Buy Sutlej Textiles and Industries Ltd For Target Rs.1,220.00 - Kotak Sec

We initiate BUY recommendation on Sutlej Textiles and Ind. Ltd (STIL)

Sutlej Textiles and Industries Ltd was incorporated on 22.06.2005 and was created out of a corporate restructuring exercise in which the textiles division of Sutlej Industries Ltd. (SIL) and Daman Ganga Processors Ltd were demerged w.e.f. July 1, 2005. A flagship unit of the multibu

15/07/2017 10:24:51 AM | Posted in Broking Firm Views - Long Term Report read full news
Update ON Bajaj Corp Ltd - Sharekhan

Key points

* Volumes decline due to de-stocking; OPM affected by lower operating leverage:

Bajaj Corp Ltd (BCL) revenues declined by 3.6%yoy to Rs 196.8 crore due de-stocking by wholesalers and retailers prior to the implementation of GST. The decline in revenue was mainly on account of a 6.6% volume decline

15/07/2017 10:16:37 AM | Posted in Broking Firm Views - Long Term Report read full news
Buy Trident Ltd For Target Rs.110.00 - Emkay

Spinning Success

* We initiate coverage on Trident Ltd (TRID IN) with a BUY rating and a target price of Rs110. We have arrived at the target price based on 6.5x FY19E EV/EBITDA. We believe that the valuation discount to peers should narrow as the company is moving up the value chain.

* With higher utilization of the new Bed Linen and Terry T

15/07/2017 10:11:46 AM | Posted in Broking Firm Views - Long Term Report read full news
Neutral Tata Consultancy Services Ltd For Target Rs.2,416.00 - Arihant Capital

Strong volume growth of 3.5% qoq but a decline in earnings of 10% qoq:

TCS has delivered a strong topline performance with 3.5% qoq volume growth, driven by sustained traction in the Digital service offerings. The growth in focus geographies was encouraging across verticals with a cautiously optimistic approach towards Insurance and Retail. Focus shift

15/07/2017 10:06:28 AM | Posted in Broking Firm Views - Long Term Report read full news
Reduce Cyient Ltd For Target Rs.521.30 - Kotak Sec

Cyients 1QFY18 revenue declined 0.24% QoQ to USD140.65mn v/s our estimates of USD142.7mn. Services business reported good growth of 3.1% sequentially whereas DLM business disappointed with a sharp decline of 26% sequentially. Growth within service business was led by communication, semiconductor and transportation growing at 10%, 11% and 11.7% respectively. We expect traction to continue in com

15/07/2017 9:59:34 AM | Posted in Broking Firm Views - Long Term Report read full news
Buy Rico Auto Industries Ltd For Target Rs.94.00 - Sharekhan

Key points

* Rico’s topline to grow strongly at a 15% CAGR on account of robust order book and foray in to new segments:

Rico Auto Industries (Rico) has embarked on an aggressive growth plan, which encompasses foray into new areas such as aftermarkets (targets Rs.100 crore revenue over 2-3 years) for t

15/07/2017 9:54:52 AM | Posted in Broking Firm Views - Long Term Report read full news
Neutral Tata Consultancy Services Ltd For Target Rs.2,350.00 - Motilal Oswal

Missing revenue traction weighs on profitability too

* Growth missing large-segment traction: TCS’ 6.3% YoY CC growth in 1QFY18 was marginally below our estimate of 6.9%. YoY CC growth in larger revenue contributors remained soft – BFSI (5%), Retail (-3%), North America (3.5%) and the UK (6%). This, in our view, implies ele

14/07/2017 3:50:22 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Multi Commodity Exchange of India Ltd For Target Rs.1,300.00 - Motilal Oswal

Impacted by lower realization and cash yield

* Revenue miss, costs stable: MCX’s 1QFY18 revenue declined 6% YoY to INR592m v/s our estimate of INR641m. Yield for the quarter declined 0.5%, driving revenue miss. Operating expenses were INR460m, in line with our estimate of INR462m. Consequently, EBITDA was INR132m (22.3% margin,

14/07/2017 3:43:13 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Cyient Ltd For Target Rs.600.00 - Motilal Oswal

Broad-based traction dragged by DLM

Services growth robust

* Performance dragged by DLM: Rangsons (DLM) dragged 1QFY18 performance vis-à-vis expectations on both revenues (3% impact) and margins (60bp impact) front. Having started the year at USD12m, CYL maintained DLM outlook of 20% growth, citing h

14/07/2017 3:35:33 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Emami Ltd For Target Rs.1,265.00 - Motilal Oswal

Building platform for strong long-term growth

Near-term prospects look challenging due to high wholesale dependence

Key takeaways from Emami’s (HMN) FY17 annual report:

* Innovation remained the key focus area in FY17

* Took much-needed efforts to boost direct reach

14/07/2017 3:29:54 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Infosys Ltd For Target Rs.1,200.00 - Motilal Oswal

* In CC terms, our revenue growth estimate for 1QFY18 is 2.2% QoQ on the back of gradual recovery in BFSI, offset by continued pressure in Retail. Cross-currency tailwinds of 80bp would result in USD revenue growth of 3%.

* At the end of 4QFY17, INFO guided for 6.5-8.5% YoY CC growth, implying a CQGR of 2.2-3%. FY17 guidance would be tested by 1Q revenue growth.

* We expect

14/07/2017 3:14:57 PM | Posted in Broking Firm Views - Long Term Report read full news
Reduce Tata Consultancy Services Ltd For Target Rs.2,320.00 - Emkay

Pains percolate to profitability

* Q1FY18 performance was better on revenue front, driven by strong volume growth of 3.5% qoq. The growth in focus geographies was encouraging across verticals with a cautiously optimistic approach towards Insurance and Retail.

* TCS is gaining significantly on competencies across Digital service offerings, lea

14/07/2017 2:57:26 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy NTPC Ltd For Target Rs.198.00 - Motilal Oswal

Project commissioning augurs well for capitalization

Receding concerns to re-rate stock; Reiterating Buy

Recent rapid commissioning has improved visibility of capitalization

NTPCsa (standalone) capitalization (drives regulated equity and PAT) will pick up pace after a lull period of

13/07/2017 3:05:53 PM | Posted in Broking Firm Views - Long Term Report read full news
Reduce Bharti Airtel Ltd For Target Rs.306.00 - Emkay

Cost efficiencies paying off well; Currency headwinds impacted Africa

* Standalone EBITDA growth was 3% with margin expansion of 125bps, driven by continued focus on ‘War-on-Waste’ initiative, which resulted in cost increase of 1%. Subsidiaries (exBharti Infratel) continued to face pressure.

* Adverse currency movements affected A

13/07/2017 2:42:34 PM | Posted in Broking Firm Views - Long Term Report read full news
Update On Bodal Chemicals Ltd - SPA Sec

Bodal Chemicals (BCL) is a leading manufacturer of dyes Intermediates/dyestuff and has diversified into speciality chemicals. Bodal has built an integrated model of dye manufacturing and has the cost advantage due to complete integration. BCL with leadership in domestic market and increasing presence in global market is expected to benefit from downfall of Chinese dyestuff industry and expected

13/07/2017 2:34:56 PM | Posted in Broking Firm Views - Long Term Report read full news
Hold Oil India Ltd For Target Rs.290.00 - Sharekhan

Key points

* A sharp decline in oil price and rupee appreciation led to a 15% cut in our FY2018E and FY2019E earnings estimate for Oil India:

Brent oil price recently declined sharply by 10% to $48.9/bbl, as compared to a sharp rebound to $55/bbl in Q4FY2017 (post decision by OPEC and non-OPEC oil-producing n

13/07/2017 11:54:31 AM | Posted in Broking Firm Views - Long Term Report read full news
Update On IndusInd Bank Ltd - Sharekhan

Key points

* Robust Operational performance continues:

IndusInd Bank (IIB) has posted stable set of numbers in Q1 FY2018 with strong topline growth despite some niggling asset quality issues. The bank witnessed a robust growth of 31% YoY (6% QoQ) of its core NII at Rs 1774 crore on the back of robust busines

13/07/2017 11:47:37 AM | Posted in Broking Firm Views - Long Term Report read full news
Update On Patel Integrated Logistic Ltd - SPA Sec

Patel Integrated Logistics Limited (PIL) is a Mumbai-based logistics solutions provider to over 2000 clients. PIL's business segments (% contribution to total revenues in FY17) include Surface Transportation (39.6%), Co-loading of air cargo (6.6%) and Consolidation of Cargo (53.7%). PIL provides logistics solutions through all over urban and rural India. The Company is also engaged in the b

12/07/2017 4:26:22 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy South Indian Bank Ltd For Target Rs.33.30 - Kotak Sec

Key Highlights of South Indian Bank's Q1FY2018 Result

South Indian Bank's Q1FY2018 result was quite below our expectations, however we continue to reiterate our BUY on the stock looking at its attractive valuations and the receding asset quality stress

* South Indian Bank (SIB) reported mere 6.7% rise in its net profit for Q1FY2018 t

12/07/2017 3:52:50 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy IndusInd Bank Ltd For Target Rs.1,820.00 - IIFL

Strenghteninig  franchise

Loan  growth on strong trajectory; mix  to tilt towords consumer fin

Induslnd Bank’s loan growth moderated a bit to 24% yoy on the back of growth deceleration in both retail (~40% of loan book) and corporate (~60%) asset portfolios. In the  case , growth in the vehicle finan

12/07/2017 3:21:03 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Salasar Techno Engineering Ltd For Target Rs.247.00 - Ventura Sec

Salasar Techno Engineering Ltd (Salasar) is a pure EPC company, offering engineering and technical solutions with operations diversified across the segments of telecom, T&D and rural electrification, solar, smart city solutions and fabricated steel and cold formed structures. We expect its revenues to grow at a CAGR of 14.2% from Rs. 384.3 crore to Rs. 573 crore by FY20. EBITDA and PAT are

12/07/2017 2:53:42 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy APL Apollo Tubes Ltd For Target Rs.2,352.00 - Religare Sec

A strong play on capacity expansion and innovation...

APL Apollo Tubes is amongst India's leading branded steel products manufacturers. The Company operates seven manufacturing facilities with a total capacity of 1.3 Million MTPA. It has pan India presence with units strategically located in Sikandarabad (3 units), Bangalore, Hosur, Murbad and Raip

12/07/2017 2:25:45 PM | Posted in Broking Firm Views - Long Term Report read full news
Update On South Indian Bank Ltd - Motilal Oswal

PPOP growth marred by provisions; balance sheet cleanup accelerates

* SIB reported PAT growth of -34%/+7% QoQ/YoY. The bank registered 35%/46% QoQ/YoY PPOP growth on the back of high trading gains which formed ~44% of total other income, the 2nd highest in 13 quarters with the exception of 3QFY17. However, provisions soared 36%/97% QoQ/YoY, resulting

12/07/2017 2:09:22 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy IndusInd Bank Ltd For Target Rs.1,800.00 - Motilal Oswal

Mixed asset quality; strong operating performance

* IndusInd Bank’s (IIB) 1QFY18 PAT grew 31% YoY (in-line) to INR8.4b. Strong loan growth of 24% YoY (in line with management guidance) and steady NIM at 4% (+3bp YoY; ~10bp higher than expected) drove robust NII performance (+31% YoY; 5% beat).

* Robust NII performance, coupled with str

12/07/2017 2:06:31 PM | Posted in Broking Firm Views - Long Term Report read full news
Update On Rajoo Engineers Ltd - Kotak Sec

Rajoo Engineers Ltd (REL)is India’s prominent manufacturer of plastic industry processing machines specifically, extrusion and post extrusion machines for producing plastic products that find application in flexible packaging, drip irrigation, infrastructure, automobile and healthcare industry. Founded in 1986, located in Rajkot (Gujarat), REL has gradually expanded its operatios in India

11/07/2017 3:43:14 PM | Posted in Broking Firm Views - Long Term Report read full news