Monthly archives for November, 2022
| Current valuations of RBL Bank provide for an attractive entry point for investing in the stock: Ventura | |
| Company: | RBL Bank |
| Brokerage: | Ventura |
| Date of report: | November 28, 2022 |
| Type of Report: | Initiating Coverage |
| Recommendation: | Buy |
| Upside Potential: | 70.8% |
| Summary: | In our opinion, the current valuations provide for an attractive entry point for investing in the stock with a good risk-return profile over the next 2 years. We initiate coverage on RBL with a BUY for a price target of INR 256.2 (~1.0x FY25 P/B) which represents a potential upside of 70.8% from the CMP over the next 24 months |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | RBL Bank, Ventura |
| IT is a secular growth sector. Valuations are now reasonable: Edelweiss | |
| Company: | IT Sector |
| Brokerage: | Edelweiss |
| Date of report: | November 24, 2022 |
| Type of Report: | Sector Report |
| Recommendation: | Buy |
| Upside Potential: | 100% |
| Summary: | IT sector at reasonable valuations: We elaborated earlier that IT stock’s valuation has corrected 17%-49% and Nifty IT index valuation corrected by 27%. Since then, valuations have inched up but valuation is broadly within the reasonable band (albeit at higher side of the band) adjusted for RoCE & growth rate expansion post-pandemic. |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | Edelweiss, IT Sector |
| Rollover Analysis. Bulls are in the Driver’s Seat: Edelweiss | |
| Company: | Model Portfolio |
| Brokerage: | Edelweiss |
| Date of report: | November 25, 2022 |
| Type of Report: | Techno-Funda |
| Recommendation: | Buy |
| Upside Potential: | 100% |
| Summary: | Bullish momentum which spilled over from October series in the form of short covering was held intact as bulls were unperturbed by any worries on global front. November series also witnessed fresh All time highs being registered on a closing basis. Bullish sentiments were distinctly visible as participants were confident of rolling over their bullish bets which was evident in high roll cost in Nifty. Last time Nifty had witnessed such a high roll cost was way back in September’20 series. |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | Model Portfolio, rollover analysis |
| ROLLOVER ANALYSIS. REMAIN BULLISH AND USE ANY CORRECTIONS TO ACCUMULATE LONG POSITIONS WITH SL OF 18000: HDFC Sec | |
| Company: | Model Portfolio |
| Brokerage: | HDFC Sec |
| Date of report: | November 25, 2022 |
| Type of Report: | Techno-Funda |
| Recommendation: | Buy |
| Upside Potential: | 100% |
| Summary: | To Sum it up, Lower stock Futures’ Open Interest (compared to all time highs), Lower Open Interest in the Nifty Futures’ as compared to last 17 year average OI of 2.08 Cr shares despite Nifty near all time highs, FIIS long to short ratio in the Index Futures at 3.28 (Aggressive Long build up by FIIS in the Index Futures segment), aggressive Put writing at 18000 levels and strong recovery in the global markets from the recent lows indicates that downside is limited in the Nifty and one should remain optimistic for the December series also. |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | HDFC Sec, technical analysis |
| AXIS Bank is on track to deliver steady performance. Buy for target price of Rs 1195 (35% upside): HDFC Securities | |
| Company: | Axis Bank |
| Brokerage: | HDFC Sec |
| Date of report: | November 25, 2022 |
| Type of Report: | Result Update |
| Recommendation: | Buy |
| Upside Potential: | 35% |
| Summary: | AXSB finally seems to be on track to deliver steady performance with lower shocks. While the bank is on track to deliver ~14-15% RoE over the next couple of years, we argue that enhanced productivity and gradual exercising of pricing power in chosen segments could drive sustained medium-term RoEs. We argue for a gradual convergence in valuation multiples with ICICIBC |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | Axis Bank, HDFC Sec |
| Best Defense stocks to buy, hold or sell: ICICI Securities | |
| Company: | Defense Sector stocks |
| Brokerage: | ICICI Securities |
| Date of report: | November 24, 2022 |
| Type of Report: | Model Portfolio |
| Recommendation: | Buy |
| Upside Potential: | 100% |
| Summary: | Despite formidable stock returns of ~70% on average over a year, we believe there is further steam left in the sector on the back of robust orderbooks and improving earnings quality. We maintain HAL (BUY; TP: Rs3,170), BEL (BUY; TP: Rs125) and Astra Microwave (BUY; TP: Rs380) as our preferred picks in the space. We maintain SELL on MDSL (TP: Rs575) and GRSE (TP: Rs390) owing to earnings peaking out by FY25 |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | Defense Sector Stocks, ICICI Securities |
| Home First Finance is trading at attractive valuations. Buy for target price of Rs 900 (34% upside): Motilal Oswal | |
| Company: | Home First Finance |
| Brokerage: | Motilal Oswal |
| Date of report: | November 16, 2022 |
| Type of Report: | Result Update |
| Recommendation: | Buy |
| Upside Potential: | 34% |
| Summary: | Home First Finance (HomeFirst), in our view, is among the few high-quality and transparent franchises in the listed Affordable Housing Finance (AHFC) sector. Particularly, the company has demonstrated consistent execution on its guided metrics, across AUM growth, margins/spreads, asset quality, and credit costs. |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | Home First Finance, Motilal Oswal |
| Nifty target is at 20,000 i.e. 21x PE on FY24E EPS of Rs 950: ICICI Direct | |
| Company: | Model Portfolio, Nifty |
| Brokerage: | ICICI-Direct |
| Date of report: | November 17, 2022 |
| Type of Report: | Model Portfolio |
| Recommendation: | Buy |
| Upside Potential: | 100% |
| Summary: | With capex cycle revival under way domestically and increasing acceptance of India as a credible, quality driven manufacturing hub (export opportunity), we stay constructive on overall markets. We believe any dips should be used to build a long term portfolio of quality companies that have lean balance sheets, are capital efficient in nature and possess growth longevity |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | NIFTY |
| PNC is likely to be one of the major beneficiaries of the Jal Jeevan Mission. Buy for target price of Rs 350 (34% upside): ICICI Direct | |
| Company: | PNC Infratech |
| Brokerage: | ICICI-Direct |
| Date of report: | November 16, 2022 |
| Type of Report: | Result Update |
| Recommendation: | Buy |
| Upside Potential: | 34% |
| Summary: | PNC Infratech has established itself as a strong executor in the roads, water infra and airport runway segments. Additionally, superior execution capabilities via ownership of modern equipment and in-house teams enables PNC to deliver projects on time. PNC has executed 70 major infrastructure projects till date. |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | ICICI-Direct, PNC Infratech |
| Globus Spirits is valued at Rs 1000 i.e. 11x P/E on FY24E EPS (34% upside from CMP of Rs 747): ICICI Direct | |
| Company: | Globus Spirits |
| Brokerage: | ICICI-Direct |
| Date of report: | November 17, 2022 |
| Type of Report: | Result Update |
| Recommendation: | Buy |
| Upside Potential: | 34% |
| Summary: | Globus Spirits (GSL) is the largest grain based ENA manufacturer in India with a capacity of 250 million litre. The company is also a supplier of Indian made Indian liquor (IMIL) and premium IMFL in India. |
| Full Report: | Click here to view full post with link to download pdf file |
| Tags: | Globus Spirits, ICICI-Direct |