Morning Call 04 March 2020

Indices Close Previous Chg.% Markets snap seven-day losing streak on hopes of global SENSEX 38,623.7 38,144.0 1.26% policy easing amid virus spread 11,303.3 11,132.8 1.53% NIFTY  Markets lifted by hopes of policy easing by major central banks of 29,177.1 28,868.4 1.07% NIFTY BANK the world to address the economic fallout from the spreading NIFTY AUTO 6,986.7 6,856.9 1.89% coronavirus. NIFTY IT 15,723.2 15,427.7 1.92%  India’s central bank said it was closely monitoring global and

TTM CY19E CY20E domestic developments in financial markets and was ready to take ++++++ Nifty PE 22.1 20.0 16.4 appropriate actions to ensure functioning of financial markets,

maintain market confidence and preserve financial stability. Market depth Advance Decline T/O(bn) NSE 1,032 746 436 BSE 1,234 1,165 96

Global & Asian market overview

Indices Close Previous Chg.%  European stocks ended on a firm note, buoyed by an emergency

DJIA 25917.41 26,703.3 -2.94% rate cut announcement by the U.S. Federal Reserve, and on hopes

NASDAQ 8684.09 8,952.2 -2.99% other major central banks will follow suit and announce measures

S&P 500 3003.37 3,090.2 -2.81% to counter the risks posted by the coronavirus outbreak. DAX 11985.39 11,857.9 1.08%  US stocks: After seeing considerable volatility early in the session, CAC 40 5393.17 5,333.5 1.12% stocks moved sharply lower over the course of the trading day on FTSE 100 6718.2 6,654.9 0.95% Tuesday. With the pullback on the day, the major averages partly HANG SENG 26,284.8 26,291.7 -0.03%

SSE INDEX 2,992.9 2,970.9 0.74% offset the strong gains posted in the previous session.

` NIKKIE 225 21,082.7 21,344.1 -1.22%  Asian stocks ended mixed as expectations that central banks will provide financial stimulus helped offset fears of the coronavirus Spot Currency Close Previous Chg.% becoming a global pandemic. 73.17 72.73 0.60% USD/INR 81.29 80.70 0.73% EURO/INR Industry Buzz JPY/INR 0.68 0.67 0.94% GBP/INR 93.52 92.77 0.81%  National Company Law Tribunal approved NBCC’s bid for Jaypee . G-Sec 10yr 6.36 6.35 0.09% Infratech with modifications. NCLT said that ₹ 750 crore deposited

by Jaiprakash Associates in Supreme Court will be part of the Net Invest 03 March MTD CYTD resolution plan for Jaypee Infratech.  FII’s (USD mn) -330.16 -18,932.07 -15,430.47

 DII’s (USD mn) 428.49 56,777.62 64,617.02  Moody's Investors Service has downgraded Vedanta’s corporate family rating to B1 from Ba3. Moody's has also downgraded the Nifty Gainers Chg.% Nifty Losers Chg.% rating on senior unsecured bonds issued by Vedanta and those VEDANTA LTD 7.75 BAJAJ AUTO L -3.58 issued by its wholly owned subsidiary, Vedanta Resources Finance ZEE ENTERTAI 7.38 YES BANK LTD -1.11

SUN PHARMA I 6.51 ITC LTD -0.74 II Plc and guaranteed by Vedanta, to B3 from B2. The outlook on all TATA STEEL L 6.46 HDFC BANK LT 0.19 ratings is stable. Downgrade triggered by a sustained deterioration HINDALCO IND 6.38 TITAN CO LTD 0.23 in the company's credit profile.

FII Derivatives Buy (bn) Sell (bn) Net (bn)

INDEX FUT 80.1 77.7 2.4 STOCK FUT 202.6 182.2 20.4

 Tata Teleservices and Tata Teleservices (Maharashtra) has paid additional ₹ 2,000 crore to Department of Telecommunications towards AGR dues. Both had earlier paid ₹ 2,197 crore to DoT on Feb. 17.  Hindustan Aeronautics said that it has received notice from International Court of Arbitration on request for arbitration from RUAG Aerospace Services GMBH. The Company said that it has initiated necessary action with respect to the arbitration process. The amount in dispute partially quantified by the opposition party is $21,872,500 or ₹ 160.25 crore against alleged damages on breach of agreement regarding the supply of structural parts for the production of Dornier- 228, by the company.  Indiabulls Real Estate said on the progress of merger of certain assets of Embassy Group with the company, stating that process of valuation of such Embassy assets by independent valuers for arriving at the share swap ratio for the proposed merger is progressing well. Additionally, Embassy has also reached an advanced stage of discussions with foreign financial investors such as Blackstone and others for an investment of up to $200 million. Upon the merger, these foreign investors will also become shareholders of the merged Indiabulls Real Estate, a listed entity. Both companies are trying to execute transaction documents on or before March 23.  Max Financial Services: Board approved allotment of 7.54 crore shares (21.87%) at ₹ 565.11 per share aggregating to ₹ 4,264 crore on a preferential basis to Mitsui Sumitomo Insurance, for consideration other than cash, being transfer of 39.47 crore shares (20.57%) at ₹ 108.02 per share worth ₹ 4,264 crore held by to Mitsui Sumitomo Insurance, in Max Life Insurance. Both these transactions are subject to corporate and regulatory approvals. EGM of shareholders to be held on April 2 to seek approval for this action.  Raymond received sanction from NCLT Mumbai for the reorganization and consolidation of its FMCG Business and appointed date for the scheme has been fixed as Dec. 1, 2018. New consolidated entity Ray Universal Trading will be converted into a public company and renamed as Raymond Consumer Care.  Godrej Properties to be included in the Futures and Options Segment with effect from March 27 (April 20 Series), subject to fulfilment of eligibility criteria.  Newgen Software Technologies received a patent for Mark Detection System and Methodology from U.S. Patent Office.  GTPL Hathway: Promoter Jio Content Distribution Holdings reduced stake from 4.48% to 0.64% in the company on Feb. 28 via offer for sale.  Monnet and Ispat Energy said that integrated operations at its Raigarh Plant have restarted with effect from March 2.  Reliance Capital: Axis Capital Trustee Services increased stake via share pledge from 16.5% to 21.42% on Feb. 26.  Infosys: The company got an order from K+S AG to set up hybrid cloud data centres.  Kolte Patil: NCLT approved scheme of the merger by absorption of Bellflower Properties with the company.  Max Financial: The company will issue 7.54 crore shares to Mitsui Sumitomo at ₹ 565.11 per share.  HAL: The company got the International Court of Arbitration notice on request for arbitration from RUAG Aerospace.  Bharti Airtel: The company paid ₹ 1,950 crore to government towards deferred spectrum dues, reported PTI.

Indian Macro  Markets regulator SEBI revised norms of compensation and penalty applicable on termination of contracts under the regaining matched book regulations for commodity derivatives segment. The regulator in September 2016 had come out with risk-mitigating tools, christened as regaining matched book rule, for the commodity market.  Markets regulator Sebi has revised its investment manager eligibility norms for Infrastructure Investment Trusts (InvITs) and also permitted fast-track rights issue by REITs and InvITs without filing draft offer document with the regulator. The investment manager needs to have an experience of at least five years in fund management or advisory services or development in the infrastructure sector.

Global Macro  The Jibun Bank Japan Services PMI declined to 46.8 in February 2020 from 51.0 in the previous month, pointing to the steepest contraction in the sector since April 2014, final data showed. The figure was revised slightly up from a preliminary 46.7. Respondents mentioned that the novel coronavirus outbreak has hit hard tourism industry, which was a key source of demand for services. Both new orders and export sales contracted, while employment stagnated. In terms of prices, output price inflation eased, while input prices rose at a faster pace. Lastly, confidence softened but stayed positive.  The Australian economy advanced a seasonally adjusted 0.5% in the December quarter of 2019, after an upwardly revised 0.6% growth in the previous period and beating market expectations of a 0.3% expansion. Both household consumption (0.4% vs 0.1% in Q3) and government spending (0.7% vs 1.1%) grew further. Meanwhile, gross fixed capital formation fell (-1% vs 0.6%) as private investment dropped (-1.1% vs flat reading), led by falls in non-dwelling construction and dwellings, and public investment was also down (-0.4% vs 3%), driven by falls in public corporations. Total inventories rose AUD 118 million, following a drop of AUD 743 million in Q3, mainly led by a build up in mining inventories. Exports of goods and services were flat (vs 0.5% in Q3). Imports of goods and services fell 0.5% (vs -0.3%). On the production side, most sectors grew except construction. Through the year to Q4, the economy grew 2.2%, following a 1.7% advance in Q3.  The Hong Kong Monetary Authority/HKMA lowered its base rate by 50 basis points to 1.5% on March 4th, 2020, following a similar move by the US Federal Reserve as Hong Kong's currency is pegged to the US dollar. The central bank sets its base rate at either 50 basis points above the lower end of the prevailing target range for the US federal funds rate or the average of the five-day moving averages of the overnight and one-month Hong Kong Interbank Offered Rates (HIBORs), whichever is the higher. The monetary authority mentioned that there were many uncertainties in future changes of the COVID-19 epidemic and there would still be very large fluctuations in the financial market. The HKMA also said it will continue closely monitoring the movement of the foreign exchange and local currency market, with a view to maintain the stability of Hong Kong dollar through the link exchange system.

NIFTY – Daily

Supports / Resistances S1 S2 R1 R2

NIFTY 11100 10700 12500 13000

Trading Range 11100 1 1700

Outlook: In short term Nifty was consolidated in the range of 10,600 – 11,100 levels and breached the resistance at 11,100 levels and began a short term uptrend. We expect Nifty will consolidate in the range of 11,100 - 11,700 levels.

BANK NIFTY – Daily

Supports / Resistances S1 S2 R1 R2

BANK NIFTY 27500 26500 32000 33000

Trading Range 27500 31000

Outlook:

In short term BankNifty was consolidated in the range of 26,500 – 28,200 levels and breached the resistance at 28,200 levels and began a short term uptrend. We expect BankNifty will consolidate in the range of 27,500 - 31,000 levels.

S1 S2 PIVOT R1 R2 Trading guidelines ADANIPORTS 344 340 347 351 354 ASIANPAINT 1779 1747 1798 1830 1849  This model is based on the premise that the PIVOT is the most

AXISBANK 679 667 688 700 708 important price level that decides the intraday trend. Much like how BAJAJ-AUTO 2662 2619 2696 2739 2773 the door or a window hangs by a hinge and sways in the wind, the BAJAJFINSV 8775 8509 8946 9211 9382 intraday trend also hangs by this PIVOT LEVEL and swings because of BAJFINANCE 4385 4275 4430 4540 4585

BHARTIARTL 514 504 524 533 543 the demand-supply, volatility and market sentiments prevailing in

BPCL 418 409 422 431 436 the market. Hence its importance in intraday trading.

BRITANNIA 3002 2943 3024 3082 3104  Wait for the market price to stabilize after opening in the first 30 CIPLA 411 393 420 438 447 COALINDIA 173 168 176 182 185 minutes of trading.

DRREDDY 2992 2888 3035 3138 3182  Opening Price is considered around close of previous day. Avoid EICHERMOT 17630 17194 17835 18271 18476 BUYING if prices open abnormally high and avoid selling if prices

GAIL 101 98 102 105 107 open too low. GRASIM 686 662 695 719 729

HCLTECH 561 551 565 575 579  If the market price is stable above the pivot level after 20-30 minutes

HDFC 2168 2144 2198 2222 2251 of opening, then GO LONG and book profit near the resistant level HDFCBANK 1174 1162 1180 1191 1197 (R1 & R2) HEROMOTOCO 2013 1951 2039 2101 2127  If the market price is stable below the pivot level after 20-30 minutes HINDALCO 155 148 158 165 168 of opening, then GO SHORT and book profit near the support level HINDUNILVR 2155 2124 2172 2203 2220 ICICIBANK 511 504 515 522 526 (S1 & S2)

INDUSINDBK 1084 1056 1101 1128 1146

INFRATEL 213 207 219 225 231

INFY 742 733 751 760 768 Stop loss IOC 105 103 106 109 110 Since you are aware of the 'potential returns' at the time of initiating an ITC 192 190 195 197 199

JSWSTEEL 241 234 245 251 255 intraday trade (difference between the entry price and profit targets), you KOTAKBANK 1608 1573 1622 1658 1672 should set up an appropriate STOP LOSS around 1% above / below of the

LT 1171 1154 1179 1196 1204 trade price or a level comfortable to you, to protect yourself if the market M&M 462 451 467 478 482 turns and goes against you. MARUTI 6315 6227 6369 6457 6510

NESTLEIND 16202 15982 16350 16570 16719

NTPC 106 102 108 111 114 Alternate strategy ONGC 91 88 92 95 97 POWERGRID 185 177 190 198 202 If you have already initiated a trade with clear-cut profit targets and a stop RELIANCE 1330 1310 1342 1362 1374 loss level, and find during the course of the trading day that the market turns SBIN 286 281 290 295 299

SUNPHARMA 384 367 390 408 414 and goes the other way and crosses the TREND LEVEL, then trade again: For TATAMOTORS 127 123 129 133 136 instance, if your first trade was a LONG trade and the market price drops TATASTEEL 378 364 384 399 405 through the TREND LEVEL to lower price levels, then GO SHORT and if your TCS 2017 1991 2039 2065 2087 first trade was a SHORT trade and the market price rises through the TREND TECHM 747 737 753 763 768 TITAN 1227 1202 1249 1274 1296 LEVEL to higher price levels, then GO LONG. ULTRACEMCO 4228 4107 4279 4400 4450 UPL 514 506 520 528 535 S1, S2 are the immediate support levels. VEDL 117 111 119 124 126 R1, R2 are the immediate resistance levels. WIPRO 221 218 223 226 228 YESBANK 30 29 32 33 34 ZEEL 239 225 247 261 270

Valuation Matrix - MidCaps & SmallCaps EBID Sales PAT Mk. TA Dividend Target (INR (INR EPS EPS Growth (%) P/E PEG PAT Margin (%) RoE (%) EV/EBIDTA EV/Sales Price/Book CMP Cap Marg Yield (%) Company Name Price bn) bn) (INR) Reco (USD in (%) (INR) bn) CAGR FY19- FY2 FY20E FY21E FY20E FY21E FY20E FY21E 21E FY20E FY21E FY20E FY20E FY21E FY20E FY21E FY20E 1E FY20E FY21E FY20E FY21E FY20E FY21E FY20E FY21E Amara Raja 645 789 MP 1.6 69.9 6.6 38.7 42.3 36.6 9.3 22.2 16.7 15.3 1.6 16.1 16.2 9.5 9.4 18.4 17.6 9.4 8.4 1.5 1.4 2.9 2.5 1.3 1.4

ARVIND 38 63 BUY 0.1 76.6 2.1 8.0 9.6 -24.4 20.8 4.9 4.8 3.9 0.2 9.9 9.9 2.7 3.0 7.1 8.0 4.5 4.1 0.4 0.4 0.3 0.3 5.8 7.1

AU Small Finance 1174 1060 MP 5.1 25.9 7.3 24.0 30.4 84.1 26.4 52.0 48.8 38.6 1.5 - - 28.4 28.2 19.2 19.0 - - - - 8.3 6.7 0.1 0.2

Balkrishna Indus 1117 1074 UP 3.1 49.8 9.1 47.4 52.4 17.2 10.5 14.4 23.6 21.3 2.0 31.3 31.6 18.3 18.2 18.0 17.2 13.8 12.4 4.3 3.9 4.0 3.5 1.1 1.0

Berger paints 541 415 SELL 7.5 ------

CEAT 1010 956 SELL 0.6 68.3 2.7 66.1 67.9 -16.4 2.7 4.3 15.3 14.9 5.6 10.2 10.5 3.9 3.6 9.4 9.0 8.0 7.1 0.8 0.7 1.4 1.3 1.3 1.3

City Union Bank 217 230 MP 2.3 25.4 7.6 10.4 11.8 9.0 12.8 10.9 20.8 18.5 1.4 - - 30.0 30.5 14.7 14.6 - - - - 2.9 2.5 0.3 0.4

Cyient 420 496 OP 0.7 45.1 4.2 38.2 44.3 -10.3 15.8 2.2 11.0 9.5 0.6 13.8 15.5 9.4 10.1 15.9 16.8 7.0 5.9 1.0 0.9 1.7 1.6 3.5 4.3

DCB Bank 159 218 BUY 0.7 16.6 3.8 12.2 15.5 16.0 27.2 21.4 13.0 10.2 0.4 - - 22.8 25.5 11.9 13.2 - - - - 1.5 1.3 0.7 0.8

Emami 257 348 BUY 1.7 28.1 4.9 11.4 13.2 66.5 15.7 40.4 22.6 19.5 1.2 27.3 27.5 17.3 18.8 23.3 25.0 15.1 13.8 4.1 3.8 5.3 4.8 1.9 2.4

Escorts 853 938 BUY 1.5 61.0 5.0 48.1 48.1 -14.9 17.1 -7.2 17.7 17.7 1.0 11.7 11.7 0.1 0.1 17.5 17.5 14.4 14.4 1.6 1.5 3.0 2.5 0.4 0.5

Gabriel 91 112 SELL 0.2 19.5 0.8 5.0 7.0 - 40.0 2.9 18.2 13.0 0.3 7.1 7.9 3.9 4.7 12.0 14.0 8.7 7.2 0.6 0.6 2.0 1.8 - -

Geojit 24 24 MP 0.1 ------

Greaves Cotton 130 134 MP 0.4 20.8 1.9 8.0 9.0 15.1 12.4 15.3 16.3 14.5 1.2 13.9 14.2 9.1 9.5 18.6 21.2 8.9 7.5 1.3 1.2 - 2.8 4.6 4.8

Havells India 639 747 OP 5.7 101.8 8.0 12.7 15.2 1.0 19.7 9.8 50.1 42.2 2.1 11.2 12.0 7.9 8.3 17.7 19.0 34.5 28.8 3.8 3.4 8.5 7.6 0.8 0.9

Heidelberg 197 216 OP 0.6 22.6 2.8 12.4 14.9 27.0 20.1 23.5 15.9 13.3 0.7 24.2 24.2 12.4 13.7 22.4 22.5 8.0 7.3 1.9 1.8 3.3 2.8 1.8 2.0

Hexaware Tech 366 447 BUY 1.6 65.3 7.3 23.8 26.5 8.7 11.4 11.0 15.4 13.8 1.2 15.5 15.5 11.1 11.1 24.3 23.7 10.7 9.6 1.7 1.5 3.4 2.9 2.2 2.4

Indian Bank 70 132 BUY 0.6 107.8 13.3 22.3 27.1 232.4 21.5 85.0 3.1 2.6 0.1 - - 12.3 15.0 6.5 7.9 - - - - 0.2 0.2 5.8 7.9

JK Cements 1393 1354 OP 1.5 56.4 5.7 72.7 76.7 73.0 5.5 44.5 19.1 18.2 3.3 21.2 20.5 10.1 9.1 17.0 16.4 10.4 9.3 2.2 1.9 3.3 2.8 0.7 0.8

JK Lakshmi cement 305 433 BUY 0.5 43.2 2.5 21.4 24.3 215.8 14.0 136.2 14.3 12.5 0.9 15.7 15.4 5.9 6.2 15.0 15.2 6.7 6.3 1.0 1.0 2.1 1.8 0.3 0.4

Kajaria 550 631 BUY 1.2 30.0 2.8 17.2 19.7 22.9 14.4 17.7 31.9 27.9 1.9 15.1 15.6 9.2 9.1 16.4 16.5 19.1 16.6 2.9 2.6 4.9 4.3 0.7 0.8

Kaveri Seed 431 558 BUY 0.4 9.1 2.3 35.8 40.1 5.3 12.1 9.1 12.0 10.7 0.9 27.1 27.2 25.5 26.5 21.8 20.4 8.6 7.8 2.3 2.2 2.5 2.1 1.5 1.5

KEC International 319 405 BUY 1.2 126.7 6.2 24.3 28.3 28.4 16.3 21.1 13.2 11.3 0.7 10.5 10.4 4.9 5.6 22.5 21.7 7.8 7.0 0.8 0.7 2.8 2.3 1.1 1.3

KPIT Technologies 81 118 BUY 0.3 21.7 1.6 6.0 7.0 434.3 16.7 86.2 13.6 11.6 0.7 13.9 14.0 7.3 8.0 16.0 18.3 6.9 6.1 1.0 0.9 - - 1.6 1.6

KVB 39 68 MP 0.4 34.5 2.3 3.1 7.4 -40.5 135.9 67.1 12.5 5.3 0.0 - - 6.5 15.2 3.6 8.0 - - - - 0.5 0.4 1.5 2.4

LVB 15 - - 0.1 ------

LIC Housing Fin 330 556 BUY 2.4 51.2 25.9 51.1 59.4 6.2 16.2 11.0 6.5 5.6 0.3 - - 50.5 44.6 15.1 15.4 - - 36.0 27.2 0.9 0.8 2.6 3.1

Lumax Ind 1305 1467 MP 0.2 16.2 0.7 89.9 95.2 -36.7 17.2 -7.4 14.5 13.7 0.8 10.4 11.3 4.1 5.0 19.2 19.2 8.5 7.4 0.9 0.8 3.1 2.7 1.8 2.2

Mindtree 990 852 MP 2.3 77.1 6.3 37.8 49.7 -18.1 33.1 4.0 26.2 19.9 0.6 13.8 15.5 8.1 9.5 18.7 22.7 14.9 11.9 2.1 1.8 4.6 4.0 1.7 1.9

MINDA 369 351 MP 1.4 57.6 2.7 9.8 14.6 -10.2 49.2 15.8 37.7 25.2 0.5 12.1 12.6 4.6 5.5 13.8 16.9 15.3 11.9 1.9 1.5 4.8 4.1 0.4 0.5

Motherson Sumi 106 150 BUY 4.8 661.2 15.2 4.8 6.5 79.8 11.3 12.8 21.9 16.3 1.4 8.0 9.1 2.3 2.9 13.3 15.9 8.8 7.2 0.7 0.7 2.8 2.5 1.6 1.9

NIIT - Tech 1902 1596 MP 1.7 41.8 4.6 74.1 88.9 12.0 20.1 16.5 25.7 21.4 1.1 17.5 18.1 11.0 11.5 20.2 21.5 15.2 12.8 2.7 2.3 5.0 4.4 1.3 1.6

ORIENT CEMENT 79 86 OP 0.2 24.8 0.8 3.9 5.9 52.7 31.1 59.7 20.5 13.4 0.4 15.0 15.3 3.1 4.3 7.5 10.2 7.8 6.8 1.2 1.0 1.5 1.3 1.1 1.3

Page Indus. 22229 21724 MP 3.5 31.0 4.1 371.2 430.6 5.1 16.0 10.4 59.9 51.6 3.2 19.7 20.4 13.3 13.9 48.1 48.1 40.7 35.1 8.0 7.2 27.2 23.0 0.9 1.1

Persistent System 710 566 MP 0.8 35.7 3.5 45.4 51.7 2.2 13.7 8.4 15.6 13.7 1.0 14.1 15.3 9.8 10.3 14.8 15.8 9.0 7.5 1.3 1.1 2.2 2.1 1.8 2.1

PI Indus 1570 1510 MP 3.1 34.8 5.0 36.0 46.5 21.4 29.2 25.1 43.6 33.7 1.2 21.3 21.9 14.2 14.5 20.1 21.9 29.2 22.6 6.2 4.9 8.1 6.7 0.3 0.4

RANE HOLDINGS LTD 588 437 SELL 0.1 21.7 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 - - 0.0 1.6 0.0 0.0 11.4 9.3 0.7 0.6 - - - -

RBL Bank 292 286 SELL 2.1 54.7 6.2 12.3 26.6 -39.7 116.7 14.6 23.8 11.0 0.1 - - 11.3 18.1 7.0 11.9 - - - - 1.4 1.3 0.7 1.3

Repco Home Fin 277 377 BUY 0.2 5.2 3.0 48.7 51.6 29.8 6.0 13.8 5.7 5.4 0.9 - - 58.2 55.6 17.7 16.4 - - 20.1 18.1 1.0 0.8 1.0 1.2

Shriram City Union 1439 1403 MP 1.4 38.5 11.2 170.3 184.5 13.7 8.4 10.2 8.4 7.8 0.9 - - 29.2 29.9 16.2 15.7 - - 5.8 5.4 1.3 1.2 1.4 1.6

SIB 9 15 MP 0.2 31.0 3.3 1.8 2.7 32.8 45.8 39.1 4.9 3.3 0.1 42.6 36.7 10.6 12.2 6.2 8.6 - - - - 0.3 0.3 4.2 5.1

Solar Industries 1140 1048 SELL 1.5 23.6 2.9 31.7 36.7 11.2 15.9 12.7 36.0 31.1 2.0 20.8 20.9 12.1 11.8 21.0 21.4 22.0 18.3 4.6 3.8 7.2 6.1 0.5 0.6

Somany Ceramics 172 400 BUY 0.2 17.9 0.6 13.7 18.0 54.3 30.6 28.2 12.5 9.6 0.3 9.7 10.2 3.3 3.8 9.3 11.0 9.1 7.9 0.9 0.8 1.1 1.0 1.7 1.8

Supreme Industries 1302 1484 OP 2.4 58.1 4.9 38.4 44.6 -1.5 - 12.4 33.9 29.2 - 14.3 14.7 8.4 8.7 21.6 22.2 20.6 17.4 2.9 2.5 6.9 6.1 1.2 1.4

Trident 5 9 BUY 0.4 51.8 4.5 0.9 0.9 20.6 3.7 11.8 6.1 5.9 1.6 19.5 19.8 8.6 8.3 14.4 13.8 4.0 3.6 0.8 0.7 0.9 0.8 1.8 1.8

TTK Prestige 5672 6917 BUY 1.1 21.8 2.2 160.2 180.1 18.1 18.1 24.8 35.4 31.5 1.7 13.9 14.4 10.1 10.3 17.6 17.5 24.8 22.2 3.5 3.2 6.0 5.4 0.7 0.9

TVS Motor 422 421 SELL 2.9 173.7 7.0 14.7 17.1 4.5 16.3 7.5 28.6 24.6 1.5 8.6 8.5 4.0 4.1 19.4 19.3 14.5 12.9 1.2 1.1 5.2 4.6 0.9 1.1

V-Guard Ind. 204 282 BUY 1.2 27.7 2.2 5.1 5.8 31.3 14.8 22.1 40.1 35.0 2.4 10.6 10.7 7.8 7.9 21.7 21.2 28.8 25.5 3.1 2.7 8.3 7.1 0.6 0.7

VA Tech Wabag 184 270 BUY 0.1 28.1 1.0 19.2 22.7 0.2 17.7 8.6 9.5 8.1 0.5 8.7 8.8 3.7 3.9 9.2 10.5 5.4 4.6 0.5 0.4 0.8 0.8 2.1 2.2

Vinati Organics 1013 934 UP 1.5 10.9 3.3 32.9 38.3 19.6 16.6 18.1 30.8 26.4 1.6 39.0 36.7 30.3 27.7 27.3 24.6 24.0 20.6 9.3 7.6 7.9 6.4 0.3 0.3

Zensar Tech 137 179 MP 0.4 42.1 2.6 12.1 13.9 -12.8 14.6 -55.3 11.3 9.8 0.7 11.5 12.3 6.1 6.8 14.2 14.1 6.8 5.9 0.8 0.7 1.5 1.3 1.9 2.4

Note : OP - Outperformer, MP - Marketperformer, UP - Underperformer

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Chola Securities is a leading southern India based Stock broker. Our focus area of coverage within the Indian market is Mid and Small caps with a focus on companies from southern India.

Our Institutional Equities services are carried out in partnership with RCCR, a boutique Investment research and Corporate Advisory firm founded by a team with extensive experience in the Asset management industry.

RESEARCH Kedar S Kadam DGM & Head of Research +91-44 - 4004 7361 [email protected] Mugilan K Technical Analyst +91-44 - 4004 7353 [email protected] Sai Lavanya K Fundamental Analyst +91-44 - 4004 7266 [email protected] Arjun Prasad Pasumarthi Fundamental Analyst +91-44 - 4004 7363 [email protected] Ammar Haider Associate +91-44 - 4004 7360 [email protected] INSTITUTIONAL SALES Venkat Chidambaram Head of FII Business & Corporate Finance* +91-44 - 24473310 [email protected] Kishore K Ganti Mumbai +91-22-26597239 [email protected] Bhavesh Katariya Mumbai +91-9860297739 [email protected]

Balaji H Compliance Officer 044 - 30007226 [email protected] *Employees of Business Partner - RCCR DISCLAIMER:

This report is for private circulation and for the personal information of the authorized recipient only, and we are not soliciting any action based upon it. This report is not to be construed as an offer to sell or the solicitation of an offer to buy any security in any jurisdiction where such an offer or solicitation would be illegal. It does not provide individually tailor-made investment advice and has been prepared without regard to any specific investment objectives, financial situation, or any particular needs of any of the persons who receive it.

The research analyst who is primarily responsible for this report certifies that: (1) all of the views expressed in this report accurately reflect his or her personal opinions about any and all of the subject securities or issuers; and (2) no part of any of the research analyst’s compensation was, is, or will be directly or indirectly related to the specific recommendations or views expressed in this report. This report has been prepared on the basis of information that is already available in publicly accessible media or developed through analysis of Cholamandalam Securities Limited makes every effort to use reliable, comprehensive information, but we make no representation that it is accurate or complete.

The views expressed are those of the analyst and the Company may or may not subscribe to all the views expressed therein Cholamandalam Securities Limited reserves the right to make modifications and alterations to this statements as may be required from time to time without any prior approval. Cholamandalam Securities Limited, its affiliates, directors and employees may from time to time, effect or have effect an own account transaction in or deal as agent in or for the securities mentioned in this report. The recipient should take this into account before interpreting the report.

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