Market Outlook

August 18, 2015

Dealer’s Diary

Domestic Indices

Chg (%)

(Pts)

(Close)

BSE Sensex

(0.7)

(189)

27,878

Indian markets are expected to open positively tracking the SGX Nifty and some of

its Asian peers.

Nifty

(0.5)

(41)

8,477

MID CAP

0.3

11,488

US markets closed higher as the Chinese currency steadied and home builders index

SMALL CAP

0.2

11,792

for August beat expectations.

BSE HC

(0.3)

(58)

18,000

BSE PSU

1.1

7,497

European stocks ended a choppy session in mixed territory after a duo of US data

sent conflicting signals about the strength of the country’s economy.

BANKEX

0.5

109

21,598

AUTO

(0.6)

(124)

19,338

Indian markets ended in the red as the investors continue to watch the progress of

METAL

1.3

102

7,908

the monsoon. As per the IMD’s latest report, the rainfall in the country weakened

OIL & GAS

(1.0)

(92)

9,415

further during last week, with the cumulative rainfall upto 16^th August 2015 being

BSE IT

(0.3)

(38)

11,584

10% below Long Period Average.

Global Indices

Chg (%)

(Pts)

(Close)

News & Result Analysis

Dow Jones

0.4

17,545

 Mahindra & Mahindra to launch compact SUV “TUV300” in September 2015

NASDAQ

0.9

5,092

Refer detailed news & result analysis on the following page

FTSE

(0.0)

(0)

6,550

Markets Today

Nikkei

0.5

101

20,620

The trend deciding level for the day is 27,904 / 8,479 levels. If NIFTY trades above

Hang Sang

(0.7)

(176)

23,815

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

Straits Times

(1.5)

(47)

3,067

to 28,070 - 28,261 / 8,529 - 8,581 levels. However, if NIFTY trades below

Shanghai Com

0.7

3,994

27,904 / 8,479 levels for the first half-an-hour of trade then it may correct towards

27,713 - 27,548 / 8,427 - 8,376 levels.

Indian ADR

Chg (%)

(Pts)

(Close)

Indices

PIVOT

INFY

(0.4)

(0.1)

$17.9

SENSEX

27,548

27,713

27,904

28,070

28,261

WIT

(0.4)

(0.1)

$12.5

NIFTY

8,376

8,427

8,479

8,529

8,581

IBN

0.4

0.0

$9.8

HDB

(0.1)

$62.9

Net Inflows (August 14, 2015)

` cr

Purch

Sales

Net

MTD

YTD

Advances / Declines

BSE

NSE

FII

4,445

3,984

461

(489)

140,481

Advances

1,438

772

MFs

919

708

211

732

58,681

Declines

1,437

750

Unchanged

117

FII Derivatives (August 17, 2015)

` cr

Purch

Sales

Net

Open Interest

Volumes (` cr)

Index Futures

1,405

2,006

(601)

14,411

BSE

2,929

Stock Futures

2,629

2,666

(37)

52,641

NSE

15,964

Gainers / Losers

Gainer

Loser

Company

Price (`)

chg (%)

Company

Price (`)

chg (%)

BANKBARODA

212

15.2

KSCL

500

(17.0)

CANBK

347

13.4

PUNJLLOYD

(12.2)

SREINFRA

9.3

AMTEKAUTO

133

(10.8)

INDIANB

162

9.0

JETAIRWAYS

380

(5.2)

BANKINDIA

185

8.7

UNITECH

(5.0)

www.angelbroking.com

Market Outlook

August 18, 2015

Mahindra & Mahindra to launch compact SUV “TUV300” in

September2015

Utility vehicle major Mahindra & Mahindra will launch its new compact SUV

named “TUV300” on September 10, 2015. M&M will position the “TUV300” as a

"a true blue SUV" and is expected to compete with the likes of Toyota Etios Cross,

Hyundai 120 Active and Fiat Avventura which are priced at a range of Rs 6.23

lakh and Rs 8.89 lakh (ex-showroom Delhi). The company is targeting to address

needs of those customers who are looking for a pure SUV in the compact segment,

which at present is dominated by crossover models. As per the company, the

design of the Mahindra TUV300 has been inspired by a battle tank with raised

shoulders, high front nose, flat roof, high ground clearance and straight bonnet.

The TUV300 is an all-new SUV platform designed and developed in-house by the

Mahindra team. The vehicle will be manufactured at the company's manufacturing

facility at Chakan, where it also produces trucks and other vehicles of Maxximo

platform.

M&M lost market share in the utility vehicle space on lack of new products

particularly in the compact utility space. We believe with the launch of “TUV 300”,

M&M is well poised to regain market share. We have an Accumulate rating on the

stock.

Economic and Political News

 India's fuel demand rose 5.52% in July

 CBDT to clarify bank a/c disclosure norms under black money law

 Monsoon deficit widens to 10%

Corporate News

 Vedanta to issue `2,000-crore NCDs to refinance debt

 Goldman Sachs to invest $150 mn in Piramal Realty

 Apex consumer court accepts case against Maggi

www.angelbroking.com

Market Outlook

August 18, 2015

Top Picks

Large Cap

Market

CMP

Target

Upside

Company

Sector

Rating

Cap (` Cr)

(`)

(%)

Axis Bank

Financials

133,435

Buy

562

716

27.5

ICICI Bank

Financials

175,863

Buy

303

370

22.1

Inox Wind

Capital Goods

8,784

Buy

396

505

27.6

LIC Housing Fin. Financials

25,263

Buy

501

590

17.9

Power Grid

Power

72,144

Buy

138

170

23.3

TCS

525,869

Buy

2,685

3,168

18.0

Tech Mahindra IT

53,148

Buy

553

646

16.9

Yes Bank

Financials

33,056

Buy

791

989

25.1

Infosys

262,277 Accumulate

1,142

1,306

14.4

Source: Angel Research, Bloomberg

Mid Cap

Market

CMP

Target

Upside

Company

Sector

Rating

Cap (` Cr)

(`)

(%)

Bajaj Electricals

Others

2,674

Buy

265

341

28.6

Garware Wall Ropes Others

734

Buy

336

390

16.2

Hindustan Media

Media

1,728

Buy

236

292

24.0

JK Tyre

Auto Ancillary

2,479

Buy

109

147

34.5

MBL Infrastructures Construction

1,085

Buy

262

395

50.7

Radico Khaitan

Others

1,253

Buy

112

19.0

Surya Roshni

Others

608

Buy

139

183

31.9

Minda Industries

Auto Ancillary

933 Accumulate

588

652

10.8

MT Educare

Others

514 Accumulate

129

141

9.1

Source: Angel Research, Bloomberg

www.angelbroking.com

Market Outlook

August 18, 2015

Global economic events release calendar

Date

Time

Country Event Description

Unit

Period

Bloomberg Data

Last Reported Estimated

August 18, 2015

6:00PM

Building permits

Thousands

Jul

1,337.00

1,230.00

6:00PM

Housing Starts

Thousands

Jul

1,174.00

1,186.00

2:00PM

CPI (YoY)

% Change

Jul

August 19, 2015

6:00PM

Consumer price index (mom)

% Change

Jul

0.30

0.20

August 20, 2015

6:00PM

Initial Jobless claims

Thousands

Aug 15

274.00

272.00

7:30PM

Existing home sales

Million

Jul

5.49

5.43

August 21, 2015

7:30PM

Euro Zone Euro-Zone Consumer Confidence

Value

Aug A

(7.10)

(6.90)

1:00PM

Germany PMI Services

Value

Aug P

53.80

53.60

1:00PM

Germany PMI Manufacturing

Value

Aug P

51.80

51.60

August 25, 2015

11:30AM

Germany GDP nsa (YoY)

% Change

2Q F

1.60

7:30PM

New home sales

Thousands

Jul

482.00

510.00

7:30PM

Consumer Confidence

S.A./ 1985=100

Aug

90.91

93.00

August 27, 2015

6:00PM

GDP Qoq (Annualised)

% Change

2Q S

2.30

3.40

August 28, 2015

2:00PM

GDP (YoY)

% Change

2Q P

2.60

September 1, 2015

1:25PM

Germany Unemployment change (000's)

Thousands

Aug

9.00

6:30AM

China

PMI Manufacturing

Value

Aug

50.00

2:00PM

PMI Manufacturing

Value

Aug

51.90

September 3, 2015

5:15PM

Euro Zone ECB announces interest rates

Sep 3

0.05

September 4, 2015

2:30PM

Euro Zone Euro-Zone GDP s.a. (QoQ)

% Change

2Q P

0.30

6:00PM

Change in Nonfarm payrolls

Thousands

Aug

215.00

6:00PM

Unnemployment rate

Aug

5.30

September 8, 2015

China

Exports YoY%

% Change

Aug

(8.30)

September 9, 2015

7:00AM

China

Consumer Price Index (YoY)

% Change

Aug

1.60

2:00PM

Industrial Production (YoY)

% Change

Jul

1.50

Source: Bloomberg, Angel Research

Market Outlook

August 18, 2015

Macro watch

Exhibit 1: Quarterly GDP trends

Exhibit 2: IIP trends

(%)

9.0

8.4

6.0

5.2

4.8

5.0

8.0

7.5

3.6

4.0

3.4

7.0

2.8

2.7

6.7

6.6

2.6

2.5

7.0

6.3

6.4

3.0

2.0

0.9

6.0

0.5

1.0

5.0

4.7

5.0

4.5

(1.0)

4.0

(2.0)

(3.0)

3.0

(2.7)

(4.0)

Source: CSO, Angel Research

Source: MOSPI, Angel Research

Exhibit 3: Monthly CPI inflation trends

Exhibit 4: Manufacturing and services PMI

(%)

55.0

Mfg. PMI

Services PMI

8.0

7.4

54.0

7.0

6.8

7.0

53.0

5.6

5.2

5.4

5.3

6.0

4.9

5.0

52.0

4.6

5.0

4.3

51.0

4.0

3.3

3.0

50.0

2.0

49.0

1.0

48.0

47.0

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

Source: MOSPI, Angel Research

Exhibit 5: Exports and imports growth trends

Exhibit 6: Key policy rates

(%)

Exports yoy growth

Imports yoy growth

(%)

Repo rate

Reverse Repo rate

CRR

30.0

9.00

20.0

8.00

10.0

7.00

0.0

6.00

(10.0)

5.00

(20.0)

4.00

(30.0)

3.00

Source: Bloomberg, Angel Research

Source: RBI, Angel Research

www.angelbroking.com

Market Outlook

August 18, 2015

Exhibit 4: Relative performance of indices across globe

Returns (%)

Country

Name of index

Closing price

1YR

Brazil

Bovespa

47,217

(11.0)

(17.5)

(15.0)

Russia

Micex

1,708

3.3

1.8

21.3

India

Nifty

8,477

(1.5)

1.3

10.8

China

Shanghai Composite

3,994

0.9

(9.6)

81.9

South Africa

Top 40

45,288

(3.5)

(5.5)

(1.4)

Mexico

Mexbol

43,953

(3.1)

(3.0)

(1.5)

Indonesia

LQ45

776

(7.5)

(14.5)

(12.7)

Malaysia

KLCI

1,573

(9.0)

(13.2)

(15.5)

Thailand

SET 50

920

(5.9)

(7.5)

(8.5)

USA

Dow Jones

17,545

(3.2)

(4.0)

4.2

FTSE

6,550

(3.6)

(6.0)

(3.4)

Japan

Nikkei

20,620

0.2

3.1

39.7

Germany

DAX

10,940

(6.6)

(5.6)

20.3

France

CAC

4,985

(2.7)

(2.6)

16.1

Source: Bloomberg, Angel Research

www.angelbroking.com

Market Outlook

August 18, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Agri / Agri Chemical

Rallis

Neutral

227

4,415

2,075

2,394

14.4

9.5

11.0

23.9

20.6

4.8

4.1

21.1

21.3

2.2

1.9

United Phosphorus

Neutral

554

23,732

13,698

15,752

17.6

32.1

38.5

17.3

14.4

3.4

2.8

21.4

21.3

1.8

1.5

Auto & Auto Ancillary

Ashok Leyland

Neutral

26,097

17,850

20,852

10.6

11.1

3.2

4.3

28.7

21.3

4.8

4.4

16.4

20.8

1.4

1.2

Bajaj Auto

Neutral

2,530

73,208

23,842

27,264

19.8

19.6

128.4

144.4

19.7

17.5

6.0

5.2

30.5

29.5

2.6

2.3

Eicher Motors

Accumulate

20,665

21,843

56,089

11,681

15,550

15.3

16.9

358.5

564.3

57.6

36.6

17.3

12.9

29.8

34.9

4.7

3.5

Hero Motocorp

Neutral

2,654

52,987

28,500

33,028

13.8

14.1

144.2

166.3

18.4

16.0

6.8

5.7

36.7

36.0

1.7

1.4

L G Balakrishnan & Bros Neutral

462

725

1,254

1,394

11.6

11.8

35.9

41.7

12.9

11.1

1.7

1.5

13.5

13.8

0.7

0.6

Mahindra and Mahindra Accumulate

1,352

1,493

83,953

40,088

45,176

13.8

14.0

59.6

70.4

22.7

19.2

3.8

3.3

16.6

17.2

1.8

1.5

Maruti

Neutral

4,542

137,215

58,102

68,587

16.7

16.9

182.0

225.5

25.0

20.1

5.0

4.2

19.9

21.0

2.1

1.8

Minda Industries

Accumulate

588

652

933

2,567

2,965

7.3

8.0

38.8

54.3

15.2

10.8

2.2

1.8

14.4

16.8

0.5

0.4

Rane Brake Lining

Accumulate

320

366

253

454

511

11.1

11.4

23.8

28.1

13.5

11.4

1.9

1.7

14.2

15.3

0.7

0.6

Setco Automotive

Neutral

227

605

594

741

12.7

13.7

8.4

15.8

27.0

14.3

2.8

2.4

10.4

16.9

1.5

1.2

Tata Motors

Buy

356

455

102,770

267,464

311,225

13.7

34.6

41.8

10.3

8.5

1.3

1.1

13.2

13.9

0.6

0.5

TVS Motor

Accumulate

230

255

10,918

11,839

13,985

7.0

8.0

10.8

15.9

21.3

14.5

5.4

4.3

25.5

29.7

0.9

0.7

Amara Raja Batteries

Neutral

1,056

18,034

5,101

6,326

17.7

17.5

30.8

37.8

34.3

27.9

8.4

6.8

24.6

24.2

3.5

2.8

Exide Industries

Neutral

162

13,766

7,363

8,247

13.7

14.5

6.6

7.7

24.5

21.0

3.1

2.8

12.6

13.3

1.6

1.4

Apollo Tyres

Neutral

192

9,778

12,428

13,262

16.8

16.4

21.9

21.1

8.8

9.1

1.5

1.3

17.0

14.1

0.9

Ceat

Neutral

1,070

4,330

6,041

6,770

14.3

13.9

101.5

117.7

10.6

9.1

2.1

1.8

20.0

19.2

0.9

0.7

JK Tyres

Buy

109

147

2,479

7,446

7,942

15.2

14.7

19.6

21.0

5.6

5.2

1.4

1.1

25.2

21.7

0.7

0.6

Swaraj Engines

Neutral

968

1,202

593

677

14.5

14.8

51.2

60.8

18.9

15.9

4.4

3.9

23.3

24.8

1.9

1.6

Subros

Neutral

548

1,268

1,488

11.6

11.9

3.7

6.6

24.7

13.8

1.7

1.5

6.8

11.4

0.7

0.6

Indag Rubber

Neutral

194

510

283

329

17.0

17.2

13.0

15.4

15.0

12.6

3.3

2.7

21.8

21.6

1.5

1.3

Capital Goods

ACE

Neutral

448

660

839

4.7

8.2

1.0

3.9

45.3

11.6

1.4

1.3

3.2

11.3

0.8

0.7

BEML

Neutral

1,355

5,645

3,277

4,006

6.0

8.9

29.2

64.3

46.4

21.1

2.6

2.4

5.7

11.7

1.8

1.4

BGR Energy

Neutral

131

944

3,615

3,181

9.5

9.4

16.7

12.4

7.8

10.6

0.7

10.0

7.0

0.7

0.8

BHEL

Neutral

261

63,968

33,722

35,272

10.8

11.7

10.5

14.2

24.9

18.4

1.8

1.7

7.0

9.0

2.0

1.9

Blue Star

Accumulate

362

387

3,257

3,649

4,209

5.0

5.9

9.2

14.7

39.6

24.6

7.2

6.7

9.1

17.5

1.0

0.9

Crompton Greaves

Accumulate

189

204

11,836

13,484

14,687

4.9

6.2

4.5

7.1

42.0

26.6

3.0

2.8

7.2

10.8

1.0

0.9

Inox Wind

Buy

396

505

8,784

4,980

5,943

17.0

17.5

26.6

31.6

14.9

12.5

4.5

3.3

35.0

30.0

1.9

1.6

www.angelbroking.com

Market Outlook

August 18, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Capital Goods

KEC International

Neutral

142

3,657

8,791

9,716

6.1

6.8

5.4

8.2

26.3

17.4

2.6

2.4

10.0

14.0

0.6

Thermax

Neutral

1,026

12,219

6,413

7,525

7.4

8.5

30.5

39.3

33.6

26.1

5.2

4.5

15.0

17.0

1.9

1.6

Cement

ACC

Accumulate

1,368

1,548

25,687

11,856

14,092

14.5

17.8

47.6

76.1

28.7

18.0

3.0

2.7

10.6

15.7

2.0

1.7

Ambuja Cements

Neutral

225

34,964

10,569

12,022

20.7

22.2

8.7

10.7

25.9

21.1

3.3

3.1

13.0

15.2

2.9

2.5

India Cements

Buy

112

2,543

4,716

5,133

15.9

16.9

3.7

7.5

22.4

11.0

0.8

3.8

7.3

0.8

0.7

JK Cement

Buy

642

767

4,491

4,056

4,748

14.5

17.0

22.6

41.1

28.4

15.6

2.5

2.3

9.3

15.3

1.5

1.3

J K Lakshmi Cement

Buy

357

443

4,206

3,004

3,618

17.6

19.9

13.9

27.2

25.7

13.1

2.9

2.5

11.8

20.5

1.8

1.5

Mangalam Cements

Buy

225

349

601

1,111

1,336

12.2

15.1

16.3

34.6

13.8

6.5

1.1

1.0

8.2

16.0

0.8

0.6

Orient Cement

Accumulate

170

183

3,486

1,854

2,524

21.2

22.2

7.7

11.1

22.1

15.3

3.2

2.7

13.3

15.7

2.6

1.8

Ramco Cements

Neutral

348

8,285

4,036

4,545

20.8

21.3

15.1

18.8

23.1

18.5

2.8

2.5

12.9

14.3

2.6

2.2

Shree Cement^

Neutral

10,926

38,064

7,150

8,742

26.7

28.6

228.0

345.5

47.9

31.6

7.1

5.9

15.7

20.3

5.1

4.1

UltraTech Cement

Accumulate

3,082

3,282

84,568

27,562

31,548

20.4

22.3

111.9

143.3

27.5

21.5

3.9

3.4

15.2

16.8

3.1

2.7

Construction

ITNL

Accumulate

117

130

2,892

7,360

8,825

34.0

35.9

1.0

5.0

117.2

23.4

0.5

0.3

1.4

3.8

3.7

KNR Constructions

Neutral

562

1,450

915

1,479

14.3

13.9

20.3

37.2

27.7

15.1

2.5

2.2

9.6

15.6

1.7

1.1

Larsen & Toubro

Accumulate

1,778

2,013

165,422

68,920

82,446

10.9

11.5

57.0

73.0

31.2

24.4

2.9

2.7

13.6

15.5

2.6

2.2

Gujarat Pipavav Port

Neutral

193

9,311

740

843

53.1

53.6

8.0

10.0

24.1

19.3

3.8

3.0

20.4

19.4

12.1

10.3

MBL Infrastructures

Buy

262

395

1,085

2,507

2,986

12.4

14.4

21.5

20.5

12.2

12.8

1.5

1.3

12.6

12.7

1.2

1.1

PNC Infratech

Accumulate

481

522

2,466

1,798

2,132

13.2

13.5

22.0

30.0

21.9

16.0

2.0

1.8

11.5

11.4

1.5

1.2

Financials

Allahabad Bank

Neutral

5,491

8,859

9,817

3.0

23.7

30.1

4.1

3.2

0.5

0.4

10.6

12.3

Axis Bank

Buy

562

716

133,435

26,522

31,625

3.6

36.2

45.4

15.5

12.4

3.0

2.6

18.2

19.6

Bank of Baroda

Neutral

212

46,972

18,934

21,374

2.0

13.2

15.1

16.1

14.1

1.2

1.1

7.1

7.7

Bank of India

Neutral

185

12,307

17,402

20,003

2.0

2.1

40.3

50.7

4.6

3.7

0.5

0.4

9.0

10.4

Canara Bank

Neutral

347

17,857

15,805

17,745

2.0

2.2

64.3

73.5

5.4

4.7

0.6

0.5

10.8

11.3

Dena Bank

Neutral

2,562

3,580

4,040

2.1

2.2

8.4

10.9

5.5

4.2

0.5

0.4

6.8

8.4

Federal Bank

Neutral

11,592

3,522

4,045

3.2

12.2

14.1

5.5

4.8

0.7

0.6

12.9

13.4

HDFC

Neutral

1,280

201,761

11,198

13,321

3.5

45.1

53.7

28.4

23.8

5.9

5.3

27.2

28.2

HDFC Bank

Buy

1,091

1,255

274,150

38,629

47,500

4.5

4.7

52.6

66.4

20.7

16.4

3.8

3.2

19.6

21.2

ICICI Bank

Buy

303

370

175,863

36,037

41,647

3.5

3.6

22.9

26.7

13.2

11.4

2.2

1.9

15.7

15.9

IDBI Bank

Neutral

11,332

9,806

11,371

1.7

1.9

10.0

16.3

7.1

4.3

0.5

6.8

10.4

www.angelbroking.com

Market Outlook

August 18, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Financials

Indian Bank

Neutral

162

7,762

6,454

7,321

2.5

2.6

26.4

33.3

6.1

4.9

0.5

8.1

9.6

LIC Housing Finance

Buy

501

590

25,263

2,934

3,511

2.3

30.9

36.8

16.2

13.6

2.6

2.3

16.8

17.5

Oriental Bank

Neutral

181

5,426

7,930

8,852

2.5

51.8

57.1

3.5

3.2

0.4

9.3

9.5

Punjab Natl.Bank

Neutral

173

32,093

24,160

27,777

2.9

3.0

18.5

24.6

9.4

7.0

0.9

0.8

8.8

10.8

South Ind.Bank

Neutral

3,132

1,999

2,249

2.4

3.5

4.0

6.7

5.8

0.8

12.6

13.1

St Bk of India

Neutral

279

211,135

86,900

100,550

3.1

22.1

27.7

12.7

10.1

1.6

1.4

12.7

14.3

Union Bank

Neutral

219

13,930

12,995

14,782

2.4

32.3

40.9

6.8

5.4

0.8

0.7

10.7

12.3

Vijaya Bank

Neutral

3,497

3,474

3,932

1.8

1.9

5.9

7.2

6.9

5.7

0.6

0.5

8.1

9.3

Yes Bank

Buy

791

989

33,056

7,006

8,825

3.1

3.3

61.4

77.1

12.9

10.3

2.4

2.0

20.1

21.3

FMCG

Asian Paints

Neutral

900

86,333

16,553

19,160

16.0

16.2

17.7

21.5

50.9

41.9

13.5

12.2

29.4

31.2

5.1

4.4

Britannia

Neutral

3,293

39,506

8,065

9,395

9.6

10.2

47.2

65.5

69.7

50.3

23.2

21.9

38.3

41.2

4.8

4.1

Colgate

Neutral

1,983

26,961

4,836

5,490

19.5

19.7

48.5

53.2

40.9

37.3

30.0

26.1

99.8

97.5

5.5

4.8

Dabur India

Neutral

303

53,205

9,370

10,265

17.1

17.2

7.3

8.1

41.3

37.4

12.5

10.1

33.7

30.6

5.6

5.1

GlaxoSmith Con*

Neutral

6,225

26,181

4,919

5,742

17.2

17.4

168.3

191.2

37.0

32.6

10.5

8.9

28.8

28.9

4.9

4.1

Godrej Consumer

Neutral

1,298

44,188

10,168

12,886

16.1

32.1

38.4

40.4

33.8

8.2

7.6

19.7

21.0

4.4

3.5

HUL

Neutral

873

188,804

34,940

38,957

17.5

17.7

20.8

24.7

42.0

35.3

46.7

37.3

110.5

114.2

5.2

4.6

ITC

Buy

317

409

254,103

41,068

45,068

37.8

37.4

13.9

15.9

22.8

19.9

7.6

6.7

34.1

33.8

5.8

5.3

Marico

Neutral

425

27,413

6,551

7,766

15.7

16.0

10.4

12.5

40.9

34.0

11.9

9.9

33.2

32.4

4.1

3.5

Nestle*

Accumulate

6,132

6,646

59,122

11,291

12,847

22.2

22.3

158.9

184.6

38.6

33.2

20.2

18.1

55.0

57.3

5.1

4.4

Tata Global

Buy

131

152

8,261

8,635

9,072

9.8

9.9

6.5

7.6

20.2

17.2

2.0

1.9

6.8

7.4

0.9

HCL Tech^

Buy

967

1,132

135,993

42,038

47,503

23.5

56.4

62.9

17.2

15.4

4.0

3.0

23.2

19.8

2.8

2.3

Infosys

Accumulate

1,142

1,306

262,277

60,250

66,999

28.0

58.3

63.7

19.6

17.9

4.1

3.5

20.9

19.7

3.7

3.1

TCS

Buy

2,685

3,168

525,870

108,420

123,559

28.8

28.7

127.2

143.9

21.1

18.7

8.4

7.8

39.9

41.8

4.4

3.9

Tech Mahindra

Buy

553

646

53,148

25,566

28,890

16.0

17.0

26.3

31.9

21.0

17.3

3.8

3.2

17.9

18.6

1.9

1.6

Wipro

Buy

576

719

142,247

52,414

58,704

23.7

23.8

38.4

42.3

15.0

13.6

2.9

2.6

19.5

18.0

2.3

1.9

Media

D B Corp

Accumulate

325

356

5,977

2,241

2,495

27.8

27.9

21.8

25.6

15.0

12.7

3.9

3.4

26.7

28.5

2.6

2.3

HT Media

Neutral

2,020

2,495

2,603

11.2

7.3

8.6

11.9

10.1

0.9

7.4

8.1

0.3

Jagran Prakashan

Accumulate

140

156

4,585

1,939

2,122

26.0

8.3

9.2

16.9

15.2

2.9

2.6

17.5

17.1

2.3

2.1

Sun TV Network

Neutral

364

14,351

2,779

3,196

70.2

70.5

22.8

27.3

16.0

13.3

3.9

3.6

26.7

28.3

4.9

4.3

www.angelbroking.com

Market Outlook

August 18, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Media

Hindustan Media

Buy

236

292

1,728

920

1,031

20.0

19.2

20.9

12.3

11.3

2.0

1.7

16.4

15.3

1.4

1.2

Ventures

Metals & Mining

Coal India

Buy

380

450

240,022

77,595

89,628

22.9

24.4

27.6

30.0

13.8

12.7

5.9

33.9

33.2

2.4

2.1

Hind. Zinc

Neutral

149

62,978

15,546

16,821

47.5

49.0

19.7

20.3

7.6

7.3

1.3

1.1

17.2

16.6

1.8

1.3

Hindalco

Neutral

18,760

112,328

119,817

7.7

7.9

16.3

20.1

5.6

4.5

0.4

8.0

8.5

0.6

0.5

JSW Steel

Neutral

968

23,393

48,125

53,595

18.8

21.0

46.9

97.5

20.6

9.9

1.0

0.9

4.4

9.5

1.3

1.2

NMDC

Neutral

39,310

12,544

13,330

59.5

59.7

16.3

16.5

6.1

6.0

1.1

1.0

5.1

9.9

1.9

1.8

SAIL

Neutral

23,707

56,365

63,383

6.9

8.0

7.1

8.2

8.1

7.0

0.5

7.0

7.1

1.0

0.9

Vedanta

Neutral

105

31,129

81,842

88,430

30.6

32.8

20.2

25.7

5.2

4.1

0.4

0.3

7.5

8.5

0.8

0.6

Tata Steel

Neutral

247

23,945

136,805

149,228

11.3

11.9

26.4

36.8

9.3

6.7

0.7

6.0

8.0

0.7

Oil & Gas

Cairn India

Neutral

154

28,948

12,617

14,513

33.7

40.0

25.5

27.7

6.1

5.6

0.5

0.4

7.4

7.7

1.0

0.8

GAIL

Neutral

346

43,826

75,595

85,554

8.6

8.0

31.8

36.1

10.9

9.6

1.2

1.1

10.7

11.4

0.7

0.6

ONGC

Neutral

264

225,993

174,773

192,517

22.7

24.8

34.6

38.2

7.6

6.9

1.1

1.0

14.2

14.9

1.4

1.2

Petronet LNG

Accumulate

185

210

13,901

39,007

40,785

3.8

4.2

9.2

11.0

20.3

16.9

2.3

2.1

11.6

12.7

0.4

Reliance Industries

Accumulate

950

1,050

307,640

339,083

384,014

7.8

9.5

75.7

94.5

12.6

10.1

1.2

10.7

12.2

1.2

1.1

Pharmaceuticals

Alembic Pharma

Neutral

717

13,512

2,601

3,115

21.2

20.2

20.8

23.9

34.5

30.0

11.1

8.4

37.2

31.8

5.2

4.3

Aurobindo Pharma

Accumulate

783

824

45,745

14,435

16,600

22.6

36.1

41.2

21.7

19.0

6.5

4.9

34.5

29.3

3.5

3.0

Aventis*

Neutral

4,118

9,483

2,156

2,455

15.1

16.8

109.7

133.9

37.5

30.8

5.2

4.2

18.4

22.5

4.1

3.4

Cadila Healthcare

Neutral

1,981

40,570

10,224

11,840

20.0

21.0

71.0

85.6

27.9

23.2

7.5

5.9

30.1

28.5

4.0

3.4

Cipla

Neutral

704

56,527

14,051

16,515

18.9

18.7

25.1

28.9

28.0

24.4

4.5

3.8

17.2

16.9

4.0

3.4

Dr Reddy's

Neutral

4,173

71,146

17,903

20,842

22.7

22.8

160.5

189.5

26.0

22.0

5.3

4.4

22.2

21.7

3.9

3.3

Dishman Pharma

Buy

209

293

1,688

1,716

1,888

20.2

16.3

21.6

12.8

9.7

1.2

1.1

9.7

11.7

1.2

0.9

GSK Pharma*

Neutral

3,645

30,872

2,870

3,158

20.0

22.1

59.5

68.3

61.3

53.4

18.1

18.6

28.5

34.3

10.3

9.4

Indoco Remedies

Neutral

349

3,217

1,088

1,262

18.2

13.1

15.5

26.7

22.5

5.2

4.4

21.2

21.1

3.0

2.6

Ipca labs

Neutral

824

10,395

3,507

4,078

17.6

18.6

25.8

32.0

31.9

25.8

4.1

3.6

13.8

14.9

3.2

2.8

Lupin

Neutral

1,793

80,693

14,864

17,244

26.9

62.1

71.1

28.9

25.2

7.0

5.6

27.4

24.6

5.2

4.3

Sun Pharma

Neutral

906

218,119

28,163

32,610

25.8

30.7

17.4

26.9

52.1

33.7

4.9

4.3

13.0

16.6

7.2

6.0

Power

Tata Power

Neutral

18,567

38,302

38,404

14.1

13.1

5.1

6.0

13.4

11.5

1.3

1.2

9.2

10.3

1.4

1.3

NTPC

Buy

128

157

105,583

87,064

98,846

23.5

11.7

13.2

10.9

9.7

1.2

1.1

11.4

12.1

2.2

2.0

Power Grid

Buy

138

170

72,144

20,702

23,361

86.7

86.4

12.1

13.2

11.4

10.4

1.7

1.5

15.6

15.1

8.4

7.8

www.angelbroking.com

Market Outlook

August 18, 2015

Stock Watch

Company Name

Reco

CMP

Target

Mkt Cap

Sales ( Čcr )

OPM(%)

EPS (Č)

PER(x)

P/BV(x)

RoE(%)

EV/Sales(x)

(Č)

Price ( Č)

( Č cr )

FY16E FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

FY16E

FY17E

Telecom

Bharti Airtel

Neutral

390

155,939

101,748

109,191

32.1

31.7

12.0

12.5

32.5

31.2

2.2

2.1

6.9

6.7

2.2

2.0

Idea Cellular

Accumulate

163

171

58,479

34,282

36,941

32.0

31.5

5.9

6.2

27.5

26.2

2.5

2.3

9.9

9.3

2.3

2.2

zOthers

Abbott India

Neutral

4,773

10,143

2,715

3,153

14.5

14.1

134.3

152.2

35.6

31.4

8.9

7.3

27.4

25.6

3.5

2.9

Bajaj Electricals

Buy

265

341

2,674

4,719

5,287

5.2

5.8

8.6

12.7

31.0

21.0

3.5

3.1

11.4

14.8

0.6

0.5

Finolex Cables

Neutral

251

3,832

2,728

3,036

10.8

11.0

14.4

16.8

17.4

15.0

2.6

2.3

15.2

15.3

1.2

1.0

Goodyear India*

Accumulate

602

655

1,388

1,953

1,766

12.4

12.0

67.4

59.6

8.9

10.1

2.2

1.9

27.7

20.2

0.5

Hitachi

Neutral

1,343

3,652

1,806

2,112

9.0

9.2

28.6

29.1

47.0

46.2

11.7

9.4

28.1

22.6

2.1

1.8

Jyothy Laboratories

Neutral

320

5,794

1,620

1,847

11.5

7.3

8.5

43.9

37.8

5.7

5.3

13.3

14.4

3.4

2.9

MRF

Neutral

42,564

18,052

20,727

14,841

19.3

18.6

4,905.8

3,351.9

8.7

12.7

2.8

2.3

37.6

19.6

0.8

1.1

Page Industries

Neutral

14,440

16,106

1,929

2,450

19.8

20.1

229.9

299.0

62.8

48.3

27.7

19.3

52.1

47.1

8.4

6.6

Relaxo Footwears

Neutral

555

6,656

1,767

2,152

12.3

12.5

19.3

25.1

28.8

22.1

7.1

5.4

27.7

27.8

3.8

3.1

Siyaram Silk Mills

Accumulate

1,084

1,221

1,016

1,653

1,873

11.7

12.2

99.3

122.1

10.9

8.9

2.0

1.7

19.5

20.2

0.8

0.7

Styrolution ABS India*

Neutral

803

1,412

1,271

1,440

8.6

9.2

32.0

41.1

25.1

19.6

2.6

2.3

10.7

12.4

1.1

0.9

Tree House

Accumulate

408

433

1,726

259

324

56.8

17.0

21.7

24.0

18.8

2.4

2.2

10.1

11.5

6.6

5.4

TVS Srichakra

Neutral

3,183

2,437

2,127

2,388

15.2

14.9

237.7

267.5

13.4

11.9

5.7

4.0

51.7

39.8

1.2

1.0

HSIL

Buy

297

434

2,148

2,085

2,436

18.5

18.6

21.7

28.9

13.7

10.3

1.4

1.2

10.0

12.1

1.2

0.9

Kirloskar Engines India

Accumulate

269

297

3,891

2,634

3,252

10.1

12.0

10.9

17.4

24.7

15.4

2.8

2.5

11.4

16.8

1.1

0.8

Ltd

M M Forgings

Buy

668

797

807

563

671

22.1

22.9

51.0

66.5

13.1

10.1

2.7

2.2

23.1

24.1

1.6

1.3

Banco Products (India)

Neutral

128

915

1,208

1,353

11.0

12.3

10.8

14.5

11.9

8.8

1.4

1.2

11.9

14.5

0.7

0.6

Competent Automobiles Neutral

166

102

1,007

1,114

3.1

23.7

28.2

7.0

5.9

1.0

0.9

13.9

14.6

0.1

Nilkamal

Neutral

1,033

1,542

1,948

2,147

10.6

10.3

60.0

67.0

17.2

15.4

2.7

2.3

16.8

16.1

0.8

0.7

Visaka Industries

Neutral

163

259

1,158

1,272

8.6

9.5

23.7

32.7

6.9

5.0

0.7

0.6

10.1

12.5

0.4

0.3

Transport Corporation of

Neutral

283

2,145

2,830

3,350

8.8

9.0

14.4

18.3

19.7

15.5

3.0

2.6

15.4

17.1

0.9

0.8

India

Elecon Engineering

Accumulate

865

1,452

1,596

14.0

14.7

4.4

6.2

18.0

12.7

1.5

1.4

8.6

11.2

0.9

0.8

Surya Roshni

Buy

139

183

608

2,992

3,223

8.3

8.5

14.7

18.3

9.4

7.6

0.9

0.8

9.8

11.0

0.5

MT Educare

Accumulate

129

141

514

275

355

18.3

17.3

7.4

8.8

17.5

14.7

3.5

3.1

20.2

21.1

1.8

1.3

Radico Khaitan

Buy

112

1,253

1,565

1,687

11.9

12.4

5.4

6.6

17.4

14.3

1.4

1.3

8.0

9.0

1.3

1.2

Garware Wall Ropes

Buy

298

390

652

875

983

10.4

10.6

23.1

27.8

12.9

10.7

1.8

1.6

14.1

14.8

0.9

0.7

Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on August 17, 2015

www.angelbroking.com

Market Outlook

August 18, 2015

Research Team Tel: 022 - 39357800

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