market outlook 120612

7/31/2019 Market Outlook 120612

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Market OutlookJune 12, 2012

www.angelbroking.com


Dealers Diary

The Indian markets are expected to open in the red tracking weak global clues and

a 0.4% decline in SGX Nifty. Most of the Asian stocks are trading in the negative

zone losing 0.6% to 1.5%.

The US markets which opened in the green in response to 100 billion Euros Spain

bailout by other Euro Nations, soon fell in the red, due to concerns that the move

may provide only a temporary relief. The major indices in US fell in the range of

1.25% to 1.7%. While the French CAC Index was down by 0.3%, German DAX

ended the day higher by a marginal 0.2%.

Meanwhile the Indian markets ended lower on Monday bogged by negative

domestic and global news flows. The markets which opened strong after posting

positive gains in the previous five trading sessions fell sharply in the late afternoon

trade after Standard and Poors warned that it may downgrade India to junk status

due to poor growth and weak political leadership.

Markets Today

The trend deciding level for the day is 16,730 / 5,073 levels. If NIFTY trades above

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

up to 16,832 16,996 / 5,105 5,157 levels. However, if NIFTY trades below

16,730 / 5,073 levels for the first half-an-hour of trade then it may correct up to

16,566 16,463 / 5,022 4,989 levels.

SENSEX 16,463 16,566 16,730 16,832 16,996

NIFTY 4,989 5,022 5,073 5,105 5,157

News Analysis

India might be First BRIC to lose investment rating: S&P Infrastructure 4QFY2012 Result ReviewRefer detailed news analysis on the following page

Net Inflows (June 08, 2012)

FII 1,779 1,498 280 (152) 41,786

MFs 285 280 5 820 (5,646)

FII Derivatives (June 11, 2012)

Index Futures 1,747 1,220 527 8,675

Stock Futures 1,238 1,280 (42) 22,505

Gainers / Losers

GVK Power 14 13.8 Lupin 524 (4.0)

Voltas 108 3.8 Sun TV Network 249 (3.5)

Videocon Inds 175 3.2 Union Bank 205 (3.4)

Great Eastern Sh 259 2.8 Havells India 545 (3.2)

Syndicate Bank 100 2.8 Pidilite Inds 169 (3.0)

BSE Sensex (0.3) (50.9) 16,668

Nifty (0.3) (14.3) 5,054

MID CAP (0.2) (11.7) 5,976

SMALL CAP 0.2 13.4 6,340

BSE HC (1.3) (89.2) 6,546

BSE PSU (0.2) (12.8) 6,909

BANKEX (0.5) (51.3) 11,462

AUTO (0.6) (51.5) 9,141

METAL (0.1) (11.8) 10,296

OIL & GAS (0.8) (58.5) 7,722

BSE IT (0.1) (3.2) 5,614

Dow Jones (1.1) (143.0) 12,411NASDAQ (1.7) (48.7) 2,810

FTSE (0.1) (2.7) 5,432

Nikkei 2.0 165.6 8,625

Hang Seng 2.4 451.3 18,954

Straits Times 1.8 49.9 2,788

Shanghai Com 1.1 24.4 2,306

INFY (1.6) (0.7) $42.9

WIT (3.0) (0.3) $8.6IBN (3.7) (1.1) $29.1

HDB (0.5) (0.1) $30.1

Advances 1,472 746

Declines 1,263 678

Unchanged 138 92

BSE 1,947

NSE 9,620


2/13



India might be First BRIC to lose investment rating: S&P

A recently released report by Standard & Poor's (S&P) Ratings Services, indicates

that India could lose its current BBB- rating due to poor growth and weak political

leadership. S&P had earlier revised Indias rating outlook to negative from stable

in April 2012 because of lower GDP growth prospects and the risk that its externalliquidity and fiscal flexibility may erode. However, The S&P report also suggests

that despite recent problems, the Indian economy remains in much better shape to

withstand this period of heightened global uncertainty than it was in the early

1990s, when it suffered a balance-of-payments crisis. The report summarizes that

Indian government's reaction to potentially slower growth and greater vulnerability

to economic shocks could largely determine whether the country can maintain an

investment-grade rating or become the first "fallen angel".

Reacting to this Indias Finance Minister made a statement that no significant

events have taken place during the intervening period since April 2012 to suggest

that the economys vulnerability to shocks have increased.

Infrastructure 4QFY2012 Result Review

Infrastructure players (12 companies chosen for this analysis) have

witnessed yoy average growth of 11.6% on the top-line front in 4QFY2012 against

our estimate of 10.8%. Despite 4Q traditionally being the strongest quarter for

infrastructure companies, we were expecting sluggish performance on the

execution front given the headwinds faced by the sector. EBITDA margins for the

quarter have broadly remained under pressure owing to higher input costs. High

interest cost owing to enhanced debt levels and high interest rate regime continue

to dent profitability. Owing to the above-mentioned reasons, earnings

performance of companies was muted, at average yoy earnings growth coming at

7.3%, albeit higher than our estimate of 3.3%, mainly due to positive surprise from

CCCL, JP Associates (JAL) and ITNL.

For our analysis, we have bifurcated companies

into E&C companies and road developers to gauge the performance separately for

both E&C companies and road developers. Road developers have outperformed

E&C players (except L&T) on all fronts, continuing the historical trend in 4QFY2012

as well.

As witnessed in the past few quarters, high interest cost continues to blow

a hole in the profitability of companies; however, rate cut by the RBI in April 2012

and another cut (25-50bp) expected in June 2012 would provide some relief to

companies. Despite order inflow being dismal for the quarter, companies continue

to have decent order books providing revenue visibility.

Persistent headwinds faced by the industry high interest

rates, policy inaction and slower-than-anticipated revival in industrial capex

continue to haunt the sectors performance.Further, stretched balance sheet and

working capital on the back of investment in subsidiaries and delays in payment

from clients have aggravated the situation. However, infrastructure stocks haveseen some positive movement during the past week as the Prime Minister has

decided to give a push to infrastructure projects and emphasized on boosting

investment in the sector along with hopes of interest rate cut. Battling charges of


3/13



policy paralysis, the Prime Minister has set an investment target of at least `2lakhcr

for core sector projects in FY2013. We believe that although interest rate cuts and

increasing investment in the sector remain key triggers for infrastructure stocks,

removal of bottlenecks like delays in environmental clearance and land-acquisition

issues is also of prime importance for execution pace to pick up.

We believe that stock-specific approach would yield

higher returns given the disparity among these companies and changing dynamics

affecting them positively/negatively. Hence, we prefer companies having 1)

comfortable leverage position; 2) superior return ratios and 3) less dependence on

capital markets for raising equity for funding projects.

Economic and Political News

Crude oil jumps almost 2% on Spain news FY13 to be turnaround year for economy: Finance Minister Government to unveil DTC Bill in next Parliament sessionCorporate News

Car sales grow slowest in 7 months during May12 at 2.78% SBI breaches RBI norms on RIL exposure for 4th year in FY2012 ONGC extends pact with Hindujas for sourcing LNG Tata group to invest over `600cr to open 55 Ginger hotelsSource: Economic Times, Business Standard, Business Line, Financial Express, Mint


4/13

Global economic events release calendar

Date Country Event Description Unit Period Bloomberg Data

Last Reported Estimated

June 12, 2012 India Industrial Production YoY % Change Mar-12 (3.50) 1.70

UK Industrial Production (YoY) % Change Mar-12 (2.60) (1.00)June 13, 2012 US Producer Price Index (mom) % Change Apr-12 (0.20) (0.60)

June 14, 2012 US Initial Jobless claims Thousands 02-Jun-12 377.00 375.00

US Consumer price index (mom) % Change Apr-12 -- (0.20)

Euro Zone Euro-Zone CPI (YoY) % Apr-12 2.60 2.40

IndiaMonthly Wholesale PricesYoY%

% Change Apr-12 7.23 7.50

June 15, 2012 US Industrial Production % Apr-12 1.09 0.10

June 18, 2012 India RBI Repo rate % - 8.00 7.75

India RBI Cash Reserve ratio % - 4.75 4.75

India RBI Reverse Repo rate % Apr-12 7.00 6.75

June 19, 2012 UK CPI (YoY) % Change Apr-12 3.00 --

US Housing Starts Thousands Apr-12 717.00 725.00

US Building permits Thousands Apr-12 723.00 730.00

June 20, 2012 UK Jobless claims change % Change Apr-12 (13.70) --

US FOMC rate decision % Apr-12 0.25 --

June 21, 2012 Germany PMI Manufacturing Value Jun-12 45.20 --

Euro ZoneEuro-Zone ConsumerConfidence

Value May-12 (19.30) --

US Existing home sales Millions Apr-12 4.62 4.57

June 23, 2012 Germany PMI Services Value May-12 51.80 --

June 25, 2012 US New home sales Thousands Apr-12 343.00 --

June 26, 2012 US Consumer ConfidenceS.A./

1985=100May-12 64.90 --

June 28, 2012 Germany Unemployment change (000's) Thousands May-12 -- --

US GDP Qoq (Annualised) % Change Mar-12 1.90 --

UK GDP (YoY) % Change Mar-12 (0.10) --

July 01, 2012 China PMI Manufacturing Value May-12 50.40 --

July 02, 2012 India Imports YoY% % Change Apr-12 3.80 --

India Exports YoY% % Change Apr-12 3.20 --

UK PMI Manufacturing Value May-12 45.90 --

July 05, 2012 UK BOE Announces rates % Ratio Jun-12 0.50 0.50

Euro Zone ECB announces interest rates % Jun-12 1.00 --

July 06, 2012 US Change in Nonfarm payrolls Thousands May-12 69.00 --

US Unnemployment rate % May-12 8.20 --

Source: Bloomberg, Angel Research


June 12, 2012

Market Outlook


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6/13

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

Agri / Agri Chemical

Rallis Neutral 137 - 2,657 1,432 1,647 14.7 14.7 7.0 8.0 19.5 17.1 4.1 3.5 22.8 22.3 1.9 1.6

United Phosphorus Buy 112 183 5,172 8,191 8,764 16.5 16.5 17.1 18.3 6.6 6.1 1.1 0.9 17.5 16.2 0.8 0.7

Auto & Auto Ancillary

Amara Raja Batteries Accumulate 307 345 2,622 2,715 3,041 15.3 15.3 29.2 32.8 10.5 9.4 2.4 2.0 26.0 23.3 0.9 0.8

Apollo Tyres Buy 82 100 4,125 13,699 15,184 10.5 10.2 12.1 13.3 6.8 6.2 1.2 1.1 19.7 18.4 0.5 0.4

Ashok Leyland Buy 27 33 7,144 14,798 16,687 9.6 9.6 2.4 3.0 11.1 9.0 2.2 1.9 14.8 16.5 0.6 0.5

Automotive Axle Accumulate 458 514 692 1,211 1,387 12.1 11.7 50.3 57.1 9.1 8.0 2.3 1.9 27.8 25.7 0.6 0.5Bajaj Auto Buy 1,560 1,835 45,151 22,118 24,889 19.0 18.6 115.7 126.5 13.5 12.3 5.4 4.3 45.0 38.9 1.6 1.4

Bharat Forge Buy 306 372 7,128 7,173 7,998 16.3 16.5 22.3 26.6 13.7 11.5 2.7 2.2 21.0 21.0 1.1 0.9

Bosch India Accumulate 8,840 9,429 27,756 9,390 10,716 19.5 19.1 420.2 471.4 21.0 18.8 4.9 4.1 23.3 21.8 2.7 2.3

CEAT Buy 95 164 325 5,067 5,631 8.0 7.6 39.4 41.0 2.4 2.3 0.4 0.4 18.8 16.5 0.3 0.3

Exide Industries Accumulate 132 146 11,216 5,787 6,595 15.5 17.0 7.1 9.0 18.6 14.7 3.3 2.8 18.6 20.3 1.6 1.3

FAG Bearings Accumulate 1,486 1,594 2,470 1,531 1,748 18.8 18.5 118.0 132.8 12.6 11.2 2.7 2.2 24.0 21.9 1.4 1.1

Hero Motocorp Accumulate 1,978 2,221 39,498 26,106 29,296 15.0 15.2 140.3 148.1 14.1 13.4 6.7 5.1 54.8 43.3 1.2 0.9

JK Tyre Buy 79 135 324 7,950 8,904 5.5 6.0 25.1 38.6 3.1 2.0 0.4 0.3 12.1 16.4 0.3 0.3

Mahindra and Mahindra Buy 680 821 41,757 36,010 40,882 10.0 10.0 47.7 53.3 14.3 12.8 2.8 2.4 21.3 20.6 0.9 0.8

Maruti Buy 1,109 1,510 32,049 42,683 48,736 7.1 7.5 86.6 100.6 12.8 11.0 1.8 1.6 15.3 15.5 0.5 0.5

Motherson Sumi Buy 164 216 6,416 23,342 26,366 7.8 8.2 13.3 18.0 12.3 9.1 2.9 2.3 26.2 28.4 0.5 0.4

Subros Neutral 33 - 196 1,225 1,393 8.5 8.2 4.2 5.0 7.8 6.6 0.8 0.8 10.3 11.8 0.4 0.3

Tata Motors Buy 236 299 62,777 189,676 210,905 12.5 12.6 39.8 45.2 5.9 5.2 2.4 2.0 44.3 41.6 0.5 0.4

TVS Motor Buy 33 44 1,580 7,690 8,459 6.1 6.0 5.0 5.5 6.7 6.0 1.2 1.1 19.0 18.6 0.2 0.1

Capital Goods

ABB* Sell 755 498 16,004 8,760 10,023 6.4 6.4 18.2 20.7 41.4 36.4 5.6 5.0 14.4 14.6 1.8 1.6BGR Energy Neutral 288 - 2,081 4,195 4,837 10.6 10.2 30.1 32.4 9.6 8.9 1.7 1.5 18.4 17.6 1.0 1.0

BHEL Neutral 216 - 52,954 46,344 46,916 16.5 16.5 23.5 24.1 9.2 9.0 1.8 1.6 21.3 18.9 1.0 1.0

Blue Star Neutral 163 - 1,469 3,047 3,328 5.4 6.9 9.6 16.2 17.0 10.1 3.3 2.7 20.7 29.7 0.6 0.5

Crompton Greaves Accumulate 116 133 7,461 12,451 14,265 5.5 6.1 8.0 9.5 14.6 12.3 1.9 1.7 13.9 14.9 0.6 0.5

Jyoti Structures Buy 41 67 337 2,622 2,801 10.6 11.0 10.9 13.4 3.8 3.1 0.5 0.4 12.7 13.9 0.3 0.3

KEC International Buy 52 73 1,333 6,686 7,200 7.7 7.9 10.6 12.2 4.9 4.3 0.9 0.8 25.9 24.0 0.3 0.3

LMW Buy 1,587 1,992 1,788 2,369 2,727 11.7 11.7 143.4 166.0 11.1 9.6 1.8 1.7 17.4 18.4 0.3 0.2

Thermax Reduce 456 426 5,434 5,514 5,559 8.3 8.0 29.7 28.4 15.4 16.1 2.9 2.6 20.2 16.9 0.9 0.8


June 12, 2012

Market Outlook

Stock Watch


7/13



Cement

ACC Neutral 1,150 - 21,589 11,018 12,663 19.9 21.2 70.7 81.2 16.3 14.2 2.8 2.6 18.0 19.0 1.7 1.4

Ambuja Cements Neutral 151 - 23,134 10,035 11,504 23.5 23.8 10.1 10.6 14.9 14.3 2.9 2.6 18.5 19.4 1.9 1.6

India Cements Neutral 73 - 2,241 4,423 4,906 18.2 18.8 9.9 12.7 7.4 5.8 0.6 0.6 8.6 10.5 0.8 0.7

J K Lakshmi Cements Buy 65 79 790 1,938 2,246 19.1 20.1 14.6 16.1 4.4 4.0 0.6 0.5 13.4 13.6 0.5 0.9

Madras Cements Neutral 140 - 3,342 3,444 3,786 25.5 24.9 14.6 17.1 9.7 8.2 1.4 1.2 15.6 16.0 1.6 1.3

Shree Cements Neutral 2,535 - 8,831 5,465 6,249 24.3 23.7 151.5 222.1 16.7 11.4 4.0 3.4 21.6 25.8 1.3 1.0

UltraTech Cement Neutral 1,384 - 37,936 20,116 22,655 21.3 22.5 82.1 97.5 16.9 14.2 2.7 2.3 16.8 17.4 1.8 1.7Construction

Ashoka Buildcon Buy 206 273 1,085 2,014 2,293 22.4 22.4 22.6 26.7 9.1 7.7 1.0 0.9 11.4 11.9 2.4 2.7

Consolidated Co Neutral 13 - 249 2,526 2,792 5.7 6.6 1.8 2.8 7.3 4.7 0.4 0.4 5.5 8.1 0.3 0.3

Hind. Const. Neutral 20 - 1,189 4,239 4,522 11.1 11.8 (1.8) (0.8) (10.9) (25.1) 1.1 1.3 (9.5) (4.7) 1.3 1.2

IRB Infra Buy 119 166 3,970 3,821 4,582 42.3 40.2 15.0 16.9 8.0 7.1 1.2 1.0 16.1 15.8 2.7 2.5

ITNL Buy 185 265 3,598 6,619 7,925 23.8 23.3 22.0 26.7 8.4 6.9 1.2 1.0 14.9 15.9 2.2 2.1

IVRCL Infra Buy 47 61 1,247 5,510 6,722 8.8 9.0 2.5 4.6 18.4 10.2 0.6 0.6 3.4 5.8 0.7 0.7

Jaiprakash Asso. Buy 69 88 14,726 15,259 17,502 25.7 24.7 4.2 5.0 16.3 13.8 1.3 1.2 8.5 9.3 2.3 2.0

Larsen & Toubro Buy 1,283 1,553 78,620 59,559 69,089 12.1 11.5 70.8 76.5 18.1 16.8 2.7 2.4 16.1 15.3 1.5 1.3

Madhucon Proj Buy 38 70 280 2,206 2,502 10.7 10.7 4.6 4.7 8.2 8.1 0.4 0.4 5.2 5.0 0.7 0.7

Nagarjuna Const. Buy 34 41 881 5,453 6,169 8.1 8.5 1.6 1.9 20.9 17.8 0.4 0.4 1.8 2.1 0.6 0.7

Patel Engg. Neutral 91 - 638 3,609 3,836 13.1 13.1 14.0 14.6 6.5 6.3 0.4 0.4 6.3 6.1 1.0 1.1

Punj Lloyd Neutral 47 - 1,566 10,592 12,193 8.4 8.4 2.9 4.6 16.2 10.4 0.5 0.5 3.9 3.1 0.6 0.6

Sadbhav Engg. Buy 138 182 2,068 2,789 3,147 10.6 10.7 8.4 10.4 16.3 13.2 2.2 1.9 15.0 15.6 0.9 0.8

Simplex Infra Buy 215 265 1,063 6,732 7,837 8.1 8.4 23.5 29.4 9.1 7.3 0.8 0.8 9.6 11.0 0.5 0.4

FinancialsAllahabad Bank Accumulate 136 147 6,820 7,392 8,542 3.1 3.1 38.3 42.1 3.6 3.2 0.6 0.5 18.4 17.6 - -

Andhra Bank Neutral 116 - 6,514 5,151 5,843 3.2 3.1 22.4 25.7 5.2 4.5 0.8 0.7 15.8 16.0 - -

Axis Bank Buy 1,037 1,476 42,911 16,157 19,557 3.2 3.2 116.4 139.1 8.9 7.5 1.6 1.4 20.0 20.3 - -

Bank of Baroda Buy 715 925 27,996 15,993 18,918 2.6 2.6 127.3 149.9 5.6 4.8 0.9 0.8 17.8 18.2 - -

Bank of India Accumulate 350 389 20,059 13,558 15,551 2.5 2.4 61.6 70.8 5.7 4.9 0.9 0.8 16.8 16.9 - -

Bank of Maharashtra Neutral 54 - 3,166 3,580 4,050 3.2 3.2 11.5 13.1 4.7 4.1 0.8 0.7 17.4 17.2 - -

Canara Bank Buy 418 493 18,502 12,061 13,906 2.3 2.3 83.1 92.7 5.0 4.5 0.8 0.7 16.7 16.4 - -

Central Bank Neutral 80 - 5,871 6,838 7,912 2.3 2.4 13.8 20.3 5.8 3.9 0.8 0.7 10.9 14.4 - -


June 12, 2012

Market Outlook

Stock Watch


8/13



Financials

Corporation Bank Accumulate 432 468 6,402 5,203 5,880 2.2 2.1 107.5 112.7 4.0 3.8 0.7 0.6 17.9 16.5 - -

Dena Bank Accumulate 98 107 3,434 3,149 3,522 2.8 2.8 23.3 26.1 4.2 3.8 0.7 0.6 17.7 17.0 - -

Federal Bank Neutral 425 - 7,272 2,743 3,131 3.4 3.3 49.7 57.4 8.6 7.4 1.1 1.0 14.1 14.6 - -

HDFC Neutral 657 - 97,080 7,393 8,844 3.5 3.4 31.7 37.9 20.7 17.3 4.1 3.7 34.7 31.9 - -

HDFC Bank Accumulate 540 567 126,918 21,831 27,477 4.3 4.3 28.3 35.5 19.1 15.2 3.7 3.1 20.8 22.1 - -

ICICI Bank Buy 826 1,174 94,882 22,209 26,512 2.8 2.8 67.9 81.1 12.2 10.2 1.5 1.3 14.7 16.0 - -

IDBI Bank Buy 91 113 11,589 8,004 9,589 1.9 2.0 19.9 23.9 4.6 3.8 0.6 0.5 13.8 14.9 - -Indian Bank Accumulate 172 190 7,403 6,312 7,119 3.4 3.3 41.1 43.7 4.2 3.9 0.7 0.6 18.2 16.9 - -

IOB Accumulate 87 92 6,894 7,354 8,283 2.5 2.4 16.3 21.7 5.3 4.0 0.6 0.5 11.5 13.9 - -

J & K Bank Neutral 921 - 4,463 2,535 2,861 3.5 3.4 176.3 184.4 5.2 5.0 0.9 0.8 19.3 17.6 - -

LIC Housing Finance Buy 244 286 12,324 2,108 2,607 2.6 2.6 24.5 30.6 10.0 8.0 1.9 1.6 20.1 21.4 - -

Oriental Bank Accumulate 233 262 6,799 6,431 7,315 2.7 2.6 54.4 63.8 4.3 3.7 0.6 0.5 13.6 14.3 - -

Punjab Natl.Bank Buy 772 1,041 26,178 19,893 23,653 3.1 3.2 153.4 175.2 5.0 4.4 0.9 0.8 18.3 18.1 - -

South Ind.Bank Neutral 24 - 2,690 1,440 1,635 2.7 2.5 3.8 4.1 6.3 5.8 1.2 1.1 19.9 18.6 - -

St Bk of India Accumulate 2,165 2,469 145,251 68,311 79,649 3.6 3.6 230.4 273.4 9.4 7.9 1.5 1.3 18.2 18.8 - -

Syndicate Bank Buy 100 126 5,998 7,133 8,255 3.0 3.0 25.9 30.0 3.8 3.3 0.6 0.5 16.9 17.1 - -

UCO Bank Neutral 76 - 5,025 5,623 6,380 2.4 2.4 16.9 17.9 4.5 4.2 0.8 0.7 16.5 15.4 - -

Union Bank Buy 205 261 11,292 10,215 11,854 2.9 2.8 42.7 50.3 4.8 4.1 0.8 0.7 17.0 17.5 - -

United Bank Buy 66 78 2,381 3,551 4,128 2.7 2.8 18.8 22.6 3.5 2.9 0.5 0.5 15.5 16.5 - -

Vijaya Bank Neutral 58 - 2,867 2,668 3,001 2.2 2.2 10.6 12.2 5.5 4.7 0.8 0.7 13.3 13.8 - -

Yes Bank Buy 342 450 12,102 3,209 4,144 2.7 2.8 33.9 41.5 10.1 8.2 2.1 1.8 23.1 23.3 - -

FMCG

Asian Paints Neutral 3,836 - 36,793 11,423 13,309 16.3 16.3 125.3 148.4 30.6 25.9 10.4 8.2 38.0 35.4 3.1 2.7Britannia Buy 520 633 6,217 5,835 6,824 6.3 6.7 20.7 27.5 25.1 18.9 9.8 7.3 42.7 44.3 1.0 0.9

Colgate Neutral 1,141 - 15,515 3,007 3,417 21.1 22.1 38.2 43.8 29.9 26.1 35.5 27.9 130.2 119.9 5.0 4.4

Dabur India Neutral 105 - 18,283 5,878 6,799 16.8 17.0 4.2 4.9 25.3 21.4 9.2 7.5 39.3 42.0 3.1 2.7

GlaxoSmith Con* Neutral 2,686 - 11,296 3,124 3,663 17.1 11.6 103.0 123.3 26.1 21.8 8.0 6.5 34.0 32.9 3.3 2.7

Godrej Consumer Neutral 556 - 18,905 5,973 7,000 18.4 18.6 22.8 27.2 24.4 20.5 6.7 5.4 31.3 38.4 3.3 2.8

HUL Neutral 435 - 94,047 25,350 29,309 14.3 14.4 14.1 16.4 30.8 26.5 23.0 18.0 82.7 76.2 3.5 3.0

ITC Accumulate 240 252 187,251 29,638 34,159 35.4 35.8 9.3 10.9 25.6 22.0 8.3 6.8 35.3 33.8 6.0 5.2


June 12, 2012

Market Outlook

Stock Watch


9/13



FMCG

Marico Neutral 167 - 10,760 4,667 5,427 12.8 12.9 6.6 8.1 25.1 20.5 6.7 5.3 30.0 28.8 2.3 1.9

Nestle* Neutral 4,509 - 43,470 8,731 10,539 21.0 21.4 119.3 147.9 37.8 30.5 23.2 15.8 73.0 61.6 5.0 4.1

Tata Global Buy 111 136 6,855 7,011 7,711 9.7 10.0 6.3 7.5 17.7 14.8 1.7 1.6 9.5 10.9 0.9 0.8

IT

HCL Tech Buy 482 560 33,425 22,792 25,743 17.4 17.4 37.8 43.0 12.8 11.2 2.8 2.4 22.3 21.3 1.4 1.2

Hexaware Neutral 123 - 3,648 1,821 2,105 19.0 18.6 9.8 10.7 12.6 11.5 2.9 2.5 23.7 22.5 1.7 1.4

Infosys Buy 2,427 2,792 139,363 37,615 42,491 31.1 30.6 158.5 174.5 15.3 13.9 3.5 2.9 22.5 20.8 3.0 2.6Infotech Enterprises Accumulate 165 177 1,838 1,758 1,972 17.0 16.6 16.8 18.6 9.8 8.9 1.3 1.2 13.6 13.2 0.7 0.5

KPIT Cummins Neutral 120 - 2,130 2,028 2,239 15.0 14.8 9.0 11.4 13.3 10.5 2.4 2.0 19.3 18.7 1.0 0.9

Mahindra Satyam Accumulate 76 86 8,961 7,097 7,812 16.2 16.0 7.5 8.0 10.1 9.6 1.3 1.2 13.2 12.3 0.9 0.7

Mindtree Neutral 619 - 2,518 2,172 2,450 16.1 15.5 53.9 58.5 11.5 10.6 2.2 1.8 18.9 17.0 1.0 0.8

Mphasis Accumulate 347 373 7,287 5,608 5,964 17.7 17.3 35.5 36.8 9.8 9.4 1.4 1.2 13.9 12.6 0.8 0.7

NIIT Buy 42 52 688 1,162 1,304 14.8 15.1 7.1 8.8 5.9 4.7 1.0 0.9 16.7 18.4 0.4 0.3

Persistent Neutral 349 - 1,396 1,109 1,224 23.3 22.4 37.2 40.1 9.4 8.7 1.4 1.3 15.4 14.5 0.9 0.8

TCS Neutral 1,236 - 241,991 57,189 66,329 29.3 28.7 63.2 70.9 19.6 17.5 6.0 4.8 30.5 27.7 4.0 3.4

Tech Mahindra Accumulate 666 725 8,488 5,880 6,314 15.6 15.2 75.9 82.2 8.8 8.1 1.8 1.5 20.1 18.1 1.4 1.2

Wipro Accumulate 400 430 98,466 41,918 46,879 19.4 19.9 25.1 28.7 16.0 14.0 3.0 2.6 18.6 18.3 2.0 1.7

Media

D B Corp Buy 188 269 3,443 1,652 1,863 25.7 26.3 13.5 16.1 13.9 11.7 3.1 2.6 24.1 24.4 2.0 1.7

HT Media Buy 98 148 2,311 2,255 2,555 16.3 16.7 9.0 10.6 10.9 9.3 1.4 1.2 13.4 13.8 0.6 0.5

Jagran Prakashan Buy 87 137 2,740 1,499 1,642 27.4 28.8 7.6 9.1 11.4 9.6 3.8 3.4 34.6 37.7 1.8 1.6

PVR Neutral 154 - 400 625 732 17.4 16.9 12.4 15.8 12.4 9.8 2.0 2.1 8.5 9.9 0.8 0.7

Sun TV Network Neutral 249 - 9,795 2,135 2,458 75.2 74.4 20.9 24.0 11.9 10.4 2.8 2.3 26.0 25.1 3.5 2.8Metals & Mining

Bhushan Steel Neutral 451 - 9,584 9,232 13,557 30.8 31.1 48.0 58.6 9.4 7.7 1.2 1.0 14.5 7.5 3.2 2.2

Coal India Accumulate 331 353 209,261 68,841 74,509 25.3 25.3 24.1 26.1 13.8 12.7 3.8 3.1 30.4 26.8 2.1 1.8

Electrosteel Castings Buy 17 27 602 1,984 2,074 10.6 12.0 2.7 3.3 6.5 5.3 0.3 0.1 5.2 6.2 0.4 0.4

Hind. Zinc Buy 117 139 49,584 13,043 14,223 51.8 52.8 14.8 16.6 7.9 7.1 1.5 1.3 21.2 19.9 2.1 1.5

Hindalco Neutral 120 - 23,042 84,652 88,766 9.6 10.5 17.0 18.9 7.1 6.4 0.7 0.6 9.7 9.8 0.5 0.5

JSW Steel Neutral 639 - 14,252 39,592 44,910 18.0 17.7 74.7 88.9 8.6 7.2 0.8 0.7 10.7 11.6 0.7 0.7

MOIL Accumulate 272 296 4,566 1,007 1,091 56.6 56.9 29.4 31.9 9.2 8.5 1.7 1.5 19.0 18.2 2.3 1.9

Monnet Ispat Buy 330 593 2,123 3,115 3,748 22.1 25.1 59.1 66.8 5.6 4.9 0.8 0.7 15.6 15.3 1.4 1.1


June 12, 2012

Market Outlook

Stock Watch


10/13



Metals & Mining

Nalco Reduce 59 54 15,296 8,474 9,024 12.6 16.2 2.6 3.6 23.2 16.6 1.3 1.2 5.6 7.5 1.3 1.3

NMDC Accumulate 166 187 65,993 11,959 13,062 78.2 78.6 19.1 20.9 8.7 8.0 2.1 1.8 27.1 24.4 3.4 2.9

SAIL Neutral 95 - 39,261 50,914 60,785 14.6 15.1 9.4 10.5 10.1 9.0 0.9 0.8 9.2 9.6 1.2 1.1

Sesa Goa Accumulate 187 206 16,209 9,067 9,316 35.7 35.5 44.5 44.3 4.2 4.2 0.9 0.8 23.5 19.5 0.4 0.1

Sterlite Inds Buy 101 123 34,093 45,805 49,029 21.2 23.5 16.5 19.1 6.1 5.3 0.7 0.6 11.5 12.0 0.4 0.2

Tata Steel Buy 410 499 39,805 143,088 148,011 10.9 12.1 53.9 66.0 7.6 6.2 0.9 0.8 12.2 13.4 0.6 0.6

Oil & GasCairn India Buy 321 372 61,165 15,513 16,074 74.0 69.7 51.1 48.6 6.3 6.6 1.1 0.9 18.3 14.8 2.8 2.1

GAIL Buy 337 389 42,729 50,472 55,502 15.3 15.6 35.4 37.0 9.5 9.1 1.7 1.5 19.0 17.2 0.1 -

ONGC Buy 256 321 219,192 156,331 159,043 37.7 36.3 31.3 32.6 8.2 7.9 1.4 1.3 18.7 17.3 1.1 1.0

Reliance Industries Buy 722 897 236,259 316,404 319,119 11.2 12.0 63.5 68.7 11.4 10.5 1.2 1.0 11.7 11.4 0.7 0.7

Pharmaceuticals

Alembic Pharma Buy 52 91 977 1,624 1,855 14.2 15.6 6.6 9.1 7.9 5.7 1.9 1.5 27.5 29.2 0.8 0.7

Aurobindo Pharma Buy 108 156 3,137 5,243 5,767 14.6 14.6 13.8 14.7 7.8 7.3 0.9 0.4 11.4 10.9 0.8 0.6

Aventis* Neutral 2,100 - 4,836 1,482 1,682 15.5 15.5 95.0 104.0 22.1 20.2 3.9 3.1 18.6 17.0 3.1 2.6

Cadila Healthcare Buy 728 953 14,902 6,196 7,443 18.5 19.5 43.3 50.8 16.8 14.3 4.3 3.5 25.4 24.8 2.4 1.9

Cipla Buy 302 379 24,268 7,687 8,804 21.4 21.4 16.5 18.9 18.3 16.0 2.8 2.5 16.7 16.8 3.1 2.7

Dr Reddy's Neutral 1,611 - 27,303 10,696 11,662 20.7 21.0 83.7 92.9 19.3 17.3 4.0 3.4 22.4 21.0 2.7 2.4

Dishman Pharma Buy 53 92 431 1,280 1,536 17.8 17.8 9.2 11.3 5.8 4.7 0.4 0.4 7.7 8.5 1.0 0.8

GSK Pharma* Neutral 1,967 - 16,661 2,651 2,993 31.7 31.2 76.0 82.4 25.9 23.9 7.4 6.5 30.8 29.0 5.3 4.6

Indoco Remedies Buy 56 82 517 685 837 15.2 15.2 7.4 8.9 7.6 6.3 1.1 1.0 15.9 16.3 0.9 0.8

Ipca labs Buy 347 435 4,363 2,850 3,474 20.3 20.3 26.6 32.7 13.0 10.6 3.3 2.7 28.2 27.9 1.7 1.4

Lupin Buy 524 647 23,433 8,426 10,082 19.7 20.0 29.7 32.4 17.7 16.2 4.6 3.7 27.0 25.2 2.7 2.2Orchid Chemicals Buy 120 178 845 2,117 2,434 17.7 17.7 16.7 22.2 7.2 5.4 0.7 0.6 9.5 11.5 1.1 0.9

Ranbaxy* Neutral 484 - 20,415 12,046 11,980 18.0 15.8 35.7 29.8 13.6 16.2 5.1 4.1 43.1 28.1 1.7 1.7

Sun Pharma Neutral 580 - 59,693 9,272 11,080 38.6 38.0 22.7 22.6 25.5 25.7 4.3 3.8 17.9 15.6 5.0 3.9

Power

CESC Buy 281 342 3,506 5,084 5,512 24.2 23.8 45.2 48.5 6.2 5.8 0.7 0.6 11.2 10.9 1.1 1.2

GIPCL Accumulate 67 77 1,016 1,557 1,573 28.8 28.5 10.4 10.9 6.5 6.2 0.7 0.6 10.4 10.2 1.1 1.0

NTPC Neutral 155 - 127,970 74,766 86,549 23.1 23.4 12.4 14.1 12.5 11.0 1.6 1.4 13.0 13.5 2.4 2.2

Real Estate

Anant Raj Buy 50 78 1,462 657 875 52.0 56.1 8.4 12.7 5.9 3.9 0.4 0.3 6.3 8.9 3.5 2.6

DLF Neutral 193 - 32,830 9,878 12,033 44.7 46.1 9.6 13.4 20.2 14.4 1.3 1.2 6.4 8.7 5.8 4.8


June 12, 2012

Market Outlook

Stock Watch


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Real Estate

HDIL Buy 73 115 3,055 2,441 3,344 53.0 46.7 21.4 25.4 3.4 2.9 0.3 0.3 8.4 9.1 3.1 2.3

MLIFE Buy 311 376 1,271 814 897 26.9 27.0 31.3 33.9 9.9 9.2 1.0 0.9 10.2 10.1 1.9 1.7

Telecom

Bharti Airtel Neutral 305 - 115,654 80,961 86,705 33.5 34.0 17.2 20.8 17.7 14.7 2.0 1.8 11.5 12.3 2.1 1.8

Idea Cellular Neutral 78 - 25,715 22,558 25,326 26.4 27.5 3.2 4.7 24.1 16.4 1.8 1.6 7.5 10.0 1.6 1.4

Rcom Neutral 65 - 13,499 22,288 23,871 32.1 32.7 4.4 6.0 14.8 10.9 0.4 0.4 2.4 3.2 2.0 1.7

zOthersBajaj Electrical Buy 186 245 1,853 3,670 4,384 8.5 8.5 18.3 22.3 10.1 8.3 2.2 1.9 23.9 24.3 0.5 0.4

CRISIL Accumulate 1,463 1,628 3,108 1,661 1,918 9.7 12.0 60.7 90.4 24.1 16.2 4.9 4.0 22.0 27.3 1.7 1.4

Finolex Cables Neutral 1,072 - 7,519 982 1,136 34.3 34.3 34.3 40.0 31.2 26.8 14.1 11.3 50.9 46.9 7.2 6.1

Graphite India Accumulate 253 288 320 385 444 17.2 17.4 28.9 32.0 8.8 7.9 1.8 1.5 23.4 21.1 1.0 0.9

Greenply Buy 461 680 600 2,346 2,753 6.7 7.0 50.9 61.9 9.1 7.4 0.5 0.5 5.5 6.3 0.2 0.2

Page Industries Buy 38 61 574 2,334 2,687 8.8 9.3 7.6 10.2 4.9 3.7 0.6 0.6 13.7 16.1 0.2 0.1

Sintex Accumulate 331 374 763 1,511 1,692 7.9 9.0 31.5 41.3 10.5 8.0 2.1 1.7 21.2 23.5 0.3 0.2

Siyaram Silk Mills Buy 88 124 1,726 2,158 2,406 18.1 18.9 12.4 14.0 7.1 6.3 1.0 0.9 14.0 14.3 0.9 0.8

SpiceJet Buy 204 242 817 1,746 1,946 16.5 17.7 22.5 32.9 9.1 6.2 0.9 0.8 10.4 14.2 1.1 1.0

Taj GVK Buy 118 160 272 857 968 6.9 8.4 10.2 16.0 11.7 7.4 1.4 1.2 12.9 17.8 0.4 0.4

United Spirits Neutral 2,582 - 2,282 1,542 1,739 9.4 10.0 116.1 140.8 22.2 18.3 3.2 2.7 15.5 15.9 1.3 1.1

Goodyear Neutral 759 - 1,335 900 1,011 10.2 11.5 35.6 45.7 21.3 16.6 3.1 2.7 15.4 17.2 1.3 1.1

HEG Neutral 226 - 260 1,535 1,842 11.1 11.1 27.3 38.3 8.3 5.9 0.6 0.6 7.9 10.2 0.6 0.6

Hitachi Buy 222 268 1,788 1,315 1,568 8.6 11.1 6.4 10.9 34.8 20.4 2.9 2.8 8.4 13.9 1.7 1.4

Honeywell Automation Buy 10,503 13,106 4,455 12,390 14,400 10.4 11.3 1,334.6 1,638.2 7.9 6.4 1.6 1.3 16.5 17.4 0.6 0.5

Ineos ABS Buy 210 309 507 1,925 2,235 10.6 10.9 29.6 44.1 7.1 4.8 1.2 0.9 16.8 21.0 0.5 0.4ITD Cementation Neutral 2,956 - 3,297 887 1,108 18.3 18.6 95.0 120.9 31.1 24.5 16.2 13.2 57.4 59.5 3.8 3.0

MRF Accumulate 450 478 540 1,019 1,208 11.0 10.8 44.9 53.1 10.0 8.5 2.4 1.9 27.2 25.0 0.7 0.6

Relaxo Buy 57 79 1,545 4,751 5,189 16.3 16.6 13.6 15.8 4.2 3.6 0.6 0.5 12.9 13.2 0.7 0.6

Tata Sponge Buy 249 392 233 1,042 1,173 12.4 12.5 66.3 78.5 3.8 3.2 0.7 0.6 21.1 20.8 0.4 0.4

TVS Srichakra Buy 32 40 1,540 5,647 6,513 3.5 6.5 1.9 4.9 16.4 6.5 38.5 5.6 - - 0.4 0.3

Vesuvius India Buy 321 462 246 1,612 1,827 9.5 9.8 72.3 92.5 4.4 3.5 1.3 1.0 33.1 32.1 0.4 0.3

Abbott India Buy 60 108 378 300 319 35.8 36.2 7.9 9.1 7.6 6.6 1.0 0.9 13.9 14.4 1.6 1.3

Cera Sanitaryware Ltd Buy 293 420 451 757 875 19.0 19.1 63.5 72.9 4.6 4.0 0.7 0.6 16.1 16.1 0.2 -


June 12, 2012

Market Outlook

Stock Watch


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zOthers

Jyothy Laboratories Buy 620 884 8,111 9,501 10,546 15.7 16.0 42.6 51.9 14.6 12.0 1.5 1.4 11.0 12.0 1.6 1.4

Force Motors Accumulate 375 413 762 628 716 16.4 16.5 29.8 34.4 12.6 10.9 2.2 1.9 18.8 18.6 1.1 0.9

Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on June 11, 2012


June 12, 2012

Market Outlook

Stock Watch


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June 12, 2012Market Outlook

market outlook 120612

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