market outlook, 12th february, 2013

7/29/2019 Market Outlook, 12th February, 2013

1/19

Market OutlookFebruary 12, 2013

www.angelbroking.com


Dealers Diary

The Indian market is expected to open flat with a negative bias, mirroring SGX

Nifty which is trading lower in the opening trades. Major Asian indices except

Nikkei are still closed for the Lunar New Year holiday.

The US market saw modest weakness throughout the trading session. Selling

pressure prevailed although subdued. The major averages climbed near the

unchanged line in the final hour of trading but still ended the day in the red. The

European markets finished Monday's trading session with mixed results. Some

negative news for pharmaceutical company Novo Nordisk weighed on investor

sentiment at the start of the new trading week.

Meanwhile Indian shares swung between gains and losses before ending modestly

lower on Monday, dragged down by capital goods, IT and FMCG stocks. Adding

to growth concerns, Reserve Bank of India Governor cautioned that the country was

headed for the highest ever current account deficit this fiscal year.

Markets Today

The trend deciding level for the day is 19,474 / 5,900 levels. If NIFTY trades above

this level during the first half-an-hour of trade then we may witness a further rally

up to 19,530 19,600 / 5,922 5,945 levels. However, if NIFTY trades below

19,474 / 5,900 levels for the first half-an-hour of trade then it may correct up to

19,404 19,347 / 5,877 5,855 levels.

SENSEX 19,347 19,404 19,474 19,530 19,600

NIFTY 5,855 5,877 5,900 5,922 5,945

News Analysis 3QFY2013 Result Review: ONGC, Jaiprakash Associates, Britannia Industries,

Indraprasth Gas, JSW Ispat, Hexaware, Sadbhav Engineering, Punj Lloyd,

Electrosteel Castings, GIPCL, Dishman Pharma, Godawari Power and Ispat

3QFY2013 Result Preview: SAIL, Motherson Sumi Systems, HT Media, CCCLRefer detailed news analysis on the following page

Net Inflows (February 07, 2013)

FII 4,424 2,897 1,528 17,696 39,941

MFs 383 492 (110) (1,362) (6,574)

FII Derivatives (February 11, 2013)

Index Futures 1,196 877 319 8,331

Stock Futures 1,106 809 296 30,952

Gainers / Losers

MMTC 610 19.0 Cadila Health 740 (6.4)

Hindustan Copp 137 10.5 Astrazeneca Phar 1,134 (6.4)

Indian Bank 193 5.4 Financial Tech 1,011 (4.6)

Cipla 395 3.6 United Brew-$ 721 (3.7)

Oberoi Realty 284 3.4 Jain Irrigation 63 (3.4)

BSE Sensex (0.1) (24.2) 19,461

Nifty (0.1) (5.7) 5,898

MID CAP (0.2) (12.0) 6,744

SMALL CAP (0.3) (21.0) 6,773

BSE HC 0.7 58.4 7,933

BSE PSU 0.5 34.3 7,297

BANKEX 0.3 48.2 14,151

AUTO 0.1 12.2 10,822

METAL 0.1 6.4 10,073

OIL & GAS (0.2) (16.6) 9,000

BSE IT (0.3) (21.6) 6,456

Dow Jones (0.2) (21.7) 13,971NASDAQ (0.1) (1.9) 3,192

FTSE 0.2 13.1 6,277

Nikkei (1.8) (203.9) 11,153

Hang Seng 0.2 38.2 23,215

Straits Times 0.3 8.5 3,270

Shanghai Com 0.6 13.9 2,432

INFY (2.4) (1.3) $51.1

WIT (1.8) (0.2) $9.3IBN 0.5 0.2 $43.7

HDB 0.1 0.0 $38.4

Advances 1,221 586

Declines 1,613 868

Unchanged 139 73

BSE 2,140

NSE 9,461


2/19



3QFY2013 Result Review

ONGC (CMP: `308/ TP: -/ Upside: -)

ONGC reported better than expected 3QFY2013 results. The companys top line

increased by 15.7% yoy to `21,093cr (above our expectation of `19,294cr).

ONGCs crude oil net realization increased by 6.7% yoy to US$47.9/bbl and gas

realizations increased 10.5% yoy to 8.4/scm due to INR depreciation against the

USD. Crude oil sales volumes grew 7.0% yoy to 6mn tonnes while gas sales

volumes remained flat yoy at 5bcm. The company shared a subsidy burden of

`12433cr in 3QFY2013. The company's EBITDA increased by 5.4% yoy to

`11,342cr. Other income grew by 33.7% yoy to `1,280cr which resulted in

adjusted net profit growing by 54.5% yoy to `5,562cr (above our expectation of

`4,843cr). The company has maintained its oil/gas production guidance to

27.0mn tonnes/25.7bcm and 29.1mn tonnes /26.4bcm for FY2013 and FY2014,

respectively.

FY2013E 144,089 32.8 24,508 28.6 17.0 10.8 1.7 5.2 1.5

FY2014E 152,165 32.7 26,125 30.5 16.4 10.1 1.6 4.5 1.4

Jaiprakash Associates (CMP: `73/ TP: Under review)

For 3QFY2013, Jaiprakash Associates posted mixed set of numbers with strong

performance on revenue however earnings were lower than our estimate owing to

lower-than-expected operating performance On the top-line front, companys

reported revenue of `3,431cr in 3QFY2013, registering a growth of 15.5% yoy

which was higher than our estimate by 4.3%. The cement segment had growth of

7% on a yoy basis while construction segment and real estate revenue grew by

2.7% and 98.9% on a yoy basis respectively.Blended EBITDA margins decline by

603bp/395bp on a yoy/qoq basis to 23.2% and was below our expectation of

25.9%. Cement margins came in at 8.0% which led to decline in margins. Interest

cost stood at `533cr a jump of 20.7%/14.7% on yoy/qoq basis and marginally

higher than our estimate of `478cr. Depreciation cost came at `181cr a jump of

9.9% on yoy basis. On the bottom-line front, company reported a PAT `111cr a

dip of 64.2% on a yoy basis owing to lower-than-expected at operating level and

high interest cost.

FY2013E 13,842 26.9 778 3.7 6.2 19.9 1.2 9.6 2.6

FY2014E 15,863 26.4 970 4.6 7.3 15.9 1.1 8.8 2.3

Britannia Industries (CMP: `465/ TP: `584/ Upside: 26%)

Britannia Industries posted a 16.8% yoy growth in standalone topline to `1,453cr,

which was in-line with estimates. The topline growth was aided by price hikes

carried out by the company. OPM fell by 20bp yoy to 6.4%. Net Profit rose by

5.4% yoy to `57cr. We maintain a Buy on the stock with a Target Price of `584.


3/19



FY2013E 5,627 4.9 219 18.3 39.1 25.5 9.3 18.6 0.9

FY2014E 6,581 5.7 295 24.7 42.7 18.9 7.1 13.6 0.8

Indraprasth Gas (CMP:`257/ TP: -/ Upside: -)

Indraprasth Gas reported robust 3QFY2013 results. Net sales grew by 31.1% yoy

to `869cr which was driven by increases in both, sales as well as realizations.

CNG and PNG volumes increased by 7.6% and 17.4% yoy to 194mn kg and

84mmscm, respectively. Average CNG realisation increased 20.0% yoy to`38/kg,

whereas average PNG realizations increased by 11.3% yoy to `26/scm. EBITDA

increased by 24.9% yoy to`188cr. However, EBITDA margin slipped 107bp yoy to

21.6% due to higher cost of gas purchases. Further, interest expense was flat yoy

at`14cr in 3QFY2013. Tax provisions for this quarter were also higher at 32.4%

compared to 31.9% in 3QFY2012. Hence, net profit grew by 24.3% yoy to`86cr.

FY2013E 3,365 22.8 355 25.3 26.0 10.1 2.4 5.1 1.1

FY2014E 3,700 23.4 373 26.6 22.6 9.6 2.0 4.4 1.0

JSW Ispat reports weak 3QFY2013 results

JSW Ispat, which is expected to be merged with JSW Steel during CY2013 reported

weak results for 3QFY2013. Its net sales grew by 4.4% yoy to `2,678cr. However,

its EBITDA decreased by 12.4% yoy to`129cr mainly due to lower steel prices and

higher costs. It reported an interest cost of`248cr which resulted in a net loss of

`131cr in 3QFY2013, compared to a loss of`301cr in 3QFY2012.

Hexaware (CMP:`84/ TP: Under review)

For 4QCY2012, Hexaware reported broadly in-line set of results. The USD

revenue came in at US$92.4mn, down 0.4% qoq. In INR terms, revenue came in

at `502cr, down 1.0%. The companys EBITDA and EBIT margin declined by~480bp qoq each to 16.9% and 15.1%, respectively. Margin decline was less

than expectations as well as less than managements guidance of ~500-700bp

qoq. PAT came in at`66cr.

Management has guided for double digit revenue growth in CY2013 and

indicated intention to retain ~50% dividend payout ahead. Management has

given 2-3% qoq USD revenue growth for 1QCY2013 and expects margins to

improve by ~150-200bp qoq in 1QCY2013. The company expects growth to be

driven by aggressive client mining outside of top 10 clients and BFSI vertical. We

continue to remain positive on the stock and the target price in currently under

review.


4/19



CY2013E 1,941 20.8 321 10.7 25.3 7.9 1.9 4.7 1.0

CY2014E 2,118 19.0 321 10.7 22.0 7.9 1.7 4.4 0.8

Sadbhav Engineering (CMP:`121/ TP: Under review)

For 3QFY2013, Sadbhav Engineering (SEL) reported a disappointing poor set of

numbers, which were significantly below our and consensus estimates. On the top-

line front, SEL reported a revenue decline 51.3% yoy to `353cr which was

significantly below our and street estimate by 53% and 40% respectively. This

dismal performance has been owing to slower execution pace in remaining under

construction projects. On the margin front, the company posted EBITDAM of 9.4%

a dip of 200bp on yoy basis and was lower than our estimate of 10.3%. Interest

cost grew by 28.2% yoy/17.1% qoq to`21cr and was in line with our estimate. On

the bottom-line front, companys PAT reported a decline of 91.1% yoy to`4cr in3QFY2013 against our estimate of `38cr. This was mainly due to lower-than-

expected revenues and higher interest expense during the quarter. At CMP, the

stock is trading at P/E and P/BV of 13.7x and 2.1 FY2014 earnings.

FY2013E 1,966 10.6 81 5.4 9.9 22.4 2.1 10.2 1.1

FY2014E 2,594 10.7 116 7.7 12.4 15.7 1.8 8.3 0.9

Punj Lloyd (CMP:`52/ TP: -/ Upside: -)

For 3QFY2013, Punj posted mixed set of numbers with muted performance on

revenue and EBITDAM front, however higher share of profits from associates led to

a profit at earnings level. The company reported a flat top-line growth of 2.6% yoy

to `2,881cr in 3QFY2013. EBITDA margins showed an improvement of 431bp

yoy to 10.1% in 3QFY2013. For the quarter, interest cost increase by 22.2% yoy to

`198cr while depreciation came in flat at `88cr respectively. On the bottom-line

front, PAT came in at`9cr in 3Q FY2013 vs. `70cr in 2QFY2013. This wasmainly due to higher share of profit from associate (`8cr vs. a loss of `5cr in

2QFY2013). .

FY2013E 11,892 9.0 60 1.8 2.0 28.8 0.6 6.2 0.6

FY2014E 13,116 9.0 107 3.2 3.5 16.2 0.6 5.8 0.5

Electrosteel Castings associate, Electrosteel Steels, reports

3QFY2013 results

Electrosteel Steels (ESL), an associate of Electrosteel Castings (ECL) reported an

operating loss during 3QFY2013 as most of its integrated steel plants are yet to

commission operations. ESLs top-line stood at `55cr compared to `0.2cr in


5/19



3QFY2012 as the company commenced partial operations at its plant (pig iron

and DI pipes) during 1HFY2013. It reported an operating loss of`16cr during the

quarter. Depreciation and interest expenses stood at`14cr and`34cr, respectively.

Hence, it reported a loss at the PAT level of`64cr.

GIPCL (CMP:`70/ TP:`78/ Upside: 11 %)

For 3QFY2013, GIPCL reported sluggish top-line performance in-line with our

expectations. Top-line declined by 4.8% yoy to `369cr, in spite of 6.6% yoy

increase in power generation. OPM expanded by 1,344bp yoy to 37% mainly on

account of 1,207bp yoy reduction in fuel cost. The company posted robust growth

in net profit to `70cr (v/s `17cr in 3QFY2012) aided by margin expansion and

lower tax provision.

FY2013E 1,523 35.1 184 12.2 12.1 5.8 0.7 3.4 1.2

FY2014E 1,568 31.4 198 13.1 11.9 5.4 0.6 3.1 1.0

Dishman Pharma (CMP:`94/ Target:`145/ Upside: 54%)

Dishman Pharma reported sales mostly in line with expectations, while the net

profit came in below expectations. The top-line grew by 19.6% to`318cr , mostly

in line with expectations of `315cr during the quarter 3QFY2013. The top-line

growth was mainly driven by the CRAMS, which grew by 23.8%, while MM grew by

12.4% yoy. The OPM came in slightly lower than expectations at 19.1%, a 120bpdecline. This along with high interest expenses led the net profit to come in at

`16.4cr, almost same as`16.7cr.

FY2013E 1,280 20.2 89 10.4 8.7 9.0 0.8 6.6 1.3

FY2014E 1,536 20.2 123 14.5 11.0 6.5 0.7 5.5 1.1

Godawari Power and Ispat (CMP:`

103/ TP:`

112/ Upside: 9%)Godawari Power and Ispat (GPIL) reported healthy 3QFY2013 results. The

companys net sales grew by 25.3% yoy to `603cr on account of higher sales

volumes of Billets, HB wire and ferro alloys partially offset by lower realizations.

On the operating front EBITDA margin was flat at 11.6% and EBITDA grew by

24.9% yoy to `70cr. Interest expenses increased by 8.9% yoy to `30cr however,

net profit increased by 75.8% yoy to`20cr.

FY2013E 2,367 14.2 107 33.8 12.9 3.1 0.4 4.3 0.6

FY2014E 2,425 13.7 108 34.0 11.2 3.1 0.3 3.9 0.5


6/19



3QFY2013 Result Preview

SAIL (CMP:`81/ TP: -/ Upside :-)

SAIL is expected to announce its 3QFY2013 results today. We expect the

companys top-line to grow by 10.7% yoy to`11,730cr due to better realizations.

We expect EBITDA margin to contract by 310bp yoy to 10.6% on account of higher

staff costs and other expenses. The bottom-line is expected to fall by 34.9% yoy to

`716cr.

FY2013E 45,873 11.8 2,800 6.8 6.9 11.9 0.8 7.3 0.9

FY2014E 57,250 10.4 2,863 6.9 6.7 11.7 0.8 7.8 0.8

Motherson Sumi Systems (CMP:`190/ TP: -/ Upside: -)

Motherson Sumi Systems (MSS) is scheduled to announce its 3QFY2013 results

today. We expect MSS to report improvement in its operating performance driven

by pick-up in order execution at the new plant in Hungary. On a consolidated

basis, we expect the company to record revenues of `6,169cr from `3,841cr in

3QFY2012 mainly on account of consolidation of Peguform operations. On the

operating front, the company is expected to report a ~75bp yoy expansion in

margins to 7.4%. As a result, adjusted net profit is expected to increase ~115.9%

yoy to `127cr. At the CMP of `190, the stock is trading at 17.9x FY2014E

earnings.

FY2013E 24,285 6.7 473 8.0 22.9 23.6 5.0 9.1 0.6

FY2014E 27,317 7.2 622 10.6 24.7 17.9 4.0 7.5 0.5

HTMedia (CMP:`97/ TP:`121/ Upside: 25%)

HTMedia is slated to announce its 3QFY2013 results. The companys top-line is

expected to register subdued growth of 3% yoy to`535cr. Its OPM is expected to

expand by 106bp yoy to 15%. Consequently, profit is expected to grow by 3% yoy

to `50cr. At the current market price, HTMedia is trading at 13.2x FY2014Econsolidated EPS of`8.3.

FY2013E 2,111 15.0 173 7.4 11.3 13.2 1.4 4.7 0.7

FY2014E 2,272 15.1 194 8.3 11.4 11.7 1.3 4.0 0.6

CCCL (CMP:`15 / TP: - / Upside: -)

Consolidated Construction Consortium (CCCL) is expected to post a decent set of

numbers for 3QFY2013. We expect the top-line to register a growth of 10.0% yoy

to`491cr, given the pickup in execution across projects. On the EBITDA front, we

expect the company to continue its dismal performance; however, owing to the low


7/19



base of 3QFY2012, its EBITDAM is expected to register an improvement of 162bp

yoy to 6.2%. On the bottom-line front, the company is expected to post a profit of

`3cr for 3QFY2013 vs. a loss of`3cr in 3QFY2012.

FY2013E 2,262 5.9 17 0.9 2.7 16.2 0.4 6.9 0.4

FY2014E 2,522 6.3 29 1.6 4.5 9.5 0.4 6.3 0.4

Quarterly Bloomberg Brokers Consensus Estimate

Net sales 51,328 47,917 7 48,464 6

EBITDA67 3,703 (98) 2,914 (98)

EBITDA margin (%) 0 8 6

Net profit (462) 2,725 (117) 2,327 (120)

Net sales 4,875 4,355 12 4,606 6

EBITDA 1,707 1,742 (2) 2,112 (19)

EBITDA margin (%) 35.0 40.0 45.9

Net profit 931 1,018 (9) 909 2

Net profit 1,022 809 26 1,126 (9)

Net sales 11,341 10,594 7 10,663 6

EBITDA 1,263 1,581 (20) 1,109 14

EBITDA margin (%) 11.1 14.9 10.4

Net profit 597 632 (6) 543 10

Net sales 57,870 58,824 (2) 56,860 2

EBITDA 196 3,710 - 5,388 -

EBITDA margin (%) 0.3 6 9

Net profit (550) 3,140 - 5,035 -


8/19



Net sales 17,008 15,349 11 14,573 17

EBITDA 5,092 4,547 12 2,862 78

EBITDA margin (%) 29.9 29.6 19.6

Net profit 4,170 4,038 3 3,078 35

Net sales 111,189 98,272 13 105,791 5

EBITDA 1,766 11,158 (84) 11,562 (85)

EBITDA margin (%) 1.6 11 11

Net profit (1,878) 2,488 (175) 9,611 (120)

Net sales 2,199 2,822 (22) 2,612 (16)

EBITDA 1,526 2,261 (32) 1,935 (21)

EBITDA margin (%) 69.4 80.1 74.1

Net profit 1,427 1,859 (23) 1,679 (15)

Net sales 32,684 32,964 (1) 33,867 (3)

EBITDA 2,595 1,717 51 2,310 12

EBITDA margin (%) 7.9 5.2 6.8Net profit (193) (667) (71) (391) (51)

Net sales 577 514 12 540 7

EBITDA 106 107 (1) 82 30

EBITDA margin (%) 18.4 20.8 15.2

Net profit 76 57 33 47 62

Net sales 2,274 2,034 12 2,040 11

EBITDA 947 823 15 746 27

EBITDA margin (%) 41.6 40.4 36.6

Net profit 435 247 76 118 269

Net sales 2,918 2,769 5 2,881 1

Net profit 433 513 (16) 407 6


9/19



Net sales 11,565 11,260 3 11,361 2

EBITDA 1,712 1,795 (5) 1,412 21

EBITDA margin (%) 14.8 15.9 12.4

Net profit 1,033 1,091 (5) 985 5

Net sales 325 423 (23) 255 27

EBITDA 241 157 53 331 (27)

EBITDA margin (%) 74.1 37.2 129.8

Net profit 154 156 (1) 141 9

Net profit 265 306 (13) 243 9

Net profit 3,598 3,263 10 3,658 (2)

Net sales 49,101 45,199 9 42,819 15

EBITDA 6,612 6,827 (3) 5,334 24

EBITDA margin (%) 13.5 15.1 12.5

Net profit 2,913 3,427 (15) 2,098 39

Economic and Political News

Chidambaram to meet state FMs on February 14 on GST rollout Domestic car sales decline 12.45%, bike sales up 7.45% in January Government to give`25,000cr additional fuel subsidy

Corporate News

Court to decide on Bharti-Vodafone chargesheet on February 19 InterContinental signs contract with HCC's Lavasa township to open 200 room

hotel

Nalco to hit market after budget, to raise`1,400cr Nielsen increases TCS contract size to US$2.5bn RCom, Ericsson sign US$1bn managed services contract RIL to shut Jamnagar crude distillation unit for four weeks Shree Renuka Sugars to set up US$220mn refinery complex in LankaSource: Economic Times, Business Standard, Business Line, Financial Express, Mint


10/19

Date Company

February 12, 2013 Jindal Steel, Power Grid Corpn, SAIL, HPCL, Motherson Sumi, CESC, HT Media

February 13, 2013Coal India, NMDC, IOC, Tata Steel, BPCL, Unitech, Madras Cements, PTC India, Orchid Chemicals, Finolex Cables,Madhucon Proj

February 14, 2013St Bk of India, Tata Motors, GAIL, DLF, Dr Reddy's, LIC Housing Fin., Suzlon Energy, CRISIL, HDIL, Monnet Ispat, PageIndustries, India Cements, FAG Bearings, Simplex Infra, IVRCL Infra, Patel Engg., Siyaram Silk Mills, TVS Srichakra, S.

Kumars Nationwide

February 15, 2013 GlaxoSmith Con

February 16, 2013

February 17, 2013

February 18, 2013

February 19, 2013 GSK Pharma

February 20, 2013 Nestle

February 21, 2013 ABB

Source: Bloomberg, Angel Research

Result Calendar

Global economic events release calendar

Date Time Country Event Description Unit Period Bloomberg Data

Last Reported Estimated

February 12, 2013 3:00PM UK CPI (YoY) % Change Jan 2.70 2.70

11:00AM India Industrial Production YoY % Change Dec (0.10) 1.00

February 14, 2013 7:00PM US Initial Jobless claims Thousands Feb 9 366.00 360.00

12:30PM Germany GDP nsa (YoY) % Change 4Q P 0.40 0.20

February 15, 2013 7:45PM US Industrial Production % Jan 0.26 0.20

February 20, 2013 8:30PM Euro Zone Euro-Zone Consumer Confidence Value Feb A (23.90) --

3:00PM UK Jobless claims change % Change Jan (12.10) --

February 21, 2013 2:00PM Germany PMI Services Value Feb A 55.70 --

8:30PM US Existing home sales Millions Jan 4.94 4.92

February 26, 2013 8:30PM US Consumer Confidence S.A./ 1985=100 Feb 58.60 --

8:30PM US New home sales Thousands Jan 369.00 --

February 27, 2013 3:00PM UK GDP (YoY) % Change 4Q P -- --

February 28, 2013 3:30PM Euro Zone Euro-Zone CPI (YoY) % Jan 2.20 --

7:00PM US GDP Qoq (Annualised) % Change 4Q S (0.10) --

March 1, 2013 3:00PM UK PMI Manufacturing Value Feb 50.80 --

6:30AM China PMI Manufacturing Value Feb 50.40 --

March 7, 2013 5:30PM UK BOE Announces rates % Ratio Mar 7 0.50 0.50

6:15PM Euro Zone ECB announces interest rates % Mar 7 0.75 --

March 8, 2013 5:29PM China Exports YoY% % Change Feb 25.00 --7:00PM US Unnemployment rate % Feb 7.90 --


February 12, 2013

Market Outlook


11/19



Macro watch

Exhibit 1 :Q uarterly G D P trends

Source: CSO, Ang el Research

Exhibit 2 :IIP trends

Source: M O SPI, Ang el Research

Exhibit 3 :M onthly WPI inflation trends

Source: M O SPI, Ang el Research

Exhibit 4 :M a nufacturing a nd services PM I

Source: Ma rket, Angel Research; N ote: Level above 50 indicates expansion

Exhibit 5 :Expo rts an d impo rts growth trends


Exhibit 6 :Key policy rates

Source: RBI, Angel Research

3. 5

5. 7

9. 0

7. 5

11.2

8. 5

7. 68 .2

9. 2

8. 0

6. 76. 1

5. 3 5. 5 5. 3

3. 0

4. 0

5. 0

6. 0

7. 0

8. 0

9. 0

10.0

11.0

12.0

4Q

FY09

1Q

FY10

2Q

FY10

3Q

FY10

4Q

FY10

1Q

FY11

2Q

FY11

3Q

FY11

4Q

FY11

1Q

FY12

2Q

FY12

3Q

FY12

4Q

FY12

1Q

FY13

2Q

FY13

(%)

2. 7

1 .0

4. 3

(2.8) (1.3)

2. 5

(2.0) (0.1)

2. 0

(0.7)

8. 3

(0.1)(4.0)

(2.0)

-

2. 0

4. 0

6. 0

8. 0

10.0

Dec

-11

Jan

-12

Fe

b-

12

M

ar-

12

Apr-

12

M

ay

-12

Jun

-12

Ju

l-12

Aug

-12

Sep

-12

O

ct-12

Nov

-12

(%)

7 .7

6 .9

7 .4

7 .7

7 .5 7 .67 .6 7 .5

8 .0 8 .1

7 .5

7 .2

6 .2

6 .4

6 .6

6 .8

7 .0

7 .2

7 .4

7 .6

7 .8

8 .0

8 .2

Dec-11

Jan-12

Feb-12

M

ar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

O

ct-12

Nov-12

(%)

48.0

50.0

52.0

54.0

56.0

58.0

60.0

Jan-12

Feb-12

M

ar-12

Apr-12

M

ay-12

Jun-12

Jul-12

Aug-12

Sep-12

O

ct-12

Nov-12

Dec-12

Jan-13

M fg . PM I Services PM I

(30.0)

(15.0)

0 .0

15.0

30.0

Jan

-12

Fe

b-

12

M

ar

-12

Apr

-12

M

ay

-12

Jun

-12

Ju

l-12

Aug

-12

Sep

-12

O

ct-12

Nov

-12

Dec

-12

Exp orts yoy g ro wth Im ports yo y growth( %)

8.00

7.00

4.25

4.00

5.00

6.00

7.00

8.00

9.00

Dec

-11

Jan

-12

Fe

b-1

2

M

ar-

12

Apr-

12

M

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Repo rate Reverse Repo rate C RR(%)


12/19

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

( ) Price ( ) ( cr ) FY13E FY14E FY13E FY14E FY13E FY14E FY13E FY14E FY13E FY14E FY13E FY14E FY13E FY14E

Agri / Agri Chemical

Rallis Neutral 136 - 2,637 1,466 1,686 14.8 14.8 7.0 8.1 19.4 16.7 4.1 3.5 22.6 22.5 1.9 1.6

United Phosphorus Buy 128 170 5,648 8,421 9,263 16.5 16.5 15.0 17.0 8.5 7.5 1.2 1.1 15.6 15.5 0.8 0.7

Auto & Auto Ancillary

Amara Raja Batteries Accumulate 299 323 5,111 2,983 3,477 16.1 16.1 18.5 21.6 16.2 13.9 4.7 3.6 32.9 29.1 1.6 1.5

Apollo Tyres Accumulate 85 97 4,299 13,066 14,503 11.5 11.8 13.0 14.5 6.6 5.9 1.3 1.1 21.0 19.4 0.5 0.5

Ashok Leyland Accumulate 25 28 6,625 12,910 14,836 8.8 9.6 1.5 2.2 16.8 11.2 2.2 2.0 9.3 13.4 0.6 0.5

Automotive Axle# Neutral 363 - 548 934 1,103 10.2 10.7 24.5 34.3 14.8 10.6 1.9 1.7 13.2 16.9 0.6 0.5Bajaj Auto Neutral 2,062 - 59,673 20,775 23,889 18.5 19.0 107.6 126.4 19.2 16.3 7.9 6.3 45.8 42.8 2.5 2.1

Bharat Forge Neutral 226 - 5,263 5,973 6,707 14.4 15.2 13.4 18.6 16.9 12.2 2.2 1.9 13.6 16.9 1.0 0.9

Bosch India* Accumulate 9,023 9,570 28,332 9,973 11,320 17.8 18.0 396.2 455.7 22.8 19.8 4.3 3.6 18.8 18.2 2.5 2.1

CEAT Buy 109 163 372 4,822 5,403 8.2 8.3 29.8 40.8 3.6 2.7 0.5 0.4 14.5 17.0 0.3 0.2

Exide Industries Accumulate 122 131 10,387 6,016 7,026 12.7 14.4 5.8 7.8 20.9 15.6 3.1 2.7 15.4 18.2 1.4 1.2

FAG Bearings* Buy 1,420 1,807 2,360 1,715 1,939 17.6 18.4 127.7 150.6 11.1 9.4 2.2 1.8 21.7 21.1 1.1 0.9

Hero Motocorp Accumulate 1,759 1,923 35,117 23,990 27,038 13.8 14.6 105.8 120.2 16.6 14.6 6.7 5.4 44.3 41.0 1.2 1.0

JK Tyre Buy 116 165 478 7,169 7,929 6.9 7.1 40.4 41.3 2.9 2.8 0.6 0.5 20.5 18.0 0.4 0.3

Mahindra and Mahindra Accumulate 895 1,019 54,979 40,060 46,301 11.5 11.7 55.3 64.3 16.2 13.9 3.7 3.0 24.5 23.8 1.1 0.9

Maruti Neutral 1,625 - 46,954 42,304 51,088 7.5 8.7 64.4 92.9 25.3 17.5 2.8 2.4 11.6 14.9 0.9 0.7

Motherson Sumi Neutral 191 - 11,240 24,285 27,317 6.7 7.2 8.1 10.6 23.8 18.1 5.0 4.1 22.9 24.7 0.6 0.5

Subros Buy 27 35 160 1,296 1,476 9.8 9.9 3.4 5.0 8.0 5.3 0.6 0.5 7.2 10.2 0.4 0.4

Tata Motors Buy 286 337 76,945 190,883 217,164 12.8 13.1 35.5 42.5 8.1 6.7 2.1 1.7 30.2 27.6 0.4 0.4

TVS Motor Buy 40 47 1,915 7,019 7,827 6.0 6.3 4.3 5.3 9.5 7.6 1.5 1.3 16.4 18.0 0.2 0.2

Capital Goods

ABB* Reduce 654 573 13,859 7,790 9,653 4.5 7.8 8.7 22.1 75.2 29.6 5.2 4.6 7.1 16.5 1.8 1.4BGR Energy Neutral 237 - 1,707 3,567 4,357 11.8 10.9 24.6 26.8 9.6 8.8 1.4 1.3 30.7 26.3 0.9 0.8

BHEL Neutral 206 - 50,421 47,801 43,757 18.0 17.1 24.1 20.8 8.6 9.9 2.5 2.2 32.9 23.6 0.9 1.0

Blue Star Buy 174 238 1,564 2,748 2,896 4.4 5.6 6.8 9.3 25.6 18.7 3.5 3.1 14.5 17.6 0.7 0.6

Crompton Greaves Buy 104 129 6,691 12,136 13,790 3.8 6.3 3.3 6.9 31.6 15.2 1.8 1.7 5.8 11.5 0.6 0.5

Jyoti Structures Buy 39 49 322 2,802 3,074 9.5 9.8 7.7 10.9 5.1 3.6 0.5 0.4 9.6 12.1 0.3 0.3

KEC International Buy 57 75 1,455 6,909 7,723 6.2 7.2 5.4 8.4 10.5 6.7 1.2 1.1 17.0 22.8 0.3 0.3

LMW Reduce 2,101 1,992 2,367 2,369 2,727 11.7 11.7 143.4 166.0 14.7 12.7 2.4 2.2 17.4 18.4 0.5 0.4

Thermax Neutral 581 - 6,924 5,529 5,798 9.0 9.6 27.1 30.3 21.4 19.2 3.7 3.3 18.6 18.2 1.1 1.0


Market Outlook

Stock Watch

February 12, 2013


13/19



Cement

ACC Neutral 1,345 - 25,259 11,012 12,333 21.1 20.9 77.0 80.3 17.5 16.8 3.3 3.0 19.5 18.7 2.0 1.7

Ambuja Cements Neutral 200 - 30,851 10,210 11,811 26.0 25.7 11.2 12.6 17.9 15.9 3.8 3.4 20.3 20.7 2.6 2.2

India Cements Neutral 87 - 2,674 4,293 4,666 17.7 18.1 8.6 10.8 10.1 8.1 0.8 0.7 7.5 9.0 1.0 0.9

J K Lakshmi Cements Neutral 134 - 1,643 2,171 2,544 22.5 22.5 21.6 23.2 6.2 5.8 1.1 1.0 19.0 17.8 0.9 1.1

Madras Cements Neutral 237 - 5,647 3,814 4,045 28.8 27.1 18.3 18.7 13.0 12.7 2.3 2.0 19.4 17.0 2.1 1.9

Shree Cements^ Neutral 4,509 - 15,708 5,678 6,251 29.0 28.6 288.1 334.0 15.7 13.5 4.4 3.4 31.7 28.4 2.2 1.8

UltraTech Cement Neutral 1,922 - 52,686 20,466 23,017 23.3 24.3 100.0 117.1 19.2 16.4 3.5 3.0 19.6 19.5 2.5 2.3Construction

Ashoka Buildcon Buy 229 268 1,205 20,466 23,017 22.5 22.5 24.4 27.0 9.4 8.5 1.1 1.0 12.3 12.1 0.2 0.2

Consolidated Co Neutral 15 - 273 2,262 2,522 5.9 6.3 0.9 1.6 16.2 9.5 0.4 0.4 2.7 4.6 0.4 0.4

IRB Infra Buy 122 164 4,048 3,843 4,212 43.1 43.6 16.8 17.8 7.2 6.8 1.2 1.1 18.3 17.0 3.2 3.5

ITNL Accumulate 199 225 3,858 6,564 7,054 27.2 27.4 26.3 29.0 7.6 6.9 1.2 1.1 17.0 16.3 2.7 2.8

IVRCL Infra Neutral 32 - 976 4,249 6,897 7.8 8.2 0.3 3.4 103.1 9.4 0.4 0.4 0.4 4.4 0.8 0.5

Jaiprakash Asso. Buy 74 100 16,332 13,842 15,863 26.9 26.4 3.7 4.6 20.1 16.1 1.2 1.1 6.2 7.3 2.6 2.4

Larsen & Toubro Buy 1,496 1,788 91,996 60,666 69,525 10.6 11.2 71.9 85.0 20.8 17.6 3.2 2.8 14.5 15.2 1.7 1.5

Nagarjuna Const. Neutral 42 - 1,085 5,863 6,576 8.5 8.6 3.1 4.1 13.6 10.3 0.4 0.4 3.2 4.2 0.6 0.6

Punj Lloyd Neutral 51 - 1,684 11,892 13,116 9.0 9.0 1.8 3.2 28.0 15.8 0.6 0.6 2.0 3.5 0.6 0.5

Sadbhav Engg. Buy 119 168 1,799 2,344 2,804 10.6 10.7 7.2 8.7 16.6 13.7 2.0 1.8 13.0 13.5 1.1 1.0

Simplex Infra Buy 171 251 846 6,882 8,032 9.1 9.1 23.2 31.3 7.4 5.5 0.7 0.6 9.1 11.2 0.5 0.4

Unity Infra Buy 38 59 282 2,180 2,455 13.7 13.4 13.3 15.0 2.9 2.5 0.3 0.3 12.5 12.5 0.5 0.5

Financials

Allahabad Bank Buy 149 188 7,440 6,509 7,264 2.7 2.8 28.2 33.5 5.3 4.4 0.7 0.7 13.8 14.7 - -

Andhra Bank Neutral 103 - 5,786 4,795 5,475 3.0 3.0 21.8 21.9 4.7 4.7 0.8 0.7 15.4 13.8 - -Axis Bank Buy 1,461 1,753 68,221 15,959 18,660 3.2 3.2 119.2 139.0 12.3 10.5 2.3 2.0 20.3 20.1 - -

Bank of Baroda Neutral 773 - 31,784 15,284 18,032 2.5 2.6 109.6 137.7 7.1 5.6 1.0 0.9 15.5 17.1 - -

Bank of India Accumulate 343 380 19,686 12,793 14,823 2.3 2.4 49.5 65.1 6.9 5.3 1.0 0.9 13.6 16.0 - -

Bank of Maharashtra Neutral 56 - 3,316 3,720 4,268 2.9 2.8 10.9 13.0 5.2 4.3 0.8 0.7 16.2 16.9 - -

Canara Bank Accumulate 460 516 20,385 10,828 12,005 2.1 2.2 64.7 80.4 7.1 5.7 1.0 0.9 13.2 14.7 - -

Central Bank Neutral 77 - 5,698 7,158 8,217 2.4 2.6 13.1 20.1 5.9 3.9 0.9 0.7 10.3 14.3 - -

Corporation Bank Buy 414 517 6,138 4,835 5,570 2.0 2.2 105.0 99.8 4.0 4.2 0.7 0.6 17.5 14.8 - -

Dena Bank Buy 105 132 3,658 3,090 3,462 2.7 2.7 25.6 24.6 4.1 4.3 0.7 0.6 19.2 15.9 - -


Market Outlook

Stock Watch

February 12, 2013


14/19



Financials

Federal Bank Accumulate 517 557 8,842 2,667 2,920 3.2 3.2 49.1 51.4 10.5 10.1 1.4 1.3 13.9 13.1 - -

HDFC Neutral 811 - 125,071 7,446 8,923 3.5 3.5 32.2 38.5 25.2 21.1 5.1 4.6 35.4 32.6 - -

HDFC Bank Neutral 642 - 152,229 21,724 26,578 4.3 4.3 28.7 36.1 22.4 17.8 4.3 3.6 20.7 22.1 - -

ICICI Bank Buy 1,145 1,404 131,676 22,317 26,217 2.9 3.0 72.0 84.6 15.9 13.5 2.0 1.8 14.9 15.9 - -

IDBI Bank Buy 101 122 12,874 8,196 9,305 1.9 2.1 15.4 22.3 6.6 4.5 0.7 0.6 10.7 14.1 - -

Indian Bank Buy 188 245 8,062 5,902 6,563 3.2 3.2 41.3 43.2 4.5 4.4 0.8 0.7 18.4 16.8 - -

IOB Buy 76 88 6,073 7,231 8,369 2.4 2.5 10.2 20.2 7.5 3.8 0.6 0.5 7.4 13.4 - -J & K Bank Neutral 1,329 - 6,442 2,830 2,910 3.6 3.6 234.8 197.4 5.7 6.7 1.3 1.1 25.1 18.0 - -

LIC Housing Finance Buy 272 328 13,747 1,799 2,255 2.3 2.4 20.3 27.3 13.4 10.0 2.1 1.8 16.9 19.7 - -

Oriental Bank Neutral 306 - 8,924 6,360 7,004 2.6 2.8 48.1 59.4 6.4 5.2 0.8 0.7 12.1 13.5 - -

Punjab Natl.Bank Buy 878 1,053 29,780 19,202 22,040 3.2 3.4 146.8 167.9 6.0 5.2 1.1 0.9 17.6 17.5 - -

South Ind.Bank Buy 27 34 3,561 1,583 1,789 3.0 2.9 3.5 4.1 7.7 6.6 1.3 1.1 19.1 17.7 - -

St Bk of India Accumulate 2,327 2,600 156,159 60,677 69,712 3.3 3.3 224.3 257.3 10.4 9.0 1.8 1.5 17.6 17.7 - -

Syndicate Bank Buy 130 157 7,795 6,673 7,644 2.9 3.0 32.0 27.6 4.0 4.7 0.8 0.7 22.0 16.4 - -

UCO Bank Neutral 68 - 4,510 5,235 6,086 2.3 2.4 12.0 14.9 5.7 4.6 0.9 0.8 12.0 13.5 - -

Union Bank Buy 233 286 12,809 10,006 11,558 2.8 2.8 36.4 47.0 6.4 5.0 0.9 0.8 14.6 16.6 - -

United Bank Buy 68 87 2,467 3,498 3,858 2.5 2.8 15.1 21.6 4.5 3.2 0.6 0.5 12.5 16.1 - -

Vijaya Bank Accumulate 56 62 2,768 2,342 2,763 1.9 2.1 8.0 10.9 7.0 5.1 0.7 0.7 10.1 12.6 - -

Yes Bank Accumulate 508 576 18,195 3,364 4,260 2.8 3.0 36.3 42.6 14.0 11.9 3.1 2.6 24.6 23.6 - -

FMCG

Asian Paints Neutral 4,602 - 44,144 11,198 13,319 15.9 15.7 122.1 147.1 37.7 31.3 12.7 10.0 37.7 35.7 3.9 3.2

Britannia Buy 466 584 5,569 5,627 6,581 4.9 5.7 18.3 24.7 25.5 18.9 9.3 7.1 39.1 42.7 0.9 0.7

Colgate Neutral 1,356 - 18,436 3,120 3,588 20.3 21.1 38.4 45.1 35.3 30.1 32.8 26.3 104.6 97.0 5.7 4.9Dabur India Neutral 132 - 23,007 6,196 7,183 16.3 16.8 4.5 5.5 29.3 24.1 12.1 9.4 43.4 44.0 3.7 3.2

GlaxoSmith Con* Neutral 3,777 - 15,884 3,084 3,617 15.3 15.5 101.2 118.3 37.3 31.9 11.4 9.2 33.5 31.9 4.8 4.0

Godrej Consumer Neutral 741 - 25,223 6,386 7,743 15.7 17.0 20.8 27.1 35.6 27.3 7.6 6.3 23.7 26.4 4.1 3.4

HUL Neutral 457 - 98,737 25,350 28,974 13.3 13.5 15.1 17.0 30.2 27.0 24.1 17.2 85.7 74.3 3.7 3.2

ITC Neutral 304 - 239,654 29,148 34,191 35.7 36.1 9.4 11.1 32.4 27.4 10.8 8.9 35.9 35.7 7.9 6.7

Marico Neutral 219 - 14,122 4,747 5,402 13.6 13.6 6.3 7.8 34.5 28.0 7.1 5.7 26.0 22.6 3.0 2.6

Nestle* Neutral 4,703 - 45,343 8,487 10,081 21.2 22.1 113.0 142.5 41.6 33.0 25.0 17.2 70.5 61.6 5.4 4.4


Market Outlook

Stock Watch

February 12, 2013


15/19



FMCG

Tata Global Neutral 145 - 8,958 7,272 7,998 9.1 9.5 6.9 8.1 21.1 17.8 2.2 2.1 8.9 9.8 1.2 1.0

IT

HCL Tech^ Accumulate 669 765 46,452 25,325 28,476 21.7 20.7 51.0 52.8 13.1 12.7 3.5 2.9 26.8 22.9 1.7 1.5

Hexaware* Buy 81 118 2,392 1,941 2,118 20.8 19.0 10.7 10.7 7.5 7.5 1.9 1.6 25.3 22.0 0.9 0.8

Infosys Neutral 2,790 - 160,200 40,746 44,283 28.9 28.8 162.6 172.9 17.2 16.1 4.0 3.4 23.5 21.3 3.3 2.9

Infotech Enterprises Accumulate 161 184 1,801 1,881 1,987 17.9 17.4 18.5 19.4 8.7 8.3 1.3 1.1 14.8 13.6 0.6 0.5

KPIT Cummins Buy 110 140 2,126 2,234 2,477 15.8 15.2 10.9 12.8 10.1 8.6 2.2 1.7 22.2 20.6 0.9 0.8Mahindra Satyam Accumulate 119 126 13,954 7,711 8,467 21.6 19.8 8.7 11.3 13.6 10.5 3.2 2.5 30.6 23.7 1.4 1.2

Mindtree Accumulate 774 868 3,205 2,357 2,580 21.0 19.3 84.4 86.8 9.2 8.9 2.4 1.9 26.8 21.7 1.1 0.9

Mphasis& Accumulate 359 396 7,547 5,531 5,874 17.6 17.5 35.4 37.7 10.1 9.5 1.5 1.3 14.7 13.5 0.9 0.7

NIIT Buy 26 36 433 1,048 1,161 9.1 10.9 4.1 6.2 6.4 4.3 0.7 0.6 10.3 14.1 0.2 0.2

Persistent Accumulate 523 550 2,091 1,297 1,433 25.6 24.1 46.5 54.0 11.3 9.7 2.1 1.7 18.5 18.0 1.3 1.1

TCS Accumulate 1,388 1,465 271,564 62,954 70,871 29.0 28.9 71.6 79.1 19.4 17.5 6.4 5.2 33.2 29.7 4.1 3.6

Tech Mahindra Accumulate 990 1,105 12,655 6,789 7,609 21.0 19.6 95.8 1 10.7 10.3 8.9 2.5 2.0 24.3 22.3 1.9 1.6

Wipro Accumulate 405 429 99,762 43,514 47,304 20.1 19.4 26.6 27.7 15.3 14.6 3.0 2.6 19.7 17.9 2.0 1.7

Media

D B Corp Accumulate 239 266 4,385 1,583 1,787 23.9 25.4 11.9 14.5 20.2 16.5 4.0 3.4 21.4 22.4 2.7 2.3

HT Media Buy 99 121 2,329 2,111 2,272 15.0 15.2 7.4 8.3 13.5 12.0 1.5 1.3 11.3 11.4 0.7 0.6

Jagran Prakashan Buy 106 125 3,354 1,511 1,698 23.2 23.4 6.4 7.3 16.5 14.5 4.1 3.7 25.9 26.6 2.4 2.1

PVR Neutral 261 - 755 820 1,307 17.3 17.3 11.2 17.8 23.4 14.7 1.1 1.0 9.7 10.8 1.0 0.6

Sun TV Network Neutral 467 - 18,416 1,942 2,237 77.2 75.5 17.6 19.1 26.6 24.5 6.4 5.8 25.8 25.2 9.0 7.8

Metals & Mining

Bhushan Steel Neutral 466 - 10,548 10,746 13,982 30.8 31.1 43.3 55.5 10.8 8.4 1.1 1.0 11.4 12.6 3.1 2.4Coal India Accumulate 344 368 217,283 66,666 70,292 25.7 27.3 24.2 26.6 14.2 12.9 4.2 3.4 33.1 29.1 2.3 2.0

Electrosteel Castings Buy 24 34 818 1,984 2,074 10.6 11.6 1.8 2.6 13.4 9.1 0.4 0.2 3.6 5.1 0.6 0.5

Hind. Zinc Buy 125 149 52,964 12,002 13,759 49.7 50.8 14.7 16.4 8.5 7.7 1.7 1.4 21.1 19.8 2.5 1.8

Hindalco Neutral 113 - 21,702 79,148 89,258 9.4 9.0 15.0 15.6 7.6 7.3 0.6 0.6 8.8 8.4 0.7 0.6

JSW Steel Neutral 835 - 18,635 39,072 40,493 16.5 18.2 82.4 90.3 10.1 9.3 1.0 0.9 10.7 10.7 0.9 0.9

MOIL Neutral 248 - 4,162 933 954 46.9 45.5 25.8 26.1 9.6 9.5 1.5 1.4 16.7 15.1 2.0 1.9

Monnet Ispat Buy 248 344 1,578 2,501 3,264 22.2 24.6 41.8 55.2 5.9 4.5 0.6 0.5 11.3 13.4 1.7 1.2

Nalco Neutral 47 - 12,036 6,630 8,357 11.4 14.5 2.1 3.3 22.0 14.3 1.0 1.0 4.6 6.9 1.1 1.0

NMDC Buy 150 198 59,471 11,209 12,525 78.4 78.3 18.5 20.6 8.1 7.3 2.0 1.6 27.0 24.6 3.4 2.8


Market Outlook

Stock Watch

February 12, 2013


16/19



Metals & Mining

SAIL Neutral 83 - 34,469 47,252 60,351 14.2 14.8 9.6 11.7 8.7 7.1 0.8 0.7 9.4 10.6 1.2 1.0

Sesa Goa Accumulate 174 183 15,135 2,412 3,911 30.8 33.1 29.6 31.8 5.9 5.5 0.9 0.8 16.3 15.4 7.7 4.8

Sterlite Inds Neutral 105 - 35,152 43,185 45,442 23.3 23.7 16.8 17.9 6.2 5.8 0.7 0.6 11.6 11.2 0.8 0.7

Tata Steel Buy 391 463 37,941 145,725 154,108 8.3 9.5 22.0 44.5 17.7 8.8 0.9 0.8 4.9 9.3 0.5 0.5

Sarda Buy 126 148 453 1,442 1,494 19.0 19.1 29.2 31.7 4.3 4.0 0.5 0.5 12.3 12.0 0.7 0.6

Prakash Industries Buy 44 52 593 2,512 2,816 12.4 13.7 10.0 12.6 4.4 3.5 0.3 0.3 7.2 8.4 0.5 0.4

Godawari Power andIspat Accumulate 101 112 320 2,367 2,425 14.2 13.7 33.3 33.5 3.0 3.0 0.4 0.3 12.9 11.2 0.6 0.5

Oil & Gas

Cairn India Buy 320 383 61,123 17,394 17,034 76.4 72.3 60.8 55.1 5.3 5.8 1.1 0.9 21.9 17.0 2.7 2.3

GAIL Neutral 336 - 42,576 46,652 54,142 15.7 15.7 34.0 35.3 9.9 9.5 1.7 1.5 18.5 16.8 0.7 0.5

ONGC Neutral 320 - 273,690 147,139 154,821 33.9 33.7 30.7 32.3 10.4 9.9 1.8 1.6 18.3 17.2 1.6 1.5

Reliance Industries Neutral 871 - 285,230 362,700 380,031 8.9 8.9 68.1 71.5 12.8 12.2 1.4 1.2 12.4 11.8 0.8 0.7

Gujarat Gas* Neutral 312 - 4,007 3,128 3,707 13.2 11.7 22.8 23.5 13.7 13.3 4.1 3.7 33.2 29.2 1.2 1.0

Indraprastha Gas Neutral 253 - 3,539 3,365 3,700 22.8 23.4 25.3 26.6 10.0 9.5 2.4 2.0 26.0 22.6 1.2 1.0

Petronet LNG Buy 147 179 11,018 32,210 41,362 6.1 5.8 15.4 15.6 9.6 9.4 2.5 2.1 29.1 24.1 0.4 0.3

Gujarat State PetronetLtd.

Neutral 71 - 4,015 1,079 983 91.8 91.9 8.8 7.8 8.2 9.1 1.4 1.2 17.8 14.1 3.4 3.7

Pharmaceuticals

Alembic Pharma Buy 75 95 1,421 1,490 1,714 16.2 17.1 7.4 9.5 10.2 7.9 2.8 2.1 30.7 30.2 1.1 0.9

Aurobindo Pharma Accumulate 187 208 5,433 5,463 6,279 15.0 15.0 12.4 14.0 15.0 13.3 2.0 1.7 18.8 17.8 1.6 1.4

Aventis* Neutral 2,261 - 5,207 1,482 1,682 17.5 16.6 82.9 87.8 27.3 25.8 4.3 3.4 16.3 14.8 3.3 2.8

Cadila Healthcare Neutral 816 - 16,707 6,148 7,386 15.3 18.0 24.6 39.5 33.2 20.7 6.2 5.0 18.4 25.1 3.1 2.5

Cipla Accumulate 394 419 31,639 8,151 9,130 25.8 24.8 20.2 21.6 19.5 18.2 3.5 3.0 19.4 17.6 3.7 3.2

Dr Reddy's Neutral 1,894 - 32,158 10,696 11,662 20.7 21.0 83.7 92.9 22.6 20.4 4.7 3.9 22.4 20.8 3.3 2.9

Dishman Pharma Buy 104 145 836 1,280 1,536 20.2 20.2 10.4 14.5 10.0 7.1 0.8 0.8 8.7 11.0 1.3 1.1

GSK Pharma* Neutral 2,075 - 17,579 2,651 2,993 31.7 31.2 76.0 82.4 27.3 25.2 7.9 7.0 20.1 26.3 5.8 5.1

Indoco Remedies Buy 61 78 563 642 784 14.2 15.2 5.7 7.8 10.7 7.8 1.3 1.1 12.9 16.4 1.1 0.9

Ipca labs Buy 483 559 6,098 2,850 3,474 21.0 21.0 29.9 37.3 16.2 13.0 3.9 3.1 26.7 26.4 2.3 1.9

Lupin Accumulate 594 655 26,566 8,426 10,082 19.7 20.0 26.1 31.1 22.8 19.1 5.3 4.2 25.8 24.7 3.3 2.7

Ranbaxy* Neutral 436 - 18,435 12,046 11,980 16.0 15.8 37.3 32.1 11.7 13.6 4.5 3.6 45.3 29.7 1.6 1.5

Sun Pharma Neutral 749 - 77,419 10,111 12,563 42.6 42.6 28.9 29.8 25.9 25.1 5.3 4.5 22.3 19.2 7.0 5.5

Power

GIPCL Accumulate 68 78 1,033 1,523 1,568 35.1 31.4 12.2 13.1 5.6 5.2 0.7 0.6 12.1 11.9 1.1 0.9


Market Outlook

Stock Watch

February 12, 2013


17/19



Power

NTPC Accumulate 148 163 122,157 72,809 81,951 23.0 23.7 12.0 13.4 12.4 11.1 1.5 1.4 12.5 12.9 2.3 2.2

Real Estate

DLF Neutral 270 - 45,822 9,878 12,033 44.7 46.1 9.6 13.4 28.2 20.1 1.8 1.7 6.4 8.7 7.1 5.9

HDIL Neutral 72 - 3,031 2,441 3,344 55.1 48.2 22.7 26.6 3.2 2.7 0.3 0.2 8.8 9.4 3.1 2.3

MLIFE Accumulate 409 446 1,668 786 888 26.3 26.7 31.0 36.3 13.2 11.3 1.3 1.2 10.1 10.8 2.4 2.1

Telecom

Bharti Airtel Neutral 320 - 121,426 80,521 87,160 30.5 30.5 6.4 10.4 50.0 30.8 2.3 2.2 4.6 7.0 2.4 2.1Idea Cellular Neutral 108 - 35,762 22,087 23,927 26.6 27.7 2.9 3.9 36.9 27.7 2.5 2.3 6.9 8.4 2.2 2.0

Rcom Neutral 76 - 15,583 21,087 22,067 31.8 31.9 2.6 4.0 28.8 18.9 0.4 0.4 1.5 2.2 2.5 2.3

zOthers

Abbott India Accumulate 1,388 1,590 2,950 1,629 1,886 11.8 13.3 60.8 79.5 22.9 17.5 4.7 3.9 22.0 24.4 1.6 1.3

Bajaj Electricals Accumulate 189 217 1,887 3,497 3,968 6.6 7.6 9.8 15.5 19.3 12.2 2.5 2.1 12.7 17.4 0.5 0.5

Cera Sanitaryware Buy 411 495 520 460 596 16.4 16.2 34.7 45.0 11.8 9.1 2.9 2.3 27.7 27.8 1.2 1.0

Cravatex Buy 408 545 105 272 308 7.2 7.3 37.5 45.4 10.9 9.0 2.6 2.0 23.7 22.7 0.5 0.4

CRISIL Neutral 964 - 6,768 982 1,136 34.3 34.3 34.3 40.0 28.1 24.1 12.7 10.2 50.9 46.9 6.5 5.4

Finolex Cables Accumulate 55 61 843 2,304 2,552 9.9 9.1 8.2 10.1 6.8 5.5 0.9 0.8 13.7 14.7 0.3 0.3

Force Motors Buy 434 550 566 2,027 2,299 4.6 5.1 35.3 50.0 12.3 8.7 0.5 0.5 3.9 5.3 0.1 0.1

Goodyear India Accumulate 313 360 722 1,494 1,607 6.4 7.8 23.9 33.0 13.1 9.5 2.1 1.8 16.5 20.1 0.3 0.2

Greenply Industries Sell 408 309 985 1,925 2,235 10.6 10.9 29.6 44.1 13.8 9.3 2.3 1.8 16.8 21.0 0.8 0.7

Hitachi Neutral 139 - 320 905 1,025 4.8 6.0 7.7 12.4 18.2 11.3 1.7 1.5 9.9 14.4 0.4 0.4

Honeywell Automation* Accumulate 2,616 2,842 2,313 1,809 2,117 5.5 7.5 84.9 135.3 30.8 19.3 3.3 2.9 11.3 16.0 1.2 1.0

Styrolution ABS India* Accumulate 651 744 1,145 1,059 1,116 8.5 9.5 36.0 42.0 18.1 15.5 2.6 2.3 15.4 16.0 1.1 1.0

ITD Cementation Buy 208 334 240 1,455 1,630 12.4 12.6 29.8 40.5 7.0 5.1 0.6 0.5 8.2 9.8 0.6 0.6Jyothy Laboratories Neutral 146 - 2,349 1,228 1,443 9.0 10.9 3.9 6.4 37.5 22.8 3.7 3.4 10.1 15.6 2.4 2.0

MCX Accumulate 1,340 1,440 6,834 553 624 65.3 66.3 62.5 72.0 21.5 18.6 5.9 5.1 27.5 27.4 9.4 7.8

MRF Neutral 13,160 - 5,582 13,030 14,405 10.3 10.6 1,418.1 1,677.1 9.3 7.9 1.6 1.4 19.1 18.7 0.5 0.5

Page Industries Accumulate 3,221 3,602 3,592 836 1,023 20.2 20.6 105.6 133.4 30.5 24.1 15.5 10.9 59.3 53.2 4.4 3.5

Relaxo Footwears Buy 729 887 875 989 1,148 10.7 11.7 41.8 55.5 17.5 13.1 4.0 3.1 25.5 26.3 1.0 0.9

Sintex Industries Buy 61 79 1,913 4,751 5,189 16.3 16.6 13.6 15.8 4.5 3.9 0.6 0.5 12.9 13.2 0.8 0.6

Siyaram Silk Mills Buy 282 366 264 1,043 1,149 12.3 12.9 65.7 73.3 4.3 3.8 0.8 0.7 21.0 19.6 0.5 0.5

S. Kumars Nationwide Neutral 11 - 321 6,765 7,393 18.1 18.0 6.4 7.5 1.7 1.4 0.1 0.1 6.1 6.7 0.6 0.6

SpiceJet Neutral 43 - 2,100 5,720 6,599 5.3 6.8 3.6 5.4 12.0 8.1 17.4 5.5 - - 0.5 0.4


Market Outlook

Stock Watch

February 12, 2013


18/19



zOthers

TAJ GVK Buy 67 108 420 300 319 35.8 36.2 7.9 9.1 8.5 7.4 1.1 1.0 13.9 14.4 1.7 1.5

Tata Sponge Iron Buy 306 379 472 782 818 16.5 17.0 61.8 65.4 5.0 4.7 0.7 0.7 15.7 14.7 0.2 0.2

TTK Healthcare Buy 496 643 385 374 425 7.9 9.5 24.1 32.7 20.6 15.2 19.7 22.5 0.9 0.7

TVS Srichakra Buy 247 322 189 1,461 1,625 6.9 8.2 24.6 53.7 10.0 4.6 1.3 1.1 12.9 24.9 0.4 0.3

United Spirits Neutral 1,926 - 25,192 10,473 11,939 15.0 15.8 30.4 56.9 63.4 33.9 4.8 3.1 10.8 12.3 3.1 2.4

Vesuvius India Neutral 334 - 678 560 611 16.1 17.0 24.7 28.8 13.5 11.6 2.0 1.8 15.8 16.2 1.1 1.0

Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on February 11, 2013


Market Outlook

Stock Watch

February 12, 2013


19/19


market outlook, 12th february, 2013

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