DOCSLIB.ORG

Market Outlook

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Market Outlook July 25, 2019 Other Product offerings Derivatives Strategy Underlying Action Power Grid Buy Derivatives View Duration : 1-2 months Click here to see open calls • PRODUCT 1 Positional Quant (Derivatives) Pick Intraday Underlying Action L&T Buy New recommendations in the report Bharti Airtel Buy Action I-Direct Code Target 1 Target 2 Stoploss Time frame Berger Paints Buy Buy PIDIND JULY Fut at | 1228.00-1230.00 PIDIND 1141.0 1159.0 1117.0 Intraday Sell UNIP JULY Fut at | 610.00-611.00 UNIP 601.0 586.0 621.0 Intraday Click here to see open calls For Instant• PRODUCTstock ideas: 2 Retail Equity Research Equity Retail SUBSCRIBE to mobile notification – on ICICIdirect Mobile app… Research Analysts Raj Deepak Singh Amit Gupta Securities ICICI [email protected] [email protected] Nandish Patel Dipesh Dedhia [email protected] [email protected] Intraday Outlook: Buy Bank Nifty in range of 28900-28950 Index Outlook80 Nifty Future: The Nifty is likely to open flat on the back of mixed global cues. Sell Nifty in the range of 11305-11322 Target: 11288-11263, Stop loss: 11339 Bank Nifty Future Volatility remained high in banking stocks while selling spree continued in PSU banks along with Axis Bank. The index ended at the lowest levels since May 17, 2019. We feel selling will continue. The index is likely to slide towards 28500 in coming days. Buy Bank Nifty in the range of 28900-28950, Target: 29050-29150, Stop loss: 28800 View Derivatives F&O Highlights The Nifty started the day below its highest Put base of 11300 and remained under pressure throughout the day. Stock specific selling continued where PSU banks along with other heavyweights continued their downfall. The market breath was negative whereas IVs further contracted by 5% Stock Analysis Long build-up/short covering: Asian Paints, Torrent Pharma, Indigo, Pidilite Industries and HDFC group Short build-up/profit booking: Jubilant Foodworks, UPL, IGL, Muthoot Finance, L&T, UPL Ltd and Biocon FIIs & DII Action FIIs sold | 1394 crore while DIIs bought | 2140 crore in the cash segment. FIIs sold index futures worth |1263 crore while in index options they sold | 1776 crore. In the stock futures segment, they sold | 187 crore Intraday Recommendations Retail Equity Research Equity Retail – i) Pidilite Industries ii) UPL Ltd 22 Buy PIDIND JULY Fut at | 1228.00-1230.00 Sell UNIP JULY Fut at | 610.00-611.00 Note: CMP: 1228 CMP: 611 Call initiation message will be broadcast on iclick-2-gain Target 1: 1141 Target 2: 1159 Target 1: 601 Target 2: 586 Securities ICICI Stop Loss: 1117 Stop Loss: 621 Source: NSE, Seediff, Bloomberg ICICI Direct Research July 25, 2019 ICICI Securities Ltd. | Retail Equity Research Back Daily Nifty Snapshot Highlights of the last session & Pivot Levels Spot Fut Basis Future OI PCR OI PCR Vol ATM IV Nifty futures ended at a Current 11271 11278 7 21914775 0.96 1.03 12.76 premium of 7 point with Previous 11331 11334 3 21335325 1.07 1.05 13.45 a fall in IVs by 5.41% Change (%) -0.53% -0.49% - 2.72% - - -5.41% Pivot levels (July) S3 S2 S1 Piv R1 R2 R3 Nifty future 11029 11158 11218 11287 11347 11416 11545 Bank Nifty future 28337 28701 28839 29065 29203 29429 29793 Monthly Nifty Options OI build-up 40 Call OI Put OI 35 The highest Put base is at 11300 30 strike with almost 22 lakh shares 25 while the highest Call base is at the 20 11400 strike with 37 lakh shares OI in Lacs OI 15 10 5 0 Retail Equity Research Equity Retail Note: The given index recommendation in – 11100 11200 11300 11400 11500 11600 11700 11000 this report is intraday recommendation and Strategy follow up should not be linked with positional view & recommendations given in Derivatives Date Stock View Strategy Reco Target SL P&L Comment Strategy report, which may have a different 24-Jul-19 BERPAI Buy Long Fut 313.5 316.5 310.8 - Not Initiated view Securities ICICI 24-Jul-19 TITIND Sell Short Fut 1096.0 1088.0 1104.0 - Not Initiated Back Source: NSE, Seediff, Bloomberg ICICI Direct Research July 25, 2019 ICICI Securities Ltd. | Retail Equity Research 3 Recommended Stocks : Historical price performance… price Historical : Stocks Recommended July 25,July 2019 Source: NSE, Seediff , Bloomberg Bloomberg , ICICI Direct Research Direct ICICI ICICI Securities Ltd. | Retail Equity Research Equity | Retail SecuritiesLtd. ICICI Pidilite UPL Ltd UPL 1400 Industries 1200 1000 800 600 400 200 0 6-Jul-17 6-Jul-19 6-Jul-18 6-Jan-18 6-Jan-19 6-Sep-18 6-Sep-17 6-Nov-18 6-Nov-17 6-Mar-18 6-Mar-19 6-May-19 6-May-18 800 700 600 500 400 300 200 100 0 6-Jul-18 6-Jul-19 6-Jul-17 6-Jan-18 6-Jan-19 6-Sep-17 6-Sep-18 6-Nov-18 6-Nov-17 6-Mar-19 6-Mar-18 6-May-18 6-May-19 4 ICICI Securities – Retail Equity Research Weekly Recommendation Weekly future recommendation Short Marico (MARLIM) July future in range of | 367-368. Target: |342; Stop Loss: | 381 Rationale Broader markets have declined sharply last week while sell-off was observed across sectors. The outperforming space like FMCG has also come under pressure amid fresh short additions. Stocks like Marico, which have been quite resilient recently witnessed Derivatives View fresh short additions to the tune of almost 15% last week itself indicating expectation of further downsides. The stock was finding it tough to move above | 375 levels despite many attempts in the last couple of weeks. We believe these levels were utilised for creating short positions. We expect it to move towards | 340 levels in the coming sessions. Price performance 450 400 350 300 250 200 150 100 50 0 Retail Equity Research Equity Retail – 29-Jul-17 31-Jul-18 29-Oct-17 31-Oct-18 30-Apr-18 30-Apr-19 28-Feb-18 28-Feb-19 29-Jan-18 31-Jan-19 29-Jun-17 30-Jun-18 30-Jun-19 29-Sep-17 30-Sep-18 29-Dec-17 31-Dec-18 29-Nov-17 30-Nov-18 29-Aug-17 31-Aug-18 31-Mar-19 31-Mar-18 31-May-19 31-May-18 Recommendation follow up Underlying View Strategy Reco Target Stoploss Profit/Loss Comment Securities ICICI Apollo Hospitals Bullish Long Futures 1373 1460 1305 12500 Profits Booked Source: Bloomberg, ICICI Direct Research 5 July 25, 2019 ICICI Securities Ltd. | Retail Equity Research Nifty moving towards 11300 in expiry week… • The Nifty succumbed to FII selling pressure and declined from the highest Call base of 11700, which remains a short-term hurdle for the market on intermediate pullbacks. The index is heading towards 11300 Put strike, which gained open interest since the Budget day • Nifty futures open interest has reduced, which indicates towards liquidation of long positions. FIIs closed cash positions to the tune of | 1400 crore just before the FM’s announcement on FPI taxation • Volatility has reverted from lower levels but is still quite low near 12%. Heavy selling in Call strikes has led to these lower volatility levels and restricted the Nifty recovery above 11700 • Nifty future premium has reduced in the last couple of weeks. Last week, it declined from 10 to -6 and has ended par to negative during the week. This translates into current profit booking trend in the market. It may still take some time for the index to start getting the momentum back Nifty options OI build-up 40 Call OI Put OI 35 30 25 Retail Equity Research Equity Retail 20 – OI in Lacsin OI 15 10 5 0 11100 11200 11300 11400 11500 11600 11700 11800 11900 12000 ICICI Securities Securities ICICI Source: Bloomberg, ICICI Direct Research July 25, 2019 ICICI Securities Ltd. | Retail Equity Research 6 Bank Nifty: 30200 hurdle on upsides… . For the major part of the week, the Bank Nifty continued its consolidation and remained above 30500 levels. However, on the weekly expiry day, it closed below these levels which acted as a turning point. Cash based selling by FII’s pushed Bank Nifty well below its sizeable Put base of 30000 . Despite bond yields falling to two and half year lows, there was no major buying trigger in banking stocks. Call writing blocks were seen in most private banks, which kept the index move in check and finally gave up all its gains . As the index slipped below 30000 levels, Call writing OI blocks were seen in 30200 strikes which would continue to act as a hurdle going forward. On the lower side, Bank Nifty may decline towards 29400 which be the target, going forward . On the back of selling in banking stocks, the current price ratio of Bank Nifty/Nifty has moved lower to 2.60 levels. We feel the ongoing trend will continue and selling is likely to accelerate once Bank Nifty manages to close below 29500 levels Bank Nifty options OI build-up 900 Put OI Call OI 800 700 600 Research Equity Retail – 500 400 300 200 OI OI Thousands in 100 ICICI Securities Securities ICICI 0 29600 29700 29800 29900 30000 30100 30200 30300 30400 30500 30600 30700 30800 30900 Source: Bloomberg, ICICI Direct Research July 25, 2019 ICICI Securities Ltd. | Retail Equity Research 7 Global markets remain on edge as trade friction, growth concerns linger… • The S&P index is likely to snap two-week consecutive gains as resurfacing US-China trade concerns as well as US-Iran geo-political worries are weighing on risk sentiment.
Load more

Recommended publications
  • Model Portfolio Update
    Model Portfolio update January 21, 2016 LatestDeal Team Model – PortfolioAt Your Service Large cap Midcap Name of the company Weightage(%) Name of the company Weightage(%) Auto 14 Aviation 6 Tata Motor DVR 4 Interglobe Aviation 6 Bosch 3 Auto 6 Maruti 4 Bharat Forge 6 EICHER Motors 3 BFSI 6 BFSI 23 BjjFiBajaj Finserve 6 HDFC Bank 8 Capital Goods 6 Axis Bank 3 HDFC 8 Bharat Electronics 6 Bajaj Finance 4 Cement 6 Capital Goods 5 Ramco Cement 6 L & T 5 Consumer 24 Cement 3 Symphony 6 UltraTech Cement 3 Supreme Ind 6 FMCG/Consumer 14 Kansai Nerolac 6 ITC 7 Pidilite 6 United Spirits 2 FMCG 8 Asian Paints 5 Nestle 8 IT 21 Infrastructure 8 Infosys 10 NBCC 8 TCS 8 Oil & Gas 6 Wipro 3 Meida 2 CtlCastrol 6 Zee Entertainment 2 Logistics 6 Metal 2 Container Corporation of India 6 Tata Steel 2 Pharma 12 Oil & Gas 4 Natco Pharma 6 Reliance Industries 4 Torrent Pharma 6 Pharma 12 Textile 6 Lupin 5 Arvind 6 Dr Reddys 4 Total 100 Aurobindo Pharma 3 Total 100 • Exclusion - Eicher Motors, Bajaj Finance (transferred to large cap), PVR, • Exclusion- State Bank of India, Bharti Airtel and ONGC CARE, Cummins & Shree Cement • Inclusion – Eicher Motors, Bajaj Finance (transferred from midcap), Wipro, • Inclusion – Ramco Cement, Bajaj Finserv, Supreme Industries, Indigo, Reliance Industries & Aurobindo Pharma Pidilite, Bharat Electronics and Bharat Forge Source: Bloomberg, ICICIdirect.com Research *Diversified portfolio - Combination of 70% large cap and 30% midcap portfolio OutperformanceDeal Team – At continues Your Service across all portfolios… • Our indicative large cap equity model portfolio (“Quality -20”) has • In the large cap space we continue to remain positive on pharma & IT.
    [Show full text]
  • Annexure to the Board Report | L&T Annual Report 2019-20
    Annexure ‘A’ to the Board Report and EnPI reduction of CG moulding energy consumption. Information as required to be given under Section 134(3) zz Implemented Smart COMM Energy Management (m) read with Rule 8(3) of the Companies (Accounts) system at ASW & Digital Dashboard. Rules, 2014. zz Replacement of conventional light fittings with [A] CONSERVATION OF ENERGY: Solar lighting system in SSII, Open yard-5 and (i) Steps taken or impact on conservation of Grit blasting & painting areas at Production/ energy: Utility areas at EWL Kancheepuram factory and Kansbahal works. zz Implementation of LED lights in HE-Hazira campus and other project sites and Solar Pipes in zz Replacement of conventional MH Lamps and SG fabrication area. fluorescent tube lights by LED lamps in working areas at office and projects as well as for street zz Installation of an Off Grid Mini-Solar Power Plant for meeting the energy requirement of site & lights. workmen habitats at Ranchi Smart City Project. zz Installation of energy efficient water coolers and submersible pumps zz Installed Local Pre/ Post Weld Heat Treatment (PWHT) using PID Technology which ensures zz Replacing existing aged inefficient Split AC units uniform heating and reduction in energy with energy efficient units wastage. zz Utilization of Chiller for HVAC System – Campus zz Implemented the use of Metal Halide (400 Watt) FMD initiated and control the chiller running EOT Crane under bay lights with LED Lights. hour for HVAC need during holidays and extended working hours. zz Installed Energy efficient burners for Furnaces and pre heating. zz Initiative has been taken for replacement of Air-Cooled Chiller with Water Cooled Chiller.
    [Show full text]
  • List of Nodal Officer
    List of Nodal Officer Designa S.No tion of Phone (With Company Name EMAIL_ID_COMPANY FIRST_NAME MIDDLE_NAME LAST_NAME Line I Line II CITY PIN Code EMAIL_ID . Nodal STD/ISD) Officer 1 VIPUL LIMITED [email protected] PUNIT BERIWALA DIRT Vipul TechSquare, Golf Course Road, Sector-43, Gurgaon 122009 01244065500 [email protected] 2 ORIENT PAPER AND INDUSTRIES LTD. [email protected] RAM PRASAD DUTTA CSEC BIRLA BUILDING, 9TH FLOOR, 9/1, R. N. MUKHERJEE ROAD KOLKATA 700001 03340823700 [email protected] COAL INDIA LIMITED, Coal Bhawan, AF-III, 3rd Floor CORE-2,Action Area-1A, 3 COAL INDIA LTD GOVT OF INDIA UNDERTAKING [email protected] MAHADEVAN VISWANATHAN CSEC Rajarhat, Kolkata 700156 03323246526 [email protected] PREMISES NO-04-MAR New Town, MULTI COMMODITY EXCHANGE OF INDIA Exchange Square, Suren Road, 4 [email protected] AJAY PURI CSEC Multi Commodity Exchange of India Limited Mumbai 400093 0226718888 [email protected] LIMITED Chakala, Andheri (East), 5 ECOPLAST LIMITED [email protected] Antony Pius Alapat CSEC Ecoplast Ltd.,4 Magan Mahal 215, Sir M.V. Road, Andheri (E) Mumbai 400069 02226833452 [email protected] 6 ECOPLAST LIMITED [email protected] Antony Pius Alapat CSEC Ecoplast Ltd.,4 Magan Mahal 215, Sir M.V. Road, Andheri (E) Mumbai 400069 02226833452 [email protected] 7 NECTAR LIFE SCIENCES LIMITED [email protected] SUKRITI SAINI CSEC NECTAR LIFESCIENCES LIMITED SCO 38-39, SECTOR 9-D CHANDIGARH 160009 01723047759 [email protected] 8 ECOPLAST LIMITED [email protected] Antony Pius Alapat CSEC Ecoplast Ltd.,4 Magan Mahal 215, Sir M.V. Road, Andheri (E) Mumbai 400069 02226833452 [email protected] 9 SMIFS CAPITAL MARKETS LTD.
    [Show full text]
  • Havells India (HAVIND)
    Havells India (HAVIND) CMP: | 1031 Target: | 1215 (18%) Target Period: 12 months BUY May 22, 2021 Strong recovery across product segments... Havells continued its growth momentum in Q4FY21 with topline growth of 50% YoY in line with our estimate of 48%. The company witnessed strong Particulars revenue growth in all business verticals cables, switchgears, electrical Particular Amount consumer durable (ECD), Lloyd, lightings and others by 51%, 53%, 71%, Market Capitalization (| Cr) 64,324.1 29%, 40% and 71%, respectively. The management reiterated market share Total Debt (FY21) (| Cr) 393.7 gains, strong demand traction in rural helped drive sales recovery for Havells Cash and Inv (FY21) (| Cr) 1,931.0 India in Q4 and in FY21. The company reported ~11% topline growth in EV (| Cr) 62,786.7 FY21 despite a washout in Q1. The key takeaways from conference call are: 52 week H/L 1238 / 454 Equity capital (| Cr) 62.6 Update Result 1) strong sales traction in first two weeks of April 2021 before lockdown Face value (|) 1.0 sseSFsfsf imposed in many states, 2) May sales hit by lockdown across the country, 3) price hikes of 10% in fans and 45-50% in cable business to offset Price Performance sseSFsfsf inflationary pressure, 4) focus on capacity building of Lloyd (future launches in refrigerators and washing machines categories), 5) focus on tapping rural 1400 20000 1200 and semi urban markets for the long term. However, considering lockdowns 1000 15000 and higher input prices, we revise our FY22E revenue, PAT estimate 800 10000 downward by ~7%, 6%, respectively. 600 400 5000 200 Strong b/s helps navigate challenging scenario 0 0 Havells India reported revenue, PAT CAGR of ~13%, ~15%, respectively, in Oct-18 Apr-21 Jan-20 Jun-20 Dec-17 Nov-20 Aug-19 Mar-19 the last 10 years with EBITDA margin expansion of 200 bps YoY to 15%.
    [Show full text]
  • Avenue Supermarts (DMART IN)
    Avenue Supermarts (DMART IN) Rating: BUY | CMP: Rs3,378 | TP: Rs3,686 July 10, 2021 Rising Footfalls, Online scalability Positive Q1FY22 Result Update Quick Pointers: Change in Estimates | ☑ Target | Reco . Q1FY22 saw a stronger second wave resulting in loss of more days or higher restriction on number of hours of store operations. Change in Estimates Current Previous . No significant impact on supply chain during the quarter, Inventory moving FY22E FY23E FY22E FY23E Rating BUY BUY towards normal levels. Target Price 3,686 3,366 Sales (Rs. m) 2,89,846 4,08,606 2,89,846 4,08,606 D’Mart 1Q results depicted impact of a strong second wave with business % Chng. - - EBITDA (Rs. m) 23,781 37,290 23,781 37,290 loss of more days (versus last year) and higher restriction on operating hours % Chng. - - /non-essential sales. However, rising footfalls, vaccination drive, 203% sales EPS (Rs.) 22.5 36.0 22.5 36.0 % Chng. - - growth in D’Mart ready and work on new store openings is positive. Key Financials - Consolidated Despite near term challenges we remain optimistic about the long term Y/e Mar FY20 FY21 FY22E FY23E potential of D’Mart on back of 1) Increasing scale and scope D’Mart Ready 2) Sales (Rs. m) 2,48,702 2,41,431 2,89,846 4,08,606 Extending offerings on D’Mart ready app to include general merchandise, EBITDA (Rs. m) 21,284 17,431 23,781 37,290 fresh food and vegetable 3) Growth in General merchandise sales over lower Margin (%) 8.6 7.2 8.2 9.1 PAT (Rs.
    [Show full text]
  • Indigo Paints Ltd
    Stock Idea Sector: Consumer Goods August 23, 2021 Indigo Paints Ltd Paint your portfolio bright Powered by Sharekhan’s 3R Research Philosophy Indigo Paints Ltd Paint your portfolio bright Stock Idea Stock Powered by the Sharekhan 3R Research Philosophy Consumer Goods Sharekhan code: INDIGOPNTS Initiating Coverage 3R MATRIX + = - Summary We initiate coverage on Indigo Paints Ltd (IPL) with a Buy and assign a target price of Rs. 3,305. Right Sector (RS) ü Differentiated business model, excellent return profile and strong structural growth outlook will keep valuation at a premium of 60x/44x its FY2023/24E earnings versus peers. Right Quality (RQ) ü With a differentiated product portfolio and bottom-up approach, IPL is emerging as one of India’s fastest growing paints companies. Revenues and PAT clocked a CAGR of 22% and 71% over FY2018-21. Right Valuation (RV) ü Gross margins are highest among peers at ~48% led by IPL’s locational advantage and healthy mix of revenues from differentiated products. + Positive = Neutral - Negative Better working capital management has kept net working capital cycle low at 13-14 days. Operating cash flows (OCF) improved from Rs. 42.8 crore to Rs. 101.4 crore over FY2019-21. Reco/View Indigo Paints Limited (IPL) is an emerging player, which has created a niche for itself in the highly competitive paints industry by launching differentiated products, creating brand equity through one prominent brand ‘Indigo’ and follow bottoms-up approach to expand its distribution in the Reco: Buy domestic market. It has market share of 2% but has strong potential to improve it in the coming years.
    [Show full text]
  • Srinivas University M Ba I Year (2017-2019 Batch)
    SRINIVAS UNIVERSITY M BA I YEAR (2017-2019 BATCH) INDUSTRY ANALYSIS COLLEGE OF BUSINESS MANAGEMENT AND COMMERCE SL . REG. NO. STUDENT NAM E INDUSTRY ANALYSIS NO. INDIAN OIL 1 2017MBARG101 ABDUL AKHIL VOLTAS LTD CORPORATION LTD HOUSING AND URBAN RELIANCE INDUSTRIES 2 2017MBARG102 ABDUL RAVUF DEVELOPMENT LTD CORPORATION LTD STERLITE 3 2017MBARG103 AHMAD MUBSHER STATE BANK OF INDIA TECHNOLIGIES LTD AKSHATA LAXMAN SHIPPING 4 2017MBARG104 TATA MOTERS LTD NAYAK CORPORATION LTD GREAT EASTERN 5 2017MBARG105 AMAL S V RAJESH EXPORT LTD SHIPPING LTD 6 2017MBARG107 ANUSH RAJ BHARATH PETROLIUM KARNATAKA BANK LTD ARPITA NAGAPPA OIL AND NATURAL GAS 7 2017MBARG108 D S M SHRIRAM LTD HOSALLI CORPORATION LTD 8 2017MBARG109 ARUN RAJ COAL INDIA LTD ASAHI INDIA GLASS LTD TATA CONSULTENCY 9 2017MBARG110 AZEEM SHESHAD N M SPML INFRA LTD SERVICE LTD AZIZAHMAD IBRAHIM UNITED BANK OF INDIA 10 2017MBARG111 P & G LTD TANJI LTD 11 2017MBARG112 CHETHANA TATA STEEL LTD CEAT LTD LARSEN AND TOUBRO INFINITE COMPUTER 12 2017MBARG113 DEEKSHITH POOJARY LTD SOLUTIONS(INDIA LTD) HINDALCO INDUSTRIES PIDILITE INDUSTRIES 13 2017MBARG114 DEEPIKA P LTD LTD 14 2017MBARG115 DENSIL GEORGE BHARTI AIRTEL LTD KUSHAL LTD 15 2017MBARG116 DHANYASHREE K HDFC BANK LTD CASTROL INDIA LTD MAHINDRA & 16 2017MBARG117 DILSHANA K AIA ENGINEERING LTD MAHINDRA LTD FATHIMATH RAHEEMA ENDURANCE 17 2017MBARG118 NTPC LTD K TECHNOLOGY MAHINDRA CIE 18 2017MBARG119 FREDIN DOMINIC RELIANCE POWER LTD AUTOMOTIVE LTD GAYATRI GAJANANA RAYMOND COMPANY 19 2017MBARG120 INFOSYS LTD PAI LTD MARUTI SUZUKI INDIA AMARA
    [Show full text]
  • Sharekhan Special August 31, 2021
    Sharekhan Special August 31, 2021 Index Q1FY2022 Results Review Automobiles • Capital Goods • Consumer Discretionary • Consumer Goods • Infrastructure/Cement/Logistics/Building Material • IT • Oil & Gas • Pharmaceuticals • Agri Inputs and Speciality Chemical • Miscellaneous • Visit us at www.sharekhan.com For Private Circulation only Q1FY2022 Results Review In-line quarter, healthy outlook Results Review Results Summary: After ending FY2021 on a strong note, Q1FY2022 earnings of broader indices showed a promising start (Nifty/ Sensex companies’ PAT rose 100%/66% y-o-y) in the new fiscal with strong growth momentum on low base. Management commentaries on earnings outlook remained positive, on improving economic activity post second COVID-19 wave and anticipation of strong demand revival. Demand recovery and ramp-up of vaccinations look encouraging. We expect economic activity to increase in the upcoming festive season. Nifty trades at 23x and 20x EPS based on FY2022E/FY2023E EPS, at a premium to mean average. Valuation gap between large and mid-caps has shrunk, we advise investors to focus on stocks with strong earnings growth potential with reasonable valuation. High-conviction investment ideas: o Large-caps: Infosys, ICICI Bank, M&M, L&T, UltraTech, SBI, HDFC Ltd, Godrej Consumer Products, Divis Labs and Titan. o Mid-caps: NAM India, BEL, Gland Pharma, Dalmia Bharat, Laurus Labs, Max Financial Services, LTI. o Small-caps: TCI Express, Kirloskar Oil, Suprajit Engineering, Repco Home Finance, PNC Infratech, Mahindra Lifespaces, Birlasoft. After ending FY2021 on a strong note, Q1FY2022 corporate earnings of broader indices showed a promising start with continued strong growth momentum on the low base of Q1FY2021, though it was along the expected lines.
    [Show full text]
  • S.No. Scrip Name Symbol Series Leverage (In Times) 1 MARICO
    SCRIPS AVAILABLE FOR INTRADAY WITH LEVERAGES PROVIDED ON THEM Leverage Scrip Name Symbol Series (in times) S.No. 1 MARICO LIMITED MARICO 7.61 2 DABUR INDIA LIMITED DABUR 7.92 3 HINDUSTAN UNILEVER LIMITED HINDUNILVR 7.48 4 COLGATE PALMOLIVE (INDIA) LIMITED COLPAL 7.48 5 NESTLE INDIA LIMITED NESTLEIND 7.39 6 Alkem Laboratories Limited ALKEM 6.91 7 TATA CONSULTANCY SERVICES LIMITED TCS 7.24 8 DR. REDDY'S LABORATORIES LIMITED DRREDDY 6.54 9 PIDILITE INDUSTRIES LIMITED PIDILITIND 7.07 10 GODREJ CONSUMER PRODUCTS LIMITED GODREJCP 5.79 11 POWER GRID CORPORATION OF INDIA LIMITED POWERGRID 6.46 12 ACC LIMITED ACC 6.61 13 NTPC LIMITED NTPC 6.64 14 ITC LIMITED ITC 7.05 15 ASIAN PAINTS LIMITED ASIANPAINT 6.52 16 BRITANNIA INDUSTRIES LIMITED BRITANNIA 6.98 17 BERGER PAINTS (I) LIMITED BERGEPAINT 6.78 18 EXIDE INDUSTRIES LIMITED EXIDEIND 6.89 19 HDFC BANK LIMITED HDFCBANK 6.63 20 DIVI'S LABORATORIES LIMITED DIVISLAB 6.69 21 MRF LIMITED MRF 6.73 22 INDIAN OIL CORPORATION LIMITED IOC 6.49 23 BAJAJ AUTO LIMITED BAJAJ-AUTO 6.64 24 SIEMENS LIMITED SIEMENS 6.40 25 THE RAMCO CEMENTS LIMITED RAMCOCEM 6.23 26 TORRENT POWER LIMITED TORNTPOWER 6.10 27 UNITED BREWERIES LIMITED UBL 6.16 28 INFOSYS LIMITED INFY 6.82 29 CIPLA LIMITED CIPLA 6.52 30 Pfizer Limited PFIZER 6.41 31 PETRONET LNG LIMITED PETRONET 6.45 32 UNITED SPIRITS LIMITED MCDOWELL-N 6.24 33 CADILA HEALTHCARE LIMITED CADILAHC 5.97 34 WIPRO LIMITED WIPRO 6.10 35 SUN PHARMACEUTICAL INDUSTRIES LIMITED SUNPHARMA 6.18 36 BATA INDIA LIMITED BATAINDIA 6.44 37 LARSEN & TOUBRO LIMITED LT 6.38 38 ULTRATECH CEMENT
    [Show full text]
  • Consumer Durables22apr21
    Consumer Durables Sector Update April 26, 2021 PLI to foster component ecosystem Government has approved the Production Linked Incentive (PLI) Scheme for Air Conditioners and LED Lights to be implemented over FY22 to FY29 with a PL Universe budgetary outlay of Rs62.4bn (4-6% incentive on incremental sales over base year FY20). Given the contours of the scheme, we believe this shall promote Companies Rating CMP (Rs) TP (Rs) onshore manufacturing of critical components like Compressors, Motors, PCBs, LED chips amongst others. We remain unsure on the participation of Bajaj Electricals BUY 1,135 1,033 CG Cons. Elec. BUY 354 447 local brands like Voltas, Havells etc. given the capital intensive nature and Havells India Hold 1,006 1,128 need of large economies of scale for these components. Nevertheless, Polycab India BUY 1,485 1,480 creation of a robust component ecosystem by ancillary entities remains a Voltas Hold 939 1,000 positive for brands as it shall help 1) accelerate import substitution and 2) Source: PL shrink lead times thereby reducing working capital requirements. We continue to maintain our positive stance on consumer durables space given huge penetration scope and market consolidation. Amongst our coverage universe, Voltas/ Lloyd (Havells) stand to benefit from AC PLI while Crompton, Havels, Bajaj and Polycab to benefit from the LED Lights PLI. Key Highlights of the Scheme: . To incentivize manufacturing of components of Air Conditioners and LED Lights over FY22-FY29 with a budgetary outlay of Rs62.4bn. Categories within Air Conditioner: . AC Components: High Value Intermediates or Low Value Intermediates or Sub-assemblies or a Combination thereof .
    [Show full text]
  • Indian Entrepreneur Fund (I) Fund Factsheet I February 2013
    INDIAN ENTREPRENEUR FUND (I) FUND FACTSHEET I FEBRUARY 2013 Indian Entrepreneur Fund (IEF): Objective: Launched in March 2010, Indian Entrepreneur Fund aims to invest in “Entrepreneur run and/or family owned businesses”*; listed on the Indian stock markets, for compounding gains over the medium to long term. Indian Entrepreneur Fund aims to invest in high growth (listed) businesses owned and managed by Indian entrepreneurs/families for superior long term wealth creation. IEF will be a portfolio of 18-20 high growth, high quality businesses (mostly mid-size) led by entrepreneurs with vision and integrity, capable of at least doubling their bottom line in the next 3-4 year period. Research methodology and brief rationale: Our study covered the universe of Top 500 listed companies by market cap and we segregated them into four categories based on their ownership structures - Entrepreneur run/ Family Owned Businesses (FOBs), Public Sector Undertakings (PSUs), Multi National Corporations (MNCs) and Pure Professional Firms. Since the widely held professional firms were only a handful in number, the three categories were taken up for intensive analysis and compared against a host of criteria i.e. sales growth, profit growth, operating margins, capital efficiency – RoE & RoCE and wealth creation. In each of the above comparisons, the entrepreneur run/family owned businesses fared exceedingly well. The summary of the findings are as below: Following are the findings and salient features of the research on Indian Entrepreneur and for Family Owned Companies: § Continued Dominance of Entrepreneur / Family owned firms § Entrepreneur/Family Owned Firms comprise ~70% of India’s market cap (in 1999 it was ~60% ) § Fastest growing businesses § Both Sales and Profits grew at ~30% CAGR over last 8 years § Superior operating margins § Over 20% OPMs consistently since 2002 to 2011.
    [Show full text]
  • Inner 32 Arbitrage Fund Low
    Tata Arbitrage Fund (An open ended scheme investing in arbitrage opportunities.) As on 30th April 2020 PORTFOLIO % to % to NAV % to % to NAV Company name Company name INVESTMENT STYLE NAV Derivative NAV Derivative The scheme invests in equity and equity related instruments that tries Hedge Positions 67.99 -68.10 ACC Ltd. 0.28 -0.28 to take advantage of the difference in prices of a security in the cash Infosys Ltd. 2.28 -2.28 Mahindra & Mahindra Ltd. 0.28 -0.28 segment and derivatives segment by turning market volatility to its State Bank Of India 2.15 -2.15 Indraprastha Gas Ltd. 0.28 -0.28 advantage. Housing Development Finance Corporation Ltd. 1.89 -1.89 HCL Technologies Ltd. 0.24 -0.24 Tata Consultancy Services Ltd. 1.83 -1.82 Bharat Heavy Electricals Ltd. 0.24 -0.24 INVESTMENT OBJECTIVE Cipla Ltd. 1.75 -1.75 Godrej Properties Ltd. 0.23 -0.23 The investment objective of the Scheme is to seek to generate Adani Ports And Special Economic Zone Ltd. 1.72 -1.72 Colgate-Palmolive India Ltd. 0.20 -0.20 Dr Reddys Laboratories Ltd. 1.71 -1.71 Berger Paints India Ltd. 0.20 -0.20 reasonable returns by investing predominantly in arbitrage Reliance Industries Ltd. 1.63 -1.64 Bharat Electronics Ltd. 0.19 -0.19 opportunities in the cash and derivatives segments of the equity Bharti Airtel Ltd. 1.62 -1.62 Bharat Petroleum Corporation Ltd. 0.18 -0.18 markets and by investing balance in debt and money market Hindustan Petroleum Corporation Ltd.
    [Show full text]