Market Outlook 14th Jan

Market Outlook
January 14, 2013
Domestic Indices
Dealers Diary
The Indian market is expected to open flat to positive mirroring the marginally
positive opening trades on the SGX Nifty and major Asian indices.
Stocks in the US market fluctuated over the course of the trading day on Friday and
ended flat. The choppy trading came as traders seemed reluctant to make any
significant moves amidst mixed news from overseas. News of a new US$116bn
stimulus package in Japan generated some positive sentiment, however, it got
offset by a report from China showing acceleration in the pace of inflation which
suggested that the Chinese may not provide further stimulus. Moreover, a report
from the Commerce Department showed that the US trade deficit widened to
US$48.7bn in November from a revised US$42.1bn in October. The European
markets also ended on a mixed note on Friday mainly due to larger than expected
increase in Chinese inflation.
The domestic markets surrendered initial gains to end on a negative note on
Friday. India's trade deficit widened to US$17.7bn in December against
US$14.7bn in the corresponding month last year. Weak IIP data and subdued
global cues also weighed on investor sentiments. Meanwhile, investors will closely
look forward to the WPI data (estimated 7.37% yoy), due to be released today.
Markets Today
The trend deciding level for the day is 19,708 / 5,970 levels. If NIFTY trades above
this level during the first half-an-hour of trade then we may witness a further rally
up to 19,796 19,928 / 6,000 6,049 levels. However, if NIFTY trades below
19,708 / 5,970 levels for the first half-an-hour of trade then it may correct up to
19,576 19,488 / 5,922 5,892 levels.
BSE Sensex
5,951
MID CAP
(1.5) (108.5)
7,157
SMALL CAP
(1.6) (119.7)
7,455
BSE HC
(1.3) (104.9)
8,140
BSE PSU
(1.7) (133.0)
7,511
BANKEX
(1.4) (201.1) 14,499
AUTO
(1.1) (135.1) 11,633
METAL
(1.3) (145.6) 10,938
OIL & GAS
(1.7) (148.8)
BSE IT
Global Indices
3.9
3,126
0.3
20.1
6,122
Nikkei
1.4
148.9 10,802
(0.4)
(0.5)
(1.8)
(90.2) 23,264
(14.8) 3,212
(40.7) 2,243
Hang Seng
Straits Times
Shanghai Com
Indian ADR
INFY
0.9
0.3
$40.7
HDB
5,922
5,970
6,000
6,049
BSE
NSE
Advances
982
361
1,964
1,159
132
80
Unchanged
Volumes (` cr)
Net Inflows (January 10, 2013)

` cr
Purch
Sales
Net
FII
3,817
3,535
282
7,942
7,942
533
629
(96)
(1,446)
(1,446)
MTD
YTD
FII Derivatives (January 11, 2013)

` cr
Purch
Sales
Net
Open Interest
Index Futures
1,329
1,149
180
7,857
Stock Futures
2,156
1,857
299
32,755
Gainers / Losers
Losers
Price (`)
chg (%)
United Breweries
810
(5.4)
Indiabulls Fin
310
(5.2)
Gitanjali Gems
586
4.5
Suzlon Energy
19
(5.2)
Satyam Comp
115
4.0
Madras Cements
227
(5.0)
1,306
3.8
Oberoi Realty
271
(4.6)
www.angelbroking.com
Advances / Declines
Declines
Refer detailed news analysis on the following page
TCS
$52.2
$9.8
5,892
6.1
8.3
$44.4
NIFTY
420
18.8
0.6
R2
Wipro
(Close)
(0.2)
19,928
16.9
(Pts)
6.5
R1
2,713
Chg (%)
(0.5)
19,796
Infosys
17.2 13,488
WIT
PIVOT
Company
(Close)
0.1
19,708
chg (%)
(Pts)
FTSE
S1
Gainers
6,252
NASDAQ
19,576
Price (`)
Chg (%)
534.0
0.1
S2
Company
9.3
8,788
Dow Jones
19,488
MFs
0.1 19,664
(17.4)
SENSEX
Marginal decline in industrial production by 0.1%

Trade deficit narrows for the second straight month in December 2012
JLR retail sales up by a strong ~15% yoy in December 2012
3QFY2013 Result Review: Infosys
3QFY2013 Result Preview: TCS
(Close)
(0.3)
Indices
0.0
(Pts)
Nifty
IBN
News Analysis
Chg (%)
BSE
2,529
NSE
14,023
Market Outlook
January 14, 2013
Marginal decline in industrial production by 0.1%

As per Quick Estimates on the Index of Industrial Production (IIP), industrial activity
contracted marginally by 0.1% yoy in November 2012 as compared to a healthy
8.3% yoy growth in the previous month owing to possible drawing down of
inventory build-up in October 2012 due to pre-festival season demand. As
compared to 6.0% yoy growth in November 2011, there is an across-the-board
deceleration in performance for all sectors. The index witnessed a slight 1.0% yoy
growth in the April - November 2012 period mainly owing to the healthy growth in
October 2012.
On a yoy basis, Mining witnessed a 5.5% decline during the month as compared
to flat performance in the previous month reflecting the decline in production of
coal and natural gas. Growth in Electricity decelerated to 2.4% as compared to a
healthy growth of 5.5% in the previous month and 14.6% growth in November
2011.
The Manufacturing sector, accounting for 75.5% of the overall index, reported a
marginal 0.3% growth during the month as compared to 9.8% in October 2012
and 6.6% in November 2011. On a positive note, growth in manufacturing
remained in the positive territory for the third consecutive month on a 3MMA basis.
Under the Use-based classification, Capital goods continued to remain volatile,
witnessing a 7.7% de-growth during the month as compared to a 7.5% growth in
October 2012 aided by an exceptionally low base. We believe that although the
momentum of decline has slowed, it does not point to an improvement in the near
term. Cumulatively, in the April November 2012 period, the Capital goods index
declined by 11.1%.
The production of Consumer goods decelerated steeply from a 13.7% growth rate
in October 2012 to 1.0% growth during November 2012, reflecting the possible
drawing down of inventories piled up in anticipation of the festival season,
particularly in the case of consumer durables.
We expect the governments reform measures to boost business confidence and
give an impetus to the investment cycle going forward. With overall growth in the
economy showing signs of bottoming out, we expect a slight recovery in industrial
production. As the recovery rests on a sustainable pick-up in investment,
consumption and exports, we expect it to be gradual. The overall IIP print for
FY2013 is likely to stabilize at a lower level in a flat to marginally positive range.
As far as monetary policy stance is concerned, we believe that the Reserve Bank of
India (RBI)s stance has increasingly shifted towards supporting growth rather than
focusing solely on inflation management and with recent moderation in core
inflation, we expect the RBI to ease the repo rate by 50bp in 4QFY2013.
Trade deficit narrows for the second straight month in

December 2012
Indian exports continued to decline for the eight consecutive months in December
on account of weak external demand. However, the 1.9% yoy decline in export
growth was lower as compared to the 4.2% yoy decline in November 2012.
Imports continued to grow at the same pace of 6.3% yoy as compared to 6.4% yoy
Market Outlook
January 14, 2013
in November 2012. The rise in imports was led by a 23.6% yoy increase in oil
imports (as against a 26.3% yoy growth in December 2011) while non-oil imports
reported a marginal 0.9% yoy decline (as against a 27.4% yoy growth in
December 2011).
The trade deficit for December slightly narrowed for the second consecutive month
to USD17.7bn as compared to a deficit of USD19.3bn in the previous month but it
stayed elevated as compared to a deficit of USD14.7bn in the corresponding
period of the previous year. On a cumulative basis, exports for the April December 2012 period contracted by 5.5% yoy in USD terms while imports during
the period declined only marginally by 0.7% yoy in USD terms as oil imports
stayed high. The trade deficit widened to USD147bn as compared to USD137bn
in the corresponding period of the previous year. The elevated trade deficit in the
economy has also led to a record-high current account deficit (CAD) to GDP ratio
of 5.4% for 2QFY2013.
We believe that the huge CAD is presently one of the key concerns in the economy
and is also leading to the weakening of the rupee and increasing imported
inflationary pressures in the economy. On this front, a respite is likely as global
growth steadies, resulting in a pick-up in demand. Also, with sops such as
extension on interest subvention for export-related industries, we expect an
increase in competitiveness of our exports. However its impact would be limited by
weak global demand.
JLR retail sales up by a strong ~15% yoy in December 2012

Jaguar and Land Rover (JLR) reported a strong retail volume growth of ~15% yoy
(~12% mom) in December 2012 to 33,589 units driven by strong growth in Land
Rover volumes (Evoque in particularly) which posted robust growth of ~19% yoy
(~11% mom). According to the management, the first deliveries of the all-new
Range Rover have commenced and it has created a strong buzz around the brand.
Jaguar volumes too posted a strong ~19% growth on a sequential basis (flat
mom), led by the model year 2013 launches, XF Sportbrake and all-wheel drive XF
and XJ models. Geographically, China continues to be the primary growth driver
of JLR volumes, with retails volumes registering a strong growth of ~42% yoy
(~5% mom) in December 2012. Meanwhile the company has also announced that
it would be adding 800 new jobs at its advanced manufacturing plant in Solihull,
West Midlands in the UK to support the introduction of future model plans. While
the retail sales numbers for December 2012 and announcement of new jobs is a
positive development for the company; we would await for more detailed
announcement by the company on the retail and wholesale volumes for JLR which
is scheduled today. Due to limited upside from current levels, we recommend
Neutral rating on the stock.
Market Outlook
January 14, 2013
3QFY2013 Result Review

Infosys (CMP: `2,713 / TP: `2,850 / Upside: 5%)
Infosys surprised the street with better-than-expected results for 3QFY2013 and
also raised its full year guidance, contrary to our as well as street expectations of
reducing it. The dollar revenues grew by robust 6.3% qoq to US$1,911mn, ~3.0%
ahead of our as well as street expectations. On an organic basis (excluding
Lodestone), dollar revenues grew by 4.2% qoq which is also commendable as
traditionally 3Q is a lull quarter for IT companies. Overall volume growth remain
subdued though at just 2.0% qoq; 3.7% onsite volume growth and 1.3% offshore
volume growth. In INR terms, revenue came in at `10,424cr, up 5.7% qoq. The
company signed eight large transformational deals with TCV worth US$750mn
during 3QFY2013. The companys EBITDA and EBIT margin declined by 60bp and
66bp qoq to 28.5% and 25.7%, respectively, due to negative impact of offshore
wage hikes given during the quarter. The operating margin decline is less than
consensus expectations which is a positive sign.
Infosys raised its full year guidance, contrary to our as well as street expectations of
reducing it. Revision of guidance indicates that the management is confident about
growth prospects in the short to medium-term versus last few quarters. Organic
revenue growth guidance is kept intact at 5% yoy. Including Lodestone, Infosys
expects full year FY2013 revenue to be at least US$7,450mn, up 6.5% yoy. Even
after increasing the dollar revenue guidance for FY2013, the EPS guidance is kept
stable at US$2.97. Over FY2012-14E, we expect USD and INR revenue CAGR of
8.3% and 14.6%, respectively. Over FY201214E, we expect a CAGR of 8.6% and
9.0% in EBIT and PAT, respectively. At the current market price of `2,712, the stock
is trading at 16.7x FY2013E and 15.7x FY2014E EPS. We value the company at
16.5x FY2014E EPS of `173 and maintain our Accumulate rating on the stock with
a target price of `2,850.
Y/E
Sales
OPM
PAT
EPS
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
40,746
28.9
9,287
162.6
23.5
16.7
3.9
11.1
3.2
FY2014E
44,283
28.8
9,878
172.9
21.3
15.7
3.3
9.8
2.8
3QFY2013 Result Preview

TCS (CMP: `1,306 / TP: `1,448 / Upside: 11%)
TCS is slated to announce its 3QFY2013 results today. We expect the company to
post revenue of US$2,944mn with 3.2% qoq growth. In rupee terms, revenues are
expected to grow by 2.0% qoq to `15,926cr. EBITDA margin is expected to decline
by 28bp qoq to 28.2%. PAT is expected to be at `3,367cr. TCS remains our
preferred pick amongst Tier-I IT companies and we maintain Accumulate rating on
the stock with a target price of `1,448.
Y/E
Sales
OPM
PAT
EPS
ROE
P/E
P/BV
EV/EBITDA
EV/Sales
March
(` cr)
(%)
(` cr)
(`)
(%)
(x)
(x)
(x)
(x)
FY2013E
61,905
28.7
13,628
69.6
32.6
18.8
6.1
13.7
3.9
FY2014E
67,316
28.4
14,981
76.5
29.2
17.1
5.0
12.5
3.6
Market Outlook
January 14, 2013
Quarterly Bloomberg Brokers Consensus Estimate

TCS Consolidated (14/01/2013)
Particulars (` cr)
3QFY13E
3QFY12
y-o-y (%)
2QFY13
q-o-q (%)
Net sales
15,915
13,204
21
15,621
Net profit
3,404
2,681
27
3,545
(4)
3QFY12
y-o-y (%)
2QFY13
q-o-q (%)
1,102
16
1,124
14
3QFY12
y-o-y (%)
2QFY13
q-o-q (%)
Axis Bank (15/01/2013)

Particulars (` cr)
3QFY13E
Net profit
1,282
Bajaj Auto (16/01/2013)

Particulars (` cr)
3QFY13E
Net sales
5,379
4,840
11
4,817
12
EBITDA
1,037
1,061
(2)
915
13
EBITDA margin (%)
19.3
21.9
Net profit
817
795
741
10
3QFY12
y-o-y (%)
2QFY13
q-o-q (%)
306
306
19.0
Yes Bank Ltd (16/01/2013)

Particulars (` cr)
Net profit
3QFY13E
324
Economic and Political News
Airline profits go up in 3rd quarter of FY13: IATA

CCI approves `2,460cr stake sale in Gujarat Gas to GSPC
Government approves 14 FDI proposals worth over `1,300cr
Telecom sector gross revenue up 0.8% in Sept quarter: TRAI
Telcom companies asked to pay `8,000cr spectrum fee by January 15
Corporate News
Essar to invest `14,000cr in Gujarat's port sector, water projects

Gail plans `9,000cr capex in FY2014E
Power, Coal Ministers to speed up NTPC coal blocks re-allocation
Source: Economic Times, Business Standard, Business Line, Financial Express, Mint
Market Outlook
January 14, 2013
Result Calendar
Date
Company
January 14, 2013
TCS, Electrosteel Castings
January 15, 2013
Axis Bank, Essar Oil, South Ind.Bank
January 16, 2013
Bajaj Auto, Yes Bank
January 17, 2013
Hero Motocorp, HCL Tech, Exide Industries, Federal Bank, Infotech Enterprises
January 18, 2013
Reliance Industries, ITC, HDFC Bank, Wipro, Hind. Zinc, Reliance Infra., IDBI Bank, Blue Star, Mindtree, NIIT
January 19, 2013
UltraTech Cement, Bhushan Steel, Force Motors
January 20, 2013

January 21, 2013
NTPC, HDFC, Asian Paints, SpiceJet, Alembic Pharma
January 22, 2013
Kotak Mah. Bank, Tata Sponge
January 23, 2013
Zee Entertainment, Sun TV Network, Greenply
January 24, 2013
Larsen & Toubro, Ashok Leyland
January 25, 2013
Maruti, LMW
Source: Bloomberg, Angel Research
Global economic events release calendar

Date
Time
Country Event Description
Unit
Period
Bloomberg Data
Last Reported Estimated
January 14, 2013
12:00PM
India
Monthly Wholesale Prices YoY%
% Change
Dec
7.24
7.37
January 15, 2013
3:00PM
UK
CPI (YoY)
% Change
Dec
2.70
2.70
7:00PM
US
Producer Price Index (mom)
% Change
Dec
(0.80)
(0.10)
3:30PM
Euro Zone Euro-Zone CPI (YoY)
Dec
2.20
2.20
7:00PM
US
Consumer price index (mom)
% Change
Dec
(0.30)
--
7:45PM
US
Industrial Production
Dec
1.05
0.30
7:00PM
US
Initial Jobless claims
Thousands
Jan 12
371.00
365.00
7:00PM
US
Housing Starts
Thousands
Dec
861.00
890.00
7:00PM
US
Building permits
Thousands
Dec
900.00
905.00
7:30AM
China
Industrial Production (YoY)
% Change
Dec
10.10
10.20
% Change
4Q
7.40
7.80
Millions
Dec
5.04
5.13
Value
Jan A
(26.50)
--
% Change
Dec
(3.00)
--
Value
Jan A
52.00
--
January 16, 2013
January 17, 2013
January 18, 2013
7:30AM
China
Real GDP (YoY)
January 22, 2013
8:30PM
US
Existing home sales
January 23, 2013
8:30PM
Euro Zone Euro-Zone Consumer Confidence
3:00PM
UK
2:00PM
Germany PMI Services
2:00PM
Germany PMI Manufacturing
Value
Jan A
46.00
--
3:00PM
UK
GDP (YoY)
% Change
4Q A
--
--
8:30PM
US
New home sales
Thousands
Dec
377.00
385.00
January 24, 2013

January 25, 2013
January 29, 2013
January 30, 2013

January 31, 2013
Jobless claims change
8:30PM
US
Consumer Confidence
S.A./ 1985=100
Jan
65.10
--
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
--
7:00PM
US
GDP Qoq (Annualised)
% Change
4Q A
3.10
0.80
2:25PM
Germany Unemployment change (000's)
Thousands
Jan
3.00
--
12:45AM
US
Jan 30
0.25
--
FOMC rate decision
Market Outlook
January 14, 2013
Macro watch
Exhibit 1: Quarterly GDP trends
Exhibit 2: IIP trends
(%)
10.0
8.0
9.2
9.0
8.5
7.6
7.5
8.2
6.0
8.0
6.7
5.7
6.1
4.0
5.3 5.5 5.3
3.5
2.0
2.5
4.3
2.7
1.0
2.0
Nov-12
(0.7)
Oct-12
Sep-12
(0.1)
Aug-12
Jul-12
Jun-12
(2.0)
(0.1)
Exhibit 4: Manufacturing and services PMI
(%)
Mfg. PMI
60.0
8.0
7.7
7.5
7.4
May-12
(2.8)
(4.0)
(1.3)
Source: MOSPI, Angel Research
Exhibit 3: Monthly WPI inflation trends
7.7
Apr-12
Mar-12
Feb-12
Jan-12
(2.0)
Dec-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
Dec-12
Nov-12
Oct-12
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
Jan-12
Source: Market, Angel Research; Note: Level above 50 indicates expansion
Exhibit 5: Exports and imports growth trends

(%)
48.0
Dec-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
8.3
(%)
11.2
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
30.0
Reverse Repo rate
CRR
8.00
8.00
7.00
15.0
7.00
6.00
4.25
Source: RBI, Angel Research
Dec-12
Nov-12
Oct-12
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
4.00
Jan-12
Dec-12
Nov-12
Oct-12
Sep-12
Aug-12
Jul-12
5.00
Dec-11
(30.0)
Jun-12
May-12
Apr-12
Mar-12
(15.0)
Feb-12
Jan-12
0.0
Market Outlook
January 14, 2013
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
150
2,914
1,466
1,686
14.8
14.8
7.0
8.1
21.4
18.5
4.5
3.9
22.6
22.5
2.1
1.8
United Phosphorus
Buy
134
170
5,926
8,421
9,263
16.5
16.5
15.0
17.0
8.9
7.9
1.3
1.1
15.6
15.5
0.8
0.7
Amara Raja Batteries
Neutral
283
4,829
2,911
3,321
16.2
16.2
17.3
19.8
16.3
14.3
4.5
3.5
31.1
27.6
1.6
1.4
Apollo Tyres
Accumulate
87
96
4,390
13,713
15,341
11.2
11.2
12.5
14.8
7.0
5.9
1.3
1.1
20.2
19.9
0.5
0.4
Ashok Leyland
Accumulate
27
31
7,077
14,226
16,256
9.4
10.0
2.1
2.8
12.7
9.4
2.3
2.0
12.9
16.0
0.6
0.5
Automotive Axle#
Neutral
372
561
1,103
1,240
11.0
11.3
39.1
45.0
9.5
8.3
1.7
1.7
19.5
22.8
0.6
0.4
Bajaj Auto
Neutral
2,117
61,259
21,186
23,828
18.7
19.0
110.4
126.5
19.2
16.7
8.0
6.4
46.7
42.4
2.6
2.2
Bharat Forge
Accumulate
251
278
5,848
6,754
7,565
15.5
15.7
18.8
23.2
13.4
10.9
2.3
2.0
18.5
19.7
1.0
0.9
Bosch India*
Neutral
9,191
28,860
9,973
11,320
17.8
18.0
396.2
455.7
23.2
20.2
4.4
3.7
18.8
18.2
2.6
2.2
CEAT
Buy
110
163
377
4,989
5,634
8.2
8.5
27.1
40.8
4.1
2.7
0.5
0.4
13.2
17.2
0.3
0.2
Exide Industries
Accumulate
141
155
11,989
6,229
7,200
14.8
15.8
7.2
9.0
19.7
15.8
3.4
2.9
18.5
19.9
1.7
1.4
FAG Bearings*
Accumulate
1,684
1,807
2,799
1,715
1,939
17.6
18.4
127.7
150.6
13.2
11.2
2.6
2.2
21.7
21.1
1.4
1.1
Hero Motocorp
Accumulate
1,835
2,014
36,650
24,743
27,966
14.8
15.2
118.2
130.0
15.5
14.1
6.7
5.3
48.3
41.8
1.2
1.0
JK Tyre
Buy
121
165
497
7,517
8,329
6.6
6.6
37.2
41.3
3.3
2.9
0.6
0.5
18.8
17.8
0.4
0.3
Auto & Auto Ancillary
Mahindra and Mahindra Neutral
941
57,791
40,035
46,272
11.5
11.6
54.4
62.1
17.3
15.2
3.9
3.2
24.2
23.2
1.2
1.0
Maruti
Neutral
1,566
45,242
43,384
51,903
7.3
8.6
67.3
94.6
23.3
16.6
2.7
2.3
12.1
15.1
0.9
0.7
Motherson Sumi
Neutral
196
11,525
24,285
27,317
6.7
7.2
8.1
10.6
24.4
18.5
5.1
4.2
22.9
24.7
0.6
0.6
Subros
Buy
30
35
177
1,286
1,479
9.4
9.7
2.6
5.1
11.4
5.8
0.6
0.6
5.6
10.3
0.4
0.4
Tata Motors
Neutral
330
87,992 190,883 217,164
12.8
13.1
35.5
42.5
9.3
7.8
2.4
1.9
30.2
27.6
0.5
0.4
TVS Motor
Neutral
48
2,288
7,298
8,123
6.1
6.4
4.6
5.8
10.6
8.3
1.7
1.5
17.4
19.4
0.3
0.2
Capital Goods
ABB*
Sell
695
573
14,724
7,790
9,653
4.5
7.8
8.7
22.1
79.9
31.4
5.5
4.9
7.1
16.5
1.9
1.5
BGR Energy
Neutral
262
1,887
3,567
4,357
11.8
10.9
24.6
26.8
10.6
9.8
1.5
1.4
30.7
26.3
1.0
0.9
BHEL
Neutral
227
55,597
47,801
43,757
18.5
18.0
24.6
21.8
9.2
10.4
2.8
2.4
33.5
24.5
1.1
1.2
Blue Star
Buy
172
224
1,548
2,538
2,681
4.6
5.7
7.3
11.3
23.5
15.2
3.4
2.9
15.6
20.7
0.7
0.6
Crompton Greaves
Accumulate
116
135
7,448
12,320
14,390
5.5
7.2
4.3
7.8
27.0
14.9
2.0
1.8
7.4
12.6
0.7
0.6
Jyoti Structures
Accumulate
45
51
368
2,794
3,048
10.6
10.6
9.2
11.7
4.9
3.8
0.5
0.5
11.9
13.5
0.3
0.3
KEC International
Buy
66
78
1,705
6,909
7,907
6.2
7.2
5.4
8.8
12.3
7.5
1.4
1.2
17.0
23.6
0.4
0.4
LMW
Reduce
2,258
1,992
2,543
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
0.5
Thermax
Neutral
607
7,238
5,552
5,767
9.3
10.2
28.3
30.9
21.5
19.7
3.9
3.4
19.3
18.4
1.2
1.1
Market Outlook
January 14, 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 )
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
Cement
ACC
Neutral
1,361
25,546
11,012
12,333
21.1
20.9
77.0
80.3
17.7
16.9
3.3
3.0
19.5
18.7
2.1
1.7
Ambuja Cements
Neutral
186
28,754
10,210
11,811
26.0
25.7
11.2
12.6
16.7
14.8
3.6
3.2
20.3
20.7
2.5
2.1
India Cements
Neutral
85
2,622
4,293
4,666
17.7
18.1
8.6
10.8
9.9
7.9
0.7
0.7
7.5
9.0
1.0
0.9
J K Lakshmi Cements
Neutral
138
1,684
2,171
2,544
22.5
22.5
21.6
23.2
6.4
6.0
1.2
1.0
19.0
17.8
0.9
1.2
Madras Cements
Neutral
227
5,398
3,814
4,045
28.8
27.1
18.3
18.7
12.4
12.1
2.2
1.9
19.4
17.0
2.1
1.9
Shree Cements^
Neutral
4,369
15,219
5,701
6,210
29.7
28.1
240.7
260.7
18.2
16.8
4.4
3.6
27.1
23.6
2.2
1.8
UltraTech Cement
Neutral
1,883
51,616
21,277
23,939
22.3
23.2
101.5
119.0
18.6
15.8
3.4
2.9
19.9
19.8
2.4
2.2
205
286
1,081
2,032
2,311
22.4
22.4
27.0
31.6
7.6
6.5
0.9
0.8
13.0
13.4
1.9
2.2
Construction
Ashoka Buildcon
Buy
Consolidated Co
Neutral
16
298
2,262
2,522
5.9
6.3
0.9
1.6
17.6
10.4
0.5
0.5
2.7
4.6
0.4
0.4
IRB Infra
Buy
128
164
4,259
3,843
4,212
43.1
43.6
16.8
17.8
7.6
7.2
1.3
1.2
18.3
17.0
3.3
3.5
ITNL
Neutral
219
4,255
6,564
7,054
27.2
27.4
26.3
29.0
8.3
7.6
1.3
1.2
17.0
16.3
2.8
2.8
IVRCL Infra
Neutral
43
1,330
4,249
6,897
7.8
8.2
0.3
3.4
140.6
12.8
0.6
0.6
0.4
4.4
0.9
0.6
Jaiprakash Asso.
Neutral
Larsen & Toubro
Accumulate
Nagarjuna Const.
93
20,062
13,842
15,863
26.9
26.4
3.7
4.6
25.5
20.4
1.5
1.4
6.2
7.3
3.0
2.7
1,531
1,748
94,173
61,031
69,753
11.2
11.6
73.8
85.5
20.8
17.9
3.3
2.9
13.5
14.1
1.7
1.5
Neutral
55
1,410
5,947
6,569
8.5
8.6
3.1
4.1
17.7
13.4
0.6
0.6
3.3
4.2
0.7
0.6
Punj Lloyd
Neutral
58
1,915
11,892
13,116
9.0
9.0
1.8
3.2
31.9
17.9
0.7
0.6
2.0
3.5
0.6
0.6
Sadbhav Engg.
Buy
133
168
2,001
2,344
2,804
10.6
10.7
7.2
8.7
18.4
15.3
2.2
1.9
13.0
13.5
1.2
1.1
Simplex Infra
Accumulate
222
251
1,100
6,882
8,032
9.1
9.1
23.2
31.3
9.6
7.1
0.8
0.8
9.1
11.2
0.5
0.5
Unity Infra
Buy
45
59
331
2,180
2,455
13.7
13.4
13.3
15.0
3.4
3.0
0.4
0.4
12.5
12.5
0.9
0.8
Financials
Allahabad Bank
Neutral
175
8,725
6,403
7,186
2.7
2.8
30.5
33.6
5.7
5.2
0.9
0.8
14.9
14.6
Andhra Bank
Neutral
124
6,914
4,706
5,444
2.9
3.0
21.4
22.4
5.8
5.5
0.9
0.8
15.1
14.2
Axis Bank
Buy
1,364
1,587
58,281
15,903
18,707
3.1
3.2
118.2
139.1
11.5
9.8
2.2
1.9
20.3
20.3
Bank of Baroda
Neutral
872
35,848
15,284
18,032
2.5
2.6
109.6
137.7
8.0
6.3
1.2
1.0
15.5
17.1
Bank of India
Neutral
364
20,866
12,568
14,758
2.2
2.4
41.6
64.1
8.7
5.7
1.1
0.9
11.6
16.0
Bank of Maharashtra
Neutral
60
3,558
3,576
3,893
3.1
3.1
9.3
12.0
6.5
5.0
0.9
0.8
14.0
16.1
Canara Bank
Neutral
503
22,296
10,828
12,005
2.1
2.2
64.7
80.4
7.8
6.3
1.1
0.9
13.2
14.7
Central Bank
Neutral
90
6,603
7,252
8,236
2.5
2.6
16.8
21.4
5.3
4.2
1.0
0.8
13.1
14.8
Corporation Bank
Accumulate
465
534
6,885
4,835
5,570
2.0
2.2
105.0
99.8
4.4
4.7
0.8
0.7
17.5
14.8
Dena Bank
Accumulate
120
132
4,206
3,125
3,457
2.7
2.8
26.2
24.2
4.6
5.0
0.8
0.7
19.6
15.6
Market Outlook
January 14, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
OPM(%)
EPS ( )
PER(x)
( )
Price ( )
( cr )
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
P/BV(x)
RoE(%)
EV/Sales(x)
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
Financials
Federal Bank
Neutral
507
8,673
2,682
2,968
3.3
3.2
48.6
51.7
10.4
9.8
1.4
1.2
13.8
13.2
HDFC
Neutral
810
124,808
7,336
8,802
3.5
3.5
31.5
37.8
25.7
21.4
5.1
4.6
34.8
32.1
HDFC Bank
Neutral
ICICI Bank
Accumulate
IDBI Bank
669
158,424
21,615
26,671
4.4
4.5
28.7
35.9
23.3
18.6
4.5
3.8
20.7
22.0
1,165
1,320
133,990
22,219
26,447
2.9
3.0
69.1
82.9
16.9
14.1
2.1
1.9
14.2
15.6
Neutral
114
14,574
7,990
9,279
1.8
2.1
16.8
22.1
6.8
5.2
0.8
0.7
11.7
13.9
Indian Bank
Accumulate
205
231
8,806
5,902
6,563
3.2
3.2
41.3
43.2
5.0
4.8
0.8
0.7
18.4
16.8
IOB
Neutral
J & K Bank
Accumulate
LIC Housing Finance
89
7,117
7,063
8,308
2.3
2.5
12.6
20.4
7.1
4.4
0.7
0.6
9.0
13.3
1,315
1,410
6,377
2,830
2,910
3.6
3.6
234.8
197.4
5.6
6.7
1.3
1.1
25.1
18.0
Buy
281
328
14,184
1,799
2,255
2.3
2.4
20.3
27.3
13.8
10.3
2.2
1.9
16.9
19.7
Oriental Bank
Accumulate
330
369
9,619
6,330
7,105
2.6
2.7
58.4
65.1
5.6
5.1
0.8
0.7
14.5
14.4
Punjab Natl.Bank
Accumulate
881
933
29,866
19,688
22,497
3.2
3.3
138.9
164.5
6.3
5.4
1.1
0.9
16.7
17.3
South Ind.Bank
Accumulate
28
32
3,715
1,560
1,755
2.8
2.7
3.5
3.9
7.9
7.1
1.3
1.2
19.2
17.1
St Bk of India
Neutral
2,491
167,154
60,677
69,712
3.3
3.3
224.3
257.3
11.1
9.7
1.9
1.6
17.6
17.7
Syndicate Bank
Neutral
138
8,301
6,810
7,807
3.0
3.0
28.0
27.2
4.9
5.1
0.9
0.8
19.4
16.4
UCO Bank
Neutral
82
5,471
5,235
6,086
2.3
2.4
12.0
14.9
6.9
5.5
1.1
0.9
12.0
13.5
Union Bank
Neutral
258
14,212
9,963
11,536
2.8
2.9
40.8
46.8
6.3
5.5
1.1
0.9
16.2
16.4
United Bank
Accumulate
78
90
2,814
3,498
3,858
2.5
2.8
15.1
21.6
5.2
3.6
0.6
0.6
12.5
16.1
Vijaya Bank
Neutral
64
3,152
2,333
2,728
2.0
2.2
7.3
10.4
8.7
6.1
0.9
0.8
9.3
12.1
Yes Bank
Accumulate
499
541
17,839
3,292
4,243
2.8
3.0
35.0
42.2
14.3
11.8
3.1
2.5
23.8
23.5
4,302
41,265
11,198
13,184
15.4
15.7
117.1
141.5
36.7
30.4
12.1
9.5
36.4
35.0
3.7
3.1
FMCG
Asian Paints
Neutral
Britannia
Buy
491
584
5,871
5,627
6,581
4.9
5.7
18.3
24.7
26.8
19.9
9.8
7.5
39.1
42.7
1.0
0.8
Colgate
Neutral
1,502
20,421
3,146
3,573
20.6
21.4
36.4
42.5
41.3
35.3
38.2
32.0
102.0
98.5
6.4
5.6
Dabur India
Neutral
126
21,961
6,124
7,101
17.0
16.8
4.7
5.4
27.1
23.3
11.4
8.9
44.5
41.5
3.7
3.1
GlaxoSmith Con*
Neutral
3,862
16,244
3,084
3,617
15.3
15.5
101.2
118.3
38.2
32.7
11.6
9.4
33.5
31.9
4.9
4.1
Godrej Consumer
Neutral
727
24,742
6,355
7,548
16.7
17.4
20.3
25.4
35.8
28.6
7.5
6.3
23.2
25.1
4.1
3.4
HUL
Neutral
499
107,774
25,350
28,974
13.3
13.5
14.7
17.1
33.8
29.2
26.8
18.9
84.5
75.8
4.2
3.7
ITC
Neutral
274
215,471
28,787
33,554
35.7
36.1
9.1
10.8
30.0
25.4
9.8
8.2
35.2
35.1
7.4
6.3
Marico
Neutral
227
14,632
4,840
5,643
13.6
13.6
6.4
8.1
35.3
28.0
7.0
5.6
26.3
23.3
3.1
2.6
Nestle*
Neutral
4,821
46,486
8,487
10,081
21.2
22.1
113.0
142.5
42.7
33.8
25.6
17.6
70.5
61.6
5.6
4.6
Market Outlook
January 14, 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 )
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
Neutral
159
9,811
7,207
7,927
9.1
9.5
6.9
8.2
23.0
19.5
2.4
2.3
8.9
9.8
1.3
1.2
HCL Tech^
Accumulate
645
725
44,796
24,453
27,269
19.8
18.7
45.0
50.0
14.3
12.9
3.5
2.9
24.4
22.6
1.7
1.5
Hexaware*
Buy
89
118
2,639
1,941
2,118
20.8
19.0
10.7
10.7
8.3
8.3
2.1
1.8
25.3
22.0
1.0
0.9
Infosys
Accumulate
2,713
2,490
155,767
39,353
41,700
29.1
29.2
157.6
166.0
17.2
16.3
4.1
3.7
23.9
22.5
2.8
2.6
Infotech Enterprises
Neutral
182
2,033
1,900
2,064
18.2
17.8
19.1
21.2
9.5
8.6
1.5
1.3
15.2
14.6
0.7
0.6
KPIT Cummins
Buy
114
130
2,188
2,221
2,390
16.1
15.9
11.3
13.0
10.1
8.7
2.2
1.8
21.9
20.9
1.0
0.8
Mahindra Satyam
Accumulate
115
119
13,565
7,670
8,308
20.3
19.3
9.9
10.8
11.7
10.6
3.3
2.5
28.0
23.5
1.3
1.1
Mindtree
Accumulate
734
781
3,023
2,339
2,502
20.9
18.4
75.4
78.1
9.7
9.4
2.4
1.9
24.6
20.3
1.0
0.9
Mphasis&
Neutral
398
8,360
5,531
5,874
17.6
17.5
35.4
37.7
11.2
10.6
1.7
1.4
14.7
13.5
1.0
0.8
NIIT
Buy
29
36
481
1,048
1,161
9.1
10.9
4.1
6.2
7.1
4.7
0.7
0.7
10.3
14.1
0.3
0.2
Persistent
Neutral
538
2,151
1,277
1,398
26.8
25.2
48.0
53.9
11.2
10.0
2.1
1.8
19.0
17.9
1.3
1.1
TCS
Buy
1,306
1,448
255,682
61,905
67,316
28.7
28.4
69.6
76.5
18.8
17.1
6.1
5.0
32.6
29.2
3.8
3.4
Tech Mahindra
Accumulate
989
1,087
12,645
6,671
7,290
19.8
19.0
94.1
106.4
10.5
9.3
2.5
2.0
24.0
21.6
1.9
1.7
Wipro
Accumulate
420
421
103,304
43,231
47,241
20.0
20.0
26.2
28.1
16.0
14.9
3.1
2.7
19.3
17.9
1.9
1.7
D B Corp
Accumulate
233
264
4,274
1,581
1,784
23.3
25.0
11.6
14.4
20.1
16.2
3.9
3.4
21.0
22.3
2.6
2.3
HT Media
Accumulate
106
121
2,483
2,111
2,272
15.0
15.2
7.4
8.3
14.4
12.8
1.5
1.4
11.3
11.4
0.9
0.7
Jagran Prakashan
Accumulate
111
126
3,512
1,503
1,681
23.1
23.1
6.4
7.3
17.4
15.3
4.3
3.8
25.8
26.5
2.6
2.2
PVR
Neutral
288
832
682
786
17.3
16.9
17.6
19.7
16.3
14.6
1.9
1.7
14.9
14.5
1.6
1.4
Sun TV Network
Neutral
423
16,680
1,942
2,237
77.2
75.5
17.6
19.1
24.1
22.2
5.8
5.2
25.8
25.2
8.3
7.1
Bhushan Steel
Neutral
442
9,377
11,307
14,287
29.5
29.1
45.1
51.0
9.8
8.7
1.1
1.0
12.2
12.2
2.9
2.3
Coal India
Neutral
361
227,737
66,666
70,292
25.7
27.3
24.2
26.6
14.9
13.5
4.4
3.6
33.1
29.1
2.5
2.2
Electrosteel Castings
Accumulate
27
29
938
1,984
2,074
10.6
11.6
0.8
2.0
32.4
13.4
0.5
0.2
1.7
4.1
0.7
0.6
Hind. Zinc
Accumulate
135
145
56,978
12,446
13,538
52.3
52.9
15.0
16.4
9.0
8.2
1.8
1.5
21.4
19.7
2.8
2.1
Hindalco
Neutral
127
24,334
79,148
89,258
9.4
9.0
15.0
15.6
8.5
8.2
0.7
0.7
8.8
8.4
0.7
0.6
JSW Steel
Neutral
831
18,537
39,586
41,459
17.6
17.0
78.7
90.1
10.6
9.2
1.0
0.9
10.2
10.7
0.9
0.9
MOIL
Neutral
261
4,390
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
2.0
Monnet Ispat
Buy
269
344
1,732
2,501
3,264
22.2
24.6
41.8
55.2
6.4
4.9
0.7
0.6
11.3
13.4
1.8
1.3
Nalco
Reduce
49
44
12,693
6,898
7,841
9.9
14.7
2.0
3.2
24.8
15.5
1.1
1.0
4.3
6.8
1.4
1.3
NMDC
Buy
162
198
64,090
11,209
12,525
78.4
78.3
18.5
20.6
8.7
7.9
2.1
1.8
27.0
24.6
3.9
3.2
FMCG
Tata Global
IT
Media
Metals & Mining
Market Outlook
January 14, 2013
Stock Watch
Company Name
Reco
CMP
Target
Mkt Cap
Sales ( cr )
OPM(%)
EPS ( )
( )
Price ( )
( cr )
FY13E
FY14E
FY13E
FY14E
PER(x)
P/BV(x)
RoE(%)
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
EV/Sales(x)
FY13E
FY14E
FY13E
FY14E
Metals & Mining

SAIL
Neutral
92
37,960
47,252
60,351
14.2
14.8
9.6
11.7
9.6
7.8
0.9
0.8
9.4
10.6
1.3
1.0
Sesa Goa
Neutral
194
16,874
4,551
6,640
32.8
34.4
33.7
39.3
5.8
5.0
1.0
0.8
18.3
18.3
4.3
3.0
Sterlite Inds
Neutral
117
39,320
43,185
45,442
23.3
23.7
16.8
17.9
7.0
6.5
0.8
0.7
11.6
11.2
0.9
0.8
Tata Steel
Accumulate
417
463
40,490 145,725 154,108
8.3
9.5
22.0
44.5
18.9
9.4
0.9
0.8
4.9
9.3
0.6
0.5
Sarda
Accumulate
130
153
465
1,442
1,494
17.6
17.3
27.2
28.7
4.8
4.5
0.5
0.5
11.5
11.0
0.7
0.7
Prakash Industries
Godawari Power and
Ispat
Oil & Gas
Buy
51
73
690
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
117
143
373
2,342
2,470
13.7
15.3
27.7
33.8
4.2
3.5
0.4
0.4
10.9
11.4
0.6
0.6
Cairn India
Accumulate
339
382
64,670
17,567
17,643
76.2
72.3
61.1
56.8
5.5
6.0
1.1
1.0
22.0
17.5
2.9
2.4
GAIL
Neutral
364
46,141
46,652
54,142
15.7
15.7
34.0
35.3
10.7
10.3
1.9
1.6
18.5
16.8
0.7
0.6
ONGC
Neutral
292
249,820 147,139 154,821
33.9
33.7
30.7
32.3
9.5
9.0
1.7
1.5
18.3
17.2
1.5
1.4
Reliance Industries
Neutral
839
274,817 362,700 380,031
7.9
8.0
60.0
63.3
14.0
13.3
1.3
1.2
11.1
10.6
0.8
0.7
Gujarat Gas*
Neutral
304
3,898
3,128
3,707
13.2
11.7
22.8
23.5
13.3
12.9
4.0
3.6
33.2
29.2
1.1
0.9
Indraprastha Gas
Neutral
251
3,513
3,213
3,643
23.3
23.5
24.3
25.7
10.3
9.8
2.4
2.0
25.0
22.1
1.2
1.0
Petronet LNG
Gujarat State Petronet
Ltd.
Pharmaceuticals
Accumulate
162
183
12,113
30,077
33,570
6.6
6.3
15.1
15.3
10.7
10.6
2.7
2.2
28.4
23.1
0.5
0.4
76
4,288
1,079
1,034
91.8
91.9
8.8
8.4
8.7
9.1
1.5
1.3
17.9
15.0
3.8
3.8
Alembic Pharma
Buy
71
91
1,345
1,624
1,855
14.2
15.6
6.6
9.1
10.8
7.8
2.7
2.1
27.9
29.9
0.9
0.8
Aurobindo Pharma
Accumulate
185
208
5,373
5,463
6,279
15.0
15.0
12.4
14.0
14.9
13.2
1.9
1.6
18.8
17.8
1.6
1.4
Aventis*
Neutral
2,335
5,378
1,482
1,682
17.5
16.6
82.9
87.8
28.2
26.6
4.4
3.5
16.3
14.8
3.5
2.9
Cadila Healthcare
Accumulate
860
926
17,610
6,148
7,386
18.6
19.6
32.7
44.8
26.3
19.2
5.8
4.6
23.7
26.6
3.3
2.7
Cipla
Neutral
421
33,835
8,151
9,130
25.8
24.8
20.2
21.6
20.9
19.5
3.7
3.2
19.4
17.6
4.0
3.4
Dr Reddy's
Neutral
1,894
32,150
10,696
11,662
20.7
21.0
83.7
92.9
22.6
20.4
4.7
3.9
22.4
20.8
3.3
2.9
Dishman Pharma
Buy
GSK Pharma*
Neutral
Indoco Remedies
Buy
Ipca labs
Neutral
115
145
927
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
2,179
18,456
2,651
2,993
31.7
31.2
76.0
82.4
28.7
26.4
8.3
7.4
20.1
26.3
6.2
5.4
61
89
565
685
837
15.2
15.2
7.4
8.9
8.3
6.9
1.3
1.1
16.4
17.0
1.0
0.8
Neutral
490
6,177
2,850
3,474
21.0
21.0
29.9
37.3
16.4
13.1
3.9
3.1
26.7
26.4
2.4
2.0
Lupin
Accumulate
588
655
26,299
8,426
10,082
19.7
20.0
26.1
31.1
22.5
18.9
5.2
4.2
25.8
24.7
3.2
2.7
Ranbaxy*
Neutral
498
21,055
12,046
11,980
16.0
15.8
37.3
32.1
13.4
15.5
5.2
4.2
45.3
29.7
1.8
1.7
Sun Pharma
Neutral
739
76,401
9,902
12,313
42.6
42.6
26.7
29.1
27.7
25.4
5.3
4.5
20.7
19.1
7.2
5.6
72
78
1,094
1,523
1,568
30.3
30.3
5.4
11.5
13.4
6.3
0.7
0.7
5.6
11.3
1.2
1.0
Power
GIPCL
Accumulate
Market Outlook
January 14, 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 )
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
FY13E
FY14E
152
125,702
72,809
81,951
23.0
23.7
12.0
13.4
12.7
11.4
1.5
1.4
12.5
12.9
2.4
2.3
Power
NTPC
Neutral
Real Estate
Anant Raj
Neutral
91
2,693
657
875
52.0
56.1
8.4
12.7
10.9
7.2
0.7
0.6
6.3
8.9
5.4
4.1
DLF
Neutral
230
39,078
9,878
12,033
44.7
46.1
9.6
13.4
24.0
17.2
1.5
1.5
6.4
8.7
6.5
5.3
HDIL
Neutral
114
4,764
2,441
3,344
55.1
48.2
22.7
26.6
5.0
4.3
0.4
0.4
8.8
9.4
3.9
2.9
MLIFE
Neutral
393
1,606
813
901
26.2
26.6
32.0
37.1
12.3
10.6
1.3
1.2
10.4
11.0
2.4
2.1
Bharti Airtel
Accumulate
325
350
123,306
80,353
86,654
30.9
31.3
8.6
11.8
38.0
27.5
2.3
2.2
6.1
7.8
2.3
2.1
Idea Cellular
Neutral
110
36,481
21,797
23,142
26.9
27.7
3.1
4.7
35.1
23.6
2.6
2.3
7.4
9.8
2.2
2.0
Rcom
Neutral
80
16,512
21,032
22,084
31.8
30.2
2.9
4.0
27.3
20.1
0.4
0.4
1.6
2.2
2.5
2.3
Telecom
zOthers
Abbott India
Accumulate
1,485
1,590
3,156
1,629
1,886
11.8
13.3
60.8
79.5
24.4
18.7
5.0
4.2
22.0
24.4
1.7
1.4
Bajaj Electricals
Neutral
208
2,069
3,497
3,968
6.6
7.6
9.8
15.5
21.2
13.4
2.7
2.3
12.7
17.4
0.6
0.5
Cera Sanitaryware
Reduce
422
411
534
427
528
15.7
14.6
30.0
34.0
14.1
12.4
3.1
2.5
24.6
22.5
1.4
1.2
Cravatex
Buy
CRISIL
Neutral
Finolex Cables
425
545
110
272
308
7.2
7.3
37.5
45.4
11.3
9.4
2.7
2.1
23.7
22.7
0.5
0.5
1,018
7,152
982
1,136
34.3
34.3
34.3
40.0
29.7
25.5
13.4
10.7
50.9
46.9
7.0
5.9
Accumulate
55
61
846
2,304
2,552
9.9
9.1
8.2
10.1
6.8
5.5
0.9
0.8
13.7
14.7
0.3
0.3
Force Motors
Accumulate
467
537
609
2,318
2,700
5.0
5.7
45.0
67.0
10.4
7.0
0.5
0.5
5.0
7.0
0.2
0.2
Goodyear India
Accumulate
333
360
767
1,494
1,607
6.4
7.8
23.9
33.0
13.9
10.1
2.2
1.9
16.5
20.1
0.3
0.3
Greenply Industries
Sell
386
309
932
1,925
2,235
10.6
10.9
29.6
44.1
13.1
8.8
2.1
1.7
16.8
21.0
0.8
0.6
Hitachi
Reduce
161
146
369
873
989
4.4
6.5
6.4
12.2
25.3
13.2
2.0
1.8
8.3
14.4
0.5
0.4
2,613
2,842
2,310
1,809
2,117
5.5
7.5
84.9
135.3
30.8
19.3
3.3
2.9
11.3
16.0
1.2
1.0
Honeywell Automation* Accumulate

Styrolution ABS India*
Neutral
722
1,270
1,059
1,116
8.5
9.5
36.0
42.0
20.1
17.2
2.9
2.5
15.4
16.0
1.2
1.2
ITD Cementation
Buy
248
334
285
1,455
1,630
12.4
12.6
29.8
40.5
8.3
6.1
0.7
0.6
8.2
9.8
0.6
0.6
Jyothy Laboratories
Neutral
159
2,568
1,228
1,443
9.0
10.9
3.9
6.4
41.0
24.9
4.1
3.7
10.1
15.6
2.6
2.2
MCX
Neutral
1,390
7,091
553
624
65.3
66.3
62.5
72.0
22.3
19.3
6.1
5.3
27.5
27.4
10.0
8.3
MRF
Neutral
13,487
5,720
13,030
14,405
10.3
10.6 1,418.1 1,677.1
9.5
8.0
1.7
1.4
19.1
18.7
0.6
0.5
Page Industries
Neutral
3,453
3,852
836
1,023
20.2
20.6
105.6
133.4
32.7
25.9
16.6
11.7
59.3
53.2
4.7
3.9
Relaxo Footwears
Accumulate
850
933
1,020
1,019
1,208
11.0
12.5
47.0
66.7
18.1
12.8
4.5
3.3
28.2
30.1
1.2
1.0
Sintex Industries
Buy
71
79
2,122
4,751
5,189
16.3
16.6
13.6
15.8
5.2
4.5
0.7
0.6
12.9
13.2
0.8
0.7
Siyaram Silk Mills
Buy
307
366
288
1,043
1,149
12.3
12.9
65.7
73.3
4.7
4.2
0.9
0.8
21.0
19.6
0.5
0.5
S. Kumars Nationwide
Neutral
14
425
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
January 14, 2013
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
43
2,105
5,720
6,599
5.3
6.8
3.6
5.4
12.0
8.1
17.4
5.5
0.5
0.4
TAJ GVK
Buy
70
108
439
300
319
35.8
36.2
7.9
9.1
8.9
7.7
1.2
1.1
13.9
14.4
1.8
1.5
Tata Sponge Iron
Buy
306
384
471
750
803
18.6
18.4
65.4
69.1
4.7
4.4
0.7
0.6
16.5
15.3
0.3
0.2
TTK Healthcare
Buy
542
643
421
374
425
7.9
9.5
24.1
32.7
22.5
16.6
19.7
22.5
1.0
0.8
TVS Srichakra
Buy
263
322
202
1,461
1,625
6.9
8.2
24.6
53.7
10.7
4.9
1.3
1.1
12.9
24.9
0.4
0.3
United Spirits
Neutral
1,895
24,786
10,289
11,421
12.8
12.8
26.0
45.3
72.9
41.8
3.3
3.1
5.8
7.6
2.8
2.5
Vesuvius India
Neutral
345
701
560
611
16.1
17.0
24.7
28.8
14.0
12.0
2.1
1.8
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 January 11, 2013
Market Outlook
January 14, 2013

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Market Outlook

January 14, 2013

(1.4) (201.1) 14,499

(1.1) (135.1) 11,633

(1.3) (145.6) 10,938

OIL & GAS

Net Inflows (January 10, 2013)

FII Derivatives (January 11, 2013)

Refer detailed news analysis on the following page

Marginal decline in industrial production by 0.1%

Marginal decline in industrial production by 0.1%

Trade deficit narrows for the second straight month in

JLR retail sales up by a strong ~15% yoy in December 2012

3QFY2013 Result Review

3QFY2013 Result Preview

Quarterly Bloomberg Brokers Consensus Estimate

Axis Bank (15/01/2013)

Bajaj Auto (16/01/2013)

EBITDA margin (%)

Yes Bank Ltd (16/01/2013)

Economic and Political News

Airline profits go up in 3rd quarter of FY13: IATA

Essar to invest `14,000cr in Gujarat's port sector, water projects

January 14, 2013

TCS, Electrosteel Castings

January 15, 2013

Axis Bank, Essar Oil, South Ind.Bank

January 16, 2013

Bajaj Auto, Yes Bank

January 17, 2013

January 18, 2013

January 19, 2013

UltraTech Cement, Bhushan Steel, Force Motors

January 20, 2013

NTPC, HDFC, Asian Paints, SpiceJet, Alembic Pharma

January 22, 2013

Kotak Mah. Bank, Tata Sponge

January 23, 2013

Zee Entertainment, Sun TV Network, Greenply

January 24, 2013

Larsen & Toubro, Ashok Leyland

January 25, 2013

Source: Bloomberg, Angel Research

Global economic events release calendar

Country Event Description

January 14, 2013

Monthly Wholesale Prices YoY%

January 15, 2013

Producer Price Index (mom)

Euro Zone Euro-Zone CPI (YoY)

Consumer price index (mom)

Initial Jobless claims

Industrial Production (YoY)

January 16, 2013

January 17, 2013

January 18, 2013

Real GDP (YoY)

January 22, 2013

Existing home sales