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Market Outlook March 16, 2016

Market Cues

Indian markets are expected to open flat tracking SGX Nifty.

U.S. stocks closed mostly lower on Tuesday, weighed by fall in the oil prices and a string of lackluster economic data released, ahead of the Fed’s important decision on interest rates. Dow was up 0.13%, buoyed by healthy advance in Applce Inc.

Key European indices closed down between half and one % point as investors played it safe ahead of Fed meeting. FTSE 100 dropped 0.5% on Tuesday after gains made at the beginning of the week, as markets are anticipating George Osborne's budget, to be presented in the House of Commons on Wednesday to raise taxes (especially expectations are strong that insurance premium tax would be increased). Despite the recent in-line full year results, Legal & General stock corrected by 6% on such concerns.

Fall in the global indices and oil prices, dragged the Indian equity benchmarks 1% on Tuesday ahead of the crucial Fed’s 2-day meeting. Pharma, FMCG and HDFC group stocks were under pressure. Lupin topped selling list on Sensex, down 7.6% after it said US health regulator cited 9 observations in Goa inspection last week.

News & Result Analysis

NCC signs definitive agreement to sell stake in NCCPL Detailed analysis on Pg2

Investor’s Ready Reckoner

Key Domestic & Global Indicators

Stock Watch: Latest investment recommendations on 150+ stocks

Refer Pg4 onwards

Top Picks Company Sector Rating

CMP (`)

Target(`)

Upside (%)

Amara Raja Batteries Auto & Auto Ancillary Buy 910 1,040 14.3

HCL Tech IT Buy 812 1,038 27.9

LIC Housing Finance Financials Buy 454 592 30.3

Bharat Electronics Capital Goods Buy 1,063 1,414 33.0

Navkar Corporation Others Buy 166 265 59.4

More Top Picks on Pg3

Key Upcoming Events Date Region Event Description

PreviousReading

Consensus Expectations

Mar 16 US Housing Stats 1.099M 1.150M

Mar 16 GBP Unemployment Rate (Jan) 5.1% 5.1%

Mar 16 USD Crude Oil Inventories 3.880M

6.(

Domestic Indices Chg (%) (Pts) (Close)

BSE Sensex (1.0) (253) 24,551

Nifty (1.0) (78) 7,461

Mid Cap (0.8) (81) 10,222

Small Cap (0.6) (64) 10,257

Bankex 0.4 63 17,450

Global Indices Chg (%) (Pts) (Close)

Dow Jones 0.1 22 17,252

Nasdaq (0.5) (22) 4,729

FTSE (0.6) (35) 6,140

Nikkei (0.7) (117) 17,117

Hang Seng (0.7) (147) 20,289

Shanghai Com 0.2 5 2,864

Advances / Declines BSE NSE

Advances 964 822

Declines 1,699 735

Unchanged 151 71

Volumes (` Cr)

BSE 2,369

NSE 15,239

Net Inflows (` Cr) Net Mtd Ytd

FII 1,260 11,265 (22,250)

MFs (527) (3,089) 77,235

Top Gainers Price (`) Chg (%)

Renuka 15 8.3

Eidparry 202 6.3

Jklakshmi 306 5.0

Kec 122 4.4

Nationalum 41 4.4

Top Losers Price (`) Chg (%)

Crompgreav 44 (71.7)

Lupin 1,727 (7.6)

Divislab 960 (5.1)

Jubilant 367 (4.6)

Torntpower 235 (4.4) As on March 15, 2016



NCC signs definitive agreement to sell stake in NCCPL

NCC Infrastructure Holdings (NCCIHL, subsidiary of NCC Ltd.) entered in to share sale agreement with Sembcorp Utilities Pte Ltd (SCU), for 16% stake sale to Sembcorp Gayatri Power Ltd. (formerly NCCPPL, NCC Power Projects Ltd.).

GEPVL and NCCIHL (subsidiaries of Gayatri Projects and NCC, respectively) jointly own NPPL, which is implementing the `7,047cr 1,320MW coal fired power project, at Krishnapatnam, A.P.

NCC is the EPC contractor for this power project, where 76% of the total project work at site is finished (as of 3QFY2016) and by Jun-2016, entire project would get finished. NCC has indicated a total investment of `472cr (for its share in the power project) towards this power project. This transaction has been done at gross consideration of ~`352cr (inc. interest), which translates the deal to be at 1x Capital employed.

Given that NCC as a strategy has decided to exit Asset developer role and focus on de-leveraging its balance sheet, this stake sale in the power project was expected. Earlier as part of the strategy, NCC has signed definitive agreements to sell its 38% stake in Bangalore Elevated Tollway Limited (BETL) and 100% stake in Western UP Tollway Limited (WUTL).

As part of this transaction, NCC would receive the pending `200cr as the transaction nears completion. Further, the company’s BS would see an increase in liquidity of `200cr by 1Q-2QFY2016. On the back of these recent asset sales, we expect the D/E ratio of the company to slightly decline from 1.0x (as of 2QFY2016) to 0.6x by 2QFY2017.

We maintain our Neutral rating on the stock.

Economic and Political News Over Rs 1 lakh cr disbursed under MUDRA Yojana

Trade deficit narrows again; exports shrink

FPI allowed in Reits, AIFs, bad corporate bonds

Corporate News Cairn Energy gets over `29,000cr tax demand

Tata Motors gets Pune workers to run Sanand plant

Bajaj may plan bike series on 'V'



Top Picks ★★★★★ Large Cap

Company Market Cap

(` Cr) CMP

(`)Target

(`) Upside

(%) Rationale

Amara Raja Batteries 15,541 910 1,040 14.3 To outpace battery industry growth due to better technological products leading to market share gains in both the automotive OEM and replacement segments.

Ashok Leyland 27,264 96 111 15.9 Earnings to grow strongly given the MHCV cyclical upturn. Focus on exports and LCV's provides additional growth avenue.

Bharat Electronics 25,523 1,063 1,414 33.0 Uptick in defense capex by government when coupled with BELs strong market positioning, indicate that good times are ahead for BEL.

HCL Tech 114,460 812 1,038 27.9 The stock is trading at attractive valuations and is factoring all the bad news.

HDFC Bank 259,518 1,027 1,262 22.9 Strong visibility for a robust 20% earnings trajectory, coupled with high quality of earnings on account of high quality retail business and strategic focus on highly rated corporates.

Infosys 261,405 1,134 1,347 18.7 Back on the growth trend, expect a long term growth of 14% to be a US$20bn in FY2020.

LIC Housing Finance 22,917 454 592 30.3

LICHF continues to grow its retail loan book at a healthy pace with improvement in asset quality. We expect the company to post a healthy loan book which is likely to reflect in a strong earnings growth.

NBCC 11,015 918 1,089 18.6 Huge bid pipeline of re-development works at Delhi and otherState Governments and opportunity from Smart City, positions NBCC to report strong growth, going forward.

TVS Motors 13,585 286 330 15.4 New launches to enable outpace industry growth; marginsexpansion to boost earnings.

Source: Company, Angel Research

Mid Cap

Company Market Cap

(` Cr) CMP

(`) Target

(`)Upside

(%) Rationale

Blue Star 3,104 345 439 27.2

Favourable outlook for the AC industry to augur well for Cooling products business which is out pacing the market growth. EMPPAC division's profitability to improve once operating environment turns around.

IL&FS Transport 2,345 71 93 30.4 Commencement of new projects, downtrend in the interest rate cycle, to lead to stock re-rating

Jagran Prakashan 4,861 149 189 27.1

Economic recovery to have favourable impact on advertising & circulation revenue growth. Further, the acquisition of a radio business (Radio City) would also boost the company's revenue growth.

Mahindra Lifespace 1,755 428 554 29.5 Speedier execution and speedier sales, strong revenue visibilty in short-to-long run, attractive valuations

Navkar Corporation 2,371 166 265 59.4 Massive capacity expansion along with rail advantage at ICD as well CFS augurs well for the company

Radico Khaitan 1,293 97 156 60.5 Earnings boost on back of stable material prices and favourable pricing environment. Valuation discount to peers provides additional comfort

Siyaram Silk Mills 925 987 1,354 37.2 Strong brands and distribution network would boost growth going ahead. Stock currently trades at an inexpensive valuation.

Source: Company, Angel Research

h

2

Market Outlook

March 16, 2016

www.angelbroking.com www.angelbroking.com

Macro watch

Exhibit 1: Quarterly GDP trends

Source: CSO, Angel Research

Exhibit 2: IIP trends

Source: MOSPI, Angel Research

Exhibit 3: Monthly CPI inflation trends

Source: MOSPI, Angel Research

Exhibit 4: Manufacturing and services PMI

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

Exhibit 5: Exports and imports growth trends

Source: Bloomberg, Angel Research

Exhibit 6: Key policy rates

Source: RBI, Angel Research

4.5

6.7

7.8

6.4

5.8

7.5

8.3

6.6 6.7

7.6 7.7

7.3

3.0

4.0

5.0

6.0

7.0

8.0

9.0

4Q

FY13

1Q

FY14

2Q

FY14

3Q

FY14

4Q

FY14

1Q

FY15

2Q

FY15

3Q

FY15

4Q

FY15

1Q

FY16

2Q

FY16

3Q

FY16

(%)

4.8

2.5 3.0

2.5

4.2 4.3

6.3

3.7

9.9

(3.4)

(1.3)

(6.0)

(4.0)

(2.0)

-

2.0

4.0

6.0

8.0

10.0

12.0

Feb-15

Mar-15

Apr-15

May-15

Jun-15

Jul-15

Aug

-15

Sep

-15

Oct-15

Nov-15

Dec-15

(%)

5.4 5.3

4.9 5.0

5.4

3.7 3.7

4.4

5.0

5.4 5.6 5.7

-

1.0

2.0

3.0

4.0

5.0

6.0

Feb-15

Mar-15

Apr-15

May-15

Jun-15

Jul-15

Aug-15

Sep-15

Oct-15

Nov-15

Dec-15

Jan-16

(%)

44.0

46.0

48.0

50.0

52.0

54.0

56.0 Jan-15

Feb-15

Mar-15

Apr-15

May-15

Jun-15

Jul-15

Aug-15

Sep-15

Oct-15

Nov-15

Dec-15

Jan-16

Feb-16

Mfg. PMI Services PMI

(35.0)

(30.0)

(25.0)

(20.0)

(15.0)

(10.0)

(5.0)

0.0

Feb

-15

Mar-15

Apr-15

May-15

Jun-15

Jul-15

Aug

-15

Sep-15

Oct-15

Nov-15

Dec-15

Jan-16

Exports yoy growth Imports yoy growth(%)

3.00

3.50

4.00

4.50

5.00

5.50

6.00

6.50

7.00

7.50

8.00

Mar-15

Apr-15

May-15

Jun-15

Jun-15

Jul-15

Aug

-15

Aug

-15

Sep-15

Oct-15

Oct-15

Nov-15

Dec-15

Dec-15

Jan-16

Feb-16

Repo rate Reverse Repo rate CRR (%)

h

3

Market Outlook

March 16, 2016


Global watch

Exhibit 1: Latest quarterly GDP Growth (%, yoy) across select developing and developed countries


Exhibit 2: 2015 GDP Growth projection by IMF (%, yoy) across select developing and developed countries

Source: IMF, Angel Research

Exhibit 3: One year forward P-E ratio across select developing and developed countries

Source: IMF, Angel Research

(5.9)

(4.1)

5.3

6.8

0.6

5.0 4.5

2.8

1.9 1.9 2.1

1.4

0.7

(8.0)

(6.0)

(4.0)

(2.0)

-

2.0

4.0

6.0

8.0

Brazil

Russia

India

China

South A

frica

Indonesia

Malaysia

Thailand

UK

USA

Germ

any

France

Japan

(%)

(3.0)

(3.8)

7.3 6.8

1.4

4.7 4.7

2.5 2.5 2.6

1.5 1.2

0.6

(6.0)

(4.0)

(2.0)

-

2.0

4.0

6.0

8.0

Brazil

Russia

India

Chin

a

South

A

fric

a

Indonesia

Mala

ysia

Thailand

UK

USA

Germ

any

France

Japan

(%)

12.0

5.7

17.7

11.6

18.8

17.4

15.1

13.9

15.2

15.7

11.9

13.4

13.7

-

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

18.0

20.0

Bra

zil

Russia

Ind

ia

Ch

ina

So

uth

A

fric

a

Ind

onesi

a

Mala

ysia

Th

ailand

UK

US

A

Germ

an

y

Fra

nce

Jap

an

(x)

h

4

Market Outlook

March 16, 2016


Exhibit 4: Relative performance of indices across globe

Returns (%)

Country Name of index Closing price 1M 3M 1YR

Brazil Bovespa 47,130 18.4 4.2 (5.7)

Russia Micex 1,855 7.2 7.9 14.0

India Nifty 7,461 6.9 (2.0) (14.2)

China Shanghai Composite 2,864 4.5 (17.4) (13.1)

South Africa Top 40 46,394 7.6 6.5 0.4

Mexico Mexbol 44,210 4.2 5.3 1.0

Indonesia LQ45 846 2.3 9.9 (10.8)

Malaysia KLCI 1,691 2.9 1.1 (5.6)

Thailand SET 50 889 10.5 8.6 (13.0)

USA Dow Jones 17,252 10.2 (1.8) (3.3)

UK FTSE 6,140 7.6 3.1 (11.6)

Japan Nikkei 17,117 14.5 (11.3) (9.8)

Germany DAX 9,934 10.8 (6.3) (16.7)

France CAC 4,473 12.0 (0.0) (11.5)


Company Name Reco CMP Target Mkt Cap Sales ( ₹cr ) OPM(%) EPS (₹) PER(x) P/BV(x) RoE(%) EV/Sales(x)

( ₹ ) Price ( ₹) ( ₹ cr ) FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E FY16E FY17E

Agri / Agri Chemical

Rallis Neutral 164 - 3,183 2,097 2,415 14.4 14.4 9.5 11.0 17.2 14.9 3.4 3.0 21.1 21.3 1.5 1.3

United Phosphorus Accumulate 435 480 18,636 12,500 14,375 18.3 18.3 29.8 35.9 14.6 12.1 2.7 2.3 20.0 20.3 1.6 1.3

Auto & Auto Ancillary

Ashok Leyland Accumulate 96 111 27,264 17,995 21,544 11.4 11.6 3.4 4.7 28.2 20.4 4.9 4.5 17.7 22.2 1.5 1.2

Bajaj Auto Accumulate 2,278 2,585 65,931 22,709 25,860 20.9 20.1 129.0 143.6 17.7 15.9 5.4 4.7 30.7 29.4 2.5 2.2

Bharat Forge Accumulate 806 875 18,762 7,351 8,318 19.9 19.7 31.2 36.5 25.8 22.1 4.6 3.9 19.3 19.2 2.7 2.4

Eicher Motors Neutral 19,548 - 53,095 15,556 16,747 15.5 17.3 464.8 597.5 42.1 32.7 15.4 11.3 36.2 34.3 3.4 3.1

Gabriel India Buy 85 101 1,222 1,415 1,544 8.7 9.0 4.6 5.4 18.5 15.8 3.4 3.0 18.1 18.9 0.9 0.8

Hero Motocorp Neutral 2,813 - 56,171 28,244 30,532 15.5 15.9 156.7 168.5 18.0 16.7 7.2 6.1 39.9 36.4 1.8 1.7

Jamna Auto Industries Buy 131 160 1,050 1,281 1,473 11.2 11.5 7.6 9.2 17.3 14.3 4.4 3.6 25.4 25.2 0.9 0.8

L G Balakrishnan & Bros Neutral 426 - 668 1,254 1,394 11.6 11.8 35.9 41.7 11.9 10.2 1.6 1.4 13.5 13.8 0.6 0.6

Mahindra and Mahindra Accumulate 1,207 1,364 74,963 38,416 42,904 13.7 13.9 54.8 63.4 22.0 19.0 3.4 3.0 15.4 15.8 1.6 1.4

Maruti Neutral 3,654 - 110,377 57,865 68,104 16.4 16.7 176.3 225.5 20.7 16.2 4.0 3.4 19.4 21.2 1.7 1.4

Minda Industries Accumulate 911 1,047 1,446 2,523 2,890 8.7 9.0 55.0 65.4 16.6 13.9 3.2 2.6 19.3 18.7 0.7 0.6

Motherson Sumi Buy 245 313 32,446 39,343 45,100 8.8 9.1 10.1 12.5 24.3 19.6 7.7 6.0 35.3 34.4 0.9 0.8

Rane Brake Lining Buy 375 465 297 454 511 11.5 12.0 25.2 31.0 14.9 12.1 2.2 2.0 14.9 16.6 0.8 0.7

Setco Automotive Neutral 33 - 436 594 741 12.7 13.7 1.7 3.2 19.2 10.2 2.0 1.7 10.4 16.9 1.1 0.9

Tata Motors Neutral 361 - 104,127 259,686 273,957 13.0 13.4 25.9 29.5 13.9 12.2 1.8 1.6 8.0 9.0 0.6 0.6

TVS Motor Accumulate 286 330 13,585 11,263 13,122 6.9 8.5 9.2 15.0 31.1 19.1 7.1 5.6 22.7 29.6 1.2 1.0

Amara Raja Batteries Buy 910 1,040 15,541 4,892 5,871 17.4 17.6 28.8 37.1 31.6 24.5 7.4 5.9 23.4 24.1 3.1 2.5

Exide Industries Buy 135 162 11,492 6,950 7,784 14.4 14.8 6.6 7.3 20.5 18.5 2.6 2.4 12.6 12.8 1.3 1.2

Apollo Tyres Accumulate 169 183 8,597 12,056 12,714 17.2 16.4 23.0 20.3 7.3 8.3 1.3 1.1 17.7 13.6 0.8 0.8

Ceat Accumulate 1,088 1,119 4,401 6,041 6,597 14.1 13.7 99.5 111.9 10.9 9.7 2.2 1.8 19.6 18.5 0.9 0.7

JK Tyres Neutral 80 - 1,822 7,446 7,669 15.2 14.0 19.6 18.4 4.1 4.4 1.0 0.9 25.2 19.5 0.6 0.6

Swaraj Engines Accumulate 856 919 1,063 552 630 14.2 14.7 44.6 54.1 19.2 15.8 4.5 4.1 23.2 25.6 1.8 1.5

Subros Neutral 84 - 504 1,293 1,527 11.8 11.9 4.2 6.7 20.0 12.5 1.5 1.4 7.7 11.5 0.7 0.6

Indag Rubber Neutral 164 - 431 283 329 17.0 17.2 13.0 15.4 12.7 10.7 2.8 2.3 21.8 21.6 1.3 1.1

Capital Goods

ACE Neutral 37 - 367 660 839 4.7 8.2 1.0 3.9 37.1 9.5 1.2 1.0 3.2 11.3 0.7 0.6

BEML Accumulate 1,031 1,157 4,294 3,277 4,006 6.0 8.9 36.2 64.3 28.5 16.0 2.0 1.8 5.7 11.7 1.4 1.1

Bharat Electronics Buy 1,063 1,414 25,523 7,737 8,634 16.8 17.2 54.0 61.5 19.7 17.3 2.8 2.5 39.3 45.6 2.5 2.1


March 16, 2016

Stock Watch



Capital Goods

Voltas Buy 248 353 8,221 5,363 5,963 8.0 9.1 11.0 13.8 22.6 18.0 3.5 3.0 16.2 17.9 1.5 1.3

BGR Energy Neutral 103 - 741 3,615 3,181 9.5 9.4 16.7 12.4 6.2 8.3 0.6 0.6 10.0 7.0 0.6 0.8

BHEL Neutral 106 - 25,981 33,722 35,272 10.8 11.7 10.5 14.2 10.1 7.5 0.8 0.7 7.0 9.0 0.8 0.8

Blue Star Buy 345 439 3,104 3,548 3,977 6.3 6.9 13.7 17.2 25.2 20.1 6.3 4.1 26.1 25.4 0.9 0.8

Crompton Greaves Neutral 44 - 2,751 13,484 14,687 4.9 6.2 4.5 7.1 9.8 6.2 0.7 0.6 7.2 10.8 0.8 0.7

Greaves Cotton Neutral 125 - 3,043 1,655 1,755 16.6 16.8 7.4 7.8 16.8 16.0 3.4 3.2 21.1 20.6 1.8 1.7

Inox Wind Buy 253 458 5,606 4,980 5,943 17.0 17.5 26.6 31.6 9.5 8.0 2.8 2.1 35.0 30.0 1.3 1.0

KEC International Neutral 122 - 3,126 8,791 9,716 6.1 6.8 5.4 8.2 22.5 14.8 2.3 2.1 10.0 14.0 0.6 0.5

Thermax Neutral 757 - 9,018 6,413 7,525 7.4 8.5 30.5 39.3 24.8 19.3 3.8 3.3 15.0 17.0 1.4 1.1

Cement

ACC Neutral 1,241 - 23,305 13,151 14,757 16.4 18.3 63.9 83.4 19.4 14.9 2.5 2.3 13.3 16.1 1.6 1.3

Ambuja Cements Neutral 205 - 31,806 11,564 12,556 19.4 20.7 8.9 10.1 23.0 20.3 2.9 2.7 12.8 13.8 2.3 2.1

HeidelbergCement Neutral 74 - 1,675 1,772 1,926 13.3 15.4 1.0 3.0 73.9 24.6 1.9 1.7 2.6 7.9 1.5 1.3

India Cements Neutral 77 - 2,359 4,216 4,840 18.0 19.5 4.0 9.9 19.2 7.8 0.8 0.7 4.0 9.5 0.9 0.7

JK Cement Neutral 576 - 4,026 3,661 4,742 10.1 15.8 7.5 28.5 76.8 20.2 2.3 2.0 7.5 22.9 1.6 1.2

J K Lakshmi Cement Neutral 306 - 3,602 2,947 3,616 16.7 19.9 11.5 27.2 26.6 11.3 2.5 2.2 9.8 20.8 1.6 1.3

Mangalam Cements Neutral 190 - 507 1,053 1,347 10.5 13.3 8.4 26.0 22.6 7.3 1.0 0.9 4.3 12.5 0.8 0.6

Orient Cement Neutral 136 - 2,778 1,854 2,524 21.2 22.2 7.7 11.1 17.6 12.2 2.5 2.2 13.3 15.7 2.3 1.6

Ramco Cements Neutral 391 - 9,309 4,036 4,545 20.8 21.3 15.1 18.8 25.9 20.8 3.2 2.8 12.9 14.3 2.8 2.4

Shree Cement^ Neutral 11,337 - 39,494 7,150 8,742 26.7 28.6 228.0 345.5 49.7 32.8 7.3 6.1 15.7 20.3 5.2 4.2

UltraTech Cement Neutral 2,988 - 82,004 24,669 29,265 18.2 20.6 82.0 120.0 36.4 24.9 3.9 3.4 11.3 14.7 3.4 2.9

Construction

ITNL Buy 71 93 2,345 7,360 8,825 34.0 35.9 7.0 9.0 10.2 7.9 0.4 0.3 3.2 3.7 3.7 3.6

KNR Constructions Buy 505 603 1,421 937 1,470 14.3 14.0 44.2 38.6 11.4 13.1 2.3 2.0 15.4 15.4 1.6 1.1

Larsen & Toubro Accumulate 1,181 1,310 110,017 58,870 65,708 8.3 10.3 42.0 53.0 28.1 22.3 2.0 1.8 8.8 11.2 2.1 1.9

Gujarat Pipavav Port Neutral 159 - 7,677 629 684 51.0 52.2 6.4 5.9 24.8 26.9 3.3 3.0 15.9 12.7 11.8 10.7

MBL Infrastructures Buy 135 285 558 2,313 2,797 12.2 14.6 19.0 20.0 7.1 6.7 0.7 0.7 11.3 10.6 1.0 0.9

Nagarjuna Const. Neutral 69 - 3,858 7,892 8,842 8.8 9.1 3.0 5.3 23.1 13.1 1.2 1.1 5.0 8.5 0.7 0.6

PNC Infratech Accumulate 484 558 2,484 1,873 2,288 13.2 13.5 24.0 32.0 20.2 15.1 2.0 1.7 12.1 12.3 1.5 1.2

Simplex Infra Neutral 225 - 1,111 5,955 6,829 10.3 10.5 16.0 31.0 14.0 7.2 0.7 0.7 5.3 9.9 0.7 0.6

Power Mech Projects Neutral 564 - 830 1,539 1,801 12.8 12.7 59.0 72.1 9.6 7.8 1.4 1.2 18.6 16.8 0.6 0.5


March 16, 2016

Stock Watch



Construction

Sadbhav Engineering Buy 262 289 4,498 3,481 4,219 10.7 10.8 8.2 11.7 32.0 22.4 3.1 2.7 10.3 13.5 1.5 1.2

NBCC Buy 918 1,089 11,015 5,816 7,382 6.9 7.7 29.6 39.8 31.0 23.1 5.6 4.4 24.1 26.7 1.7 1.3

MEP Infra Neutral 39 - 633 1,956 1,876 28.1 30.5 1.3 3.0 30.0 13.0 6.3 4.2 21.2 32.8 1.7 1.7

SIPL Neutral 87 - 3,064 675 1,042 62.4 64.7 - - 3.3 3.7 - - 16.4 11.0

Financials

Allahabad Bank Neutral 52 - 3,111 8,569 9,392 2.8 2.9 16.3 27.5 3.2 1.9 0.3 0.2 7.6 11.9 - -

Axis Bank Buy 419 494 99,810 26,473 31,527 3.5 3.6 35.7 43.5 11.7 9.6 2.0 1.7 17.9 18.9 - -

Bank of Baroda Neutral 143 - 33,007 18,485 21,025 1.9 2.0 13.5 21.1 10.7 6.8 0.8 0.8 7.3 10.6 - -

Bank of India Neutral 95 - 7,717 15,972 17,271 1.9 2.0 15.3 33.4 6.2 2.9 0.3 0.2 3.6 7.6 - -

Canara Bank Neutral 187 - 10,135 15,441 16,945 2.0 2.1 46.6 70.4 4.0 2.7 0.4 0.3 8.0 11.2 - -

Dena Bank Neutral 29 - 1,839 3,440 3,840 2.1 2.3 7.3 10.0 3.9 2.8 0.3 0.2 6.1 7.9 - -

Federal Bank Neutral 48 - 8,177 3,477 3,999 3.0 3.0 5.0 6.2 9.5 7.6 1.0 0.9 10.6 11.9 - -

HDFC Neutral 1,114 - 175,953 10,358 11,852 3.3 3.3 41.1 47.0 27.1 23.7 5.2 4.7 24.7 24.9 - -

HDFC Bank Buy 1,027 1,262 259,518 38,309 47,302 4.3 4.3 49.3 61.1 20.8 16.8 3.6 3.1 18.5 19.7 - -

ICICI Bank Buy 221 254 128,685 34,279 39,262 3.3 3.3 21.0 24.4 10.6 9.1 1.8 1.5 14.4 14.7 - -

IDBI Bank Neutral 65 - 12,369 9,625 10,455 1.8 1.8 8.5 14.2 7.6 4.6 0.5 0.4 5.9 9.3 - -

Indian Bank Neutral 100 - 4,801 6,160 6,858 2.5 2.5 24.5 29.8 4.1 3.4 0.3 0.3 7.7 8.6 - -

LIC Housing Finance Buy 454 592 22,917 3,101 3,745 2.5 2.5 33.0 40.2 13.8 11.3 2.6 2.2 19.7 20.5 - -

Oriental Bank Neutral 90 - 2,694 7,643 8,373 2.4 2.4 37.2 45.4 2.4 2.0 0.2 0.2 8.2 9.4 - -

Punjab Natl.Bank Neutral 83 - 16,376 23,638 26,557 2.8 2.8 17.9 27.2 4.7 3.1 0.5 0.4 8.5 12.0 - -

South Ind.Bank Neutral 17 - 2,350 1,965 2,185 2.5 2.5 2.5 3.3 7.0 5.3 0.7 0.6 9.5 11.7 - -

St Bk of India Neutral 185 - 143,805 79,958 86,061 2.6 2.6 13.4 20.7 13.8 9.0 1.1 1.1 11.5 12.8 - -

Union Bank Neutral 125 - 8,624 12,646 14,129 2.3 2.4 31.0 39.1 4.1 3.2 0.4 0.4 9.8 11.4 - -

Vijaya Bank Neutral 32 - 2,732 3,536 3,827 1.9 1.9 5.5 6.7 5.8 4.8 0.5 0.4 7.8 8.8 - -

Yes Bank Neutral 811 - 34,096 7,190 9,011 3.2 3.3 58.2 69.7 13.9 11.7 2.5 2.1 19.2 19.6 - -

FMCG

Asian Paints Neutral 886 - 84,995 16,553 19,160 16.0 16.2 17.7 21.5 50.1 41.2 13.3 12.0 29.4 31.2 5.0 4.3

Britannia Neutral 2,761 - 33,130 8,481 9,795 14.0 14.1 65.5 78.3 42.2 35.3 20.0 16.4 38.3 41.2 3.9 3.3

Colgate Neutral 841 - 22,867 4,836 5,490 19.5 19.7 48.5 53.2 17.3 15.8 12.7 11.1 99.8 97.5 4.5 3.9

Dabur India Accumulate 247 267 43,521 9,370 10,265 17.1 17.2 7.3 8.1 33.7 30.5 10.2 8.3 33.7 30.6 4.6 4.2

GlaxoSmith Con* Accumulate 5,650 6,118 23,761 4,919 5,742 17.2 17.4 168.3 191.2 33.6 29.6 9.5 8.1 28.8 28.9 4.4 3.8


March 16, 2016

Stock Watch



FMCG

Godrej Consumer Neutral 1,265 - 43,064 10,168 12,886 16.1 16.1 32.1 38.4 39.4 32.9 8.0 7.4 19.7 21.0 4.5 3.5

HUL Neutral 842 - 182,198 34,940 38,957 17.5 17.7 20.8 24.7 40.5 34.1 45.0 36.0 110.5 114.2 5.1 4.5

ITC Accumulate 317 359 254,692 36,804 38,776 37.9 37.9 12.2 12.9 26.0 24.6 7.2 6.4 27.7 25.8 6.6 6.2

Marico Neutral 243 - 31,319 6,551 7,766 15.7 16.0 10.4 12.5 23.4 19.4 6.8 5.7 33.2 32.4 4.8 4.0

Nestle* Buy 5,054 6,646 48,727 11,291 12,847 22.2 22.3 158.9 184.6 31.8 27.4 16.6 15.0 55.0 57.3 4.3 3.7

Tata Global Buy 115 144 7,286 8,635 9,072 9.8 9.9 6.5 7.6 17.8 15.2 1.8 1.7 6.8 7.4 0.8 0.7

IT

HCL Tech^ Buy 812 1,038 114,460 42,038 47,503 21.2 21.5 51.5 57.7 15.8 14.1 3.4 2.6 21.5 18.8 2.4 1.9

Infosys Buy 1,134 1,347 261,405 61,850 69,981 27.5 27.5 59.4 65.7 19.1 17.3 4.1 3.5 21.2 20.1 3.5 3.0

TCS Buy 2,330 2,854 459,041 108,487 122,590 28.3 28.5 122.8 138.4 19.0 16.8 7.2 6.5 38.0 38.9 3.9 3.4

Tech Mahindra Buy 460 530 44,538 26,524 29,177 16.2 17.0 28.8 33.6 16.0 13.7 3.1 2.6 19.3 19.1 1.4 1.2

Wipro Buy 535 680 132,154 50,808 56,189 23.7 23.8 37.3 40.7 14.3 13.1 2.7 2.5 19.2 17.7 2.1 1.7

Media

D B Corp Accumulate 315 356 5,786 2,241 2,495 27.8 27.9 21.8 25.6 14.5 12.3 3.8 3.3 26.7 28.5 2.6 2.3

HT Media Neutral 80 - 1,854 2,495 2,603 11.2 11.2 7.3 8.6 10.9 9.3 0.9 0.8 7.4 8.1 0.3 0.2

Jagran Prakashan Buy 149 189 4,861 2,170 2,355 27.2 26.2 8.9 9.9 16.7 15.0 3.5 3.1 20.9 20.5 2.2 2.0

Sun TV Network Neutral 363 - 14,319 2,779 3,196 70.2 70.5 22.8 27.3 15.9 13.3 3.9 3.6 26.7 28.3 4.6 4.0Hindustan Media Ventures Neutral 254 - 1,865 920 1,031 20.0 20.0 19.2 20.9 13.2 12.2 2.2 1.9 16.4 15.3 1.6 1.4

Metals & Mining

Coal India Buy 296 380 186,743 76,167 84,130 19.9 22.3 22.4 25.8 13.2 11.5 4.8 4.6 35.5 41.0 2.0 1.8

Hind. Zinc Neutral 171 - 72,443 14,641 14,026 50.4 50.4 17.7 16.0 9.7 10.7 1.5 1.4 16.2 13.2 2.5 2.4

Hindalco Neutral 84 - 17,325 104,356 111,186 8.7 9.5 6.7 11.1 12.5 7.6 0.5 0.4 3.5 5.9 0.7 0.6

JSW Steel Neutral 1,194 - 28,868 42,308 45,147 16.4 20.7 (10.3) 49.5 24.1 1.3 1.3 (1.0) 5.6 1.7 1.6

NMDC Neutral 94 - 37,308 8,237 10,893 46.6 44.5 10.0 11.7 9.5 8.1 1.1 0.9 12.5 13.0 4.3 3.3

SAIL Neutral 43 - 17,883 45,915 53,954 7.2 10.5 1.5 4.4 28.8 9.9 0.4 0.4 2.3 4.1 1.0 0.9

Vedanta Neutral 88 - 26,119 71,445 81,910 26.2 26.3 12.9 19.2 6.8 4.6 0.5 0.4 7.2 8.9 0.8 0.6

Tata Steel Neutral 300 - 29,117 126,760 137,307 8.9 11.3 6.4 23.1 47.1 13.0 0.9 0.9 2.0 7.1 0.8 0.8

Oil & Gas

Cairn India Neutral 150 - 28,067 11,323 12,490 49.4 51.0 20.7 20.7 7.2 7.3 0.5 0.4 6.4 6.1 1.5 0.9

GAIL Neutral 340 - 43,160 64,856 70,933 9.1 9.6 24.0 28.9 14.2 11.8 1.2 1.1 8.8 9.6 0.9 0.8

ONGC Neutral 207 - 177,398 154,564 167,321 36.8 37.4 28.6 32.5 7.3 6.4 0.9 0.9 12.7 13.5 1.3 1.3

Petronet LNG Neutral 248 - 18,585 29,691 31,188 5.8 6.2 12.8 13.4 19.4 18.5 2.9 2.6 15.8 14.8 0.7 0.7

Indian Oil Corp Buy 392 455 95,224 359,607 402,760 5.9 6.1 42.5 48.7 9.2 8.1 1.2 1.1 14.1 14.4 0.4 0.3


March 16, 2016

Stock Watch



Oil & Gas

Reliance Industries Accumulate 1,020 1,150 330,621 304,775 344,392 12.6 13.4 91.3 102.6 11.2 10.0 1.3 1.1 11.8 12.0 1.0 0.8

Pharmaceuticals

Alembic Pharma Neutral 613 - 11,548 3,274 3,802 26.9 19.4 35.0 28.7 17.5 21.3 7.8 5.9 55.6 31.2 3.5 3.0

Aurobindo Pharma Buy 710 856 41,522 14,923 17,162 22.0 23.0 35.7 42.8 19.9 16.6 5.8 4.4 34.0 30.2 3.2 2.8

Aventis* Neutral 4,409 - 10,154 2,082 2,371 17.4 20.8 118.2 151.5 37.3 29.1 5.5 4.4 19.9 25.5 4.5 3.8

Cadila Healthcare Neutral 339 - 34,669 10,224 11,840 21.0 22.0 14.6 17.6 23.2 19.2 6.4 5.0 30.8 29.0 3.5 2.9

Cipla Accumulate 525 605 42,153 13,979 16,447 20.2 18.6 25.7 27.5 20.4 19.1 3.3 2.9 17.6 16.1 3.1 2.5

Dr Reddy's Buy 3,139 3,933 53,525 16,838 19,575 25.0 23.1 167.5 178.8 18.7 17.6 3.9 3.3 23.1 20.4 3.2 2.7

Dishman Pharma Neutral 349 - 2,816 1,733 1,906 21.5 21.5 17.0 19.9 20.5 17.5 2.1 1.9 10.5 11.2 2.2 1.9

GSK Pharma* Neutral 3,266 - 27,660 2,870 3,158 20.0 22.1 59.5 68.3 54.9 47.8 16.2 16.6 28.5 34.3 9.1 8.3

Indoco Remedies Neutral 278 - 2,559 1,033 1,199 15.9 18.2 9.4 13.6 29.6 20.4 4.4 3.7 15.7 19.7 2.6 2.2

Ipca labs Buy 535 900 6,750 3,363 3,909 12.9 18.6 13.4 28.0 39.9 19.1 2.9 2.5 7.4 14.0 2.3 2.0

Lupin Neutral 1,727 - 77,793 13,092 16,561 25.0 27.0 50.4 68.3 34.3 25.3 7.1 5.6 22.8 24.7 6.1 4.7

Sun Pharma Accumulate 844 950 203,099 28,163 32,610 25.8 30.7 17.4 26.9 48.5 31.4 4.6 4.0 13.0 16.6 6.9 5.7

Power

Tata Power Neutral 59 - 15,890 35,923 37,402 22.6 22.8 4.1 5.2 14.5 11.4 1.1 1.0 7.5 9.3 1.4 1.3

NTPC Buy 127 146 105,047 87,271 99,297 23.5 23.5 11.8 13.3 10.8 9.6 1.2 1.1 11.5 12.2 2.2 2.0

Power Grid Buy 139 170 72,562 20,702 23,361 86.7 86.4 12.1 13.2 11.5 10.5 1.7 1.5 15.6 15.1 8.4 7.8

Real Estate

MLIFE Buy 428 554 1,755 697 1,011 14.9 19.3 13.8 20.1 31.0 21.3 1.2 1.1 3.8 5.3 3.8 2.6

Telecom

Bharti Airtel Neutral 344 - 137,371 101,748 109,191 32.1 31.7 12.0 12.5 28.6 27.5 2.0 1.9 6.9 6.7 2.0 1.8

Idea Cellular Neutral 99 - 35,717 34,282 36,941 32.0 31.5 5.9 6.2 16.8 16.0 1.5 1.4 9.9 9.3 1.6 1.6

zOthers

Abbott India Neutral 4,879 - 10,368 2,715 3,153 14.5 14.1 134.3 152.2 36.3 32.1 9.1 7.5 27.4 25.6 3.5 3.0

Bajaj Electricals Buy 193 237 1,946 4,719 5,287 5.2 5.8 8.6 12.7 22.5 15.2 2.6 2.3 11.4 14.8 0.4 0.4

Finolex Cables Neutral 239 - 3,660 2,520 2,883 12.2 12.0 12.7 14.2 18.9 16.9 2.6 2.3 13.6 13.5 1.1 1.0

Goodyear India* Buy 467 582 1,078 1,800 1,600 11.7 11.5 58.7 52.9 8.0 8.8 1.8 1.5 24.6 18.7 0.4 0.4

Hitachi Neutral 1,142 - 3,105 1,779 2,081 7.8 8.8 21.8 33.4 52.4 34.2 8.5 6.8 17.4 22.1 1.8 1.5

Jyothy Laboratories Neutral 283 - 5,128 1,620 1,847 11.5 11.5 7.3 8.5 38.8 33.4 5.0 4.7 13.3 14.4 3.1 2.6

MRF Buy 34,314 45,575 14,553 20,316 14,488 21.4 21.1 5,488.0 3,798.0 6.3 9.0 2.1 1.7 41.1 21.2 0.7 0.9

Page Industries Neutral 11,307 - 12,612 1,929 2,450 19.8 20.1 229.9 299.0 49.2 37.8 21.7 15.1 52.1 47.1 6.6 5.2

Relaxo Footwears Neutral 381 - 4,573 1,767 2,152 12.3 12.5 19.3 25.1 19.8 15.2 4.9 3.7 27.7 27.8 2.7 2.2

Siyaram Silk Mills Buy 987 1,354 925 1,636 1,815 11.5 11.5 89.9 104.1 11.0 9.5 1.8 1.6 17.9 17.8 0.7 0.7


March 16, 2016

Stock Watch



zOthers

Styrolution ABS India* Neutral 539 - 948 1,271 1,440 8.6 9.2 32.0 41.1 16.8 13.1 1.7 1.5 10.7 12.4 0.7 0.6

TVS Srichakra Buy 2,358 3,217 1,805 2,035 2,252 15.9 15.3 248.6 268.1 9.5 8.8 4.1 3.0 43.6 33.9 0.9 0.8

HSIL Accumulate 288 302 2,080 2,123 2,384 16.1 16.5 15.0 18.9 19.1 15.2 1.5 1.4 8.0 9.4 1.3 1.1Kirloskar Engines India Ltd Neutral 211 - 3,053 2,403 2,554 8.6 9.9 9.2 10.5 23.0 20.1 2.2 2.1 9.7 10.7 0.9 0.8

M M Forgings Buy 428 614 517 511 615 21.7 21.6 43.1 55.8 9.9 7.7 1.8 1.5 19.9 21.2 1.2 0.9

Banco Products (India) Neutral 99 - 709 1,208 1,353 11.0 12.3 10.8 14.5 9.2 6.8 1.1 0.9 11.9 14.5 0.6 0.5

Competent Automobiles Neutral 127 - 78 1,040 1,137 3.2 3.1 25.7 28.0 4.9 4.5 0.7 0.7 15.0 14.3 0.1 0.1

Nilkamal Neutral 1,092 - 1,629 1,871 2,031 10.7 10.5 63.2 69.8 17.3 15.7 2.8 2.4 17.6 16.6 0.9 0.8

Visaka Industries Buy 108 144 171 1,086 1,197 9.9 10.3 21.5 28.8 5.0 3.8 0.5 0.4 9.6 11.6 0.4 0.3Transport Corporation of India Neutral 274 - 2,083 2,830 3,350 8.8 9.0 14.4 18.3 19.1 15.0 2.9 2.6 15.4 17.1 0.9 0.7

Elecon Engineering Neutral 58 - 632 1,359 1,482 10.3 13.7 0.8 3.9 72.2 14.9 1.2 1.1 1.6 7.8 0.8 0.8

Surya Roshni Buy 134 201 585 2,992 3,223 8.1 8.4 14.7 18.3 9.1 7.3 0.9 0.8 9.7 11.0 0.5 0.4

MT Educare Neutral 155 - 619 286 366 18.3 17.7 7.7 9.4 20.1 16.6 4.2 3.7 20.2 21.1 2.1 1.6

Radico Khaitan Buy 97 156 1,293 1,517 1,635 12.7 13.4 5.8 7.1 16.7 13.7 1.4 1.3 8.6 9.6 1.4 1.2

Garware Wall Ropes Buy 323 473 707 862 974 11.2 11.2 24.9 29.6 13.0 10.9 2.0 1.7 15.1 15.4 0.8 0.6

Wonderla Holidays Neutral 359 - 2,026 206 308 44.0 43.6 9.0 12.9 39.8 27.8 5.4 4.9 13.7 17.8 10.0 6.6

Linc Pen & Plastics Neutral 183 - 270 340 371 8.3 8.9 10.8 13.2 16.9 13.8 2.7 2.4 16.0 17.1 0.8 0.8

The Byke Hospitality Neutral 151 - 607 222 287 20.5 20.5 5.6 7.6 26.9 20.0 5.1 4.2 18.9 20.8 2.8 2.2

Interglobe Aviation Neutral 800 - 28,832 17,022 21,122 20.7 14.5 63.9 53.7 12.5 14.9 18.8 15.4 149.9 103.2 1.8 1.4Coffee Day Enterprises Ltd Neutral 225 - 4,632 2,692 2,964 17.0 18.6 - 4.7 - 47.5 2.8 2.6 0.2 5.5 2.1 2.0

Navneet Education Neutral 85 - 2,024 998 1,062 24.1 24.0 5.8 6.1 14.8 14.0 3.3 2.9 22.0 20.6 2.0 1.9

Navkar Corporation Buy 166 265 2,371 365 436 38.3 37.5 5.6 5.9 29.5 28.3 1.9 1.7 6.3 6.1 7.2 6.2

Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on March 15, 2016


March 16, 2016

Stock Watch

Research Team Tel: 022 - 39357800 E-mail: [email protected] Website: www.angelbroking.com

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Market OutlookMarch 16, 2016

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