Buy Colgate Palmolive Ltd For Target Rs.1,109.00 - Reliance Sec

Wholesale De-stocking & Higher A&P Spend Impact Growth

Colgate-Palmolive has delivered a subdued performance in 4QFY17 with its revenues growing by 2.5% YoY to Rs10.3bn, while net profit remained largely flat at Rs1.4bn. Its overall quarterly volume fell by 3% YoY due to weakness in wholesale trade post demonetisation. Growth in net profit was

25/05/2017 1:44:37 PM | Posted in Broking Firm Views - Long Term Report read full news
Hold Asian Paints Ltd For Target Rs.1,143.00 - Reliance Sec

Growth Trajectory Impressive but Valuations Limit Upside

Asian Paints reported a mixed set of numbers for 4QFY17. While its consolidated revenues grew by 7.8% YoY to Rs39.5bn, EBITDA grew by a modest 2.1% YoY to Rs7.1bn. Consolidated net profit increased 10.1% YoY to Rs4.8bn on the back of higher other income. Volume growth in the decorative business

24/05/2017 1:42:44 PM | Posted in Broking Firm Views - Long Term Report read full news
GST Update The Biggest Reform Set to Roll-Out - Reliance Sec

The Biggest Reform Set to Roll-Out

With the finalization of GST rates for all goods and services (barring few), India finally appears to bid adieu to the seventy-year old indirect taxation framework and is likely to roll-out unified tax “Goods and Services Tax” (GST) regime from 1st July’17. While it was difficult for the government

23/05/2017 4:50:12 PM | Posted in Special Event Reports read full news
Buy HCL Technologies Ltd For Target Rs.963.00 - Reliance Sec

Solid quarter, outlook positive

HCL Technologies (HCLT) reported strong revenue growth of 3.8% QoQ in CC terms in 4QFY17, while USD revenue growth came in at a healthy 4.1% QoQ to US$1,817mn. EBIT margin was 46bps above our estimate, aided by revenue growth and higher utilisation. The IT major guided for 10.5-12.5% CC revenue growth for FY18E, and exp

23/05/2017 12:25:54 PM | Posted in Broking Firm Views - Long Term Report read full news
Hold ABB India Ltd For Target Rs.1,607.00 - Reliance Sec

Well-placed in Power T&D Space; Order Book Remains Robust

While ABB India’s revenue rose by 9.4% YoY to Rs22.9bn broadly in-line with our estimate of Rs23.0bn, execution in Electrification Products (+3.5% YoY) & Process/Industrial Automation (+3.4% YoY) was modest. Impacted by provisioning of Expected Credit Loss (ECL) under INDAS account

22/05/2017 2:14:13 PM | Posted in Broking Firm Views - Long Term Report read full news
Hold Canara Bank Ltd For Target Rs.384.00 - Reliance Sec

Higher Slippages & Ageing of Old NPAs Drag Performance

Canara Bank reported 80.6% YoY and 50% QoQ growth in operating profit to Rs29.7bn led by one-time gain of Rs7bn from partial stake sale in housing subsidiary, CanFin Home and interest income on I-T refund. However, its earnings declined by 33.5% QoQ to Rs2.1bn owing to 82.5% QoQ surge in provis

18/05/2017 2:06:04 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Majesco Ltd For Target Rs.556.00 - Reliance Sec

Another Disappointing Performance

Majesco Limited (Majesco) announced another soft quarter in 4QFY17, with revenue declining 6.2% QoQ to US$28.2mn, while profitability was better than expected, with EBITDA margin up 114bps QoQ to 6.8%, aided by cost control. In INR terms, revenue declined 7.1% QoQ to Rs1.9bn. Revenue pressure was owing to some client

17/05/2017 2:33:11 PM | Posted in Broking Firm Views - Long Term Report read full news
Hold Godrej Consumer Products Ltd For Target Rs.1,846.00 - Reliance Sec

Resilient Performance but Valuations Pricey

Godrej Consumer Products (GCPL) has posted an impressive performance in 4QFY17 with its consolidated revenues, EBITDA and consolidated net profit growing by 11.8% YoY, 19.3% and 22% to Rs23.8bn, Rs5.4bn and Rs3.8bn, respectively. While its domestic business grew by 10% YoY, international business revenues inc

16/05/2017 12:19:28 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy HDFC Bank Ltd For Target Rs.1,786.00 - Reliance Sec

Improving Outlook; Maintain BUY

HDFC has reported a strong performance in line with our estimate for another quarter led by strong growth in NII (+13.2% YoY and 12.7% QoQ to Rs31.2bn) and lower operating expenses (+12.8% YoY and -11.1% QoQ to Rs1.9bn). Overall AUM growth remained healthy at 16% YoY, led by continued pick-up in non individual loans book

15/05/2017 1:55:19 PM | Posted in Broking Firm Views - Long Term Report read full news
Nifty IT has bounced from strong supports of sub 10,000 levels - Reliance Sec

Market Review

NIFTY re-visits to new 52 week high at 9,450 levels on back of strong move in beaten down sectors like IT, Telecom and Pharma while there was some minor profit booking in banks after a sharp run up in the past few weeks. Automobiles was the second highest gaining sector on back of strong performance from Eicher & Hero Motors. Midcap I

Review for the month of April, 2017 - Reliance Sec

The official Wholesale Price Index for ‘All Commodities’ (Base: 2011-12=100) for the month of April, 2017 declined by 0.2 percent to 113.2 (provisional) from 113.4 (provisional) for the previous month.

 

INFLATION  

The annual rate of inflation, based on monthly WPI, stood at 3.85% (provisional) for the month o

13/05/2017 5:05:00 PM | Posted in Special Event Reports read full news
Hold ICICI Bank Ltd For Target Rs.287.00 - Reliance Sec

Lacklustre Performance Continues; Reiterate HOLD

ICICI Bank has reported lacklustre performance on operating as well as asset quality front in 4QFY17. Its operating profit declined by 28.1% YoY and 7.5% QoQ to Rs51.1bn, while asset quality continued to remain under stress with fresh slippages of Rs112.9bn vs. Rs70.4bn in 3QFY17 and Rs70bn in 4QFY16. M

12/05/2017 2:45:22 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Tata Elxsi Ltd For Target Rs.1,470.00 - Reliance Se

* The stock is consolidating after forming bottom at Rs 1435 with positive price action in the past few weeks, confirming an uptrend.

* The key technical indicator has also reversed from their lower levels and is expected to break on the upside.

* The stock has strong support on its weekly charts holding the short and medium term averages and the positive divergence in the l

12/05/2017 2:20:07 PM | Posted in Broking Firm Views - Short Term Report read full news
Buy Majesco Ltd For Target Rs.556.00 - Reliance Se

STOCK IN FOCUS

* Majesco’s stock rose by 2.4% yesterday, while the BSE Sensex was flat. While the company reported a disappointing 4QFY17, with revenue down 6.2% QoQ in USD terms, we believe underlying industry fundamentals and the key IBM partnership will enable Majesco to boost revenue growth in FY18E.

* Under-penetrated and significa

12/05/2017 2:14:43 PM | Posted in Broking Firm Views - Short Term Report read full news
Indian soybean prices started the session flat - Reliance Sec

FUNDAMENTALS

U.S. soybean futures hit a 1-1/2-week low on Thursday, pressured by follow-through weakness after Wednesday's poor technical close and some farmer selling Chicago Board of Trade July soybean futures settled down 4 cents at $9.66 1/4 per bushel after dipping to $9.63, the contract's lowest since May 1.<

12/05/2017 8:20:01 AM | Posted in Commodities Reports read full news
Indian gold and silver prices track overseas prices - Reliance Sec

FUNDAMENTALS

Gold and Silver ended firm on Thursday as U.S. and European stock markets retreated, though it pared gains after data showing a tightening jobs market and accelerating inflation briefly lifted the Dollar and pulled U.S. bond yields from earlier lows.

Spot gold ended up by 0.47% at $1,224.4 an&nb

12/05/2017 8:08:57 AM | Posted in Commodities Reports read full news
We expect the Rupee to open around 64.35-64.42 levels - Reliance Sec

RECOMMENDATIONS

DOMESTIC MARKET RECAP

The Indian Rupee posted its biggest single-session gain in 4 weeks against the Dollar, helped by greenback sales by a few corporates and bunched-up dollar inflows after a mid-week holiday. However, it pared some gains after at least two state-run banks stepped up greenback

Hold Marico Ltd For Target Rs.300.00 - Reliance Sec

Strong Set of Numbers; but Priced in

Marico has reported a strong set of numbers in 4QFY17 led by 10% YoY volume growth in domestic business. While its consolidated net sales grew by 2.2% YoY to Rs13.2bn, EBITDA and net profit increased by 20.1% YoY and 25.5% YoY to Rs2.5bn and Rs1.7bn, respectively.

We estimate Marico to deliver 12.3% and 15

11/05/2017 2:15:20 PM | Posted in Broking Firm Views - Long Term Report read full news
Buy Amara Raja Batteries Ltd For Target Rs.950.00 - Reliance Se

* The stock reversed after taking support of its key moving averages and rose to one month high with a decent volume.

* Key technical indicators-Stochastic, RSI and MACD are positively poised above their neutral line and signaling strength in the stock.

* On the higher side, the stock will face minor hurdle around its long-term moving average 200-DSMA, but major hurdle is pl

11/05/2017 12:28:24 PM | Posted in Broking Firm Views - Short Term Report read full news
Buy Ramco Cements Ltd For Target Rs.785.00 - Reliance Se

STOCK IN FOCUS

* Ramco Cements (RCL) gained ~2% in yesterday’s trade on the expectation of better performance ahead owing to healthy recovery in realizations in Southern and Eastern markets.

* Though 4QFY17 result is expected to be subdued for southern based companies, RCL is expected to deliver better profitability in ensuing quarters

11/05/2017 12:23:53 PM | Posted in Broking Firm Views - Short Term Report read full news
Indian gold and silver prices track overseas prices - Reliance Sec

FUNDAMENTALS

Gold ended mixed on Wednesday with Spot ending marginally higher and futures ending marginally lower. Downside was limited as U.S. President Trump's abrupt firing of FBI chief James Comey weighed on U.S. stocks, though gains were capped by expectations of further interest rate increases.

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11/05/2017 12:16:22 PM | Posted in Commodities Reports read full news
USDINR May contract ended higher in the previous session - Reliance Sec

RECOMMENDATIONS    

DOMESTIC MARKET RECAP

The Indian Rupee logged the worst fall against the Dollarin nearly five months, on greenback demand from crude oil and other importers.

The Rupee settled at 64.62 to a Dollar its lowest since Apr. 18, and from 64.30 at previous close. The session al

Buy JSW Energy Ltd For Target Rs.74.00 - Reliance Sec

Lower Generation & Higher Fuel Cost Dent Performance

JSW Energy (JSWEL) has reported a subdued performance in 4QFY17. its net profit declined by 91.7% led by lower generation and higher fuel cost. Net generation dipped by 31.1% YoY to 4,017mn units mainly due to lower system demand. With 29.2% YoY, 45.5% YoY & 91.7% YoY decline in revenue, EBIT

10/05/2017 2:40:15 PM | Posted in Broking Firm Views - Long Term Report read full news