Wednesday, 2 March 2016

Re: {LONGTERMINVESTORS} Research Reports extracts & summaries - Thread

 BofA-ML on Steel
* Believe steel prices increment by 13% in a month is major positive
* Dealer checks show signs of recovery in demand especially in North India
* Maintain Buy on JSW Steel, target at ₹1,237
* Maintain Buy on Tata Steel, target at ₹382
 
Citi on Coal India
* E-auction price risk, exaggerated divestment major overhangs
* Expect strong growth trajectory as volumes continue to replace imports
* Feb slowdown is demand driven on excess production, high inventory
* Maintain Buy, target at ₹380
* See financial position of discoms improving with UDAY scheme
 
Citi on IGL
* Increase in network assuages concerns of end of marketing exclusivity
* Maintain Buy, target at ₹632
* Odd-even rule will lead to pick-up in private car conversions to CNG
 
Goldman Sachs on India
* Cut 12-month Nifty target to 8,200 from 8,600
* Favour investment & consumer cyclicals with better earnings visibility
* Like refiners/OMCs on refining upcycle & improving margins
* Reaffirm Overweight stance on India given strong relative appeal
* Seeing signs of demand pickup & improvement in infra activity
 
HSBC on UPL
* Faster growth than peers is intact; see positives outweighing concerns
" LatAm growth remains at 15-20% even after currency impact
* Maintain Buy, target at ₹575
* Margin expansion seen at 50-60 bps with product mix moving towards branded pdts
 
Jefferies on Tech Mah
* Weakening macro, unfavourable cross currency moves, stronger INR key risks
* Markets discounting merits of fast growing non-telecom business
* Upgrade to Buy from Hold; Cut target to ₹530 from ₹540
* Weakening macro, unfavorable cross currency moves, stronger INR as key risks
 
JP Morgan on ITC
* Believe clearing of 10% excise hike is major positive
* Looks attractive on security of earnings, reasonable valuations
* See double-digit EPS growth as Budget uncertainty behind us
* Upgrade to Overweight from Neutral; Raise target to ₹370 from ₹340
 
Nomura on Power Grid
* Believe transmission capacity start-up (GFA accretion) continues in top gear
* Competitive strength in transmission space to be sustained
* Maintain Buy; Raise target to ₹186 from ₹174
* Medium-term earnings outlook remains robust on back of ancillary biz increase
* See competitive strength in transmission space sustained

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