Indian Equity Research and Investment Strategy
Credit Suisse continues to be optimisitc about the performance of Capital Goods Sector in India. Here are the top recommendations form the sector and their TARGET PRICES.
For ABB, around 33% of revenue and 43% of PAT accrue in the last quarter of the year. During the nine months ended September, ABB has registered revenue of Rs40.9 bn, which, extrapolated for the full year, is in line with our estimates. The stock is relatively stable and maintain OUTPERFORM rating with a DCF-based (more…)
With Anil Ambani’s nexus in the Telecom Ministry becoming obvious form out of turn favors Reliance is receiving, causing a huge loss to Government exchequer. Sunil Mittal is not going to sit quiet this time and refused to withdraw the petition filed against DoT.
However, here are some mixed views from Research Analysts on the stocks of Bharti Airtel and Reliance Communications.
HSBC Global Research:
Solid 2Q08 results; strong subscriber growth and margin expansion offset by 6% q-o-q drop in ARPU. Increase capex forecast; more towers to be built to meet higher subscriber targets imposed by regulator. Maintain Overweight but trim DCF-based target price by 3% from (more…)
ICICI Direct has initiated coverage on two of North India’s large realty players, Parsvnath Developers and Unitech Ltd with a Outperformer and Performer rating.
Parsvnath Developers:
Parsvnath Developers is developing more real estate than any other realty company in India. Parsvnath has a pan-Indian presence across 47 cities in 17 states. It is developing 153 million sq ft of saleable real estate over the next 4-5 years. Its land bank is mostly fully paid up and has clear title. Further, the cost of its land under development is about Rs 260 per sq ft.
The 153 million sq ft the company is developing is spread over 33 residential project (32.63 million sq ft), 22 commercial project (4.73 million sq ft), 18 integrated townships (77.55 million sq ft) and 4 IT parks (6 million sq ft). ICICI believes the company will be able to withstand any downturn in any segment by having presence in all segments. (more…)
It’s Diwali weekend and I received this report by Morgan Stanley marked high priority. Here is the interesting part of the report.
I have modified the chart to suit the requirements of this article. The market has been through nine corrections over the past four years. (more…)
Ranbaxy Laboratories has announced that the company has reached an agreement with Astellas / Boehringer Ingelheim to stipulate a remand of the pending federal circuit appeal and subsequent vacatur of the District court decision in regards to Flomax (Tamsulosin capsules). The case between the company and astellas / boehringer ingelheim has been dismissed without prejudice. The lawsuit in the U.S. was related to Astellas’ U.S. patent No. 4,703,063, covering Tamsulosin and its use in the treatment for functional symptoms of BPH (benign prostatie hyperplasia).
On June 20, 2007, the company received tentative approval from the U.S. FDA in regards to its Tamsulosin ANDA No. 77-451. The company will continue to pursue a strategy to effectively optimize its pipeline of First-to File (FTF) opportunities. The company believes that it has a FTF status on approximately 17 paragraph IV ANDA filings representing a market size of US $ 26 billion valued at innovator prices.
Ranbaxy Pharmaceuticals Inc. (RPI) based in Jacksonville, Florida, USA, is a wholly owned subsidiary of the company. RPI is engaged in the sale and distribution of generic and branded prescription products in the U.S. healthcare system.
Canara, Corporation and Oriental bank have reported weak numbers in their core business [Banking], yet DSP Merrill Lynch in a report has different recommendations for each of the stocks.
Canara Bank:
Canara Bank’s 2QFY08 PAT, although in line with estimates at Rs4bn owing to higher than expected other income and lower provisions, has shown lackluster topline performance. Topline has de-grown by 20% yoy and 12% qoq on the back of margin pressure. Margins have collapsed by 18bps qoq and 79bps yoy to
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