Indian Equity Research and Investment Strategy
Is the sum of the parts greater than the whole ? We wi8ll have a look at looks at discounts to NAV as well as stub values for each holding company. Today we will analyze, Mahindra & Mahindra and Reliance Infrastructure.
Mahindra & Mahindra:
Mahindra & Mahindra rallied late in 2009 on strong auto sales in India before correcting early this year on a 3QFY10 earnings miss. We believe the auto momentum should continue and current stub values are attractive after the correction. (more…)
Aurobindo Pharma Ltd (APL) has launched a new division, AuroSource, to provide contract research and manufacturing services to innovator pharma & biotech companies. It intends to position itself as a provider of manufacturing (intermediates, APIs, pre-formulations and formulations) and research services across the life cycle (from pre-clinical to commercial stages). At a later stage, APL would also look at providing medicinal chemistry and other discovery services. (more…)
IL&FS has been engaged in road sector projects since 1993 as a sponsor, developer or investor. For consolidating its project portfolio in the surface transportation sector, ITNL was promoted by IL&FS in 2000. IL&FS Group currently holds 87.5% in ITNL. (more…)
MF Global Securities has initiated Coverage on Vardhman Textile Ltd [VTXL] with a BUY Rating. The investment Rationale behind the call is the deficient cotton production & increase in consumption, will keep cotton price at higher levels & as India has excess production Indian miller who have pricing power can pass on the increasing raw material price to Yarn & Fabric consumer. The rise in production is because of rebound seen in yarn and textile demand. (more…)
The Ministry of Coal has awarded coal linkages for 22 GW of power capacities with a clear focus on projects likely to be commissioned in the XIth plan period. The allocations ensure fuel security for power projects, while increasing the burden of responsibility for Coal India Ltd (CIL) to meet increasing demands from the power sector.
Lanco Infratech has been awarded linkage for 660 MW (more…)
Royale Indian Rail Tours (RIRTL) operated — Maharajas Express [Super luxury Train] began its journey on March 6, as it left Mumbai for New Delhi.
RIRTL is a joint venture (JV) between Cox and Kings (India) and Railways Catering and Tourism Corporation (IRCTC). The super luxury train has a total of 23 coaches with a passenger capacity of 84. (more…)