8 Feb: Stocks in News :: Edelweiss

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

 Stocks in News

Bayer told to pay INR 45 lakh to farmers for losses (ET)

Jindal Steel & Power to invest $300mn in African Mines (ET)

Airlines get nod to ship in jet fuel (ET)

Mahindra closes bookings for XUV500, gets 25k orders (ET)

Reliance, KF in talks to facilitate ATF import (ET)

Oil Ministry seeks to penalise RIL for D6 gas output fall (ET)

DoT seks legal view on Tatas permits (ET)

Pfizer to hive off animal health division to arm (ET)

R – Power hopeful of govt allocating gas for AP project (ET)

Akzo Nobel merger may get nod despite investor opposition (ET)

Orissa considers electronic auctions for Iron Ore (ET)

Govt rejects RIL demand for higher gas price (DNA)

TD SAT rejects RCom plea (BS)

GoM clears AI debt recast; Air India to issue NCD with govt guarantee to repay part of short term debt (BS)

CIL, RIL lead decline in mining output (BS)

L&T Finance to offer wealth management, hires EFG brass (BS)

8 Feb: Edelweiss Technical Reflection (ETR)

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��Edelweiss Technical Reflection (ETR)

Nifty ended the series five-straight sessions of gains as it dropped 0.49% to close below 5400 signaling a potential short-term trend reversal. After opening in the green and above the 5400 mark, the index started to slip lower to close the gap and trade sideways for most past of the day. However the final couple of hours saw the index breakdown to make an intraday low of 5323 after taking support of the 21 hourly EMA. Nifty has formed a ‘bearish engulfing’ candlestick pattern (bearish reversal) that will require follow through selling to validate the pattern. It has nearly retraced 50% of the down move from 6338 to 4530 and thus some moderation in prices is on the cards. The momentum oscillators continue to trade in an overbought state, whereas the hourly oscillators have rolled bearish indicating downside pressure. Trading volumes remain at a higher level and the market breadth slipped down with an A/D of 1:2. On sustenance of trade below 5300, the Nifty will likely push lower towards the important support of 5220.

Most of the sectors ended the day in the red led by selling in Cap Goods (-2.29%), Realty (-2.10%) and Power (-1.98%). Among the sectors witnessing buying interest were Oil & Gas (+0.98%), Banking (+0.56%) and FMCG (+0.28%). The broader market, Mid-cap index lost 0.81% and Small-cap index lost 0.44%; underperforming their frontline peers.

Bullish Setups: PFC, STLT, ONGC, IBREL, ACEM, PF

Bearish Setups: HUVR

VERY Useful links

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��


Click here fore Broker Reports by Research Firm

News :

http://www.smartinvestor.in/market/mktNews-Compnews.htm

http://www.moneycontrol.com/news/

http://www.business-standard.com/india/bsonline.php

http://www.dnaindia.com/money/archives

http://www.thehindubusinessline.com/companies/

http://news.google.com/news/section?pz=1&jfkl=true&cf=all&topic=b

http://economictimes.indiatimes.com/headlines.cms

http://www.indiainfoline.com/Markets/News/Top-News

http://www.indiaer.blogspot.com
http://www.indiaer.blogspot.in

---

Circulars

http://www.nseindia.com/content/circulars/circ_latest.htm

http://www.bseindia.com/cirbrief/new_notices_datewise.asp?day=today

http://www.bseindia.com/stockinfo/ann.aspx

---

Research Reports

http://www.indiaer.blogspot.com

http://www.indiaer.blogspot.in

http://www.emkayglobal.com/APP_UI/frmeResearch.aspx

http://www.angelbroking.com/Research/Research-Reports.aspx

http://www.adityabirlamoney.com/Research/ResearchReportsDetails.aspx?ID=10&Cats=5

http://www.moneycontrol.com/news/brokerage-reports-121.html

http://www.smartinvestor.in/company/index

http://www.myiris.com/shares/research/researchHome.php?yesdate=1&more=1&iStart=4&alpha=

http://www.business-standard.com/stockpage/broker_tips_more.php

http://www.nseindia.com/content/corporate/eq_research_reports_listed.htm

http://www.bseindia.com/sensex/research.aspx

http://www.bpwealth.com/Research/EquityResearch.aspx?id=1&Opt=SFocus&Sec=Equity

http://www.indsec.co.in/IndsecResearch.asp

http://www.assetalliance.in/Reports/ReportInner.aspx

http://www.deadpresident.blogspot.com/

http://www.valuenotes.com/research-analysis/research-analysis.php

http://www.capitalmarket.com/

---

FII ; DII data

FII actual

http://www.sebi.gov.in/sebiweb/investment/FIILatestSE.jsp?period=day

DII actual

http://www.sebi.gov.in/sebiweb/investment/MFLatest.jsp?period=day

FII; DII provisional

http://www.nseindia.com/content/equities/eq_fii_nsebse.htm

Provisional F&O

http://www.nseindia.com/content/fo/fo_markettoday.htm

http://indiaer.blogspot.in/search/label/FII

http://indiaer.blogspot.com/search/label/FII

Result Update: Marico, Manappuram General Finance, Tamilnadu Newsprint, Jubilant Life Sciences, GSK Consumer, KSK Energy:: Emkay

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

 

Result Update

Marico Reco: ACCUMULATE CMP: Rs 163 Target Price: Rs 172 No Hiccups, Hereon, Maintain ACCUMULATE ·      Upbeat volume growth drives performance in Q3FY12; Revenue +29.4% yoy to Rs10.6 bn, Ebidta +22.1% yoy Rs1.2 bn and APAT +21% yoy Rs841 mn ·      Domestic business registered volume growth of 13% yoy and International business registered organic growth of 16% yoy ·      Shares optimistic outlook, Volume growth of 10-12% yoy in FY13E; Parachute at 8-10%, Saffola 14-16% and Hair Oils 20% ·      Forecast strong earnings performance in ensuing quarter, Retain FY13E earnings at Rs7.5/Share. Maintain ACCUMULATE rating with target price of Rs172/Share

Manappuram General Finance Reco: HOLD CMP: Rs 59 Target Price: Rs 65 Results inline; price led growth a concern ·      MAGFIL results inline with expectation with NII at Rs4.3bn and net profit at Rs1.6bn. The growth driven by strong advance growth and broadly stable NIM’s at 13% ·      AUM growth strong at 90%yoy supported by 63%yoy increase in customer base in commensurate with 53%yoy increase in branch network ·      Despite aggressive additions of 1345 branches over last  five quarters, the gold stock additions have seen consistent decline from 9.4MT/qtr to 4.3MT/qtr ·      MAGFIL continue to grow at a healthy pace, however sustainability of the same amid rising competition and any regulatory change in NPA recognition to 90dpd is under ques

Tamilnadu Newsprint Reco: ACCUMULATE CMP: Rs 93 Target Price: Rs 110 Disappointing results; trim estimates ·      Q3FY12 results disappointed due to lower sales volumes & higher input cost. Sales increased by 13%yoy  to Rs 3.1 bn. EBITDA margin declined by 700bps yoy/900bps qoq to 19.1% ·      TNPL reported adjusted loss of Rs 177mn against est of profit of Rs 22mn. APAT has been adjusted for EO gain of Rs 1bn (tax adjusted Rs 812mn) on forward currency contract. ·      Inventory builtup to the tune of ~60,000mt is a key concern which is likely to put pressure on near term realisations and EBITDA margins ·      Due to weak Q3FY12 results we have reduced our FY EPS est to Rs 1.3 (from Rs 9.1). On back of compelling valuations (40% discount to BV) we maintain Accumulate

Jubilant Life Sciences Reco: BUY CMP: Rs 177 Target Price: Rs 348 Debt remains a concern – Maintain Buy ·      Q3FY12 Results – Revenues at Rs10.9bn (up 25%YoY), b) EBITDA at Rs2.1bn (up 58% YoY) and c) APAT at Rs771mn (up 82% YoY) ·      Top-line growth and EBITDA margin expansion was led by strong traction in Generic business & favorable impact of INR depreciation, however debt increased by Rs4bn QoQ ·      Going forward, new capacity additions in pyridine & vitamin business, momentum in Cadista and +ve impact of currency will boost the top-line and the bottom-line ·      Strengthening INR will ease out debt concerns in next quarter – Maintain Buy with a target price of Rs348 (10xFY13E EV/EBITDA)

GSK Consumer Reco: ACCUMULATE CMP: Rs 2,637 Target Price: Rs 2,743 16% volume growth in Horlicks, Retain Accumulate ·      One-offs in A&P spends and Tax outgo impact performance, APAT growth curtailed to 11% yoy to Rs591 mn ·      Horlicks bounces back with volume growth of 16% yoy, but MFD volume growth of 12% yoy… ·      GSK has raised product prices by 8% on Boost portfolio effective December 2011 and 4% on Horlicks portfolio effective January 2012 ·      Maintain Earnings estimates for CY12E, Remains preferred play within 3 themes in Consumer sector, Maintain ‘ACCUMULATE’ with target price of Rs 2,743

KSK Energy Reco: HOLD CMP: Rs 72 Target Price: Rs 75 Improvement in coal supplies; maintain hold ·      3Q12 PAT of Rs755mn above exp. driven by i) fuel cost (-7% qoq) and ii) other income (+57% qoq). Linkage coal supply better for Wardha/Arasmeta I. Issues continued with Arasmeta II (no fuel) and Sitapuram ·      Co. confident of getting 70-75% linkage coal for Wardha in 4Q vs 60% in 3Q, resulting in fuel cost of Rs2.4-2.5/unit vs 3Q at Rs2.9/unit. Have factored Rs2.9/unit fuel cost in FY13 for Wardha, would wait for 4Q to change our assumption ·      Open access received for Wardha, co. in process of signing BPTA. Captive power supplies to start from Mar12. PPAs at 10-20% discount to ind. grid power rates in Maharashtra ·      Were expecting run up post 2Q, on attractive valuations & better 3Q. But, CMP prices in (1) ~50-60% linkage coal for Wardha & (2) Mahanadi I. Maintain Hold; Upside triggers - (1) 60% + linkage coal for Wardha & (2) alternative block

8 Feb: Morning News (click on link to read article) IFCI research,

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

Morning News (click on link to read article)

Economic Times		Business Standard
Ø  Russia to take up Sistema's cause with Indian govt Ø  OilMin plans to penalise RIL for D6 output fall Ø  RCOM plea to stay penalty over SIM verifications rejected Ø  M&M Q3 profit falls more than expected at 9.9% Ø  ArcelorMittal registers $1 bn loss for Q4 due to tax payout Ø  BAE may cut price of Eurofighter to win back $11 bn deal from Dassault Rafale		Ø  Growth estimates get a reality check: just 6.9% Ø  Stock exchanges for abolition of STT in Budget Ø  DIIs net sell Rs 854cr, FIIs net buy Rs 619cr Ø  Sebi directs two to pay Rs 2.72 cr for unlawful gains Ø  Sebi introduces 15% quota for small investors in buybacks Ø  Rupee down 15 paise against dollar
Business Line		Mint
Ø  Steelmakers see rebound in Jan-March demand Ø  IRB Infra to raise Rs 3,300 cr for A’bad-Vadodara project Ø  Cochin Shipyard seeks more Defence orders Ø  RBI asks banks to refund unclaimed deposits of Rs 1,700 cr Ø  Opto Circuits board proposes 3:10 bonus Ø  SAIL hikes long product prices by Rs 3,000/tonne		Ø  Reliance Group seeks strategic investor in Bloomberg UTV Ø  PGCIL plans to enter new businesses Ø  Pfizer board clears animal health unit sale Ø  Glencore, Xstrata agree $90 billion merger Ø  Interest cost concerns cloud outlook on BGR Ø  Cadila Healthcare’s margins under pressure
Financial Express		Financial Chronicle
Ø  Govt to present Budget on March 16 Ø  SEC to propose new rules for money-market funds Ø  Bilt Q2 net dips 68% at Rs 18.89 cr Ø  Bajaj Corp Q3 net profit rises 49% Ø  Per capita income may cross Rs 60K Ø  United Breweries Q3 net down		Ø  Industry opposes CTT proposal   Ø  GoM allows airlines to directly import jet fuel Ø  Iran agrees on part payment in rupees for oil Ø  JK Lakshmi Q3 net up 10-fold; plans Rs 97-cr buy-back Ø  Phillips Carbon Q3 Net down 31% Ø  Triveni Engineering Q3 net loss at Rs 68 cr

   (Click on link to view article)

Thanks and Regards

IFIN: IFCI Financial Services Limited

Buy Entertainment Network Limited; Target :Rs 291 ::ICICI Securities

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��


C h a l l e  n g  i n g   t i m e  s …
Entertainment Network India Ltd (ENIL) reported its Q3FY12 numbers that
were slightly below our expectations on the topline front but surprised
positively on the bottomline front. The standalone topline stood at | 75.6
crore against our expectation of | 80.1 crore, de-growing 2.5% YoY on
the back of a 0.8% decline in ad revenue. The consolidated topline for the
company stood at | 81.6 crore against our expectation of | 76.8 crore.
However, the company reported a substantial jump in EBITDA margins,
which stood at 41.0% expanding 466 bps YoY on the back of significantly
lower administrative expenses. The consolidated EBITDA margin stood at
40.6%. The company reported standalone PAT of | 18.2 crore growing
45.8% YoY against the PAT of Q3FY11 adjusted for exceptional items.
The consolidated profit stood at | 18.4 crore.
Highlights of the quarter
The radio segment reported an ad revenue decline of 0.8% to | 74.0 crore
primarily due to the absence of high yielding customers who were
replaced by low yielding ones. Blended capacity utilisation, however, saw
an  increase  from  62%  in  Q3FY11  to ~69% in Q3FY12. Standalone
EBITDA margins increased to 41.0% from 36.4% in Q3FY11 primarily due
to lower administrative expenses that declined from | 21.0 crore to | 11.0
crore.
V a l u a t i o n
We have valued the stock on an  SOTP basis, evaluating the radio
business on DCF and event business on EV/sales. Assuming revenue
CAGR of 12.6% over FY11E-20E and terminal growth of 4%, thereon, we
have arrived at a target price of  | 289/share for the radio business. We
have valued the event business at 1.0x FY13 EV/sales to arrive at a
valuation of | 2/share and assigned a target price of | 291. The stock is
currently trading at | 231. Our target price implies an upside potential of
26%. We continue to rate the stock as BUY.

Buy KEC International; Target :Rs 68 ::ICICI Securities

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

O n e - o f f s   b u o y   p r o f i t   a m i d   s t r o n g   e x e c u t i o n …
KEC International’s (KEC) Q3FY12 results were a mixed bag, with
superior execution coming as a positive surprise while continued
pressure on margins played the spoil sport. KEC reported net revenues
of  | 1,459 crore against our expectation of | 1,375 crore. However, on
the margins fronts, it registered an EBITDA of | 112 crore (7.6%) against
our expectation of  |  127 crore. Consequently, lower margins coupled
with high interest costs led to PAT (on an adjusted basis) of | 27 crore
(I-direct estimate: | 48 crore), implying a YoY decline of 53%. On a nonadjusted basis, PAT came in at | 80.6 crore, which includes a one-time
profit on sale of land in Vashi of | 53.8 crore.
ƒ Solid backlog to ensure revenue growth, going ahead…
With order inflows of | 2,500 crore during the quarter and a robust order
book backlog at | 9,200 crore (a 15% YoY increase), revenue visibility for
FY13 remains intact (with book to bill ratio of 1.7x based on TTM
revenues). On the back of a strong order book, we expect revenue CAGR
of 18% over FY11-13E. Out of the total order backlog, the transmission
segment commands the highest share at 67% followed by power systems
at 23%. During Q3FY12, SAE Towers witnessed a 76% YoY rise in
revenues and is running at 85% capacity utilisation levels.
ƒ …but improvement in EBITDA margin to be gradual
EBITDA margins at 7.7% were below our expectations. This was primarily
on account of a high share of fixed price international orders and high
input prices. Going ahead, margins are expected to pick up but at a
gradual pace. We expect margins to range at 8.5-8.7% over FY12E-FY13E.
V a l u a t i o n
Better than expected revenue booking and 15% YoY rise in order backlog
provides comfort on the growth front. Any improvement in EBITDA
margins and movement in working capital will be a positive catalyst. We
value the stock at 8x FY13E EPS to arrive at a target price of | 68/share.