Market Outlook 27th Dec

Market Outlook
December 27, 2012
Domestic Indices
Dealers Diary
The Indian market is expected to open flat tracking mixed opening of other Asian
markets and flat trading of the SGX Nifty.
Chg (%)
(Pts)
(Close)
BSE Sensex
0.8
Nifty
0.9
162.4 19,417
49.8
5,906
MID CAP
0.7
46.2
7,069
The U.S. markets moved mostly lower during trading on Wednesday on continued
concerns about the looming fiscal cliff. The weakness on Wall Street came as
traders expressed pessimism about the fiscal cliff negotiations, considering that
lawmakers have only a few days to reach a budget agreement before the year-end
deadline. The worries about the fiscal cliff overshadowed a report from Standard &
Poor's, showing the strongest annual rate of growth in home prices in over two
years. All of the major European markets remained closed for a second straight
day due to the Christmas holidays, while stock markets across the Asia-Pacific
region moved mostly higher on Wednesday.
SMALL CAP
0.4
26.8
7,376
BSE HC
0.6
51.6
8,177
BSE PSU
0.6
43.8
7,221
BANKEX
1.4
191.9 14,342
AUTO
0.3
31.4 11,336
METAL
0.6
65.8 11,046
OIL & GAS
0.8
66.7
8,370
(0.2)
(9.9)
5,663
(Pts)
(Close)
Indian shares rallied on Wednesday on the back of easing liquidity concerns after
the Reserve Bank of India said it would pump in `8,000cr in the market on 28th
December 2012 by buying government securities. The budget negotiations are
likely to once again overshadow a batch of economic data, including reports on
new home sales and consumer confidence which are due to be released today.
Dow Jones
(0.2)
(24.5) 13,115
NASDAQ
Markets Today
The trend deciding level for the day is 19,387 / 5,894 levels. If NIFTY trades above
this level during the first half-an-hour of trade then we may witness a further rally
up to 19,499 19,581 / 5,929 5,952 levels. However, if NIFTY trades below
19,387 / 5,894 levels for the first half-an-hour of trade then it may correct up to
19,305 19,192 / 5,871 5,836 levels.
Indices
SENSEX
NIFTY
S2
19,192
5,836
S1
19,305
5,871
PIVOT
19,387
5,894
R1
19,499
5,929
R2
19,581
5,952
News Analysis
BSE IT
Global Indices
Chg (%)
(0.7)
(22.4)
2,990
FTSE
0.2
14.2
5,954
Nikkei
1.5
150.2 10,230
Hang Seng
0.2
34.9 22,541
Straits Times
0.4
12.2
3,181
Shanghai Com
0.3
5.5
2,219
Chg (%)
(Pts)
(Close)
INFY
0.5
0.2
$42.1
WIT
0.2
0.0
$8.7
IBN
0.2
0.1
$44.3
HDB
0.0
0.0
$40.9
Indian ADR
Advances / Declines
BSE
NSE
Government extends incentives to revive exports

CCEA approves increase in Minimum Support Price (MSP) of wheat
CCEA approves disinvestment in RCF
Ashoka Buildcon emerges as lowest bidder for Chennai project
Advances
1,523
819
Declines
1,416
679
127
91
Refer detailed news analysis on the following page
Volumes (` cr)
Unchanged
Net Inflows (December 24, 2012)

` cr
FII
MFs
Purch
5,134
460
Sales
1,171
551
Net
3,963
(91)
MTD
21,657
(2,595)
YTD
126,676
(20,192)
FII Derivatives (December 26, 2012)

` cr
Index Futures
Stock Futures
Purch
2,634
9,180
Sales
2,471
9,292
Net
163
(112)
Open Interest
16,456
36,789
Gainers / Losers
Gainers
Company
Losers
Price (`)
chg (%)
Berger Paints
160
6.8
Eicher Motors
2,866
6.7
541
Glenmark Pharma
Unitech
Bank of India
www.angelbroking.com
Company
Price (`)
chg (%)
Bayer Crop
1,207
(2.6)
Strides Arco
1,132
(2.4)
4.1
TTK Prestige
3,339
(2.2)
34
3.7
Suzlon Energy
18
(1.7)
340
3.5
Zee Entertainment
226
(1.5)
BSE
2,411
NSE
9,024
Market Outlook
December 27, 2012
Government extends incentives to revive exports

To tackle the declining exports in the economy, the government extended the 2%
interest subsidy on rupee-denominated loans for export-oriented labour-intensive
and small-scale industries as well as engineering sector (including hand tools,
electrical machinery and boilers) until March 2014. The Commerce Ministry
stated that a sharp decline in labour-intensive sectors is adversely impacting
employment and job creation. As the external demand environment remains weak,
exports in the economy have languished with a contraction for the seventh straight
month by 4.2% in November 2012. The decline in exports along with growth in
imports, mainly as oil imports rise, has led to a deteriorating trade deficit. The
trade deficit for the month of November stood at USD$19.3bn while it widened to
about USD$130bn in the April November 2012 period.
The move is expected to have a positive impact on export growth, thereby
supporting the trade balance and the rupee, in turn having an impact on imported
inflation. Further, a meaningful improvement in exports is also likely to boost
growth; however the impact is likely to be limited by the external demand
environment.
CCEA approves increase in Minimum Support Price (MSP) of

wheat
The Cabinet Committee on Economic Affairs (CCEA) approved the increase in
Minimum Support Prices (MSPs) for wheat in FY2013 to `1,350 as compared to
`1,285 in the previous year. The MSP increase of `65 per quintal is lower than the
agricultural ministrys proposal of a hike of `100 per quintal. The 5.1% increase is
moderate as compared to the steeper 14.7% hike of wheat MSP in 2011. The
CCEA also approved export of an additional 25 lakh tonne of wheat from central
pool stocks of the Food Corporation of India (FCI), taking the total approval for
export of wheat to 45 lakh tonne. We believe this is due to record-high production
of wheat at 93.90 million tonne in 2011-12.
Earlier in November, the CCEA had approved an increase in the MSP of Barley to
`980 per quintal, of Gram to `3,000 per quintal, of Masur (Lentil) to `2,900 per
quintal, Rapeseed / Mustard to `3,000 per quintal and Safflower to `2,800 per
quintal. The decision on increase in MSP of wheat had been deferred mainly
because of the disagreement in MSP increase between CACP and the agriculture
ministry. As far as sowing of wheat in the rabi season is concerned, reports of
various states indicate that wheat sowing has declined by 1.5% to 253.17 lakh
hectare in 2012 as compared to 257.15 lakh hectare in 2011. The total sown
area for rabi has also marginally declined by 0.3% to around 517.53 lakh hectare
as compared to 518.88 lakh hectare in the previous year. Further, owing to the
high production of wheat in November 2012 the CCEA had also approved
allocation of 65 lakh tonne of wheat for sale by FCI to bulk consumers/traders and
an additional 5 lakh tonne of wheat for sale to retail consumers and continued
unrestricted export of wheat.
In June 2012, the government had hiked the MSP for kharif crops in the range of
15% to 53% as compared to the moderate MSP hikes for rabi crops in the range of
5% - 20%. We believe that this moderation in MSP hikes is likely to augur positively
Market Outlook
December 27, 2012
for food inflation which continues to stay elevated, pushing up overall headline
inflation in the economy, and is a positive trend to rein in the food subsidy.
CCEA approves disinvestment in RCF

The Cabinet Committee on Economic Affairs (CCEA) approved divestment of
12.5% equity in Rashtriya Chemicals and Fertilizers Ltd (RCF). The divestment will
bring down governments stake in the company down to 80% as against the
present 92.5% and is expected to fetch roughly `360cr to the exchequer. The paid
up equity capital of the company as on 31st March, 2012 is `551.69cr. RCF is a
listed Mini-Ratna public sector company under the administrative control of the
Ministry of Chemicals & Fertilizers, Department of Fertilizers. It is engaged in the
business of manufacturing and marketing fertilizers, industrial chemicals such as
methanol, methylamines, ammonium bicarbonate, ammonium nitrate etc.
So far, the government has divested its stake in Hindustan Copper and NMDC
and garnered proceeds amounting to about `6,900cr. For the government to meet
its budgeted divestment target of `30,000cr for the fiscal, the CCEA has also
approved the sale of shares in NALCO, SAIL, NTPC, RINL, BHEL, Oil India, MMTC
and Hindustan Aeronautics. As per media reports, the stake sale in Oil India is
slated to happen in January 2013 followed by that in NTPC.
Ashoka Buildcon emerges as lowest bidder for Chennai

project
Ashoka Buildcon and GVR Infra Projects - a consortium (50%:50%) have emerged
as the lowest bidder for a road project in Chennai. The project involves
development of Chennai outer ring road phase III from Nemilicheri in NH 205 to
Minjur road on design, build, finance, operate and transfer annuity basis. The
project has a concession period of 20 years and has an estimated project cost of
`985.4cr. We continue to maintain our Buy rating on the stock with a target price
of `286.
Economic and Political News
Government approves 12 FDI proposals worth over `802cr

Government to announce revised norms for SEZs by January end
Industrial consumers to get power cheaper by `2.50 per unit at night
Corporate News
Companies raised US$1.35bn from overseas markets in November

Essar Power commissions its 600MW Mahan I power project
Godrej Properties to redevelop private society in Mumbai
Higher coal price forces Nalco to cut more capacity
IndusInd promoter entity sells 33 lakh shares for `138cr
Suzlon's promoters sell 2.11% stake
Jindal Stainless to issue shares worth `200cr to promoters
Source: Economic Times, Business Standard, Business Line, Financial Express, Mint
Market Outlook
December 27, 2012
Global economic events release calendar
Date
Time
Country Event Description
Unit
Period
Bloomberg Data
Last Reported Estimated
December 27, 2012
8:30PM
US
Consumer Confidence
8:30PM
US
New home sales
S.A./ 1985=100
Dec
73.70
70.00
Thousands
Nov
368.00
380.00
January 1, 2013
6:30AM
China
PMI Manufacturing
Value
Dec
50.60
51.00
January 2, 2013
2:25PM
Germany PMI Manufacturing
Value
Dec
46.30
--
3:00PM
UK
PMI Manufacturing
Value
Dec
49.10
49.10
January 3, 2013
2:25PM
Germany Unemployment change (000's)
Thousands
Dec
5.00
--
January 4, 2013
2:25PM
Germany PMI Services
Value
Dec
52.10
--
7:00PM
US
Change in Nonfarm payrolls
Thousands
Dec
146.00
--
Unnemployment rate
7:00PM
US
January 8, 2013
3:30PM
Euro Zone Euro-Zone Consumer Confidence
January 9, 2013
5:29PM
China
5:29PM
5:29PM
January 10, 2013
Dec
7.70
--
Value
Dec
(26.60)
--
Consumer Price Index (YoY)
% Change
Dec
2.00
--
China
Industrial Production (YoY)
% Change
Dec
10.10
--
India
Imports YoY%
% Change
Dec
6.40
--
5:29PM
India
Exports YoY%
% Change
Dec
(4.20)
--
5:29PM
China
Exports YoY%
% Change
Dec
2.90
--
5:30PM
UK
BOE Announces rates
% Ratio
Jan 10
0.50
0.50
6:15PM
Euro Zone ECB announces interest rates
Jan 10
0.75
0.75
January 11, 2013
3:00PM
UK
Industrial Production (YoY)
% Change
Nov
(3.00)
--
January 13, 2013
5:29PM
China
Real GDP (YoY)
% Change
4Q
7.40
--
January 14, 2013
12:00PM
India
Monthly Wholesale Prices YoY%
% Change
Dec
7.24
--
11:00AM
India
Industrial Production YoY
% Change
Nov
8.20
--
3:00PM
UK
CPI (YoY)
% Change
Dec
2.70
--
7:00PM
US
Producer Price Index (mom)
% Change
Dec
(0.80)
--
3:30PM
Euro Zone Euro-Zone CPI (YoY)
Dec
2.20
--
7:00PM
US
Consumer price index (mom)
% Change
Dec
(0.30)
--
7:45PM
US
Industrial Production
Dec
1.05
--
7:00PM
US
Housing Starts
Thousands
Dec
861.00
--
January 15, 2013

January 16, 2013
January 17, 2013
7:00PM
US
Building permits
Thousands
Dec
899.00
--
January 23, 2013
3:00PM
UK
Jobless claims change
% Change
Dec
(3.00)
--
January 29, 2013
11:00AM
India
RBI Repo rate
Jan 29
8.00
--
11:00AM
India
RBI Cash Reserve ratio
Jan 29
4.25
--
11:00AM
India
RBI Reverse Repo rate
Jan 29
7.00
--
12:45AM
US
FOMC rate decision
Jan 30
0.25
--
January 31, 2013
Source: Bloomberg, Angel Research
Market Outlook
December 27, 2012
Macro watch
Exhibit 1: Quarterly GDP trends
Exhibit 2: IIP trends
(%)
(%)
11.2
10.0
8.5
7.6
7.5
8.2
6.0
8.0
6.0
6.7
5.7
6.1
5.3 5.5 5.3
4.3
4.0
2.7
2.0
2.5
2.3
1.0
3.5
(0.7)
Oct-12
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
(2.0)
(2.8)
(4.0)
(0.1)
Exhibit 4: Manufacturing and services PMI
(%)
Mfg. PMI
60.0
8.0
7.7
7.5
7.4
(1.3)
Source: MOSPI, Angel Research
Exhibit 3: Monthly WPI inflation trends
7.7
Mar-12
Feb-12
Jan-12
Dec-11
(2.0)
Nov-11
2QFY13
1QFY13
4QFY12
3QFY12
2QFY12
1QFY12
4QFY11
3QFY11
2QFY11
1QFY11
4QFY10
3QFY10
2QFY10
1QFY10
Source: CSO, Angel Research
7.6
7.6
Services PMI
8.1
58.0
7.5
56.0
7.5
7.2
54.0
6.9
52.0
Source: MOSPI, Angel Research
Nov-12
Oct-12
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
Jan-12
Dec-11
Source: Market, Angel Research; Note: Level above 50 indicates expansion
Exhibit 5: Exports and imports growth trends

(%)
48.0
Nov-11
Nov-12
Oct-12
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
Jan-12
50.0
Dec-11
8.2
8.0
7.8
7.6
7.4
7.2
7.0
6.8
6.6
6.4
6.2
8.2
8.0
9.2
9.0
4QFY09
12.0
11.0
10.0
9.0
8.0
7.0
6.0
5.0
4.0
3.0
Exports yoy growth
Exhibit 6: Key policy rates

Repo rate
(%)
9.00
Imports yoy growth
45.0
Reverse Repo rate
CRR
8.00
8.00
30.0
7.00
7.00
15.0
6.00
Source: Bloomberg, Angel Research
4.25
Source: RBI, Angel Research
Nov-12
Oct-12
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
Jan-12
4.00
Dec-11
Oct-12
Sep-12
Aug-12
Jul-12
Jun-12
May-12
5.00
Nov-11
(30.0)
Apr-12
Mar-12
Feb-12
Jan-12
Dec-11
(15.0)
Nov-11
0.0
Market Outlook
December 27, 2012
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
OPM(%)
EPS ( )
( )
Price ( )
( cr )
FY13E
FY14E
FY13E
FY14E
FY13E
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
Agri / Agri Chemical

Rallis
Neutral
153
2,971
1,466
1,686
14.8
14.8
7.0
8.1
21.8
18.9
4.6
4.0
22.6
22.5
2.1
1.8
United Phosphorus
Buy
124
170
5,711
8,421
9,263
16.5
16.5
15.0
17.0
8.3
7.3
1.2
1.1
15.6
15.5
0.8
0.7
Amara Raja Batteries
Accumulate
246
270
4,196
2,911
3,321
16.2
16.2
17.3
19.8
14.2
12.4
3.9
3.0
31.1
27.6
1.4
1.2
Apollo Tyres
Accumulate
87
96
4,362
13,713
15,341
11.2
11.2
12.5
14.8
6.9
5.8
1.3
1.1
20.2
19.9
0.5
0.4
Ashok Leyland
Buy
27
31
7,131
14,490
16,606
9.5
9.6
2.2
2.9
12.1
9.4
2.2
2.0
13.6
16.1
0.6
0.5
Automotive Axle#
Neutral
359
542
1,103
1,240
11.0
11.3
39.1
45.0
9.2
8.0
1.7
1.6
19.5
22.8
0.5
0.4
Bajaj Auto
Neutral
2,144
62,045
21,121
23,642
18.4
18.5
108.7
122.6
19.7
17.5
8.2
6.6
46.2
41.6
2.6
2.2
Bharat Forge
Buy
253
324
5,882
6,754
7,565
15.5
15.7
18.8
23.2
13.5
10.9
2.3
2.0
18.5
19.7
1.0
0.9
Bosch India*
Neutral
9,103
28,584
8,776
10,276
16.6
18.0
331.9
417.7
27.4
21.8
5.1
4.3
18.7
19.5
2.9
2.4
CEAT
Buy
109
163
373
4,989
5,634
8.2
8.5
27.1
40.8
4.0
2.7
0.5
0.4
13.2
17.2
0.3
0.2
Exide Industries
Accumulate
137
155
11,671
6,229
7,200
14.8
15.8
7.2
9.0
19.1
15.3
3.3
2.8
18.5
19.9
1.6
1.3
FAG Bearings*
Neutral
1,710
2,842
1,489
1,750
16.5
17.5
103.3
126.9
16.6
13.5
3.2
2.7
21.3
21.6
1.7
1.4
Hero Motocorp
Neutral
1,875
37,437
24,743
27,996
14.8
15.2
118.2
130.4
15.9
14.4
6.8
5.4
48.3
41.9
1.2
1.1
JK Tyre
Buy
120
165
494
7,517
8,329
6.6
6.6
37.2
41.3
3.2
2.9
0.6
0.5
18.8
17.8
0.3
0.3
Auto & Auto Ancillary
Mahindra and Mahindra Neutral
945
58,012
40,035
46,272
11.5
11.6
54.7
62.8
17.3
15.1
3.9
3.2
24.3
23.4
1.2
1.0
Maruti
Neutral
1,480
42,747
42,019
50,246
7.3
8.6
66.1
94.4
22.4
15.7
2.5
2.2
11.9
15.1
0.9
0.7
Motherson Sumi
Neutral
199
11,707
24,285
27,317
6.7
7.2
8.1
10.6
24.8
18.8
5.2
4.2
22.9
24.7
0.6
0.6
Subros
Buy
30
35
182
1,286
1,479
9.4
9.7
2.6
5.1
11.7
6.0
0.7
0.6
5.6
10.3
0.4
0.4
Tata Motors
Neutral
305
81,396 192,330 219,770
12.8
13.1
37.0
44.5
8.3
6.9
2.3
1.8
31.2
28.9
0.5
0.4
TVS Motor
Neutral
43
2,031
7,466
8,290
6.2
6.3
4.8
5.6
8.9
7.6
1.5
1.3
18.2
18.7
0.2
0.2
Capital Goods
ABB*
Sell
695
573
14,732
7,796
9,907
4.8
7.8
9.2
22.0
75.6
31.6
5.5
4.8
7.5
16.4
1.9
1.5
BGR Energy
Neutral
261
1,887
3,605
4,542
11.8
10.7
25.1
27.9
10.4
9.4
1.5
1.4
31.1
27.1
1.0
0.8
BHEL
Neutral
230
56,332
47,801
43,757
18.5
18.0
24.6
21.8
9.4
10.6
2.8
2.4
33.5
24.5
1.0
1.2
Blue Star
Buy
183
224
1,649
2,538
2,681
4.6
5.7
7.3
11.3
25.0
16.2
3.7
3.1
15.6
20.7
0.8
0.7
Crompton Greaves
Buy
114
145
7,294
12,370
14,277
5.2
7.3
4.0
7.8
28.4
14.6
1.9
1.8
6.9
12.6
0.6
0.6
Jyoti Structures
Buy
44
53
363
2,794
3,048
10.6
10.6
9.2
11.7
4.8
3.8
0.5
0.5
10.9
12.5
0.4
0.4
KEC International
Accumulate
67
73
1,713
6,858
7,431
7.1
7.5
8.3
9.8
8.0
6.8
1.4
1.2
25.1
24.0
0.4
0.4
LMW
Reduce
2,253
1,992
2,538
2,369
2,727
11.7
11.7
143.4
166.0
15.7
13.6
2.6
2.4
17.4
18.4
0.6
0.4
Thermax
Neutral
605
7,205
5,514
5,813
9.3
10.2
28.1
31.2
21.5
19.4
3.9
3.4
19.2
18.5
1.2
1.1
Market Outlook
December 27, 2012
Stock Watch
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
Cement
ACC
Neutral
1,412
26,507
11,085
12,415
21.6
21.4
79.4
83.1
17.8
17.0
3.5
3.1
20.1
19.2
2.1
1.8
Ambuja Cements
Neutral
201
31,014
10,272
11,884
26.4
26.1
11.5
12.9
17.6
15.6
3.9
3.4
20.8
21.1
2.6
2.2
India Cements
Neutral
87
2,686
4,293
4,666
17.7
18.1
8.6
10.8
10.2
8.1
0.8
0.7
7.5
9.0
1.0
0.9
J K Lakshmi Cements
Neutral
161
1,966
2,082
2,423
22.9
23.1
20.8
22.5
7.7
7.2
1.4
1.2
18.4
17.4
1.1
1.3
Madras Cements
Neutral
237
5,629
3,814
4,045
29.3
27.5
18.7
19.2
12.6
12.3
2.3
2.0
19.9
17.4
2.1
1.9
Shree Cements^
Neutral
4,484
15,621
5,701
6,210
29.7
28.1
240.7
260.7
18.6
17.2
4.5
3.7
27.1
23.6
2.2
1.8
UltraTech Cement
Neutral
1,976
54,177
21,368
24,043
22.5
23.5
103.5
121.4
19.1
16.3
3.6
3.0
20.2
20.1
2.5
2.3
203
304
1,066
2,034
2,315
22.4
22.4
27.1
31.7
7.5
6.4
0.9
0.8
13.1
13.4
1.8
2.0
Construction
Ashoka Buildcon
Buy
Consolidated Co
Neutral
13
240
2,262
2,522
6.7
7.5
1.5
2.7
8.7
4.9
0.4
0.4
4.4
7.5
0.4
0.4
IRB Infra
Buy
127
164
4,204
3,843
4,212
43.1
43.6
16.8
17.8
7.5
7.1
1.3
1.1
18.3
17.0
3.2
3.5
ITNL
Accumulate
205
225
3,984
6,564
7,054
27.2
27.4
26.3
29.0
7.8
7.1
1.2
1.1
14.0
11.8
2.7
2.8
IVRCL Infra
Neutral
45
1,393
4,249
6,897
7.8
8.2
0.3
3.3
147.2
13.8
0.6
0.6
0.4
4.4
0.9
0.6
Jaiprakash Asso.
Neutral
Larsen & Toubro
Accumulate
Nagarjuna Const.
98
21,044
13,842
15,863
26.9
26.4
3.7
4.6
26.8
21.5
1.6
1.5
6.2
7.3
3.0
2.7
1,620
1,748
99,615
60,556
69,167
11.2
11.6
73.8
85.5
22.0
18.9
3.5
3.1
13.5
14.1
1.8
1.6
Sell
54
44
1,379
5,947
6,569
8.5
8.6
3.1
4.1
17.3
13.1
0.6
0.5
3.3
4.2
0.6
0.6
Punj Lloyd
Neutral
59
1,966
11,892
13,116
9.0
9.0
1.8
3.2
32.7
18.4
0.7
0.6
2.5
3.7
0.6
0.5
Sadbhav Engg.
Buy
137
168
2,062
2,344
2,804
10.6
10.7
7.2
8.7
19.0
15.7
2.3
2.0
13.0
13.5
1.2
1.1
Simplex Infra
Accumulate
221
251
1,093
6,882
8,032
9.1
9.1
23.2
31.3
9.5
7.1
0.8
0.8
9.1
11.2
0.5
0.5
Allahabad Bank
Accumulate
166
181
8,298
6,392
7,238
2.7
2.8
30.3
33.3
5.5
5.0
0.8
0.7
14.8
14.5
Andhra Bank
Neutral
116
6,486
4,731
5,431
2.9
3.0
21.5
21.8
5.4
5.3
0.9
0.8
15.2
13.8
Axis Bank
Accumulate
1,351
1,550
57,728
15,686
18,687
3.1
3.2
116.8
138.0
11.6
9.8
2.1
1.8
20.0
20.2
Bank of Baroda
Neutral
854
33,454
15,436
18,208
2.5
2.6
111.8
137.4
7.6
6.2
1.2
1.0
15.8
17.0
Bank of India
Neutral
340
19,531
12,491
14,883
2.2
2.4
43.8
63.7
7.8
5.3
1.0
0.9
12.1
15.8
Bank of Maharashtra
Accumulate
60
64
3,511
3,563
3,876
3.1
3.1
9.7
12.0
6.1
5.0
0.8
0.7
14.6
16.1
Canara Bank
Accumulate
483
544
21,415
10,699
12,213
2.1
2.2
67.3
80.1
7.2
6.0
1.0
0.9
13.7
14.6
Central Bank
Neutral
83
6,132
7,171
8,236
2.5
2.6
16.4
21.5
5.1
3.9
0.9
0.7
12.7
14.9
Corporation Bank
Accumulate
450
480
6,663
4,780
5,569
2.0
2.1
101.8
99.2
4.4
4.5
0.8
0.7
17.0
14.7
Dena Bank
Accumulate
115
132
4,015
3,087
3,453
2.7
2.8
25.9
24.1
4.4
4.8
0.8
0.7
19.4
15.6
Federal Bank
Neutral
524
8,960
2,617
2,968
3.3
3.2
45.9
51.7
11.4
10.1
1.4
1.3
13.1
13.3
Financials
Market Outlook
December 27, 2012
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
Sales ( cr )
FY13E
OPM(%)
EPS ( )
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
Financials
HDFC
Neutral
833
128,485
7,336
8,802
3.5
3.5
31.5
37.8
26.4
22.0
5.3
4.7
34.8
32.1
HDFC Bank
Neutral
680
160,945
21,696
26,811
4.4
4.5
28.7
36.0
23.7
18.9
4.6
3.8
20.7
22.0
ICICI Bank
Accumulate
1,148
1,296
131,979
22,271
26,690
3.0
3.0
69.2
83.1
16.6
13.8
2.0
1.9
14.2
15.7
IDBI Bank
Accumulate
109
119
13,973
7,684
9,264
1.8
2.1
15.6
22.0
7.0
5.0
0.8
0.7
10.9
13.9
Indian Bank
Buy
193
230
8,288
5,874
6,551
3.2
3.2
40.6
41.8
4.8
4.6
0.8
0.7
18.1
16.4
IOB
Neutral
85
6,778
7,050
8,313
2.3
2.5
12.3
19.9
6.9
4.3
0.6
0.6
8.8
13.1
J & K Bank
Neutral
1,298
6,292
2,762
2,885
3.6
3.6
226.7
193.0
5.7
6.7
1.3
1.1
24.4
17.7
LIC Housing Finance
Accumulate
285
313
14,393
1,799
2,255
2.3
2.4
20.3
27.3
14.0
10.5
2.2
1.9
16.9
19.7
Oriental Bank
Accumulate
339
370
9,892
6,277
7,090
2.6
2.7
60.5
65.1
5.6
5.2
0.8
0.7
15.0
14.4
Punjab Natl.Bank
Accumulate
842
890
28,554
19,652
22,601
3.2
3.3
135.0
164.3
6.2
5.1
1.1
0.9
16.3
17.3
South Ind.Bank
Buy
26
31
3,421
1,556
1,750
2.8
2.7
3.5
3.9
7.4
6.7
1.2
1.1
19.1
16.9
St Bk of India
Accumulate
2,371
2,520
159,118
61,883
71,546
3.4
3.4
227.2
257.5
10.4
9.2
1.8
1.5
17.8
17.7
Syndicate Bank
Accumulate
128
139
7,696
6,756
7,783
3.0
3.0
26.3
27.1
4.9
4.7
0.8
0.7
18.3
16.6
UCO Bank
Neutral
78
5,195
5,234
6,097
2.3
2.4
11.8
14.7
6.6
5.3
1.1
0.9
11.9
13.4
Union Bank
Accumulate
269
285
14,799
9,912
11,536
2.8
2.9
40.4
46.7
6.7
5.8
1.1
0.9
16.1
16.4
United Bank
Buy
76
91
2,733
3,500
3,912
2.6
2.8
15.8
21.2
4.8
3.6
0.6
0.5
13.1
15.7
Vijaya Bank
Accumulate
62
66
3,053
2,354
2,754
2.0
2.2
7.4
10.2
8.4
6.0
0.8
0.8
9.3
11.9
Yes Bank
Buy
464
542
16,561
3,270
4,240
2.8
3.0
34.5
42.2
13.4
11.0
2.9
2.4
23.5
23.5
4,424
42,435
11,198
13,184
16.2
16.2
123.7
146.4
35.8
30.2
12.2
9.6
38.1
35.4
3.7
3.1
499
584
5,966
5,627
6,581
4.9
5.7
18.3
24.7
27.3
20.2
10.0
7.6
39.1
42.7
1.0
0.8
FMCG
Asian Paints
Neutral
Britannia
Buy
Colgate
Neutral
1,511
20,544
3,146
3,573
20.6
21.4
36.4
42.5
41.5
35.6
38.4
32.2
102.0
98.5
6.3
5.6
Dabur India
Neutral
130
22,588
6,124
7,101
17.0
16.8
4.5
5.2
29.0
24.8
12.0
9.4
43.2
41.5
3.7
3.1
GlaxoSmith Con*
Neutral
3,815
16,043
3,124
3,663
17.1
17.6
104.5
123.8
36.5
30.8
11.4
9.1
34.4
32.8
4.8
4.0
Godrej Consumer
Neutral
747
25,405
6,355
7,548
18.4
18.6
22.8
27.6
32.7
27.0
7.5
6.2
26.4
26.1
4.2
3.5
HUL
Neutral
523
113,114
25,350
28,974
13.3
13.5
14.7
17.1
35.5
30.7
28.1
19.8
84.5
75.8
4.3
3.7
ITC
Neutral
290
228,509
29,409
34,060
35.7
36.1
9.3
10.9
31.1
26.5
10.3
8.6
35.8
35.3
7.5
6.4
Marico
Neutral
222
14,290
4,840
5,643
13.1
13.1
6.2
7.8
35.9
28.5
6.8
5.6
25.4
22.6
3.0
2.5
Nestle*
Neutral
4,825
46,519
8,529
10,079
20.8
21.1
113.1
137.8
42.7
35.0
25.6
17.9
70.5
60.2
5.5
4.6
Tata Global
Neutral
160
9,904
7,207
7,927
9.7
10.0
6.6
7.8
24.2
20.5
2.5
2.4
8.6
9.5
1.3
1.2
Market Outlook
December 27, 2012
Stock Watch
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
635
44,103
24,214
26,772
19.5
18.1
44.0
48.0
14.4
13.2
3.4
2.9
24.0
22.0
1.7
1.5
87
123
2,567
1,924
2,116
20.7
19.8
10.7
11.2
8.1
7.7
2.0
1.7
25.3
22.8
1.1
0.9
IT
HCL Tech^
Neutral
Hexaware*
Buy
Infosys
Accumulate
2,311
2,573
132,723
39,174
41,580
29.5
30.4
159.2
171.6
14.5
13.5
3.5
3.1
24.1
23.1
2.8
2.6
Infotech Enterprises
Accumulate
179
202
1,997
1,886
2,032
17.9
17.3
18.7
20.2
9.6
8.9
1.4
1.2
14.9
14.0
0.7
0.6
KPIT Cummins
Buy
111
132
1,980
2,195
2,317
15.5
15.0
10.7
12.1
10.3
9.2
2.2
1.8
21.0
19.8
0.9
0.8
Mahindra Satyam
Accumulate
104
115
12,182
7,597
8,141
20.0
18.8
9.7
10.4
10.7
9.9
3.0
2.3
27.5
22.9
1.2
1.1
Mindtree
Accumulate
705
747
2,898
2,324
2,437
20.0
17.7
73.3
74.7
9.6
9.5
2.3
1.8
24.1
19.7
1.0
0.9
Mphasis&
Neutral
377
7,922
5,700
5,993
18.0
16.9
37.0
37.3
10.2
10.1
1.5
1.3
14.3
12.6
0.9
0.8
NIIT
Buy
29
36
479
1,048
1,161
9.3
10.9
4.2
6.2
6.9
4.7
0.7
0.7
10.5
14.1
0.3
0.2
Persistent
Accumulate
512
540
2,047
1,261
1,352
26.4
24.7
48.2
54.0
10.6
9.5
2.0
1.7
19.0
17.9
1.3
1.1
TCS
Accumulate
1,260
1,410
246,610
61,053
67,313
28.7
29.1
69.7
76.2
18.1
16.5
5.9
4.8
32.6
29.1
3.8
3.4
Tech Mahindra
Buy
914
1,070
11,680
6,603
7,150
19.8
18.4
92.9
102.0
9.8
9.0
2.3
1.9
23.7
21.0
1.8
1.6
Wipro
Accumulate
385
421
94,780
43,219
47,241
20.0
20.0
26.1
28.1
14.7
13.7
2.8
2.5
19.3
17.9
1.9
1.6
D B Corp
Buy
224
259
4,110
1,581
1,784
23.3
25.0
11.6
14.4
19.4
15.5
3.8
3.2
21.0
22.3
2.5
2.2
HT Media
Accumulate
103
113
2,424
2,111
2,272
15.0
15.2
7.4
8.3
14.0
12.5
1.5
1.4
11.3
11.4
0.8
0.7
Jagran Prakashan
Accumulate
104
117
3,273
1,503
1,681
23.1
23.1
6.4
7.3
16.2
14.3
4.0
3.6
25.8
26.5
2.4
2.0
PVR
Neutral
284
822
682
786
17.3
16.9
17.6
19.7
16.1
14.5
1.9
1.7
14.9
14.5
1.5
1.3
Sun TV Network
Neutral
430
16,952
1,942
2,237
77.2
75.5
17.6
19.1
24.4
22.5
6.1
5.5
25.8
25.2
8.3
7.1
Bhushan Steel
Neutral
464
9,856
11,307
14,287
29.5
29.1
45.1
51.0
10.3
9.1
1.2
1.1
12.2
12.2
2.9
2.3
Coal India
Neutral
355
224,294
66,666
70,292
25.7
27.3
24.2
26.6
14.7
13.3
4.3
3.5
33.1
29.1
2.4
2.1
Electrosteel Castings
Accumulate
26
29
889
1,984
2,074
10.6
11.6
0.8
2.0
30.7
12.7
0.5
0.2
1.7
4.1
0.7
0.6
Hind. Zinc
Accumulate
137
145
57,929
12,446
13,538
52.3
52.9
15.0
16.4
9.2
8.4
1.8
1.5
21.4
19.7
2.8
2.1
Hindalco
Neutral
129
24,698
79,148
89,258
9.4
9.0
15.0
15.6
8.6
8.3
0.7
0.7
8.8
8.4
0.7
0.6
JSW Steel
Neutral
813
18,136
39,586
41,459
17.6
17.0
78.7
90.1
10.3
9.0
1.0
0.9
10.2
10.7
0.9
0.9
MOIL
Neutral
261
4,392
941
1,019
47.3
48.3
25.8
28.1
10.1
9.3
1.6
1.4
16.7
16.2
2.3
1.9
Monnet Ispat
Buy
282
344
1,816
2,501
3,264
22.2
24.6
41.8
55.2
6.7
5.1
0.7
0.6
11.3
13.4
1.8
1.3
Nalco
Reduce
NMDC
Buy
SAIL
Neutral
Media
Metals & Mining
50
44
12,796
6,898
7,841
9.9
14.7
2.0
3.2
25.0
15.6
1.1
1.0
4.3
6.8
1.4
1.3
160
198
63,495
11,209
12,525
78.4
78.3
18.5
20.6
8.7
7.8
2.1
1.8
27.0
24.6
3.7
3.1
89
36,741
47,252
60,351
14.2
14.8
9.6
11.7
9.3
7.6
0.8
0.8
9.4
10.6
1.2
1.0
Market Outlook
December 27, 2012
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
Sales ( cr )
FY13E
OPM(%)
EPS ( )
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
Metals & Mining

Sesa Goa
Neutral
194
16,856
4,551
6,640
32.8
34.4
33.7
39.3
5.8
4.9
1.0
0.8
18.3
18.3
4.3
3.0
Sterlite Inds
Neutral
116
39,017
43,185
45,442
23.3
23.7
16.8
17.9
6.9
6.5
0.8
0.7
11.6
11.2
0.9
0.8
Tata Steel
Accumulate
430
463
8.3
9.5
22.0
44.5
19.5
9.7
0.9
0.9
4.9
9.3
0.6
0.6
Sarda
Accumulate
136
153
488
1,442
1,494
17.6
17.3
27.2
28.7
5.0
4.7
0.6
0.5
11.5
11.0
0.7
0.7
Prakash Industries
Godawari Power and
Ispat
Oil & Gas
Buy
51
73
687
2,694
2,906
14.6
16.6
16.4
20.8
3.1
2.5
0.3
0.3
11.4
12.8
0.5
0.4
Buy
118
143
375
2,342
2,470
13.7
15.3
27.7
33.8
4.3
3.5
0.4
0.4
10.9
11.4
0.6
0.6
Cairn India
Buy
320
382
61,117
17,567
17,643
76.2
72.3
61.1
56.8
5.2
5.6
1.1
0.9
22.0
17.5
2.6
2.2
GAIL
Neutral
353
44,828
46,652
54,142
15.7
15.7
34.0
35.3
10.4
10.0
1.8
1.6
18.5
16.8
0.7
0.5
ONGC
Buy
257
312
220,047 147,139 154,821
33.9
33.7
30.7
32.3
8.4
8.0
1.5
1.3
18.3
17.2
1.2
1.1
Reliance Industries
Neutral
828
271,133 362,700 380,031
7.9
8.0
60.0
63.3
13.8
13.1
1.3
1.2
11.1
10.6
0.7
0.7
Gujarat Gas*
Neutral
305
3,915
3,128
3,707
13.2
11.7
22.8
23.5
13.4
13.0
4.0
3.6
33.2
29.2
1.1
0.9
Indraprastha Gas
Neutral
253
3,548
3,213
3,643
23.3
23.5
24.3
25.7
10.4
9.9
2.4
2.0
25.0
22.1
1.2
1.0
Petronet LNG
Gujarat State Petronet
Ltd.
Pharmaceuticals
Accumulate
160
183
12,000
30,077
33,570
6.6
6.3
15.1
15.3
10.6
10.5
2.7
2.2
28.4
23.1
0.4
0.4
75
4,240
1,079
1,034
91.8
91.9
8.8
8.4
8.6
9.0
1.4
1.3
17.9
15.0
3.7
3.7
Alembic Pharma
Buy
69
91
1,291
1,624
1,855
14.2
15.6
6.6
9.1
10.4
7.5
2.6
2.0
27.9
29.9
0.9
0.8
Aurobindo Pharma
Neutral
193
5,619
5,243
5,767
14.6
14.6
11.8
12.6
16.4
15.3
2.0
1.8
17.9
16.4
1.6
1.4
Aventis*
Neutral
2,325
5,354
1,482
1,682
15.5
15.5
95.1
104.4
24.4
22.3
4.3
3.4
18.6
17.0
3.4
2.9
Cadila Healthcare
Neutral
887
18,162
6,148
7,386
18.6
19.6
32.7
44.8
27.1
19.8
6.0
4.8
23.7
26.6
3.3
2.7
Cipla
Neutral
420
33,759
8,151
9,130
25.0
24.0
19.5
20.9
21.6
20.1
3.7
3.2
18.8
17.2
3.9
3.4
Dr Reddy's
Neutral
1,818
30,868
10,696
11,662
20.7
21.0
83.7
92.9
21.7
19.6
4.5
3.8
22.4
20.8
3.2
2.8
Dishman Pharma
Buy
114
145
923
1,280
1,536
20.2
20.2
10.4
14.5
11.0
7.9
0.9
0.8
8.7
11.0
1.4
1.2
GSK Pharma*
Neutral
2,077
17,589
2,651
2,993
31.7
31.2
76.0
82.4
27.3
25.2
7.9
7.0
20.1
26.3
5.8
5.1
Indoco Remedies
Buy
65
89
599
685
837
15.2
15.2
7.4
8.9
8.8
7.3
1.3
1.2
16.4
17.0
1.1
0.9
Ipca labs
Reduce
526
485
6,639
2,850
3,474
21.0
21.0
29.9
37.3
17.6
14.1
4.2
3.3
26.7
26.4
2.5
2.1
Lupin
Accumulate
613
652
27,424
8,426
10,082
19.7
20.0
26.3
31.3
23.3
19.6
5.5
4.4
26.0
24.7
3.4
2.8
Ranbaxy*
Neutral
507
21,428
12,046
11,980
18.0
15.8
31.3
29.8
16.2
17.0
5.5
4.4
39.1
28.9
1.8
1.7
Sun Pharma
Neutral
753
77,864
9,752
12,134
41.6
41.6
26.0
28.2
29.0
26.7
5.4
4.6
20.3
18.8
7.2
5.6
CESC
Neutral
308
3,851
5,218
5,644
24.2
23.8
44.6
47.6
6.9
6.5
0.7
0.7
11.0
10.6
1.5
1.5
GIPCL
Accumulate
69
78
1,038
1,523
1,568
30.3
30.3
5.4
11.5
12.7
6.0
0.7
0.6
5.6
11.3
1.2
1.0
Neutral
41,738 145,725 154,108
Power
Market Outlook
December 27, 2012
Stock Watch
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
155
127,763
74,111
85,789
22.7
23.1
12.1
13.7
12.8
11.3
1.6
1.4
12.6
13.2
2.4
2.2
Power
NTPC
Neutral
Real Estate
Anant Raj
Sell
93
78
2,758
657
875
52.0
56.1
8.4
12.7
11.1
7.4
0.7
0.6
6.3
8.9
5.5
4.1
DLF
Neutral
226
38,321
9,878
12,033
44.7
46.1
9.6
13.4
23.6
16.8
1.5
1.4
6.4
8.7
6.4
5.2
HDIL
Neutral
110
4,607
2,441
3,344
55.1
48.2
22.7
26.6
4.8
4.1
0.4
0.4
8.8
9.4
3.7
2.8
MLIFE
Neutral
413
1,687
813
901
26.2
26.6
32.0
37.1
12.9
11.2
1.3
1.2
10.4
11.0
2.5
2.1
Bharti Airtel
Accumulate
317
352
120,553
81,984
90,718
32.1
33.8
10.9
16.9
29.1
18.8
2.2
2.0
7.6
10.6
2.2
1.8
Idea Cellular
Neutral
102
33,776
22,234
24,161
26.9
27.7
3.3
4.9
30.8
20.7
2.4
2.1
7.7
10.3
2.0
1.8
Rcom
Neutral
74
15,315
21,090
22,308
31.8
29.9
3.0
3.8
24.4
19.5
0.4
0.4
1.7
2.1
2.4
2.2
Telecom
zOthers
Abbott India
Accumulate
1,485
1,590
3,156
1,629
1,886
11.8
13.3
60.8
79.5
24.5
18.7
5.0
4.2
22.0
24.4
1.7
1.4
Bajaj Electricals
Accumulate
206
217
2,054
3,497
3,968
6.6
7.6
9.8
15.5
21.0
13.3
2.7
2.3
12.7
17.4
0.6
0.5
Cera Sanitaryware
Neutral
400
507
427
528
15.7
14.6
30.0
34.0
13.3
11.8
2.9
2.4
24.6
22.5
1.3
1.1
Cravatex
Buy
442
545
114
272
308
7.2
7.3
37.5
45.4
11.8
9.7
2.8
2.2
23.7
22.7
0.5
0.5
CRISIL
Neutral
1,038
7,292
982
1,136
34.3
34.3
34.3
40.0
30.2
26.0
13.7
11.0
50.9
46.9
7.0
5.9
Finolex Cables
Neutral
58
892
2,304
2,552
9.9
9.1
8.2
10.1
7.1
5.8
1.0
0.9
13.7
14.7
0.3
0.3
Force Motors
Buy
456
537
594
2,318
2,700
5.0
5.7
45.0
67.0
10.1
6.8
0.5
0.5
5.0
7.0
0.1
0.1
Goodyear India
Neutral
349
806
1,494
1,607
6.4
7.8
23.9
33.0
14.6
10.6
2.3
2.0
16.5
20.1
0.3
0.3
Greenply Industries
Neutral
316
762
1,925
2,235
10.6
10.9
29.6
44.1
10.7
7.2
1.7
1.4
16.8
21.0
0.7
0.6
Hitachi
Neutral
153
351
873
989
4.4
6.5
6.4
12.2
24.1
12.6
1.9
1.7
8.3
14.4
0.5
0.4
Honeywell Automation* Neutral
2,719
2,404
1,745
1,993
4.0
5.3
59.5
90.4
45.7
30.1
3.5
3.0
8.1
11.3
1.3
1.1
Styrolution ABS India*
Neutral
742
1,305
1,059
1,116
8.5
9.5
36.0
42.0
20.6
17.7
3.0
2.6
15.4
16.0
1.3
1.2
ITD Cementation
Neutral
235
271
1,323
1,455
12.4
12.4
23.2
27.7
10.1
8.5
0.7
0.6
6.8
7.6
0.7
0.6
Jyothy Laboratories
Neutral
156
2,523
1,228
1,443
9.0
10.9
3.9
6.4
40.2
24.5
4.0
3.7
10.1
15.6
2.6
2.1
MCX
Neutral
1,475
7,524
553
624
65.3
66.3
62.5
72.0
23.6
20.5
6.5
5.6
27.5
27.4
10.6
8.9
MRF
Accumulate
12,724
13,416
5,396
13,030
14,405
10.3
10.6 1,418.1 1,677.1
9.0
7.6
1.6
1.3
19.1
18.7
0.5
0.5
Page Industries
Accumulate
3,306
3,602
3,688
836
1,023
20.2
20.6
105.6
133.4
31.3
24.8
15.9
11.2
59.3
53.2
4.5
3.6
Relaxo Footwears
Buy
765
933
918
1,019
1,208
11.0
12.5
47.0
66.7
16.3
11.5
4.0
3.0
28.2
30.1
1.1
0.9
Sintex Industries
Buy
65
79
1,935
4,751
5,189
16.3
16.6
13.6
15.8
4.7
4.1
0.6
0.6
12.9
13.2
0.8
0.6
Siyaram Silk Mills
Buy
302
366
283
1,043
1,149
12.3
12.9
65.7
73.3
4.6
4.1
0.9
0.7
21.0
19.6
0.5
0.5
S. Kumars Nationwide
Neutral
14
419
6,765
7,393
18.1
18.0
6.4
7.5
2.2
1.9
0.1
0.1
6.1
6.7
0.7
0.6
Market Outlook
December 27, 2012
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
( )
Price ( )
( cr )
FY13E
FY14E
OPM(%)
FY13E
EPS ( )
PER(x)
P/BV(x)
RoE(%)
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
EV/Sales(x)
FY14E
FY13E
FY14E
zOthers
SpiceJet
Neutral
44
2,107
5,720
6,599
5.3
6.8
3.6
5.4
12.1
8.1
17.5
5.5
0.5
0.4
TAJ GVK
Buy
72
108
448
300
319
35.8
36.2
7.9
9.1
9.1
7.9
1.2
1.1
13.9
14.4
1.8
1.5
Tata Sponge Iron
Buy
311
384
479
750
803
18.6
18.4
65.4
69.1
4.8
4.5
0.7
0.7
16.5
15.3
0.3
0.2
TTK Healthcare
Buy
524
643
407
374
425
7.9
9.5
24.1
32.7
21.8
16.0
19.7
22.5
0.9
0.8
TVS Srichakra
Buy
269
335
206
1,476
1,643
7.0
8.2
32.6
55.9
8.2
4.8
1.3
1.1
16.8
24.8
0.4
0.3
United Spirits
Neutral
1,932
25,271
10,289
11,421
12.8
12.8
26.0
45.3
74.3
42.7
3.4
3.1
5.8
7.6
2.8
2.5
Vesuvius India
Neutral
326
662
560
611
16.1
17.0
24.7
28.8
13.2
11.3
2.0
1.7
15.8
16.2
1.1
1.0
Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on December 26, 2012
Market Outlook
December 27, 2012

Market Outlook 27th Dec

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Market Outlook 27th Dec

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Market Outlook

December 27, 2012

OIL & GAS

Government extends incentives to revive exports

Refer detailed news analysis on the following page

Net Inflows (December 24, 2012)

FII Derivatives (December 26, 2012)

Government extends incentives to revive exports

CCEA approves increase in Minimum Support Price (MSP) of

CCEA approves disinvestment in RCF

Ashoka Buildcon emerges as lowest bidder for Chennai

Economic and Political News

Government approves 12 FDI proposals worth over `802cr

Companies raised US$1.35bn from overseas markets in November

Country Event Description

December 27, 2012

New home sales

Germany PMI Manufacturing

Germany Unemployment change (000's)

Germany PMI Services

Change in Nonfarm payrolls

Euro Zone Euro-Zone Consumer Confidence

January 10, 2013

Consumer Price Index (YoY)

Industrial Production (YoY)

BOE Announces rates

Euro Zone ECB announces interest rates

January 11, 2013

Industrial Production (YoY)

January 13, 2013

Real GDP (YoY)

January 14, 2013

Monthly Wholesale Prices YoY%

Industrial Production YoY

Producer Price Index (mom)

Euro Zone Euro-Zone CPI (YoY)

Consumer price index (mom)

January 15, 2013

January 17, 2013

January 23, 2013

Jobless claims change

January 29, 2013

RBI Repo rate

RBI Cash Reserve ratio

RBI Reverse Repo rate

FOMC rate decision

January 31, 2013

Source: Bloomberg, Angel Research

Exhibit 2: IIP trends

5.3 5.5 5.3

Exhibit 4: Manufacturing and services PMI

Source: MOSPI, Angel Research

Exhibit 3: Monthly WPI inflation trends

Source: CSO, Angel Research

Source: MOSPI, Angel Research

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

Exhibit 5: Exports and imports growth trends

Exports yoy growth

Exhibit 6: Key policy rates

Imports yoy growth

Reverse Repo rate

Source: Bloomberg, Angel Research

Source: RBI, Angel Research