Buy Glenmark Pharmaceuticals Ltd For Target Rs.1,110.00 - RCML

Core therapy segments, R&D to be in focus – BUY

In a recent analyst meet, GNP disclosed its strategic blueprint for the next decade. With R&D at the core, GNP expects to monetise its innovative drug pipeline while emerging as a key specialty player (30% revenues from both segments). The company is also looking at complex filings in the ge

22/12/2016 11:32:13 AM | Posted in Broking Firm Views - Long Term Report read full news
Hold NALCO Ltd For Target Rs.60.00 - Reliance Sec

National Aluminium Company (NALCO) has delivered weak performance in 2QFY17 – missing our estimates on all counts – due to higher-than-expected cost of inputs. EBITDA declined by 51% yoy & 12% qoq to Rs1.72bn (vs. our estimate Rs2.3bn). Power cost surprisingly rose by 7% yoy & 5% qoq to Rs5.3bn, which is presumably due to higher coal expenses. Aluminium division sold ~99,000

22/12/2016 10:58:59 AM | Posted in Broking Firm Views - Long Term Report read full news
Buy S H Kelkar & Company Ltd For Target Rs.338.00 - Motilal Oswal

SH Kelkar (SHKL) is one of India’s largest fragrance & flavor (F&F) companies with a market share of ~14% as of 2016. Its fragrance products are used as raw materials in personal & fabric care, skin & hair care, fine fragrance and household products, while flavor products are used in baked & dairy products, beverages and pharmaceuticals. In October 2015, it raised INR2

21/12/2016 4:13:43 PM | Posted in Broking Firm Views - Long Term Report read full news
Sell Idea Cellular Ltd For Target Rs.65.00 - Motilal Oswal

Low prices could stay; focus on ARPU accretion

Post the new operator service launch, the telecom market is under severe pressure. In this backdrop, we met with Mr Himanshu Kapania – MD, Idea Cellular to discuss among other things (1) the near-term impact of RJio and demonetization on the telecom sector, and (2) the long-term outlook for the sect

21/12/2016 4:02:26 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Glenmark Pharmaceuticals Ltd For Target Rs.1,150.00 - Sharekhan

Key

points Betting big on niche launches on account of a robust pipeline:

Glenmark Pharmaceuticals’ (Glenmark Pharma) strategic blueprint outlines aggressive plans to expand its global presence by sharpening focus on complex generics (including Injectables), and widening the manufacturing base with a cl

21/12/2016 11:24:11 AM | Posted in Broking Firm Views - Long Term Report read full news
Accumulate Praj Industries Ltd For Target Rs.87.00 - Kotak Sec

Praj and IOC have signed MOU to share costs for feasibility study of two second generation (2G) projects. In addition to this, BPCL has also selected Praj, as technology partner for setting up one 2G bio-ethanol plant in the state of Orissa.

The Praj management believes that these projects should start getting converted into orders from early FY18 onwards. We note that these three pro

21/12/2016 11:18:29 AM | Posted in Broking Firm Views - Long Term Report read full news
Neutral On V- Guard Industries Ltd For Target Rs.179.00 - Motilal Oswal

Near-term demonetization impact not steep

Valuations rich; retain Neutral

* Demonetization impact softer than anticipated in November:

VGRD saw lower, single-digit YoY growth in November. Fans, stabilizers and inverters (November being off season for these products)

20/12/2016 2:27:10 PM | Posted in Broking Firm Views - Long Term Report read full news
Update On NTPC Ltd - Motilal Oswal

First major success towards backward integration

Takeaways from visit to Pakri-Barwadi coal mine

NTPC was given coal mines in 2004 to enable it to reduce its dependence on Coal India. However, due to (a) its lack of experience in mining, (b) regulatory logjam then, (c) difficult social conditions, and finally,

20/12/2016 2:14:54 PM | Posted in Broking Firm Views - Long Term Report read full news
Update On Prism Cement Ltd - Kotak Sec

Prism Cement Limited is one of India's leading integrated Building Materials Company, with a wide range of products from cement, readymixed concrete, tiles, bath products to kitchens (TBK). The company has three Divisions, viz. Prism Cement, H & R Johnson (India), and RMC Readymix (India). Prism Cement Limited also has a 51% stake in Raheja QBE General Insurance Company Limited, a JV wi

20/12/2016 11:37:56 AM | Posted in Broking Firm Views - Long Term Report read full news
Buy Persistent Systems Ltd For Target Rs.790.00 - Sharekhan

We attended Persistent Systems’ (PSL) 7th Investor Day in Pune, where the management primarily shared its digital strategies, monetisation of IP platform and partnerships in ecosystem. The company also demonstrated its digital capabilities in Blockchain, Continuous Engineering using IBM CE/CLM platform, IoT platform, Vega toolkit for financial services and predictive analysis etc.

20/12/2016 11:34:36 AM | Posted in Broking Firm Views - Long Term Report read full news
Buy VRL Logistics Ltd For Target Rs.315.00 - Kotak Sec

VRL is a leading Pan-India surface logistics and parcel delivery service provider owning and operating the largest fleet of commercial vehicles in the private sector in India, including 3739 trucks and 431 luxury buses providing both - Less than Truck load (LTL) and Full Truck load (FTL) services through its PAN India transportation network. Since 1976, VRL has formed a well-thought strategy an

20/12/2016 11:30:35 AM | Posted in Broking Firm Views - Long Term Report read full news
Positive On Kaveri Seed Company Ltd - Sharekhan

Key points

Reiterate positive view led by improved visibility on earnings in FY2018:

We had initiated a viewpoint note on Kaveri Seed Company (Kaveri Seed) on June 13, 2014 at Rs648. The stock advanced to touch a high of ~Rs1,020 on September 12, 2014, resulting in a 57% return. However, owing to two consecuti

20/12/2016 11:24:16 AM | Posted in Broking Firm Views - Long Term Report read full news
Buy Persistent Systems Ltd For Target Rs.785.00 - Reliance Sec

Persistent Systems organised an “Analyst Day” on Friday, December 16, 2016 in Pune. We recapitulate the key takeaways of the Meet in the following.

Persistent showcased its capabilities in high-growth areas including Internet of Things (IoT), Analytics, Smart Cities, Blockchain and the key IBM alliance. Strategically, shifting from traditional linear growth model (per-hour

20/12/2016 11:18:29 AM | Posted in Broking Firm Views - Long Term Report read full news
Neutral On Persistent Systems Ltd For Target Rs.700.00 - Motilal Oswal

Raising its game in Digital transformation...

…By leveraging new trends and strengthening leadership

* In its 2016 Analyst Day, PSYS showcased the company’s ability to deliver solutions and readiness to leverage key new trends such as IoT, Data analytics, Blockchain etc.

* PSYS has stre

19/12/2016 4:09:51 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Kaveri Seed Company Ltd For Target Rs.489.00 - Motilal Oswal

Worst is now behind, outlook improving; upgrading to Buy

* PAT exceeds estimates:

Kaveri Seed Company’s (KSCL) revenue increased 2% to INR678m (est. of INR1,261m, not adjusted for Ind-AS) in 2QFY17 from INR663m in the year-ago period. EBITDA stood at INR34m (est. of INR14m), as against INR(446)m in 2QFY

19/12/2016 4:02:50 PM | Posted in Broking Firm Views - Long Term Report read full news
Neutral On Jammu and Kashmir Bank Ltd For Target Rs.68.00 - Motilal Oswal

J&K state unrest mars asset quality performance

* JKBK reported net loss of INR6b v/s PAT of INR1.95b in 2QFY16 led by increased slippages and resultant higher provisioning of INR9.9b (annualized credit costs spiked sharply to 5.7% v/s 2.2% in 1Q). NII de-grew 8% YoY despite 7% growth in gross loans, led by higher interest income reversals.

19/12/2016 3:58:27 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Aurobindo Pharma Ltd For Target Rs.1,050.00 - Motilal Oswal

Negligible impact of lawsuit

* 20 states in the US filed a civil lawsuit against six generic pharma companies, alleging that they conspired on pricing for generic drugs – Doxycycline Hyclate Delayed Release (antibiotic for respiratory tract infection) and Glyburide (oral diabetes medicine). Indian company Aurobindo Pharma (ARBP) was among these s

19/12/2016 3:52:12 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Mirza International Ltd For Target Rs.119.00 - Kotak Sec

Mirza International Ltd (MIL) is engaged in manufacturing and marketing of leather footwear and accessories in the international (75% of sales) and domestic (25% of sales) markets. MIL has a fully integrated business model with in-house manufacturing and marketing its products under Redtape brand, which makes it different from peers. The company is focused on growing its domestic business under

19/12/2016 11:35:09 AM | Posted in Broking Firm Views - Long Term Report read full news
Hold MBL Infrastructures Ltd For Target Rs.75.00 - Reliance sec

MBL Infrastructures (MBL) has reported a worst ever performance in 2QFY17 with Rs1.2bn net loss as termination of 2 projects (captive projects from BOTs) resulted in write-off of Rs2.2bn. Revenue declined ~8% yoy to Rs3.72bn – below our estimates – due to lower revenue booking led by the same reason. MBL incurred Rs1.8bn operational loss, while adjusted EBITDA and adjusted EBITDA ma

19/12/2016 11:26:43 AM | Posted in Broking Firm Views - Long Term Report read full news
Update On Asian Granito India Ltd - RCML

Revenues targeted to double by FY20

We recently hosted a roadshow with the management of Asian Granito (AGL). Key takeaways: (1) management expects demonetisation to have a temporary impact on demand for tiles, with a revival likely in FY18. (2) AGL is targeting a doubling of revenues to Rs 20bn with operating margins of 13-14% by FY20 (vs. 11.7% in H1

17/12/2016 5:18:17 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Aurobindo Pharma Ltd For Target Rs.825.00 - Sharekhan

Key points

The event:

Twenty US states have filed a lawsuit against six generic pharma companies in relation to alleged fixing of drug prices. Aurobindo Pharma is one of the six generic pharma companies mentioned in the lawsuit (Heritage Pharma, Citron, Mayne, Mylan and Teva are the other five companies). Th

17/12/2016 3:13:31 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Coal India Ltd For Target Rs.319.00 - Religare Sec

On account of sharp decline in e-auction price, higher-than-expected employee cost and other expenses, net profit of Coal India (CIL) fell by 77% yoy in 2QFY17. In line with our estimate, its consolidated net sales stood at Rs174bn despite lower coal off-take (-4.9% yoy) coupled with 2.9% yoy decline in average realisation. Though we believe that CIL’s off-take would improve from 2HFY17E

16/12/2016 3:41:49 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Larsen & Toubro Infotech Ltd For Target Rs.800.00 - Motilal Oswal

L&T Infotech (LTI IN) is a provider of technology services and solutions. With USD887m in revenue in FY16, it is the sixth largest IT services company in terms of export revenue. It offers an extensive range of services spread across diverse industries such as Banking and Financial Services, Insurance, Energy and Process, and others. LTI was incorporated in 1996 and is headquartered in Mumb

16/12/2016 12:27:18 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy KSK Energy Ventures Ltd For Target Rs.37.00 - Reliance Sec

KSK Energy Ventures (KSK) incurred Rs2.91bn net loss in 2QFY17 owing to higher fuel cost, higher depreciation and interest cost on account of commissioning of Mahanadi Power Project. Though we expect the earning pain to persist in the near-term, we continue to remain positive on KSK as the stock is available at significant discount to its assets. Hence, we reiterate our BUY recommendation on th

16/12/2016 12:13:46 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Maruti Suzuki Ltd For Target Rs.6,430.00 - Sharekhan

Key points

Demonetisation to moderate PV industry growth in near term:

The Government’s decision to ban high value notes (Rs500 and Rs1,000) impacted the Passenger Vehicle (PV) industry demand in November 2016. As against the industry growth rate of 11% in April-October 2016, the PV industry growth decel

16/12/2016 12:07:20 PM | Posted in Broking Firm Views - Long Term Report read full news