Market Outlook Market Outlook: Dealer's Diary

Market Outlook
November 6, 2012
Dealers Diary
Domestic Indices
Indian markets are expected to open flat tracing mixed cues from opening trades
in the SGX Nifty and most of the Asian indices. SGX Nifty is trading flat, while most
of the Asian bourses have declined as investors await the results of the U.S.
presidential election and Chinas once-in-a-decade leadership change later this
week.
U.S markets moved moderately higher over the course of the trading day on
Monday, partly offsetting the steep losses posted on last Friday. Nonetheless,
traders seemed reluctant to make any significant moves amid uncertainty about the
outcome of Tuesday's presidential election between President Barack Obama and
Republican challenger Mitt Romney. Most of the European bourses largely ended
the trading session on Monday with modest losses, as investors played it cautious
ahead of U.S. Presidential election.
Chg (%)
(Pts)
(Close)
BSE Sensex
0.0
7.4 18,763
Nifty
0.1
6.5
5,704
MID CAP
(0.3)
(17.0)
6,628
SMALL CAP
(0.1)
(7.3)
7,057
BSE HC
0.4
28.8
7,744
BSE PSU
(0.2)
(14.3)
7,217
BANKEX
0.1
13.8 13,177
AUTO
(0.5)
(50.9) 10,640
METAL
(0.5)
(49.3) 10,266
OIL & GAS
(0.2)
(17.2)
8,351
BSE IT
(0.3)
(19.1)
5,780
(Pts)
(Close)
Meanwhile, Indian markets moved in a narrow range before ending slightly higher
on Monday. Global cues remained weak, with stocks falling across and Europe as
investors adopted a cautious approach ahead of tightly-fought U.S. presidential
election.
Global Indices
0.6
17.5
3,000
FTSE
(0.5)
(29.5)
5,839
Markets Today
Nikkei
(0.5)
(43.8)
9,007
Hang Seng
(0.5) (104.9) 22,006
Straits Times
(0.3)
(9.1)
3,032
Shanghai Com
(0.1)
(3.0)
2,114
Chg (%)
(Pts)
(Close)
(0.1)
(0.0)
$43.8
The trend deciding level for the day is 18,747 / 5,698 levels. If NIFTY trades above
this level during the first half-an-hour of trade then we may witness a further rally
up to 18,811 18,858 / 5,716 5,727 levels. However, if NIFTY trades below
18,747 / 5,698 levels for the first half-an-hour of trade then it may correct up to
18,699 18,636 / 5,686 5,668 levels.
Indices
SENSEX
NIFTY
S1
PIVOT
R1
R2
18,636
5,668
18,699
5,686
18,747
5,698
18,811
5,716
18,858
5,727
Refer detailed news analysis on the following page
Net Inflows (November 02, 2012)

Purch
2,726
410
Sales
1,945
346
Net
782
64
MTD
2,002
(738)
YTD
55,595
(10,890)
FII Derivatives (November 05, 2012)

` cr
Index Futures
Stock Futures
Purch
501
733
Sales
621
744
Price (`)
chg (%)
Company
Jet Air India
377
4.2
Marico
211
Net
(120)
(11)
Open Interest
10,635
28,599
Gainers / Losers
Gainers
Company
Indian ADRs
United Spirits
Losers
Price (`)
chg (%)
Crompton Greav
113
(8.4)
3.2
Godrej Cons
688
(4.9)
1,220
3.0
Andhra Bank
103
(4.2)
Cadila Health
889
2.9
Indiabulls Fin
231
(3.8)
Shree Cement
4,327
2.6
Divis Lab
1,148
(3.8)
www.angelbroking.com
Chg (%)
0.2
19.3 13,112
WIT
0.5
0.0
$8.6
IBN
(1.1)
(0.4)
$39.8
0.9
0.3
$37.8
HDB
No bidders for CDMA spectrum in the upcoming 2G auction

ONGC sells 26% stake in KG basin
L&T wins `1,896cr orders from Delhi Metro, IIIT Hyderabad
Workers at MSILs Manesar plant plan hunger strike
2QFY2013 Result Review: Cipla, Allahabad Bank, Madras Cement, Gujrat
Gas, Amara Raja, India Cement, Vijaya Bank, Vesuvius, Ceat
2QFY2013 Result Preview: Bosch, Hindalco, Canara Bank, ABB, Motherson
Sumi, Andhra Bank, Britannia, Central Bank, Dena Bank, ITNL, GIPCL
` cr
FII
MFs
NASDAQ
INFY
S2
News Analysis
Dow Jones
Advances / Declines
BSE
NSE
Advances
1,356
672
Declines
1,496
834
132
78
Unchanged
Volumes (` cr)
BSE
1,703
NSE
7,761
Market Outlook
November 6, 2012
No bidders for CDMA spectrum in the upcoming 2G auction

Three days after Videocon withdrew its bid for the CDMA spectrum (for the
800MHz band) in the upcoming 2G spectrum auction, Tata Teleservices, the only
other bidder in the band, has also pulled out. Tata Teleservices had earlier shown
interest in bidding for three circles. This will also make the Government poorer by
around `13,000cr which is the value based on the base price for 95MHz of
spectrum on offer in this band. The base price of 800MHz was fixed at 1.3x that of
1800MHz which is at `14,000cr for 5MHz pan India spectrum. Videocon withdrew
its bid on November 2. However, Videocon, which had in 2008 got pan-India 2G
spectrum for `1,658cr, has also applied for GSM spectrum. With such a muted
response the governments target to get `40,000cr from the upcoming 2G auction
and the one-time payment of spectrum is expected to fall off the mark. The 2G
spectrum auction is to take place on November 12. The final list of bidders will be
announced on November 6. This will be followed by a mock auction on November
7 and 8 and thereafter the e-auction of 1,800MHz band will take place on
November 12. We maintain our Neutral view on overall telecom sector.
ONGC sells 26% stake in KG basin

Japan's largest oil company Inpex Corp. has acquired 26% stake in ONGC's KG
DWN- 2004/6 block located in deepwaters of KG Basin in the Bay of Bengal.
However, there is no clarity on the financial details of the transaction. ONGC will
continue to remain an operator in the block with 34% stake. The block covers an
area of 10,907 sq km and has a depth of approximately 3,000 meters. We expect
to get more clarity on the deal after ONGC reports its 2QFY2013 results on
November 8. Until then, we maintain our Buy rating on the stock with a target
price of `312.
L&T wins `1,896cr orders from Delhi Metro, IIIT Hyderabad

Larsen & Toubro has bagged an order worth `1,252cr from the Delhi Metro in the
construction segment. The order will be executed with a joint venture with
Shanghai Urban Construction Group. Also, L&T has bagged order worth `644cr
from IIT Hyderabad in the building segment. We continue to maintain our
Accumulate rating on the stock with a target price of `1,749.
Workers at MSILs Manesar plant plan hunger strike

As per media reports, workers at Maruti Suzukis Manesar plant are planning a
hunger strike and other peaceful protests to force the company management to
reinstate the 548 employees that were sacked after July's violence. The workers are
also demanding a release of their fellow workers who were imprisoned after the
July riot. The workers have formed a new provisional working committee under the
aegis of the now defunct Maruti Suzuki Workers Union (MSWU) and the new
functionaries have served a notice to the Haryana government for a hunger strike
at the Gurgaon deputy commissioner office on November 7 and a mass rally on
Thursday.
Market Outlook
November 6, 2012
We see this as a negative development for MSIL as the agitation by the workers
would again disrupt the production at the plant. The production at the Manesar
plant was returning back to normal levels post the strike and was expected to
reach peak levels of ~1800 cars/day by November 2012. We feel that the
company management may not be comfortable with meeting the demand of the
workers this time as the management was very clear that they would resume
production at the plant only post a strict action against the workers involved in the
July violence. We wait for more clarity to emerge on the proposed strike and feel
that this development may remain. At `1,480 the stock is trading at 15.7x
FY2014E earnings which is in-line with its historical average of 15x. We maintain
our Neutral rating on the stock.
Result Review
Cipla (CMP-380, Target- 399, Upside-5.1%)
For 2QFY2013, Cipla reported sales and net profits higher-than-expected. On the
sales front, it reported a net sales growth of 23.6% to `2,146cr, driven mainly by
exports. The domestic business registered a growth of 13.5% yoy, while exports
registered a growth of 33.0% yoy. On the operating front, the OPM (excluding
technical know-how fees) came in higher at 29.0%, which aided the net profit to
rise by 61.8% yoy during the period. We recommend an Accumulate on the stock
with a target price of `399.
Y/E
Sales
OPM
PAT
EPS
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
8,031
23.4
1478 18.4
17.8
20.6
3.4
15.9
3.7
FY2014E
9,130
22.4
1603 20.0
16.6
19.0
2.9
14.3
3.2
Allahabad Bank- (CMP: `138/ TP: -/ Upside: -)

Allahabad bank reported a disappointing set of number with net profit declining
by 52% yoy to `234cr. The lower bottomline was primarily due to higher interest
reversals and higher provisioning expenses during the quarter. The slippage
figures for 2QFY2013 stood at `1,720cr, thrice the average quarterly run rate. The
gross NPA increased from 1.98% as of 1QFY2013 to 2.95% for 2QFY2013, while
the net NPA increased from 1.1% to 2.1% for 2QFY2013. This is the new CMDs
first quarter and also we would like to see how recoveries pan out going ahead.
Till then we remain Neutral on the stock.
Y/E
Op. Inc
NIM
PAT
EPS
ABV
ROA
ROE
P/E
P/ABV
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
6,944
3.0
1,777
35.5 219.0
0.9
17.2
3.9
0.6
FY2014E
7,884
3.1
1,851
37.0 249.8
0.9
15.7
3.7
0.6
March
Madras Cement (CMP: `204/TP:/Upside:-)

Madras Cement posted a 22% yoy growth in its net sales to `1,000cr aided by
both higher volumes (10.2% yoy) and better realization (11.5% yoy). OPM fell by
117bp yoy 31.4% due to higher freight costs on account of increase in both
railway freight charges and diesel prices. Bottomline rose by 19.9% yoy to `133cr.
Market Outlook
November 6, 2012
We maintain a neutral view on the stock.

Y/E
Sales
OPM
PAT
EPS
ROE
P/E
P/BV
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
EV/EBITDA EV/Tonne*
(x)
(x)
FY2013E
3,608
27.6
375 15.7
16.9
12.9
2.0
7.3
75
FY2014E
3,928
27.0
434 18.3
17.0
11.1
1.8
6.4
Note:* Computed on TTM basis
Gujarat Gas (CMP: `299, TP: -, Upside: -)

Gujarat Gas reported its 3QCY2012 results. The companys top line increased
28.0% yoy to `836cr mainly on account of higher realizations. Average sales
realization stood at `28.1/scm, (+42.6% yoy and +6.2% qoq), led by hike in
selling prices of Industrial, Retail and CNG segment. Natural gas volume sold,
however, fell by 9.5% yoy to 295mmscm during the quarter. The companys cost
of goods sold increased 42.6% yoy to `699cr on account of higher proportion of
expensive RLNG sales (47% of total volumes). Hence, EBITDA grew by 16.2% yoy
(below the growth in net sales) to `137cr. Other income grew 87.8% yoy to `19cr.
Consequently companys net profit grew by 24.8% yoy to `100cr. We maintain our
Neutral rating on the stock.
Y/E
March
Sales
OPM
PAT
EPS
RoIC
P/E
(%)
P/BV
EV/EBITDA
EV/Sales
(` cr)
(%)
(` cr)
(`)
(x)
(x)
(x)
(x)
CY2012E
3,279
11.5
246
19.2
28.7 15.6
4.1
8.8
2.7
CY2013E
3,878
11.3
283
22.1
29.0 13.5
3.7
7.4
2.4
Amara Raja Batteries (CMP: `224/ TP: -/ Upside: -)

Amara Raja Batteries (AMRJ) registered extremely strong results for 2QFY2013
which were ahead of our estimates, driven by a strong growth in the automotive
replacement segment. The top-line posted an impressive growth of 27.9% yoy
(3.6% qoq) led by strong volume growth in the automotive (replacement) battery
segments. Further, sustained momentum in the tubular and home UPS segment
also aided the top-line growth. However, the automotive OEM and industrial
battery business reported a marginal growth led by sluggish demand environment.
On the operating front, the margins witnessed a 73bp yoy expansion to 16.4%
primarily led by a 121bp yoy decline in raw-material expenses as a percentage of
sales mainly due to a fall in lead prices. However, on a sequential basis, margins
declined 81bp due to a 19.9% increase in other expenditure. Led by a strong
operating performance and significant increase in other income, the adjusted net
profit registered a 53.2% yoy (4.4% qoq) growth to `79cr. At `224, the stock is
trading at 11.9x FY2014 earnings. The stock rating is currently under review. We
shall revise our estimates post our interaction with the management and release a
detailed update soon.
Y/E
Sales
March
(` cr)
OPM
PAT
EPS
RoE
(%) (` cr)
(`)
(%)
P/E P/BV
(x)
EV/EBITDA EV/Sales
(x)
(x)
(x)
FY2013E
2,844
15.4
271
15.9
28.9
14.1 3.6
8.2
1.3
FY2014E
3,275
15.6
321
18.8
26.9
11.9 2.9
6.8
1.1
Market Outlook
November 6, 2012
India Cement (CMP: `98/TP:/Upside:-)

India Cements posted a 2.8% yoy growth in its net sales to `1,123cr, in-line with
our estimates. Sales volume rose by 2% yoy to 2.48mn tonnes. Net Plant
Realization rose by 2.9% yoy to `3,529/tonne. However, OPM was down by 505bp
yoy primarily due to increase in power and fuel costs. During the quarter the
company had to face 12 days of complete power holiday in Andhra Pradesh and
was forced to use high cost power resulting in pushing up the cement cost per
tonne by `160/tonne. The company was also impacted by higher freight and
forwarding costs. In all the variable costs rose by `174/tonne. Further during the
quarter, the company posted operating loss of `4cr due to IPL franchisee as
against a profit of `33cr in 2QFY2012 as a major portion of the IPL revenue for
the year was booked in 1QFY2013. Thus bottomline fell by 29.6% yoy to `49cr.
We maintain a neutral view on the stock.
Y/E
Sales
OPM
PAT
EPS
ROE
P/E
P/BV
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
EV/EBITDA EV/Tonne*
(x)
(x)
FY2013E
4,354
18.3
303
9.8
8.6
9.9
0.8
7.0
69
FY2014E
4,929
18.5
378 12.3
10.2
7.9
0.8
6.0
Note: *Computed on TTM basis
Vijaya Bank- (CMP: `54/ TP: -/ Upside: -)

During 2QFY2013, Vijaya Bank posted dismal performance on the operating
front, with a decline of 13.8% and 37.0% yoy in operating income and operating
profit to `534cr and `214cr, respectively. At the PBT level, the bank witnessed degrowth of 56.1% to `107cr. However, tax write-back of `16cr during the quarter
compared to tax expense of `40cr in 2QFY2012 limited the net profit decline to
39.4% yoy to `123cr. On the asset quality front, on an absolute basis, Gross and
Net NPA levels increased by 12.0% and 14.1% qoq, respectively. Gross and Net
NPA ratios were higher by 32bps and 23bps during the quarter to 3.17% and
1.9%, respectively. At CMP, the stock trades at relatively expensive valuations of
0.7x FY2014 ABV. We recommend Neutral rating on the stock.
Y/E
Op. Inc
NIM
PAT
EPS
ABV
ROA
ROE
P/E
P/ABV
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
2,490
2.1
574
9.2
75.8
0.5
11.5
6.1
0.7
FY2014E
2,881
2.2
682
11.4
83.9
0.5
13.0
4.9
0.7
March
Vesuvius India (CMP: `344, TP: , Upside: )

For 3QCY2012, VIL reported a lower-than-expected top-line of `132cr, a decline
of 4.5% yoy from `138cr in 3QCY2011. However, the EBITDA margin expanded
marginally by 48bp yoy from 18.1% in 3QCY2011 to 18.6% in 3QCY2012 on the
back of lower raw material cost during the quarter. Net profit was broadly in line
with our estimate at `4cr for the quarter. Considering a slowdown in the steel
industry, demand outlook remains a concern. Hence, we maintain our Neutral
recommendation on the stock.
Market Outlook
November 6, 2012
Y/E
Sales
March
OPM
PAT
EPS
RoIC
P/E
(%)
P/BV
EV/EBITDA
EV/Sales
(` cr)
(%)
(` cr)
(`)
(x)
(x)
(x)
(x)
CY2012E
549
16.6
51
25
32.6 13.6
2.1
6.9
1.1
CY2013E
587
17.0
56
28
31.4 12.5
1.8
6.1
1.0
Ceat (CMP: `110/ TP: `163/ Upside: 48%)

Ceat reported sluggish results for 2QFY2013 primarily due to sequential
contraction in operating margins led by sharp increase in employee and other
expenditure. For 2QFY2013, standalone net sales registered a modest growth of
6% yoy (down 1.2% qoq) to `1,173cr driven largely by increase in net average
realization (up 4.8% yoy). The total volumes in tonnage terms though posted a flat
growth led by weak demand in the replacement segment. Export revenue too
registered a decline of 3.7% yoy to `260cr due to weakness in Latin America and
European markets. On the operating front, EBITDA margins contracted by 218bp
qoq to 6.7% as employee expense and other expenditure as a percentage of sales
surged 80bp and 110bp respectively. While employee expense increased due to
wage hikes and bonus payouts; other expenditure grew due to higher advertising
spends. On a yoy basis though, margins improved 107bp on softening of natural
rubber prices (~down 15% yoy). During the quarter, Ceat recorded an exceptional
expense of `14cr due to change in policy of recognizing provision for warranty
from actual claim basis to expected cost based on past trends. Adjusted for the
same, net profit witnessed a decline of 34.8% qoq to `17cr. At `110, the stock is
trading at attractive valuations of 2.7x FY2014E earnings. We maintain our Buy
rating on the stock with a target price of `163.
Y/E
Sales OPM
March
(` cr)
(%)
PAT
EPS
RoE
(` cr)
(`)
(%)
FY2013E
4,989
8.2
93
FY2014E
5,634
8.5
140
P/E P/BV
(x)
EV/EBITDA EV/Sales
(x)
(x)
(x)
27.1 13.2
4.1 0.5
3.4
0.3
40.8 17.2
2.7 0.4
2.8
0.2
Result Preview
Bosch (CMP: `8,900/ TP: -/ Upside: -)
Bosch (BOS) is slated to announce its 3QCY2012 results today. We expect the
company to deliver a moderate growth of ~5% yoy (down 4% qoq) in revenues to
`2,069cr as the automotive sector registered a modest growth during the quarter.
Meanwhile, the company also announced temporary shutdowns at its plant in
Jaipur and Bangalore for two to three days to align its production with the demand
and avoid unnecessary build-up of inventory. On the operating front, the company
is expected to post a 260bp yoy contraction in operating margin to 16.7% led by
increase in cost pressures and unfavorable currency movement. Thus, the net profit
is expected to register a decline of 22.8% yoy (down 10.3% qoq) to `222cr. At
`8,900 the stock is trading at 20.3x CY2013E earnings, which is in-line with its
historical average of 20x. Currently we have a Neutral rating on the stock.
Y/E
Sales
OPM
PAT
EPS
RoIC
P/E
P/BV
EV/EBITDA
EV/Sales
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
CY2012E
8,793
17.4
1,094
348.3
19.4 25.4
4.9
16.2
2.7
CY2013E
10,294
18.5
1,368
435.8
20.1 20.3
4.1
12.6
2.2
Market Outlook
November 6, 2012
Hindalco (CMP: `115/ TP:-/ Upside :-)

Hindalco is slated to report its 2QFY2013 results today. We expect standalone net
sales to increase by 3.2% yoy to `6,423cr. However, the EBITDA margin is
expected to contract by 330bp yoy to 7.5% on account of decrease in aluminium
prices and rise in costs of key inputs. The net profit is expected to decrease by
27.7% yoy to `364cr. We maintain our Neutral view on the stock.
Y/E
Sales OPM
PAT
EPS
RoE
March
(` cr)
(%)
(` cr)
(`)
(%)
FY2013E
84,855
8.7
2,529
13.2
FY2014E
92,446
9.3
3,107
16.2
P/E P/BV
(x)
EV/EBITDA EV/Sales
(x)
(x)
(x)
7.8
8.6 0.6
7.4
0.6
8.9
7.0 0.6
6.2
0.6
Canara Bank- (CMP: `419 / TP: `449 / Upside: 7.2%)

Canara Bank is scheduled to announce its 2QFY2013 results today. We expect the
bank to report a flattish NII of `1,976cr. Non-interest income for the bank is
expected to decline by 13.2% to `719cr. Operating expenses are expected to be
slightly higher by 1.6% yoy. Consequently, operating profit de-grew by 7.1% on a
yoy basis at `1,491cr. However, provisioning expenses are expected to decline by
38.1% yoy, and would result in moderate Net Profit growth of 14.9% on a yoy
basis to `230cr. At the CMP, the stock trades at relatively valuations of 0.8x
FY2014E ABV. We maintain our Accumulate recommendation on the stock with a
target price of `449.
Y/E
Op. Inc
NIM
PAT
EPS
ABV
ROA
ROE
P/E
P/ABV
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
10,905
2.1
3,317
74.9 499.0
0.8
15.1
5.7
0.9
FY2014E
12,783
2.2
3,771
85.1 560.9
0.9
15.3
5.0
0.8
March
ABB (CMP: `722/TP: `593/Downside: 18 %)

For 3QCY2012, we expect ABB India (ABB) to post top-line growth of 15.6% yoy to
`2,015cr, driven by the companys balanced performance across all segments.
ABBs margin is likely to improve by 238bp yoy to 6.2%. Aided by modest revenue
growth and margin expansion, ABBs bottom line is expected to jump by 187% yoy
to `63.7cr, albeit on a lower base. However, on account of high valuations, we
maintain our Sell recommendation on the stock with a target price of `593.
Y/E
Sales OPM
PAT
EPS
ROE
P/E
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
P/BV EV/EBITDA
(x)
(x)
EV/Sales
(x)
CY2012E
8,760
6.2
306
14.5
11.6
50.0
5.5
27.6
1.7
CY2013E
10,023
8.7
524
24.7
17.6
29.2
4.8
17.1
1.5
Motherson Sumi Systems (CMP: `153/ TP: -/ Upside: -)

Motherson Sumi Systems (MSS) is scheduled to announce its 2QFY2013 results
today. We expect MSS to report an improvement in its operating performance
driven by pick-up in order execution at the new plant in Hungary. However, lower
operating efficiency at Peguform facilities may pose margin pressures. On a
Market Outlook
November 6, 2012
consolidated basis, we expect the company to record revenues of `6,346cr from

`2,290cr in 2QFY2012 mainly on account of consolidation of Peguform
operations. On the operating front, the company is expected to report a ~120bp
yoy contraction in margins to 7.5%. However, the net profit is expected to increase
~103% yoy to `200cr benefitting from consolidation of Peguform operation. At the
CMP of `153, the stock is trading at 14.5x FY2014E earnings. Currently we have a
Neutral rating on the stock.
Y/E
Sales
OPM
PAT
EPS
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
24,285
6.7
473
8.0
22.9
19.1
4.0
7.8
0.5
FY2014E
27,317
7.2
622
10.6
24.7
14.5
3.3
6.4
0.5
Andhra Bank- (CMP: `103 / TP: `97 / Downside: 5.8%)

Andhra Bank is scheduled to announce its 2QFY2013 results today. We expect the
bank to report a muted NII growth of 2.1% yoy to `972cr. Non-interest income for
the bank is expected to grow at a healthy pace of 17.1% to `208cr. Operating
expenses are expected to be higher by 10.7% yoy to `490cr, which would result in
flattish operating profit on a yoy basis at `690cr. Provisioning expenses are
expected to be higher by 5.0% yoy, and would result in Net Profit decline of 2.5%
on a yoy basis to `308cr. At the CMP, the stock trades at valuations of 0.7x
FY2014E ABV, which we believe is expensive considering its asset quality profile.
We maintain our Reduce recommendation on the stock with a target price of `97.
Y/E
Op. Inc
NIM
PAT
EPS
ABV
ROA
ROE
P/E
P/ABV
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
4,929
3.1
1,327
23.7 144.2
1.0
16.6
4.5
0.7
FY2014E
5,633
3.1
1,373
24.5 162.1
0.9
15.3
4.4
0.7
March
Britannia Industries (CMP: `475/TP: `584/Upside:-23%)

Britannia Industries is expected to post a 12.7% yoy growth in topline to `1,459cr.
OPM is expected to increase by 20bp yoy to 5%. Bottomline is expected to increase
by 29.9% yoy to `49cr. We maintain a Buy on the stock with a Target Price of
`584.
Y/E
Sales
OPM
PAT
EPS
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
5,835
5.7
247 20.7
43.1
22.9
9.0
15.8
0.9
FY2014E
6,824
5.9
303 25.4
41.9
18.7
6.9
12.8
0.8
Central Bank- (CMP: `70 / TP: - / Upside: -)

Central Bank is scheduled to announce its 2QFY2013 results today. We expect the
bank to report a NII growth of 1.7% yoy to `1,420cr. Non-interest income for the
bank is expected to decline by 10.5% to `290cr. Operating expenses are expected
to increase by 3.7% yoy to `958cr, which would result in operating profit degrowth of 5.5% on a yoy basis at `753cr. Provisioning expenses are expected to
decline by 25.1% yoy, and would aid Net Profit growth of 30.3% on a yoy basis to
Market Outlook
November 6, 2012
`318cr. At the CMP, the stock trades at valuations of 0.7x FY2014E ABV. We
maintain our Neutral recommendation on the stock.
Y/E
Op. Inc
NIM
PAT
EPS
ABV
ROA
ROE
P/E
P/ABV
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
7,095
2.5
1,299
15.6
94.2
0.5
12.2
4.6
0.8
FY2014E
8,102
2.7
1,698
21.0 107.0
0.6
14.7
3.4
0.7
March
Dena Bank- (CMP: `109 / TP: - / Upside: -)

Dena Bank is scheduled to announce its 2QFY2013 results today. We expect the
bank to report a NII growth of 21.8% yoy to `627cr. Non-interest income for the
bank is expected to grow at 11.0% to `126cr. Operating expenses are expected to
increase by 13.0% yoy. Operating profit is expected to grow by 25.3% on a yoy
basis to `441cr. However, provisioning expenses are expected to be higher by
54.4% yoy, and would result in moderate Net Profit growth of 10.1% on a yoy
basis to `213cr. At the CMP, the stock trades at relatively expensive valuations of
0.7x FY2014E ABV. We maintain our Neutral recommendation on the stock.
Y/E
Op. Inc
NIM
PAT
EPS
ABV
ROA
ROE
P/E
P/ABV
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
3,147
2.8
869
24.8 143.4
0.9
18.7
4.4
0.8
FY2014E
3,495
2.9
853
24.4 163.7
0.8
15.9
4.5
0.7
March
ITNL (CMP: `187 / TP: `232 / Upside: 24%)

We expect IL&FS Transportation Networks (ITNL) to post a mixed set of numbers
for the quarter, with healthy performance on the revenue front, but muted show on
the earnings level owing to high interest cost. The companys revenue is expected
to grow by 20.0% yoy to `1,507cr. We expect the company to register a dip of
131bp yoy on the EBITDAM front to 27.1%. Further, on the back of high interest
cost, which is expected to come at `265cr, we expect ITNLs earnings to decline by
15.8% yoy to `98cr. We recommend Buy on the stock with a target price of `232.
Y/E
Sales
OPM
PAT
EPS
March
(` cr)
(%)
(` cr)
(`)
FY2013E
6,840
FY2014E
7,767
ROE P/E P/BV EV/EBITDA

(%)
EV/Sales
(x)
(x)
(x)
(x)
26.3
475 24.4 16.0 7.6
1.1
10.2
2.7
26.8
588 30.3 17.2 6.2
1.0
10.6
2.8
GIPCL (CMP: `67/TP: `77/Upside: 14.9 %)

We expect GIPCL to register a robust 20.2% yoy growth in its top-line to `361cr,
albeit on a lower base. OPM is expected to remain flat at 31.8%. The robust topline growth and flat OPM performance will result in 24.8% yoy growth in profit to
`35cr. We maintain Accumulate rating on the stock.
Market Outlook
November 6, 2012
Y/E
Sales OPM
PAT
EPS
ROE
P/E
March
(` cr)
P/BV EV/EBITDA
EV/Sales
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
1,557 29.3
163
10.8
10.8
6.2
0.6
3.9
1.1
FY2014E
1,573 28.7
166
11.0
10.2
6.1
0.6
3.4
1.0
Quarterly Bloomberg Brokers Consensus Estimate

ABB (06/11/2012)
Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
1,933
1,726
12
1,858
EBITDA
109
17
554
106
EBITDA margin (%)
5.6
1.0
Net profit
61
22
176
52
18
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
803
852
(6)
775
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
6,461
6,220
5,964
EBITDA
575
715
(20)
463
24
EBITDA margin (%)
8.9
11.5
Net profit
388
451
(14)
425
(9)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
3,602
3,771
(4)
3,413
(29)
460
Net sales
5.7
Canara Bank (06/11/2012)

Particulars (` cr)
Net profit
Hindalco Industries (06/11/2012)

Particulars (` cr)
Net sales
7.8
Reliance Infrastructure (06/11/2012)

Particulars (` cr)
Net sales
EBITDA
488
690
EBITDA margin (%)
13.5
18.3
Net profit
300
496
13.5
(40)
327
(8)
Tata Power Consolidated (06/11/2012)

Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
Net sales
7,410
6,248
19
7,198
EBITDA
1,567
1,385
13
1,413
11
EBITDA margin (%)
21.1
22.2
Net profit
296
(1,179)
19.6
(125)
196
51
Bharti Airtel Consolidated (07/11/2012)

Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
19,533
17,270
13
19,350
5,872
5,815
6,009
(2)
EBITDA margin (%)
30.1
33.7
Net profit
719
1,023
Net sales
EBITDA
31.1
(30)
775
(7)
Market Outlook
November 6, 2012
NMDC (07/11/2012)
Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
Net sales
2,870
3,062
(6)
2,838
EBITDA
2,306
2,435
(5)
2,302
80.4
79.5
1,861
1,963
EBITDA margin (%)

Net profit
81.1
(5)
1,906
(2)
Tata Motors Consolidated (07/11/2012)

Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
43,932
35,938
22
43,171
5,614
2,222
153
5,575
12.8
6.2
2,379
1,911
Net sales
EBITDA
EBITDA margin (%)
Net profit
12.9
24
Economic and Political News
Assocham proposes changes in Land Acquisition Bill

TDSAT is split over TRAI direction on pre-paid ISD facility
Odisha may drop demand for free power from IPPs
Corporate News
Japan's Inpex buys 26% stake in ONGC's KG basin block

KFA permit won't be renewed if no revival plan by Dec 31
Moily says RIL will abide by audits obligations in D6
Source: Economic Times, Business Standard, Business Line, Financial Express, Mint
2,273
Market Outlook
November 06, 2012
Result Calendar
Date
November 06, 2012
November 07, 2012
November 08, 2012
November 09, 2012
November 10, 2012
Company
Hindalco, Tata Power Co., Bosch India, Canara Bank, ABB, Reliance Infra., Reliance Capital, Motherson Sumi, Andhra
Bank, Central Bank, Britannia, Tata Comm, ITNL, Dena Bank, GIPCL, Cravatex
Bharti Airtel, NMDC, Tata Motors, Cadila Healthcare, Indraprasth Gas, GSPL, UCO Bank
ONGC, Sun Pharma, SAIL, Ranbaxy, Rcom, Cummins India, Ashok Leyland, Areva, Monnet Ispat, Page Industries, PTC
India, Nagarjuna Const., Prakash Industries, Finolex Cables, Goodyear
Coal India, St Bk of India, IOC, Jindal Steel, Tata Steel, BPCL, Power Fin.Corpn., GSK Pharma, United Spirits, HPCL,
Essar Oil, Sun TV Network, Tata Chemicals, Suzlon Energy, Corporation Bank, MOIL, HDIL, Aurobindo Pharma,
CESC, Sadbhav Engg., Punj Lloyd, Anant Raj, Graphite India, Orchid Chemicals, Patel Engg., Subros, Disa
Unitech, TVS Srichakra, Abbott India, S. Kumars Nationwide
November 11, 2012

November 12, 2012
DLF, Nestle, Jaiprakash Asso., GMR Infra., Bhushan Steel, Simplex Infra, SpiceJet
November 13, 2012

November 14, 2012
Madhucon Proj
November 15, 2012
Consolidated Co
Source: Bloomberg, Angel Research
Global economic events release calendar

Date
Time
Country Event Description
Unit
Period
Bloomberg Data
November 06, 2012
2:25PM
Germany PMI Services
Value
Oct F
49.30
49.30
3:00PM
UK
Industrial Production (YoY)
% Change
Sep
(1.20)
(1.60)
5:30PM
UK
BOE Announces rates
% Ratio
Nov 8
0.50
0.50
6:15PM
Euro Zone ECB announces interest rates
Nov 8
0.75
0.75
7:00PM
US
Initial Jobless claims
Thousands
Nov 3
363.00
370.00
7:00AM
China
Consumer Price Index (YoY)
% Change
Oct
1.90
1.90
Last Reported Estimated
November 08, 2012
November 09, 2012
11:00AM
China
Industrial Production (YoY)
% Change
Oct
9.20
--
November 10, 2012
5:29PM
China
Exports YoY%
% Change
Oct
9.90
10.00
November 12, 2012
11:00AM
India
Industrial Production YoY
% Change
Sep
2.70
--
November 13, 2012
3:00PM
UK
CPI (YoY)
% Change
Oct
2.20
--
November 14, 2012
12:00PM
India
Monthly Wholesale Prices YoY%
% Change
Oct
7.81
--
3:00PM
UK
Jobless claims change
% Change
Oct
(4.00)
--
7:00PM
US
Producer Price Index (mom)
% Change
Oct
1.10
0.20
12:30PM
Germany GDP nsa (YoY)
% Change
3Q P
0.50
--
3:30PM
Euro Zone Euro-Zone CPI (YoY)
Oct
2.60
--
3:30PM
Euro Zone Euro-Zone GDP s.a. (QoQ)
% Change
3Q A
(0.20)
--
7:00PM
US
Consumer price index (mom)
% Change
Oct
0.60
0.10
November 16, 2012
7:45PM
US
Industrial Production
Oct
0.41
0.20
November 19, 2012
8:30PM
US
Existing home sales
Millions
Oct
4.75
--
November 20, 2012
7:00PM
US
Housing Starts
Thousands
Oct
872.00
--
7:00PM
US
Building permits
Thousands
Oct
890.00
--
November 21, 2012
5:29PM
Germany PMI Manufacturing
Value
Nov A
46.00
--
November 22, 2012
8:30PM
Euro Zone Euro-Zone Consumer Confidence
(25.70)
--
November 27, 2012
3:00PM
UK
GDP (YoY)
8:30PM
US
Consumer Confidence
November 28, 2012
8:30PM
US
New home sales
November 29, 2012
2:25PM
Germany Unemployment change (000's)
7:00PM
US
November 15, 2012
GDP Qoq (Annualised)
Value
Nov A
% Change
3Q P
S.A./ 1985=100
Nov
72.20
--
Thousands
Oct
389.00
--
Thousands
Nov
20.00
--
% Change
3Q S
2.00
--
--
Market Strategy
November 06, 2012
Macro watch
Exhibit 1: Quarterly GDP trends
Exhibit 2: IIP trends
(%)
(%)
10.0
8.0
9.2
9.0
8.5
9.0
8.2
8.0
6.0
8.0
7.6
7.5
6.0
6.7
7.0
4.0
6.1
5.7
5.3 5.5
5.0
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
(0.2)
(2.8)
(4.0)
(1.8)
(6.0)
(5.0)
Exhibit 4: Manufacturing and services PMI
(%)
Mfg. PMI
60.0
12.0
Services PMI
58.0
9.5
7.7
8.0
(1.3)
Source: MOSPI, Angel Research
Exhibit 3: Monthly WPI inflation trends
9.9
Jan-12
Dec-11
Nov-11
1QFY13
4QFY12
3QFY12
2QFY12
1QFY12
4QFY11
3QFY11
2QFY11
1QFY11
4QFY10
3QFY10
2QFY10
1QFY10
Source: CSO, Angel Research
Oct-11
(2.0)
3.0
4QFY09
1.0
3.5
10.0
2.7
2.5
2.0
6.9
7.4
7.7
7.5
7.6
7.6
7.5
7.6
7.8
56.0
Source: MOSPI, Angel Research
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
Jan-12
Dec-11
Source: Market, Angel Research; Note: Level above 50 indicates expansion
Exhibit 5: Exports and imports growth trends

(%)
Sep-11
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
48.0
Feb-12
0.0
Jan-12
50.0
Dec-11
2.0
Nov-11
52.0
Oct-11
4.0
Nov-11
54.0
6.0
Oct-11
4.0
2.5
Sep-11
6.0
4.3
2.7
Exports yoy growth
Exhibit 6: Key policy rates

Repo rate
(%)
9.00
Imports yoy growth
45.0
Reverse Repo rate
CRR
8.00
8.00
30.0
7.00
7.00
15.0
6.00
4.25
Source: RBI, Angel Research
Oct-12
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
Jan-12
4.00
Dec-11
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
5.00
Nov-11
(30.0)
Mar-12
Feb-12
Jan-12
Dec-11
Nov-11
(15.0)
Oct-11
0.0
Market Outlook
November 06, 2012
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
OPM(%)
EPS ( )
( )
Price ( )
( cr )
FY13E
FY14E
FY13E
FY14E
FY13E
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
Agri / Agri Chemical

Rallis
Neutral
140
2,723
1,466
1,686
14.8
14.8
7.0
8.1
20.0
17.3
4.2
3.6
22.6
22.5
2.0
1.7
United Phosphorus
Buy
118
170
5,446
8,421
9,263
16.5
16.5
15.0
17.0
7.9
7.0
1.2
1.0
15.6
15.5
0.8
0.7
Amara Raja Batteries
Neutral
224
3,819
2,844
3,275
15.4
15.6
15.9
18.8
14.1
11.9
3.6
2.9
28.9
26.9
1.3
1.1
Apollo Tyres
Buy
85
103
4,269
13,755
15,389
11.3
11.3
12.8
15.1
6.6
5.6
1.3
1.0
20.6
20.3
0.5
0.4
Ashok Leyland
Buy
24
30
6,386
14,920
16,850
9.0
9.3
2.2
2.8
11.0
8.7
2.0
1.8
13.3
15.6
0.5
0.5
Automotive Axle#
Accumulate
374
430
565
993
1,140
11.6
11.5
36.9
43.0
10.1
8.7
2.0
1.7
21.2
21.3
0.6
0.5
Bajaj Auto
Neutral
1,860
53,830
21,121
23,642
18.4
18.5
108.7
122.6
17.1
15.2
7.1
5.7
46.2
41.6
2.2
1.9
Bharat Forge
Buy
266
324
6,187
6,754
7,565
15.5
15.7
18.8
23.2
14.2
11.5
2.5
2.1
18.5
19.7
1.1
0.9
Bosch India*
Neutral
8,902
27,950
8,793
10,294
17.4
18.5
348.3
435.8
25.6
20.4
5.0
4.1
19.4
20.1
2.8
2.4
CEAT
Buy
110
164
377
4,989
5,634
8.7
8.5
32.7
41.1
3.4
2.7
0.5
0.4
15.8
16.9
0.3
0.2
Exide Industries
Accumulate
140
155
11,870
6,229
7,200
14.8
15.8
7.2
9.0
19.5
15.6
3.4
2.9
18.5
19.9
1.6
1.4
FAG Bearings*
Neutral
1,713
2,846
1,489
1,750
16.5
17.5
103.3
126.9
16.6
13.5
3.2
2.7
21.3
21.6
1.7
1.4
Hero Motocorp
Neutral
1,949
38,928
24,743
27,996
14.8
15.2
118.2
130.4
16.5
15.0
7.1
5.6
48.3
41.9
1.3
1.1
JK Tyre
Buy
117
165
480
7,517
8,329
6.6
6.6
37.2
41.3
3.1
2.8
0.6
0.5
18.8
17.8
0.3
0.3
Auto & Auto Ancillary
Mahindra and Mahindra Accumulate
910
986
55,866
40,035
46,272
11.5
11.6
54.7
62.8
16.6
14.5
3.7
3.1
24.3
23.4
1.2
1.0
Maruti
Neutral
1,480
42,751
42,019
50,246
7.3
8.6
66.1
94.4
22.4
15.7
2.5
2.2
11.9
15.1
0.8
0.7
Motherson Sumi
Neutral
153
9,015
24,285
27,317
6.7
7.2
8.1
10.6
19.1
14.5
4.0
3.3
22.9
24.7
0.5
0.5
Subros
Accumulate
33
34
196
1,230
1,378
8.8
8.6
4.5
5.7
7.2
5.7
0.7
0.7
9.8
11.8
0.4
0.4
Tata Motors
Buy
270
316
71,878 195,096 219,428
12.8
13.0
39.0
44.9
6.9
6.0
2.0
1.5
32.6
28.8
0.4
0.4
TVS Motor
Buy
39
45
1,829
7,466
8,290
6.2
6.3
4.8
5.6
8.0
6.9
1.4
1.2
18.2
18.7
0.2
0.2
ABB*
Sell
722
593
15,293
8,760
10,023
6.2
8.7
14.5
24.7
49.9
29.2
5.5
4.8
11.6
17.6
1.7
1.5
BGR Energy
Neutral
266
1,920
3,669
4,561
11.0
11.0
24.7
29.6
10.8
9.0
1.6
1.4
15.3
16.7
1.0
1.0
BHEL
Neutral
231
56,515
47,801
43,757
18.5
18.0
24.6
21.8
9.4
10.6
2.8
2.4
33.5
24.5
1.0
1.2
Blue Star
Buy
197
249
1,769
2,763
2,948
3.2
5.6
3.5
9.1
56.9
21.6
4.3
3.7
7.7
18.4
0.8
0.7
Crompton Greaves
Buy
113
145
7,220
12,779
14,801
5.9
6.8
5.2
7.5
21.6
15.0
1.9
1.7
8.9
12.0
0.6
0.6
Jyoti Structures
Buy
43
54
356
2,622
2,744
10.7
10.5
9.6
12.2
4.5
3.6
0.5
0.4
10.8
12.3
0.4
0.3
KEC International
Buy
61
73
1,557
6,858
7,431
7.1
7.5
8.3
9.8
7.3
6.2
1.2
1.1
25.1
24.0
0.4
0.3
LMW
Reduce
2,109
1,992
2,376
2,369
2,727
11.7
11.7
143.4
166.0
14.7
12.7
2.5
2.2
17.4
18.4
0.5
0.4
Thermax
Neutral
579
6,896
5,514
5,559
8.9
10.2
26.9
30.3
21.5
19.1
3.7
3.3
18.4
18.2
1.1
1.1
Capital Goods
Market Outlook
November 06, 2012
Stock Watch
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
Cement
ACC
Neutral
1,434
26,913
11,085
12,415
21.6
21.4
79.4
83.1
18.1
17.3
3.5
3.2
20.1
19.2
2.1
1.8
Ambuja Cements
Neutral
210
32,326
10,272
11,884
26.4
26.1
11.5
12.9
18.3
16.3
4.0
3.6
20.8
21.1
2.7
2.2
India Cements
Neutral
98
2,997
4,354
4,929
18.6
18.7
9.8
12.3
9.9
7.9
0.8
0.8
8.6
10.2
1.1
1.0
J K Lakshmi Cements
Buy
123
143
1,507
2,082
2,423
22.9
23.1
20.8
22.5
5.9
5.5
1.1
0.9
18.4
17.4
0.9
1.1
Madras Cements
Neutral
204
4,843
3,608
3,928
27.6
27.0
15.7
18.3
12.9
11.2
2.0
1.8
16.9
17.0
2.0
1.7
Shree Cements^
Neutral
4,327
15,073
5,701
6,210
29.7
28.1
240.7
260.7
18.0
16.6
4.4
3.6
27.1
23.6
2.0
1.6
UltraTech Cement
Neutral
2,015
55,219
21,368
24,043
22.5
23.5
103.5
121.4
19.5
16.6
3.6
3.1
20.2
20.1
2.5
2.4
217
304
1,142
2,034
2,315
22.4
22.4
27.1
31.7
8.0
6.8
1.0
0.9
13.1
13.4
1.8
2.1
Construction
Ashoka Buildcon
Buy
Consolidated Co
Neutral
13
239
2,262
2,522
6.7
7.5
1.5
2.7
8.7
4.9
0.4
0.4
4.4
7.5
0.4
0.4
Hind. Const.
Neutral
17
1,025
4,239
4,522
9.9
11.2
(2.3)
(1.0)
(7.5)
(17.5)
0.9
1.1
(11.4)
(5.6)
1.2
1.2
IRB Infra
Buy
122
166
4,052
3,964
4,582
42.3
40.2
15.7
16.9
7.8
7.2
1.2
1.1
16.6
15.8
2.6
2.5
ITNL
Buy
187
232
3,636
6,840
7,767
26.4
26.1
24.4
30.3
7.7
6.2
1.2
1.0
16.0
16.2
2.7
2.9
IVRCL Infra
Buy
41
51
1,258
5,510
6,722
8.8
9.0
2.5
4.6
16.2
9.0
0.5
0.5
3.4
5.8
0.7
0.7
Jaiprakash Asso.
Neutral
87
18,585
15,259
17,502
25.7
24.7
4.0
4.8
21.8
18.3
1.7
1.6
8.5
9.3
2.6
2.2
Larsen & Toubro
Neutral
1,675
102,801
60,556
69,167
11.2
11.6
73.8
85.5
22.7
19.6
3.6
3.2
13.5
14.1
1.9
1.6
Madhucon Proj
Buy
31
56
225
2,206
2,502
10.7
10.7
4.6
4.7
6.6
6.5
0.3
0.3
5.2
5.0
0.7
0.7
Nagarjuna Const.
Neutral
44
1,139
5,804
6,513
8.0
8.6
3.0
3.5
14.6
12.7
0.5
0.5
3.2
3.6
0.6
0.7
Patel Engg.
Neutral
77
537
3,609
3,836
13.1
13.1
14.0
14.6
5.5
5.3
0.3
0.3
6.3
6.1
1.0
1.0
Punj Lloyd
Neutral
53
1,750
11,892
13,116
8.9
8.9
1.7
3.1
31.1
17.1
0.6
0.6
1.9
3.4
0.6
0.5
Sadbhav Engg.
Buy
142
182
2,136
2,506
3,147
10.3
10.7
7.5
10.4
18.8
13.6
2.4
2.0
13.5
16.0
1.0
0.9
Simplex Infra
Buy
198
265
979
6,732
7,837
8.1
8.4
23.4
29.4
8.5
6.7
0.8
0.7
9.2
10.6
0.5
0.5
Allahabad Bank
Neutral
135
6,728
6,944
7,884
3.0
3.1
35.5
37.0
3.8
3.6
0.6
0.5
17.2
15.7
Andhra Bank
Reduce
Axis Bank
Buy
Bank of Baroda
Financials
103
97
5,744
4,929
5,633
3.1
3.1
23.7
24.5
4.3
4.2
0.7
0.6
16.6
15.3
1,215
1,476
51,815
15,686
18,687
3.1
3.2
116.8
138.0
10.4
8.8
1.9
1.7
20.0
20.2
Accumulate
743
817
29,098
15,436
18,208
2.5
2.6
111.8
137.4
6.7
5.4
1.0
0.9
15.8
17.0
Bank of India
Neutral
280
16,054
12,491
14,883
2.2
2.4
43.8
63.7
6.4
4.4
0.8
0.7
12.1
15.8
Bank of Maharashtra
Neutral
Canara Bank
Accumulate
Central Bank
Neutral
53
3,143
3,563
3,876
3.1
3.1
9.7
12.0
5.5
4.4
0.8
0.7
14.6
16.1
418
449
18,531
10,905
12,783
2.1
2.2
74.9
85.1
5.6
4.9
0.8
0.8
15.1
15.3
70
5,171
7,095
8,102
2.5
2.7
15.6
21.0
4.5
3.3
0.8
0.7
12.2
14.7
Market Outlook
November 06, 2012
Stock Watch
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
Financials
Corporation Bank
Accumulate
394
447
5,839
4,886
5,669
2.1
2.2
101.3
101.8
3.9
3.9
0.7
0.6
17.0
15.1
Dena Bank
Neutral
109
3,821
3,147
3,495
2.8
2.9
24.8
24.4
4.4
4.5
0.8
0.7
18.7
15.9
Federal Bank
Neutral
480
8,200
2,617
2,968
3.3
3.2
45.9
51.7
10.5
9.3
1.3
1.2
13.1
13.3
HDFC
Neutral
769
118,464
7,336
8,802
3.5
3.5
31.5
37.8
24.4
20.3
4.9
4.4
34.8
32.1
HDFC Bank
Neutral
635
150,124
21,696
26,811
4.4
4.5
28.7
36.0
22.2
17.6
4.2
3.6
20.7
22.0
ICICI Bank
Buy
1,077
1,270
123,861
22,271
26,690
3.0
3.0
69.2
83.1
15.6
13.0
1.9
1.7
14.2
15.7
IDBI Bank
Accumulate
97
103
12,375
7,684
9,264
1.8
2.1
15.6
22.0
6.2
4.4
0.7
0.6
10.9
13.9
Indian Bank
Accumulate
167
181
7,173
5,874
6,551
3.2
3.2
40.6
41.8
4.1
4.0
0.7
0.6
18.1
16.4
IOB
Neutral
73
5,782
7,050
8,313
2.3
2.5
12.3
19.9
5.9
3.6
0.5
0.5
8.8
13.1
J & K Bank
Neutral
1,215
5,889
2,762
2,885
3.6
3.6
226.7
193.0
5.4
6.3
1.2
1.0
24.4
17.7
LIC Housing Finance
Buy
251
298
12,687
1,799
2,255
2.3
2.4
20.3
27.3
12.4
9.2
2.0
1.7
16.9
19.7
Oriental Bank
Neutral
328
9,560
6,277
7,090
2.6
2.7
60.5
65.1
5.4
5.0
0.8
0.7
15.0
14.4
Punjab Natl.Bank
Accumulate
755
819
25,620
19,652
22,601
3.2
3.3
135.0
164.3
5.6
4.6
1.0
0.8
16.3
17.3
South Ind.Bank
Accumulate
23
25
3,078
1,556
1,750
2.8
2.7
3.5
3.9
6.6
6.0
1.1
1.0
19.1
16.9
St Bk of India
Accumulate
2,143
2,353
143,808
63,806
73,435
3.5
3.6
225.7
258.4
9.5
8.3
1.6
1.4
17.7
17.8
Syndicate Bank
Neutral
120
7,214
6,756
7,783
3.0
3.0
26.3
27.1
4.6
4.4
0.8
0.7
18.3
16.6
UCO Bank
Neutral
74
4,939
5,411
6,124
2.4
2.5
17.0
16.5
4.4
4.5
0.9
0.8
16.7
14.4
Union Bank
Accumulate
222
235
12,208
9,912
11,536
2.8
2.9
40.4
46.7
5.5
4.8
0.9
0.8
16.1
16.4
United Bank
Accumulate
64
74
2,318
3,572
4,041
2.8
2.9
17.2
22.1
3.7
2.9
0.5
0.5
14.2
16.2
Vijaya Bank
Neutral
54
2,691
2,490
2,881
2.1
2.2
9.2
11.4
5.9
4.8
0.7
0.7
11.5
13.0
Yes Bank
Buy
418
492
14,894
3,270
4,240
2.8
3.0
34.5
42.2
12.1
9.9
2.6
2.1
23.5
23.5
3,954
37,924
11,198
13,184
16.2
16.2
123.7
146.4
32.0
27.0
10.9
8.5
38.1
35.4
3.3
2.8
475
584
5,674
5,835
6,824
5.7
6.0
20.7
25.4
22.9
18.7
9.0
6.9
43.1
41.9
0.9
0.7
1,301
17,697
3,018
3,429
20.9
22.2
35.7
42.3
36.5
30.7
33.7
25.1
101.0
93.5
5.6
4.9
FMCG
Asian Paints
Neutral
Britannia
Buy
Colgate
Neutral
Dabur India
Neutral
127
22,161
6,124
7,101
17.0
16.8
4.5
5.2
28.5
24.3
11.7
9.3
43.2
41.5
3.6
3.0
GlaxoSmith Con*
Neutral
3,056
12,852
3,124
3,663
17.1
17.6
104.5
123.8
29.3
24.7
9.1
7.3
34.4
32.8
3.8
3.2
Godrej Consumer
Neutral
688
23,425
6,097
7,233
18.4
18.6
21.9
26.5
31.5
26.0
7.0
5.8
25.5
25.4
4.2
3.5
HUL
Neutral
534
115,349
25,350
28,974
13.3
13.5
14.7
17.1
36.2
31.3
28.7
20.2
84.5
75.8
4.4
3.8
ITC
Neutral
288
226,693
29,409
34,060
35.7
36.1
9.3
10.9
30.9
26.4
10.3
8.5
35.8
35.3
7.3
6.2
Market Outlook
November 06, 2012
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
( )
Price ( )
( cr )
FY13E
OPM(%)
EPS ( )
FY14E
FY13E
FY14E
FY13E
PER(x)
P/BV(x)
FY14E
FY13E
FY14E
FY13E
RoE(%)
EV/Sales(x)
FY14E
FY13E
FY14E
FY13E
FY14E
FMCG
Marico
Neutral
211
13,587
4,840
5,643
13.1
13.1
6.8
8.5
31.1
24.9
8.6
6.5
31.4
29.7
2.8
2.3
Nestle*
Neutral
4,829
46,558
8,610
10,174
20.9
21.2
114.8
139.8
42.1
34.5
25.4
17.7
71.2
60.3
5.4
4.5
Tata Global
Neutral
159
9,811
7,207
7,927
9.7
10.0
6.6
7.8
24.0
20.3
2.4
2.3
8.6
9.5
1.3
1.1
HCL Tech^
Accumulate
613
648
42,588
24,214
26,772
19.5
18.1
44.0
48.0
13.9
12.8
3.3
2.8
24.0
22.0
1.7
1.5
Hexaware*
Buy
113
135
3,350
1,944
2,159
21.8
21.1
11.4
12.2
10.0
9.2
2.6
2.2
26.4
24.1
1.4
1.2
Infosys
Accumulate
2,379
2,573
136,593
39,174
41,580
29.5
30.4
159.2
171.6
14.9
13.9
3.6
3.2
24.1
23.1
2.9
2.7
Infotech Enterprises
Neutral
194
2,160
1,886
2,032
17.9
17.3
18.7
20.2
10.4
9.6
1.6
1.3
14.9
14.0
0.8
0.7
KPIT Cummins
Accumulate
122
132
2,181
2,195
2,317
15.5
15.0
10.7
12.1
11.4
10.2
2.4
2.0
21.0
19.8
1.0
0.9
Mahindra Satyam
Accumulate
109
115
12,846
7,597
8,141
20.0
18.8
9.7
10.4
11.3
10.5
3.1
2.4
27.5
22.9
1.3
1.1
Mindtree
Accumulate
656
747
2,689
2,324
2,437
20.0
17.7
73.3
74.7
9.0
8.8
2.1
1.7
24.1
19.7
0.9
0.8
Mphasis&
Neutral
393
8,262
5,700
5,993
18.0
16.9
37.0
37.3
10.6
10.6
1.5
1.3
14.3
12.6
1.0
0.8
NIIT
Accumulate
34
36
556
1,034
1,146
9.9
11.0
5.2
6.4
6.5
5.3
0.8
0.8
12.8
14.3
0.4
0.3
Persistent
Neutral
482
1,926
1,261
1,352
26.4
24.7
48.2
54.0
10.0
8.9
1.9
1.6
19.0
17.9
1.2
1.0
TCS
Accumulate
1,329
1,410
260,066
61,053
67,313
28.7
29.1
69.7
76.2
19.1
17.4
6.2
5.1
32.6
29.1
4.1
3.6
Tech Mahindra
Accumulate
955
1,046
12,190
6,603
7,196
18.2
17.1
92.7
99.6
10.3
9.6
2.4
2.0
23.6
20.5
1.9
1.7
Wipro
Buy
363
421
89,327
43,219
47,241
20.0
20.0
26.1
28.1
13.9
12.9
2.7
2.3
19.3
17.9
1.7
1.5
D B Corp
Buy
219
259
4,010
1,581
1,784
23.3
25.0
11.6
14.4
18.9
15.2
3.7
3.1
21.0
22.3
2.3
2.0
HT Media
Accumulate
98
113
2,299
2,111
2,272
15.0
15.2
7.4
8.3
13.3
11.9
1.4
1.3
11.3
11.4
0.8
0.7
Jagran Prakashan
Buy
101
117
3,182
1,503
1,681
23.1
23.1
6.4
7.3
15.7
13.9
3.9
3.5
25.8
26.5
2.3
2.0
PVR
Neutral
229
595
625
732
17.4
17.1
13.3
15.6
17.2
14.6
1.9
1.7
13.2
13.8
1.4
1.1
Sun TV Network
Neutral
338
13,320
1,981
2,239
77.0
76.7
18.6
21.3
18.2
15.9
4.6
4.0
27.1
27.5
6.3
5.4
Bhushan Steel
Neutral
491
10,434
11,979
14,584
31.6
31.0
49.2
61.4
10.0
8.0
1.3
1.1
14.1
15.2
2.9
2.4
Coal India
Accumulate
352
385
222,557
69,808
75,550
27.4
27.4
26.0
28.3
13.5
12.5
3.9
3.2
32.5
28.1
2.2
1.9
Electrosteel Castings
Accumulate
28
29
972
1,984
2,074
10.6
11.6
0.8
2.0
33.6
13.9
0.5
0.2
1.7
4.1
0.7
0.6
Hind. Zinc
Accumulate
137
145
58,014
12,446
13,538
52.3
52.9
15.0
16.4
9.2
8.4
1.8
1.5
21.4
19.7
2.8
2.1
Hindalco
Neutral
115
21,960
84,855
92,446
8.7
9.3
13.2
16.2
8.7
7.1
0.7
0.6
7.8
8.9
0.7
0.6
JSW Steel
Neutral
753
16,803
39,586
41,459
17.6
17.0
78.7
90.1
9.6
8.4
0.9
0.9
10.2
10.7
0.8
0.8
MOIL
Accumulate
248
271
4,160
918
993
50.7
50.9
24.5
26.1
10.1
9.5
1.5
1.4
16.0
15.5
2.2
1.9
Monnet Ispat
Buy
290
379
1,867
2,511
3,303
23.8
26.0
46.3
57.3
6.3
5.1
0.7
0.6
12.4
13.7
1.7
1.2
IT
Media
Metals & Mining
Market Outlook
November 06, 2012
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
Sales ( cr )
FY13E
FY14E
OPM(%)
EPS ( )
FY13E
FY14E
FY13E
PER(x)
P/BV(x)
RoE(%)
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
EV/Sales(x)
FY14E
FY13E
FY14E
Metals & Mining

Nalco
Reduce
NMDC
Buy
47
44
12,010
6,898
7,841
9.9
14.7
2.0
3.2
23.5
14.6
1.0
1.0
4.3
6.8
1.3
1.2
182
214
72,316
12,934
14,266
79.4
80.1
21.1
23.4
8.7
7.8
2.3
1.9
29.6
26.5
3.6
3.0
SAIL
Sesa Goa
Neutral
83
34,139
47,252
60,351
14.2
14.8
9.6
11.7
8.6
7.0
0.8
0.7
9.4
10.6
1.2
1.0
Neutral
176
15,309
4,551
6,640
32.8
34.4
33.7
39.3
5.2
4.5
0.9
0.8
18.3
18.3
4.0
2.7
Sterlite Inds
Accumulate
102
110
34,329
43,185
45,442
23.3
23.7
16.8
17.9
6.1
5.7
0.7
0.6
11.6
11.2
0.8
0.7
Tata Steel
Buy
398
481
38,640 145,799 150,431
10.3
11.2
48.6
63.3
8.2
6.3
0.8
0.7
10.5
12.4
0.5
0.5
Sarda
Buy
140
153
501
1,442
1,494
17.6
17.3
27.2
28.7
5.1
4.9
0.6
0.5
11.5
11.0
0.7
0.6
Prakash Industries
Godawari Power and
Ispat
Oil & Gas
Buy
52
73
703
2,694
2,906
14.6
16.6
16.4
20.8
3.2
2.5
0.3
0.3
11.4
12.8
0.5
0.4
Buy
122
161
388
2,341
2,425
15.6
17.3
33.3
43.2
3.7
2.8
0.4
0.4
13.2
14.4
0.5
0.5
Cairn India
Accumulate
330
382
63,041
17,567
17,643
76.2
72.3
61.1
56.8
5.4
5.8
1.1
1.0
22.0
17.5
2.8
2.4
GAIL
Neutral
356
45,215
46,652
54,142
15.7
15.7
34.0
35.3
10.5
10.1
1.8
1.6
18.5
16.8
0.7
0.6
ONGC
Buy
267
312
228,047 147,139 154,821
33.9
33.7
30.7
32.3
8.7
8.3
1.5
1.4
18.3
17.2
1.3
1.2
Reliance Industries
Neutral
805
263,618 362,700 380,031
7.9
8.0
60.0
63.3
13.4
12.7
1.3
1.2
11.1
10.6
0.7
0.7
Gujarat Gas*
Neutral
299
3,819
11.5
11.3
19.2
22.1
15.6
13.5
4.1
3.7
28.7
29.0
1.1
0.9
Indraprastha Gas
Neutral
263
3,684
3,040
3,135
24.3
26.7
24.8
27.9
10.6
9.5
2.5
2.0
25.5
23.6
1.2
1.0
Petronet LNG
Gujarat State Petronet
Ltd.
Pharmaceuticals
Accumulate
172
183
12,900
30,077
33,570
6.6
6.3
15.1
15.3
11.4
11.3
2.9
2.4
28.4
23.1
0.5
0.4
75
4,229
1,041
939
91.8
91.9
8.5
7.4
8.9
10.2
1.5
1.4
18.1
14.0
4.9
5.4
Alembic Pharma
Buy
68
91
1,277
1,624
1,855
14.2
15.6
6.6
9.1
10.3
7.5
2.6
2.0
27.9
29.9
0.9
0.8
Aurobindo Pharma
#VALUE!
4,945
5,243
5,767
14.6
14.6
11.8
12.6
14.4
13.5
1.8
1.5
17.9
16.4
1.4
1.3
Aventis*
Neutral
Cadila Healthcare
Accumulate
Cipla
Accumulate
Dr Reddy's
Neutral
Dishman Pharma
Neutral
GSK Pharma*
Neutral
Indoco Remedies
Buy
Ipca labs
Neutral
Lupin
Accumulate
Orchid Chemicals
Neutral
Neutral
170
3,831
3,228
2,235
5,146
1,482
1,682
15.5
15.5
95.1
104.4
23.5
21.4
4.2
3.2
18.6
17.0
3.3
2.8
889
953
18,208
6,148
7,386
18.6
19.6
36.0
46.1
24.7
19.3
5.8
4.7
25.8
26.8
3.1
2.5
380
399
30,547
8,031
9,130
23.4
22.4
18.4
20.0
20.7
19.0
3.4
3.0
17.8
16.6
3.5
3.0
1,795
30,467
10,696
11,662
20.7
21.0
83.7
92.9
21.4
19.3
4.4
3.7
22.4
20.8
3.1
2.7
98
794
1,280
1,536
17.8
17.8
9.2
11.3
10.7
8.7
0.8
0.7
7.7
8.5
1.3
1.1
1,981
16,780
2,651
2,993
31.7
31.2
76.0
82.4
26.1
24.0
7.5
6.7
20.1
26.3
5.6
4.8
65
89
599
685
837
15.2
15.2
7.4
8.9
8.8
7.3
1.3
1.2
16.4
17.0
1.0
0.9
460
5,805
2,850
3,474
21.0
21.0
29.9
37.3
15.4
12.3
3.7
2.9
26.7
26.4
2.2
1.8
584
647
26,110
8,426
10,082
19.7
20.0
26.3
31.3
22.2
18.7
5.2
4.2
26.0
24.7
3.2
2.6
104
735
1,667
1,835
13.9
13.9
11.4
13.3
9.2
7.9
0.6
0.6
6.6
7.3
0.9
0.8
Market Outlook
November 06, 2012
Stock Watch
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
Pharmaceuticals
Ranbaxy*
Neutral
535
22,596
12,046
11,980
18.0
15.8
31.3
29.8
17.1
18.0
5.8
4.7
39.1
28.9
1.9
1.9
Sun Pharma
Neutral
699
72,249
9,752
12,134
41.6
41.6
26.0
28.2
26.9
24.8
5.0
4.3
20.3
18.8
6.7
5.2
CESC
Neutral
281
3,515
5,218
5,644
24.2
23.8
44.6
47.6
6.3
5.9
0.7
0.6
11.0
10.6
1.5
1.5
GIPCL
Accumulate
NTPC
Neutral
Power
67
77
1,013
1,557
1,573
29.3
28.7
10.8
11.0
6.2
6.1
0.7
0.6
10.8
10.2
1.1
1.0
168
138,112
74,111
85,789
22.7
23.1
12.1
13.7
13.9
12.2
1.7
1.5
12.6
13.2
2.5
2.3
Real Estate
Anant Raj
Neutral
79
2,337
657
875
52.0
56.1
8.4
12.7
9.4
6.2
0.6
0.5
6.3
8.9
4.8
3.6
DLF
Neutral
203
34,431
9,878
12,033
44.7
46.1
9.6
13.4
21.2
15.1
1.3
1.3
6.4
8.7
6.0
5.0
HDIL
Buy
100
115
4,190
2,441
3,344
55.1
48.2
22.7
26.6
4.4
3.8
0.4
0.3
8.8
9.4
3.6
2.7
MLIFE
Neutral
407
1,663
813
901
26.2
26.6
32.0
37.1
12.7
11.0
1.3
1.2
10.4
11.0
2.4
2.1
Bharti Airtel
Neutral
273
103,786
79,147
86,745
31.1
32.5
9.9
15.1
27.5
18.1
1.9
1.8
7.0
9.7
2.0
1.7
Idea Cellular
Neutral
86
28,524
22,234
24,161
26.9
27.7
3.3
4.9
26.0
17.5
2.0
1.8
7.7
10.3
1.7
1.5
Rcom
Neutral
56
11,600
20,650
20,935
32.3
33.0
4.2
5.8
13.3
9.8
0.3
0.3
2.3
3.1
2.2
2.0
Abbott India
Neutral
1,444
3,068
1,602
1,833
10.4
11.8
54.7
71.7
26.4
20.1
5.0
4.2
20.0
22.7
1.7
1.4
Bajaj Electricals
Accumulate
194
217
1,936
3,497
3,968
6.6
7.6
9.8
15.5
19.8
12.5
2.5
2.2
12.7
17.4
0.6
0.5
Cera Sanitaryware
Accumulate
376
411
476
427
528
15.7
14.6
30.0
34.0
12.5
11.1
2.8
2.3
24.6
22.5
1.2
1.0
Cravatex
Buy
444
682
115
289
340
5.2
5.9
41.0
57.0
10.8
7.8
2.8
2.1
25.2
26.5
0.5
0.4
CRISIL
Neutral
931
6,535
982
1,136
34.3
34.3
34.3
40.0
27.1
23.3
12.3
9.8
50.9
46.9
6.3
5.2
Finolex Cables
Buy
43
61
653
2,334
2,687
6.2
6.5
8.0
10.0
5.3
4.3
0.7
0.6
13.0
14.9
0.2
0.2
Force Motors
Accumulate
476
537
621
2,318
2,700
5.0
5.7
45.0
67.0
10.6
7.1
0.5
0.5
5.0
7.0
0.2
0.2
Goodyear India
Neutral
330
761
1,543
1,654
6.5
7.3
24.8
31.1
13.3
10.6
2.2
1.9
17.1
19.0
0.3
0.2
Disa India
Buy
2,820
3,353
426
176
203
22.7
22.6
182.5
209.6
15.5
13.5
8.0
6.3
51.8
47.1
2.2
1.8
Greenply Industries
Neutral
296
715
1,925
2,235
10.6
10.9
29.6
44.1
10.0
6.7
1.6
1.3
16.8
21.0
0.7
0.5
Hitachi
Neutral
132
303
868
977
3.9
6.6
2.7
10.9
48.2
12.2
1.8
1.6
3.7
13.6
0.4
0.4
2,632
2,842
2,327
1,745
1,993
4.0
5.3
59.5
90.4
44.2
29.1
3.4
2.9
8.1
11.3
1.3
1.1
1,141
1,059
1,116
8.5
9.5
36.0
42.0
18.0
15.5
2.6
2.3
15.4
16.0
1.1
1.0
Telecom
zOthers
Honeywell Automation* Accumulate

Styrolution ABS India*
Accumulate
649
744
ITD Cementation
Neutral
271
312
1,451
1,669
12.3
12.4
32.4
41.5
8.4
6.5
0.8
0.7
9.4
10.9
0.6
0.6
Jyothy Laboratories
Neutral
173
2,783
1,228
1,443
9.0
10.9
3.9
6.4
44.4
27.0
4.4
4.1
10.1
15.6
2.8
2.4
MCX
Neutral
1,442
7,356
553
624
65.3
66.3
62.5
72.0
23.1
20.0
6.3
5.5
27.5
27.4
10.1
8.4
MRF
Buy
10,269
12,884
4,355
11,804
12,727
10.4
10.5 1,289.9 1,431.3
8.0
7.2
1.5
1.3
21.3
19.4
0.5
0.5
Market Outlook
November 06, 2012
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
Sales ( cr )
OPM(%)
EPS ( )
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
zOthers
Page Industries
Neutral
3,325
3,708
887
1,108
18.3
18.6
95.0
120.9
35.0
27.5
18.3
14.8
57.4
59.5
4.2
3.4
Relaxo Footwears
Reduce
894
821
1,073
1,019
1,208
12.3
13.0
51.0
68.4
17.5
13.1
4.6
3.4
30.3
30.2
1.2
1.0
Sintex Industries
Buy
65
79
1,765
4,751
5,189
16.3
16.6
13.6
15.8
4.7
4.1
0.6
0.6
12.9
13.2
0.7
0.6
Siyaram Silk Mills
Buy
312
366
292
1,043
1,149
12.3
12.9
65.7
73.3
4.8
4.3
0.9
0.8
21.0
19.6
0.5
0.5
S. Kumars Nationwide
Neutral
14
424
7,134
7,985
19.7
19.4
12.2
14.1
1.2
1.0
0.1
0.1
11.3
11.5
0.6
0.6
SpiceJet
Buy
36
43
1,746
5,720
6,599
5.3
6.8
3.6
5.4
10.0
6.7
14.5
4.6
0.4
0.3
TAJ GVK
Buy
74
108
461
300
319
35.8
36.2
7.9
9.1
9.3
8.1
1.2
1.1
13.9
14.4
1.8
1.6
Tata Sponge Iron
Buy
329
384
506
750
803
18.6
18.4
65.4
69.1
5.0
4.8
0.8
0.7
16.5
15.3
0.3
0.2
TVS Srichakra
Accumulate
295
335
226
1,476
1,643
7.0
8.2
32.6
55.9
9.1
5.3
1.5
1.2
16.8
24.8
0.4
0.3
United Spirits
Neutral
1,220
15,952
10,289
11,421
13.5
14.3
31.0
42.9
39.3
28.4
3.1
2.8
8.1
10.3
2.2
2.0
Vesuvius India
Neutral
341
693
560
611
16.1
17.0
24.7
28.8
13.8
11.9
2.1
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 November 05, 2012
Market Outlook
November 06, 2012

Market Outlook Market Outlook: Dealer's Diary

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Market Outlook

OIL & GAS

(0.5) (104.9) 22,006

Refer detailed news analysis on the following page

Net Inflows (November 02, 2012)

FII Derivatives (November 05, 2012)

Jet Air India

No bidders for CDMA spectrum in the upcoming 2G auction

No bidders for CDMA spectrum in the upcoming 2G auction

ONGC sells 26% stake in KG basin

L&T wins `1,896cr orders from Delhi Metro, IIIT Hyderabad

Workers at MSILs Manesar plant plan hunger strike

Allahabad Bank- (CMP: `138/ TP: -/ Upside: -)

Madras Cement (CMP: `204/TP:/Upside:-)

We maintain a neutral view on the stock.

Note:* Computed on TTM basis

Gujarat Gas (CMP: `299, TP: -, Upside: -)

Amara Raja Batteries (CMP: `224/ TP: -/ Upside: -)

India Cement (CMP: `98/TP:/Upside:-)

Note: *Computed on TTM basis

Vijaya Bank- (CMP: `54/ TP: -/ Upside: -)

Vesuvius India (CMP: `344, TP: , Upside: )

Ceat (CMP: `110/ TP: `163/ Upside: 48%)

Hindalco (CMP: `115/ TP:-/ Upside :-)

Canara Bank- (CMP: `419 / TP: `449 / Upside: 7.2%)

ABB (CMP: `722/TP: `593/Downside: 18 %)

Motherson Sumi Systems (CMP: `153/ TP: -/ Upside: -)

consolidated basis, we expect the company to record revenues of `6,346cr from

Andhra Bank- (CMP: `103 / TP: `97 / Downside: 5.8%)

Britannia Industries (CMP: `475/TP: `584/Upside:-23%)

Central Bank- (CMP: `70 / TP: - / Upside: -)

Dena Bank- (CMP: `109 / TP: - / Upside: -)

ITNL (CMP: `187 / TP: `232 / Upside: 24%)

ROE P/E P/BV EV/EBITDA

475 24.4 16.0 7.6

588 30.3 17.2 6.2

GIPCL (CMP: `67/TP: `77/Upside: 14.9 %)

Quarterly Bloomberg Brokers Consensus Estimate

EBITDA margin (%)

EBITDA margin (%)

Canara Bank (06/11/2012)

Hindalco Industries (06/11/2012)

Reliance Infrastructure (06/11/2012)

EBITDA margin (%)

Tata Power Consolidated (06/11/2012)

EBITDA margin (%)

Bharti Airtel Consolidated (07/11/2012)

EBITDA margin (%)

EBITDA margin (%)

Tata Motors Consolidated (07/11/2012)

Economic and Political News

Assocham proposes changes in Land Acquisition Bill

Japan's Inpex buys 26% stake in ONGC's KG basin block

November 11, 2012

November 13, 2012

November 15, 2012

Source: Bloomberg, Angel Research

Global economic events release calendar

Country Event Description

November 06, 2012

Germany PMI Services

Industrial Production (YoY)