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Centrum Broking 
Deccan Cement Target Rs 1,290
DCL has 50 years of limestone reserves, 18MW of CPPs (~70-75% captive) and easy access to fly-ash and coal. Its manpower and capital costs are one of the lowest in the industry . Its well-diversified sales across entire south and Maharashtra region helped DCL generate higher EBITDAMT and a steadier EBITDA margin compared to its peers. Its return ratios are currently among the best in the industry and are sustainable on its continued strong OCF FCF. DCL has used its strong FCF to delever its balance sheet.
Fiem Industries Target Rs 1,475
Over the years, FIEM has reported robust topline growth and bestinclass margins. Further, the company has not only gained traction with existing clients but has also been adding new clients and products. Extensive R&D setup has enabled FIEM to offer superior design and development capabilities to its customers. FIEM is the first company in India to have an NABL accreditation for photometry lab to test automotive lamps.
IFGL Refractory Target Rs 220
There is a strong opportunity for IFGL to gain steady market share globally with its strong FCF generation and low leverage with consistent payouts. It has wellfunded asset base providing large incremental growth opportunity at very little capex.
Techno Electric Target Rs 445
Our inference of average RoE of 35% and RoCE of 86% in the EPC business. The company's debtequity is among the lowest in the industry . Its strong niche in substation EPC works and ability to compete with large MNCs has helped the company win contracts and deliver on profitability and growth.
Apar Industries Target Rs 705
Apar, with its dominant market share and diverse product mix of conductors, transformer oil and Ebeam cables, will be the key beneficiary of the uptick in the T&D capex cycle. Cost efficiency, pricing discipline, near exhaustion of low margin export orders, efficiency in working capital cycle and FCF yield of 10% at FY18E makes it attractive.
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