Research Reports

11-Oct-24

Tata Consultancy Services (NOT RATED): BSNL margin pain pops up

1.1% CC QoQ revenue growth was in line. Margin pain of BSNL order, not visible thus far, showed up

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07-Oct-24

Marico (HOLD): Marico Bangladesh operationally fine; 2QFY25 miss

MB’s 1QFY25 DPS is paid out, bringing trailing 12M payout ratio to 76%. Two cash repatriations were executed within a 30-day period

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03-Oct-24

Dabur India (BUY): 2QFY25 sales, EBITDA miss – Est sales rural +2%, urban -16%

Sales and EBITDA miss on 2QFY25. Estimated sales miss of 11% and EBITDA miss of 25%

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27-Sep-24

Accenture (NOT RATED): Guidance conservative if macro holds up

1.5% LC organic revenue growth at the midpoint FY25 (YE August) is conservative if the US soft landing plays out.

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26-Sep-24

Marico (SELL): The Remittance Test: Dividend payout from Marico Bangladesh

Marico Bangladesh’s 1QFY25 DPS of BDT100 was recorded on 25 Aug’24. This equates to ~30% of MB’s cash/share on balance sheet

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25-Sep-24

Accenture (NOT RATED): A peek into FY26 prospects for Indian players

We see downside risk to current Accenture’s consensus organic growth estimate of 3.5% for FY25. Assuming 2% inorganic.

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23-Sep-24

Polycab India (HOLD): Management meet takeaways – Steady growth on the horizon

W&C on robust growth trajectory, fueled by government infrastructure investments & rising real estate demand; 2HFY25 to exceed 1HFY25

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16-Sep-24

Tata Consumer Products (BUY): Meeting with management – Medium- to long-term targets intact

Medium- to long-term growth prospects remain intact with TCPL targeting double-digit topline growth driven by growth businesses

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04-Sep-24

Havells India (HOLD): Strategic capacity expansion to propel growth

Wires & cables accounted for 34% of HAVL’s FY24 revenue, with capacity expansion to increase from 3.29mn km to 4.58mn km by 2026

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02-Sep-24

Gujarat State Petronet (HOLD): Reorganisation to unlock investment value; maintain HOLD

GSPL stock’s driver to be value of GUJGA and GTL post transaction with a specified swap ratio of 10+3.33 to 13 shares

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30-Aug-24

Marico (SELL): Cash repatriation debate is building up in Bangladesh

Similar to Marico, Indian power companies along with global MNCs are facing increased challenges in cash transfers from Bangladesh

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30-Aug-24

Hindustan Unilever (BUY): Management meeting: Mid/long term prospects remain positive

Volumes were subdued for the past couple of years but trends are improving

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29-Aug-24

Reliance Industries (BUY): Key takeaways from the FY24 AGM

Key positives include announcement of bonus issue, high-growth targets for consumer business, and comfort in working with deep-tech

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29-Aug-24

HCL Technologies (NOT RATED): Wants to deliver industry leading TSR in the future too

Did not change its near-term commentary while being bullish on the medium-term outlook

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23-Aug-24

MOIL (NOT RATED): Marathon run ahead after a sprint in FY24

With moderation of prices, production growth is likely to be the main driver

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17-Aug-24

IRM Energy (NOT RATED): Management meet takeaways – Focus on volume continues

Q1 EBITDA recovered 34% sequentially on recovery in EBITDA margin, but still 28% lower YoY on higher opex

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16-Aug-24

Voltas (HOLD): Strong revenue – UCP leads; EMP turns around

Topline surged 46.5% YoY in Q1; EBITDA margin expanded 310bps YoY, boosted by nationwide heatwave

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15-Aug-24

Marico (SELL): Back in play, but exposure is high and cash remains stuck. Sell

Marico Bangladesh (MB) facility has resumed operations at its usual run rate. Bulk of the sales and distribution team is back to work

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15-Aug-24

Hero Motocorp (HOLD): Gaining momentum; pace likely to accelerate. Maintain HOLD

Q1 revenue grew by ~16% YoY to Rs 101.4bn, driven by strong volume gains of ~14% YoY and realisations gains of 2% YoY

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13-Aug-24

VST Tillers Tractors (SELL): Weakness persists; downgrade to SELL

Q1 revenue fell ~23% YoY to Rs 1.9bn, dragged by lower volume at 7.38k units and down by ~30% YoY due to weak overall activity

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13-Aug-24

Cera Sanitaryware (SELL): Another lacklustre quarter on soft demand

Dull Q1 due to weak demand environment on account of the extreme heatwave and impact of general elections across India

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12-Aug-24

Star Cement (HOLD): Weak quarter; but performance to improve in medium term

Revenue stayed flat as volume fell marginally, and realisations remained flat YoY/QoQ at Rs 6,508/t

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12-Aug-24

JSW Steel (HOLD): Access to prime coking coal in Australia at an attractive price

JSTL acquired access to Illawarra prime hard coking coal, equivalent to 7-9% of its hard coking coal requirements today for the next 14 years

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12-Aug-24

Hindware Home Innovation (BUY): Dismal quarter on muted demand and sales force rationalisation

Dull Q1 on weak bathware performance due to muted demand environment and impact of sales force rationalisation

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10-Aug-24

Gujarat State Petronet (HOLD): Transmission volume pick up not value accretive

Q1 EBITDA was in line with consensus. Factoring in beat to our Q1 estimate and gas consumption pick up, we raise our FY25-26 estimates

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10-Aug-24

SAIL (SELL): Discount to peers is not unjustified

While SAIL clocked sequential improvement in 1Q, the performance fell short of consensus and our expectations

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09-Aug-24

Astral (HOLD): Weak quarter; guidance downgrade across segment

Strong pipe volume growth of 16.4% YoY in Q1FY25, but still lags closest peer SI for the tenth straight quarter

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09-Aug-24

Eicher Motors (HOLD): Steady performance; new launches to drive growth momentum

Q1 revenue increased ~9% YoY to Rs 42.3bn, driven by realisation gains of 9.3% YoY to Rs 187.2k per motorcycle

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08-Aug-24

Godrej Consumer Products (HOLD): Sales miss but margin beat

GCPL missed on sales and EBITDA but business is commoditised and volume growth was in line with high single digits guidance

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08-Aug-24

Reliance Industries (BUY): Quick pointers from FY24 Annual Report

Retail market share at ~3.5% and targeting growth rate double that of market; Digital Services positioned to lead in FWAs and 5G

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07-Aug-24

Shree Cement (HOLD): Performance weak though current valuations capture the same

Realisation dent drags revenue growth by 3%5% in Q1FY25, partially offset by healthy volume growth of 8%/1% YoY/QoQ

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07-Aug-24

Century Plyboards (HOLD): Near-term pain to persist; positive medium-term outlook

CPBI’s topline came broadly in line; EBITDA sharply missed our estimates in Q1 due to loss incurred on newly commissioned AP units

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07-Aug-24

Blue Star (BUY): Strong quarter; outlook bright

Topline jumps 28.7% in Q1, with gross margin rising 140bps and EBITDA margin 180bps

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07-Aug-24

TVS Motor (HOLD): No challenges in performance; valuations gain pace

Q1 revenue increased by 16% YoY driven by volume growth of 14.1% YoY to ~1.1mn units

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06-Aug-24

Orient Cement (SELL): No major performance triggers; valuations stretched

Q1 reported revenue declined 16% YoY to Rs 1.35mn/t, impacted by ~15% YoY fall in volumes

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06-Aug-24

Marico (SELL): Downgrade to SELL on Bangladesh – 22% EBITDA contribution

Marico Bangladesh (MB), operating in Household and Personal Care, accounts for 11% of MRCO’s consolidated sales

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06-Aug-24

Syrma SGS (HOLD): Robust revenue; drag on margins apparent

Strong Q1 topline growth was offset by GM contraction due to higher RM costs; dip in EBITDA margin caused by unfavourable product mix

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06-Aug-24

Marico (HOLD): Focus on long term

Compared to consensus, sales were in line and EBITDA 1% higher. Volumes were +4%, an acceleration vs +2% in the Mar’24 quarter

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06-Aug-24

Britannia Industries (BUY): Leading by example – Topline focus amidst macro tailwinds

Sales were 2% higher, EBITDA 3% lower vs Bloomberg consensus. Volumes +8% along with rise in both EBITDA margins and A&P

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05-Aug-24

State Bank Of India (BUY): Strong performance aided by operational efficiencies

PAT declined on subdued topline and higher credit cost, while operational efficiency offset some of its adverse impact

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03-Aug-24

JK Lakshmi Cement (SELL): Changed dynamics lead to challenges; maintain SELL

Q1 revenue fell 11.5% YoY on the back of low volume growth, down 8%, and weak realisations that fell by 4.6% YoY

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03-Aug-24

Zydus Wellness (HOLD): 1QFY25 result review: Risk from La Nina

Sales (+20%) were 7% higher on heatwave but EBITDA was in line with Bloomberg consensus. We forecast +13% sales growth in FY25

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03-Aug-24

Prince Pipes & Fittings (BUY): In-line Q1; focus on market share gain and better cash flow

PRINCPIP’s Q1 result came broadly in line with our estimate; gained market share even after tightening credit period in Q1

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03-Aug-24

Somany Ceramics (BUY): Near-term pain, medium-term outlook positive

Misses our revenue/EBITDA estimate by 2%/8% mainly due to lower-than-expected tiles volume

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03-Aug-24

Escorts Kubota (SELL): Weakness persists, maintain SELL

Q1 tractors volume dipped 3.2% YoY as weakness persisted in export markets and domestic market lost market share

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03-Aug-24

Maruti Suzuki (HOLD): Healthy show continues; maintain HOLD on elevated valuations

Q1 revenue grew 10% YoY driven by demand in SUVs and realisations which improved 5%/4% YoY/QoQ

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02-Aug-24

Mahindra & Mahindra (BUY): Healthy performance to continue; upgrade to BUY

Automotive segment grew by ~14% YoY and tractor volume an encouraging 5% YoY in a dull quarter

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02-Aug-24

Orient Electric (HOLD): Modest quarter; Hyderabad facility gears up for growth

Modest 7% topline growth with 240bps gross margin boost; EBITDA hit by rising staff costs

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02-Aug-24

Ambuja Cements (HOLD): Weak present but promising future; retain HOLD

Volume-driven revenue growth as realisation weakens by 6.5% YoY owing to weak demand in key markets

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02-Aug-24

ITC (BUY): 1QFY25 earnings review

Hotels and Agri segments drove sales with subdued performances in FMCG and cigarettes

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02-Aug-24

Tata Steel (HOLD): Project delivery and transition to support earnings growth

Q1 results confirmed a rebound in Netherlands for recovery from losses in Europe and stable profitability in India operations

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02-Aug-24

Dabur India (BUY): Rural recovery, potential upside from intense/extended winters

1QFY25 underlying result was broadly in line with consensus with in-line sales but 1% lower EBITDA and EPS

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01-Aug-24

ACC (HOLD): 1Q below expectations, but leaves room for improvement

Q1FY25 revenue stayed flat YoY as 8.5% uptick in volume was offset by realisation drop of 8.3%

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01-Aug-24

Birlasoft (NOT RATED): Among the weakest performers this quarter

Big miss on revenue and margins. Significant shifts in cost items on a QoQ basis help prevent collapse in margins

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01-Aug-24

Indian Oil Corp (SELL): Visibility on growth delivery low, downgrade to SELL

IOCL’s Q1 reflected weaker core refining margin and impact of LPG under-recovery, although it had healthy fuel marketing margins

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01-Aug-24

Crompton Greaves (BUY): Strong quarter; healthy outlook

Strong Q1 topline from higher fan, B2B lighting and pump sales, and GM expansion of 110bps driven by strategic pricing actions

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31-Jul-24

Greenply Industries (HOLD): Strong Q1; upbeat outlook in a challenging environment

Strong Q1 due to better-than-expected plywood volume and sharp improvement in MDF segment margin on better product mix

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31-Jul-24

IDFC First Bank (BUY): Business performance in line with guidance

Management maintained its strong business growth target with major focus on operational leverage to improve return, C/I Ratio <65% by 2027

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31-Jul-24

Hindustan Petroleum Corp (BUY): Growth delivery remains on track, maintain BUY

Q1 results was below consensus. However, underlying margins show benefit of progress at Vizag and healthy fuel margins

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31-Jul-24

Tata Consumer Products (BUY): 1QFY25 results review – Above expectations

TATACONS reported sales and EBITDA beat on improved margins in the unbranded business and M&A

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31-Jul-24

Dixon Technologies (BUY): Beats estimates; mobile dials growth

Q1 revenue jumped 101% YoY, driven by mobile and EMS growth; EBITDA margin slid 20bps on input cost hike

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30-Jul-24

Greenpanel Industries (HOLD): Dismal Q1; MDF margin bottoms out, but recovery to take time

Sharp contraction in GREENP EBITDA (-45% YoY) for seventh straight quarter on supply overhang in MDF industry and rising timber prices

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30-Jul-24

KEI Industries (HOLD): In-line quarter; guidance retained

KEII’s Q1 revenue jumped 16% YoY with 40bps EBITDA margin expansion, and driven by robust infrastructure and real estate demand

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30-Jul-24

Apollo Pipes (HOLD): Weak Q1FY25; return ratio to remain weak over medium term

Weak Q1FY25 as APOLP continued to lose market share even after selling its products at a discount to its peers

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29-Jul-24

Canara Bank (BUY): Despite seasonality performance remained almost stable

Stable business growth coupled with change in credit mix likely aided margin. CBK targets NIM of 2.9-3.0% and opex of 47% over FY25

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29-Jul-24

Finolex Industries (HOLD): Mixed Q1FY25; market share loss on capacity constraints

Topline miss driven by market share loss in pipe segment on capacity constraints; EBITDA beat on improved pipe margin

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29-Jul-24

Bandhan Bank (BUY): Strong business growth across segments aided PAT growth

Strong business growth despite seasonality led healthy NII growth, while lower provision on high base aided PAT growth of 47% YoY

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29-Jul-24

ICICI Bank (HOLD): Modest business; other income increases aid PAT

Moderate business growth led to subdued NII (2%/7% QoQ/YoY), while PAT grew 3%/15% QoQ/YoY aided by higher other income (24% QoQ)

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29-Jul-24

IndusInd Bank (BUY): Stable performance

Business growth moderate on seasonality with credit/deposit growth of 15%16% YoY vs. target 18-23% (guidance intact) leading to flat QoQ NII

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29-Jul-24

Mphasis (NOT RATED): Weak quarter but bullish commentary

Weak quarter despite talk of BFSI bottoming out. Significant TCV uptick QoQ from a very weak base. Much discussion on expanded pipelines

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27-Jul-24

Amber Enterprises (HOLD): Strong quarter; margin expansion sustainable

Q1 sees 41% YoY topline growth and 140bps EBITDA margin expansion from improved product mix

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27-Jul-24

Indraprastha Gas (HOLD): Getting back on track but needs time; downgrade to HOLD

IGL’s Q1 recovery was ahead of our forecasts with a sharper reduction in gas purchase costs partly due to opportune use of cheaper spot gas

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27-Jul-24

Mahanagar Gas (HOLD): Recent run-up raises bar on growth, downgrade to HOLD

MAHGL breaks out of modest growth history, clocking 12% YoY volume growth over past six months

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27-Jul-24

Ashok Leyland (BUY): Good show in a challenging quarter; retain BUY

Q1FY25 revenue grew 5% YoY to Rs 85.9bn, despite a challenging quarter, aided by 6% volume growth

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26-Jul-24

Federal Bank (BUY): Higher other income supports PAT growth

Continued strong (20% YoY) business growth momentum; NII/PAT grew 20%/18% YoY on higher other income and lower opex

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26-Jul-24

Axis Bank (HOLD): Moderate business growth; higher provision dragged PAT

Seasonally weak quarter with moderate business growth coupled with higher stress dragged profitability. PAT declined 15% QoQ, up 4% YoY

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26-Jul-24

Tech Mahindra (NOT RATED): On track with its FY27 objectives

1QFY25 was broadly along expected lines and the first positive but modest step in achieving its FY27 objectives

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26-Jul-24

The Ramco Cements (SELL): Challenges resurface; downgrade to SELL

Q1 revenue showed degrowth of 7% due to weak volume growth amid extreme weather and elections; pricing pressures affected realisations

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25-Jul-24

Nestle India (HOLD): Weak sales growth profile over the next 12 months

Compared to Bloomberg consensus, NEST’s sales were 6% lower and EBITDA 10% lower

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25-Jul-24

V-Guard Industries (HOLD): Summer products drive revenue

Q1 saw a 22% YoY increase in topline, driven by CD and Electronics, fuelled by nationwide demand for cooling products amid a heatwave

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25-Jul-24

Petronet LNG (SELL): Volume growth ahead but watch for downside factors

Q1 underlying EBITDA was up 19% QoQ on 12% volume growth and Rs 0.6bn of trading gain

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25-Jul-24

Jindal Steel & Power (HOLD): Expansion to deliver material growth even after delays

Q1 result was ahead of consensus. Company announced another 6-9 months delay of Angul expansion project

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24-Jul-24

Greenlam Industries (HOLD): Soft quarter; margin pressure to persist in near future

Weak Q1 on sharp margin compression in laminate segment and slow ramp-up of plywood and veneer segments

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24-Jul-24

Coforge (NOT RATED): CEO indicates demand bottoming out. Tepid recovery

CEO believes demand has bottomed out. Industry demand commentary turns positive for the first time in the current cycle

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24-Jul-24

Zensar Technologies (NOT RATED): Starts FY25 well on revenue. But challenges ahead?

1Q growth was better than expected though margins were weak because of one-off client bankruptcy

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24-Jul-24

Hindustan Unilever (BUY): Sales growth in line; expect rebound in 2H

Sales growth of 2% YoY was in line with Bloomberg consensus. Underlying volumes rose 4% on Home Care & Personal Care (Hair Care)

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23-Jul-24

Kajaria Ceramics (HOLD): In-line Q1; downgrade to HOLD on expensive valuations

Q1 operating profit came broadly in line with our estimates, but missed our APAT estimate by 11.5% on lower other income and higher tax rate

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23-Jul-24

RBL Bank (BUY): Healthy loan growth, stable asset quality; maintain BUY

Healthy loan growth led NII to grow 6%20% QoQ/YoY. Lower provision aided PAT growth of 5%/29% QoQ/YoY

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23-Jul-24

Kotak Mahindra Bank (BUY): Healthy business despite higher CoF/provision dragging PAT

Healthy credit growth driven by corporate; deposits remained muted due to slowdown in low-cost deposit mobilisation

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23-Jul-24

JK Cement (HOLD): Valuations run up faster than earnings; downgrade to HOLD

Grey cement volumes at 4.3mt (excluding clinker volumes) grew by ~6% YoY (-7% QoQ) owing to listless demand

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22-Jul-24

Supreme Industries (HOLD): Misses estimates on destocking of pipe channel inventory

Q1 misses our estimates on lower-than-expected pipe performance due to destocking of pipe inventories in the channel in the month of Jun’24

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22-Jul-24

JSW Steel (HOLD): Higher volume growth is priced in

Q1 EBITDA was below consensus and down sequentially on lower volumes and flat margins despite lower coking coal costs

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21-Jul-24

HDFC Bank (BUY): Continued focus on business realignment impedes growth

NII growth remained healthy, while fall in other income was offset by lower opex, provision, and adj PAT. NIM increased 3bps QoQ to 3.7%

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21-Jul-24

Bharat Petroleum Corp (HOLD): Growth hiatus, downgrade to HOLD

Q1 normalisation in line with consensus. Underlying fuel margin surprised on upside. Timing of compensation for LPG loss uncertain

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20-Jul-24

Ultratech Cement (BUY): Firmly on growth path; maintain BUY

Higher single digit volume growth with 80%+ capacity utilisation aids UTCEM’s revenue growth despite realisation dent in a challenging Q1

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20-Jul-24

Reliance Industries (BUY): Structural position to tide over near-term hiccups

RIL missed consensus; while slowdown was anticipated in Retail and O2C, the extent was bit higher

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20-Jul-24

Wipro (NOT RATED): Disappointing outlier

Underwhelming 1Q revenue performance and 2Q guidance. Cautious demand commentary compared to peers

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20-Jul-24

Dalmia Bharat (HOLD): Growth setback in the shorter term; downgrade to HOLD

Volume growth takes a back seat as focus shifts to tackling steep fall in realisation, which leads to flat revenue growth. EBITDA up by 10%

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19-Jul-24

Persistent Systems (NOT RATED): Worry around true underlying margin

Good revenue growth QoQ. Partly helped by passthrough items and delivery shift to onsite

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19-Jul-24

Polycab India (HOLD): Decent quarter across; eyes on project LEAP revisions

Revenue growth reasonable at 21% YoY, but EBITDA margin falls on lower exports and change in business mix

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19-Jul-24

Infosys (NOT RATED): Better-than-expected showing

Revenue comes in 100bps higher than expected as US BFS surprised positively. INFO sees volume growth for the first time in many quarters

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18-Jul-24

Havells India (HOLD): Capacity expansion fuels growth

Robust 20% topline growth with a 160bps EBITDA margin expansion in Q1, despite ongoing raw material price volatility

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18-Jul-24

LTIMindtree (NOT RATED): Current momentum could put FY25 growth a bit ahead of FY24

Better-than-expected revenue growth in 1QFY25. Indicates growth momentum to sustain in 2QFY25. Did not offer its view on 2HFY25

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17-Jul-24

Bajaj Auto (HOLD): Driving a strong path with favourable portfolio mix

BJAUT’s Q1FY25 revenue jumped 16% YoY (4% QoQ) to Rs 119bn aided by volume growth of 7% and favourable mix aiding faster growth

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13-Jul-24

HCL Technologies (NOT RATED): 1QFY25 broadly in line. No material change in demand

1QFY25 revenue and margins were broadly along expected lines. Full-year revenue and growth guidance maintained

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12-Jul-24

Tata Consultancy Services (NOT RATED): Modest growth improvement in FY25 over FY24 likely

Results were better than expected, more so on margins. Broad-based growth seen. However, international growth was much weaker

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08-Jul-24

Marico (HOLD): Business update – Distributor response to Project SETU

Marico noted continued improving demand trend with likely further acceleration through FY25. Volume trend improved despite destocking

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08-Jul-24

Dabur India (BUY): 1QFY25 business update – Slightly improving domestic demand

Dabur’s 1QFY25 business update showed improving trends in sales (+MSD to HSD) and earnings growth slightly ahead of sales

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04-Jul-24

Patanjali Foods (NOT RATED): Home and Personal Care – Rising competition on the horizon

Patanjali Foods acquired Patanjali Ayurved’s HPC business for Rs 11bn. It expects to close the transaction by 15 Aug 2024

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01-Jul-24

Polycab India (HOLD): Annual report analysis – Maintained market leadership

Remains market leader in core wires & cables business; market share expanded 2-3% to reach 25-26% of India’s organised market in FY24

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28-Jun-24

Reliance Industries (BUY): Jio delivers on tariff hike; reiterate BUY

Jio delivers on our expectation of a tariff increase a quarter earlier. We now factor in 9%/11% tariff hikes over FY25/FY26

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24-Jun-24

Canara Bank (BUY): Consistent recovery in business performance

Stable business growth coupled with change in credit mix likely to aid margin. CBK targets NIM of 2.9-3.0% and opex of 47% over FY25

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21-Jun-24

Mahindra & Mahindra (HOLD): Investor day takeaways – Poised to tap growth opportunities

Shifts gears to tap auto segment growth with planned capex to increase capacity by 3.5x in FY26 (vs FY20) with focus on SUVs (ICE + EV)

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21-Jun-24

Voltas (HOLD): Annual report analysis – Beko to fuel growth

Despite denting market share, VOLT notched sales of more than 2mn AC units

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14-Jun-24

Cipla (HOLD): Valuations fully priced in; downgrade to HOLD

Strong traction in North America business and consistent performance in One-India; South Africa and Global Access business stabilising

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13-Jun-24

360 One (HOLD): ET Money acquisition – beneficial in long term

360 One acquired ET Money for a total payment of Rs 3.7bn, partially paid in cash and partly through shares

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05-Jun-24

Havells India (HOLD): Annual report analysis – Product innovation driving growth

Healthy FY24 performance; EBITDA margin expansion of 40bps YoY; Lloyd turns profitable in Q4

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01-Jun-24

Tata Steel (HOLD): Stock price largely captures transition; downgrade to HOLD

Q4 results ahead of consensus on beat in India operations and lower losses in Europe partly due to carbon credits in the UK

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29-May-24

Alkem Labs (SELL): Misses estimates; steep sequential margin decline

ALKEM reported a weak fourth quarter with EBITDA/PAT missing Bloomberg consensus by 9%/16% to Rs 4.0bn/2.9bn

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29-May-24

Hindware Home Innovation (BUY): In-line quarter; upbeat outlook across segments

Beat our EBITDA estimate by 4.5% mainly due to better-than-expected plastic pipe sales volume

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29-May-24

Greenlam Industries (HOLD): Soft quarter; particleboard project cost revised up again

Missed our EBITDA estimates by 4% for Q4FY24 on weak laminates demand from export market

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29-May-24

JK Lakshmi Cement (SELL): Margins gain, volume flat; no major respite, retain SELL

Q4 volumes fell 5% YoY as capacity constraints restricted volume even to cater to steady demand; realisations flat YoY despite weak volumes

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28-May-24

LIC (BUY): Decent quarter; upgrade to BUY

APE and net premium grew 11% and 16% YoY respectively in Q4; EV grew 25% YoY in FY24

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27-May-24

Century Plyboards (HOLD): In-line quarter; weak near-term outlook

CPBI’s Q4 broadly in line; EBITDA fell by 9.4% YoY in Q4 due to weak performance across segments

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27-May-24

Aurobindo Pharma (HOLD): Strong quarter; OAI at Eugia-III an overhang

ARBP reported strong Q4 with EBITDA/Adj. PAT beat of 10%/23%. Exceptional expense of Rs 1.2bn reduced reported PAT beat to 8%

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25-May-24

Star Cement (HOLD): Steady show in a trying quarter; growth intact

Steady 11% growth in a challenging quarter assisted by 12% YoY volume increase; realisations softens

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25-May-24

Divi's Labs (SELL): Strong quarter; rich valuations

DIVI delivered a strong quarter with all round beat. EBITDA/PAT beat Bloomberg consensus estimate by 20% each

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25-May-24

Petronet LNG (SELL): Volume growth visibility still low, downgrade to SELL

Q4 EBITDA missed consensus on provisions for delayed TOP recovery and inventory loss; provisions to muddle EBITDA reporting till FY26

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25-May-24

Ashok Leyland (BUY): Healthy show, all set to continue momentum; retain BUY

Healthy base keeps revenue growth listless in Q4, strong growth of 22% QoQ; volume grew a sturdy ~20% YoY/QoQ

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23-May-24

The Ramco Cements (HOLD): Steady quarter, aggressive capex plans; upgrade to HOLD

Q4 revenue growth muted at 4% YoY as weak demand in key operating regions continues; pricing pressure dampens realisations

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23-May-24

Sun Pharma (HOLD): Gearing for higher R&D spend

SUNP missed consensus EBITDA estimate by 4% as higher R&D spend offset gross margin gains; higher other income & low tax aided PAT

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22-May-24

Shree Cement (HOLD): Cost savings key driver of performance; valuations pricey

Q4 revenue growth of 7% YoY backed entirely by steady 7% volume as realisations stay listless

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22-May-24

Greenply Industries (BUY): Misses estimate on weak plywood margin; upbeat outlook

MTLM missed our EBITDA estimate by 16% in Q4 on sharper-than-expected contraction in plywood margin on high timber prices

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22-May-24

Eris Lifesciences (BUY): Strong revenue growth; integration ongoing

ERIS posted strong revenue performance in Q4 with a beat of 8%, but EBITDA came below BBG consensus due to higher opex and one-offs

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22-May-24

Bandhan Bank (BUY): In line with recovery plan

Healthy business growth, improved asset quality and higher other income supported topline; increased provision dragged PAT

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22-May-24

JK Cement (BUY): Focused on growth; earnings intact; upgrade to BUY

Q4 revenue grew 10% YoY to Rs 29.4bn as grey cement volumes gained 13% YoY/QoQ; realisation resilient YoY with 1% drop

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21-May-24

Astral (HOLD): Weak quarter, strong outlook

EBITDA miss by 6% compared to our estimate on continued weak performance of paints and adhesives segment

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21-May-24

Apollo Pipes (HOLD): Another disappointing quarter on all fronts

Weak Q4 performance on loss of market share due to rise in competitive intensity in the sector

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18-May-24

Mahindra & Mahindra (HOLD): Growth trajectory captured in the valuations

Q4 revenue grew 11% YoY, led by 7% blended realisation gains and 4% volume growth (flat QoQ)

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18-May-24

Amber Enterprises (SELL): Ongoing challenges; maintain SELL

Subdued Q4 topline with EBITDA margin expansion of 110bps on better product mix

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18-May-24

V-Guard Industries (HOLD): Early summer sparks a robust quarter

Q4 topline up 18% YoY, fuelled by Consumer Durables segment, as the early onset of summer boosts overall performance

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17-May-24

Prince Pipes & Fittings (HOLD): Mixed Q4FY24; positive demand outlook

Beats our revenue estimate by 3% on strong volume, but misses our EBITDA estimate by 6% on pricing pressure in the sector

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17-May-24

Eicher Motors (HOLD): Powering growth momentum with new launches

Q4 revenue grew ~9% YoY driven by realisations higher by 5% due to better product mix, and 4% volume growth

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16-May-24

Crompton Greaves (BUY): Healthy quarter, growth ahead

Q4 standalone topline growth ex-BGAL at 12% YoY in Q4, gross margin expanded 130bps and EBITDA margin 30bps ex-BGAL

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16-May-24

Dixon Technologies (BUY): Backward integration to fuel growth; maintain BUY

Q4 revenue jumped 52% YoY, driven by mobile and EMS growth; EBITDA margin down 120bps on input cost hike

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15-May-24

VST Tillers Tractors (HOLD): Tepid performance; no major stress in the medium term

Q4 revenue down 15% YoY driven by 19% volume decline due to slower-than-estimated rural demand recovery

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15-May-24

Somany Ceramics (BUY): Strong show in a challenging environment

Beats our revenue/EBITDA estimate by 5%/14% due to better-than-expected tiles volume and improved margin

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15-May-24

Siemens India (BUY): Robust quarter, fresh capex announced

Topline growth strong at 18.4% in Q2, with gross margin expanding 100bps and EBITDAM 250bps YoY

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14-May-24

Escorts (SELL): Weakness persists and likely to continue – maintain SELL

Q4 tractor volumes dipped 14% YoY, with domestic share recovered but overall market share recovery weak as exports volume declined

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14-May-24

Indraprastha Gas (BUY): Growth focus improving, reiterate BUY

While Q4 EBITDA missed consensus on higher expense booking in a quarter, IGL gained traction in industrials, commercials and households

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14-May-24

Cera Sanitaryware (HOLD): Another lacklustre quarter on soft demand

Sharp contraction in gross margin in Q4FY24 on higher discounts offered to dealers to push volumes in a weak demand environment

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14-May-24

AIA Engineering (HOLD): Uneventful quarter; capacities lined up

Q4 revenue down 9.7% YoY with gross margin expanding 160bps and EBITDA margin 220bps

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13-May-24

ERRATA: State Bank Of India (BUY): Continued strong performance across segment

Strong PAT growth was led by one-off gain in other income and lower operational cost

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13-May-24

Finolex Industries (HOLD): Broadly in-line Q4FY24; positive outlook

Strong pipe performance in Q4FY24, driven by healthy volume growth of 23% YoY as well as sharp margin improvement

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13-May-24

Syrma SGS (HOLD): Strong topline, but margins remain subpar

Robust topline growth in Q4, but EBITDA margin dipped due to product mix

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13-May-24

TVS Motor (BUY): Cruising on the right track; maintain BUY

ICE 2-wheeler volume grew 18% YoY, supporting 24% revenue growth in Q4. FY24 growth was 19% YoY vs. industry’s 13%

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13-May-24

ABB India (HOLD): Margins swell; outlook strong

Strong topline growth of 27.8% with gross margin above 40% after 6 years; EBITDA margin expands 650bps YoY to 18.3% in Q1

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10-May-24

Polycab India (BUY): Strong quarter, strong outlook

Strong topline growth of 27.9% in FY24, with gross and EBIT margin expansion of 90bps and 70bps respectively

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10-May-24

Godrej Consumer Products (HOLD): Strong volume-led growth across markets

India business remains on strong footing; international markets too registered strong volume growth with improvement in margins

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10-May-24

Orient Electric (HOLD): Strong revenue; profitability falters

Healthy 20% topline growth with gross margin expansion of 250bps in Q4; EBITDA lower on EPR provisioning

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09-May-24

Hero Motocorp (HOLD): Healthy performance; await further clarity; maintain HOLD

Q4 revenue grew 15% YoY supported by double-digit volume gains YoY and realisation adding ~5%

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09-May-24

Alembic Pharma (HOLD): Strong margins; positives priced in

ALPM reported strong margin gains in Q4 on account of better utilisation of new facilities and traction in the US business

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09-May-24

Marico (BUY): Volume growth to pick up on improving demand scenario

Stable performance in domestic markets with consistent improvement in gross margins

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09-May-24

Kajaria Ceramics (BUY): Weak quarter on margin pressure, upbeat outlook

Q4 revenue/PAT short of our estimates by 3%/13% on intense competition from Morbi players in a weak demand environment

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09-May-24

HCL Technologies (HOLD): Weak guidance leads to subdued outlook

Revenue growth guidance of 3-5% for FY25, likely to be similar to FY24

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09-May-24

Dr Reddy's Labs (HOLD): Driven by North America; India continues to underperform

DRRD reported largely in-line revenue/EBITDA, but higher tax aided in PAT beat

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08-May-24

Voltas (HOLD): Margins falter; domestic business promising

Healthy topline growth of 42.1% in Q4 as summer sets in, but EBITDA margin contracted 280bps in Q4 and 220bps in FY24

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08-May-24

Ambuja Cements (HOLD): Cost savings key driver; upside priced in, retain HOLD

Standalone Q4 revenue grew 12% YoY backed by strong volume gains of 17%, partially offsetting weak realisations

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08-May-24

Lupin (HOLD): Stable margins; higher tax weighs on PAT

LPC delivered a healthy operational performance in Q4 with largely in-line revenue/PAT; higher tax impacted net profit

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08-May-24

KEC International (BUY): Good quarter, T&D to pull topline and margins; upgrade to BUY

Strong quarter with highest quarterly revenues of Rs 61.6bn, +11.6% YoY; management guides for 15% revenue growth in FY25

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08-May-24

Britannia Industries (BUY): Expect strong volume growth ahead

Subdued growth in Q4 and FY24; however, volume recovery seen in second half of FY25

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08-May-24

Mphasis (HOLD): Modest growth; BFSI yet to pick up

Regional banks and mortgages business will continue to draw down the overall BFSI segment

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07-May-24

Kotak Mahindra Bank (BUY): Healthy business growth; other income supports rise in PAT

Healthy business growth in Q4, deposits outpaced credit growth driven by TDs, NIIs remained modest while boost in other income aided PPOP

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07-May-24

Persistent Systems (HOLD): A discretionary push to drive the growth trajectory

Cost take-out projects and vendor consolidation to be the prime growth driver for PSYS in FY25

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04-May-24

ACC (HOLD): Healthy performance largely priced in; maintain HOLD

Q4 revenue growth of 13% YoY boosted by 22% uptick in volumes (unadjusted to MSA) while realisations moderated ~7%

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03-May-24

Dabur India (BUY): Steady performance during the quarter

Rural markets continue to grow ahead of urban owing to increased penetration and improved product portfolio

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03-May-24

KEI Industries (HOLD): Addressing capacity limitations; maintain HOLD

Q4 revenue jumps 19% YoY with 10bps EBITDA margin boost. FY24 revenue up 17%, driven by robust infrastructure and real estate demand

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03-May-24

Blue Star (BUY): UCP growth strong, margin outlook healthy

Topline growth of 21.4% achieved in FY24, with gross margin expanding 120bps and EBITDA margin 70bps

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03-May-24

Ajanta Pharma (BUY): Strong margins; growth momentum to continue

Strong quarter with EBITDA/PAT beat of 8% each, led by reduction in API prices, logistics costs and reduced intensity of US price erosion

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03-May-24

Orient Cement (SELL): Listless show; no major performance triggers

Q4 revenue growth subdued at 1% YoY as volumes stay flat YoY, guarding realisations a challenge

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02-May-24

Greenpanel Industries (HOLD): Dismal quarter; not out of the woods yet

Sharp contraction in operating profit (-33% YoY) for sixth consecutive quarter on supply overhang in MDF industry and higher timber prices

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02-May-24

ICICI Bank (HOLD): Higher operational efficiency/lower provision aid PAT

NII grew 2%/8% QoQ/YoY due to moderation in credit growth, while PAT grew 4%/17% QoQ /YoY supported by lower opex and provision

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30-Apr-24

Ultratech Cement (BUY): Strong growth; cost savings drive margins; maintain BUY

Strong volume gains of ~11% YoY push revenue growth of 9% even though realisation falls by 3.5%

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30-Apr-24

Havells India (HOLD): Healthy quarter; high valuations – downgrade to HOLD

Healthy 12% topline growth with EBITDA margin expansion of 90bps in Q4; though raw material prices have started inching up

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30-Apr-24

Gujarat State Petronet (HOLD): Downgrade to Hold, decoding HP Gas grid tariff order

Sharp tariff cut due to recognition of higher volumes, adjustment of past excess revenue and extension of pipeline’s economic life

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29-Apr-24

Indusind Bank (BUY): Stable performance

Healthy business growth supported by CFD aided 16% YoY rise in Q4 income, while higher opex led to flat PPOP (1% QoQ)

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29-Apr-24

Aditya Birla Sun Life AMC (HOLD): Better quarter

QAAUM grew 21% YoY to Rs 3.3tn in Q4 with equity assets rising even faster at 31%; however, market share declined

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29-Apr-24

SBI Card (HOLD): Trend of lower NIM, higher credit cost persists

Credit cost soared 50% YoY to Rs 9.4bn (7.9% of loans) in Q4; stress expected to continue in FY25 as well

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29-Apr-24

Axis Bank (HOLD): Moderate business growth; PAT supported by other income

NII growth remained subdued at 11% YoY on higher cost of funds in line with moderate business growth; credit/deposit grew 14%/13% YoY

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27-Apr-24

SBI Life (BUY): Expect market dominance to continue

FY24 APE growth strong at 17% YoY with ULIPs forming 60% of total; continues to lead the market with 23.3% share in individual APE

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27-Apr-24

UTI AMC (HOLD): Core profit in line; maintain HOLD

Q4 QAAUM grew 22% YoY to Rs 2.9tn, but equity and hybrid schemes combined saw sustained outflows

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27-Apr-24

Maruti Suzuki (HOLD): Steady performance, but steep valuations; downgrade to HOLD

Q4 volumes grew 13% YoY driven by healthy demand for SUVs; rural demand for lower-end segment shows no signs of revival

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27-Apr-24

Supreme Industries (HOLD): In-line Q4FY24; pipe volume guided to grow at healthy rate in FY25

Q4 broadly in line with our estimates as strong pipe volume offset the impact of weak pipe margin

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26-Apr-24

Hindustan Unilever (BUY): Subdued performance; expect gradual recovery

Volume growth remained at 2%; revenue growth flat owing to pricing action in key portfolios

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26-Apr-24

Bajaj Finance (BUY): Obstacles for a powerful player on a protracted journey

Rising cost of funds dent NIM; we factor in a further 43bps/13bps YoY decline in FY25/FY26

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26-Apr-24

Glenmark Life Sciences (HOLD): Weak quarter; maintain HOLD

Lower-than-expected 4Q due to Red Sea disruptions. EBITDA/PAT were 17% below consensus estimates

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26-Apr-24

Dalmia Bharat (BUY): Disappointments all over; but paving the way for growth

Q4 revenue grew at a steady 10% YoY supported by ~19% volume growth while realisations weakened 7% YoY/QoQ

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25-Apr-24

Nestle India (HOLD): Robust growth across portfolio

Strong growth witnessed across geographies driven by sustained growth in domestic markets and healthy double-digit growth in exports

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25-Apr-24

Reliance Industries (BUY): Aligned with India growth story through energy/consumer biz

Company delivered 26% EBITDA CAGR over FY21-FY24 clocking 29% CAGR in cyclical business and 22% in consumer businesses

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25-Apr-24

Infosys (HOLD): Muted performance; weak discretionary delays recovery

Cost optimisation/vendor consolidation to be the prime growth driver for Infosys in FY25

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25-Apr-24

Nippon Life India AMC (BUY): Onward and upward; upgrade to BUY

QAAUM growth robust at 47% YoY to Rs 4.3tn at end Q4 led by a strong equity segment (+63% YoY) constituting 49% of the total

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25-Apr-24

360 One (HOLD): Strong quarter, but price runup limits the upside

ARR AUM and ARR revenue grew 36% and 28% YoY respectively in Q4; strong commentary for growth in the medium term

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24-Apr-24

Tata Consumer Products (BUY): Strong performance in international markets

Growth businesses continue to maintain high growth trajectory; new acquisitions to fuel growth going ahead

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24-Apr-24

ICICI Prudential Life (HOLD): Strong growth but VNB margin dwindles

APE grew 10% YoY in Q4 (+5% YoY in FY24) beating our estimate; market share gain in individual APE is a key positive

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22-Apr-24

HDFC Bank (BUY): Realigning business dynamics in 4Q to improve profitability

Recovery in deposit mobilisation led to lower C/D ratio while better yield on asset helped NIM (R) stabilise; asset quality remains stable

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20-Apr-24

HDFC AMC (HOLD): Another robust quarter but rich valuation caps upside

Higher equity share drove strong overall QAAUM growth of 36% YoY in FY24; expansion in equity QAAUM market share a key positive

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19-Apr-24

Bajaj Auto (SELL): Spotless performance priced in by rich valuations

Q4 revenue grew 29% YoY backed by healthy domestic 2W volume growth and decent realisation gains. Export volume was steady

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18-Apr-24

HDFC Life (BUY): Subdued quarter

HDFC Life’s APE growth muted in FY24 despite traction in Tier-2/-3 cities; cut our estimates by 8% each for FY25/FY26

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16-Apr-24

Tata Consultancy Services (HOLD): Strong deal flow but near-term softness to continue

TCS gained market share through vendor consolidation/cost optimisation programmes

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28-Mar-24

Pricol (NOT RATED): Management meet note – Balancing margins and growth

PRICOL is a global-level manufacturer of instrument clusters and fuel-level sensors for 2/3W with ~70% of its revenue from cluster segment

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28-Mar-24

Dalmia Bharat (BUY): All set for healthy growth; upgrade to BUY

DBL gears up for healthy business growth backed by 20% clinker capacity addition by FY26 across its operations

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27-Mar-24

Jai Balaji Industries (NOT RATED): Management meet takeaways – Jai Balaji’s new avatar

JBIL turned around operations improving plant utilisation and efficiency, and restored its balance sheet by restructuring debt

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27-Mar-24

Crompton Greaves (BUY): Crompton 2.0 on track

ECD segment expected to do well on the back of a strong summer and fans premiumisation; solar pumps a big opportunity

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26-Mar-24

Prince Pipes & Fittings (HOLD): Faucetware acquisition to accelerate bathware growth engine

PRINCPIP acquired the faucetware brand Aquel and the manufacturing facility from Klaus Waren Fixtures for Rs 600mn

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21-Mar-24

Rushil Decor (NOT RATED): Management meet takeaways – Aggressive growth plan

RDL maintained its guidance of trebling revenue over the next five years by increasing its presence across wood panel segments

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20-Mar-24

ICICI Prudential Life (HOLD): Green shoots of growth

Individual APE market share grew to 10%/12.4% in Jan/Feb’24 from 8.7% in 9MFY24 – a positive surprise

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11-Mar-24

IDFC First Bank (BUY): Ambitious growth outlook

Management targets credit/deposit CAGR of 20%/25% over FY24-FY29; NIM to stabilise at current mark with upward bias (6.4% in Q3FY24)

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26-Feb-24

Greenlam Industries (HOLD): Management meet – Topline to strengthen post capex drive

Greenfield laminate plant in Andhra Pradesh to aid market share gains for GRLM in both export and domestic markets

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21-Feb-24

ABB India (HOLD): Ends the year on a high note

Healthy Q4 led by growth across segments; order inflows swelled 35% YoY and backlog held strong at Rs 84bn

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19-Feb-24

JK Lakshmi Cement (SELL): Volumes slow, headwinds continue – retain SELL

Q3 volumes grew only 2% YoY due to cold weather and construction halt in northern markets; realisations only steady despite weak volume

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16-Feb-24

IRM Energy (NOT RATED): Management meet takeaways – Volume growth potential

Potential to double volumes to close to 1mmscmd in FY25 and grow to 1.5mmscmd in FY27, as per management

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15-Feb-24

Mahindra & Mahindra (BUY): Healthy volume-led growth

Q3 revenue grew 17% YoY led by 11% blended volume growth and supported by 5% higher realisations

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15-Feb-24

Crompton Greaves (BUY): Slowdown at BGAL weighs on quarter

Strong Q3 topline from higher fan, lighting and pump sales, but EBITDA margin fell 120bps YoY on ad expenses and weakness in BGAL

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13-Feb-24

Eicher Motors (HOLD): Launch momentum continues

Q3 revenue grew 13% YoY driven by 10% higher realisations from a better product mix; volume growth muted

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13-Feb-24

Hindware Home Innovation (BUY): Tough quarter but outlook healthy

EBITDA fell 35% short of our estimate due to tepid demand climate and steep margin compression across segments

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13-Feb-24

Cera Sanitaryware (HOLD): Weak quarter on soft demand, marketing expense

Q3 EBITDA fell 18% YoY and missed our estimate by 28% on subdued demand and higher brand & sales promotion expense

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13-Feb-24

Aurobindo Pharma (HOLD): Strong margin uptick

Q3 EBITDA/PAT surged 68%/90% YoY led by growth in US/EM revenue and ~700bps jump in operating margin

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13-Feb-24

Siemens India (BUY): Strong topline, margins waver

Robust December quarter order flows and revenue, though margins contracted due to weakness in digital industries segment

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12-Feb-24

Bandhan Bank (BUY): Recovery on track

Healthy business growth drives 21% YoY rise in Q3 NII, though muted other income induces 14% fall in PPOP

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12-Feb-24

Indraprastha Gas (BUY): Legacy UP, new GAs can offset slowdown, reiterate BUY

Factoring in faster e-transition for DTC buses and passenger vehicles in Delhi, we lower FY23-FY26 volume growth to 5.9% from 8.4%

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12-Feb-24

Zydus Wellness (HOLD): Seasonally weak quarter

Q3 revenue dipped 3% YoY owing to dismal performance in food & nutrition segment

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12-Feb-24

Amber Enterprises (SELL): Persistent near-term challenges; cut to SELL

Q3 a muted quarter with net loss of Rs 5mn due to lower revenue and higher interest and depreciation costs

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12-Feb-24

Thermax (HOLD): Improving order outlook; maintain HOLD

Q3 operating performance stable with EBITDA margin inching up 20bps YoY despite a Rs 100mn hit from cost overruns

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12-Feb-24

Hero Motocorp (HOLD): Healthy quarter but positives priced in

Q3 revenue grew 21% YoY steered by 17% growth in motorcycle volumes and 22% in scooters; realisations up 3%

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10-Feb-24

Divi's Labs (SELL): Healthy margin recovery, heady valuations

Q3 revenue grew 9% YoY on 25% rise in custom synthesis business; API and nutraceuticals stayed soft

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10-Feb-24

Alkem Labs (SELL): Good quarter; cut to SELL on stretched valuations

Revenue grew 9% YoY in Q3 backed by strong India and ROW growth that offset lower US business

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10-Feb-24

The Ramco Cements (SELL): Tepid quarter, high capex overhang – retain SELL

Q3 revenue growth muted at 6% YoY due to poor demand; pricing pressure dampens realisations

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09-Feb-24

Power Grid Corp (BUY): In-line quarter, FY25 capex hiked; maintain BUY

Q3 PAT met estimates at Rs 40bn; 20% bump-up in FY25 capex target to Rs 150bn a key positive

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09-Feb-24

Tata Consumer Products (BUY): Strong run continues

Sustained revenue growth (+ 9% YoY) and margin expansion in Q3, propelled by robust India business

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09-Feb-24

LIC (HOLD): Solid quarter; valuations overdone – cut to HOLD

VNB margin improved 200bps YoY to 16.6% at end-9M, leading us to increase our FY24-FY26 estimates by 100-150bps

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09-Feb-24

Torrent Power (HOLD): Dull quarter; high valuations – maintain HOLD

Q3 topline flattish with PAT contraction on lower RLNG trading gains; bright spots from higher PLFs and lower T&D losses

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09-Feb-24

Escorts (SELL): Weakness persists – maintain SELL

Q3 tractor volumes dipped 7% YoY, with loss of domestic share as fall was higher than industry decline

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09-Feb-24

Lupin (HOLD): All-round beat; margins sustain – raise to HOLD

Strong Q3 with EBITDA/PAT of Rs 10.2bn/Rs 6.1bn, beating consensus by 17%/42%

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08-Feb-24

Star Cement (HOLD): Cost savings commendable, growth intact

Steady growth in a challenging quarter aided by 7% YoY volume pickup; realisations softened

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08-Feb-24

Nestle India (BUY): Broad-based growth across product categories

Domestic sales continue to underpin growth, rising 8.9% YoY in the December quarter on better pricing, volumes and product mix

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08-Feb-24

Cummins India (BUY): Powering ahead; maintain BUY

Strong Q3 topline growth of 16% YoY despite lower exports, along with 330bps gross margin expansion as input costs eased

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07-Feb-24

Britannia Industries (BUY): Faster volume growth to boost profitability

Urban markets grew ahead of rural centres largely driven by premium portfolio; volume growth revived to ~5.5% YoY in Q3

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07-Feb-24

AIA Engineering (HOLD): Soft quarter, volume growth uncertain; cut to HOLD

Q3 topline and margins contracted due to change in product mix; FY24 volume guidance cut from 310,000t to 300,000t

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07-Feb-24

Syrma SGS (HOLD): Margin slide continues; retain HOLD

Q3 topline growth strong at 38% YoY but EBITDA margin shrank 380bps to 5.5% on weak product mix

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06-Feb-24

Orient Cement (SELL): Topline muted as volumes decline

Q3 revenue growth subdued at 3% YoY as volumes fell 3% amid state elections and festive season

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06-Feb-24

ERRATA: State Bank Of India (BUY): Pension one-off hurts profitability

Strong business growth in Q3 but one-off pension and ex-gratia provision of Rs 71bn saw net profit drop 36% YoY

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06-Feb-24

Ashok Leyland (BUY): Margins continue to improve, maintain BUY

Q3 revenue grew 3% YoY to Rs 92.7bn in a challenging quarter, aided by 3% higher realisation

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06-Feb-24

Prince Pipes & Fittings (HOLD): Lacklustre quarter on sustained market share loss

Q3 PAT came in 36% below our estimate on continued market share bleed and margin pressure

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06-Feb-24

Greenlam Industries (HOLD): Soft quarter on tepid demand environment

Q3 PAT missed our estimate by 31% on weak laminate volumes and sharp increase in capital charge

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05-Feb-24

VST Tillers Tractors (HOLD): Poor demand dampens performance

Q3 revenue down 20% YoY on steep 33% volume decline due to anaemic rural demand

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05-Feb-24

Alembic Pharma (HOLD): Healthy quarter; PAT beat on low tax rate

Q3 EBITDA ahead of consensus by 4% on healthy margins but strong PAT beat of 22% came from lower tax rate

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05-Feb-24

Century Plyboards (HOLD): Margin stress across segments

Weak Q3 came as a big negative surprise considering management’s upbeat outlook in last earnings call

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05-Feb-24

Ambuja Cements (HOLD): Healthy quarter, sustainability key; retain HOLD

Standalone Q3 revenue grew 7% YoY as volumes increased 7%, ushioning flattish realisations

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05-Feb-24

JSW Steel (HOLD): Progressing on expansion but valuations fair

Q3 below consensus and also weaker than peers amid higher competitive pressure from imports and lower exports

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03-Feb-24

Shree Cement (HOLD): Healthy quarter, expensive valuations

Q3 revenue growth of 20% YoY backed by sharp 11% volume uptick to 8.9mt

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03-Feb-24

Somany Ceramics (BUY): Lacklustre demand dulls performance

Q3 EBITDA miss of 7% on tepid demand environment and rise in competitive intensity from Morbi players

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03-Feb-24

Jindal Steel & Power (HOLD): Valuations overdone; downgrade to HOLD

Q3 results ahead on higher per unit EBITDA margin; first coil from HSM represents next milestone on Angul growth project

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02-Feb-24

Godrej Consumer Products (HOLD): Consistent volume growth; cut to HOLD post rally

Sustained quarterly performance amid macro headwinds in domestic markets and currency devaluation in select global markets

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02-Feb-24

Greenply Industries (BUY): Strong performance on fast ramp-up of MDF plant

EBITDA beat estimates (+6%) in Q3 on quick ramp-up of MDF plant in a challenging environment

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02-Feb-24

V-Guard Industries (HOLD): In-line quarter

Q3 topline up 19% YoY on low base but consumer demand still soft; margins expand on lower input prices

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02-Feb-24

Orient Electric (HOLD): Slow quarter; Hyderabad plant to spur growth

Topline flattish YoY due to high base and soft demand for fans; EBITDA margin lower on advertising expenses

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02-Feb-24

ACC (HOLD): Strong margins; cut to HOLD on full valuations

Q3 revenue growth of 8% YoY bolstered by 16% uptick in volumes while realisations moderated 5%

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01-Feb-24

Greenpanel Industries (HOLD): Dismal Q3FY24; No sigh of relief for MDF in near-future

Sharp contraction in operating profit (-34% YoY) for fifth consecutive quarter owing to supply-side pressure in MDF industry

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01-Feb-24

Dabur India (BUY): Steady growth across portfolios

Consistent performance across segments and markets with 7% YoY revenue growth despite delayed winter and macro headwinds

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01-Feb-24

Sun Pharma (HOLD): Strong quarter driven by specialty business

Strong quarter with revenue/EBITDA in line and reported PAT 4% ahead of Bloomberg consensus

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01-Feb-24

Dixon Technologies (BUY): Mobile business dials up growth; maintain BUY

Q3 revenue up 2x YoY led by robust growth in mobile & EMS segment; EBITDA margin dips 80bps on higher input costs

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31-Jan-24

Maruti Suzuki (BUY): Healthy all-round performance – raise to BUY

Q3 volumes grew 8% YoY driven by continued demand surge for SUVs; we expect sustained outperformance

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31-Jan-24

Kajaria Ceramics (HOLD): Soft demand, intense competition mar quarter

Q3 revenue/PAT short of our estimates by 4%/13% on tepid demand climate and intense competition from Morbi players

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31-Jan-24

Voltas (HOLD): UCP improving, Qatar business a dampener

Q3 revenue growth strong at 31% YoY but challenges in international EMP business cause net loss of Rs 304mn

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31-Jan-24

KEC International (HOLD): Pipeline robust, margin improvement delayed

Strong Q3 led by T&D and civil businesses, though rail revenue was subdued due to increasing competition

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31-Jan-24

Dr Reddy's Labs (HOLD): Buoyant US sales drive performance

Healthy quarter with revenue/PAT coming in 3%/4% ahead of consensus; US sales a positive surprise, rising 6% QoQ

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31-Jan-24

Blue Star (BUY): Purple patch continues; maintain BUY

Strong topline growth of 25% YoY in Q3 aided by festive season sales; margin expansion continues

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31-Jan-24

Aditya Birla Sun Life AMC (HOLD): Double-digit growth but market share bleed continues

QAAUM grew 11% YoY to Rs 3.1tn in Q3 with equity assets rising even faster at 13%; however, market share inched down

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30-Jan-24

Larsen & Toubro (BUY): Order inflow guidance raised; maintain BUY

Q3 order inflows and topline strong but margins declined due to legacy orders in the mix

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30-Jan-24

Astral (HOLD): Mixed quarter, guidance broadly intact

Topline in line at Rs 13.7bn; miss at EBITDA level on one-off expense and MTM inventory loss

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30-Jan-24

Marico (BUY): Domestic business still lacklustre

Dull Q3 performance in domestic as well as international markets amid a challenging operating environment

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30-Jan-24

Nippon Life India AMC (HOLD): Strong growth but upside capped – cut to HOLD

QAAUM growth robust at 29% YoY in Q3 fuelled by 10%+ share of industry-wide net equity flows (ex-arbitrage and index)

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30-Jan-24

NTPC (BUY): Normal quarter, aggressive expansion; maintain BUY

Q3 power generation grew 14% YoY with bump-up in PAT to Rs 45.7bn due to movement in regulatory deferral balance

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30-Jan-24

ITC (BUY): Cigarette and paperboard businesses disappoint

Cigarette business had a soft quarter while FMCG-others remained resilient, and hotels posted its best quarter on a high base

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30-Jan-24

Apollo Pipes (SELL): Disappointing result on all fronts

Weak Q3 performance on rise in competitive intensity in a tepid demand environment

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30-Jan-24

UTI AMC (HOLD): Core earnings miss estimates

Q3 AUM growth in line at 13% YoY to Rs 2.7tn, but equity and hybrid schemes combined saw sustained outflows

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29-Jan-24

Bajaj Finance (BUY): Mixed quarter; maintain BUY

Rural B2C business remains a sore point with overall credit costs climbing 15bps YoY in Q3 to 1.7%

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29-Jan-24

Tata Steel (BUY): UK transition and TSK2 to bolster growth; maintain BUY

Q4 results broadly in line; India beat our estimates with higher margins on leaner coking coal blend and benefit of inventory swing

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29-Jan-24

Dalmia Bharat (HOLD): Soft prices constrain growth

Q3 revenue grew at a slow 7% YoY supported by 8% volume growth while realisations stayed flat

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27-Jan-24

TVS Motor (BUY): On a fast track – raise to BUY

ICE 2W volume growth beats industry at 33% YoY, supporting 26% revenue growth in Q3

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27-Jan-24

Bajaj Auto (SELL): Healthy revival but priced in; downgrade to SELL

Q3 revenue grew 30% YoY backed by healthy domestic 2W volume growth and revival in exports

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27-Jan-24

Mahanagar Gas (BUY): Volume growth accelerating, reiterate BUY

Q3 beats consensus with sharp uptick in volume growth and stable margins despite lower APM gas allocation

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27-Jan-24

SBI Card (HOLD): Asset quality concerns persist; downgrade to HOLD

Credit cost soared 66% YoY to Rs 8.8bn in Q3 amid industry-wide stress in unsecured loans; uncertainty persists

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27-Jan-24

SBI Life (BUY): ULIP-led growth; maintains market leadership

9MFY24 APE growth strong at 17% YoY with ULIPs forming 61% of total; continues to lead the market with 26.5% share in individual APE

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25-Jan-24

Cipla (BUY): Healthy revenue growth, strong margins

Q3 strong with EBITDA beat of 9% over consensus, though impairment charges of Rs 1.9bn limited PAT outperformance vs consensus

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25-Jan-24

DCB Bank (BUY): NII sequentially flat on high interest cost

NII flat QoQ (6%YoY) in Q3 on higher interest expenses; treasury gains and moderate opex aided 9% YoY PPOP growth

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25-Jan-24

Laurus Labs (SELL): Challenges galore – cut to SELL

Fourth straight quarterly miss with upsets on all fronts; Q3 revenue/ EBITDA well short of Bloomberg consensus by 13%/79%

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24-Jan-24

JK Cement (HOLD): Healthy performance but priced in

Q3 revenue grew 22% YoY to Rs 27.8bn as new grey cement capacities aided 17% volume growth and realisation improved 5%

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24-Jan-24

Axis Bank (BUY): Profits subdued despite strong business growth

NII growth subdued at 9% YoY despite credit/deposit growth of 22%/18%, due to a high cost of funds

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24-Jan-24

Hitachi Energy (SELL): In-line quarter but valuations overdone; cut to SELL

Q3 EBITDA margin rose 150bps YoY to 5.3% as chip constraints eased, leading to 5x jump in PAT off a low base

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24-Jan-24

Glenmark Life Sciences (HOLD): Strong margins make up for subdued revenue growth

Q3 revenue growth a miss at 6% YoY but robust 670bps expansion in gross margin helped mitigate the impact on bottomline

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24-Jan-24

Kotak Mahindra Bank (BUY): NIM intact QoQ; higher provisions dull profit

Business growth held strong in Q3, but treasury losses and higher provisions weighed on PAT (-6% QoQ)

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24-Jan-24

KEI Industries (HOLD): Decent quarter; maintain HOLD

Q3 revenue grew 16% YoY with 30bps EBITDA margin expansion; order book up 11% on strong domestic demand

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24-Jan-24

Havells India (BUY): Slow quarter but summer could bring cheer; maintain BUY

Q3 revenue grew just 7% YoY on subdued demand; high A&P spend hurt margins even as Lloyd’s cash burn continued

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23-Jan-24

ICICI Bank (BUY): Temporary blip; maintain BUY

Q3 PAT up 24% YoY but flat QoQ due to higher provisions and modest growth in NII

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23-Jan-24

RBL Bank (BUY): Healthy business growth, stable asset quality; raise to BUY

Healthy business growth led to 35% YoY (+5% QoQ) rise in Q3 PPOP; PAT grew 11% YoY but fell 21% sequentially on higher provisions

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23-Jan-24

Reliance Industries (BUY): Jio 2.0 acceleration vital for next wave of growth

Q3 EBITDA broadly in line at segment level supported by sharp growth in retail, oil and gas, and resilience in oil-to-chemicals

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22-Jan-24

Ultratech Cement (BUY): Cost efficiencies in focus; raise to BUY

Cost savings of 3% YoY boosted Q3 earnings despite slow volumes (+5%) and flat realisations

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22-Jan-24

Supreme Industries (HOLD): Results broadly in line; guidance upgraded on strong pipe demand

Q3 broadly in line with our estimates; strong pipe performance for the eighth consecutive quarter

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20-Jan-24

Hindustan Unilever (BUY): Volume growth subdued in a challenging environment

Delayed rural recovery and elevated competition from regional players impacted volume recovery in Q3

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19-Jan-24

IndusInd Bank (BUY): Stable performance

Strong business growth aided a 10% YoY rise in Q3 PPOP despite higher opex; PAT increased 17% to Rs 23bn

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19-Jan-24

360 One (BUY): Steady quarter; raise to BUY post correction

ARR AUM and total revenue grew 33% and 14% YoY respectively in Q3; flows also stayed strong at Rs 89bn

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19-Jan-24

Finolex Industries (HOLD): Weak quarter on slow recovery in agri pipe demand

Missed our Q3 EBITDA estimate by 16% on slow recovery in agri pipe demand

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19-Jan-24

Polycab India (BUY): Fair quarter but I-T search clouds multiples

Revenue growth reasonable at 17% YoY, but EBITDA margin falls on lower exports and higher advertising expenses

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18-Jan-24

Federal Bank (BUY): Higher other income supports PAT growth

Business growth healthy in Q3 despite deposit mobilisation challenges; PAT grew 25% YoY on higher other income

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18-Jan-24

ICICI Prudential Life (HOLD): Subdued growth

9MFY24 VNB margin contracted 500bps YoY to 26.7% owing to a change in product mix and cost pressures

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17-Jan-24

HDFC Bank (BUY): Margin pressure dampens performance

Operationally weak December quarter due to elevated cost of funds and increased provisions

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12-Jan-24

HDFC Life (BUY): Muted quarter; clear growth roadmap a positive

9MFY24 growth low but management’s clear roadmap for growth raises confidence on medium-term prospects

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11-Jan-24

HDFC AMC (HOLD): Ticks most boxes but upside potential limited

Actively managed equity QAAUM grew 40% YoY, driving 24% AUM growth in Q3; topline growth strong at 23%

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02-Jan-24

LT Foods (NOT RATED): Appetite for growth

Leading domestic player in basmati rice with strong presence in export markets and popular brands, including Daawat, Royal and Ecolife

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22-Dec-23

Siemens India (BUY): Positive outlook continues; Maintain BUY

SIEM ended FY23 on a strong note in terms of order inflows, backlog, revenues, profitability, and cash flows

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15-Dec-23

Thermax (HOLD): Focus on energy transition

Energy transition identified as focus for next five years, especially areas of coal gasification, biomass, bio-CNG and green hydrogen

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14-Dec-23

Nippon Life India AMC (BUY): Management call – MF industry to grow at smart clip

Management expects India’s MF industry to grow 15% in medium term assuming 10% rise in annual inflows

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14-Dec-23

ITC (BUY): Analyst meet takeaways – Multiple levers for growth

Management is guiding for 80-100bps EBITDA margin expansion every year from cost cuts, scale and premiumisation

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12-Dec-23

Bandhan Bank (BUY): Thrust on secured business to aid asset health

Expect 19% credit and deposit CAGR over FY23-FY25 on retail-led growth and targeted increase in secured book

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04-Dec-23

Polycab India (BUY): Management meet takeaways – Brand refresh underway

New brand identity is aimed at driving demand and spurring FMEG business; EHV capacity addition on track

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30-Nov-23

TTK Prestige (NOT RATED): Management call – Sustained leadership in key categories

Management confident of robust demand recovery through H2FY24 as festive and wedding seasons coincide

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29-Nov-23

Siemens India (BUY): Strong quarter, positive outlook – raise to BUY

Q4 revenue grew at robust 25% YoY with 100bps EBITDA margin expansion and 50% rise in PAT to Rs 5.7bn

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29-Nov-23

LT Foods (NOT RATED): Analyst meet takeaways – Eyeing market share gains

Leading basmati rice player with a strong presence in India (30% market share) and exports to 80+ countries

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24-Nov-23

Axis Bank (BUY): Analyst meet takeaways – Balancing growth and returns

Focused on balancing growth ambitions and risk-adjusted returns; loan book guided to log an 18% CAGR over FY23-FY25

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17-Nov-23

SAIL (HOLD): Profit outlook restrained; maintain HOLD

Q2 results flattered by prior-period rail revenue recovery; underlying EBITDA margin flattish sequentially while volume recovered

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16-Nov-23

Bajaj Finance (BUY): Impact of RBI strictures likely to be marginal

RBI has instructed BAF to stop disbursing loans under two digital products, the ‘Insta EMI Card’ and ‘eCOM

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15-Nov-23

Tata Steel (BUY): India growth to take centre stage; maintain BUY

Profit has likely bottomed in Q2 as operations in Netherlands return to breakeven and India’s H2 demand outlook looks up

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13-Nov-23

Eicher Motors (HOLD): Solid quarter; striving to fend off competition

Q2 revenue grew 16% YoY backed by double-digit volume uptick (+11%) and 5% higher realisations

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13-Nov-23

Mahindra & Mahindra (BUY): Auto segment continues to rev up

Net blended realisation per vehicle grew 6% YoY in Q2 and volumes increased 11%

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11-Nov-23

Lupin (SELL): Positive surprise from gSpiriva; valuations rich

Q2 EBITDA/PAT overtook consensus by 16%/25% backed by strong US business from gSpiriva launch and robust margins

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11-Nov-23

LIC (BUY): Weak quarter; focus on recouping market share

H1FY24 APE declined 10% YoY due to flat individual APE (up 20% ex-non-par) and a 25% drop in group business

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11-Nov-23

Ashok Leyland (BUY): On a winning wicket

Q2 net realisation per vehicle grew at healthy 6% to Rs 1,933k on price hikes of 1-2% in CVs

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10-Nov-23

Torrent Power (HOLD): Gas trading tapers

Q2 revenue and PBT flattish YoY as gas trading and power sales in the short-term market tapered

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10-Nov-23

Orient Cement (SELL): Volumes pick up; valuations still expensive

Q2 volumes recovered 15% YoY (-10% QoQ) to 1.4mt helped by below-normal rainfall and higher western region sales

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10-Nov-23

Star Cement (HOLD): Cost relief in an otherwise weak quarter

Monsoon impact in northeast markets kept Q2 volumes flat YoY at 0.9mt while realisation slipped 2%

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09-Nov-23

The Ramco Cements (SELL): Quarterly respite, challenges may continue

New capacities buoyed Q2 volumes by 39% YoY but realisations slipped 5%

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09-Nov-23

ABB India (HOLD): Sprinting along

Robust quarter with revenue up 31% YoY and 590bps EBITDA margin expansion aided by the robotics and robotics segments

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09-Nov-23

Power Grid Corp (BUY): In-line quarter; FY24 capex ramped up

Q2 revenue/PAT in line at Rs 104bn/Rs 38bn; ramp up of FY24 capex target to Rs 100bn from Rs 88bn a key positive

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09-Nov-23

Shree Cement (HOLD): Subpar quarter; earnings chasing valuations

Q2 volume growth of 10% YoY could have been higher but for a pursuit of realisation gains (+10%)

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08-Nov-23

VST Tillers Tractors (HOLD): Healthy performance across segments

Q2 revenue grew 19% YoY as volumes climbed 16% and realisation moved up 3%

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08-Nov-23

Alembic Pharma (HOLD): Higher opex from new facilities to keep a lid on margins

Q2 revenue ticked up 8% YoY as healthy sales in international markets supported by modest India business

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08-Nov-23

Cummins India (BUY): Strong operating performance; maintain BUY

Q2 gross/EBITDA margins expand 500bps/320bps YoY on lower input costs, sustained pricing and better product mix

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08-Nov-23

JK Cement (HOLD): Healthy performance; positive outlook

Q2 revenue grew 20% YoY to Rs 25.7bn as grey cement volumes surged 22% to 3.9mt

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08-Nov-23

Alkem Labs (HOLD): Sizeable margin gains; tax guided to reduce – raise to HOLD

Q2 EBITDA/PAT outstripped consensus by 44%/54% on higher margins, strong US growth and low taxes

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07-Nov-23

JK Lakshmi Cement (SELL): Some respite but challenges continue

Q2 topline grew 12% YoY led by ~10% volume growth; realisation flat due to price hikes in eastern region

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07-Nov-23

Zydus Wellness (HOLD): Subdued growth in a seasonally weak quarter

Flattish volume growth in Q2 owing to muted performance in glucose and sweetener categories

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06-Nov-23

Escorts (SELL): No major positive surprises; maintain SELL

Q2 tractor volumes dipped 7% YoY as sales flagged towards the quarter’s end after an initial pickup

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06-Nov-23

Hitachi Energy (HOLD): Chip constraints receding

Q2 EBITDA margin rose sequentially to 5.3% as chip constraints eased but PAT still down 33% YoY

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06-Nov-23

AIA Engineering (BUY): Volume spillover to FY25

Q2 sales flat YoY but operating leverage enables EBIDTA margin gains of 600bps to 29.5%

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06-Nov-23

Divi's Labs (SELL): Growth remains elusive; cut to SELL

Dull Q2 with EBITDA/PAT plunging 21%/29% YoY, missing consensus by a wide margin

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06-Nov-23

State Bank Of India (BUY): Wage provisions weigh on profits

Q2 PPOP growth dropped 23% QoQ owing to one-time wage revision provisions

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06-Nov-23

Jindal Steel & Power (BUY): Last leg of streamlining, reiterate BUY

Management revises expansion capex to factor in the addition of more downstream and project components to temper risk profile

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06-Nov-23

Thermax (HOLD): Sound operations, measured commentary

Q2 operating performance strong with 210bps YoY margin expansion, half of which management believes is sustainable

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06-Nov-23

Crompton Greaves (BUY): ECD robust; lighting and kitchen appliances falter

ECD revenue growth ahead of peers but lighting segment declines in Q2

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04-Nov-23

Dabur India (BUY): Steady growth and market share gains

Strong growth across categories except beverages which declined 10% YoY in Q2 due to uneven rainfall in North India

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04-Nov-23

Ambuja Cements (HOLD): Relatively weak show

Standalone Q2 revenue grew just 8% YoY (-16% QoQ) as net volumes dropped 9% (-18% QoQ)

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03-Nov-23

Hero Motocorp (HOLD): Poised for growth but upside capped

Q2 revenue grew 4% YoY driven by realisation gains as volumes stayed flat at 1.4mn units.

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03-Nov-23

360 One (BUY): Yields weak but outlook robust; maintain BUY

ARR AUM and revenue grew 31% and 10% YoY respectively, but ARR yield (calc.) slipped 13bps YoY to 63bps

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03-Nov-23

Orient Electric (HOLD): ECD-led growth; working capital rises on festive inventory

Q2 topline up 11% YoY as ECD grew 17%, gross margin up 400bps; working capital cycle doubles due to festive stocking

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03-Nov-23

Godrej Consumer Products (BUY): Strong, sustained volume-led growth in India business

Volume-led growth continues in India business at 11% YoY in Q2; margin expands despite elevated media spend

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03-Nov-23

ACC (BUY): Cost savings boost margin; upgrade to BUY

Q2 volumes flat YoY (-15% QoQ) at 6.9mt due to flood impact in key markets

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02-Nov-23

Syrma SGS (HOLD): Miss on margins; downgrade to HOLD

Q2 topline growth robust at 52% YoY but lower share of ODM business drove gross margin down 690bps

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02-Nov-23

Britannia Industries (BUY): Margin expands despite muted growth

Another soft quarter from BRIT (revenue up just 1% YoY), though EBITDA margin expanded due to lower input cost and savings

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02-Nov-23

KEC International (HOLD): Interest cost mars quarter; strong pipeline for H2

Q2 saw in-line margins but PAT was impacted by high interest cost; margins expected to improve in H2

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02-Nov-23

Sun Pharma (HOLD): Healthy quarter; better mix supports gross margin

Q2 revenue/PAT grew 11%/5% YoY to Rs 122bn/Rs 24bn, largely in line with consensus

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02-Nov-23

Petronet Lng (HOLD): PDHPP project unlikely to be value accretive

PLNG has approved the PDHPP project at a capital intensity of US$ 3,000-3,650/t

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01-Nov-23

V-Guard Industries (HOLD): Average topline, margins improve

Q2 topline up 15% YoY with gross margin expansion of 460bps; markets outside South India grew 11%

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01-Nov-23

DCB Bank (BUY): Steady growth

Q2 advances grew 19% YoY led by agri and inclusive banking (AIB) and co-lending; NIM dipped 13bs QoQ on deposit repricing

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01-Nov-23

Tata Consumer Products (BUY): Strong performance; outlook positive

Q2 topline grew 11% YoY and EBITDA margin rose 150bps on sustained domestic growth and strategic international pricing

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01-Nov-23

KEI Industries (HOLD): Capacity addition to spur growth

Middling Q2 performance with easing capacity constraints; cables revenue healthy but margin lagged peers

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31-Oct-23

Larsen & Toubro (BUY): Strong run continues; maintain BUY

Strong show in Q2 led by highest ever order inflows of Rs 892bn (exit book of Rs 4.5tn), robust execution and working capital efficiency

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31-Oct-23

Ajanta Pharma (BUY): Buoyant margins but higher tax weighs on PAT

Strong Q2 gross/EBITDA margins at 75%/28% drove a 7% EBITDA beat, though higher tax pulled PAT 2% below consensus

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31-Oct-23

TVS Motor (HOLD): Continues to deliver

Q2 volume growth beats industry at 3.1%/13% YoY/QoQ with a focus on high-end products such as Apache and Raider

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31-Oct-23

Blue Star (BUY): On a purple patch

Sustained, strong performance marked by above-industry growth of 39% YoY in UCP segment along with higher margins in Q2

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31-Oct-23

Mahanagar Gas (BUY): Focus on volume growth a positive, upgrade to BUY

Q2 results in line but margin remains above the cycle average; we raise FY24 EBITDA by 11% factoring in a strong H1

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30-Oct-23

Marico (BUY): Muted revenue growth; margins expanded

Q2 revenue flattish YoY owing to a subdued demand environment and regional competition in select categories

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30-Oct-23

Nippon Life India AMC (BUY): Strong show continues

QAAUM growth robust at 23% YoY in Q2 fuelled by 11% share of industry-wide net equity flows (ex-arbitrage and index)

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30-Oct-23

Dr Reddy's Labs (HOLD): One-offs fuel PAT beat; India business still soft

Q2 revenue in line but PAT outdid consensus by 22% on account of PLI benefits, litigation settlement and interest income

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30-Oct-23

Aditya Birla Sun Life AMC (HOLD): Mixed set of numbers; maintain HOLD

QAAUM grew 10% YoY to Rs 3.1tn in Q2 with equity assets rising 9%; however, market share inched down

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30-Oct-23

Reliance Industries (BUY): Jio 2.0 key to growth momentum

Q2 results broadly in line, with continuing structural growth in both consumer businesses and resilience in cyclical energy businesses

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28-Oct-23

NTPC (BUY): No surprises; maintain BUY

Q2 a normal quarter with a flat topline of Rs 409bn and healthy PAT of Rs 39bn

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28-Oct-23

Maruti Suzuki (HOLD): Robust quarter but positives priced in

Q2 volume growth of ~7% YoY continued to beat the industry (~5%); we expect sustained outperformance

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28-Oct-23

Cipla (BUY): Beat on all fronts

Q2 EBITDA/PAT 14%/15% ahead of consensus underpinned by strong growth in US and India businesses

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28-Oct-23

SBI Card (BUY): Challenges persist despite spending frenzy

Credit card spends climbed 27% YoY to a record high of Rs 792bn in Q2; debut on UPI platform promising

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28-Oct-23

SBI Life (BUY): Strong showing

H1 APE growth strong at 21% YoY led by a rebound in ULIP and protection business during Q2

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27-Oct-23

Axis Bank (BUY): Steady growth but costs elevated

Q2 NII up 19% YoY led by strong business growth, aiding a 10% rise in PAT despite a spike in opex due to card-related costs

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26-Oct-23

Dixon Technologies (BUY): Strong quarter, even stronger outlook – upgrade to BUY

Q2 sales up 28% YoY led by a 77% upswing in mobiles & EMS business which offset slow lighting sales

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26-Oct-23

Nestle India (BUY): Analyst meet – Broader footprint lifting volume growth

Innovation and market penetration-led volume growth remain strategic focus areas; growing emphasis on rural markets

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25-Oct-23

RBL Bank (HOLD): Strong growth but priced in

Q2 credit growth rises 21% YoY led by the high-yielding retail book and recovery in deposit mobilisation to 13%

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25-Oct-23

Kotak Mahindra Bank (BUY): Mixed Q2; raise to BUY on low valuation, succession clarity

Strong business growth in Q2 but NIM down 35bps QoQ on higher deposit cost and liquidity buffer; other income muted

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23-Oct-23

ICICI Bank (BUY): Sustained outperformance; raise to BUY

Q2 NII grew 24% YoY despite higher deposit cost, while dividends from subsidiaries offset absence of treasury gains

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23-Oct-23

Hindustan Unilever (BUY): Soft topline but strong margin expansion

Q2 volume and value growth weak YoY owing to delayed rural recovery and heightened competition from regional players

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23-Oct-23

Amber Enterprises (HOLD): Healthy topline; RAC outlook still soft

Q2 topline up 23% YoY with better margins due to dry weather in an otherwise unseasonal quarter for cooling products

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23-Oct-23

JSW Steel (HOLD): Volume momentum from expansion but near-full valuation

Q2 result beat estimates on higher cost savings in standalone operations beyond coking coal reduction

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21-Oct-23

Glenmark Life Sciences (HOLD): Revenue in line but higher opex dampens margins

Q2 revenue in line at Rs 6bn but EBITDA/PAT 3%/6% below our estimates due to higher opex and a product mix change

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21-Oct-23

Voltas (HOLD): UCP upbeat but EMP plays spoilsport

Q2 mixed with UCP performing well (+ 15% YoY) but EMP continuing to post losses due to collection disputes

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21-Oct-23

Dalmia Bharat (HOLD): Cost respite in an otherwise muted quarter

Q2 volume growth slowed to single digits (7% YoY) owing to fierce competition in key operating regions

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20-Oct-23

Ultratech Cement (HOLD): Steady performance with no big surprises

Q2 revenue up 15% YoY backed by 16% rise in dispatches; realisations resilient despite volume push in a monsoon quarter

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20-Oct-23

ITC (BUY): FMCG and hotels continue to shine

FMCG business delivered strong topline (+8% YoY) growth in Q2 led by steady portfolio expansion

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20-Oct-23

IndusInd Bank (BUY): Strong growth with stable margins and asset quality

Despite higher opex, Q2 PAT increased 22% YoY to Rs 22bn driven by steady business growth

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20-Oct-23

Havells India (BUY): Q2 a miss but expect improvement ahead

Mixed quarter with 5% YoY declines in ECD and flat lighting but 8% growth in cable & wires and 9% in switches

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19-Oct-23

UTI AMC (HOLD): Equity flows yet to pick up

Q2 AUM grew 14% YoY to Rs 2.7tn but equity and hybrid schemes saw cumulative outflows for the fourth straight quarter

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19-Oct-23

Bajaj Auto (HOLD): On firm ground

Healthy product mix in 2Ws and buoyancy in 3Ws aid 6% YoY increase in Q2 revenue

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19-Oct-23

Nestle India (BUY): Strong all-round performance

Domestic business posted double-digit growth in Q3 with continued margin expansion

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19-Oct-23

Polycab India (BUY): Impressive run continues

Strong Q2 powered by 29% YoY growth in wires & cables business; FMEG set to improve gradually

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19-Oct-23

Federal Bank (BUY): Strong growth with improving return

Continued healthy business momentum in Q2, with reported PAT rising 35% YoY on lower provisions

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18-Oct-23

ICICI Prudential Life (HOLD): Growth subdued; raise to HOLD post correction

Q2 APE growth muted at 3% YoY due to a 15% drop in the ICICIBC channel; ULIP and protection businesses showed traction

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18-Oct-23

HDFC Bank (BUY): PAT strong despite margin compression

Q2 PAT grew 51% YoY supported by healthy other income and a lower tax rate

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17-Oct-23

Bajaj Finance (BUY): On a strong wicket; maintain BUY

Robust, broad-based AUM growth of 33% YoY to Rs 2.9tn at end-H1FY24; we raise our FY24/FY25 AUM forecast by 3%/4%

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17-Oct-23

Jio Financial Services (NOT RATED): Q2 earnings highlights – Fast-tracking growth

Multi-faceted business model backed by aggressive growth plans in lending, insurance broking and payments

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13-Oct-23

HDFC Life (HOLD): Mixed quarter; maintain HOLD

Q2 slightly short of our estimates; management expects a stronger H2 on new launches, growth in tier-2&3 markets and in bancassurance

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12-Oct-23

HDFC AMC (HOLD): Robust quarter but upside limited

Higher equity share drove robust QAAUM growth of 22% YoY in Q2; topline growth strong at 18%

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11-Oct-23

ERRATA: BOBCAPS Research | Bigbloc Construction (NOT RATED): Plant visit – Ramping up AAC capacity

Autoclaved aerated concrete (AAC) block production targeted to reach 0.5mn cbm per annum by end-FY24 at Wada plant

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11-Oct-23

Siemens India (HOLD): Innovation Day – Digitalisation key for manufacturing takeoff

SIEM has identified three broad trends in India: high public spending on infrastructure, pent-up private capex and rising decarbonisation

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04-Oct-23

Bajaj Finance (BUY): Making strides

Early data from BAF shows 33% YoY growth in H1 AUM, tracking above the full-year guided range of 29-31%

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28-Sep-23

DCB Bank (BUY): Improving prospects; BUY

Expect a strong 18% credit CAGR over FY23-FY25 (1.4x industry growth), supported by a better portfolio mix

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26-Sep-23

Elecon Engineering (NOT RATED): Plant visit – Focusing on value addition

ELCN has ~40% share in gearbox and components, catering to industries such as sugar, power, steel, cement, rubber and fertilisers

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26-Sep-23

Petronet LNG (HOLD): Cloudy medium-term demand visibility; HOLD

Volume revival surprised in H1FY24 but further upside constrained by higher availability of domestic gas in the near term

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25-Sep-23

Tata Steel (BUY): UK transition to dispel overhang, reiterate BUY

Decarbonisation of UK operation can sharpen competitiveness and add potential value of Rs 6-7/sh for TATA

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20-Sep-23

Orient Cement (SELL): Expansion woes, lofty valuations – cut to SELL

Expansion snags due to plant relocation to hamper medium-term growth as utilisation likely breaches 80% in FY25

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13-Sep-23

Avalon Technologies (NOT RATED): Export-focused EMS player

Electronics, engineering and design manufacturer largely catering to export markets; US a key geography at ~55% of revenue (FY23)

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13-Sep-23

RBL Bank (HOLD): Upside capped; HOLD

Expect pickup in retail loans and newer products to aid a 19% credit CAGR over FY23-FY25, with deposit CAGR of 15%

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08-Sep-23

JK Lakshmi Cement (SELL): AGM takeaways – Challenges persist; maintain SELL

Borrowing limit raised to Rs 70bn at AGM but resolution to hike inter-corporate transaction limit 4x to Rs 100bn rejected

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06-Sep-23

TTK Prestige (NOT RATED): Management call: Confident of demand recovery in H2

Management optimistic on festive-led demand revival in H2FY24; foresees no pricing action as commodity prices have eased

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01-Sep-23

Bajaj Finance (BUY): From strength to strength – initiate with BUY

Momentum across consumer, commercial, SME and mortgage lending to propel a 28% AUM CAGR over FY23-FY25E

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29-Aug-23

Reliance Industries (BUY): AGM takeaways – Long growth runway, reiterate BUY

Pivoted towards consumption and new-age technology in India and beyond for sustainable growth

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23-Aug-23

Crompton Greaves (BUY): Analyst meet – A full revamp

Lighting division moving to a new corporate structure, eyeing commercial orders, and pruning prices to spur volumes

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16-Aug-23

ITC (BUY): Robust growth and margins

Cigarettes business delivered sustained volume growth in Q1 at ~10% YoY; innovation remains in focus

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15-Aug-23

Aurobindo Pharma (HOLD): Broad-based growth; lower to HOLD post rally

Q1 revenue/EBITDA beat consensus by 4%/9% with adj. PAT (ex-one-off charge) running 15% ahead

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14-Aug-23

The Ramco Cements (SELL): Pressure on operational efficiencies to continue

New capacities (+2mt YoY) aid a 28% jump in Q1 volumes but pursuit of growth impacts realisations

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14-Aug-23

Crompton Greaves (BUY): Mixed quarter

ECD revenue growth at par with industry but lighting segment lagged peers in Q1

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12-Aug-23

SAIL (HOLD): Leverage remains an overhang; maintain HOLD