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Market Outlook September 02, 2016

Market Cues

Indian markets are expected to open flat with negative bias tracking SGX Nifty.

U.S. stocks closed mostly flat Thursday as investors digested a slew of economic data ahead of Friday's key jobs report. Dow closed about 15 pts high, after briefly falling more than 100 pts. S&P 500 fell less than point, after being dragged by 1% fall in financials. Utilities were the greatest laggards at the close. ISM manufacturing index for August came in at 49.4, weakest since January. Markit manufacturing PMI index, meanwhile, came in at 52.0.

U.K. stocks turned lower Thursday, with many shares falling victim to surge in pound after U.K. manufacturing data surprised investors with unexpectedly strong reading. FTSE 100 fell 0.5%, relinquishing an earlier gain of 0.7% that was led by the basic materials and financial groups. Thursday’s loss marked the 3rd in row for the London benchmark. Leading blue-chips ended low, shares of Vodafone, fell 2.8%, Hikma Pharma was down 2.5% and drugmaker GlaxoSmithKline, gave up 2.4%.

Bulls took breather on Thursday as equity benchmarks closed rangebound session marginally lower after rallying for previous 3 consecutive days. Sell-off in Telecom stocks on Jio's tariff plans & profit booking in Reliance dampened market sentiment but FMCG, metals, auto and select banks limited the downside. Subdued Q1 GDP and July core industries data also weighed on the market.

News Analysis Jio’s aggressive pricing could hurt competition Detailed analysis on Pg2

Investor’s Ready Reckoner

Key Domestic & Global Indicators

Stock Watch: Latest investment recommendations on 150+ stocks

Refer Pg5 onwards

Top Picks Company Sector Rating

CMP(`)

Target (`)

Upside (%)

Amara Raja Auto/Auto Ancillary Accumulate 970 1,076 11.0

HCL Tech IT Buy 784 1,000 27.5

HDFC Bank Financials Accumulate 1,280 1,350 5.4

Bharat Electronics Capital Goods Buy 1,225 1,414 15.4

Equitas Holdings Financials Buy 179 235 31.0

Navkar Corporation Others Buy 195 265 35.7More Top Picks on Pg3

Key Upcoming Events Date Region Event Description

PreviousReading

Consensus Expectations

Sep 02 US Change in Nonfarm payrolls 255.0 180.0

Sep 02 Euro Zone Euro Zone GDP s.a. (QoQ) 0.3 --

Sep 05 US Unemployment rate 4.9 4.8

Sep 06 Germany PMI Services 53.3 --

Sep 07 UK Industrial production (YoY) 1.6 --6.(

Domestic Indices Chg (%) (Pts) (Close)

BSE Sensex (0.1) (29) 28,423

Nifty (0.1) (12) 8,775

Mid Cap (0.4) (50) 13,167

Small Cap (0.4) (50) 12,599

Bankex 0.1 21 22,678

Global Indices Chg (%) (Pts) (Close)

Dow Jones 0.1 18 18,419

Nasdaq 0.3 14 5,227

FTSE (0.5) (36) 6,746

Nikkei 0.2 39 16,927

Hang Seng 0.8 185 23,162

Shanghai Com (0.7) (22) 3,063

Advances / Declines BSE NSE

Advances 1,052 555

Declines 1,706 1,071

Unchanged 166 64

Volumes (` Cr)

BSE 3,655

NSE 20,926

Net Inflows (` Cr) Net Mtd Ytd

FII 389 8,863 39,745

MFs 274 1,320 10,109

Top Gainers Price (`) Chg (%)

Hcc 33 19.1

Iifl 299 7.2

Pcjeweller 467 6.0

Punjlloyd 24 4.8

Raymond 428 3.5

Top Losers Price (`) Chg (%)

Idea 84 (10.5)

Rcom 49 (8.8)

Sreinfra 77 (6.7)

Bhartiartl 311 (6.4)

Gvkpil 6 (6.3) As on September 01, 2016

2



News Analysis

Jio’s aggressive pricing could hurt competition

Reliance Industries Chairman Mukesh Ambani has today revealed details of Reliance Jio’s launch on the occasion of the company's 42nd AGM. Reliance is planning a very aggressive launch of the Jio by resorting to heavy price cutting.

The company has already incurred a relatively high sum of `1,34,000cr towards capex for the venture and the spending is expected to increase further. Such capex spending is huge compared to what has been incurred by other telecom operators such as Bharti Airtel and Idea Cellular. Reliance‘s strategy is to grab significant market share from competition, which should resultantly lead to other telecom operators getting compelled to lower prices to defend their customer base and overall market share.

Further our preliminary analysis suggests that subscribing to Reliance Jio’s plans would result in 2x-4x savings for consumers. If the aggressively priced offerings of Reliance Jio find favour among customers then the company would be able to notch up significant market share from competitors. To add to the goodies, the company is offering unlimited voice calling and data download to customers free of cost from 5th September 2016 to 31 December 2016. In our view, this is an attractive offering and might entice customers of competing telecom players to switch to Reliance Jio. The competition is likely to face intense pressure on their bottom-lines in the quarters to come, given the value proposition in the offerings of Reliance Jio.

During 1QFY2017, telecom companies were able to deliver double digit top-line growth although their performance faltered on the bottom-line front. Gauging increased competition with Reliance Jio’s advent, we prefer to be cautious on the sector.

Key takeaways from AGM

Reliance Jio price points starting from `19 for the occasional data user to a monthly `149 plan for the light data user (0.3GB 4G data) and all the way up to a monthly `4,999 plan for the heaviest data user (75GB 4G data).

No charges for voice calling (local and roaming).

Reliance Jio would provide data packs at 5x-10x lower price points than other operators.

Jio's 4G network will cover 18,000 cities and towns and over 2 lakh villages.

By March 2017, the company plans to cover 90% of India's population.

Reliance Jio will offer true 4G LTE smart phones starting from `2,999 and Jio-Fi for `1,999 to enable all Indians to migrate to Jio's data strong network.

Ambani unveiled a special students discount offer, under which any student will be able to get 25% more data on Jio's main tariffs.

Reliance Jio’s full commercial launch would be on 31st December 2016.

3



With the Jio app, the company is also offering access to more than 6,000 movies and 10mn songs at no cost.

We continue to maintain Neutral rating on the stock.

Economic and Political News Urban unemployment climbs to 11.24% in August, rural 9.18%

GST bill can now go for Presidential assent: Jaitley

Cement firms to approach COMPAT against `6,700cr CCI order

Corporate News

ABB India opens solar inverter manufacturing factory

Infosys Finacle, Huawei create new financial cloud solution

NTPC unit issues non-payment notice to Delhi discoms

CESC begins power distribution in Rajasthan at Kota

4



Top Picks Large Cap Company Market Cap

(` Cr) CMP

(`) Target

(`) Upside

(%) Rationale

Amara Raja Batteries 16,564 970 1,076 11.0 To outpace battery industry growth due to better technological products leading to market share gains in both the automotive OEM and replacement segments.

Bharat Electronics 29,395 1,225 1,414 15.4 Uptick in defense capex by government, coupled with BELs strong market positioning, indicate good times ahead for BEL.

HCL Tech 1,10,653 784 1,000 27.5 Stock is trading at attractive valuations & factors all bad news.

HDFC Bank 3,24,126 1,280 1,350 5.4 Strong visibility for a robust 20% earnings trajectory, coupled with high quality of earnings on account of high quality retail business and strategic focus on highly rated corporates.

Infosys 2,38,342 1,038 1,370 32.0 Back on the growth trend, expect a long term growth of 14% to be a US$20bn in FY2020.

Source: Company, Angel Research

Mid Cap Company Market Cap

(` Cr)CMP

(`)Target

(`)Upside

(%) Rationale

Blue Star 4,776 501 527 5.2

Favourable outlook for the AC industry to augur well for Cooling products business which is out pacing the market growth. EMPPAC division's profitability to improve once operating environment turns around.

Equitas Holdings 6,015 179 235 31.0 Strong loan growth backed by diversified loan portfolio and adequate CAR. ROE & ROA likely to remain decent as risk of dilution remains low. Attractive valuations considering growth.

Goodyear India 1,289 559 631 12.9 Expectations of above average monsoon augurs well for Goodyear India as it derives ~50% of its turnover from farm tyre segment.

IL&FS Transport 2,364 72 93 29.4 Commencement of new projects, downtrend in the interest rate cycle, to lead to stock re-rating

Mahindra Lifespace 1,773 432 522 20.8 Speedier execution and speedier sales, strong revenue visibility in short-to-long run, attractive valuations

Navkar Corporation 2,785 195 265 35.7 Massive capacity expansion along with rail advantage at ICD as well CFS augurs well for the company

Radico Khaitan 1,333 100 125 24.8 Earnings boost on back of stable material prices and favourable pricing environment. Valuation discount to peers provides additional comfort

TV Today Network 1,819 305 363 19.0 Market leadership in Hindi news genre and no. 2 viewership ranking in English news genre, exit from the radio business, and anticipated growth in ad spends by corporates to benefit the stock.

Source: Company, Angel Research

h

1

Market Outlook

September 02, 2016

www.angelbroking.com www.angelbroking.com

Macro watch

Exhibit 1: Quarterly GDP trends

Source: CSO, Angel Research

Exhibit 2: IIP trends

Source: MOSPI, Angel Research

Exhibit 3: Monthly CPI inflation trends

Source: MOSPI, Angel Research

Exhibit 4: Manufacturing and services PMI

Source: Market, Angel Research; Note: Level above 50 indicates expansion

Exhibit 5: Exports and imports growth trends

Source: Bloomberg, Angel Research

Exhibit 6: Key policy rates

Source: RBI, Angel Research

7.8

6.4

5.8

7.5

8.3

6.6 6.7

7.5 7.6 7.2

7.9

7.1

3.0

4.0

5.0

6.0

7.0

8.0

9.0

2Q

FY14

3Q

FY14

4Q

FY14

1Q

FY15

2Q

FY15

3Q

FY15

4Q

FY15

1Q

FY16

2Q

FY16

3Q

FY16

4Q

FY16

1Q

FY17

(%)

6.3

3.7

9.9

(3.4)

(0.9)(1.6)

1.9 0.3

(1.3)

1.1 2.1

(6.0)

(4.0)

(2.0)

-

2.0

4.0

6.0

8.0

10.0

12.0

Aug-1

5

Sep-1

5

Oct

-15

Nov-

15

Dec-

15

Jan-1

6

Feb-1

6

Mar-

16

Apr-

16

May-

16

Jun-1

6

(%)

3.7

4.4 5.0

5.4 5.6 5.7 5.3

4.8 5.5

5.8 5.8 6.1

-

1.0

2.0

3.0

4.0

5.0

6.0

7.0

Aug-1

5

Sep-1

5

Oct

-15

Nov-

15

Dec-

15

Jan-1

6

Feb-1

6

Mar-

16

Apr-

16

May-

16

Jun-1

6

Jul-16

(%)

44.0

46.0

48.0

50.0

52.0

54.0

56.0

Jun-1

5

Jul-15

Aug-1

5

Sep-1

5

Oct

-15

Nov-

15

Dec-

15

Jan-1

6

Feb-1

6

Mar-

16

Apr-

16

May-

16

Jun-1

6

Jul-16

Mfg. PMI Services PMI

(35.0)

(30.0)

(25.0)

(20.0)

(15.0)

(10.0)

(5.0)

0.0

5.0

Aug-1

5

Sep-1

5

Oct

-15

Nov-

15

Dec-

15

Jan-1

6

Feb-1

6

Mar-

16

Apr-

16

May-

16

Jun-1

6

Jul-16

Exports yoy growth Imports yoy growth(%)

3.00

3.50

4.00

4.50

5.00

5.50

6.00

6.50

7.00

Oct

-15

Nov-

15

Nov-

15

Dec-

15

Jan-1

6

Jan-1

6

Feb-1

6

Mar-

16

Mar-

16

Apr-

16

May-

16

May-

16

Jun-1

6

Jul-16

Aug-1

6

Aug-1

6

Repo rate Reverse Repo rate CRR (%)

h

2

Market Outlook

September 02, 2016


Global watch

Exhibit 1: Latest quarterly GDP Growth (%, yoy) across select developing and developed countries


Exhibit 2: 2016 GDP Growth projection by IMF (%, yoy) across select developing and developed countries

Source: IMF, Angel Research

Exhibit 3: One year forward P-E ratio across select developing and developed countries

Source: IMF, Angel Research

(3.8)

(0.6)

5.3

6.7

(0.2)

5.2

4.0 3.5

2.2

1.2

3.1

1.4

0.6

(6.0)

(4.0)

(2.0)

-

2.0

4.0

6.0

8.0

Bra

zil

Russ

ia

India

Chin

a

South

Afr

ica

Indonesi

a

Mala

ysia

Thailand

UK

USA

Germ

any

Fra

nce

Japan

(%)

(3.8) (1.8)

7.5 6.5

0.6

4.9 4.4

3.0 1.9

2.4 1.5 1.1

0.5

(6.0)

(4.0)

(2.0)

-

2.0

4.0

6.0

8.0

10.0

Bra

zil

Russ

ia

India

Chin

a

South

Afr

ica

Indonesi

a

Mala

ysia

Thailand

UK

USA

Germ

any

Fra

nce

Japan

(%)

13.7

7.4

18.3

13.3

17.6

18.9

16.3

14.5

17.3

16.0

12.9

14.2

12.2

-

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

18.0

20.0

Bra

zil

Russia

Ind

ia

Ch

ina

So

uth

A

fric

a

Ind

onesi

a

Mala

ysia

Th

ailand

UK

US

A

Germ

an

y

Fra

nce

Jap

an

(x)

h

3

Market Outlook

September 02, 2016


Exhibit 4: Relative performance of indices across globe

Returns (%)

Country Name of index Closing price 1M 3M 1YR

Brazil Bovespa 58,236 3.7 15.0 22.0

Russia Micex 1,977 3.4 4.6 16.4

India Nifty 8,775 1.6 7.3 11.3

China Shanghai Composite 3,063 3.0 4.8 3.4

South Africa Top 40 46,169 0.5 (3.8) 4.1

Mexico Mexbol 47,563 2.2 3.6 9.9

Indonesia LQ45 916 (1.1) 10.9 32.4

Malaysia KLCI 1,671 0.3 2.5 9.0

Thailand SET 50 978 2.3 7.3 10.4

USA Dow Jones 18,419 0.6 3.3 12.5

UK FTSE 6,746 0.8 9.1 11.6

Japan Nikkei 16,927 1.7 (0.2) (12.9)

Germany DAX 10,534 3.8 4.3 4.2

France CAC 4,440 2.6 0.4 (3.4)


Company Name Reco CMP Target Mkt Cap Sales ( ₹cr ) OPM(%) EPS (₹) PER(x) P/BV(x) RoE(%) EV/Sales(x)

( ₹ ) Price ( ₹) ( ₹ cr ) FY17E FY18E FY17E FY18E FY17E FY18E FY17E FY18E FY17E FY18E FY17E FY18E FY17E FY18E

Agri / Agri Chemical

Rallis Neutral 226 - 4,389 1,937 2,164 13.3 14.3 9.0 11.0 25.1 20.5 4.4 3.8 18.4 19.8 2.3 2.0

United Phosphorus Accumulate 627 684 26,880 15,176 17,604 18.5 18.5 37.4 44.6 16.8 14.1 3.3 2.7 21.4 21.2 1.9 1.6

Auto & Auto Ancillary

Ashok Leyland Buy 84 111 23,848 22,407 26,022 10.6 10.6 5.2 6.4 16.1 13.1 3.6 3.1 23.6 24.7 1.2 1.0

Bajaj Auto Neutral 2,997 - 86,710 25,093 27,891 19.5 19.2 143.9 162.5 20.8 18.4 5.8 5.0 30.3 29.4 3.2 2.8

Bharat Forge Neutral 856 - 19,918 7,726 8,713 20.5 21.2 35.3 42.7 24.2 20.0 4.5 4.0 18.9 20.1 2.7 2.3

Eicher Motors Neutral 22,774 - 61,858 16,583 20,447 17.5 18.0 598.0 745.2 38.1 30.6 13.0 9.9 41.2 38.3 3.6 2.9

Gabriel India Neutral 119 - 1,711 1,544 1,715 9.0 9.3 5.4 6.3 22.1 18.9 4.2 3.7 18.9 19.5 1.0 0.9

Hero Motocorp Neutral 3,547 - 70,827 31,253 35,198 15.3 15.0 172.3 192.1 20.6 18.5 7.5 6.5 38.9 37.0 2.1 1.8

Jamna Auto Industries Neutral 212 - 1,690 1,486 1,620 9.8 9.9 15.0 17.2 14.1 12.3 3.1 2.6 21.8 21.3 1.3 1.2

L G Balakrishnan & Bros Neutral 475 - 746 1,302 1,432 11.6 11.9 43.7 53.0 10.9 9.0 1.5 1.4 13.8 14.2 0.7 0.6

Mahindra and Mahindra Neutral 1,452 - 90,176 46,534 53,077 11.6 11.7 67.3 78.1 21.6 18.6 3.5 3.1 15.4 15.8 1.9 1.6

Maruti Neutral 5,058 - 152,800 69,186 82,217 14.7 14.4 198.5 241.4 25.5 21.0 5.0 4.0 20.2 20.0 1.9 1.5

Minda Industries Neutral 1,387 - 2,200 2,728 3,042 9.0 9.1 68.2 86.2 20.3 16.1 4.6 3.7 23.8 24.3 0.8 0.7

Motherson Sumi Neutral 321 - 42,427 45,896 53,687 7.8 8.3 13.0 16.1 24.6 19.9 7.9 6.3 34.7 35.4 1.0 0.8

Rane Brake Lining Neutral 821 - 650 511 562 11.3 11.5 28.1 30.9 29.2 26.6 4.5 4.1 15.3 15.0 1.3 1.2

Setco Automotive Neutral 44 - 585 741 837 13.0 13.0 15.2 17.0 2.9 2.6 0.5 0.4 15.8 16.3 1.2 1.1

Tata Motors Neutral 544 - 156,963 300,209 338,549 8.9 8.4 42.7 54.3 12.7 10.0 2.0 1.7 15.6 17.2 0.6 0.5

TVS Motor Neutral 328 - 15,559 13,390 15,948 6.9 7.1 12.8 16.5 25.7 19.8 6.4 5.1 26.3 27.2 1.2 1.0

Amara Raja Batteries Buy 970 1,076 16,564 5,717 6,733 18.7 18.9 38.4 48.9 25.3 19.8 6.3 5.1 25.3 24.8 2.6 2.2

Exide Industries Neutral 184 - 15,678 7,439 8,307 15.0 15.0 8.1 9.3 22.8 19.8 3.2 2.9 14.3 16.7 1.7 1.5

Apollo Tyres Neutral 186 - 9,458 12,877 14,504 14.3 13.9 21.4 23.0 8.7 8.1 1.4 1.2 16.4 15.2 0.9 0.8

Ceat Buy 893 1,119 3,612 7,524 8,624 13.0 12.7 131.1 144.3 6.8 6.2 1.3 1.1 19.8 18.6 0.6 0.5

JK Tyres Neutral 134 - 3,031 7,455 8,056 15.0 15.0 21.8 24.5 6.1 5.5 1.3 1.0 22.8 21.3 0.5 0.4

Swaraj Engines Neutral 1,170 - 1,453 660 810 15.2 16.4 54.5 72.8 21.5 16.1 6.7 6.1 31.5 39.2 2.0 1.6

Subros Neutral 105 - 629 1,488 1,681 11.7 11.9 6.4 7.2 16.4 14.6 1.7 1.6 10.8 11.4 0.6 0.5

Indag Rubber Neutral 183 - 480 286 326 19.8 16.8 11.7 13.3 15.7 13.7 2.6 2.5 17.8 17.1 1.4 1.2

Capital Goods

ACE Neutral 44 - 434 709 814 4.1 4.6 1.4 2.1 31.3 20.9 1.3 1.2 4.4 6.0 0.8 0.7

BEML Accumulate 1,062 1,157 4,421 3,451 4,055 6.3 9.2 31.4 57.9 33.8 18.3 2.0 1.8 6.3 10.9 1.4 1.2

Bharat Electronics Buy 1,225 1,414 29,395 8,137 9,169 16.8 17.2 58.7 62.5 20.9 19.6 3.2 2.9 44.6 46.3 2.6 2.3


September 02, 2016

Stock Watch



Capital Goods

Voltas Neutral 388 - 12,825 6,511 7,514 7.9 8.7 12.9 16.3 30.1 23.8 5.4 4.7 16.7 18.5 1.8 1.5

BGR Energy Neutral 114 - 821 16,567 33,848 6.0 5.6 7.8 5.9 14.6 19.3 0.8 0.8 4.7 4.2 0.2 0.1

BHEL Neutral 136 - 33,189 28,797 34,742 - 2.8 2.3 6.9 59.0 19.7 1.0 1.0 1.3 4.8 0.9 0.6

Blue Star Accumulate 501 527 4,776 4,351 5,024 6.4 7.1 17.2 20.6 29.2 24.3 19.0 15.8 23.1 24.1 1.1 1.0

Crompton Greaves Neutral 81 - 5,092 5,777 6,120 5.9 7.0 3.3 4.5 24.6 18.1 1.1 1.0 4.4 5.9 0.8 0.7

Greaves Cotton Neutral 136 - 3,322 1,755 1,881 16.8 16.9 7.8 8.5 17.4 16.0 3.5 3.2 20.6 20.9 1.6 1.5

Inox Wind Buy 186 286 4,130 5,605 6,267 15.7 16.4 24.8 30.0 7.5 6.2 2.1 1.5 25.9 24.4 0.8 0.6

KEC International Neutral 136 - 3,491 9,294 10,186 7.9 8.1 9.9 11.9 13.7 11.4 2.0 1.8 15.6 16.3 0.6 0.6

Thermax Neutral 832 - 9,914 5,421 5,940 7.3 7.3 25.7 30.2 32.4 27.6 3.9 3.6 12.2 13.1 1.7 1.6

VATech Wabag Buy 565 681 3,079 3,136 3,845 8.9 9.1 26.0 35.9 21.7 15.7 2.7 2.3 13.4 15.9 0.9 0.7

Cement

ACC Neutral 1,688 - 31,696 11,225 13,172 13.2 16.9 44.5 75.5 37.9 22.4 3.6 3.3 11.2 14.2 2.8 2.4

Ambuja Cements Neutral 278 - 55,102 9,350 10,979 18.2 22.5 5.8 9.5 47.8 29.2 4.0 3.6 10.2 12.5 5.8 5.0

India Cements Neutral 151 - 4,652 4,364 4,997 18.5 19.2 7.9 11.3 19.2 13.4 1.4 1.3 8.0 8.5 1.8 1.6

JK Cement Neutral 791 - 5,530 4,398 5,173 15.5 17.5 31.2 55.5 25.3 14.3 3.0 2.6 12.0 15.5 1.8 1.5

J K Lakshmi Cement Neutral 457 - 5,381 2,913 3,412 14.5 19.5 7.5 22.5 61.0 20.3 3.8 3.2 12.5 18.0 2.4 2.0

Orient Cement Neutral 196 - 4,012 2,114 2,558 18.5 20.5 8.1 11.3 24.2 17.3 3.6 3.0 9.0 14.0 2.4 1.9

UltraTech Cement Neutral 4,056 - 111,320 25,768 30,385 21.0 23.5 111.0 160.0 36.5 25.4 4.7 4.1 13.5 15.8 4.2 3.5

Construction

ITNL Buy 72 93 2,364 8,946 10,017 31.0 31.6 8.1 9.1 8.9 7.9 0.3 0.3 4.2 5.0 3.6 3.3

KNR Constructions Accumulate 703 802 1,977 1,385 1,673 14.7 14.0 41.2 48.5 17.1 14.5 3.2 2.8 14.9 15.2 1.5 1.2

Larsen & Toubro Buy 1,508 1,700 140,514 67,665 77,249 10.7 11.5 57.3 71.2 26.3 21.2 2.4 2.3 12.6 14.3 2.2 1.9

Gujarat Pipavav Port Neutral 182 - 8,791 705 788 52.2 51.7 5.0 5.6 36.4 32.5 3.6 3.2 11.2 11.2 11.9 10.1

Nagarjuna Const. Neutral 86 - 4,767 8,842 9,775 9.1 8.8 5.3 6.4 16.2 13.4 1.3 1.2 8.2 9.1 0.7 0.6

PNC Infratech Accumulate 120 129 3,066 2,350 2,904 13.4 13.7 48.0 42.0 2.5 2.9 0.5 0.4 16.8 13.2 1.4 1.2

Simplex Infra Neutral 307 - 1,516 6,829 7,954 10.5 10.5 31.4 37.4 9.8 8.2 1.0 0.9 9.9 13.4 0.6 0.5

Power Mech Projects Neutral 481 - 708 1,801 2,219 12.7 14.6 72.1 113.9 6.7 4.2 1.2 1.0 16.8 11.9 0.4 0.3

Sadbhav Engineering Neutral 292 - 5,013 3,598 4,140 10.3 10.6 9.0 11.9 32.5 24.6 3.4 3.0 9.9 11.9 1.7 1.4

NBCC Neutral 242 - 14,505 7,428 9,549 7.9 8.6 8.2 11.0 29.5 22.0 1.5 1.2 28.2 28.7 1.7 1.2

MEP Infra Neutral 43 - 697 1,877 1,943 30.6 29.8 3.0 4.2 14.3 10.2 6.9 4.7 0.6 0.6 1.8 1.6

SIPL Neutral 111 - 3,926 1,036 1,252 65.5 66.2 (8.4) (5.6) 4.2 4.8 (22.8) (15.9) 11.5 9.6


September 02, 2016

Stock Watch



Construction

Engineers India Neutral 270 - 9,084 1,725 1,935 16.0 19.1 11.4 13.9 23.7 19.4 3.3 3.2 13.4 15.3 4.1 3.7

Financials

Axis Bank Neutral 596 - 142,299 58,081 66,459 3.5 3.5 32.4 44.6 18.4 13.4 2.4 2.1 13.6 16.5 - -

Bank of Baroda Neutral 161 - 37,143 19,980 23,178 1.8 1.8 11.5 17.3 14.0 9.3 1.6 1.3 8.3 10.1 - -

Canara Bank Neutral 277 - 15,065 15,225 16,836 1.8 1.8 14.5 28.0 19.1 9.9 1.3 1.1 5.8 8.5 - -

Dewan Housing Finance Neutral 286 - 8,331 2,225 2,688 2.9 2.9 29.7 34.6 9.6 8.3 1.6 1.3 16.1 16.8 - -

Equitas Holdings Buy 179 235 6,015 939 1,281 11.7 11.5 5.8 8.2 30.9 21.9 2.7 2.4 10.9 11.5 - -

Federal Bank Neutral 70 - 11,976 9,353 10,623 2.9 2.9 4.4 5.8 15.8 12.0 1.5 1.3 9.5 11.0 - -

HDFC Neutral 1,422 - 224,797 11,475 13,450 3.4 3.4 45.3 52.5 31.4 27.1 6.1 5.4 20.2 20.5 - -

HDFC Bank Accumulate 1,280 1,350 324,126 46,097 55,433 4.5 4.5 58.4 68.0 21.9 18.8 3.8 3.2 18.8 18.6 - -

ICICI Bank Neutral 261 - 151,763 39,029 45,903 3.3 3.3 16.7 16.3 15.6 16.0 1.9 1.8 10.1 12.4 - -

LIC Housing Finance Neutral 572 - 28,872 3,712 4,293 2.6 2.5 39.0 46.0 14.7 12.4 2.8 2.4 19.9 20.1 - -

Punjab Natl.Bank Neutral 126 - 24,692 23,532 23,595 2.3 2.4 6.8 12.6 18.5 10.0 2.9 2.0 3.3 6.5 - -

South Ind.Bank Neutral 22 - 3,004 6,435 7,578 2.5 2.5 2.7 3.1 8.2 7.2 1.1 0.9 10.1 11.2 - -

St Bk of India Neutral 252 - 195,428 88,650 98,335 2.6 2.6 13.5 18.8 18.7 13.4 1.8 1.6 7.0 8.5 - -

Union Bank Neutral 138 - 9,459 13,450 14,925 2.3 2.3 25.5 34.5 5.4 4.0 0.8 0.7 7.5 10.2 - -

Yes Bank Neutral 1,366 - 57,494 8,978 11,281 3.3 3.4 74.0 90.0 18.5 15.2 3.5 3.0 17.0 17.2 - -

FMCG

Asian Paints Neutral 1,155 - 110,821 17,128 18,978 16.8 16.4 19.1 20.7 60.5 55.8 21.0 19.9 34.8 35.5 6.3 5.7

Britannia Neutral 3,412 - 40,933 9,795 11,040 14.6 14.9 80.3 94.0 42.5 36.3 17.5 13.5 41.2 - 4.1 3.6

Colgate Neutral 951 - 25,858 4,605 5,149 23.4 23.4 23.8 26.9 40.0 35.3 22.1 17.3 64.8 66.8 5.5 4.9

Dabur India Neutral 294 - 51,701 8,315 9,405 19.8 20.7 8.1 9.2 36.3 32.0 10.1 8.4 31.6 31.0 5.9 5.2

GlaxoSmith Con* Neutral 6,242 - 26,251 4,350 4,823 21.2 21.4 179.2 196.5 34.8 31.8 9.3 7.8 27.1 26.8 5.5 4.8

Godrej Consumer Neutral 1,551 - 52,830 10,235 11,428 18.4 18.6 41.1 44.2 37.8 35.1 8.4 7.1 24.9 24.8 5.3 4.7

HUL Neutral 927 - 200,539 35,252 38,495 17.6 17.4 20.4 21.9 45.4 42.3 37.3 32.7 82.2 77.3 5.5 5.0

ITC Accumulate 261 283 314,565 40,059 44,439 39.0 39.2 9.1 10.1 28.7 25.8 7.8 6.9 27.2 26.5 7.2 6.5

Marico Neutral 294 - 37,867 6,430 7,349 18.8 19.5 6.4 7.7 45.9 38.1 13.8 11.7 33.2 32.5 5.6 4.8

Nestle* Neutral 6,504 - 62,708 10,073 11,807 20.7 21.5 124.8 154.2 52.1 42.2 21.4 19.2 34.8 36.7 6.2 5.3

Tata Global Neutral 141 - 8,905 8,675 9,088 9.8 9.8 7.4 8.2 19.1 17.2 2.2 2.1 7.9 8.1 0.9 0.9Procter & Gamble Hygiene Accumulate 6,550 7,369 21,262 2,939 3,342 23.2 23.0 146.2 163.7 44.8 40.0 100.3 96.2 25.3 23.5 6.8 5.9

IT

HCL Tech^ Buy 784 1,000 110,653 49,242 57,168 20.5 20.5 55.7 64.1 14.1 12.2 2.9 2.2 20.3 17.9 2.1 1.7


September 02, 2016

Stock Watch



IT

Infosys Buy 1,038 1,370 238,343 69,934 79,025 27.5 27.5 64.8 72.0 16.0 14.4 3.5 3.2 22.0 22.3 2.9 2.5

TCS Buy 2,508 3,004 494,105 121,684 136,286 27.3 27.3 135.0 150.1 18.6 16.7 6.2 5.7 33.2 33.9 3.9 3.4

Tech Mahindra Buy 469 700 45,550 30,347 33,685 17.0 17.0 37.5 41.3 12.5 11.4 2.7 2.4 21.8 20.7 1.2 1.0

Wipro Buy 484 680 119,508 51,631 55,822 21.7 17.9 35.9 36.9 13.5 13.1 2.8 2.6 19.0 18.1 2.0 1.8

Media

D B Corp Neutral 411 - 7,551 2,297 2,590 27.4 28.2 21.0 23.4 19.6 17.6 4.6 4.0 23.7 23.1 3.1 2.7

HT Media Neutral 84 - 1,948 2,693 2,991 12.6 12.9 7.9 9.0 10.6 9.3 0.9 0.8 7.8 8.3 0.3 0.2

Jagran Prakashan Accumulate 198 205 6,463 2,355 2,635 28.0 28.0 9.9 10.8 20.0 18.3 4.0 3.4 21.7 21.7 2.6 2.3

Sun TV Network Neutral 466 - 18,380 2,850 3,265 70.1 71.0 26.2 30.4 17.8 15.3 4.6 4.0 24.3 25.6 6.2 5.2Hindustan Media Ventures Neutral 283 - 2,073 1,016 1,138 24.3 25.2 27.3 30.1 10.4 9.4 2.0 1.8 16.2 15.8 1.4 1.2

TV Today Network Buy 305 363 1,819 637 743 27.5 27.5 18.4 21.4 16.6 14.3 2.9 2.5 17.4 17.2 2.5 2.0

Metals & Mining

Coal India Neutral 338 - 213,525 84,638 94,297 21.4 22.3 24.5 27.1 13.8 12.5 5.7 5.5 42.6 46.0 2.0 1.8

Hind. Zinc Neutral 225 - 95,260 14,252 18,465 55.9 48.3 15.8 21.5 14.3 10.5 2.3 2.0 17.0 20.7 6.8 5.2

Hindalco Neutral 158 - 32,555 107,899 112,095 7.4 8.2 9.2 13.0 17.1 12.1 0.8 0.8 4.8 6.6 0.8 0.8

JSW Steel Neutral 1,771 - 42,819 53,201 58,779 16.1 16.2 130.6 153.7 13.6 11.5 1.8 1.6 14.0 14.4 1.6 1.4

NMDC Neutral 107 - 42,264 6,643 7,284 44.4 47.7 7.1 7.7 15.0 13.8 1.3 1.3 8.8 9.2 4.2 3.8

SAIL Neutral 48 - 19,824 47,528 53,738 (0.7) 2.1 (1.9) 2.6 18.5 0.5 0.5 (1.6) 3.9 1.3 1.2

Vedanta Neutral 170 - 50,459 71,744 81,944 19.2 21.7 13.4 20.1 12.7 8.5 1.1 1.0 8.4 11.3 1.1 0.8

Tata Steel Neutral 374 - 36,304 121,374 121,856 7.2 8.4 18.6 34.3 20.1 10.9 1.3 1.2 6.1 10.1 0.9 0.9

Oil & Gas

Cairn India Neutral 200 - 37,572 9,127 10,632 4.3 20.6 8.8 11.7 22.8 17.1 0.7 0.7 3.3 4.2 5.7 4.7

GAIL Neutral 392 - 49,724 56,220 65,198 9.3 10.1 27.1 33.3 14.5 11.8 1.3 1.2 9.3 10.7 1.1 0.9

ONGC Neutral 237 - 202,380 137,222 152,563 15.0 21.8 19.5 24.1 12.1 9.8 1.0 1.0 8.5 10.1 1.8 1.6

Indian Oil Corp Neutral 576 - 139,765 373,359 428,656 5.9 5.5 54.0 59.3 10.7 9.7 1.7 1.5 16.0 15.6 0.5 0.5

Reliance Industries Neutral 1,029 - 333,696 301,963 358,039 12.1 12.6 87.7 101.7 11.7 10.1 1.2 1.1 10.7 11.3 1.6 1.3

Pharmaceuticals

Alembic Pharma Neutral 628 - 11,847 3,483 4,083 20.2 21.4 24.3 30.4 25.9 20.7 5.9 4.7 25.5 25.3 3.4 2.8

Aurobindo Pharma Accumulate 774 877 45,304 15,720 18,078 23.7 23.7 41.4 47.3 18.7 16.4 4.9 3.8 29.6 26.1 3.2 2.8

Aventis* Neutral 4,502 - 10,368 2,357 2,692 17.3 17.3 153.5 169.2 29.3 26.6 5.0 4.0 25.8 28.4 3.9 3.2

Cadila Healthcare Neutral 375 - 38,436 11,126 13,148 22.0 22.0 17.1 20.0 22.0 18.8 5.6 4.5 28.8 26.6 3.6 2.9

Cipla Sell 578 490 46,410 15,378 18,089 17.4 18.4 21.6 27.2 26.7 21.2 3.5 3.0 13.7 15.2 3.2 2.7

Dr Reddy's Neutral 3,098 - 52,835 16,043 18,119 23.1 24.7 126.0 157.8 24.6 19.6 3.6 3.1 15.7 17.1 3.2 2.8


September 02, 2016

Stock Watch



Pharmaceuticals

Dishman Pharma Sell 173 45 2,797 1,718 1,890 22.7 22.8 9.5 11.3 18.2 15.3 1.8 1.6 10.1 10.9 2.2 1.9

GSK Pharma* Neutral 2,994 - 25,356 3,528 3,811 16.6 18.8 51.8 59.4 57.8 50.4 15.5 15.4 26.3 30.6 7.0 6.5

Indoco Remedies Sell 316 225 2,912 1,112 1,289 18.2 18.2 13.2 15.6 23.9 20.3 4.3 3.6 19.2 19.2 2.8 2.4

Ipca labs Accumulate 539 613 6,797 3,303 3,799 15.3 15.3 17.3 19.7 31.1 27.4 2.7 2.5 9.1 9.4 2.2 1.9

Lupin Buy 1,502 1,809 67,698 15,912 18,644 26.4 26.7 58.1 69.3 25.9 21.7 5.0 4.1 21.4 20.9 4.4 3.6

Sun Pharma Buy 771 944 185,448 31,129 35,258 30.0 30.9 28.0 32.8 27.5 23.5 4.2 3.5 18.7 18.9 5.6 4.7

Power

Tata Power Neutral 78 - 21,137 36,916 39,557 17.4 27.1 5.1 6.3 15.3 12.4 1.4 1.2 9.0 10.3 1.6 1.4

NTPC Neutral 159 - 130,814 86,605 95,545 17.5 20.8 11.8 13.4 13.4 11.8 1.4 1.3 10.5 11.1 2.9 2.9

Power Grid Neutral 184 - 96,287 25,763 29,762 74.3 73.1 14.8 17.3 12.4 10.6 1.9 1.7 16.9 17.5 8.0 7.6

Real Estate

Prestige Estate Buy 187 210 7,029 4,707 5,105 25.2 26.0 10.3 13.0 18.2 14.4 1.5 1.4 10.3 10.2 2.6 2.3

MLIFE Buy 432 522 1,773 1,152 1,300 22.7 24.6 29.9 35.8 14.5 12.1 1.1 1.0 7.6 8.6 2.3 1.9

Telecom

Bharti Airtel Neutral 311 - 124,199 105,086 114,808 34.5 34.7 12.2 16.4 25.5 19.0 1.7 1.6 6.8 8.4 2.2 1.9

Idea Cellular Neutral 84 - 30,139 40,133 43,731 37.2 37.1 6.4 6.5 13.1 12.9 1.1 1.0 8.2 7.6 1.9 1.6

zOthers

Abbott India Neutral 4,626 - 9,830 3,153 3,583 14.1 14.4 152.2 182.7 30.4 25.3 149.2 127.4 25.6 26.1 2.9 2.5

Bajaj Electricals Neutral 266 - 2,689 5,099 5,805 5.7 5.9 11.4 14.6 23.4 18.3 3.1 2.8 13.4 15.1 0.5 0.5

Finolex Cables Neutral 438 - 6,696 2,883 3,115 12.0 12.1 14.2 18.6 30.8 23.5 16.4 14.3 15.8 14.6 2.0 1.8

Goodyear India* Accumulate 559 631 1,289 1,598 1,704 10.4 10.2 49.4 52.6 11.3 10.6 52.2 45.8 18.2 17.0 0.5 64.3

Hitachi Neutral 1,503 - 4,087 2,081 2,433 8.8 8.9 33.4 39.9 45.0 37.7 36.3 30.3 22.1 21.4 2.0 1.7

Jyothy Laboratories Neutral 312 - 5,659 1,440 2,052 11.5 13.0 8.5 10.0 36.8 31.2 8.9 8.2 18.6 19.3 4.2 2.9

Page Industries Neutral 15,104 - 16,847 2,450 3,124 20.1 17.6 299.0 310.0 50.5 48.7 336.4 256.8 47.1 87.5 6.8 5.4

Relaxo Footwears Neutral 439 - 5,265 2,085 2,469 9.2 8.2 7.6 8.0 58.0 55.2 22.5 19.2 17.9 18.8 2.7 2.3

Siyaram Silk Mills Neutral 1,319 - 1,236 1,799 2,040 11.6 11.7 104.9 122.4 12.6 10.8 2.1 1.8 16.4 16.4 0.9 0.8

Styrolution ABS India* Neutral 573 - 1,008 1,440 1,537 9.2 9.0 40.6 42.6 14.1 13.5 36.0 32.8 12.3 11.6 0.7 0.6

TVS Srichakra Accumulate 2,616 2,932 2,003 2,304 2,614 13.7 13.8 231.1 266.6 11.3 9.8 293.9 231.4 33.9 29.3 0.9 0.7

HSIL Neutral 349 - 2,522 2,384 2,515 15.8 16.3 15.3 19.4 22.8 18.0 22.7 19.5 7.8 9.3 1.2 1.1Kirloskar Engines India Ltd Neutral 285 - 4,122 2,554 2,800 9.9 10.0 10.5 12.1 27.1 23.6 11.4 10.7 10.7 11.7 1.2 1.1

M M Forgings Neutral 430 - 519 546 608 20.4 20.7 41.3 48.7 10.4 8.8 58.9 52.1 16.6 17.0 0.8 0.7

Banco Products (India) Neutral 227 - 1,623 1,353 1,471 12.3 12.4 14.5 16.3 15.7 13.9 21.6 19.5 14.5 14.6 1.1 115.4

Competent Automobiles Neutral 177 - 109 1,137 1,256 3.1 2.7 28.0 23.6 6.3 7.5 34.1 30.8 14.3 11.5 0.1 0.1


September 02, 2016

Stock Watch



zOthers

Nilkamal Neutral 1,246 - 1,859 1,995 2,165 10.7 10.4 69.8 80.6 17.8 15.5 71.2 61.8 16.6 16.5 0.9 0.8

Visaka Industries Neutral 187 - 297 1,051 1,138 10.3 10.4 21.0 23.1 8.9 8.1 24.0 22.4 9.0 9.2 0.5 0.5Transport Corporation of India Neutral 192 - 1,470 2,671 2,911 8.5 8.8 13.9 15.7 13.9 12.3 1.9 1.7 13.7 13.8 0.6 0.6

Elecon Engineering Accumulate 57 63 621 1,482 1,660 13.7 14.5 3.9 5.8 14.6 9.8 3.4 3.2 7.8 10.9 0.7 0.7

Surya Roshni Accumulate 191 201 837 3,342 3,625 7.8 7.5 17.3 19.8 11.1 9.7 21.0 16.8 10.5 10.8 0.5 0.4

MT Educare Neutral 135 - 536 366 417 17.7 18.2 9.4 10.8 14.4 12.5 3.2 2.8 22.2 22.3 1.4 1.2

Radico Khaitan Buy 100 125 1,333 1,659 1,802 13.0 13.2 6.3 7.4 15.8 13.6 1.4 1.3 8.6 9.3 1.3 1.2

Garware Wall Ropes Accumulate 475 524 1,039 873 938 12.9 13.1 30.9 34.9 15.4 13.6 2.4 2.1 15.7 15.2 1.1 1.0

Wonderla Holidays Neutral 410 - 2,318 287 355 38.0 40.0 11.3 14.2 36.3 28.9 5.2 4.6 21.4 23.9 7.7 6.3

Linc Pen & Plastics Neutral 281 - 415 382 420 9.3 9.5 13.5 15.7 20.8 17.9 3.6 3.1 17.1 17.3 1.1 1.0

The Byke Hospitality Neutral 159 - 636 287 384 20.5 20.5 7.6 10.7 20.9 14.8 4.4 3.5 20.7 23.5 2.2 1.7

Interglobe Aviation Neutral 877 - 31,609 21,122 26,005 14.5 27.6 110.7 132.1 7.9 6.6 47.4 33.9 168.5 201.1 1.5 1.2Coffee Day Enterprises Ltd Neutral 245 - 5,051 2,964 3,260 20.5 21.2 4.7 8.0 - 30.6 2.8 2.6 5.5 8.5 2.1 1.9

Navneet Education Neutral 104 - 2,474 1,062 1,147 24.0 24.0 6.1 6.6 17.1 15.7 3.5 3.1 20.6 19.8 2.4 2.2

Navkar Corporation Buy 195 265 2,785 408 612 42.9 42.3 6.8 11.5 28.8 17.0 2.0 1.8 6.9 10.5 7.8 5.2

UFO Moviez Neutral 477 - 1,316 619 685 33.2 33.4 30.0 34.9 15.9 13.7 2.2 1.9 13.8 13.9 1.8 1.5

VRL Logistics Neutral 291 - 2,654 1,902 2,119 16.7 16.6 14.6 16.8 20.0 17.3 4.4 3.8 21.9 22.2 1.5 1.3

Team Lease Serv. Neutral 1,123 - 1,921 3,229 4,001 1.5 1.8 22.8 32.8 49.3 34.2 5.3 4.6 10.7 13.4 0.5 0.4

S H Kelkar & Co. Neutral 344 - 4,971 1,036 1,160 15.1 15.0 6.1 7.2 56.3 47.9 6.0 5.5 10.7 11.5 4.6 4.0

Quick Heal Neutral 238 - 1,667 408 495 27.3 27.0 7.7 8.8 30.8 27.1 2.9 2.9 9.3 10.6 3.3 2.7

Narayana Hrudaya Neutral 309 - 6,315 1,873 2,166 11.5 11.7 2.6 4.0 116.8 77.9 7.2 6.5 6.1 8.3 3.5 3.0

Manpasand Bever. Neutral 726 - 3,636 836 1,087 19.6 19.4 16.9 23.8 43.0 30.5 5.2 4.5 12.0 14.8 4.2 3.2

Parag Milk Foods Neutral 339 - 2,852 1,919 2,231 9.3 9.6 9.5 12.9 35.9 26.2 5.6 4.6 15.5 17.5 1.6 1.3

Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on September 01, 2016


September 02, 2016

Stock Watch

Research Team Tel: 022 - 39357800 E-mail: [email protected] Website: www.angelbroking.com

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