ICICI Securities

Articles By ICICI Securities

149 Articles

ICICI Securities: Enough crude inventory to supply if output is restored

Attacks on 14-Sep’19 at Abqaiq and Khurais plants, which have capacity to process 7m b/d of crude, led to temporary suspension of 5.7m b/d (over 50%) of Aramco’s oil output.

 crude oil, inventory, output, market news,  ONGC, GAIL, Aramco, OMC, OPEC, Abqaiq plant, Khurais plant News

Cement stocks: Volumes are trailing estimates, risk-reward is favourable

Dealers across most regions suggest companies are attempting a Rs 10-15/bag hike from mid-Sep’19 (Rs 40-50/bag in AP) mainly to avoid further fall in prices.

Cement, Cement sector, SRCM, UTCEM, TRCL News

Dr Reddy’s Laboratories Rating: Reduce; Stock price overvaluing opportunities

The company has demonstrated very effective cost control with 250bps margin expansion in FY19 and our estimates assume additional benefit of ~100bps base business margin expansion from the ongoing efforts.

Dr Reddy's, Dr Reddy's Laboratories, Dr Reddy's Laboratories rating, Stock price, Srikakkulam API facility News

ICICI Securities: ‘Add’ on Dr Lal Pathlabs with revised TP of Rs 1,370

Management has maintained its guidance of mid-teen revenue growth, which would be largely driven by volumes.

ICICI Securities, Dr Lal Pathlabs, premium valuation, FCF generation, medium term News

ICICI Securities: ‘Buy’ on Grasim Industries; target price at Rs 895

Management expects pricing pressure in core businesses to continue in the near term led especially by capacity overhang.

grasim share, Grasim Industries, grasim industries limited, grasim industries share, grasim news, grasim suit, grasim cement, grasim cement, grasim cement, grasim suit price in india News

ICICI Securities: Maintain ‘buy’ on Indigo with a TP of Rs 1,914

Forex MTM of lease liability has no cash implications; will not impact normalised earnings.

IndiGo rating, IndiGo profit, IndiGo revenue, IndiGo shares, IndiGo stocks, IndiGo loans, indigo market, InterGlobe Aviation, indigo crisis, Forex MTM News

PSU disinvestment: Minority shareholders to gain from privatisation, says BPCL

Privatisation may improve the broader market sentiment while sale to IOC is likely to hit investor sentiment, especially in PSUs.

petrol, diesel, crude, refinery, retail price, VAT, excise duty, dealer commission, dealer price, fuel cost, saudi drone attack News

Thermax rating | Add — Order intake to be under stress in near-term

Given demand challenges, FY20/21e EPS down 1/7%; TP revised to `1,089

Thermax rating, Danstoker, Dangote project, Thermax rating earnings  News

SRF Limited Rating: Hold; Strong order visibility a positive

Company has maintained its guidance for specialty chemical business; ‘Hold’ retained

SRF Limited Rating, revenue growth, PTFE, HFC plants, US agrochemicals market, Dahej News

ICICI Securities: Maintain ‘hold’ on Astral Poly and Supreme Industries

Considering the quantum of amount notified, the ADD would make the Chinese and Korean imports (constituting 30% of India’s overall imports of CPVC resin/ compound) non-competitive vs their major global (particularly US and

ICICI Securities, commerce and industry, Supreme Industries, Astral Poly, CPVC resin, China, CPVC pipe players News

ICICI Securities: ‘Buy’ on Greenply Industries with target price of Rs 206

Further, with the expected growth traction in decorative veneers, PVC sheets and low-end plywood segment (under brands ‘Jan Saathi’ and ‘Bharosa’), the management has guided for 7-9%/8-10% growth in volume/value in it

Markets News

ICICI Securities: Maintain ‘buy’ on aster DM Healthcare, TP Rs 168

Recent mandate by the authorities in GCC for complete insurance coverage has increased healthcare affordability for the low income group.

Markets News

Motherson Sumi rating | Buy — Interest, tax expenses took toll on PAT

We believe SMP has undertaken various measures to improve productivity, cost synergies and reduce wastage.

Markets News

Analyst Corner: Maintain ‘buy’ on Tata Power; target prics of Rs 87

Under the DMO, introduced just before the elections in Indonesia, 25% of the mine production was to be sold to domestic buyers (mainly PLN) at a capped price.

Markets News

Analyst Corner: Upgrade Concor to ‘buy’ on recent correction

Concor has felt the impact of lower exports in certain segments (i.e. 35-40% of Concor's export cargo is meat to far East countries like Vietnam). Exports witnessed some recovery in July 2019. Imports, to company's surprise,

Analyst Corner, Concor, Concor share price, Concor share, Concor india News

Avanti Feeds: Maintain ‘Buy’ with a target price of Rs 400

We note the stock price correction of 30% over the past four months offers an attractive entry price and we retain our 'Buy' rating with a DCF-based target price of Rs 400.

Avanti Feeds, Avanti Feeds stocks, Avanti Feeds Buy, stock market, news,  News

Mindtree: Expect revenues to rise by 10.4% in FY20

Strong order intake of $324 million reflecting a book-to-bill ratio of 1.23x should drive pick-up in revenue growth from Q2 with Mindtree now expecting to grow faster than industry average in FY20 vs earlier guidance for grow

Mindtree, Mindtree revenue, Mindtree FY20 revenue, Mindtree share, Mindtree ltd, Mindtree news

Bajaj Consumer: Retain ‘buy’ with TP unchanged at Rs 400

Wholesale channel witnessed a sharper sequential slowdown. BaCo did no business in the Canteen Stores Department due to procedural issues in the channel.

Bajaj Consumer, bajaj consumer care, bajaj consumer share, bajaj consumer products, bajaj consumer care ltd, buy  News

Astral Poly Rating | Hold — Making hay while the sun shines

Growth in the adhesive segment is likely to be back-ended in FY20 due to the shift currently happening from a stockist model to a distribution-led model.

Astral Poly Technik, Astral Poly Technik Rating, market news, share market, ASTRA, PVC pipes, CPVC pipes,  News

Analyst corner: Barring JSPL, steel players may see big volume decline

Volume performance of JSPL remains strong with an 18% YoY increase while Tata/JSWS witness 0/(2)% moves.

Hindalco Aluminium volumes were flat YoY, yet drop in LME prices and decline in copper volumes due to shutdown tangibly impacted standalone operations. (Representational image) News

Stock corner: ‘Add’ on Torrent Power, target price raised to Rs 327

UNOSUGEN, the brownfield expansion of the SUGEN plant, had signed up 278MW of its 382.5MW capacity with Distribution License (TPL-D) and the tariff on the same had been approved by CERC on a cost plus 15.5% RoE basis.

Torrent Power, Gujarat Electricity Regulatory Commission, GERC, tariff on power, 5MW brownfield gas project, UNOSUGEN, CERC, Torrent Power, TPW revenue, Torrent Power stocks, Torrent Power revenue, Torrent Power shares News

Stock corner: ‘Buy’ Kaveri seed company, monsoon deficit is likely to impact growth

Though near term earnings of Kaveri are under pressure, we remain positive on the company as the stock is at an attractive price given that valuations are near Mean P/E-1 SD.

kaveri seeds shares, mutual fund, kaveri seeds stocks, kaveri seeds profit, kaveri seeds revenue News

Agriculture crisis: Kharif sowing suffers 12.5% fall

Rural inflation<rural wage growth: We note the monthly spread between rural inflation and rural wages is expanding, indicating higher ‘real’ income growth.

Agriculture crisis, Kharif, Kharif crop, Kharif sowing, Primary sales, fertilisers News

Analyst corner | Maintain ‘add’ on Cholamandalam with target price of Rs 305

There is a behavioural shift in the buying behaviour of customers. New vehicles are now typically sold in the fourth/fifth year compared with sixth year earlier.

Cholamandalam, Cholamandalam targe price, Cholamandalam Investment and Finance Company, vehicle financing News

Microfinance companies expand reach; Bengal, Tamil Nadu most penetrated

West Bengal, TN are most penetrated; Bandhan and CreditAccess offer good prospects.

Banking & Finance News

Jubilant Foodworks: ‘Buy’ with target price of Rs 1,600

JUBI has introduced the new store for-mat at three stores in Bengaluru

cash, liquidity, digital payment, digital india, digital transaction, RBI News

Tata Steel: ‘Sell’ with target price of Rs 411 per share

Tata Steel has entered into a long-term build-own-operate (BOO) agreement with Aarti Green Tech Limited.

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