Indian Equity Research and Investment Strategy
Indian market failed to build upon the June recovery and ended the month of July down -3.4%. The main factors contributing to the downfall are European Sovereign debt crisis, US debt ceiling deadlock and dampened appetite for risky assets. This coupled with a muted Q1FY12 results season held back Indian equities.
Domestic Factors – RBI the Bollywood Police – In Action but too Late – by raising policy rates by 50bps to 8% vs. expectations of (more…)
SEBI’s current Chairman, Sinha is an ex-MutualFund Industry Captain [ Ex-Chairman of UTI AMC]. As expected, he has started the regime of favoring brokers again, though at modest levels. He ordered,
In order to help Mutual Funds penetrate into retail segment in smaller towns, the distributor would (more…)
HDFC Bank (HDFCB) has matched its historical run-rate (Y-o-Y) of 30% plus. Net profit grew 33% yoy driven by strong loan growth of 30% yoy and 10% qoq, stable sequential NIMs despite a
rapid rise in deposit rates, and robust asset quality.
NII grew by a moderate 18.6% YoY to Rs28.5bn led by a modest but healthy credit growth (20% YoY and 9.7% QoQ) while NIM (more…)
TCS posted revenue of US$2,412mn, up 7.5% qoq, majorly led by volume growth. 7.5%QQ up-tick in volumes was the key driver of TCS’ 7.5%QQ growth in $-revenues. The key surprise was the strong growth in telecom vertical (+14.3%QQ) c.f. declines seen at Infosys and also the fact that none of TCS’ clients were postponing outsourcing decisions makes (more…)
HDFC announced its quarterly results and it is a script written by Mr. deepak Parekh a deade ago and it continues to be played in the same style. 20% Growth rate 🙂 I have been observing this stock for the past 15 years when I first bought it and despite Gloom or Boom, it maintains its own growth trajectory delivering consistent returns like Gold. [HDFC Outperforms Returns Delivered by the Yellow Metal] Low NPA, Strong Management, High Dividends, etc makes it enjoy higher discounting than the rest in the crowd.
HDFC reported 1Q12 net profit of Rs8.45bn up 22% y/y inline. Adjusted loan book growth (sale of loans) was robust at ~25% y/y (more…)
Infosys Technologies, once upon a time the bellwether of the Global Outsourcing Industry, in our view has failed to move past the point of inflection and is Done company [Company which can’t grow QoQ, is Done and Matured enough with Fat & Contended Management] for Investors looking for a Stock that can beat the benchmark. [Evident from the Sell-Off]
1QFY12 turned out to be a weak quarter as Infosys dealt with multiple issues on reorganization, high attrition levels and operational (more…)