1.60

4:30PM

BOE Announces rates

% Ratio

Sep 10

0.50

September 11, 2015

5:30PM

India

Industrial Production YoY

% Change

Jul

3.80

September 13, 2015

11:00AM

China

Industrial Production (YoY)

% Change

Aug

6.00

September 14, 2015

12:00PM

India

Monthly Wholesale Prices YoY%

% Change

Aug

(4.05)

September 15, 2015

6:45PM

Industrial Production

Aug

0.56

2:00PM

CPI (YoY)

% Change

Aug

0.10

September 16, 2015

2:00PM

Jobless claims change

% Change

Aug

(4.90)

2:30PM

Euro Zone Euro-Zone CPI (YoY)

Aug F

0.20

6:00PM

Consumer price index (mom)

% Change

Aug

0.10

September 17, 2015

6:00PM

Building permits

Thousands

Aug

1,130.00

6:00PM

Housing Starts

Thousands

Aug

1,206.00

11:30PM

FOMC rate decision

Sep 17

0.25

0.50

Source: Bloomberg, Angel Research

Market Outlook

September 1, 2015

Macro watch

Exhibit 1: Quarterly GDP trends

Exhibit 2: IIP trends

(%)

9.0

8.4

6.0

5.2

4.8

7.5

5.0

3.8

8.0

3.6

3.4

7.0

4.0

2.8

6.7

2.6

2.5

7.0

6.3

6.4

6.6

3.0

2.0

6.0

0.5

1.0

5.0

4.7

5.0

(1.0)

4.0

(2.0)

(3.0)

3.0

(2.7)

(4.0)

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

8.0

7.0

54.0

7.0

5.6

5.4

6.0

5.2

5.4

5.3

5.0

52.0

4.6

4.9

5.0

4.3

3.8

4.0

3.3

50.0

3.0

48.0

2.0

1.0

46.0

44.0

Source: MOSPI, Angel Research

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

Exhibit 5: Exports and imports growth trends

Exhibit 6: Key policy rates

(%)

Exports yoy growth

Imports yoy growth

(%)

Repo rate

Reverse Repo rate

CRR

30.0

9.00

20.0

8.00

10.0

7.00

0.0

6.00

(10.0)

5.00

(20.0)

4.00

(30.0)

3.00

Source: Bloomberg, Angel Research

Source: RBI, Angel Research

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Market Outlook

September 1, 2015

Exhibit 4: Relative performance of indices across globe

Returns (%)

Country

Name of index

Closing price

1YR

Brazil

Bovespa

46,626

(3.8)

(12.0)

(20.1)

Russia

Micex

1,733

5.7

2.3

17.5

India

Nifty

7,971

(4.7)

(5.7)

0.9

China

Shanghai Composite

3,205

(17.7)

(32.4)

39.2

South Africa

Top 40

44,350

(4.7)

(7.0)

(6.1)

Mexico

Mexbol

43,722

(1.7)

(2.8)

(4.7)

Indonesia

LQ45

757

(6.6)

(18.6)

(15.2)

Malaysia

KLCI

1,612

(5.1)

(7.8)

(13.4)

Thailand

SET 50

894

(6.0)

(11.0)

(14.7)

USA

Dow Jones

16,528

(5.5)

(8.1)

(2.5)

FTSE

6,248

(5.5)

(11.3)

(9.3)

Japan

Nikkei

18,750

(6.4)

(7.6)

22.9

Germany

DAX

10,259

(7.7)

(9.6)

7.8

France

CAC

4,653

(6.4)

(7.0)

6.4

Source: Bloomberg, Angel Research

www.angelbroking.com

Market Outlook

September 01, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Agri / Agri Chemical

Rallis

Neutral

214

4,153

2,075

2,394

14.4

9.5

11.0

22.5

19.4

4.5

3.9

21.1

21.3

2.0

1.8

United Phosphorus

Neutral

503

21,548

13,698

15,752

17.6

32.1

38.5

15.7

13.1

3.1

2.6

21.4

21.3

1.7

1.4

Auto & Auto Ancillary

Ashok Leyland

Neutral

25,769

17,850

20,852

10.6

11.1

3.2

4.3

28.3

21.1

4.7

4.3

16.4

20.8

1.4

1.2

Bajaj Auto

Accumulate

2,255

2,454

65,249

23,842

27,264

19.8

19.6

128.4

144.4

17.6

15.6

5.4

4.6

30.5

29.5

2.3

2.0

Eicher Motors

Buy

19,015

22,859

51,611

11,681

15,550

15.3

16.9

358.5

564.3

53.0

33.7

15.9

11.9

29.8

34.9

4.3

3.2

Hero Motocorp

Accumulate

2,397

2,660

47,872

28,500

33,028

13.8

14.1

144.2

166.3

16.6

14.4

6.1

5.2

36.7

36.0

1.5

1.3

L G Balakrishnan & Bros Neutral

485

761

1,254

1,394

11.6

11.8

35.9

41.7

13.5

11.6

1.8

1.6

13.5

13.8

0.7

0.6

Mahindra and Mahindra Buy

1,223

1,493

75,957

40,088

45,176

13.8

14.0

59.6

70.4

20.5

17.4

3.4

3.0

16.6

17.2

1.6

1.3

Maruti

Accumulate

4,168

4,735

125,892

58,102

68,587

16.7

16.9

182.0

225.5

22.9

18.5

4.6

3.9

19.9

21.0

1.9

1.6

Minda Industries

Buy

528

652

838

2,567

2,965

7.3

8.0

38.8

54.3

13.6

9.7

2.0

1.6

14.4

16.8

0.4

Rane Brake Lining

Buy

292

366

231

454

511

11.1

11.4

23.8

28.1

12.3

10.4

1.7

1.6

14.2

15.3

0.6

Setco Automotive

Neutral

224

599

594

741

12.7

13.7

8.4

15.8

26.7

14.2

2.8

2.4

10.4

16.9

1.5

1.2

Tata Motors

Buy

340

432

98,208

267,464

307,211

13.7

34.6

40.7

9.8

8.4

1.2

1.1

13.2

13.6

0.6

0.5

TVS Motor

Accumulate

223

255

10,616

11,839

13,985

7.0

8.0

10.8

15.9

20.7

14.1

5.3

4.2

25.5

29.7

0.9

0.7

Amara Raja Batteries

Neutral

1,007

17,201

5,101

6,224

17.8

17.6

31.1

39.2

32.4

25.7

8.0

6.4

24.8

3.3

2.7

Exide Industries

Neutral

154

13,073

7,363

8,247

13.7

14.5

6.6

7.7

23.3

20.0

2.9

2.7

12.6

13.3

1.5

1.4

Apollo Tyres

Neutral

180

9,165

12,576

12,978

16.8

16.1

22.3

19.9

8.1

9.1

1.4

1.2

17.2

13.4

0.8

Ceat

Accumulate

1,098

1,166

4,443

6,041

6,597

14.3

14.2

101.5

116.6

10.8

9.4

2.2

1.8

20.0

19.1

0.9

0.8

JK Tyres

Buy

108

129

2,454

7,446

7,669

15.2

14.0

19.6

18.4

5.5

5.9

1.4

1.2

25.2

19.5

0.7

0.6

Swaraj Engines

Neutral

895

1,112

593

677

14.5

14.8

51.2

60.8

17.5

14.7

4.1

3.7

23.3

24.8

1.7

1.5

Subros

Neutral

465

1,268

1,488

11.6

11.9

3.7

6.6

21.0

11.8

1.4

1.3

6.8

11.4

0.7

0.6

Indag Rubber

Neutral

179

469

283

329

17.0

17.2

13.0

15.4

13.8

11.6

3.0

2.5

21.8

21.6

1.4

1.1

Capital Goods

ACE

Neutral

402

660

839

4.7

8.2

1.0

3.9

40.7

10.4

1.3

1.1

3.2

11.3

0.8

0.6

BEML

Neutral

1,295

5,392

3,277

4,006

6.0

8.9

29.2

64.3

44.3

20.1

2.5

2.3

5.7

11.7

1.7

1.4

BGR Energy

Neutral

108

779

3,615

3,181

9.5

9.4

16.7

12.4

6.5

8.7

0.6

10.0

7.0

0.6

0.8

BHEL

Neutral

227

55,438

33,722

35,272

10.8

11.7

10.5

14.2

21.6

16.0

1.6

1.5

7.0

9.0

1.7

1.6

Blue Star

Accumulate

351

387

3,157

3,649

4,209

5.0

5.9

9.2

14.7

38.4

23.8

6.9

6.5

9.1

17.5

1.0

0.8

Crompton Greaves

Buy

171

204

10,720

13,484

14,687

4.9

6.2

4.5

7.1

38.0

24.1

2.7

2.5

7.2

10.8

0.9

0.8

Inox Wind

Buy

366

505

8,123

4,980

5,943

17.0

17.5

26.6

31.6

13.8

11.6

4.1

3.0

35.0

30.0

1.8

1.4

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Market Outlook

September 01, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Capital Goods

KEC International

Neutral

130

3,345

8,791

9,716

6.1

6.8

5.4

8.2

24.1

15.9

2.4

2.2

10.0

14.0

0.6

Thermax

Neutral

952

11,341

6,413

7,525

7.4

8.5

30.5

39.3

31.2

24.2

4.8

4.2

15.0

17.0

1.7

1.4

Cement

ACC

Buy

1,335

1,548

25,056

11,856

14,092

14.5

17.8

47.6

76.1

28.0

17.5

2.9

2.7

10.6

15.7

2.0

1.6

Ambuja Cements

Accumulate

207

233

32,186

10,569

12,022

20.7

22.2

8.7

10.7

23.8

19.4

3.0

2.9

13.0

15.2

2.6

2.3

India Cements

Buy

112

2,236

4,716

5,133

15.9

16.9

3.7

7.5

19.7

9.7

0.7

3.8

7.3

0.8

0.7

JK Cement

Buy

624

767

4,363

4,056

4,748

14.5

17.0

22.6

41.1

27.6

15.2

2.5

2.2

9.3

15.3

1.5

1.3

J K Lakshmi Cement

Buy

352

430

4,137

2,947

3,616

16.7

19.9

11.5

27.2

30.6

12.9

2.9

2.5

9.8

20.8

1.8

1.4

Mangalam Cements

Neutral

223

595

1,053

1,347

10.5

13.3

8.4

26.0

26.5

8.6

1.1

1.0

4.3

12.5

0.9

0.7

Orient Cement

Accumulate

166

183

3,401

1,854

2,524

21.2

22.2

7.7

11.1

21.6

15.0

3.1

2.7

13.3

15.7

2.6

1.8

Ramco Cements

Accumulate

324

350

7,710

4,036

4,545

20.8

21.3

15.1

18.8

21.5

17.2

2.6

2.3

12.9

14.3

2.4

2.1

Shree Cement^

Neutral

10,802

37,631

7,150

8,742

26.7

28.6

228.0

345.5

47.4

31.3

7.0

5.9

15.7

20.3

5.0

4.0

UltraTech Cement

Accumulate

2,898

3,282

79,526

27,562

31,548

20.4

22.3

111.9

143.3

25.9

20.2

3.7

3.2

15.2

16.8

3.0

2.5

Construction

ITNL

Neutral

2,388

7,360

8,825

34.0

35.9

1.0

5.0

96.8

19.4

0.4

0.3

1.4

3.8

3.7

KNR Constructions

Neutral

569

1,600

915

1,479

14.3

13.9

20.3

37.2

28.0

15.3

2.6

2.2

9.6

15.6

1.9

1.2

Larsen & Toubro

Buy

1,605

2,013

149,380

68,920

82,446

10.9

11.5

57.0

73.0

28.2

22.0

2.6

2.4

13.6

15.5

2.4

2.0

Gujarat Pipavav Port

Neutral

172

8,293

721

784

53.1

53.6

8.2

9.1

20.9

18.9

3.4

2.7

20.0

18.3

11.1

9.8

MBL Infrastructures

Buy

238

360

986

2,313

2,797

12.2

14.6

19.0

20.0

12.5

11.9

1.3

1.2

11.3

10.6

1.1

1.0

Nagarjuna Const.

Neutral

3,978

7,892

8,842

8.3

9.1

2.4

5.3

29.8

13.5

1.2

1.1

4.2

8.6

0.7

0.6

PNC Infratech

Neutral

495

2,540

1,798

2,132

13.2

13.5

22.0

30.0

22.5

16.5

2.0

1.8

11.5

11.4

1.5

1.3

Simplex Infra

Neutral

307

1,517

6,241

7,008

10.4

10.7

20.0

36.0

15.3

8.5

1.3

1.1

6.8

11.1

0.7

0.6

Financials

Allahabad Bank

Neutral

4,762

8,859

9,817

3.0

23.7

30.1

3.5

2.8

0.4

0.3

10.6

12.3

Axis Bank

Buy

507

704

120,419

26,522

31,625

3.6

36.2

45.4

14.0

11.2

2.7

2.4

18.2

19.6

Bank of Baroda

Neutral

185

40,835

18,934

21,374

2.0

13.2

15.1

14.0

12.2

1.0

0.9

7.1

7.7

Bank of India

Neutral

142

9,458

17,402

20,003

2.0

2.1

40.3

50.7

3.5

2.8

0.4

0.3

9.0

10.4

Canara Bank

Neutral

286

14,727

15,805

17,745

2.0

2.2

64.3

73.5

4.5

3.9

0.5

0.4

10.8

11.3

Dena Bank

Neutral

2,391

3,580

4,040

2.1

2.2

8.4

10.9

5.1

3.9

0.4

6.8

8.4

Federal Bank

Neutral

10,507

3,522

4,045

3.2

12.2

14.1

5.0

4.4

0.6

12.9

13.4

HDFC

Neutral

1,189

187,408

11,198

13,321

3.5

45.1

53.7

26.4

22.1

5.4

4.9

27.2

28.2

HDFC Bank

Buy

1,028

1,255

258,463

38,629

47,500

4.5

4.7

52.6

66.4

19.6

15.5

3.6

3.0

19.6

21.2

www.angelbroking.com

Market Outlook

September 01, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Financials

ICICI Bank

Buy

278

373

161,452

36,037

41,647

3.5

3.6

22.9

26.7

12.1

10.4

2.0

1.8

15.7

15.9

IDBI Bank

Neutral

9,720

9,806

11,371

1.7

1.9

10.0

16.3

6.1

3.7

0.4

6.8

10.4

Indian Bank

Neutral

133

6,405

6,454

7,321

2.5

2.6

26.4

33.3

5.1

4.0

0.4

8.1

9.6

LIC Housing Finance

Buy

444

570

22,392

2,934

3,511

2.3

30.9

36.8

14.4

12.1

2.3

2.0

16.8

17.5

Oriental Bank

Neutral

136

4,079

7,930

8,852

2.5

51.8

57.1

2.6

2.4

0.3

9.3

9.5

Punjab Natl.Bank

Neutral

145

26,863

24,160

27,777

2.9

3.0

18.5

24.6

7.8

5.9

0.8

0.6

8.8

10.8

South Ind.Bank

Neutral

2,761

1,999

2,249

2.4

3.5

4.0

5.9

5.1

0.7

12.6

13.1

St Bk of India

Buy

247

309

186,961

86,900

100,550

3.1

22.1

27.7

11.2

8.9

1.4

1.2

12.7

14.3

Union Bank

Neutral

177

11,260

12,995

14,782

2.4

32.3

40.9

5.5

4.3

0.7

0.6

10.7

12.3

Vijaya Bank

Neutral

3,106

3,474

3,932

1.8

1.9

5.9

7.2

6.2

5.0

0.5

8.1

9.3

Yes Bank

Buy

690

951

28,845

7,006

8,825

3.1

3.3

61.4

77.1

11.2

8.9

2.1

1.8

20.1

21.3

FMCG

Asian Paints

Neutral

849

81,398

16,553

19,160

16.0

16.2

17.7

21.5

48.0

39.5

12.7

11.5

29.4

31.2

4.8

4.1

Britannia

Neutral

2,929

35,140

8,065

9,395

9.6

10.2

47.2

65.5

62.0

44.7

20.6

19.5

38.3

41.2

4.2

3.6

Colgate

Neutral

1,954

26,576

4,836

5,490

19.5

19.7

48.5

53.2

40.3

36.7

29.5

25.7

99.8

97.5

5.4

4.7

Dabur India

Neutral

274

48,084

9,370

10,265

17.1

17.2

7.3

8.1

37.3

33.8

11.3

9.2

33.7

30.6

5.0

4.6

GlaxoSmith Con*

Neutral

6,135

25,803

4,919

5,742

17.2

17.4

168.3

191.2

36.5

32.1

10.3

8.8

28.8

28.9

4.8

4.1

Godrej Consumer

Neutral

1,335

45,461

10,168

12,886

16.1

32.1

38.4

41.6

34.8

8.5

7.8

19.7

21.0

4.6

3.6

HUL

Neutral

862

186,416

34,940

38,957

17.5

17.7

20.8

24.7

41.4

34.9

46.1

36.8

110.5

114.2

5.1

4.6

ITC

Buy

325

409

261,002

41,068

45,068

37.8

37.4

13.9

15.9

23.4

20.5

7.8

6.9

34.1

33.8

6.0

5.4

Marico

Neutral

406

26,197

6,551

7,766

15.7

16.0

10.4

12.5

39.1

32.5

11.4

9.4

33.2

32.4

3.9

3.3

Nestle*

Accumulate

5,976

6,646

57,619

11,291

12,847

22.2

22.3

158.9

184.6

37.6

32.4

19.7

17.7

55.0

57.3

4.9

4.3

Tata Global

Buy

120

152

7,542

8,635

9,072

9.8

9.9

6.5

7.6

18.4

15.7

1.8

6.8

7.4

0.8

HCL Tech^

Buy

972

1,132

136,625

42,038

47,503

23.5

56.4

62.9

17.2

15.5

4.0

3.1

23.2

19.8

2.9

2.3

Infosys

Buy

1,095

1,306

251,561

60,250

66,999

28.0

58.3

63.7

18.8

17.2

3.9

3.4

20.9

19.7

3.5

3.0

TCS

Buy

2,565

3,168

502,463

108,420

123,559

28.8

28.7

127.2

143.9

20.2

17.8

8.0

7.5

39.9

41.8

4.2

3.7

Tech Mahindra

Buy

516

646

49,595

25,566

28,890

16.0

17.0

26.3

31.9

19.6

16.2

3.5

3.0

17.9

18.6

1.7

1.4

Wipro

Buy

571

719

141,128

52,414

58,704

23.7

23.8

38.4

42.3

14.9

13.5

2.9

2.6

19.5

18.0

2.3

1.9

Media

D B Corp

Buy

309

356

5,678

2,241

2,495

27.8

27.9

21.8

25.6

14.2

12.1

3.7

3.3

26.7

28.5

2.5

2.2

HT Media

Neutral

1,905

2,495

2,603

11.2

7.3

8.6

11.2

9.5

0.9

0.8

7.4

8.1

0.3

0.2

www.angelbroking.com

Market Outlook

September 01, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Media

Jagran Prakashan

Accumulate

137

156

4,469

1,939

2,122

26.0

8.3

9.2

16.5

14.9

2.8

2.5

17.5

17.1

2.3

2.1

Sun TV Network

Neutral

342

13,486

2,779

3,196

70.2

70.5

22.8

27.3

15.0

12.5

3.7

3.4

26.7

28.3

4.6

4.0

Hindustan Media

Buy

218

292

1,596

920

1,031

20.0

19.2

20.9

11.3

10.4

1.9

1.6

16.4

15.3

1.3

1.1

Ventures

Metals & Mining

Coal India

Accumulate

366

400

231,400

72,015

78,415

21.2

21.5

21.7

25.3

16.9

14.5

5.7

5.6

33.1

39.1

2.4

2.3

Hind. Zinc

Neutral

127

53,640

15,546

16,821

47.5

49.0

19.7

20.3

6.4

6.3

1.1

1.0

17.2

16.6

1.2

0.8

Hindalco

Neutral

16,530

112,328

119,817

7.7

7.9

16.3

20.1

4.9

4.0

0.4

0.3

8.0

8.5

0.6

0.5

JSW Steel

Neutral

921

22,258

48,125

53,595

18.8

21.0

46.9

97.5

19.6

9.4

1.0

0.9

4.4

9.5

1.3

1.1

NMDC

Neutral

101

39,984

12,544

13,330

59.5

59.7

16.3

16.5

6.2

6.1

1.1

1.0

5.1

9.9

1.9

SAIL

Neutral

20,692

56,365

63,383

6.9

8.0

7.1

8.2

7.0

6.1

0.4

7.0

7.1

0.9

0.8

Vedanta

Neutral

29,247

81,842

88,430

30.6

32.8

20.2

25.7

4.9

3.8

0.4

0.3

7.5

8.5

0.7

0.5

Tata Steel

Neutral

225

21,857

136,805

149,228

11.3

11.9

26.4

36.8

8.5

6.1

0.7

0.6

6.0

8.0

0.7

0.6

Oil & Gas

Cairn India

Neutral

149

27,973

12,617

14,513

33.7

40.0

25.5

27.7

5.9

5.4

0.4

7.4

7.7

0.9

0.7

GAIL

Neutral

296

37,579

75,595

85,554

8.6

8.0

31.8

36.1

9.3

8.2

1.0

0.9

10.7

11.4

0.6

0.5

ONGC

Neutral

240

205,161

174,773

192,517

22.7

24.8

34.6

38.2

6.9

6.3

1.0

0.9

14.2

14.9

1.3

1.1

Petronet LNG

Buy

177

210

13,275

39,007

40,785

3.8

4.2

9.2

11.0

19.3

16.1

2.2

2.0

11.6

12.7

0.4

Indian Oil Corp

Accumulate

414

455

100,627

359,607

402,760

5.9

6.1

42.5

48.7

9.8

8.5

1.3

1.2

14.1

14.4

0.4

0.3

Reliance Industries

Accumulate

857

930

277,444

339,083

384,014

7.8

9.5

75.7

94.5

11.3

9.1

1.1

10.7

12.2

1.1

1.0

Pharmaceuticals

Alembic Pharma

Neutral

714

13,456

2,601

3,115

21.2

20.2

20.8

23.9

34.3

29.9

11.0

8.3

37.2

31.8

5.2

4.3

Aurobindo Pharma

Buy

754

872

44,025

14,923

17,162

23.0

38.2

43.6

19.7

17.3

6.1

4.6

36.0

30.2

3.3

2.8

Aventis*

Neutral

3,938

9,068

2,156

2,455

15.1

16.8

109.7

133.9

35.9

29.4

4.9

4.0

18.4

22.5

3.9

3.3

Cadila Healthcare

Neutral

1,900

38,900

10,224

11,840

20.0

21.0

71.0

85.6

26.8

22.2

7.2

5.7

30.1

28.5

3.9

3.3

Cipla

Neutral

682

54,732

14,051

16,515

20.4

18.7

26.6

28.4

25.6

24.0

4.3

3.7

18.2

16.5

3.9

3.2

Dr Reddy's

Neutral

4,310

73,482

17,903

20,842

22.7

22.8

160.5

189.5

26.9

22.7

5.5

4.5

22.2

21.7

4.1

3.4

Dishman Pharma

Buy

222

290

1,793

1,716

1,888

20.2

16.3

21.6

13.6

10.3

1.3

1.1

9.7

11.7

1.2

1.0

GSK Pharma*

Neutral

3,384

28,660

2,870

3,158

20.0

22.1

59.5

68.3

56.9

49.5

16.8

17.2

28.5

34.3

9.5

8.7

Indoco Remedies

Neutral

338

3,118

1,088

1,262

18.2

13.1

15.5

25.8

21.8

5.1

4.2

21.2

21.1

2.9

2.5

Ipca labs

Neutral

792

9,995

3,507

4,078

17.6

18.6

25.8

32.0

30.7

24.8

4.0

3.4

13.8

14.9

3.1

2.7

Lupin

Neutral

1,929

86,814

14,864

17,244

26.9

62.1

71.1

31.1

27.1

7.5

6.0

27.4

24.6

5.6

4.7

Sun Pharma

Accumulate

898

950

216,026

28,163

32,610

25.8

30.7

17.4

26.9

51.6

33.4

4.9

4.2

13.0

16.6

7.1

6.0

www.angelbroking.com

Market Outlook

September 01, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Power

Tata Power

Neutral

16,377

38,302

38,404

14.1

13.1

5.1

6.0

11.8

10.2

1.1

9.2

10.3

1.3

NTPC

Buy

121

157

100,059

87,064

98,846

23.5

11.7

13.2

10.4

9.2

1.2

1.1

11.4

12.1

2.2

1.9

Power Grid

Buy

131

170

68,351

20,702

23,361

86.7

86.4

12.1

13.2

10.8

9.9

1.6

1.4

15.6

15.1

8.2

7.7

Telecom

Bharti Airtel

Neutral

355

141,708

101,748

109,191

32.1

31.7

12.0

12.5

29.5

28.4

2.0

1.9

6.9

6.7

2.0

1.8

Idea Cellular

Neutral

156

56,086

34,282

36,941

32.0

31.5

5.9

6.2

26.4

25.1

2.4

2.2

9.9

9.3

2.2

2.1

zOthers

Abbott India

Neutral

4,786

10,170

2,715

3,153

14.5

14.1

134.3

152.2

35.6

31.4

8.9

7.3

27.4

25.6

3.5

2.9

Bajaj Electricals

Buy

255

341

2,568

4,719

5,287

5.2

5.8

8.6

12.7

29.8

20.1

3.4

3.0

11.4

14.8

0.5

Finolex Cables

Neutral

236

3,614

2,728

3,036

10.8

11.0

14.4

16.8

16.4

14.1

2.5

2.2

15.2

15.3

1.1

0.9

Goodyear India*

Buy

569

655

1,313

1,953

1,766

12.4

12.0

67.4

59.6

8.4

9.6

2.1

1.8

27.7

20.2

0.5

0.4

Hitachi

Neutral

1,423

3,870

1,806

2,112

9.0

9.2

28.6

29.1

49.8

48.9

12.4

10.0

28.1

22.6

2.2

1.9

Jyothy Laboratories

Neutral

314

5,690

1,620

1,847

11.5

7.3

8.5

43.1

37.1

5.6

5.2

13.3

14.4

3.4

2.9

MRF

Accumulate

40,427

43,575

17,146

20,727

14,841

19.3

18.6

4,905.8

3,351.9

8.2

12.1

2.6

2.2

37.6

19.6

0.8

1.0

Page Industries

Neutral

14,144

15,776

1,929

2,450

19.8

20.1

229.9

299.0

61.5

47.3

27.1

18.9

52.1

47.1

8.2

6.4

Relaxo Footwears

Neutral

519

6,231

1,767

2,152

12.3

12.5

19.3

25.1

27.0

20.7

6.6

5.1

27.7

27.8

3.6

2.9

Siyaram Silk Mills

Accumulate

1,091

1,221

1,022

1,653

1,873

11.7

12.2

99.3

122.1

11.0

8.9

2.0

1.7

19.5

20.2

0.8

0.7

Styrolution ABS India*

Neutral

758

1,333

1,271

1,440

8.6

9.2

32.0

41.1

23.7

18.5

2.4

2.2

10.7

12.4

1.0

0.9

Tree House

Accumulate

395

449

1,672

259

324

56.8

17.0

21.7

23.2

18.2

2.3

2.1

10.1

11.5

6.4

5.3

TVS Srichakra

Buy

2,617

3,210

2,003

2,127

2,388

15.2

14.9

237.7

267.5

11.0

9.8

4.7

3.3

51.7

39.8

1.0

0.8

HSIL

Buy

262

434

1,896

2,085

2,436

18.5

18.6

21.7

28.9

12.1

9.1

1.2

1.1

10.0

12.1

1.0

0.8

Kirloskar Engines India

Accumulate

274

297

3,959

2,634

3,252

10.1

12.0

10.9

17.4

25.1

15.7

2.8

2.5

11.4

16.8

1.1

0.9

Ltd

M M Forgings

Buy

615

797

742

563

671

22.1

22.9

51.0

66.5

12.1

9.3

2.5

2.0

23.1

24.1

1.5

1.2

Banco Products (India)

Neutral

124

884

1,208

1,353

11.0

12.3

10.8

14.5

11.5

8.5

1.3

1.2

11.9

14.5

0.7

0.6

Competent Automobiles Neutral

162

100

1,007

1,114

3.1

23.7

28.2

6.9

5.8

1.0

0.8

13.9

14.6

0.1

Nilkamal

Neutral

1,021

1,523

1,948

2,147

10.6

10.3

60.0

67.0

17.0

15.2

2.7

2.3

16.8

16.1

0.8

0.7

Visaka Industries

Accumulate

153

166

243

1,158

1,272

8.6

9.5

23.7

32.7

6.5

4.7

0.7

0.6

10.1

12.5

0.4

0.3

Transport Corporation of

Accumulate

264

293

2,005

2,830

3,350

8.8

9.0

14.4

18.3

18.4

14.4

2.8

2.5

15.4

17.1

0.8

0.7

India

Elecon Engineering

Buy

757

1,452

1,596

14.0

14.7

4.4

6.2

15.7

11.2

1.3

1.2

8.6

11.2

0.8

0.7

Surya Roshni

Buy

129

183

565

2,992

3,223

8.3

8.5

14.7

18.3

8.8

7.1

0.8

0.7

9.8

11.0

0.5

0.4

MT Educare

Buy

137

169

545

286

366

18.3

17.7

7.7

9.4

17.7

14.6

3.7

3.3

20.2

21.1

1.8

1.4

www.angelbroking.com

Market Outlook

September 01, 2015

Stock Watch

Company Name

Reco

CMP

Target Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E

zOthers

Radico Khaitan

Buy

112

1,191

1,565

1,687

11.9

12.4

5.4

6.6

16.5

13.6

1.3

1.2

8.0

9.0

1.3

1.2

Garware Wall Ropes

Buy

295

390

646

875

983

10.4

10.6

23.1

27.8

12.8

10.6

1.8

1.6

14.1

14.8

0.8

0.6

Wonderla Holidays

Buy

276

322

1,560

206

308

44.0

43.6

9.0

12.9

30.7

21.4

4.2

3.8

13.7

17.8

7.5

5.0

Linc Pen & Plastics

Buy

156

185

230

340

371

8.3

8.9

10.8

13.2

14.4

11.8

2.3

2.0

16.0

17.1

0.7

Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on August 31, 2015

www.angelbroking.com

Market Outlook

September 01, 2015

Research Team Tel: 022 - 39357800

E-mail: [email protected]

Website: www.angelbroking.com

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