Market Outlook 05-09-2013

Market Outlook
September 5, 2013
Dealers Diary
Indian markets are expected to open in the positive territory tracking a positive
opening in SGX Nifty and most of the Asian markets.
Domestic Indices
Chg (%)
(Pts)
(Close)
BSE Sensex
1.8
333 18,568
The US markets closed moderately higher, posting positive gains for second
consecutive session. The strength emerged as stocks continued to recover from the
sell-off that was seen last Tuesday. Positive sentiment was also generated by news
that major automakers reported double digit growth in U.S. vehicle sales in the
month of August. The Commerce Department released a report which said that
trade deficit widened to $39.1 billion in July compared to a revised $34.5 billion
deficit in June which still represents the narrowest U.S. trade deficit since October
of 2009. European markets too ended the day in green relieved slightly on Syria
attack concerns, since with the U.S. Congress still on recess, a U.S. strike would not
come until next week at the earliest.
Nifty
2.0
107
5,448
MID CAP
1.0
54
5,330
Meanwhile, Indian shares rebounded on Wednesday after falling for 4% the day
before. INR recovered to 67 after falling to 68.60 earlier in the session, RBI relaxed
some of the recent curbs on the outward investments imposed last month. Currency
recovery came in as noted economist Raghuram Rajan took over as the 23rd RBI
governor on Wednesday.
Global Indices
Markets Today
The trend deciding level for the day is 18,456 / 5,409 levels. If NIFTY trades
above this level during the first half-an-hour of trade then we may witness a further
rally up to 18,724 18,880 / 5,499 5,550 levels. However, if NIFTY trades
below 18,456/ 5,409 levels for the first half-an-hour of trade then it may correct
up to 18,300 18,032/ 5,358 5,268 levels.
Indices
S2
S1
PIVOT
R1
R2
SENSEX
18,032
18,300
18,456
18,724
18,880
NIFTY
5,268
5,358
5,409
5,499
5,550
News Analysis
SMALL CAP
0.7
37
5,231
BSE HC
2.6
230
9,070
83
5,065
BSE PSU
1.7
BANKEX
2.1
206 10,077
AUTO
2.5
249 10,331
METAL
2.8
215
8,024
OIL & GAS
2.1
168
8,222
BSE IT
2.2
171
8,096
Chg (%)
(Pts)
(Close)
Dow Jones
0.7
97 14,931
NASDAQ
1.0
36
3,649
FTSE
0.1
6,475
Nikkei
0.5
75 14,054
Hang Sang
(0.3)
(68) 22,326
Straits Times
(1.3)
(39)
3,015
0.2
2,128
Chg (%)
(Pts)
(Close)
INFY
2.8
1.2
$46.7
WIT
4.8
0.4
$9.3
IBN
5.7
1.5
$27.0
HDB
3.6
1.0
$28.6
Shanghai Com
Indian ADR
Advances / Declines
BSE
NSE
1,347
841
Declines
942
475
Unchanged
152
77
Advances
Change of guard at the RBI, slew of measures announced

Wipro bags US$125mn Deutsche Bank contract
NMDC analyst meet update
IPCA Labs SEZ Indore facility gets USFDA nod
Refer detailed news analysis on the following page
Volumes (` cr)
Net Inflows (September 03, 2013)

` cr
Purch
Sales
Net
MTD
YTD
FII
2,079
2,805
(726)
(225)
58,973
267
471
(204)
(204)
(13,200)
MFs
FII Derivatives (September 04, 2013)

` cr
Purch
Sales
Net
Open Interest
Index Futures
3,924
3,276
648
10,184
Stock Futures
2,139
1,821
318
26,937
Gainers / Losers
Company
Gainers
Price (`)
chg (%)
Company
Ranbaxy Lab
444
8.8
Sobha Dev
IPCA Lab
700
8.2
Pipavav Defence
ING Vysya Bank
439
7.1
REC
176
36
Jaiprakash Asso
www.angelbroking.com
Losers
Price (`)
chg (%)
218
(6.2)
45
(5.0)
Max India
151
(2.5)
6.6
Mphasis
432
(2.4)
6.3
Castrol India
316
(2.3)
BSE
1,939
NSE
11,141
Market Outlook
September 5, 2013
Change of guard at the RBI, slew of measures announced

In his first address as the RBI governor, Dr. Raghuram Rajan has unveiled a slew of
measures to restore confidence. His first monetary policy statement is expected on
September 20, 2013 as against the original date on September 18. We believe
that the policy review is rescheduled in light of the Federal Reserves policy meeting
during the same period is likely to determine the direction for markets and capital
flows.
The governor emphasized at push for more international settlements in rupees and
further liberalization of our financial markets. The RBI will offer a concessional
window for banks to swap FCNR dollar deposits mobilized for a minimum tenor of
three years and over, at a fixed rate of 3.5% per annum for the tenor of the
deposit. It has also decided that the current overseas borrowing limit of 50% of
the unimpaired Tier I capital will be raised to 100% and the borrowings mobilized
under this provision can be swapped with Reserve Bank of India at the option of
the bank at a concessional rate of 100 basis points below the ongoing swap rate
prevailing in the market. These schemes are open for banks until November 30.
To protect savings for households, the RBI is expected to introduce Inflation
Indexed Savings Certificates linked to the CPI to retail investors by November
2013. This is a positive step as CPI inflation has continued to remain elevated and
negative real interest rates have brought down savings from almost 37% of GDP in
FY2008 to 30.8% of GDP in FY2012.
Some of the measures aimed at liberalizing financial markets include enabling
exporters/importers to re-book cancelled forward exchange contracts to the extent
of 50% for exporters (from 25%) and 25% for importers, introduction of cash
settled 10 year interest rate future contracts and examining introduction of interest
rate futures on overnight interest rates.
In addition, the governor roughly indicated that new bank licenses are likely to be
announced around January 2014. He also stated that the RBI is expected to shortly
free bank branching for domestic scheduled commercial banks without permission
of the RBI. Over a medium-term, he also underscored the need to reduce banks
requirement to invest in government securities in a calibrated way when
government finances improve.
Lok Sabha passes Pension Bill

The Lok Sabha yesterday passed the Pension Fund Regulatory and Development
Authority Bill 2011. The Bill is aimed at creating a regulator for the pension sector.
The foreign investment cap for the sector is linked to the same in the insurance
sector and once that is passed, the ceiling would be raised from 26% to 49%. At
present the FDI limit is capped at 26%. The Pension Bill has been stuck in
Parliament since its introduction in 2005 post which it lapsed and was reintroduced in 2011. The bill seeks to empower PFRDA to regulate the New Pension
Scheme which provides subscribers options like equity, bonds and corporate debt
to invest in. The bill is likely to channelize investment in the economy and thereby
benefit infrastructure development.
Market Outlook
September 5, 2013
Wipro bags US$125mn Deutsche Bank contract

Wipro is understood to have bagged a multi-year contract from Deutsche Bank
valued around US$125mn (~850cr). According to media reports, as a part of the
five-year contract, Wipro would primarily provide application maintenance services
to Deutsche Bank even though there will a small component of application
development services work as well. This is the second major client win for Wipro in
the banking, financial services and insurance (BFSI) space in the past three
months. In June, Wipro had bagged a large IT outsourcing contract worth
~US500mn from Citigroup, the tenure of the contract was also for five years. The
recent wins in the BFSI space are a major uplift for Wipro which derives ~26.5% of
its overall revenues from this vertical. However, its exposure to the BFSI space is
somewhat low as compared to its large peers such as TCS and Infosys. In January
2011 when Wipro decided to restructure the management by doing away with the
joint CEO model, the company had made it clear that BFSI as well as Healthcare
are going to be two major thrust areas. Owing to recent sharp rum up in the stock
price of Wipro, we maintain our Neutral rating on the stock.
NMDC analyst meet update

We attended the analyst meet held by NMDC after its 1QFY2014 results. The key
takeaways from the meet were:
It sold ~4.0mn tonnes of iron ore during July- August 2013.
It aims to sell atleast 30mn tonnes (including 2.8mn tonnes of exports) for
FY2014. We conservatively model 28mn tonnes (+6.9% yoy) considering the
weak demand environment and difficulties in raising offtake.
It indicated that it can raise export volumes if government cuts export duty or
railway freight on exported iron ore is lowered (unlikely in our view).
Despite increase in steel prices, it is not expecting any changes in iron ore
prices in the near-term.
We believe NMDC could surprise with higher than our estimated volumes of 28mn
tonnes in case it increases its exports. We maintain our Buy rating on the stock with
a target price of `143.
IPCA Labs SEZ Indore facility gets USFDA nod

US Food and Drug Administration (USFDA) following an inspection, has found
acceptable the IPCA Labs oral solid dosage formulations manufacturing facility
situated at Pharmazone SEZ Indore, Madhya Pradesh. This will enable the
company to commercialise oral solid dosage formulations in the US market from
this manufacturing facility. Ipca Laboratories in an earlier in November 2012 had
during the course of the internal quality assurance review, had noticed a few nonconformances at the said manufacturing unit and had voluntarily referred these to
the USFDA. Consequently, the company decided that till the issue is resolved to the
satisfaction of the USFDA, no dosage formulations manufactured at this
manufacturing unit will be commercialized for the US market.
Management had earlier guided that once the approval is received, the facility
would cater to the US generic market and potentially post sales of US$100mn in
Market Outlook
September 5, 2013
the next 2-3 years. Management expects the revenue from Indore SEZ to start from
4QFY2014. For FY2014 and FY2015, we have build in a revenues of `51cr and
`200cr revenues from this facility, and hence upgrade our sales forecast by 1.5%
and 6.7% respectively. Consequently the EPS of the company stands upgraded by
1.7% and 7.6% respectively during FY2014 and FY2015 respectively. Since the
stock has witnessed a strong up move on back of the same, we retain our neutral
stance on the stock with a upgraded target of `724.
Economic and Political News
Govt may slap anti-dumping duty on a bulk drug from EU cos

Electricity price on bourse slides to `2.05 per unit in Aug
RBI eases overseas investment norms for Indian corporate
Corporate News
Honda to increase output capacity by 30% in India

Tata Motors to go ahead with investment of `3,000cr
Indian private debt placements up 11% in April-June quarter
Source: Economic Times, Business Standard, Business Line, Financial Express, Mint
Market Outlook
September 05, 2013
Global economic events release calendar
Date
Time
Country Event Description
Unit
Period
Bloomberg Data
Last Reported Estimated
September 5, 2013
September 6, 2013
6:00PM
US
Initial Jobless claims
4:30PM
UK
BOE Announces rates
Thousands
Aug 31
331.00
330.00
% Ratio
Sep 5
0.50
0.50
5:15PM
Euro Zone ECB announces interest rates
Sep 5
0.50
0.50
2:00PM
UK
Industrial Production (YoY)
% Change
Jul
1.20
(1.70)
6:00PM
US
Change in Nonfarm payrolls
Thousands
Aug
162.00
180.00
6:00PM
US
Unnemployment rate
Aug
7.40
7.40
September 8, 2013
4:29PM
China
Exports YoY%
% Change
Aug
5.10
5.30
September 9, 2013
7:00AM
China
Consumer Price Index (YoY)
% Change
Aug
2.70
2.60
September 10, 2013
11:00AM
China
Industrial Production (YoY)
% Change
Aug
9.70
9.90
4:29PM
India
Imports YoY%
% Change
Aug
(6.20)
--
4:29PM
India
Exports YoY%
% Change
Aug
11.64
--
September 11, 2013
2:00PM
UK
Jobless claims change
% Change
Aug
(29.20)
--
September 12, 2013
5:30PM
India
Industrial Production YoY
% Change
Jul
(2.20)
--
September 13, 2013
6:00PM
US
Producer Price Index (mom)
% Change
Aug
--
0.10
September 16, 2013
12:00PM
India
Monthly Wholesale Prices YoY%
% Change
Aug
5.79
--
2:30PM
Euro Zone Euro-Zone CPI (YoY)
Aug F
1.30
--
6:45PM
US
Industrial Production
Aug
0.04
--
2:00PM
UK
CPI (YoY)
% Change
Aug
2.80
--
6:00PM
US
Consumer price index (mom)
% Change
Aug
0.20
--
6:00PM
US
Housing Starts
Thousands
Aug
896.00
--
6:00PM
US
Building permits
Thousands
Aug
954.00
--
September 17, 2013

September 18, 2013
11:30PM
US
FOMC rate decision
Sep 18
0.25
--
September 19, 2013
7:30PM
US
Existing home sales
Million
Aug
5.39
--
September 20, 2013
11:00AM
India
RBI Repo rate
Sep 20
7.25
--
11:00AM
India
RBI Cash Reserve ratio
Sep 20
4.00
--
11:00AM
India
RBI Reverse Repo rate
Sep 20
6.25
--
7:30PM
Euro Zone Euro-Zone Consumer Confidence
Value
Sep A
(15.60)
--
1:00PM
Germany PMI Services
Value
Sep A
52.80
--
1:00PM
Germany PMI Manufacturing
Value
Sep A
51.80
--
September 23, 2013
Source: Bloomberg, Angel Research
Market Outlook
September 05, 2013
Macro watch
Exhibit 1: Quarterly GDP trends
Exhibit 2: IIP trends
(%)
(%)
10.0
11.4
9.2
6.0
4.0
2.0
(1.0) (0.6)
(0.7)
(4.0)
Mfg. PMI
60.0
8.1
7.2
7.3
Apr-13
Exhibit 4: Manufacturing and services PMI
(%)
7.3
(2.2)
Source: MOSPI, Angel Research
Exhibit 3: Monthly WPI inflation trends
8.0
7.0
6.0
5.0
4.0
3.0
2.0
1.0
0.0
May-13
(2.8)
Jun-13
(0.1)
Jul-12
1QFY14
4QFY13
3QFY13
2QFY13
1QFY13
4QFY12
3QFY12
2QFY12
1QFY12
4QFY11
3QFY11
2QFY11
1QFY11
4QFY10
Source: CSO, Angel Research
7.3
Services PMI
58.0
7.3
5.8
5.7
4.8
4.9
4.6
56.0
54.0
52.0
50.0
Source: MOSPI, Angel Research
Jul-13
Jun-13
May-13
Apr-13
Mar-13
Feb-13
Jan-13
Dec-12
Oct-12
Nov-12
Sep-12
Aug-12
Jul-12
Jun-12
Source: Market, Angel Research; Note: Level above 50 indicates expansion
Exhibit 5: Exports and imports growth trends

Exports yoy growth
(%)
15.0
12.0
9.0
6.0
3.0
0.0
(3.0)
(6.0)
(9.0)
(12.0)
(15.0)
46.0
May-12
Jul-13
Jun-13
May-13
Apr-13
Mar-13
Feb-13
Jan-13
Dec-12
Nov-12
Sep-12
48.0
Oct-12
Exhibit 6: Key policy rates
Imports yoy growth
Repo rate
(%)
9.00
Reverse Repo rate
CRR
8.00
7.00
6.00
5.00
4.00
Source: Bloomberg, Angel Research
Source: RBI, Angel Research
Aug-13
Jul-13
Jun-13
Jun-13
May-13
Apr-13
Apr-13
Mar-13
Feb-13
Feb-13
Jan-13
Dec-12
Dec-12
Nov-12
Oct-12
Oct-12
Sep-12
Jul-13
Jun-13
May-13
Apr-13
Mar-13
Feb-13
Jan-13
Dec-12
Nov-12
Oct-12
Sep-12
Aug-12
3.00
Aug-12
9.0
(2.0)
Mar-13
4.7 4.8 4.4
1.9
0.6
Jan-13
5.1 5.4 5.2
Dec-12
6.0
3.5
2.5
2.0
Nov-12
6.5
Feb-13
7.5
Oct-12
7.7
Sep-12
8.6
8.4
8.0
9.9
Aug-12
9.5
3QFY10
12.0
11.0
10.0
9.0
8.0
7.0
6.0
5.0
4.0
3.0
Market Outlook
September 05, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
Sales ( cr )
FY14E
OPM(%)
EPS ( )
FY15E
FY14E
FY15E
FY14E
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
Agri / Agri Chemical

Rallis
Neutral
150
2,909
1,674
1,923
13.7
13.7
6.8
7.6
22.0
19.7
4.1
3.6
20.0
19.6
1.8
1.6
United Phosphorus
Buy
134
225
5,949
10,091
11,302
16.5
16.5
19.2
22.5
7.0
6.0
1.1
1.0
17.0
17.2
0.7
0.6
Amara Raja Batteries
Buy
268
305
4,574
3,474
3,952
15.5
15.5
19.0
21.0
14.1
12.7
3.4
2.8
27.2
24.2
1.3
1.1
Apollo Tyres
Neutral
65
3,274
13,409
15,106
11.8
11.6
13.1
15.4
4.9
4.2
0.8
0.7
17.9
17.8
0.4
0.3
Ashok Leyland
Buy
13
18
3,374
12,945
15,049
6.3
8.2
0.2
1.5
72.9
8.4
1.1
1.0
1.1
9.1
0.4
0.3
Automotive Axle#
Neutral
197
298
700
890
8.7
10.7
11.1
25.8
17.7
7.7
1.1
1.0
6.2
13.9
0.5
0.4
Bajaj Auto
Buy
1,885
2,115
54,553
22,042
25,399
19.3
19.3
121.1
141.0
15.6
13.4
5.5
4.4
39.4
36.6
2.0
1.7
Bharat Forge
Accumulate
242
256
5,623
5,942
6,417
15.2
15.5
15.6
19.7
15.4
12.3
2.3
2.0
15.4
17.3
1.1
1.0
Bosch India*
Accumulate
8,181
9,096
25,687
9,301
10,895
16.8
18.0
339.9
423.1
24.1
19.3
4.0
3.4
16.6
17.6
2.4
2.0
CEAT
Buy
101
170
365
5,159
5,628
9.3
9.0
43.5
48.6
2.3
2.1
0.4
0.3
18.4
17.5
0.2
0.2
Exide Industries
Buy
124
148
10,506
6,899
7,873
14.7
14.7
7.9
9.0
15.6
13.7
2.7
2.3
18.3
18.0
1.2
1.0
FAG Bearings*
Neutral
1,156
1,921
1,336
1,572
13.8
16.0
75.6
102.4
15.3
11.3
1.9
1.7
13.4
15.8
1.2
1.0
Hero Motocorp
Accumulate
1,927
2,073
38,483
25,543
28,228
14.5
14.5
110.5
148.1
17.4
13.0
6.6
5.2
40.8
44.9
1.3
1.1
JK Tyre
Buy
84
152
346
7,376
8,262
10.0
9.8
56.0
60.9
1.5
1.4
0.3
0.3
22.7
20.2
0.4
0.4
Mahindra and Mahindra Buy
780
1,011
48,027
42,318
48,067
12.0
12.2
58.5
67.1
13.3
11.6
2.7
2.3
21.6
21.1
0.9
0.7
Auto & Auto Ancillary
Maruti
Buy
1,278
1,571
38,598
45,877
52,733
11.2
11.2
93.0
104.7
13.8
12.2
1.8
1.6
14.2
14.0
0.7
0.5
Motherson Sumi
Buy
193
242
11,340
28,442
31,914
8.4
8.7
13.0
16.1
14.9
12.0
3.9
3.1
29.4
28.6
0.5
0.5
Subros
Buy
19
23
116
1,230
1,398
10.5
10.5
2.3
3.8
8.3
5.1
0.4
0.4
4.8
7.6
0.3
0.3
Tata Motors
Buy
311
355
83,853 215,043 240,077
13.5
13.7
35.1
39.4
8.9
7.9
2.1
1.7
26.2
23.3
0.4
0.4
TVS Motor
Buy
30
36
1,409
7,659
8,528
6.0
6.2
4.9
5.9
6.1
5.0
1.0
0.9
17.8
19.0
0.1
0.1
Capital Goods
ABB*
Neutral
461
9,776
8,037
9,087
5.8
6.9
12.2
17.0
37.8
27.1
3.6
3.5
9.8
13.1
1.2
1.0
BGR Energy
Neutral
100
719
3,541
4,041
11.8
10.7
21.1
22.9
4.7
4.4
0.6
0.5
21.8
19.5
0.5
0.4
BHEL
Neutral
127
31,036
42,227
38,453
16.0
14.4
18.8
15.0
6.7
8.5
1.4
1.3
21.7
15.4
0.5
0.6
Blue Star
Buy
134
208
1,203
2,941
3,099
3.4
4.2
6.0
9.3
22.4
14.4
2.8
2.4
12.9
18.0
0.5
0.5
Crompton Greaves
Buy
84
103
5,366
13,418
14,654
5.8
6.7
5.8
7.8
14.4
10.7
1.4
1.3
10.1
12.5
0.5
0.5
Jyoti Structures
Neutral
18
149
3,312
3,555
9.0
9.0
4.5
6.5
4.0
2.8
0.2
0.2
5.6
7.7
0.3
0.3
KEC International
Buy
24
36
618
7,709
8,399
6.2
6.9
5.1
8.1
4.7
3.0
0.5
0.4
16.6
21.5
0.3
0.2
Thermax
Neutral
545
6,495
5,832
6,397
9.1
9.6
28.8
32.9
18.9
16.6
3.1
2.7
17.2
17.3
1.0
0.9
Buy
933
1,225
17,516
11,581
13,009
17.6
19.3
63.9
81.5
14.6
11.5
2.2
2.0
15.6
18.2
1.2
1.0
Cement
ACC
Market Outlook
September 05, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
FY14E
Sales ( cr )
FY15E
FY14E
OPM(%)
FY15E
FY14E
EPS ( )
FY15E
FY14E
PER(x)
FY15E
FY14E
P/BV(x)
FY15E
FY14E
RoE(%)
FY15E
FY14E
EV/Sales(x)
FY15E
Cement
Ambuja Cements
Neutral
170
26,221
9,975
11,409
22.4
23.1
9.4
11.1
18.1
15.3
2.8
2.5
15.7
17.2
2.1
1.7
India Cements
Neutral
49
1,510
4,796
5,357
16.4
16.1
7.3
9.5
6.7
5.2
0.4
0.4
6.4
8.0
0.7
0.6
J K Lakshmi Cement
Buy
58
79
678
2,235
2,684
19.4
21.4
15.0
18.4
3.8
3.1
0.5
0.4
13.2
14.3
0.4
0.9
Madras Cements
Neutral
156
3,703
4,010
4,524
23.5
23.4
14.9
18.3
10.5
8.5
1.4
1.2
14.0
15.2
1.5
1.3
Shree Cement^
Neutral
3,614
12,589
6,316
7,162
26.5
25.7
294.6
340.5
12.3
10.6
2.7
2.2
24.0
22.7
1.5
1.2
UltraTech Cement
Neutral
1,485
40,713
22,021
25,274
22.0
21.6
99.5
113.3
14.9
13.1
2.3
2.0
16.7
16.6
1.8
1.7
44
60
695
1,912
2,131
21.0
21.5
5.0
5.5
8.8
8.0
0.6
0.6
8.8
7.6
1.7
1.7
106
1,715
1,824
2.4
6.2
(2.9)
(0.4)
(2.0)
(15.9)
0.2
0.2
0.5
0.5
Construction
Ashoka Buildcon
Buy
Consolidated Co
Neutral
IRB Infra
Buy
61
106
2,027
3,805
4,248
45.1
45.3
15.0
15.8
4.1
3.9
0.6
0.5
14.5
13.9
2.7
3.0
ITNL
Buy
113
156
2,202
7,423
7,970
27.5
28.7
30.3
32.0
3.7
3.6
0.5
0.5
15.0
14.0
2.4
2.5
IVRCL Infra
Neutral
10
318
5,673
5,892
7.8
7.6
(1.7)
(2.0)
(6.3)
(5.3)
0.2
0.2
0.6
0.6
Jaiprakash Asso.
Buy
36
41
8,077
12,946
14,897
24.7
25.6
1.2
2.7
29.7
13.6
0.6
0.6
2.0
4.3
2.5
2.2
Larsen & Toubro
Buy
699
1,002
64,680
68,946
78,040
10.0
10.0
49.0
55.2
14.3
12.7
2.0
1.8
14.9
15.3
1.1
1.0
Nagarjuna Const.
Buy
17
30
432
6,167
6,945
8.0
8.2
2.7
3.6
6.3
4.6
0.2
0.2
2.7
3.6
0.4
0.4
Punj Lloyd
Neutral
22
721
12,726
14,226
8.2
8.2
0.9
1.0
25.3
21.2
0.3
0.3
1.0
1.2
0.6
0.6
Sadbhav Engg.
Buy
54
99
822
2,462
2,731
10.6
10.6
5.3
6.0
10.3
9.1
0.9
0.8
9.2
9.6
0.6
0.6
Simplex Infra
Buy
40
56
197
6,237
6,908
9.1
9.0
9.9
13.9
4.0
2.9
0.2
0.1
3.7
5.0
0.5
0.4
Unity Infra
Neutral
18
130
2,146
2,339
12.9
13.0
9.3
9.6
1.9
1.8
0.2
0.1
8.0
7.7
0.6
0.7
Allahabad Bank
Neutral
67
3,333
6,843
7,528
2.5
2.5
26.0
30.1
2.6
2.2
0.4
0.3
11.8
12.4
Andhra Bank
Neutral
48
2,689
4,868
5,390
2.4
2.5
12.3
16.6
3.9
2.9
0.4
0.4
7.9
10.0
Axis Bank
Buy
802
953
37,621
19,280
22,886
3.3
3.3
130.7
157.1
6.1
5.1
1.0
0.9
17.3
18.1
Bank of Baroda
Neutral
465
19,599
15,896
17,947
2.2
2.3
95.4
124.4
4.9
3.7
0.6
0.5
12.0
14.2
Bank of India
Neutral
137
8,146
14,482
16,069
2.3
2.2
55.0
62.2
2.5
2.2
0.4
0.3
13.7
13.9
Bank of Maharashtra
Neutral
37
2,451
4,529
4,780
3.0
2.8
12.3
11.8
3.0
3.1
0.5
0.4
16.5
14.1
Canara Bank
Neutral
196
8,689
11,454
12,378
2.0
2.0
52.4
60.5
3.8
3.2
0.4
0.4
9.8
10.4
Central Bank
Neutral
50
5,270
8,196
9,202
2.4
2.4
6.1
15.9
8.3
3.2
0.6
0.5
5.2
12.8
Corporation Bank
Neutral
240
3,677
5,641
6,083
2.0
2.0
82.7
98.1
2.9
2.5
0.4
0.3
12.6
13.5
Dena Bank
Neutral
44
1,542
3,307
3,531
2.2
2.4
17.5
21.6
2.5
2.0
0.3
0.3
11.9
13.2
Federal Bank
Neutral
244
4,172
2,798
3,250
3.0
3.0
38.1
51.9
6.4
4.7
0.6
0.6
9.8
12.3
Financials
Market Outlook
September 05, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
Sales ( cr )
OPM(%)
EPS ( )
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
Financials
HDFC
Neutral
709
110,180
8,679
10,350
3.6
3.6
37.5
44.7
18.9
15.9
3.9
3.5
30.1
30.7
HDFC Bank
Buy
566
692
135,318
27,392
33,264
4.6
4.6
36.3
45.1
15.6
12.6
3.2
2.7
21.9
22.8
ICICI Bank
Buy
818
951
94,412
25,727
29,969
3.2
3.2
83.2
96.7
9.8
8.5
1.3
1.2
14.9
15.4
IDBI Bank
Neutral
54
7,184
9,518
10,468
2.0
2.0
15.5
22.1
3.5
2.4
0.4
0.3
10.2
13.3
Indian Bank
Neutral
62
2,667
5,940
6,396
2.7
2.7
24.9
32.9
2.5
1.9
0.3
0.2
10.3
12.4
IOB
Neutral
40
3,683
7,692
8,627
2.2
2.3
8.1
15.2
4.9
2.6
0.3
0.3
5.9
10.5
J & K Bank
Neutral
1,051
5,093
3,038
3,370
3.7
3.9
214.2
202.6
4.9
5.2
0.9
0.8
19.8
16.3
LIC Housing Finance
Neutral
158
7,994
2,001
2,495
2.2
2.3
23.8
28.8
6.7
5.5
1.1
1.0
17.3
18.2
Oriental Bank
Neutral
130
3,783
6,918
7,459
2.6
2.5
46.7
52.5
2.8
2.5
0.3
0.3
10.8
11.1
Punjab Natl.Bank
Neutral
413
14,598
20,766
23,515
3.4
3.4
135.0
164.8
3.1
2.5
0.5
0.4
14.4
15.7
South Ind.Bank
Neutral
19
2,588
1,800
2,023
2.7
2.7
3.7
4.2
5.2
4.6
0.8
0.7
16.2
16.2
St Bk of India
Neutral
1,491
101,993
65,392
74,467
3.0
3.0
178.5
226.1
8.4
6.6
1.1
0.9
12.1
14.0
Syndicate Bank
Neutral
65
3,937
6,740
7,512
2.5
2.5
21.0
23.5
3.1
2.8
0.4
0.3
12.6
12.8
UCO Bank
Neutral
51
3,805
6,770
7,017
2.8
2.6
14.8
15.5
3.4
3.3
0.6
0.5
14.4
13.5
Union Bank
Neutral
103
6,150
10,458
11,809
2.5
2.5
32.0
40.6
3.2
2.5
0.4
0.4
11.6
13.4
United Bank
Neutral
29
1,074
3,386
3,884
2.3
2.5
12.4
20.0
2.3
1.4
0.2
0.2
10.0
14.7
Vijaya Bank
Neutral
35
1,732
2,718
2,941
1.8
1.9
7.0
9.0
5.0
3.9
0.4
0.4
8.2
9.8
Yes Bank
Neutral
236
8,515
4,417
5,486
2.7
2.8
42.9
49.5
5.5
4.8
1.2
1.0
23.9
22.8
Asian Paints
Neutral
404
38,747
12,332
14,524
16.3
16.1
13.9
16.0
29.1
25.2
9.3
7.3
35.2
32.5
3.0
2.5
Britannia
Neutral
749
8,971
6,422
7,367
6.9
7.3
24.2
29.7
31.0
25.3
10.9
8.4
39.6
37.7
1.4
1.1
Colgate
Neutral
1,213
16,490
3,588
4,130
18.9
19.4
41.2
48.4
29.4
25.1
26.1
20.3
100.0
91.0
4.4
3.8
Dabur India
Neutral
170
29,624
7,183
8,297
16.8
16.9
5.4
6.3
31.8
27.0
11.2
8.9
39.2
36.7
4.0
3.4
GlaxoSmith Con*
Neutral
4,161
17,499
3,617
4,259
16.1
16.4
122.2
148.7
34.1
28.0
10.6
8.5
34.1
33.7
4.3
3.6
Godrej Consumer
Neutral
803
27,317
7,801
9,017
16.2
15.9
25.1
29.7
31.9
27.0
6.9
5.7
24.9
24.2
3.7
3.1
HUL
Neutral
616
133,147
28,415
31,962
13.6
14.1
16.7
18.2
36.9
33.9
35.5
25.7
112.2
88.1
4.5
4.0
ITC
Neutral
300
237,334
34,294
39,991
36.8
37.0
11.3
13.3
26.6
22.5
8.8
7.1
36.1
34.9
6.7
5.6
Marico
Neutral
208
13,413
5,104
5,876
15.1
15.2
7.2
8.6
29.1
24.2
5.6
4.6
21.1
20.9
2.7
2.3
Nestle*
Neutral
4,978
47,996
9,330
10,860
21.8
21.9
123.3
149.7
40.4
33.3
19.8
14.5
56.4
50.3
5.1
4.3
Tata Global
Neutral
144
8,896
8,070
8,958
9.8
9.9
7.6
8.5
19.0
16.9
2.2
2.1
9.3
9.7
1.1
0.9
FMCG
Market Outlook
September 05, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
FY14E
Sales ( cr )
FY15E
FY14E
OPM(%)
FY15E
FY14E
EPS ( )
FY15E
FY14E
PER(x)
FY15E
FY14E
P/BV(x)
FY15E
FY14E
RoE(%)
FY15E
FY14E
EV/Sales(x)
FY15E
IT
HCL Tech^
Neutral
1,040
72,519
32,266
35,103
23.5
22.6
69.7
74.0
14.9
14.1
4.0
3.3
26.5
23.0
2.0
1.8
Hexaware*
Neutral
128
3,832
2,273
2,575
22.2
21.5
12.4
13.4
10.3
9.6
2.6
2.3
25.4
23.5
1.6
1.3
Infosys
Neutral
3,106
178,352
48,731
52,962
26.9
27.1
180.8
200.3
17.2
15.5
3.7
3.2
20.4
19.3
2.9
2.6
Infotech Enterprises
Neutral
186
2,082
2,128
2,341
17.2
17.6
21.3
23.2
8.8
8.0
1.3
1.2
14.9
14.0
0.6
0.5
KPIT Cummins
Buy
131
155
2,534
2,769
3,122
18.3
17.8
15.3
16.6
8.6
7.9
1.8
1.5
20.9
18.4
0.9
0.7
Mindtree
Neutral
1,046
4,348
2,871
3,110
20.4
20.7
102.6
111.2
10.2
9.4
2.5
2.0
24.8
20.3
1.2
1.0
Mphasis&
Neutral
432
9,068
6,827
7,342
21.0
21.2
47.0
51.3
9.2
8.4
1.6
1.4
14.3
14.2
0.9
0.7
NIIT
Neutral
19
314
1,144
1,267
9.0
9.1
4.3
5.4
4.4
3.5
0.5
0.4
10.3
12.0
0.1
Persistent
Neutral
588
2,352
1,590
1,774
23.5
23.8
48.5
56.9
12.1
10.3
2.0
1.7
16.4
16.1
1.1
0.9
TCS
Neutral
2,066
404,352
80,353
91,576
30.0
30.0
91.0
103.2
22.7
20.0
7.4
5.9
31.5
29.2
4.6
4.0
Tech Mahindra
Accumulate
1,399
1,485
32,495
17,749
19,406
22.5
21.0
113.6
114.2
12.3
12.3
3.6
2.8
27.9
22.1
1.6
1.3
Wipro
Neutral
482
118,692
43,610
47,320
21.6
22.2
30.0
33.0
16.1
14.6
3.6
3.0
20.7
19.4
2.3
2.0
D B Corp
Accumulate
238
267
4,359
1,783
1,968
23.8
25.0
13.6
16.0
17.5
14.9
4.2
3.7
22.5
22.9
2.4
2.1
HT Media
Buy
90
112
2,108
2,205
2,380
14.1
14.4
7.6
8.4
11.8
10.7
1.3
1.2
10.7
10.7
0.6
0.5
Jagran Prakashan
Buy
82
104
2,713
1,683
1,845
19.7
20.8
5.9
6.9
13.9
11.8
2.6
2.4
19.4
21.2
1.7
1.5
PVR
Neutral
390
1,548
1,359
1,540
17.3
17.4
17.2
21.6
22.6
18.1
2.3
2.1
10.3
12.0
1.5
1.4
Sun TV Network
Neutral
391
15,419
2,287
2,551
69.7
70.5
20.0
23.3
19.6
16.8
4.8
4.2
26.4
27.3
6.5
5.7
Bhushan Steel
Reduce
458
419
10,368
12,640
15,667
28.5
31.5
25.9
38.6
17.7
11.9
1.1
1.0
6.1
8.5
2.6
2.1
Coal India
Neutral
265
167,289
68,303
69,884
32.5
30.3
27.5
25.0
9.6
10.6
3.6
2.6
40.2
33.1
1.6
1.5
Electrosteel Castings
Buy
11
15
355
1,976
2,017
11.8
12.7
0.1
1.2
170.3
9.0
0.1
0.1
1.9
0.6
0.1
GMDC
Buy
83
115
2,647
1,701
1,985
47.8
48.8
17.4
20.6
4.8
4.0
0.9
0.8
20.7
20.9
1.1
0.7
Hind. Zinc
Buy
122
143
51,486
12,389
13,093
48.5
51.7
15.2
17.0
8.0
7.2
1.4
1.2
18.5
18.0
1.8
1.4
Hindalco
Neutral
109
20,792
95,465 102,491
8.4
9.0
13.9
17.2
7.8
6.3
0.6
0.5
7.6
8.7
0.6
0.5
JSW Steel
Neutral
541
13,076
45,022
48,140
16.0
15.9
68.5
77.0
7.9
7.0
0.7
0.7
9.3
9.7
0.8
0.7
MOIL
Accumulate
210
223
3,522
956
982
42.3
44.3
25.3
26.2
8.3
8.0
1.2
1.0
14.6
13.7
1.0
1.1
Monnet Ispat
Buy
126
139
805
2,199
2,575
21.6
22.8
30.7
38.6
4.1
3.3
0.3
0.3
7.7
8.9
1.4
1.1
Nalco
Neutral
34
8,634
7,270
7,521
13.6
13.8
2.8
2.9
12.1
11.6
0.7
0.7
5.9
6.0
0.6
0.6
NMDC
Buy
122
142
48,171
10,718
11,514
66.6
64.5
15.5
16.1
7.9
7.6
1.6
1.4
21.2
20.0
2.3
2.1
SAIL
Neutral
48
19,659
44,060
54,227
9.2
10.9
5.3
6.8
9.0
7.0
0.5
0.5
5.2
6.5
0.7
0.6
Media
Metals & Mining
Market Outlook
September 05, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
FY14E
Sales ( cr )
FY15E
FY14E
OPM(%)
FY15E
FY14E
EPS ( )
FY15E
FY14E
PER(x)
FY15E
FY14E
P/BV(x)
FY15E
FY14E
RoE(%)
FY15E
FY14E
EV/Sales(x)
FY15E
55,380
3,817
5,781
12.1
17.7
27.0
29.6
6.9
6.3
0.8
0.7
12.9
12.5
15.1
10.0
28,151 153,862 167,209
9.4
10.5
32.8
53.5
8.8
5.4
0.8
0.7
9.0
13.2
0.5
0.5
Metals & Mining

Sesa Goa*
Neutral
187
Tata Steel
Accumulate
290
317
Sarda
Buy
85
98
304
1,323
1,398
17.2
17.9
25.3
27.8
3.4
3.1
0.3
0.3
9.5
9.6
0.6
0.5
Prakash Industries
Godawari Power and
Ispat
Oil & Gas
Buy
30
37
403
2,486
2,637
15.2
15.0
13.7
14.2
2.2
2.1
0.2
0.2
9.1
8.7
0.4
0.3
Neutral
78
255
2,171
2,317
14.9
15.8
36.4
46.6
2.1
1.7
0.2
0.2
11.6
13.0
0.5
0.4
Cairn India
Accumulate
335
364
64,001
18,403
17,925
71.9
62.1
62.1
57.4
5.4
5.8
1.1
1.0
22.6
17.8
2.1
1.9
GAIL
Neutral
303
38,390
49,700
48,822
16.0
16.6
32.9
33.4
9.2
9.1
1.4
1.2
15.9
14.4
0.3
0.2
ONGC
Buy
257
350
219,577 164,816 196,050
33.7
36.6
30.0
38.7
8.6
6.6
1.3
1.2
16.0
18.5
1.0
0.7
Reliance Industries
Accumulate
849
953
274,395 417,018 442,434
8.4
8.4
70.3
75.2
12.1
11.3
1.2
1.1
12.0
11.6
0.6
0.6
Gujarat Gas*
Neutral
207
2,661
3,270
3,414
12.8
12.6
22.6
23.1
9.2
9.0
2.4
2.2
28.2
25.6
0.6
0.5
Indraprastha Gas
Neutral
260
3,634
3,656
4,456
21.5
18.6
25.7
26.8
10.1
9.7
2.1
1.8
22.1
19.6
1.0
0.8
Petronet LNG
Gujarat State Petronet
Ltd.
Pharmaceuticals
Accumulate
120
135
9,000
39,449
43,315
5.3
5.9
14.1
16.9
8.5
7.1
1.7
1.4
21.7
21.9
0.3
0.3
Buy
49
67
2,777
1,002
1,021
91.4
91.5
8.2
8.4
6.0
5.9
0.8
0.7
14.3
13.0
2.2
2.1
Alembic Pharma
Buy
135
165
2,536
1,736
2,008
17.1
18.9
10.5
13.8
12.8
9.8
3.9
3.0
34.4
34.7
1.5
1.2
Aurobindo Pharma
Buy
189
271
5,516
6,641
7,637
15.9
15.9
17.3
20.6
11.0
9.2
1.8
1.5
19.5
18.9
1.3
1.1
Aventis*
Neutral
2,344
5,398
1,682
1,917
15.6
15.6
91.9
101.7
25.5
23.1
3.6
3.6
15.6
17.1
2.8
2.3
Cadila Healthcare
Buy
639
894
13,073
7,123
8,367
15.5
15.7
37.3
44.7
17.1
14.3
3.6
3.0
22.9
22.9
2.2
1.8
Cipla
Buy
420
477
33,703
9,274
10,796
23.1
23.1
21.0
23.8
20.0
17.6
3.2
2.8
17.2
16.8
3.3
2.7
Dr Reddy's
Accumulate
2,280
2,535
38,756
13,377
15,350
20.4
20.1
112.1
126.6
20.3
18.0
4.3
3.6
23.5
21.8
2.9
2.5
Dishman Pharma
Buy
42
73
341
1,394
1,534
22.5
22.4
14.8
16.6
2.9
2.5
0.3
0.3
10.8
11.0
0.9
0.7
GSK Pharma*
Neutral
2,262
19,159
2,744
2,964
22.0
23.4
59.2
66.6
38.2
34.0
9.5
9.2
24.9
27.5
6.2
5.7
Indoco Remedies
Buy
62
78
575
747
906
15.3
15.3
5.9
7.6
10.6
8.2
1.3
1.1
12.5
14.4
1.0
0.8
Ipca labs
Accumulate
700
724
8,831
3,296
4,087
20.5
21.7
36.8
48.3
19.0
14.5
4.5
3.5
26.5
27.3
2.6
2.1
Lupin
Accumulate
876
904
39,238
11,576
13,855
22.0
22.0
35.8
43.0
24.5
20.4
5.9
4.7
27.1
25.8
3.3
2.7
Ranbaxy*
Neutral
444
18,798
10,400
11,331
6.6
8.4
11.4
15.2
39.0
29.2
4.1
3.6
11.1
13.1
1.8
1.6
Sun Pharma
Neutral
520
107,666
13,509
15,846
41.0
41.0
16.5
19.9
31.5
26.1
6.4
5.3
22.0
22.0
7.3
6.1
Power
GIPCL
Accumulate
60
65
908
1,444
1,482
33.4
33.0
13.7
14.8
4.4
4.1
0.5
0.5
12.3
12.0
0.7
0.5
NTPC
Buy
129
163
106,202
75,046
81,780
23.5
23.9
12.7
13.6
10.1
9.5
1.2
1.1
12.2
12.0
2.1
2.1
Buy
127
179
22,523
8,293
9,622
36.5
36.1
5.7
6.7
22.2
18.8
0.8
0.8
3.7
4.1
4.8
4.0
Real Estate
DLF
Market Outlook
September 05, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
FY14E
Sales ( cr )
FY15E
FY14E
OPM(%)
FY15E
FY14E
EPS ( )
FY15E
FY14E
PER(x)
FY15E
FY14E
P/BV(x)
FY15E
FY14E
RoE(%)
FY15E
FY14E
EV/Sales(x)
FY15E
Buy
401
483
1,639
888
1,002
27.0
29.9
33.9
42.1
11.8
9.5
1.2
1.1
9.9
11.2
2.4
2.2
Bharti Airtel
Buy
297
350
118,903
83,535
92,173
32.0
33.1
9.2
12.9
32.4
23.0
2.1
1.9
6.8
8.9
2.1
1.8
Idea Cellular
Neutral
158
52,421
26,717
29,443
30.6
29.8
5.5
6.7
29.0
23.5
3.2
2.8
11.1
12.0
2.2
1.9
Rcom
Neutral
131
27,059
22,050
23,647
30.6
30.8
3.2
5.2
41.0
25.1
0.8
0.8
1.9
3.1
2.9
2.5
Real Estate
MLIFE
Telecom
Others
Abbott India*
Buy
1,400
1,628
2,976
1,788
1,996
12.5
12.7
71.7
81.4
19.5
17.2
3.9
3.4
21.7
21.2
1.4
1.2
Bajaj Electricals
Buy
152
184
1,520
3,885
4,472
4.0
5.8
6.8
15.4
22.6
9.9
2.0
1.7
8.8
17.3
0.4
0.4
Cera Sanitaryware
Buy
494
613
625
631
797
14.5
13.7
42.6
51.1
11.6
9.7
2.8
2.2
26.5
25.3
1.0
0.8
Cravatex
Buy
266
307
69
248
284
6.5
7.3
27.2
38.2
9.8
7.0
1.5
1.3
15.7
18.5
0.4
0.4
Finolex Cables
Buy
51
68
781
2,563
2,899
9.8
9.8
10.1
11.3
5.1
4.5
0.7
0.6
14.3
13.8
0.2
0.2
Force Motors
Buy
280
349
365
2,304
2,649
3.1
3.6
28.0
43.7
10.0
6.4
0.3
0.3
3.1
4.7
0.1
0.1
Goodyear India*
Accumulate
297
345
685
1,458
1,542
8.3
9.0
32.3
37.0
9.2
8.0
1.7
1.4
19.5
19.3
0.3
0.2
Hitachi
Buy
105
153
287
1,080
1,199
8.9
9.1
18.3
19.1
5.8
5.5
1.0
0.9
19.2
17.0
0.4
0.3
Honeywell Automation* Neutral
2,399
2,121
1,842
2,131
7.7
7.8
111.1
130.9
21.6
18.3
2.7
2.4
13.3
13.9
1.0
0.9
IFB Agro
Buy
136
156
122
491
642
12.3
13.8
35.0
50.9
3.9
2.7
0.7
0.5
18.2
21.6
0.2
0.1
ITD Cementation
Buy
168
194
193
1,365
1,502
10.9
11.2
18.2
28.0
9.2
6.0
0.5
0.4
5.1
7.4
0.5
0.5
Jyothy Laboratories
Buy
148
199
2,465
1,244
1,523
14.1
14.2
5.9
10.0
25.1
14.9
3.0
2.6
12.7
18.8
2.4
1.9
MRF
Buy
13,394
16,218
5,681
11,799
12,587
14.1
13.5 1,792.0 1,802.0
7.5
7.4
1.6
1.3
23.5
19.2
0.6
0.5
Page Industries
Buy
3,981
4,669
4,440
1,059
1,296
19.5
19.8
125.0
155.6
31.9
25.6
15.8
11.6
56.3
52.2
4.3
3.5
Relaxo Footwears
Buy
720
981
864
1,196
1,401
11.9
12.6
55.6
75.4
13.0
9.5
3.1
2.4
27.1
28.1
0.9
0.7
Siyaram Silk Mills
Buy
191
228
179
1,158
1,322
10.6
11.0
60.5
75.9
3.2
2.5
0.5
0.4
16.8
18.1
0.4
0.3
Styrolution ABS India*
Buy
347
492
611
1,007
1,108
8.4
8.7
30.3
35.1
11.5
9.9
1.3
1.1
11.7
12.2
0.6
0.5
TAJ GVK
Buy
55
108
345
300
319
35.8
36.2
7.9
9.1
7.0
6.1
0.9
0.8
13.9
14.4
1.5
1.2
Tata Sponge Iron
Buy
260
371
400
814
849
17.0
17.6
64.6
69.2
4.0
3.8
0.6
0.5
14.5
13.8
0.1
(0.1)
TTK Healthcare
Buy
498
632
387
416
481
4.5
6.1
16.2
25.3
30.7
19.7
3.8
3.3
12.6
18.1
0.8
0.7
Tree House
Buy
239
297
858
153
194
53.0
52.8
12.4
15.6
19.3
15.3
2.3
2.0
11.8
13.1
5.4
4.1
TVS Srichakra
Buy
United Spirits
Neutral
Vesuvius India*
Buy
170
230
130
1,591
1,720
6.1
6.4
30.5
38.3
5.6
4.4
0.7
0.7
13.5
15.5
0.3
0.2
2,351
34,172
12,294
14,162
12.0
12.0
42.1
67.7
55.9
34.7
3.9
3.6
9.1
10.7
3.0
2.6
350
439
710
600
638
20.1
19.4
35.7
36.6
9.8
9.6
1.8
1.5
19.4
17.1
1.0
0.9
4.9
0.5
0.5
7.6
9.4
0.7
0.6
HSIL
Buy
80
117
531
2,042
2,363
14.6
14.8
12.3
16.5
6.5
Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on September 04, 2013
*Note: Sesa Goa's numbers reflect the standalone Sesa Goa business only. We will revise our numbers once the consolidated entity Sesa- Sterlite is formed.
Market Outlook
September 05, 2013
Research Team Tel: 022 - 39357800
E-mail: research@angelbroking.com
Website: www.angelbroking.com
DISCLAIMER
This document is solely for the personal information of the recipient, and must not be singularly used as the basis of any investment
decision. Nothing in this document should be construed as investment or financial advice. Each recipient of this document should make
such investigations as they deem necessary to arrive at an independent evaluation of an investment in the securities of the companies
referred to in this document (including the merits and risks involved), and should consult their own advisors to determine the merits and
risks of such an investment.
Angel Broking Pvt. Limited, its affiliates, directors, its proprietary trading and investment businesses may, from time to time, make
investment decisions that are inconsistent with or contradictory to the recommendations expressed herein. The views contained in this
document are those of the analyst, and the company may or may not subscribe to all the views expressed within.
Reports based on technical and derivative analysis center on studying charts of a stock's price movement, outstanding positions and
trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's
fundamentals.
The information in this document has been printed on the basis of publicly available information, internal data and other reliable sources
believed to be true, but we do not represent that it is accurate or complete and it should not be relied on as such, as this document is for
general guidance only. Angel Broking Pvt. Limited or any of its affiliates/ group companies shall not be in any way responsible for any
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Market Outlook

OIL & GAS

Change of guard at the RBI, slew of measures announced

Net Inflows (September 03, 2013)

FII Derivatives (September 04, 2013)

ING Vysya Bank

Change of guard at the RBI, slew of measures announced

Lok Sabha passes Pension Bill

Wipro bags US$125mn Deutsche Bank contract

NMDC analyst meet update

IPCA Labs SEZ Indore facility gets USFDA nod

Economic and Political News

Govt may slap anti-dumping duty on a bulk drug from EU cos

Honda to increase output capacity by 30% in India

Country Event Description

Initial Jobless claims

BOE Announces rates

Euro Zone ECB announces interest rates

Industrial Production (YoY)

Change in Nonfarm payrolls

Consumer Price Index (YoY)

September 10, 2013

Industrial Production (YoY)

September 11, 2013

Jobless claims change

September 12, 2013

Industrial Production YoY

September 13, 2013

Producer Price Index (mom)

September 16, 2013

Monthly Wholesale Prices YoY%

Euro Zone Euro-Zone CPI (YoY)

Consumer price index (mom)

September 17, 2013

FOMC rate decision

September 19, 2013

Existing home sales

September 20, 2013

RBI Repo rate

RBI Cash Reserve ratio

RBI Reverse Repo rate

Euro Zone Euro-Zone Consumer Confidence

Germany PMI Services

Germany PMI Manufacturing

September 23, 2013

Source: Bloomberg, Angel Research

Exhibit 2: IIP trends

Exhibit 4: Manufacturing and services PMI

Source: MOSPI, Angel Research

Exhibit 3: Monthly WPI inflation trends

Source: CSO, Angel Research

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

Imports yoy growth

Reverse Repo rate

Source: Bloomberg, Angel Research

Source: RBI, Angel Research

4.7 4.8 4.4

5.1 5.4 5.2

Agri / Agri Chemical

Amara Raja Batteries

Mahindra and Mahindra Buy