Analyst corner | IndusInd Bank: Maintain ‘Buy’, target price at Rs 1,775

Operationally, growth can be a near-term challenge, but with the rate cycle reversing, margin clearly looks to have bottomed out for IIB. With 110/85bps credit costs, flat margins and lower corporate fee intensity, we expect

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Stock corner: ‘Neutral’ on TCS, growth in Q1 came as a disappointment

TCS moderated its commentary on growth and is now hinting at sustaining double-digit growth vs acceleration earlier. We continue to expect 9% CC revenue growth for FY20F.

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Stock corner: ‘Buy’ Zee Entertainment Enterprises, cash flow was nominal in FY19

Despite estimates of 12/11% ad/subscription growth in FY20F, near-term growth is expected to be weak due to FMCG slowdown and new tariff order; ‘Buy’ retained

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Stock corner: ‘Buy’ Bank of Baroda shares, merger impact on net worth met estimate

BOB has taken a hit of Rs 70 bn of net worth which is broadly in line with what management had indicated.

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H1B visa: US may not go in for quotas yet — here’s why

This is likely to impact companies under our coverage given their higher dependence on H-1B visas. As per USCIS data for FY16/17, India accounted for 62-63% of the approved H-1B petitions for initial employment, 80-81% for co

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H-1B visa: Probability of cap low in the near term

In what has been widely viewed as a retaliatory measure, the US plans to impose a 10-15% cap on the annual quota of 85k H-1B visas on countries with a data localisation policy.

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Analyst Corner: Auto wholesale volume likely to fall sharply in June

Given the challenging environment, there exists downside risk to our FY20 estimates across all auto segments.

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LPC debt could rise on JB Chemicals acquisition

The prominent deals include Torrent Pharma’s acquisition of Unichem and Elder Pharma brands in India, acquisition of UCB’s brands by Dr Reddy’s and acquisition of Stride Pharma’s brand by Eris Lifesciences.

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Stock corner: Cutting Fortis target price to Rs 159 on lower EBITDA estimate – Nomura

The previous fiscal was challenging for FORH, with uncertainties surrounding ownership and tight liquidity conditions. FORH’s hospital business recorded an EBITDA decline of 33% in FY19.

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Stock corner: ‘Reduce’ Ceat shares, margins likely to be subdued in near term

Demand recovery, market share gains are critical; rising net debt/equity and low RoCEs make valuation dear; ‘Reduce’ maintained.

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Analyst Corner: Expect 11 pct volume growth for Shree Cement, TP Rs 21,500

SRCM has now shifted focus on improving realisation (vs volume growth earlier). While it is adding 5.5mtpa new cement capacity in east India, it may be constrained by clinker capacity.

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Stock corner: ‘Buy’ Apollo Hospitals, FY19 marked a turnaround for the company

Expansions in new hospitals and AHLL, price controls by the GoI, slow volume growth and low pricing power were the key drags.

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PNC Infratech enters strong phase of revenue growth

PNCL has been awarded arbitration claims of Rs 1.4 bn against the National Highway Authority of India (NHAI) and Rs 0.31bn from a state road project.

PNCL has been awarded arbitration claims of Rs 1.4 bn against the National Highway Authority of India (NHAI) and Rs 0.31bn from a state road project. (Representative image) News

Mahindra Rating | Buy — Quarter results were ahead of estimates

FY20/21F EPS down 6/8% on lower EBITDA and higher capex/investment; TP cut to `827; valuations attractive

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JSW Steel Rating | Buy — Showing beat Street figures on all counts

Q4 saw market share gain for company; Q1FY20F is expected to be relatively stable; ‘Buy’ maintained

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Stock corner: Long term story of Cropmton Greaves Consumer Electricals’ unchanged; TP fixed at Rs 300

Revenue at Rs 3.4 billion (up 1% y-o-y, 7% q-o-q) was in line.

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Bajaj Auto: Q4 was in keeping with expectation

It said 3W demand is likely to remain tepid in the near term due to a slowdown in India and Egypt.

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Analyst corner | Amara Raja: Margins to improve to 15.7% in FY20

Revenues were lower y-o-y due to a 13% y-o-y decline in lead prices that was passed on in all segments ex-Replacement. Given the slower OEM growth, we think Replacement 4W battery volume may slow to 6% y-o-y in FY21 from 10%

Amara Raja: Margins to improve to 15.7% in FY20 News

ICICI Bank Rating: Buy; Q4 was in line for estimates operationally

PPoP trend is improving; RoEs of 15.5/16.2% likely by FY21/22F; TP up to Rs 500; one of top picks in the sector.

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Max Financial Rating| Buy — Valuations are factoring in binary risks

TP raised to Rs 550 from Rs 492 on rollover to Mar’21F and improving business mix

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Drug major Lupin finds itself muddled with regulatory issues; here are some key concerns

The warning letter highlighted deficiencies in the investigation of OOS results and hold time studies.

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Ujjivan Financial Services: Analyst sees higher execution risks

Nitin Chugh, Head of Digital Banking at HDFC Bank, is likely to be the new CEO of Ujjivan.

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Crompton Greaves Rating | Earnings revival likely to lead to a re-rating

Undemanding valuations; upgraded to ‘Buy’ with TP rising to Rs 300 from Rs 266.

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Havells India Ratings | Neutral — Prospects are exciting in key segments

Sharp outperformance over past year means most positives are priced in; TP up to Rs 750 even as stock is downgraded to ‘Neutral’.

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Lupin Ratings| Buy — USFDA move raises concern on capabilities

Event to have a negative impact; TP and earnings under review; ‘Buy’ retained

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Stock Call: ‘Neutral’ on Adani Ports and SEZ, target price Rs 380: FY22 outlook postive

Higher volume growth is expected to ensure market share gains; FCF pegged at Rs 50 bn by FY22; ‘Neutral’ retained with TP of Rs 380

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‘Neutral’ on Tata Motors: Healthy growth for JLR’s US sales in February

Retail sales up 29% y-o-y in country; while stock is trading at lower end of its range, rerating is unlikely; ‘Neutral’ maintained.

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