Research Reports published by MOTILAL OSWAL

Kotak Mahindra Bank Ltd.    
26 Oct 2020
Motilal Oswal
Kotak Mahindra Bank (KMB) reported a strong quarter with lower provisions and higher treasury income boosting earnings, even as core PPOP grew 19% YoY. The bank reported an uptick in fee income and margins too expanded 12bp QoQ, while loan growth stood flat. On the asset quality front, slippages stood lower (partially aided by the SC order), driving sequential improvement in asset quality ratios, while PCR increased sharply...
HDFC Securities increased Accumulate price target of Kotak Mahindra Bank Ltd. to 1426.0 on 27 Oct, 2020.
Hindalco Industries Ltd.    
26 Oct 2020
Motilal Oswal
Hindalco (HNDL) remains our preferred non-ferrous pick owing to its (a) robust volume recovery both in India and Novelis, (b) strong primary aluminum business profitability given its low-cost integrated aluminum operations in India (in top quartile globally) and higher LME, (c) solid FCF generation, which should reduce leverage sharply, and (d) reasonable valuation. With ~70% EBITDA contribution now coming from the non-LME business (Novelis), we also see relatively higher stability in HNDL's earnings. While we expect aluminum prices to sustain on the back of demand recovery,...
Hindalco Industries Ltd. is trading above it's 200 day SMA of 158.3
Aurobindo Pharma Ltd.    
26 Oct 2020
Motilal Oswal
Aurobindo Pharma (ARBP) has announced the divestment of Natrol, a whollyowned unit of its US-based subsidiary, for USD550m (~INR40b) as an all-cash deal. Considering Natrol's FY20 sales/PAT at USD157m/USD27m, the deal is attractive at valuation of 3.5x EV/Sales and 20x P/E on FY20 basis....
Promoters pledge increased to 9.34% of holdings in Sep 2020 qtr.
Persistent Systems Ltd.    
26 Oct 2020
Motilal Oswal
Persistent reported sequential revenue growth of 3.9% (USD) and an EBIT margin of 12.1% (~170bp expansion), ahead of estimates. Growth was driven by the Services business, partly offset by the IP portfolio due to seasonality in the Reseller business. Broad-based performance was encouraging. Healthy growth in Services despite a high base indicated steady progress on the turnaround. Management commentary further implied a healthy deal pipeline in the Services business. We expect this vertical to continue to deliver even with...
Number of FIIs/FPIs holding stock rose by 28 to 225 in Sep 2020 qtr.
Motilal Oswal
Torrent Pharma (TRP) delivered in-line 2QFY21 results. Revival in the Domestic Formulations (DF) / Germany businesses was offset by muted growth in the US and currency headwinds in Brazil. Reduced opex kept profitability elevated. With the outlook for India/Germany/Brazil improving, TRP is expected to outperform the industry on new launches / better traction in existing products. Growth in the US hinges on the Dahej/Indrad regulatory resolution. We raise our EPS estimate for FY21/FY22 by 4%/2% to factor in: a) the gradual normalization of opex on marketing in Branded Generics, b)...
Torrent Pharmaceutic.. has an average target of 2644.71 from 7 brokers.
Motilal Oswal
Persistency improved across cohorts, with the highest improvement seen in 61st month (by 340bp YoY to 60.9% in 1HFY21), which aided growth in the Renewal business. The company continues to maintain cost leadership, with the total expense ratio declining to 7.7% (~220bp YoY improvement). 2QFY21 shareholders' PAT grew 131% YoY to ~INR3.0b (in-line). Overall, we expect SBILIFE to deliver 17% VNB growth over FY2023E. We further expect VNB margins to improve to ~21% and operating RoEV to...
SBI Life Insurance C.. has an average target of 987.38 from 8 brokers.
Number of FIIs/FPIs holding stock fell by 18 to 255 in Sep 2020 qtr.
MphasiS Ltd.    
24 Oct 2020
MphasiS Ltd. has gained 94.61% in the last 6 Months
JSW Steel Ltd.    
24 Oct 2020
JSW Steel Ltd. has gained 42.14% in the last 1 Year
Tech Mahindra Ltd.    
24 Oct 2020
Tech Mahindra Ltd. has an average target of 818.67 from 18 brokers.