Market Outlook Market Outlook: Dealer's Diary

Market Outlook
November 9, 2012
Dealers Diary
Domestic Indices
Indian markets are expected to open in the red today, tracing negative opening
trades in the SGX Nifty and most of the Asian indices. Major Asian bourses have
declined amid concerns that Greeces bailout may be delayed and also as
Australias central bank cut its growth forecast.
U.S markets fell sharply during trading on Thursday, as lingering concerns about
the looming fiscal cliff and the situation in Europe overshadowed a pair of upbeat
U.S. economic reports. European markets finished with mixed results on Thursday.
The ECB and the Bank of England both have kept interest rates unchanged. The
markets had initially sold-off, but later recovered following an announcement that
Greece may not receive its new aid as quickly as they had hoped.
Chg (%)
(Pts)
(Close)
BSE Sensex
(0.3)
(56.2) 18,846
Nifty
(0.3)
(21.3)
5,739
0.1
8.7
6,727
SMALL CAP
(0.2)
(14.8)
7,119
BSE HC
(0.7)
(54.7)
7,805
6.6
7,292
MID CAP
BSE PSU
0.1
BANKEX
(0.4)
(49.9) 13,348
AUTO
1.0
107.5 10,759
METAL
(0.0)
Meanwhile, Indian markets eased modestly on Thursday, mirroring steep losses in

offshore markets overnight on worries about a looming budget crisis in the United
States and deteriorating growth prospects for the euro area. The Finance Ministrys
reassurance to keep India's fiscal deficit within the target of 5.3% during current
fiscal, helped investor sentiment to some extent.
OIL & GAS
(0.5)
(41.6)
8,296
BSE IT
(0.3)
(15.4)
5,802
Chg (%)
(Pts)
(Close)
Dow Jones
(0.9) (121.4) 12,811
Markets Today
NASDAQ
(1.4)
(41.7)
2,896
FTSE
(0.3)
(15.6)
5,776
The trend deciding level for the day is 18,816 / 5,726 levels. If NIFTY trades above
this level during the first half-an-hour of trade then we may witness a further rally
up to 18,895 18,945 / 5,758 5,776 levels. However, if NIFTY trades below
18,816 / 5,726 levels for the first half-an-hour of trade then it may correct up to
18,767 18,687 / 5,707 5,675 levels.
Nikkei
(1.5) (135.7)
8,837
Hang Seng
(2.4) (532.9) 21,567
Straits Times
(1.0)
(31.0)
3,012
Shanghai Com
(1.6)
(34.2)
2,072
Chg (%)
(Pts)
(Close)
(1.0)
(0.4)
$42.9
Indices
SENSEX
NIFTY
S2
S1
PIVOT
R1
R2
18,687
5,675
18,767
5,707
18,816
5,726
18,895
5,758
18,945
5,776
News Analysis
Cabinet approves one-time spectrum fee on telecom operators

Disinvestment in HAL approved, NALCO sale deferred
JLR recalls Jaguar XF cars in US for potential fuel leak problem
IPCA Labs- Update on SEZ Indore formulations manufacturing unit
Apollo Tyres losing `5cr/day due to strike at Gujarat plant
Mallya and Diageo may have signed a deal
2QFY2013 Result Review: ONGC, Sun Pharma, SAIL ,Ranbaxy, RCom, Ashok
Leyland, Page Ind, NCC, ABL, FCL, Goodyear, Praksh Ind
2QFY2013 Result Preview: Coal India, SBI, Tata Steel, Glaxo Pharma, United
Spirits, Sun TV, Corporation bank, Aurobindo Pharma, MOIL, CESC
Refer detailed news analysis on the following page
Net Inflows (November 07, 2012)

` cr
FII
MFs
Purch
2,359
539
Sales
1,614
662
Net
745
(123)
MTD
2,589
(364)
YTD
96,642
(15,515)
FII Derivatives (November 08, 2012)

` cr
Index Futures
Stock Futures
Purch
1,103
874
Sales
1,495
1,271
Net
(392)
(397)
Open Interest
11,216
29,963
Gainers / Losers
Gainers
Company
Losers
Price (`)
chg (%)
284
5.5
27
Tata Motors
Unitech
L&T Finance
Company
Price (`)
chg (%)
IPCA Lab
432
(5.9)
5.5
Cadila Health
830
(3.5)
332
(3.0)
24
(2.8)
858
(2.6)
62
5.0
Sun TV Network
TATAGLOBAL
167
4.9
Ashok Leyland
Allahabad Bank
149
4.4
Apollo Hosp
www.angelbroking.com
Global Indices
Indian ADRs
INFY
(2.1) 10,287
WIT
0.4
0.0
$8.3
IBN
(1.2)
(0.5)
$39.1
HDB
(0.5)
(0.2)
$37.5
Advances / Declines
BSE
NSE
Advances
1,366
662
Declines
1,462
854
133
69
Unchanged
Volumes (` cr)
BSE
2,607
NSE
11,093
Market Outlook
November 9, 2012
Cabinet approves one-time spectrum fee on telecom operators

The cabinet, yesterday, accepted recommendations made by the empowered
group of ministers (EGoM) on the one-time fee for spectrum held by existing
telecom operators. The ministerial panel had suggested on 18 October that
existing operators pay for holding spectrum above 6.2MHz retrospectively from
July 2008 till 1 January 2013. The price of the spectrum will be based on the 2001
price of `1,658crore for pan-India spectrum, indexed at State Bank of Indias
prime lending rate of 3.75% till 2008. For spectrum above 4.4MHz, the operators
would have to pay for the remaining period of their licences starting 1 January
2013. The price of this spectrum would be determined based on the price
discovered in the 1800MHz spectrum auction that is scheduled to begin next week.
Operators holding spectrum in the more efficient 900MHz band will have to pay
twice the reserve price for the 1800MHz spectrum as a one-time fee. For operators
who have spectrum in both the 900MHz and 1800MHz bands, the initial 4.4MHz
spectrum that an operator gets for free will be in the cheaper 1800MHz band.
Operators can pay the full amount upfront or prepay the installments or can
surrender spectrum that they dont want to pay for. When the auction of the
900MHz spectrum is held later, the money paid by the operators would be
adjusted based on the price discovered in the auction. Operators will be allowed
to share the spectrum once it is paid for, but permission for sharing will only be
valid for five years. This move will further leverage the balance sheets of financially
impaired telecom sector. We maintain our Neutral view on telecom sector.
Disinvestment in HAL approved, NALCO sale deferred

The Cabinet Committee on Economic Affairs (CCEA) approved proposal for
divestment of 10 percent equity in Hindustan Aeronautics Limited (HAL) out of 100
percent government holding through an Initial Public Offer (IPO) in the domestic
market. At present the company is completely government owned (under the
administrative control of the Ministry of Defence) and following the divestment of
10 percent, Government of Indias shareholding in the company would come
down to 90 percent. The disinvestment is likely to take place in the next fiscal year
and therefore it may not impact the present budgeted disinvestment target of
`30,000 crores.
The company is engaged in the designing and development of Fixed Wing
Aircraft, Rotary Wing Aircraft and their systems/accessories/avionics,
manufacturing of Aircraft (Fighter, Trainers and Transport), Helicopter and
associated aero engines, accessories and avionics for both military and civil
applications. The paid up equity capital of the company, as on 31st March, 2012
is Rs.120.50 crore. Retail investors and employees of HAL will be allowed five
percent discount on the issue price. The Finance Minister also indicated at a
restructuring of the HAL board.
So far, the Cabinet Committee on Economic Affairs (CCEA) has approved sale of
shares in Hindustan Copper Ltd., NALCO, SAIL, RINL, BHEL, OIL, MMTC and
NMDC for disinvestment purpose. However, sale of 12.5% stake in NALCO has
been deferred at least until Q4FY2013 since the government seeks to strengthen
the companys financial performance. The 12.5 per cent stake sale of Nalco was
expected to bring in over Rs 1,500 crore in the exchequers kitty. Similarly last
Market Outlook
November 9, 2012
month sale in the stake of RINL was deferred. In spite of this, the government seeks
to obtain around Rs. 12,000 Rs. 13,000 crores through disinvestment till end
December.
JLR recalls Jaguar XF cars in US for potential fuel leak problem

According to the U.S. National Highway Traffic Safety Administration (NHTSA),
Jaguar and Land Rover (JLR) is recalling 4,195 Jaguar XF cars in US for a potential
fuel leak problem. The models being recalled are assembled at Castle Bromwich
plant, between April 2009 and January 2010. According to the reports, the issue is
with a fuel tank outlet flange that is susceptible to cracking under certain
conditions, leading to the possibility of a fuel spill. While JLR has not received any
reports of fires yet, the company has received three field reports and seventeen
warranty claims worldwide according to the documents filed with the NHTSA. The
process of replacing the affected parts will be undertaken by dealers and is
expected to begin on or before December 7. While we believe that the quantum of
the current recall is small (~4%) compared to the total XF volumes sold during the
affected period; this is the third such instance of a recall over the last three months.
Earlier in August 2012 and October 2012, JLR had recalled 2,229 Freelander2
SUV in China and 18,000 Jaguar X type models in UK respectively. We believe
that repeated occurrence of such events may lead to quality concerns amongst
consumers. Nonetheless, we retain our Buy rating on the stock with an SOTP
based target price of `319.
IPCA Labs- Update on SEZ Indore formulations manufacturing unit

Ipca Laboratories has informed that during the course of the internal quality
assurance review, the company has noticed a few non-conformances at the said
manufacturing unit. The Company has voluntarily referred these to the US-FDA
and the same is under discussion with them for an appropriate resolution. Till such
time this issue is resolved to the satisfaction of the US-FDA, no dosage
formulations manufactured at this manufacturing unit will be commercialized for
the US market. Since the company has already taken the corrective action
proactively, the same should lead to a speedy resolution of the same. We

expect the development not to impact the FY2014 numbers, the FY2013,
numbers if the issue remains unresolved could impact the top line by `40cr. So
currently we are not changing our estimates and recommend an accumulate
rating on the stock with a price target of `485.
Apollo Tyres losing `5cr/day due to strike at Gujarat plant

Apollo Tyres (APTY) has announced that the ongoing strike at the Gujarat plant is
leading to a production loss of `5cr/day to the company. The strike at the Limda
plant which started from October 23, 2012 has now entered the third week;
however, management remains optimistic and expects that the strike will end soon.
Meanwhile, the Gujarat government has termed the strike as illegal.
The workers at Limda plant in Gujarat went on a strike protesting against the
company's refusal to recognize the fourth union, Bharatiya Majdoor Sangh (BMS).
Market Outlook
November 9, 2012
The plant already has three recognized unions. They also demanded reinstatement of two suspended workers at the plant. As per media reports, an MoU
was signed between the company and the striking workers on November 3
according to which they were to report back to work from second shift of
operations on November 4. However, the workers violated the MoU and are still
continuing with the strike. About half of the 1,500 employees at the plant are on
strike due to which the production is down by 66%. The Limda plant has a
production capacity of 300MT/day of cross ply tyres.
We believe that the company has already lost around `80cr of revenue due to the
strike. While the loss till now is not very significant; any further delay in resuming
the operations may offer advantage to the competitors. We are watchful of the
ongoing situation and expect the situation to resolve soon. At `82, the stock is
trading at 5.5x FY2014E earnings. We maintain our Buy rating on the stock with a
target price of `104.
Mallya and Diageo may have signed a deal

As per media reports Britain's Diageo Plc and UB group may have signed a deal to
give the former a 45%-51% stake in United Spirits (USL). The deal might be
announced on Friday, barring some last minute hiccups. As per the proposed
deal, UB group might sell 12% of its holding in USL to Diageo and also make a
preferential allotment to Diageo. Diageo is also expected to buy some amount of
treasury shares held in a trust and make a open offer to other shareholders. Post
these transactions Diageos stake could go up to 45%-51% in USL. Diageo is
expected to pay around `1,500-1,600 per share of USL. We currently have a
neutral view on USL.
Result Review
ONGC (CMP: `265/ TP: `312/ Upside: 18%)
ONGC reported better than expected results. The companys top line decreased by
12.5% yoy to `19,788cr (above our expectation of `19,175cr). ONGCs crude oil
net realization declined by 43.4% yoy to US$46.8/bbl, however, INR depreciation
against the USD partially offset its impact. Oil sales volumes decreased by 8.3%
yoy to 5.1mn tonnes, while gas sales volumes were flay yoy to 5.9bcm during
2QFY2013. The company shared a subsidy burden was `12,330cr in 2QFY2013
vs. `5,713cr of subsidy shared in 2QFY2012and `12,346cr in 1QFY2013.
EBITDA margin contracted by 1,158bp yoy to 52.4% and EBITDA decreased by
28.3% yoy to `10,369cr mainly due to higher subsidy burden. The companys
depreciation and amortization expenses increased 11.7% yoy to `3,727cr.
Reported net profit decreased by 31.8% yoy to `5,897cr (above our expectation of
`5,662cr). We maintain our Buy rating on the stock with a target price of `312.
Y/E
Sales
OPM
PAT
EPS
ROE
P/E P/BV
EV/EBITDA
EV/Sales
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
144,089
32.8
24,508
28.6 17.0
FY2014E
152,165
32.7
26,125
30.5 16.4
9.3
1.5
4.5
1.3
8.7
1.4
3.7
1.2
Market Outlook
November 9, 2012
Sun Pharma (CMP: `696/ TP: -/ Upside: -)

Sun Pharma results came above expectations on the top line. For the quarter
the, company posted a sales of Rs2657cr, a growth of 40%yoy, mainly driven
by exports. For the quarter, the domestic formulations grew by 15% yoy, while
the exports grew by 61% yoy. On the operating front, the OPMs came at 44%
v/s 41% during the last corresponding period. This, aided, the recurring net
profit to come at Rs903cr, a growth of 51% yoy. We recommend a Neutral on
the stock.
Y/E
Sales
OPM
PAT
EPS
ROE
March
(` cr)
(%)
(` cr)
(`)
(%)
FY2013E
9,752
41.6
FY2014E
12,134
41.6
P/E P/BV
EV/EBITDA
EV/Sales
(x)
(x)
(x)
(x)
2,689
26.0 20.3 26.8
5.0
15.0
6.2
2,925
28.2 18.8 24.6
4.3
11.3
4.7
SAIL (CMP: `82/ TP:-/ Upside :-)

SAILs reported disappointing 2QFY2013 results as both net sales and net profit
were below our estimates due to lower than expected sales volumes. SAILs
2QFY2013 net sales declined by 1.6% yoy to `10,663cr (below our estimates of
`10,960cr) mainly due to lower volumes which were down 8.8% yoy to 2.6mn
tonnes. Lower volumes reflect lower demand in India as well as lack of focus on
marketing by SAIL in our view. Realization stood at `37,210/tonne, compared to
`36,230/tonne in 2QFY2012 and `39,369/tonne in 1QFY2013. Power and fuel
costs and other expenditure increased 13.4% and 134.2% yoy to `1,274 and
`1,734cr, respectively. EBITDA therefore decreased 16.4% yoy to `1,109cr and
EBITDA margin contracted by 184bp yoy to 10.4% (below our estimate of 13.2%).
The company reported an exceptional item related to forex gain of `42cr in
2QFY2013, compared to exceptional loss of `509cr in 2QFY2012. Hence,
reported net profit increased by 9.8% yoy to `543cr. However, excluding
exceptional items, adjusted net profit declined substantially by 50.0% yoy to
`501cr (significantly below our estimate of `962cr) in 2QFY2013. We maintain
our Neutral view on the stock.
Y/E
March
Sales
(` cr)
OPM
(%)
PAT EPS
(` cr)
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
45,227
11.0 2,481 6.0
6.1
13.7
0.8
8.2
0.9
FY2014E
56,444
10.0 2,643 6.4
6.3
12.8
0.8
8.4
0.8
Ranbaxy Labs (CMP: `549/ TP: -/ Upside: -)

Ranbaxy, results came mostly in line with expectations. Sales came in at
`2,651cr, registering a growth of 31% yoy during 3QCY2012, however this
was lower than the expectation of `2,768cr, driven mainly by the US sales
which grew by 60% yoy. The OPM is at 11.6% vs 5.0% in 3QCY2011.
However, the adj. net profit came in at `330cr,vs a loss of `124cr during the
corresponding period of the previous year, this was mostly in line with
expectations of `357cr. We maintain our Neutral view on the stock.
Market Outlook
November 9, 2012
Y/E
Sales
OPM
PAT
EPS
ROE
Dec
(` cr)
(%)
(` cr)
(`)
(%)
CY2012E
12,046
18.0
CY2013E
11,980
15.8
P/E P/BV
EV/EBITDA
EV/Sales
(x)
(x)
(x)
(x)
1320
31.3 39.1 17.5
6.0
12.3
2.0
1258
29.8 28.9 18.4
4.8
12.0
1.9
Reliance Communication (CMP: `59 / TP: Under review)

Reliance Communication (RCom) reported modest set of numbers for 2QFY2012
in terms of revenue and operating profit. The company registered top-line
(including other income) of `5,202, down 2.2% qoq. Revenues from wireless
business came in at `4,422cr, down 2.3% qoq. EBITDA margin grew by ~50bp
qoq to 31.5%. PAT came in at `102cr, down 32% qoq, impacted by higher interest
as well as depreciation charges. We maintain Neutral view 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
20,650
32.3
873
4.2
2.3
14.1
0.3
6.9
2.2
FY2014E
20,935
33.0
1,186
5.7
3.1
10.4
0.3
6.2
2.1
Ashok Leyland (CMP: `24/ TP: `30/ Upside: 25%)

Ashok Leyland (AL) reported strong results for 2QFY2013 which were ahead of our
estimates led by EBITDA margin expansion of 213bp on a sequential basis, higher
other income (up 77.3% yoy and 85.5% qoq) and lower tax-rate (8.5% as against
20.1% in 2QFY2012 and 17.3% in 1QFY2013).
For 2QFY2013, net sales posted an in-line growth of 5.8% yoy (9.6% qoq) to
`3,296cr driven by 26.1% yoy (8.2% qoq) increase in volumes. The volume growth
was led by the small commercial vehicle, Dost which registered a sequential
growth of 19.6%. However, total volumes ex. Dost, declined 10.5% yoy led by
slowdown in industrial activity, increasing fuel and product prices and lower freight
availability. The net average realization declined 14.9% yoy on account of higher
contribution from the lower priced Dost vehicle. On the operating front, EBITDA
margins surged 213bp qoq to 10.1%, ahead of our estimates of 9.3%, mainly due
to reduction in employee cost (down 1.5% qoq) and other expenditure (down 3.6%
qoq). The operating performance during the quarter also benefitted from higher
levels of capacity utilization. As a result, operating profit grew 38.8% qoq (flat yoy)
to `334cr. Nonetheless, net profit increased by 113% qoq (down 7.5% yoy) to
`143cr, which was ahead of our estimates of `117cr, mainly led by significantly
higher other income and lower tax-rate. The interest expense for the quarter
increased 57.4% yoy (24.3% qoq) on account of increase in debt levels and also
due to higher working capital requirement. At `24, the stock is trading attractively
at 8.8x FY2014E earnings. We maintain our Buy rating on the stock with a target
price of `30. We shall release a detailed result note post earnings conference call
with the management.
Market Outlook
November 9, 2012
Y/E
March
Sales
OPM
PAT
EPS
RoE
P/E
(%)
P/BV
EV/EBITDA
EV/Sales
(` cr)
(%)
(` cr)
(`)
(x)
(x)
(x)
(x)
FY2013E
14,920
9.0
579
2.2
13.3 11.1
2.0
5.6
0.5
FY2014E
16,850
9.3
731
2.7
15.6
1.8
4.8
0.4
8.8
Page Industries (CMP `3,410 / TP:-/ Upside :-)

For 2QFY2013, Page Industries reported numbers in line with our expectations.
The company's top line grew by 21.9% yoy to `220cr from `181cr in same quarter
last year, in-line with our estimate of `215cr for the quarter. EBITDA margin for the
quarter expanded marginally by 29.8bp and came in at 20.0%, against our
estimate of 20.2%. Consequently, the company reported a profit of `31cr, 21.4%
higher yoy from `25cr in 2QFY2012, in line with our estimate of `30cr. At the
CMP of `3,410, the stock is trading at a PE of 27.2x FY2014E earning. We
maintain our Neutral recommendation on the stock due to high valuation.
Y/E
Sales
March
OPM
PAT
EPS
(` cr)
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
(` cr)
(%)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
836
20.2
115102.7
58.1
33.2
16.7
22.8
4.6
FY2014E
997
20.5
140125.4
51.4
27.2
12.0
18.7
3.8
Nagarjuna Construction Company (CMP: `45 / TP: -/ Upside: -)

For 2QFY2013, NCC posted better-than expected numbers on the revenue front
and however high interest burden continues to impact on the earning front. On the
top line front, NCC reported a growth of 21.9% yoy to `1,328cr, which was 8.7%
higher than our expectation. On the EBITDAM front, the companys performance
was above our estimates at 8.4%, a dip of 106bp on a yoy basis. Interest cost
came in at `102cr registering a growth of 43.6% yoy and 9.4% a qoq basis. On
the bottom line level, NCC reported a yoy decline of 29.3% to `8cr against our
estimate `5cr owing to higher-than-expected revenue. The current outstanding
order book of NCC stands at `19,963cr, with order inflow of `2,241cr for
1HFY2013. Further, on account of the recent run-up in the stock price, we
recommend Neutral on the stock.
Y/E
Sales
OPM
March
(` cr)
(%)
FY2013E
5,935
FY2014E
6,556
PAT EPS
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
(`)
(%)
(x)
(x)
(x)
(x)
8.5
80 3.1
3.3
14.4
0.6
5,935
8.5
8.6
105 4.1
4.2
10.8
0.6
6,556
8.6
(` cr)
Ashoka Buildcon (CMP: `217 / TP: under review)

For 2QFY2013, Ashoka Buildcon (ABL) reported a mixed set of numbers. On the
top line front, ABL reported a muted growth of 6.5% yoy to `305cr (`287cr) below
our estimates of `403cr. On the EBITDAM front, ABLs margins came at 26.0%
(23.3%) higher than our estimate of 22.0%. On the bottom line, ABL reported
decent growth of 42% yoy to `24.0cr (`17.0cr) above our estimate of `22cr, owing
to better-than-expected at operating performance. At CMP, the stock is trading at
P/E and P/BV of 13.4x and 0.9 FY2014 earnings. The stock rating is currently
under review. We shall revise our estimates post earnings conference call with the
management which is scheduled on 9th November 2012 at 4.00pm.
Market Outlook
November 9, 2012
Y/E
Sales
OPM
March
(` cr)
(%)
FY2013E
2,032
FY2014E
2,311
PAT EPS
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
(`)
(%)
(x)
(x)
(x)
(x)
22.4
142 27.0
13.0
13.0
1.0
8.8
2.0
22.4
166 31.6
13.4
13.4
0.9
10.0
2.2
(` cr)
Finolex Cables Ltd. (CMP: `51 /TP: `61/ Upside: 21%)

Finolex Cables Ltd. (FCL) reported strong set of numbers for 2QFY2013. Top-line
reported yoy growth of 17.4% to `586cr, as compared to our estimate of `557cr.
The contribution of Electrical cables segment to the total revenue has increased
from 55% in 2QFY2012 to 69% in 2QFY2013, however, telecom cables have
posted impressive yoy growth 34%, contributing 23% to total revenue. EBITDA was
up by whooping 77% yoy to `70.5cr. Raw material cost dip by 465bp yoy thereby
leading to EBITDA margin expansion of 406bp yoy to 12%. On segmental front,
telecom cables segment has posted EBIT margin of 19.2% as compared to 7.4% in
1QFY2012, while electrical cables segments EBIT margin stood at 12.2%,
expansion of 40 bps yoy. On the back of robust operating performance, bottomline surged by 194% yoy to `57.8cr. PAT margin too expanded from 4% in
2QFY2012 to 9.9% in 2QFY2013. We maintain our Buy recommendation on the
stock with target price of `61 based on target PE of 6x for FY2014E earnings.
Y/E
Sales
OPM
PAT
EPS
ROIC
P/E
P/BV
EV/EBITDA
EV/sales
Mar
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
FY2014E
2,303
2,554
9.8
9.2
134
155
8.8
10.2
21.5
20.7
5.8
5.0
0.8
0.7
2.8
2.5
0.3
0.2
Goodyear India (CMP: `327/ TP: `360/ Upside: 9.9%)

For 3QCY2012, Goodyear reported lower than expected top-line of `369cr, a
decline of 6.5% yoy from `395cr in 3QCY2011. This led to a contraction in
EBITDA margin by 63bp yoy to 6.5% in 3QCY2012 from 7.1% in the same quarter
last year. Consequently, net profit was 3.4% below our expectation at `15cr, 5.8%
decline on a yoy basis from `16cr in 3QCY2011. We upgrade our rating to
Accumulate with a target price of `360 based on a revised PE of 10x for CY
2013E.
Y/E
March
Sales
OPM
PAT EPS
(` cr)
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
(` cr)
(%)
(`)
(%)
(x)
(x)
(x)
(x)
CY2012E
1,494
6.4
55 23.9
16.5
13.7
2.2
4.6
0.3
CY2013E
1,607
7.8
76 33.0
20.1
9.9
1.9
3.0
0.2
Prakash Industries (CMP: `53, TP: - Upside : -)

Prakash Industries net sales increased by 37.7% yoy to `631cr in 2QFY2013
mainly on account of increase in volumes in steel and Ferro Alloys segments.
However, EBITDA margin dipped by 359bp yoy to 13.1% on account of sharp rise
in input costs and therefore, EBITDA increased by only 7.6% yoy to `83cr.
Depreciation charged in this quarter increased by 44.5% yoy and Interest expenses
stood at `13cr in 2QFY2013, compared to `3cr in 2QFY2012. Consequently, net
profit decreased by 18.6% yoy to `45cr. We maintain our Buy rating but keep our
target price under review.
Market Outlook
November 9, 2012
Y/E
March
FY2013E
FY2014E
Sales
(` cr)
2,694
2,906
OPM
(%)
14.6
16.6
PAT
(` cr)
240
304
EPS
(`)
16.4
20.8
ROE
(%)
11.4
12.8
P/E
(x)
3.2
2.5
P/BV
(x)
0.3
0.3
EV/EBITDA
(x)
3.4
2.3
EV/Sales
(x)
0.5
0.4
Result Preview
Coal India (CMP: `348, TP: `385, Upside: 11%)
Coal India is slated to report its 2QFY2013 results today. We expect net sales to
increase by 20.4% yoy to `15,832cr mainly on account of higher volumes.
However, EBITDA margin is expected to expand by 892bp yoy to 29.8%.
Nevertheless, net profit is expected to increase by 55.1% yoy to `4,013cr. We
maintain our Accumulate view on the stock.
Y/E
Sales
OPM
PAT
EPS
ROE
P/E
P/BVEV/EBITDAEV/Sales
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY13E 50,229
28.0 10,867
17.2
36.7
20.2
6.6
12.4
3.5
FY14E 62,415
27.5 14,788
23.4
38.0
14.9
4.9
9.6
2.6
SBI- (CMP: `2,243 / TP: `2,436 / Upside: 8.6%)

State Bank of India is slated to announce its 2QFY2013 results today. We expect
the bank to report a moderate net interest income growth of 12.5% yoy to
`11,722cr. Non-interest income is expected to remain flattish yoy to `3,445cr. The
operating expenses of the bank are expected to be higher by 5.9% yoy to
`6,749cr. The net profit is expected to grow by 33.9% yoy to `3,764cr, as
provisioning expenses are expected to decline by 13.9% yoy to `2,915cr (on a
high base). At the current market price, the stock trades at a valuation of 1.3x
FY2014E ABV. We maintain our Accumulate recommendation on the stock, with a
target price of `2,436.
Y/E
PAT
EPS
ABV
ROA
(` cr)
(`)
(%)
(x)
FY2013E
63,806 3.5 15,142
225.6
1,338.7
FY2014E
73,435 3.6 17,342
258.4
1,576.5
March
Op. Inc NIM

(` cr)
(%)
ROE P/E
(x)
P/ABV
(x)
(x)
1.0
17.7 9.3
1.6
1.0
17.7 8.2
1.3
Tata Steel (CMP: `403, TP: `481, Upside: 19%)

Tata Steel is expected to report its consolidated 2QFY2013 results. We expect net
sales to increase by 5.2% yoy to `34,498cr mainly on account of improved
performance from Indian operations. EBITDA margin is expected to improve by
112bp yoy to 9.5%. The net profit is expected to improve by 250.5% yoy to
`743cr. We maintain our Buy rating on the stock with a target price of `481.
Market Outlook
November 9, 2012
Y/E
Sales
March
(` cr)
OPM
PAT
EPS
ROE
P/E
P/BV
EV/EBITDAEV/Sales
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY13E 145,799
10.3
4,725
48.6
11.3
8.3
0.8
5.2
0.5
FY14E 150,431
11.2
6,150
63.3
13.2
6.4
0.7
4.6
0.5
Glaxo Pharmaceuticals (CMP: `2,005, TP: -, Upside: -)

For the 3QCY2012, Glaxo Pharmaceuticals is expected to post a net sales and
profits of around `688cr and `167cr, registering a yoy growth of 13.2% and
14.5%. On the operating front, the margins are expected to dip by 130bps to end
the period at 31.1%. We maintain our neutral view on the stock.
Y/E
Sales
Dec
(` cr)
OPM
PAT
EPS
ROE
P/E
P/BV
EV/EBITDAEV/Sales
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
CY2012E 2,651
31.7
644
76.0
30.8
26.4
7.5
17.1
5.4
CY2013E 2,993
31.2
698
82.4
29.0
24.3
6.5
15.0
5.6
United Spirits (CMP: `1,343/TP:-/Upside:-)

For 2QFY2013, we expect United Spirits to post a 9.0% yoy growth in top-line to
`1,952cr. OPM is expected to expand by 31bp yoy to 14%. Bottom-line is expected
to decline by 27% yoy to `108cr. We maintain a neutral view 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
10,289
13.5
391 31.0
8.1
43.3
3.4
17.4
2.4
FY2014E
11,421
14.3
540 42.9
10.3
31.3
3.1
14.8
2.1
Sun TV (CMP: `332/TP:-/ Upside :-)

For 2QFY2013, we expect Sun TV to post a flat yoy performance on the top-line
front to `445cr. OPM is expected to contract by 203bp yoy to 79% mainly due to
increase in cost of revenues. Consequently, Net profit is expected to decline by
4.5% yoy to `172cr. We maintain a neutral view 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
1,964
78.6
730 18.5
27.1
17.9
4.6
7.9
6.2
FY2014E
2,246
78.5
830 21.1
27.2
15.7
4.1
6.7
5.2
Corporation Bank- (CMP: `404 / TP: `447 / Upside: 10.6%)

Corporation Bank is scheduled to announce its 2QFY2013 results today. We
expect the bank to report a moderate NII growth of 14.8% yoy to `854cr. Noninterest income for the bank is expected to decline by 17.8% yoy to `328cr.
Operating expenses are expected to increase by 10.4% yoy, leading to flattish
operating profit on a yoy basis at `694cr. Tax expenses are expected to increase
by 22.9% yoy to `116cr, which would lead to 3.3% yoy decline in net profit to
Market Outlook
November 9, 2012
`388cr. At the CMP, the stock is trading at 0.6x FY2014E ABV. We maintain our
Accumulate recommendation on the stock with a target price of `447.
Y/E
Op. Inc
NIM
PAT
EPS
ABV
ROA
ROE
P/E
P/ABV
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
4,886
2.1
1,501
101.3 603.9
0.9
17.0
3.9
0.7
FY2014E
5,669
2.2
1,507
101.7 688.4
0.8
15.1
3.9
0.6
March
Aurobindo Pharma (CMP: `178/ TP: -/ Upside: -)

Aurobindo Pharma is expected to post a net sales growth of 25.5% yoy, led by
formulation exports. The margins are likely to expand to 15.1% vs 10.7% (in
2QFY2012), which will lead to a net profit of `48.4cr vs a net loss of `80.2cr. We
maintain our neutral stance on the stock.
Y/E
March
Sales
OPM
PAT
EPS
ROE
P/E
P/BVEV/EBITDA EV/Sales
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
5,243
14.6
342
11.8
17.9
15.2
1.9
10.0
1.5
FY2014E
5,767
14.6
367
12.6
16.4
14.2
1.6
8.8
1.3
MOIL (CMP: `249/ TP: `271/ Upside: 9%)

MOIL is slated to report its 2QFY2013 today. We expect its 2QFY2013 net sales to
decrease by 4.4% yoy to `237cr mainly on account of lower manganese ore price
realizations. However, EBITDA margin is expected to increase by 292bp yoy to
47.7% in 2QFY2013. Net profit is expected to increase by 7.9% yoy to `109cr. We
maintain our Accumulate rating on the stock with a target price of `271.
Y/E
Sales
March
OPM
PAT
EPS
ROE
P/E
P/BVEV/EBITDA EV/Sales
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
918
50.6
412
24.5
16.0
10.2
1.5
4.4
2.2
FY2014E
993
50.9
438
26.1
15.5
9.5
1.4
3.8
1.9
CESC (CMP: `275/TP:-/Upside :-)

For 2QFY2013, CESC is expected to register 17.8% yoy growth in its standalone
top line to `1,441cr, aided by better realization. OPM is expected to be flat at
21.1%. We expect net profit to increase by 14.9% yoy to `131cr. We maintain
Neutral view 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
5,218
24.2
560 44.6
11.0
6.2
0.6
5.9
1.4
FY2014E
5,644
23.8
598 47.6
10.6
5.8
0.6
5.6
1.3
Market Outlook
November 9, 2012
Quarterly Bloomberg Brokers Consensus Estimate

BPCL (09/11/2012)
Particulars (` cr)
Net sales
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
57,692
42,282
36
54,523
1,621
(2,695)
(8,150)
2.8
(6)
(2,113)
(3,229)
EBITDA
EBITDA margin (%)
Net profit
(15)
-
(8,837)
Coal India Consolidated (09/11/2012)

Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
14,733
13,148
12
16,501
(11)
3,221
2,482
30
4,815
(33)
21.9
18.9
3,268
2,593
26
4,469
(27)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
21,985
14,946
47
19,993
10
EBITDA
835
928
(10)
285
193
EBITDA margin (%)
3.8
6.2
Net profit
54
469
(89)
(515)
(110)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
Net sales
316
411
(23)
198
59
EBITDA
189
202
(7)
290
(35)
EBITDA margin (%)
59.8
49.2
Net profit
112
149
(25)
105
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
49,284
37,030
33
44,076
12
1,527
(2,870)
(153)
(8,455)
(118)
3.1
(8)
(1,579)
(3,364)
(53)
(9,249)
(83)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
110,500
88,725
25
96,603
14
2,140
(5,322)
(140)
(19,942)
(111)
1.9
(6)
(616)
(7,486)
Net sales
EBITDA
EBITDA margin (%)
Net profit
29.2
Essar Oil (09/11/2012)

Particulars (` cr)
Net sales
1.4
HDIL Consolidated (09/11/2012)

Particulars (` cr)
146.5
HPCL (09/11/2012)
Particulars (` cr)
Net sales
EBITDA
EBITDA margin (%)
Net profit
(19)
Indian Oil Corp (09/11/2012)

Particulars (` cr)
Net sales
EBITDA
EBITDA margin (%)
Net profit
(21)
(92)
(22,451)
(97)
Market Outlook
November 9, 2012
Jindal Steel & Power Consolidated (09/11/2012)

Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
Net sales
4,920
4,407
12
4,680
EBITDA
1,763
1,704
1,593
11
EBITDA margin (%)
35.8
38.7
Net profit
917
896
34.0
2
397
131
Power Finance Corporation (09/11/2012)

Particulars (` cr)
Net profit
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
983
419
135
972
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
3,524
2,810
25
3,752
(6)
State Bank of India (09/11/2012)

Particulars (` cr)
Net profit
Tata Steel Consolidated (09/11/2012)

Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
31,512
32,507
(3)
33,548
(6)
2,847
27,500
(90)
3,403
(16)
EBITDA margin (%)
9.0
84.6
Net profit
298
158
Net sales
EBITDA
10.1
88
558
(47)
Tata Chemical Consolidated (09/11/2012)

Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
3,861
3,540
3,021
28
EBITDA
521
674
(23)
495
EBITDA margin (%)
13.5
19.0
Net profit
252
345
(27)
164
54
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
Net sales
16.4
United Spirits (09/11/2012)

Particulars (` cr)
Net sales
2,010
1,791
12
2,057
(2)
EBITDA
306
332
(8)
351
(13)
EBITDA margin (%)
15.2
18.5
95
148
(36)
145
(34)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
497
626
(21)
408
22
87
138
(37)
55
58
17.5
22.0
61
94
Net profit
17.1
Unitech Consolidated (10/11/2012)

Particulars (` cr)
Net sales
EBITDA
EBITDA margin (%)
Net profit
13.5
(35)
41
49
Market Outlook
November 9, 2012
DLF Consolidated (12/11/2012)

Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
Net sales
2,341
2,532
(8)
2,198
EBITDA
1,028
1,173
(12)
1,067
(4)
EBITDA margin (%)
43.9
46.3
Net profit
269
372
48.6
(28)
285
(6)
GMR Infra Consolidated (12/11/2012)

Particulars (` cr)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
2,285
1,812
26
2,534
(10)
EBITDA
683
501
36
597
14
EBITDA margin (%)
29.9
27.6
(40)
(147)
(73)
(110)
(64)
2QFY13E
2QFY12
y-o-y (%)
1QFY13
q-o-q (%)
3,072
3,047
2,964
(1)
816
(10)
Net sales
Net profit
23.6
Jaiprakash Associates (12/11/2012)

Particulars (` cr)
Net sales
EBITDA
738
748
EBITDA margin (%)
24.0
24.5
Net profit
124
129
(4)
139
(11)
3QCY12E
3QCY11
y-o-y (%)
2QCY12
q-o-q (%)
2,217
1,963
13
1,987
12
EBITDA
486
416
17
440
10
EBITDA margin (%)
21.9
21.2
Net profit
288
261
27.5
Nestle India (12/11/2012)

Particulars (` cr)
Net sales
22.1
10
Economic and Political News
DoT starts issuing notices to telcos for false revenue reports

Growth rate will improve in 2nd half, says Montek
Two committees to be formed to sort out GST issues: FM
India can achieve 8.2% growth in 12th Plan, says ADB
Corporate News
Govt. to take call on Nalco stake sale in Jan: Chidambaram

GVK inks agreement with Indonesian airport authority
Tata Power buys 26% in Indonesian miner BSSR
Source: Economic Times, Business Standard, Business Line, Financial Express, Mint
246
17
Market Outlook
November 09, 2012
Result Calendar
Date
November 09, 2012
November 10, 2012
Company
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
Last Reported Estimated
November 9, 2012
7:00AM
China
Consumer Price Index (YoY)
% Change
Oct
1.90
1.90
11:00AM
China
Industrial Production (YoY)
% Change
Oct
9.20
9.40
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
2.90
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
8.00
3:00PM
UK
Jobless claims change
% Change
Oct
(4.00)
--
7:00PM
US
Producer Price Index (mom)
% Change
Oct
1.10
0.10
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)
--
% Change
Oct
0.60
0.10
Oct
0.41
0.20
November 15, 2012
7:00PM
US
Consumer price index (mom)
November 16, 2012
7:45PM
US
Industrial Production
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
--
2:00PM
Germany PMI Services
Value
Nov A
48.40
--
2:00PM
Germany PMI Manufacturing
Value
Nov A
46.00
--
8:30PM
Euro Zone Euro-Zone Consumer Confidence
Value
Nov A
(25.70)
--
3:00PM
UK
GDP (YoY)
% Change
3Q P
--
--
8:30PM
US
Consumer Confidence
S.A./ 1985=100
Nov
72.20
--
November 28, 2012
8:30PM
US
New home sales
Thousands
Oct
389.00
--
November 29, 2012
2:25PM
Germany Unemployment change (000's)
Thousands
Nov
20.00
--
7:00PM
US
GDP Qoq (Annualised)
% Change
3Q S
2.00
--
11:00AM
India
Qtrly GDP YoY%
% Change
3Q
5.50
--
November 22, 2012
November 27, 2012
November 30, 2012
Market Strategy
November 09, 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
7.5
8.0
6.0
8.0
7.6
6.0
6.7
7.0
6.1
5.7
5.3 5.5
5.0
1.0
(%)
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
(2.8)
(4.0)
(1.8)
(6.0)
(5.0)
Mfg. PMI
60.0
Services PMI
58.0
9.5
7.7
8.0
(0.2)
Exhibit 4: Manufacturing and services PMI
12.0
9.9
(1.3)
Source: MOSPI, Angel Research
Exhibit 3: Monthly WPI inflation trends
10.0
Jan-12
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
Dec-11
3.5
4QFY09
2.5
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
Feb-12
48.0
Jan-12
50.0
0.0
Dec-11
2.0
Nov-11
52.0
Oct-11
4.0
Nov-11
54.0
6.0
Oct-11
4.0
4.3
2.7
Sep-11
6.0
4.0
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 09, 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
146
2,846
1,466
1,686
14.8
14.8
7.0
8.1
20.9
18.1
4.4
3.8
22.6
22.5
2.0
1.7
United Phosphorus
Buy
117
170
5,384
8,421
9,263
16.5
16.5
15.0
17.0
7.8
6.9
1.1
1.0
15.6
15.5
0.8
0.7
Amara Raja Batteries
Neutral
256
4,380
2,844
3,275
15.4
15.6
15.9
18.8
16.1
13.6
4.2
3.3
28.9
26.9
1.5
1.2
Apollo Tyres
Buy
82
104
4,156
13,713
15,341
11.2
11.2
12.5
14.8
6.6
5.6
1.2
1.0
20.2
19.9
0.5
0.4
Ashok Leyland
Buy
24
30
6,412
14,920
16,850
9.0
9.3
2.2
2.8
11.1
8.8
2.0
1.8
13.3
15.6
0.5
0.5
Automotive Axle#
Accumulate
380
430
574
993
1,140
11.6
11.5
36.9
43.0
10.3
8.8
2.0
1.7
21.2
21.3
0.6
0.5
Bajaj Auto
Neutral
1,845
53,401
21,121
23,642
18.4
18.5
108.7
122.6
17.0
15.1
7.0
5.7
46.2
41.6
2.2
1.8
Bharat Forge
Buy
262
324
6,106
6,754
7,565
15.5
15.7
18.8
23.2
14.0
11.3
2.4
2.1
18.5
19.7
1.1
0.9
Bosch India*
Neutral
8,914
27,988
8,776
10,276
16.6
18.0
331.9
417.7
26.9
21.3
5.0
4.2
18.7
19.5
2.9
2.4
CEAT
Buy
108
163
369
4,989
5,634
8.2
8.5
27.1
40.8
4.0
2.6
0.5
0.4
13.2
17.2
0.3
0.2
Exide Industries
Accumulate
140
155
11,866
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
1.3
FAG Bearings*
Neutral
1,711
2,844
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
1,924
38,422
24,743
27,996
14.8
15.2
118.2
130.4
16.3
14.8
7.0
5.5
48.3
41.9
1.3
1.1
JK Tyre
Buy
119
165
489
7,517
8,329
6.6
6.6
37.2
41.3
3.2
2.9
0.6
0.5
18.8
17.8
0.3
0.3
Auto & Auto Ancillary
Mahindra and Mahindra Accumulate
913
986
56,038
40,035
46,272
11.5
11.6
54.7
62.8
16.7
14.5
3.7
3.1
24.3
23.4
1.2
1.0
Maruti
Neutral
1,460
42,182
42,019
50,246
7.3
8.6
66.1
94.4
22.1
15.5
2.5
2.2
11.9
15.1
0.8
0.7
Motherson Sumi
Neutral
161
9,482
24,285
27,317
6.7
7.2
8.1
10.6
20.1
15.3
4.2
3.4
22.9
24.7
0.5
0.5
Subros
Accumulate
32
34
190
1,230
1,378
8.8
8.6
4.5
5.7
7.0
5.6
0.7
0.6
9.8
11.8
0.4
0.4
Tata Motors
Accumulate
284
319
75,716 192,330 219,770
12.8
13.1
37.0
44.5
7.7
6.4
2.1
1.6
31.2
28.9
0.4
0.4
TVS Motor
Buy
38
45
1,824
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
725
593
15,370
8,760
10,023
6.2
8.7
14.5
24.7
50.2
29.4
5.5
4.8
11.6
17.6
1.7
1.5
BGR Energy
Neutral
267
1,927
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
237
58,094
47,801
43,757
18.5
18.0
24.6
21.8
9.7
10.9
2.9
2.5
33.5
24.5
1.1
1.2
Blue Star
Buy
189
249
1,696
2,763
2,948
3.2
5.6
3.5
9.1
54.6
20.7
4.1
3.6
7.7
18.4
0.7
0.6
Crompton Greaves
Buy
113
145
7,239
12,370
14,277
5.2
7.3
4.0
7.8
28.2
14.5
1.9
1.8
6.9
12.6
0.6
0.6
Jyoti Structures
Buy
45
54
366
2,622
2,744
10.7
10.5
9.6
12.2
4.6
3.7
0.5
0.5
10.8
12.3
0.4
0.3
KEC International
Buy
62
73
1,598
6,858
7,431
7.1
7.5
8.3
9.8
7.5
6.4
1.3
1.1
25.1
24.0
0.4
0.3
LMW
Neutral
2,088
2,352
2,369
2,727
11.7
11.7
143.4
166.0
14.6
12.6
2.4
2.2
17.4
18.4
0.5
0.4
Thermax
Neutral
590
7,035
5,514
5,813
9.3
10.2
28.1
31.2
21.0
18.9
3.8
3.3
19.2
18.5
1.1
1.0
Capital Goods
Market Outlook
November 09, 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
1,473
27,663
11,085
12,415
21.6
21.4
79.4
83.1
18.6
17.7
3.6
3.2
20.1
19.2
2.2
1.9
Ambuja Cements
Neutral
217
33,481
10,272
11,884
26.4
26.1
11.5
12.9
19.0
16.8
4.2
3.7
20.8
21.1
2.9
2.4
India Cements
Neutral
92
2,814
4,354
4,929
18.6
18.7
9.8
12.3
9.3
7.5
0.8
0.7
8.6
10.2
1.1
1.0
J K Lakshmi Cements
Accumulate
127
143
1,556
2,082
2,423
22.9
23.1
20.8
22.5
6.1
5.7
1.1
0.9
18.4
17.4
0.9
1.1
Madras Cements
Neutral
214
5,082
3,608
3,928
27.6
27.0
15.7
18.3
13.6
11.7
2.1
1.9
16.9
17.0
2.0
1.7
Shree Cements^
Neutral
4,431
15,438
5,701
6,210
29.7
28.1
240.7
260.7
18.4
17.0
4.5
3.6
27.1
23.6
2.1
1.8
UltraTech Cement
Neutral
2,011
55,132
21,368
24,043
22.5
23.5
103.5
121.4
19.4
16.6
3.6
3.1
20.2
20.1
2.5
2.3
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
14
251
2,262
2,522
6.7
7.5
1.5
2.7
9.1
5.1
0.4
0.4
4.4
7.5
0.4
0.4
Hind. Const.
Neutral
18
1,086
4,239
4,522
9.9
11.2
(2.3)
(1.0)
(7.9)
(18.6)
1.0
1.1
(11.4)
(5.6)
1.2
1.2
IRB Infra
Buy
126
164
4,173
3,843
4,212
43.1
43.6
16.8
17.8
7.5
7.0
1.3
1.1
18.3
17.0
3.2
3.5
ITNL
Buy
190
225
3,692
6,564
7,054
27.2
27.4
26.3
29.0
7.2
6.6
1.2
1.0
14.0
11.8
2.7
2.7
IVRCL Infra
Buy
43
51
1,315
5,510
6,722
8.8
9.0
2.5
4.6
16.9
9.4
0.6
0.5
3.4
5.8
0.7
0.7
Jaiprakash Asso.
Neutral
93
19,971
15,259
17,502
25.7
24.7
4.0
4.8
23.1
19.4
1.8
1.7
8.5
9.3
2.6
2.3
Larsen & Toubro
Accumulate
1,634
1,748
100,503
60,556
69,167
11.2
11.6
73.8
85.5
22.2
19.1
3.5
3.1
13.5
14.1
1.8
1.6
Madhucon Proj
Buy
36
56
266
2,206
2,502
10.7
10.7
4.6
4.7
7.8
7.7
0.4
0.4
5.2
5.0
0.7
0.7
Nagarjuna Const.
Neutral
45
1,143
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
78
546
3,609
3,836
13.1
13.1
14.0
14.6
5.6
5.4
0.3
0.3
6.3
6.1
1.0
1.0
Punj Lloyd
Neutral
54
1,798
11,892
13,116
8.9
8.9
1.7
3.1
31.9
17.5
0.6
0.6
1.9
3.4
0.6
0.5
Sadbhav Engg.
Buy
142
182
2,147
2,506
3,147
10.3
10.7
7.5
10.4
18.9
13.6
2.4
2.0
13.5
16.0
1.0
0.8
Simplex Infra
Buy
198
265
978
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
149
7,435
6,944
7,884
3.0
3.1
35.5
37.0
4.2
4.0
0.7
0.6
17.2
15.7
Andhra Bank
Reduce
Axis Bank
Buy
Bank of Baroda
Financials
109
97
6,094
4,929
5,633
3.1
3.1
23.7
24.5
4.6
4.4
0.8
0.7
16.6
15.3
1,223
1,476
52,173
15,686
18,687
3.1
3.2
116.8
138.0
10.5
8.9
1.9
1.7
20.0
20.2
Accumulate
769
817
30,114
15,436
18,208
2.5
2.6
111.8
137.4
6.9
5.6
1.0
0.9
15.8
17.0
Bank of India
Neutral
291
16,723
12,491
14,883
2.2
2.4
43.8
63.7
6.7
4.6
0.9
0.7
12.1
15.8
Bank of Maharashtra
Neutral
53
3,134
3,563
3,876
3.1
3.1
9.7
12.0
5.5
4.4
0.8
0.7
14.6
16.1
Canara Bank
Neutral
443
19,607
10,905
12,783
2.1
2.2
74.9
85.1
5.9
5.2
0.9
0.8
15.1
15.3
Central Bank
Neutral
76
5,606
7,095
8,102
2.5
2.7
15.6
21.0
4.9
3.6
0.8
0.7
12.2
14.7
Market Outlook
November 09, 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
404
447
5,987
4,886
5,669
2.1
2.2
101.3
101.8
4.0
4.0
0.7
0.6
17.0
15.1
Dena Bank
Reduce
115
106
4,012
3,147
3,495
2.8
2.9
24.8
24.4
4.6
4.7
0.8
0.7
18.7
15.9
Federal Bank
Neutral
478
8,168
2,617
2,968
3.3
3.2
45.9
51.7
10.4
9.2
1.3
1.2
13.1
13.3
HDFC
Neutral
793
122,115
7,336
8,802
3.5
3.5
31.5
37.8
25.2
21.0
5.0
4.5
34.8
32.1
HDFC Bank
Neutral
639
150,963
21,696
26,811
4.4
4.5
28.7
36.0
22.3
17.7
4.3
3.6
20.7
22.0
ICICI Bank
Buy
1,076
1,270
123,700
22,271
26,690
3.0
3.0
69.2
83.1
15.5
13.0
1.9
1.7
14.2
15.7
IDBI Bank
Neutral
107
13,654
7,684
9,264
1.8
2.1
15.6
22.0
6.9
4.9
0.8
0.7
10.9
13.9
Indian Bank
Neutral
175
7,540
5,874
6,551
3.2
3.2
40.6
41.8
4.3
4.2
0.7
0.6
18.1
16.4
IOB
Neutral
76
6,045
7,050
8,313
2.3
2.5
12.3
19.9
6.2
3.8
0.6
0.5
8.8
13.1
J & K Bank
Reduce
1,352
1,282
6,555
2,762
2,885
3.6
3.6
226.7
193.0
6.0
7.0
1.3
1.2
24.4
17.7
LIC Housing Finance
Buy
252
298
12,733
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
327
9,529
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
778
819
26,395
19,652
22,601
3.2
3.3
135.0
164.3
5.8
4.7
1.0
0.8
16.3
17.3
South Ind.Bank
Accumulate
23
25
3,058
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
Neutral
2,244
150,552
63,806
73,435
3.5
3.6
225.7
258.4
9.9
8.7
1.7
1.4
17.7
17.8
Syndicate Bank
Neutral
126
7,557
6,756
7,783
3.0
3.0
26.3
27.1
4.8
4.6
0.8
0.7
18.3
16.6
UCO Bank
Neutral
75
4,985
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
Neutral
237
13,073
9,912
11,536
2.8
2.9
40.4
46.7
5.9
5.1
1.0
0.8
16.1
16.4
United Bank
Accumulate
66
74
2,399
3,572
4,041
2.8
2.9
17.2
22.1
3.9
3.0
0.6
0.5
14.2
16.2
Vijaya Bank
Neutral
56
2,770
2,490
2,881
2.1
2.2
9.2
11.4
6.1
4.9
0.7
0.7
11.5
13.0
Yes Bank
Buy
420
492
14,961
3,270
4,240
2.8
3.0
34.5
42.2
12.2
9.9
2.6
2.1
23.5
23.5
4,181
40,100
11,198
13,184
16.2
16.2
123.7
146.4
33.8
28.6
11.5
9.0
38.1
35.4
3.5
3.0
471
584
5,628
5,835
6,824
5.7
6.0
20.7
25.4
22.8
18.6
9.0
6.9
43.1
41.9
0.9
0.7
1,310
17,814
3,018
3,429
20.9
22.2
35.7
42.3
36.7
30.9
33.9
25.2
101.0
93.5
5.8
5.0
FMCG
Asian Paints
Neutral
Britannia
Buy
Colgate
Neutral
Dabur India
Neutral
129
22,431
6,124
7,101
17.0
16.8
4.5
5.2
28.8
24.6
11.9
9.4
43.2
41.5
3.7
3.1
GlaxoSmith Con*
Neutral
3,041
12,789
3,124
3,663
17.1
17.6
104.5
123.8
29.1
24.6
9.1
7.3
34.4
32.8
3.7
3.1
Godrej Consumer
Neutral
702
23,903
6,097
7,233
18.4
18.6
21.9
26.5
32.1
26.6
7.1
5.9
25.5
25.4
4.1
3.4
HUL
Neutral
534
115,338
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
289
227,047
29,409
34,060
35.7
36.1
9.3
10.9
31.0
26.4
10.3
8.6
35.8
35.3
7.4
6.4
Market Outlook
November 09, 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
208
13,378
4,840
5,643
13.1
13.1
6.8
8.5
30.6
24.6
8.4
6.4
31.4
29.7
2.8
2.3
Nestle*
Neutral
4,899
47,238
8,610
10,174
20.9
21.2
114.8
139.8
42.7
35.0
25.8
17.9
71.2
60.3
5.6
4.6
Tata Global
Neutral
167
10,349
7,207
7,927
9.7
10.0
6.6
7.8
25.3
21.4
2.6
2.5
8.6
9.5
1.4
1.2
HCL Tech^
Neutral
618
42,911
24,214
26,772
19.5
18.1
44.0
48.0
14.1
12.9
3.3
2.8
24.0
22.0
1.7
1.5
Hexaware*
Buy
114
135
3,383
1,944
2,159
21.8
21.1
11.4
12.2
10.0
9.3
2.6
2.2
26.4
24.1
1.4
1.2
Infosys
Accumulate
2,375
2,573
136,369
39,174
41,580
29.5
30.4
159.2
171.6
14.9
13.8
3.6
3.2
24.1
23.1
2.9
2.7
Infotech Enterprises
Neutral
194
2,157
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
121
132
2,160
2,195
2,317
15.5
15.0
10.7
12.1
11.3
10.1
2.4
1.9
21.0
19.8
1.0
0.9
Mahindra Satyam
Neutral
110
12,893
7,597
8,141
20.0
18.8
9.7
10.4
11.4
10.5
3.1
2.4
27.5
22.9
1.3
1.1
Mindtree
Accumulate
680
747
2,788
2,324
2,437
20.0
17.7
73.3
74.7
9.3
9.1
2.2
1.8
24.1
19.7
1.0
0.8
Mphasis&
Neutral
398
8,364
5,700
5,993
18.0
16.9
37.0
37.3
10.8
10.7
1.5
1.3
14.3
12.6
1.0
0.8
NIIT
Accumulate
33
36
551
1,034
1,146
9.9
11.0
5.2
6.4
6.4
5.2
0.8
0.8
12.8
14.3
0.4
0.3
Persistent
Neutral
487
1,946
1,261
1,352
26.4
24.7
48.2
54.0
10.1
9.0
1.9
1.6
19.0
17.9
1.2
1.0
TCS
Accumulate
1,330
1,410
260,359
61,053
67,313
28.7
29.1
69.7
76.2
19.1
17.5
6.2
5.1
32.6
29.1
4.1
3.6
Tech Mahindra
Accumulate
956
1,046
12,211
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
Accumulate
375
421
92,270
43,219
47,241
20.0
20.0
26.1
28.1
14.3
13.3
2.8
2.4
19.3
17.9
1.8
1.5
D B Corp
Buy
218
259
3,997
1,581
1,784
23.3
25.0
11.6
14.4
18.8
15.1
3.7
3.1
21.0
22.3
2.4
2.1
HT Media
Buy
98
113
2,294
2,111
2,272
15.0
15.2
7.4
8.3
13.3
11.8
1.4
1.3
11.3
11.4
0.7
0.6
Jagran Prakashan
Accumulate
103
117
3,246
1,503
1,681
23.1
23.1
6.4
7.3
16.1
14.1
4.0
3.5
25.8
26.5
2.3
2.0
PVR
Neutral
232
671
625
732
17.4
17.1
13.3
15.6
17.5
14.9
1.9
1.7
13.2
13.8
1.5
1.2
Sun TV Network
Neutral
332
13,076
1,981
2,239
77.0
76.7
18.6
21.3
17.9
15.6
4.5
3.9
27.1
27.5
6.1
5.2
Bhushan Steel
Neutral
491
10,435
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
348
385
220,094
69,808
75,550
27.4
27.4
26.0
28.3
13.4
12.3
3.9
3.1
32.5
28.1
2.2
1.9
Electrosteel Castings
Accumulate
28
29
953
1,984
2,074
10.6
11.6
0.8
2.0
33.0
13.6
0.5
0.2
1.7
4.1
0.7
0.6
Hind. Zinc
Accumulate
138
145
58,098
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
114
21,807
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
749
16,713
39,586
41,459
17.6
17.0
78.7
90.1
9.5
8.3
0.9
0.9
10.2
10.7
0.8
0.8
MOIL
Accumulate
249
271
4,178
918
993
50.7
50.9
24.5
26.1
10.1
9.5
1.6
1.4
16.0
15.5
2.2
1.9
Monnet Ispat
Buy
294
379
1,892
2,511
3,303
23.8
26.0
46.3
57.3
6.4
5.1
0.7
0.6
12.4
13.7
1.7
1.2
IT
Media
Metals & Mining
Market Outlook
November 09, 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
Neutral
NMDC
Accumulate
46
11,842
6,898
7,841
9.9
14.7
2.0
3.2
23.2
14.4
1.0
1.0
4.3
6.8
1.2
1.2
184
198
72,911
11,209
12,525
78.4
78.3
18.5
20.6
9.9
8.9
2.4
2.0
27.0
24.6
4.6
3.9
SAIL
Sesa Goa
Neutral
82
34,015
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
178
15,448
4,551
6,640
32.8
34.4
33.7
39.3
5.3
4.5
0.9
0.8
18.3
18.3
4.0
2.7
Sterlite Inds
Accumulate
103
110
34,531
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
404
481
39,203 145,799 150,431
10.3
11.2
48.6
63.3
8.3
6.4
0.8
0.8
10.5
12.4
0.5
0.5
Sarda
Neutral
148
529
1,442
1,494
17.6
17.3
27.2
28.7
5.4
5.1
0.6
0.5
11.5
11.0
0.7
0.7
Prakash Industries
Godawari Power and
Ispat
Oil & Gas
Buy
53
73
706
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
121
143
383
2,342
2,470
13.7
15.3
27.7
33.8
4.4
3.6
0.4
0.4
10.9
11.4
0.6
0.6
Cairn India
Buy
328
382
62,640
17,567
17,643
76.2
72.3
61.1
56.8
5.4
5.8
1.1
0.9
22.0
17.5
2.7
2.3
GAIL
Neutral
358
45,469
46,652
54,142
15.7
15.7
34.0
35.3
10.5
10.2
1.8
1.6
18.5
16.8
0.7
0.6
ONGC
Buy
265
312
226,892 147,139 154,821
33.9
33.7
30.7
32.3
8.7
8.2
1.5
1.3
18.3
17.2
1.3
1.2
Reliance Industries
Neutral
797
260,851 362,700 380,031
7.9
8.0
60.0
63.3
13.3
12.6
1.3
1.2
11.1
10.6
0.7
0.7
Gujarat Gas*
Neutral
300
3,707
13.2
11.7
22.8
23.5
13.2
12.7
4.0
3.5
33.2
29.2
1.1
0.9
Indraprastha Gas
Neutral
266
3,725
3,213
3,643
23.3
23.5
24.3
25.7
11.0
10.3
2.5
2.1
25.0
22.1
1.3
1.1
Petronet LNG
Gujarat State Petronet
Ltd.
Pharmaceuticals
Accumulate
168
183
12,623
30,077
33,570
6.6
6.3
15.1
15.3
11.1
11.0
2.8
2.3
28.4
23.1
0.5
0.4
76
4,282
1,079
1,034
91.8
91.9
8.8
8.4
8.7
9.1
1.5
1.3
17.9
15.0
3.7
3.8
Alembic Pharma
Buy
69
91
1,301
1,624
1,855
14.2
15.6
6.6
9.1
10.5
7.6
2.6
2.0
27.9
29.9
0.9
0.8
Aurobindo Pharma
Neutral
178
5,195
5,243
5,767
14.6
14.6
11.8
12.6
15.1
14.2
1.9
1.6
17.9
16.4
1.5
1.3
Aventis*
Neutral
2,210
5,090
1,482
1,682
15.5
15.5
95.1
104.4
23.2
21.2
4.1
3.2
18.6
17.0
3.2
2.8
Cadila Healthcare
Accumulate
830
926
16,986
6,148
7,386
18.6
19.6
32.7
44.8
25.4
18.5
5.6
4.5
23.7
26.6
3.1
2.6
Cipla
Accumulate
Dr Reddy's
Neutral
Dishman Pharma
Buy
GSK Pharma*
Neutral
Indoco Remedies
Buy
67
89
618
Ipca labs
Accumulate
432
485
5,446
Lupin
Accumulate
583
652
26,087
Orchid Chemicals
Neutral
106
744
Neutral
3,845
3,128
393
419
31,551
8,151
9,130
25.0
24.0
19.5
20.9
20.2
18.8
3.5
3.0
18.8
17.2
3.6
3.2
1,776
30,145
10,696
11,662
20.7
21.0
83.7
92.9
21.2
19.1
4.4
3.7
22.4
20.8
3.1
2.7
106
145
857
1,280
1,536
20.2
20.2
10.4
14.5
10.2
7.3
0.9
0.8
8.7
11.0
1.3
1.1
1,999
16,935
2,651
2,993
31.7
31.2
76.0
82.4
26.3
24.3
7.6
6.8
20.1
26.3
5.6
4.8
685
837
15.2
15.2
7.4
8.9
9.1
7.5
1.4
1.2
16.4
17.0
1.1
0.9
2,850
3,474
21.0
21.0
29.9
37.3
14.4
11.6
3.5
2.7
26.7
26.4
2.1
1.7
8,426
10,082
19.7
20.0
26.3
31.3
22.2
18.6
5.2
4.2
26.0
24.7
3.2
2.7
1,667
1,835
13.9
13.9
11.4
13.3
9.3
7.9
0.6
0.6
6.6
7.3
0.9
0.8
Market Outlook
November 09, 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
549
23,202
12,046
11,980
18.0
15.8
31.3
29.8
17.6
18.4
6.0
4.8
39.1
28.9
2.0
1.9
Sun Pharma
Neutral
696
71,981
9,752
12,134
41.6
41.6
26.0
28.2
26.8
24.7
5.0
4.3
20.3
18.8
6.6
5.2
CESC
Neutral
275
3,436
5,218
5,644
24.2
23.8
44.6
47.6
6.2
5.8
0.7
0.6
11.0
10.6
1.4
1.4
GIPCL
Accumulate
NTPC
Neutral
Power
70
77
1,052
1,557
1,573
29.3
28.7
10.8
11.0
6.5
6.3
0.7
0.6
10.8
10.2
1.1
1.0
170
139,884
74,111
85,789
22.7
23.1
12.1
13.7
14.0
12.3
1.7
1.6
12.6
13.2
2.5
2.3
Real Estate
Anant Raj
Sell
94
78
2,769
657
875
52.0
56.1
8.4
12.7
11.2
7.4
0.7
0.6
6.3
8.9
5.5
4.1
DLF
Neutral
214
36,307
9,878
12,033
44.7
46.1
9.6
13.4
22.3
15.9
1.4
1.4
6.4
8.7
6.2
5.1
HDIL
Accumulate
106
115
4,431
2,441
3,344
55.1
48.2
22.7
26.6
4.7
4.0
0.4
0.4
8.8
9.4
3.7
2.8
MLIFE
Neutral
412
1,682
813
901
26.2
26.6
32.0
37.1
12.9
11.1
1.3
1.2
10.4
11.0
2.4
2.1
Bharti Airtel
Neutral
276
104,907
79,147
86,745
31.1
32.5
9.9
15.1
27.8
18.3
1.9
1.8
7.0
9.7
2.0
1.7
Idea Cellular
Neutral
91
30,031
22,234
24,161
26.9
27.7
3.3
4.9
27.4
18.4
2.1
1.9
7.7
10.3
1.8
1.6
Rcom
Neutral
59
12,085
20,650
20,935
32.3
33.0
4.2
5.8
13.8
10.2
0.3
0.3
2.3
3.1
2.2
2.0
Abbott India
Neutral
1,454
3,089
1,602
1,833
10.4
11.8
54.7
71.7
26.6
20.3
5.0
4.3
20.0
22.7
1.7
1.4
Bajaj Electricals
Accumulate
195
217
1,947
3,497
3,968
6.6
7.6
9.8
15.5
19.9
12.6
2.6
2.2
12.7
17.4
0.6
0.5
Cera Sanitaryware
Accumulate
386
411
488
427
528
15.7
14.6
30.0
34.0
12.9
11.4
2.8
2.3
24.6
22.5
1.2
1.0
Cravatex
Buy
450
545
116
272
308
7.2
7.3
37.5
45.4
12.0
9.9
2.9
2.3
23.7
22.7
0.5
0.5
CRISIL
Neutral
939
6,596
982
1,136
34.3
34.3
34.3
40.0
27.4
23.5
12.4
9.9
50.9
46.9
6.3
5.3
Finolex Cables
Buy
51
61
774
2,334
2,687
6.2
6.5
8.0
10.0
6.3
5.1
0.9
0.7
13.0
14.9
0.3
0.2
Force Motors
Accumulate
487
537
635
2,318
2,700
5.0
5.7
45.0
67.0
10.8
7.3
0.5
0.5
5.0
7.0
0.2
0.2
Goodyear India
Neutral
327
755
1,543
1,654
6.5
7.3
24.8
31.1
13.2
10.5
2.1
1.9
17.1
19.0
0.3
0.2
Disa India
Buy
2,719
3,353
411
176
203
22.7
22.6
182.5
209.6
14.9
13.0
7.7
6.1
51.8
47.1
2.1
1.7
Greenply Industries
Accumulate
283
309
683
1,925
2,235
10.6
10.9
29.6
44.1
9.6
6.4
1.6
1.3
16.8
21.0
0.6
0.5
Hitachi
Neutral
136
312
868
977
3.9
6.6
2.7
10.9
49.5
12.5
1.8
1.6
3.7
13.6
0.4
0.4
2,646
2,842
2,339
1,745
1,993
4.0
5.3
59.5
90.4
44.5
29.3
3.4
2.9
8.1
11.3
1.2
1.1
1,143
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
Telecom
zOthers
Honeywell Automation* Accumulate

Styrolution ABS India*
Accumulate
650
744
ITD Cementation
Neutral
250
288
1,323
1,455
12.4
12.4
23.2
27.7
10.8
9.0
0.7
0.7
6.8
7.6
0.7
0.6
Jyothy Laboratories
Neutral
177
2,848
1,228
1,443
9.0
10.9
3.9
6.4
45.4
27.7
4.5
4.1
10.1
15.6
2.8
2.4
MCX
Neutral
1,476
7,526
553
624
65.3
66.3
62.5
72.0
23.6
20.5
6.5
5.6
27.5
27.4
10.6
8.9
MRF
Buy
10,202
12,884
4,327
11,804
12,727
10.4
10.5 1,289.9 1,431.3
7.9
7.1
1.5
1.3
21.3
19.4
0.5
0.4
Market Outlook
November 09, 2012
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
3,423
761
933
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
3,818
887
1,108
18.3
18.6
95.0
120.9
36.1
28.3
18.8
15.3
57.4
59.5
4.4
3.5
914
1,019
1,208
11.0
12.5
47.0
66.7
16.2
11.4
4.0
3.0
28.2
30.1
1.0
0.9
zOthers
Page Industries
Neutral
Relaxo Footwears
Buy
Sintex Industries
Buy
67
79
1,824
4,751
5,189
16.3
16.6
13.6
15.8
4.9
4.2
0.7
0.6
12.9
13.2
0.8
0.6
Siyaram Silk Mills
Buy
311
366
292
1,043
1,149
12.3
12.9
65.7
73.3
4.7
4.2
0.9
0.8
21.0
19.6
0.5
0.5
S. Kumars Nationwide
Neutral
14
406
7,134
7,985
19.7
19.4
12.2
14.1
1.1
1.0
0.1
0.1
11.3
11.5
0.6
0.6
SpiceJet
Buy
35
43
1,707
5,720
6,599
5.3
6.8
3.6
5.4
9.8
6.6
14.2
4.5
0.4
0.4
TAJ GVK
Buy
73
108
459
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
323
384
497
750
803
18.6
18.4
65.4
69.1
4.9
4.7
0.8
0.7
16.5
15.3
0.3
0.2
TVS Srichakra
Accumulate
309
335
237
1,476
1,643
7.0
8.2
32.6
55.9
9.5
5.5
1.5
1.3
16.8
24.8
0.4
0.3
United Spirits
Neutral
1,343
17,569
10,289
11,421
13.5
14.3
31.0
42.9
43.3
31.3
3.4
3.1
8.1
10.3
2.4
2.2
Vesuvius India
Neutral
346
702
560
611
16.1
17.0
24.7
28.8
14.0
12.0
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 08, 2012
Market Outlook
November 09, 2012

Market Outlook Market Outlook: Dealer's Diary

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Market Outlook Market Outlook: Dealer's Diary

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Market Outlook

Meanwhile, Indian markets eased modestly on Thursday, mirroring steep losses in

OIL & GAS

(0.9) (121.4) 12,811

(2.4) (532.9) 21,567

Cabinet approves one-time spectrum fee on telecom operators

Net Inflows (November 07, 2012)

FII Derivatives (November 08, 2012)

Cabinet approves one-time spectrum fee on telecom operators

Disinvestment in HAL approved, NALCO sale deferred

JLR recalls Jaguar XF cars in US for potential fuel leak problem

IPCA Labs- Update on SEZ Indore formulations manufacturing unit

proactively, the same should lead to a speedy resolution of the same. We

Apollo Tyres losing `5cr/day due to strike at Gujarat plant

Mallya and Diageo may have signed a deal

Sun Pharma (CMP: `696/ TP: -/ Upside: -)

26.0 20.3 26.8

28.2 18.8 24.6

SAIL (CMP: `82/ TP:-/ Upside :-)

11.0 2,481 6.0

10.0 2,643 6.4

Ranbaxy Labs (CMP: `549/ TP: -/ Upside: -)

31.3 39.1 17.5

29.8 28.9 18.4

Reliance Communication (CMP: `59 / TP: Under review)

Ashok Leyland (CMP: `24/ TP: `30/ Upside: 25%)

Page Industries (CMP `3,410 / TP:-/ Upside :-)

Nagarjuna Construction Company (CMP: `45 / TP: -/ Upside: -)

Ashoka Buildcon (CMP: `217 / TP: under review)

Finolex Cables Ltd. (CMP: `51 /TP: `61/ Upside: 21%)

Goodyear India (CMP: `327/ TP: `360/ Upside: 9.9%)

Prakash Industries (CMP: `53, TP: - Upside : -)

SBI- (CMP: `2,243 / TP: `2,436 / Upside: 8.6%)

63,806 3.5 15,142

73,435 3.6 17,342

Op. Inc NIM

Tata Steel (CMP: `403, TP: `481, Upside: 19%)

Glaxo Pharmaceuticals (CMP: `2,005, TP: -, Upside: -)

United Spirits (CMP: `1,343/TP:-/Upside:-)

Sun TV (CMP: `332/TP:-/ Upside :-)

Corporation Bank- (CMP: `404 / TP: `447 / Upside: 10.6%)

Aurobindo Pharma (CMP: `178/ TP: -/ Upside: -)

MOIL (CMP: `249/ TP: `271/ Upside: 9%)

CESC (CMP: `275/TP:-/Upside :-)

Quarterly Bloomberg Brokers Consensus Estimate

Coal India Consolidated (09/11/2012)

EBITDA margin (%)

EBITDA margin (%)

Essar Oil (09/11/2012)

HDIL Consolidated (09/11/2012)

Indian Oil Corp (09/11/2012)

Jindal Steel & Power Consolidated (09/11/2012)

EBITDA margin (%)

Power Finance Corporation (09/11/2012)

State Bank of India (09/11/2012)

Tata Steel Consolidated (09/11/2012)

EBITDA margin (%)

Tata Chemical Consolidated (09/11/2012)

EBITDA margin (%)

United Spirits (09/11/2012)

EBITDA margin (%)

Unitech Consolidated (10/11/2012)