Market Outlook: Dealer's Diary

Market Outlook
August 27, 2013
Dealers Diary
Indian markets are expected to open in the red today tracking negative opening in
the SGX Nifty and most of the other Asian markets.
Domestic Indices
Chg (%)
(Pts)
(Close)
BSE Sensex
0.2
US markets after trading mostly higher over the course of the trading day on
Monday closed in the red as worries about the situation in Syria weighed on the
markets following the comments from Secretary of State John Kerry which hinted at
taking military action in Syria. Going forward, while market will keep an eye on
any development in Syria, todays trading could be impacted by the release of
reports on home prices and consumer confidence. The majority of the
European markets closed lower on Monday, with concerns over the political
situation in Italy, following the threat from Silvio Berlusconi to bring down the
country's government if he is removed from the parliament. Investors remain
concerned over when the tapering of stimulus measures by the US Federal Reserve
will begin.
Nifty
0.1
5,477
MID CAP
0.6
32
5,391
SMALL CAP
0.8
42
5,289
BSE HC
1.1
97
8,758
BSE PSU
(0.2)
(9)
5,218
BANKEX
(1.0)
(113) 10,679
AUTO
(0.0)
(0) 10,248
Indian markets rose sharply for a third consecutive session on Monday, aided by
optimism about the global economy.
Dow Jones
(0.4)
NASDAQ
(0.0)
(0)
3,658
Markets Today
FTSE
0.7
45
6,492
The trend deciding level for the day is 18,592/ 5,487 levels. If NIFTY trades above
this level during the first half-an-hour of trade then we may witness a further rally
up to 18,695 18,831 / 5,519 5,561 levels. However, if NIFTY trades below
18,592/ 5,487 levels for the first half-an-hour of trade then it may correct up to
18,455 18,352 / 5,444 5,412 levels.
Hang Sang
METAL
OIL & GAS
BSE IT
Global Indices
Nikkei
Straits Times
Shanghai Com
Indian ADR
39 18,558
1.0
82
7,899
(0.4)
(35)
8,156
1.0
72
7,617
(Pts)
(Close)
Chg (%)
(64) 14,946
(0.2)
(24) 13,636
0.6
142 22,005
(0.1)
(4)
3,084
1.9
39
2,096
Chg (%)
(Pts)
(Close)
Indices
S2
S1
PIVOT
R1
R2
INFY
(0.1)
(0.1)
$47.6
SENSEX
18,352
18,455
18,592
18,695
18,831
WIT
0.4
0.0
$9.2
5,561
IBN
(2.4)
(0.7)
$27.0
HDB
(2.2)
(0.7)
$29.4
NIFTY
5,412
5,444
5,487
5,519
News Analysis
Jaiprakash Associates to sell Gujarat Cement units to Ultratech
Advances / Declines
Refer detailed news analysis on the following page
Net Inflows (August 23, 2013)

` cr
Purch
Sales
Net
MTD
YTD
FII
6,961
8,311
(1,350)
(3,196)
62,202
608
340
268
1,360
(12,986)
MFs
FII Derivatives (August 26, 2013)

` cr
Purch
Sales
Net
Open Interest
Index Futures
4,577
5,540
(964)
17,767
Stock Futures
6,515
5,944
571
28,590
Gainers / Losers
Gainers
Company
Losers
Price (`)
chg (%)
Future Retail
Company
Price (`)
chg (%)
75
10.4
IDFC
95
(8.3)
Sesa Goa
167
9.4
Adani Enter
157
(5.0)
M&M Finance
234
8.1
Axis Bank
936
(4.6)
Financial Tech
144
7.5
Power Finance
116
(3.5)
BHEL
124
6.6
Shriram Trans
541
(3.4)
www.angelbroking.com
BSE
NSE
Advances
1,283
758
Declines
1,011
563
147
87
Unchanged
Volumes (` cr)
BSE
1,848
NSE
10,713
Market Outlook
August 27, 2013
Jaiprakash Associates to sell Gujarat Cement units to

Ultratech
As per media reports Jaiprakash Associates is close to finishing a deal to sell its
Gujarat cement units to Ultratech for `4,000cr. Jaiprakash Associates has 4.8mtpa
cement capacity in Gujarat and this sale will enable the company to reduce its
debts. The acquisition will help Ultratech to increase its presence in Western India.
As per the reports, the deal is expected to be completed at a lower valuation of
US$130/tonne as against the earlier negotiated price of US$ 160/tonne. We
maintain a neutral rating on Ultratech and maintain a Buy on Jaipraksah
Associates.
Economic and Political News
Board of Trade to meet today to review export performance

Govt sets up Tax Administration Reform Commission under Shome
TRAI pre-determined to reduce reserve price of spectrum: MP
Food Bill passed in Lok Sabha
Corporate News
Amara Raja Batteries charts `700cr capacity expansion

Mcnally bags `309cr order for conveyor system
Recommendations for third round of spectrum auction soon: Trai
Infra sector faces acute shortage of skilled manpower: Assocham
Source: Economic Times, Business Standard, Business Line, Financial Express, Mint
Market Outlook
August 27, 2013
Result Calendar
Date
Company
August 29, 2013
Mphasis
Source: Bloomberg, Angel Research
Global economic events release calendar

Date
Time
Country Event Description
Unit
Period
August 27, 2013
7:30PM
US
August 29, 2013
6:00PM
US
1:25PM
August 30, 2013
September 1, 2013
Bloomberg Data
Consumer Confidence
S.A./ 1985=100
Aug
80.30
--
GDP Qoq (Annualised)
% Change
2Q S
1.70
--
Germany Unemployment change (000's)
Thousands
Aug
(7.00)
--
5:30PM
India
Qtrly GDP YoY%
% Change
2Q
4.80
--
6:30AM
China
PMI Manufacturing
Value
Aug
50.30
--
September 2, 2013
2:00PM
UK
PMI Manufacturing
Value
Aug
54.60
--
September 5, 2013
4:30PM
UK
BOE Announces rates
% Ratio
Sep 5
0.50
0.50
5:15PM
Euro Zone ECB announces interest rates
Sep 5
0.50
--
2:00PM
UK
Industrial Production (YoY)
% Change
Jul
1.20
--
6:00PM
US
Change in Nonfarm payrolls
Thousands
Aug
162.00
--
6:00PM
US
Unnemployment rate
Aug
7.40
--
September 8, 2013
4:29PM
China
Exports YoY%
% Change
Aug
5.10
--
September 9, 2013
7:00AM
China
Consumer Price Index (YoY)
% Change
Aug
2.70
--
September 10, 2013
4:29PM
India
Imports YoY%
% Change
Aug
(6.20)
--
Last Reported Estimated
September 6, 2013
4:29PM
India
Exports YoY%
% Change
Aug
11.64
--
11:00AM
China
Industrial Production (YoY)
% Change
Aug
9.70
--
September 12, 2013
5:30PM
India
Industrial Production YoY
% Change
Jul
(2.20)
--
September 17, 2013
2:00PM
UK
CPI (YoY)
% Change
Aug
2.80
--
September 18, 2013
11:30PM
US
FOMC rate decision
Sep 18
0.25
--
11:00AM
India
RBI Repo rate
Sep 18
7.25
--
11:00AM
India
RBI Cash Reserve ratio
Sep 18
4.00
--
11:00AM
India
RBI Reverse Repo rate
Sep 18
6.25
--
7:30AM
China
Real GDP (YoY)
% Change
3Q
7.50
--
October 18, 2013
Market Outlook
August 27, 2013
Macro watch
Exhibit 1: Quarterly GDP trends
Exhibit 2: IIP trends
(%)
(%)
10.0
11.4
6.0
4.0
2.0
(1.0) (0.6)
(0.7)
(4.0)
Mfg. PMI
60.0
7.2
7.3
Apr-13
Exhibit 4: Manufacturing and services PMI
(%)
7.3
(2.2)
Source: MOSPI, Angel Research
Exhibit 3: Monthly WPI inflation trends

8.1
May-13
(2.8)
Jun-13
(0.1)
Jul-12
4QFY13
3QFY13
2QFY13
1QFY13
4QFY12
3QFY12
2QFY12
1QFY12
4QFY11
3QFY11
2QFY11
1QFY11
4QFY10
3QFY10
Source: CSO, Angel Research
7.3
Services PMI
58.0
7.3
5.8
5.7
4.8
5.0
4.6
4.9
56.0
54.0
52.0
4.0
3.0
2.0
1.0
0.0
50.0
Source: MOSPI, Angel Research
Jul-13
Jun-13
May-13
Apr-13
Mar-13
Feb-13
Jan-13
Dec-12
Oct-12
Nov-12
Sep-12
Aug-12
Jul-12
Jun-12
Source: Market, Angel Research; Note: Level above 50 indicates expansion
Exhibit 5: Exports and imports growth trends

Exports yoy growth
(%)
15.0
12.0
9.0
6.0
3.0
0.0
(3.0)
(6.0)
(9.0)
(12.0)
(15.0)
46.0
May-12
Jul-13
Jun-13
May-13
Apr-13
Mar-13
Feb-13
Jan-13
Dec-12
Nov-12
Oct-12
Sep-12
48.0
Exhibit 6: Key policy rates
Imports yoy growth
Repo rate
(%)
9.00
Reverse Repo rate
CRR
8.00
7.00
6.00
5.00
4.00
Source: RBI, Angel Research
Aug-13
Jul-13
Jun-13
Jun-13
May-13
Apr-13
Apr-13
Mar-13
Feb-13
Feb-13
Jan-13
Dec-12
Dec-12
Nov-12
Oct-12
Oct-12
Sep-12
Jul-13
Jun-13
May-13
Apr-13
Mar-13
Feb-13
Jan-13
Dec-12
Nov-12
Oct-12
Sep-12
Aug-12
3.00
Aug-12
9.0
8.0
7.0
6.0
(2.0)
Mar-13
4.7 4.8
1.9
0.6
Jan-13
5.1 5.4 5.2
Dec-12
6.0
3.5
2.5
2.0
Nov-12
6.5
Feb-13
7.5
Oct-12
9.2
7.7
Sep-12
8.6
8.4
8.0
9.9
Aug-12
9.5
9.3
2QFY10
12.0
11.0
10.0
9.0
8.0
7.0
6.0
5.0
4.0
3.0
Market Outlook
August 27, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
Sales ( cr )
FY14E
OPM(%)
EPS ( )
FY15E
FY14E
FY15E
FY14E
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
Agri / Agri Chemical

Rallis
Neutral
145
2,821
1,674
1,923
13.7
13.7
6.8
7.6
21.3
19.1
4.0
3.5
20.0
19.6
1.8
1.6
United Phosphorus
Buy
145
225
6,396
10,091
11,302
16.5
16.5
19.2
22.5
7.5
6.4
1.2
1.0
17.0
17.2
0.8
0.6
Amara Raja Batteries
Buy
248
305
4,230
3,474
3,952
15.5
15.5
19.0
21.0
13.0
11.8
3.2
2.6
27.2
24.2
1.2
1.0
Apollo Tyres
Neutral
64
3,206
13,409
15,106
11.8
11.6
13.1
15.4
4.8
4.1
0.8
0.7
17.9
17.8
0.4
0.3
Ashok Leyland
Buy
13
18
3,440
12,945
15,049
6.3
8.2
0.2
1.5
74.3
8.6
1.1
1.1
1.1
9.1
0.4
0.3
Automotive Axle#
Neutral
198
299
700
890
8.7
10.7
11.1
25.8
17.8
7.7
1.1
1.0
6.2
13.9
0.5
0.4
Bajaj Auto
Buy
1,780
2,115
51,499
22,042
25,399
19.3
19.3
121.1
141.0
14.7
12.6
5.2
4.1
39.4
36.6
1.9
1.6
Bharat Forge
Accumulate
227
256
5,288
5,942
6,417
15.2
15.5
15.6
19.7
14.5
11.6
2.1
1.9
15.4
17.3
1.1
0.9
Bosch India*
Accumulate
8,164
9,096
25,634
9,301
10,895
16.8
18.0
339.9
423.1
24.0
19.3
4.0
3.4
16.6
17.6
2.4
2.0
CEAT
Buy
114
170
411
5,159
5,628
9.3
9.0
43.5
48.6
2.6
2.4
0.5
0.4
18.4
17.5
0.2
0.2
Exide Industries
Buy
128
148
10,918
6,899
7,873
14.7
14.7
7.9
9.0
16.2
14.2
2.8
2.4
18.3
18.0
1.3
1.1
FAG Bearings*
Neutral
1,170
1,944
1,336
1,572
13.8
16.0
75.6
102.4
15.5
11.4
2.0
1.7
13.4
15.8
1.2
1.0
Hero Motocorp
Accumulate
1,946
2,048
38,853
25,562
28,297
14.5
14.4
111.2
146.3
17.5
13.3
6.4
5.0
40.1
42.1
1.3
1.1
JK Tyre
Buy
90
152
368
7,376
8,262
10.0
9.8
56.0
60.9
1.6
1.5
0.3
0.3
22.7
20.2
0.4
0.4
Auto & Auto Ancillary
Mahindra and Mahindra Buy
809
1,011
49,801
42,318
48,067
12.0
12.2
58.5
67.1
13.8
12.1
2.8
2.4
21.6
21.1
0.9
0.8
Maruti
Buy
1,308
1,648
39,526
45,862
52,647
11.2
11.1
94.6
109.9
13.8
11.9
1.9
1.6
14.4
14.6
0.7
0.6
Motherson Sumi
Buy
208
242
12,201
28,442
31,914
8.4
8.7
13.0
16.1
16.0
12.9
4.2
3.3
29.4
28.6
0.5
0.5
Subros
Buy
19
23
115
1,230
1,398
10.5
10.5
2.3
3.8
8.2
5.0
0.4
0.4
4.8
7.6
0.3
0.3
Tata Motors
Buy
298
355
80,311 215,043 240,077
13.5
13.7
38.7
44.1
7.7
6.8
1.9
1.5
28.5
25.1
0.4
0.4
TVS Motor
Buy
31
36
1,461
7,659
8,528
6.0
6.2
4.9
5.9
6.3
5.2
1.1
0.9
17.8
19.0
0.1
0.1
Capital Goods
ABB*
Reduce
486
442
10,288
8,037
9,087
5.8
6.9
12.2
17.0
39.8
28.6
3.8
3.7
9.8
13.1
1.2
1.1
BGR Energy
Neutral
105
759
3,541
4,041
11.8
10.7
21.1
22.9
5.0
4.6
0.6
0.5
21.8
19.5
0.5
0.4
BHEL
Neutral
124
30,301
42,227
38,453
16.0
14.4
18.8
15.0
6.6
8.3
1.3
1.2
21.7
15.4
0.6
0.7
Blue Star
Buy
138
208
1,239
2,941
3,099
3.4
4.2
6.0
9.3
23.0
14.8
2.9
2.5
12.9
18.0
0.5
0.5
Crompton Greaves
Buy
81
103
5,225
13,446
15,272
6.7
7.6
6.6
8.9
12.3
9.2
1.4
1.2
11.4
14.0
0.5
0.4
Jyoti Structures
Neutral
18
146
3,312
3,555
9.0
9.0
4.5
6.5
3.9
2.7
0.2
0.2
5.6
7.7
0.3
0.3
KEC International
Buy
25
36
643
7,709
8,399
6.2
6.9
5.1
8.1
4.9
3.1
0.5
0.5
16.6
21.5
0.3
0.2
Thermax
Neutral
557
6,642
5,832
6,397
9.1
9.6
28.8
32.9
19.4
16.9
3.1
2.8
17.2
17.3
1.1
1.0
1,002
1,361
18,808
11,581
13,009
17.6
19.3
63.9
81.5
15.7
12.3
2.4
2.1
15.6
18.2
1.3
1.1
Cement
ACC
Buy
Market Outlook
August 27, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
OPM(%)
EPS ( )
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
( )
Price ( )
( cr )
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
Cement
Ambuja Cements
Neutral
164
25,255
9,975
11,409
22.4
23.1
9.4
11.1
17.5
14.7
2.7
2.4
15.7
17.2
2.0
1.7
India Cements
Neutral
49
1,494
4,796
5,357
16.4
16.1
7.3
9.5
6.7
5.1
0.4
0.4
6.4
8.0
0.7
0.6
J K Lakshmi Cement
Buy
60
79
711
2,235
2,684
19.4
21.4
15.0
18.4
4.0
3.3
0.5
0.4
13.2
14.3
0.5
0.9
Madras Cements
Neutral
147
3,491
4,010
4,524
23.5
23.4
14.9
18.3
9.9
8.0
1.3
1.1
14.0
15.2
1.5
1.3
Shree Cement^
Neutral
3,621
12,615
6,316
7,162
26.5
25.7
294.6
340.5
12.3
10.6
2.7
2.2
24.0
22.7
1.5
1.2
UltraTech Cement
Neutral
1,593
43,666
22,021
25,274
22.0
21.6
99.5
113.3
16.0
14.1
2.5
2.2
16.7
16.6
2.0
1.8
48
60
759
1,912
2,131
21.0
21.5
5.0
5.5
9.6
8.8
0.7
0.7
8.8
7.6
1.7
1.8
120
1,715
1,824
2.4
6.2
(2.9)
(0.4)
(2.2)
(18.0)
0.3
0.3
0.5
0.5
Construction
Ashoka Buildcon
Buy
Consolidated Co
Neutral
IRB Infra
Buy
72
106
2,381
3,805
4,248
45.1
45.3
15.0
15.8
4.8
4.6
0.7
0.6
14.5
13.9
2.8
3.1
ITNL
Buy
119
156
2,309
7,423
7,970
27.5
28.7
30.3
32.0
3.9
3.7
0.6
0.5
15.0
14.0
2.4
2.5
IVRCL Infra
Neutral
10
319
5,673
5,892
7.8
7.6
(1.7)
(2.0)
(6.3)
(5.3)
0.2
0.2
0.6
0.6
Jaiprakash Asso.
Accumulate
36
41
7,933
12,946
14,897
24.7
25.6
1.2
2.7
29.1
13.4
0.6
0.6
2.0
4.3
2.5
2.3
Larsen & Toubro
Buy
745
1,002
68,895
68,946
78,040
10.0
10.0
49.0
55.2
15.2
13.5
2.2
2.0
14.9
15.3
1.1
1.0
Nagarjuna Const.
Buy
19
30
477
6,167
6,945
8.0
8.2
2.7
3.6
7.0
5.1
0.2
0.2
2.7
3.6
0.4
0.4
Punj Lloyd
Neutral
22
731
12,726
14,226
8.2
8.2
0.9
1.0
25.6
21.5
0.3
0.3
1.0
1.2
0.6
0.6
Sadbhav Engg.
Buy
60
99
903
2,462
2,731
10.6
10.6
5.3
6.0
11.3
10.0
1.0
0.9
9.2
9.6
0.7
0.6
Simplex Infra
Buy
43
56
213
6,237
6,908
9.1
9.0
9.9
13.9
4.4
3.1
0.2
0.2
3.7
5.0
0.5
0.4
Unity Infra
Neutral
19
141
2,146
2,339
12.9
13.0
9.3
9.6
2.0
2.0
0.2
0.2
8.0
7.7
0.7
0.7
Allahabad Bank
Neutral
72
3,608
6,843
7,528
2.5
2.5
26.0
30.1
2.8
2.4
0.4
0.4
11.8
12.4
Andhra Bank
Neutral
54
3,005
4,868
5,390
2.4
2.5
12.3
16.6
4.4
3.2
0.4
0.4
7.9
10.0
Axis Bank
Buy
936
1,116
43,925
19,280
22,886
3.3
3.3
130.7
157.1
7.2
6.0
1.2
1.0
17.3
18.1
Bank of Baroda
Neutral
473
19,944
15,896
17,947
2.2
2.3
95.4
124.4
5.0
3.8
0.6
0.5
12.0
14.2
Bank of India
Neutral
147
8,760
14,482
16,069
2.3
2.2
55.0
62.2
2.7
2.4
0.4
0.3
13.7
13.9
Bank of Maharashtra
Neutral
38
2,517
4,529
4,780
3.0
2.8
12.3
11.8
3.1
3.2
0.5
0.4
16.5
14.1
Canara Bank
Neutral
211
9,345
11,454
12,378
2.0
2.0
52.4
60.5
4.0
3.5
0.4
0.4
9.8
10.4
Central Bank
Neutral
53
5,510
8,196
9,202
2.4
2.4
6.1
15.9
8.7
3.3
0.6
0.5
5.2
12.8
Corporation Bank
Neutral
258
3,951
5,641
6,083
2.0
2.0
82.7
98.1
3.1
2.6
0.4
0.4
12.6
13.5
Dena Bank
Neutral
47
1,642
3,307
3,531
2.2
2.4
17.5
21.6
2.7
2.2
0.3
0.3
11.9
13.2
Federal Bank
Neutral
287
4,905
2,798
3,250
3.0
3.0
38.1
51.9
7.5
5.5
0.7
0.7
9.8
12.3
Financials
Market Outlook
August 27, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
( )
Price ( )
( cr )
Sales ( cr )
OPM(%)
EPS ( )
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
Financials
HDFC
Accumulate
744
821
115,691
8,679
10,350
3.6
3.6
37.5
44.7
19.8
16.7
4.1
3.7
30.1
30.7
HDFC Bank
Buy
610
713
145,739
27,392
33,264
4.6
4.6
36.3
45.1
16.8
13.5
3.4
2.9
21.9
22.8
ICICI Bank
Buy
830
980
95,849
25,727
29,969
3.2
3.2
83.2
96.7
10.0
8.6
1.3
1.2
14.9
15.4
IDBI Bank
Neutral
59
7,797
9,518
10,468
2.0
2.0
15.5
22.1
3.8
2.7
0.4
0.3
10.2
13.3
Indian Bank
Neutral
69
2,965
5,940
6,396
2.7
2.7
24.9
32.9
2.8
2.1
0.3
0.3
10.3
12.4
IOB
Neutral
40
3,683
7,692
8,627
2.2
2.3
8.1
15.2
4.9
2.6
0.3
0.3
5.9
10.5
J & K Bank
Neutral
1,101
5,337
3,038
3,370
3.7
3.9
214.2
202.6
5.1
5.4
0.9
0.8
19.8
16.3
LIC Housing Finance
Neutral
176
8,877
2,001
2,495
2.2
2.3
23.8
28.8
7.4
6.1
1.2
1.1
17.3
18.2
Oriental Bank
Neutral
136
3,969
6,918
7,459
2.6
2.5
46.7
52.5
2.9
2.6
0.3
0.3
10.8
11.1
Punjab Natl.Bank
Neutral
478
16,884
20,766
23,515
3.4
3.4
135.0
164.8
3.5
2.9
0.6
0.5
14.4
15.7
South Ind.Bank
Neutral
20
2,715
1,800
2,023
2.7
2.7
3.7
4.2
5.5
4.8
0.9
0.8
16.2
16.2
St Bk of India
Neutral
1,557
106,521
65,392
74,467
3.0
3.0
178.5
226.1
8.7
6.9
1.1
1.0
12.1
14.0
Syndicate Bank
Neutral
67
4,060
6,740
7,512
2.5
2.5
21.0
23.5
3.2
2.9
0.4
0.4
12.6
12.8
UCO Bank
Neutral
53
4,008
6,770
7,017
2.8
2.6
14.8
15.5
3.6
3.4
0.6
0.5
14.4
13.5
Union Bank
Neutral
114
6,774
10,458
11,809
2.5
2.5
32.0
40.6
3.5
2.8
0.4
0.4
11.6
13.4
United Bank
Neutral
34
1,272
3,386
3,884
2.3
2.5
12.4
20.0
2.7
1.7
0.3
0.3
10.0
14.7
Vijaya Bank
Neutral
36
1,791
2,718
2,941
1.8
1.9
7.0
9.0
5.2
4.0
0.4
0.4
8.2
9.8
Yes Bank
Neutral
261
9,403
4,417
5,486
2.7
2.8
42.9
49.5
6.1
5.3
1.3
1.1
23.9
22.8
Asian Paints
Neutral
430
41,279
12,332
14,524
16.3
16.1
13.9
16.0
31.0
26.8
9.9
7.8
35.2
32.5
3.2
2.7
Britannia
Neutral
706
8,458
6,422
7,367
6.9
7.3
24.2
29.7
29.2
23.8
10.3
8.0
39.6
37.7
1.3
1.1
Colgate
Neutral
1,228
16,705
3,588
4,130
18.9
19.4
41.2
48.4
29.8
25.4
26.5
20.5
100.0
91.0
4.5
3.9
Dabur India
Neutral
157
27,323
7,183
8,297
16.8
16.9
5.4
6.3
29.3
24.9
10.3
8.2
39.2
36.7
3.8
3.3
GlaxoSmith Con*
Neutral
4,029
16,944
3,617
4,259
16.1
16.4
122.2
148.7
33.0
27.1
10.3
8.2
34.1
33.7
4.2
3.5
Godrej Consumer
Neutral
822
27,969
7,801
9,017
16.2
15.9
25.1
29.7
32.7
27.7
7.0
5.9
24.9
24.2
3.7
3.2
HUL
Neutral
609
131,623
28,415
31,962
13.6
14.1
16.7
18.2
36.5
33.5
35.1
25.4
112.2
88.1
4.5
4.0
ITC
Neutral
308
243,797
34,294
39,991
36.8
37.0
11.3
13.3
27.3
23.1
9.0
7.3
36.1
34.9
6.8
5.8
Marico
Neutral
208
13,438
5,104
5,876
15.1
15.2
7.2
8.6
29.2
24.3
5.6
4.6
21.1
20.9
2.7
2.3
Nestle*
Neutral
4,865
46,910
9,330
10,860
21.8
21.9
123.3
149.7
39.5
32.5
19.4
14.1
56.4
50.3
5.1
4.3
Tata Global
Neutral
144
8,908
8,070
8,958
9.8
9.9
7.6
8.5
19.1
17.0
2.2
2.1
9.3
9.7
1.1
1.0
FMCG
Market Outlook
August 27, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
OPM(%)
EPS ( )
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
( )
Price ( )
( cr )
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
IT
HCL Tech^
Accumulate
945
1,070
65,880
32,266
35,103
23.5
22.6
69.7
74.0
13.6
12.8
3.7
3.0
26.5
23.0
1.8
1.6
Hexaware*
Neutral
128
3,829
2,273
2,575
22.2
21.5
12.4
13.4
10.3
9.6
2.6
2.3
25.4
23.5
1.5
1.3
Infosys
Neutral
3,031
174,025
48,731
52,962
26.9
27.1
180.8
200.3
16.8
15.1
3.6
3.1
20.4
19.3
2.9
2.6
Infotech Enterprises
Accumulate
178
190
1,988
2,128
2,341
17.2
17.6
21.3
23.2
8.4
7.7
1.3
1.1
14.9
14.0
0.6
0.5
KPIT Cummins
Buy
132
155
2,557
2,769
3,122
18.3
17.8
15.3
16.6
8.6
8.0
1.8
1.5
20.9
18.4
0.9
0.7
Mindtree
Accumulate
1,005
1,060
4,176
2,871
3,110
20.4
20.7
102.6
111.2
9.8
9.0
2.4
1.9
24.8
20.3
1.2
1.0
Mphasis&
Accumulate
399
450
8,386
6,827
7,342
21.0
21.2
47.0
51.3
8.5
7.8
1.5
1.3
14.3
14.2
0.8
0.6
NIIT
Neutral
20
330
1,144
1,267
9.0
9.1
4.3
5.4
4.7
3.7
0.5
0.4
10.3
12.0
0.1
Persistent
Neutral
570
2,281
1,590
1,774
23.5
23.8
48.5
56.9
11.8
10.0
1.9
1.6
16.4
16.1
1.1
0.8
TCS
Accumulate
1,839
2,015
359,874
80,353
91,576
30.0
30.0
91.0
103.2
20.2
17.8
6.5
5.2
31.5
29.2
4.2
3.7
Tech Mahindra
Accumulate
1,380
1,485
32,052
17,749
19,406
22.5
21.0
113.6
114.2
12.2
12.1
3.5
2.8
27.9
22.1
1.5
1.3
Wipro
Neutral
460
113,306
43,610
47,320
21.6
22.2
30.0
33.0
15.3
13.9
3.4
2.9
20.7
19.4
2.1
1.8
D B Corp
Accumulate
240
267
4,400
1,783
1,968
23.8
25.0
13.6
16.0
17.6
15.0
4.3
3.7
22.5
22.9
2.4
2.1
HT Media
Buy
91
112
2,133
2,205
2,380
14.1
14.4
7.6
8.4
11.9
10.8
1.3
1.2
10.7
10.7
0.6
0.5
Jagran Prakashan
Buy
84
104
2,771
1,683
1,845
19.7
20.8
5.9
6.9
14.2
12.1
2.7
2.5
19.4
21.2
1.7
1.5
PVR
Neutral
382
1,516
1,359
1,540
17.3
17.4
17.2
21.6
22.1
17.7
2.2
2.0
10.3
12.0
1.5
1.4
Sun TV Network
Neutral
376
14,818
2,287
2,551
69.7
70.5
20.0
23.3
18.8
16.1
4.7
4.1
26.4
27.3
6.1
5.4
Bhushan Steel
Reduce
461
419
10,451
12,640
15,667
28.5
31.5
25.9
38.6
17.8
12.0
1.1
1.0
6.1
8.5
2.6
2.1
Coal India
Neutral
271
171,300
68,303
69,884
32.5
30.3
27.5
25.0
9.9
10.8
3.7
2.6
40.2
33.1
1.7
1.6
Electrosteel Castings
Buy
11
15
367
1,976
2,017
11.8
12.7
0.1
1.2
176.1
9.3
0.1
0.1
1.9
0.6
0.1
GMDC
Buy
85
115
2,713
1,701
1,985
47.8
48.8
17.4
20.6
4.9
4.1
0.9
0.8
20.7
20.9
1.1
0.8
Hind. Zinc
Buy
117
143
49,584
12,389
13,093
48.5
51.7
15.2
17.0
7.7
6.9
1.3
1.2
18.5
18.0
1.8
1.4
Hindalco
Neutral
104
19,998
95,465 102,491
8.4
9.0
13.9
17.2
7.5
6.1
0.6
0.5
7.6
8.7
0.6
0.5
JSW Steel
Neutral
540
13,054
45,022
48,140
16.0
15.9
68.5
77.0
7.9
7.0
0.7
0.7
9.3
9.7
0.8
0.7
MOIL
Accumulate
208
223
3,494
956
982
42.3
44.3
25.3
26.2
8.2
7.9
1.1
1.0
14.6
13.7
1.0
1.1
Monnet Ispat
Buy
109
139
695
2,199
2,575
21.6
22.8
30.7
38.6
3.6
2.8
0.3
0.2
7.7
8.9
1.4
1.1
Nalco
Neutral
NMDC
Buy
SAIL
Neutral
Media
Metals & Mining
30
7,757
7,270
7,521
13.6
13.8
2.8
2.9
10.9
10.4
0.6
0.6
5.9
6.0
0.5
0.5
118
142
46,803
10,718
11,514
66.6
64.5
15.5
16.1
7.6
7.3
1.5
1.4
21.2
20.0
2.3
2.1
47
19,411
44,060
54,227
9.2
10.9
5.3
6.8
8.9
6.9
0.5
0.5
5.2
6.5
0.7
0.6
Market Outlook
August 27, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
OPM(%)
EPS ( )
( )
Price ( )
( cr )
FY14E
FY15E
FY14E
FY15E
FY14E
PER(x)
P/BV(x)
RoE(%)
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
EV/Sales(x)
FY15E
FY14E
FY15E
Metals & Mining

Sesa Goa
Neutral
167
14,536
73,497
76,089
34.5
34.7
5.6
6.2
30.0
27.1
1.8
1.6
6.1
5.9
0.5
0.4
Sterlite Inds
Accumulate
90
99
30,313
44,493
45,599
22.4
23.9
16.8
19.2
5.4
4.7
0.5
0.5
10.5
10.9
0.2
0.1
Tata Steel
Accumulate
277
317
9.4
10.5
32.8
53.5
8.5
5.2
0.7
0.7
9.0
13.2
0.5
0.5
Sarda
Accumulate
89
98
320
1,323
1,398
17.2
17.9
25.3
27.8
3.5
3.2
0.3
0.3
9.5
9.6
0.6
0.5
Prakash Industries
Godawari Power and
Ispat
Oil & Gas
Buy
30
37
410
2,486
2,637
15.2
15.0
13.7
14.2
2.2
2.2
0.2
0.2
9.1
8.7
0.4
0.3
Accumulate
73
78
239
2,171
2,317
14.9
15.8
36.4
46.6
2.0
1.6
0.2
0.2
11.6
13.0
0.5
0.4
Cairn India
Accumulate
318
364
60,820
18,403
17,925
71.9
62.1
62.1
57.4
5.1
5.6
1.1
0.9
22.6
17.8
2.1
1.8
GAIL
Neutral
296
37,534
49,700
48,822
16.0
16.6
32.9
33.4
9.0
8.9
1.4
1.2
15.9
14.4
0.3
0.2
ONGC
Buy
268
350
229,116 164,816 196,050
33.7
36.6
30.0
38.7
8.9
6.9
1.4
1.2
16.0
18.5
1.1
0.8
Reliance Industries
Buy
821
953
265,211 417,018 442,434
8.4
8.4
70.3
75.2
11.7
10.9
1.2
1.1
12.0
11.6
0.6
0.6
Gujarat Gas*
Neutral
201
2,580
3,270
3,414
12.8
12.6
22.6
23.1
8.9
8.7
2.4
2.1
28.2
25.6
0.6
0.5
Indraprastha Gas
Neutral
274
3,834
3,656
4,456
21.5
18.6
25.7
26.8
10.7
10.2
2.2
1.9
22.1
19.6
1.1
0.8
Petronet LNG
Gujarat State Petronet
Ltd.
Pharmaceuticals
Accumulate
126
135
9,458
39,449
43,315
5.3
5.9
14.1
16.9
9.0
7.5
1.8
1.5
21.7
21.9
0.3
0.3
Buy
53
67
2,985
1,002
1,021
91.4
91.5
8.2
8.4
6.5
6.3
0.9
0.8
14.3
13.0
2.5
2.3
Alembic Pharma
Buy
138
165
2,609
1,736
2,008
17.1
18.9
10.7
13.9
12.9
10.0
4.1
3.0
35.0
34.7
1.6
1.3
Aurobindo Pharma
Buy
183
274
5,323
6,641
7,637
15.9
15.9
17.3
20.6
10.6
8.9
1.7
1.4
19.5
18.9
1.3
1.1
Aventis*
Neutral
2,518
5,798
1,682
1,917
15.6
15.6
91.9
101.7
27.4
24.8
3.9
3.8
15.6
17.1
3.0
2.4
Cadila Healthcare
Buy
657
894
13,448
7,123
8,367
15.5
15.7
37.3
44.7
17.6
14.7
3.7
3.1
22.9
22.9
2.2
1.9
Cipla
Buy
399
477
32,008
9,274
10,796
23.1
23.1
21.0
23.8
19.0
16.8
3.0
2.6
17.2
16.8
3.2
2.7
Dr Reddy's
Buy
2,151
2,535
36,565
13,377
15,350
20.4
20.1
112.1
126.6
19.2
17.0
4.1
3.4
23.5
21.8
2.8
2.4
Dishman Pharma
Buy
45
73
360
1,394
1,534
22.5
22.4
14.8
16.6
3.0
2.7
0.3
0.3
10.8
11.0
0.9
0.8
GSK Pharma*
Neutral
2,314
19,596
2,744
2,964
22.0
23.4
59.2
66.6
39.1
34.7
9.7
9.4
24.9
27.5
6.3
5.8
Indoco Remedies
Buy
65
78
599
747
906
15.3
15.3
5.9
7.6
11.0
8.6
1.3
1.2
12.5
14.4
1.0
0.9
Ipca labs
Accumulate
626
674
7,892
3,246
3,830
20.5
21.7
36.2
44.9
17.3
13.9
4.0
3.2
26.1
25.7
2.6
2.2
Lupin
Buy
775
904
34,694
11,576
13,855
22.0
22.0
35.8
43.0
21.6
18.0
5.3
4.2
27.1
25.8
3.1
2.5
Ranbaxy*
Accumulate
403
426
17,069
10,400
11,331
6.6
8.4
11.4
15.2
35.4
26.5
3.7
3.3
11.1
13.1
1.7
1.5
Sun Pharma
Neutral
517
107,066
13,509
15,846
41.0
41.0
16.5
19.9
31.3
26.0
6.3
5.2
22.0
22.0
7.4
6.1
26,946 153,862 167,209
Power
GIPCL
Accumulate
NTPC
Buy
58
65
878
1,444
1,482
33.4
33.0
13.7
14.8
4.2
3.9
0.5
0.5
12.3
12.0
0.7
0.4
132
163
109,046
75,046
81,780
23.5
23.9
12.7
13.6
10.4
9.7
1.2
1.1
12.2
12.0
2.2
2.1
Market Outlook
August 27, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
OPM(%)
EPS ( )
( )
Price ( )
( cr )
FY14E
FY15E
FY14E
FY15E
FY14E
PER(x)
P/BV(x)
RoE(%)
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
EV/Sales(x)
FY15E
FY14E
FY15E
Real Estate
DLF
Buy
137
179
24,410
8,293
9,622
36.5
36.1
5.7
6.7
24.0
20.3
0.9
0.8
3.7
4.1
5.0
4.2
MLIFE
Accumulate
445
483
1,819
888
1,002
27.0
29.9
33.9
42.1
13.1
10.6
1.3
1.2
9.9
11.2
2.6
2.4
Bharti Airtel
Accumulate
307
350
122,720
83,535
92,173
32.0
33.1
9.2
12.9
33.5
23.8
2.2
2.0
6.8
8.9
2.2
1.9
Idea Cellular
Neutral
161
53,291
26,717
29,443
30.6
29.8
5.5
6.7
29.5
23.9
3.3
2.9
11.1
12.0
2.4
2.1
Rcom
Neutral
116
24,036
22,050
23,647
30.6
30.8
3.2
5.2
36.4
22.3
0.7
0.7
1.9
3.1
2.8
2.5
Telecom
Others
Abbott India*
Buy
1,366
1,628
2,903
1,788
1,996
12.5
12.7
71.7
81.4
19.1
16.8
3.9
3.3
21.7
21.2
1.4
1.2
Bajaj Electricals
Buy
158
184
1,580
3,885
4,472
4.0
5.8
6.8
15.4
23.5
10.3
2.1
1.8
8.8
17.3
0.4
0.4
Cera Sanitaryware
Buy
505
613
639
631
797
14.5
13.7
42.6
51.1
11.9
9.9
2.8
2.3
26.5
25.3
1.0
0.8
Cravatex
Accumulate
272
307
70
248
284
6.5
7.3
27.2
38.2
10.0
7.1
1.6
1.3
15.7
18.5
0.4
0.4
Finolex Cables
Buy
53
68
817
2,563
2,899
9.8
9.8
10.1
11.3
5.3
4.7
0.8
0.7
14.3
13.8
0.2
0.2
Force Motors
Buy
284
349
370
2,304
2,649
3.1
3.6
28.0
43.7
10.1
6.5
0.3
0.3
3.1
4.7
0.1
0.1
Goodyear India*
Accumulate
306
345
706
1,458
1,542
8.3
9.0
32.3
37.0
9.5
8.3
1.7
1.5
19.5
19.3
0.3
0.2
Hitachi
Buy
115
153
313
1,080
1,199
8.9
9.1
18.3
19.1
6.3
6.0
1.1
1.0
19.2
17.0
0.4
0.4
Honeywell Automation* Neutral
2,308
2,041
1,842
2,131
7.7
7.8
111.1
130.9
20.8
17.6
2.6
2.3
13.3
13.9
1.0
0.9
IFB Agro
Buy
132
156
119
491
642
12.3
13.8
35.0
50.9
3.8
2.6
0.6
0.5
18.2
21.6
0.2
0.1
ITD Cementation
Buy
145
194
167
1,365
1,502
10.9
11.2
18.2
28.0
8.0
5.2
0.4
0.4
5.1
7.4
0.5
0.5
Jyothy Laboratories
Buy
161
199
2,675
1,244
1,523
14.1
14.2
5.9
10.0
27.2
16.2
3.3
2.9
12.7
18.8
2.5
2.0
MRF
Buy
13,232
16,218
5,612
11,799
12,587
14.1
13.5 1,792.0 1,802.0
7.4
7.3
1.6
1.3
23.5
19.2
0.6
0.6
Page Industries
Accumulate
4,080
4,669
4,551
1,059
1,296
19.5
19.8
125.0
155.6
32.7
26.2
16.2
11.9
56.3
52.2
4.4
3.6
Relaxo Footwears
Buy
740
981
888
1,196
1,401
11.9
12.6
55.6
75.4
13.3
9.8
3.2
2.4
27.1
28.1
0.9
0.7
Siyaram Silk Mills
Buy
196
228
183
1,158
1,322
10.6
11.0
60.5
75.9
3.2
2.6
0.5
0.4
16.8
18.1
0.4
0.3
Styrolution ABS India*
Buy
354
492
623
1,007
1,108
8.4
8.7
30.3
35.1
11.7
10.1
1.3
1.2
11.7
12.2
0.6
0.5
TAJ GVK
Buy
55
108
347
300
319
35.8
36.2
7.9
9.1
7.0
6.1
0.9
0.8
13.9
14.4
1.5
1.2
Tata Sponge Iron
Buy
261
371
402
814
849
17.0
17.6
64.6
69.2
4.1
3.8
0.6
0.5
14.5
13.8
0.1
(0.1)
TTK Healthcare
Buy
506
632
393
416
481
4.5
6.1
16.2
25.3
31.2
20.0
3.8
3.4
12.6
18.1
0.8
0.7
Tree House
Buy
241
297
865
153
194
53.0
52.8
12.4
15.6
19.4
15.4
2.3
2.0
11.8
13.1
5.8
4.5
TVS Srichakra
Buy
United Spirits
Neutral
Vesuvius India*
Buy
169
230
130
1,591
1,720
6.1
6.4
30.5
38.3
5.6
4.4
0.7
0.7
13.5
15.5
0.3
0.2
2,245
32,629
12,294
14,162
12.0
12.0
42.1
67.7
53.3
33.2
3.8
3.4
9.1
10.7
3.0
2.6
365
439
741
600
638
20.1
19.4
35.7
36.6
10.2
10.0
1.8
1.6
19.4
17.1
1.0
0.9
Market Outlook
August 27, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
OPM(%)
EPS ( )
PER(x)
P/BV(x)
RoE(%)
EV/Sales(x)
( )
Price ( )
( cr )
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
FY14E
FY15E
81
117
538
2,042
2,363
14.6
14.8
12.3
16.5
6.6
5.0
0.5
0.5
7.6
9.4
0.7
0.6
Others
HSIL
Buy
Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on August 26, 2013
Market Outlook
August 27, 2013
Research Team Tel: 022 - 39357800
E-mail: research@angelbroking.com
Website: www.angelbroking.com
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Market Outlook: Dealer's Diary

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Market Outlook: Dealer's Diary

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Market Outlook

August 27, 2013

Jaiprakash Associates to sell Gujarat Cement units to Ultratech

Refer detailed news analysis on the following page

Net Inflows (August 23, 2013)

FII Derivatives (August 26, 2013)

Jaiprakash Associates to sell Gujarat Cement units to

Economic and Political News

Board of Trade to meet today to review export performance

Amara Raja Batteries charts `700cr capacity expansion

August 29, 2013

Source: Bloomberg, Angel Research

Global economic events release calendar

Country Event Description

August 27, 2013

August 29, 2013

GDP Qoq (Annualised)

Germany Unemployment change (000's)

Qtrly GDP YoY%

BOE Announces rates

Euro Zone ECB announces interest rates

Industrial Production (YoY)

Change in Nonfarm payrolls

Consumer Price Index (YoY)

September 10, 2013

Last Reported Estimated

Industrial Production (YoY)

September 12, 2013

Industrial Production YoY

September 17, 2013

September 18, 2013

FOMC rate decision

RBI Repo rate

RBI Cash Reserve ratio

RBI Reverse Repo rate

Real GDP (YoY)

October 18, 2013

Source: Bloomberg, Angel Research

Exhibit 2: IIP trends

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

Exhibit 6: Key policy rates

Imports yoy growth

Reverse Repo rate

Source: Bloomberg, Angel Research

Source: RBI, Angel Research

5.1 5.4 5.2

Agri / Agri Chemical

Amara Raja Batteries

Auto & Auto Ancillary

Mahindra and Mahindra Buy

80,311 215,043 240,077

Larsen & Toubro

LIC Housing Finance

Metals & Mining

Metals & Mining

229,116 164,816 196,050