Latest broker research reports from KRChoksey buy, sell, hold, neutral recommendations along with target prices forecast and upside.
|Summary||Date||Stock||Broker||LTP||Target||Price at reco|
Change since reco(%)
|2020-10-21||HDFC Bank Ltd.||KRChoksey||1246.70||1427.00||1246.70||14.46||Buy|
|2020-09-21||HCL Technologies Ltd.||KRChoksey||871.05||893.00||821.00 (6.10%)||Target met||Accumulate|
To acquire Australia-based IT firm DWS Limited, expand presence in ANZ region HCL Technologies has announced its intent to acquire Australia-based IT, business and management consulting firm DWS Limited. DWS - listed on the Australian Securities Exchange (ASX) - employed 772 people as of June-end, has offices in Melbourne, Sydney, Adelaide, Brisbane and Canberra and provides a range of IT services including Digital Transformation, Application Development & Support, Program & Project Management and Consulting, mainly in Australia and New Zealand. The acquisition will be done by a process of Scheme of Arrangement to be approved by courts in Australia. It will be subject to the approvals of...
|2020-09-18||Solar Industries Ind..||KRChoksey||1020.30||1071.00||1088.60 (-6.27%)||Target met||Hold|
Company reported poor Q1FY21 due to subdued economic activity in the global as well as domestic market. Explosives sales volume declined by 24.0% YoY to 70,287 MT (vs 92,531 MT in Q1FY20) while realization declined by 7.0% YoY to INR 34,238/MT (vs INR 36,969/MT). Exports and overseas revenue contribution in Q1FY21 rose to 42.2% of revenue (vs ~31.5% in Q1FY20) and saw a growth of 6.0% YoY (+19.2% QoQ). Housing and Infra declined by 49.3% YoY (-34.1% QoQ, 22% of revenue), revenue from Coal India declined 10.4% YoY (-7.5% QoQ, 20% of revenue), Institutional revenue declined ~32.2% YoY (-30.7% QoQ, 10% of revenue), defense revenue declined 7.1% YoY (-11.4% QoQ, 5% of...
|2020-09-07||Emmbi Industries Ltd.||KRChoksey||81.75||96.00||81.60 (0.18%)||17.43||Buy|
Plant shut-downs & unavailability of daily wage laborers affects operations Emmbi reported 25% YoY decline in volume in Q1FY21 on account of reduced operating days in the initial period of lockdown and the exodus of laborers to their native places at the end of the quarter. Due to lockdown Emmbi's plants were completely shut for first nine days of lockdown and then gradually started operating at 20%, which improved to 50% (from 24th April) and to 80% by 3rd May. Though performance of exports was better, domestic...
|2020-08-20||Petronet LNG Ltd.||KRChoksey||224.70||319.00||251.65 (-10.71%)||41.97||Buy|
Kochi utilization to improve on new pipeline commissioning: PLNG's Kochi terminal is expected to see higher capacity utilization post completion of Kochi-Mangalore pipeline. The pipeline is expected to be commissioned in August. This will help increase utilization, going forward. We expect Kochi terminal capacity utilization level could reach to 30-35% in FY22E from current ~17%. We expect PLNG...
|2020-08-20||Glenmark Pharmaceuti..||KRChoksey||489.50||576.00||492.05 (-0.52%)||17.67||Buy|
Muted growth in the core geographies of India & the US: Glenmark reported largely in-line topline in 1QFY21 (-2.7% from our estimates) though it was muted due to pandemic, which resulted in domestic market growth of mere 3.7% YoY (+2.0% QoQ, 33% of sales). As per 1Q data of IQVIA, company had a growth of 5.5% (vs 1.8% decline in IPM) in the domestic market and strengthened its market share in core therapies of Cardiac (to 4.73% in 1QFY21 from 4.57% in 1QFY20), Diabetes (1.84% from 1.62%) & Respiratory (5.16% from 4.82%) while derma segment saw decline in market share to 8.82% from 9.06% earlier. Domestic business was also supported by launch of FabiFlu (Favipiravir) to treat COVID-19. The US market with growth of 1.6% YoY...
|2020-08-20||The Ramco Cements Ltd.||KRChoksey||793.65||751.00||730.25 (8.68%)||Target met||Hold|
The Ramco Cements reported standalone revenue decline of 25.0% QoQ (down 24.7% YoY) to INR 1,042 Cr in Q1FY21. The company's business operations were disrupted during Apr-20 due to lockdown imposed by the Government owing to COVID-19. After relaxation of restrictions by the Government, the business operations restored gradually and is continuing with weak demand in urban/semi-urban markets. EBITDA declined by 6.9% QoQ (down 27.6% YoY) to INR 260 crores in Q1FY21. EBITDA margin contracted by 101bps YoY to 25.1% in Q1FY21 from 26.0% in corresponding quarter last year, while on QoQ basis, EBITDA margin improved significantly by 487bps. Net profit in Q1FY21 declined 42.9% YoY to INR 110 crores, while on QoQ basis net profit declined 25.0%. Net profit margin for the...
|2020-08-18||Aarti Industries Ltd.||KRChoksey||984.50||1194.00||1128.10 (-12.73%)||Target met||Buy|
Aarti Industry's specialty chemicals plants were running at 50% utilization in April-20 and increased to 80% in June-20 after easing in the lockdown. Decline in specialty chemicals was largely due to the domestic market wherein most of the customers didn't resumed operations till June-20. Auto, Aero, Textiles, Paint manufacturing customers had greater impact on volumes while essential segments of economy like Agri, Pharma, FMCG customers were relatively stable (60% of specialty chemicals revenue). EBIT margin of specialty chemical segment contracted 717bps/208bps YoY/QoQ basis while that of Pharma...
|2020-08-17||Aurobindo Pharma Ltd.||KRChoksey||806.20||1027.00||864.35 (-6.73%)||27.39||Buy|
Aurobindo reported Revenue growth of 8.8% YoY (-3.8% QoQ) to INR 59.2 bn, led by the US, & Antiretroviral business. Formulation business grew 9.2% YoY( -4.8% QoQ, ~87% of revenue) while API rose 6.5% YoY (+3.2% QoQ, ~13% of revenue). EBITDA for the quarter rose 9.7% YoY (-4.5% QoQ) to INR 12.6 bn while EBITDA margin expanded 17 bps YoY/ (down 15 bps QoQ) to 21.2% in 1QFY21 (from 21.1% last year). Adj Net Profit rose 20.4% YoY (-6.8% QoQ) to INR 7.8 bn. Adj. Net Profit Margin for the quarter expanded 126 bps YoY to 13.2.0% (down 43 bps QoQ) from 11.9% in 1QFY20. Reported PAT came at INR 7,806 mn (+22.8% YoY, -8.1% QoQ). Investment in Research for the quarter was INR 2.5 bn at 4.3% of revenue. Net organic capex for the quarter was ~USD 49 million. Aurobindo received final approval for 10 ANDAs from USFDA during the quarter....
|2020-08-14||Shree Cements Ltd.||KRChoksey||21147.50||22710.00||21458.25 (-1.45%)||7.39||Hold|
Decline in volumes for 1QFY21 was higher than 4QFY20 because of only few COVID-19 affected weeks in 4QFY20. Sales volume for the current quarter declined 18.6% YoY (down 28.7% QoQ) to 4.9MT, attributed to COVID-19 related slowdown. Cement sales realization on consolidated basis was down 7.7% YoY at INR 5,031/t but improved...
|2020-08-14||Minda Corporation Ltd.||KRChoksey||68.65||92.00||72.25 (-4.98%)||34.01||Buy|
Minda Corporation Ltd, consolidated revenue from operations in Q1FY21 declined by 69.53% YoY and (down 66.82% QoQ) to INR 1779.60 Mn, impacted by lockdown. Gross profit margin for Q1FY21 came in at 37.77%. MCL reported EBITDA loss of INR 203.20 Mn compare to positive EBITDA of INR 666.8 Mn. EBTIDA margin for Q1FY21 was negative 11.42% compare to positive EBTIDA margin of 11.42%, significant decline was due to negative operating leverage, product mix and higher fixed cost. MCL reported net loss of INR 354 Mn in Q1FY21 as compare to net profit of 212 Mn in corresponding quarter last year....
|2020-08-13||Ashok Leyland Ltd.||KRChoksey||75.50||72.00||61.60 (22.56%)||Target met||Buy|
M&HCV; total volumes were down by 96% YoY to 1021 units, while total volumes of LCV segment declined of 78% to 2793 units. Total Volumes (M&HCV; and LCV) were down by 90% to 3814 units. The company reported absolute EBTIDA loss of INR 333.20 Cr in Q1FY21 compare to EBITDA of 537 Cr in corresponding quarter last year. Decline in EBTIDA was on account of higher fixed cost due to lockdown and lower operating leverage. For Q1FY21, AL reported Net loss of INR 389 Cr as compare to net profit of 230.20 Cr in corresponding quarter last year. Decline in profitability was due to poor operating performance and sharp decline in overall revenue....
|2020-08-11||Lupin Ltd.||KRChoksey||1002.55||979.00||940.20 (6.63%)||Target met||Buy|
Lower US sales due to seasonality & metformin recall; India affected due to lockdown: Lupin's India sales declined 1.7% YoY (up 7.8% QoQ, 37% of revenue) due to lockdown which primarily affected its acute therapies. North America declined 21.1% YoY (down 23.0% QoQ, 35% of revenue) due to lower sales of seasonal products like oseltamivir, recall of Metformin & lower sales of Azithromycin, apart from COVID impact. EMEA de-grew 4.0% YoY (down 31.5% QoQ, 7% of revenue) while Growth Markets declined 5.8% YoY (down 3.6% QoQ, 8% of revenue). ROW declined 46.0% YoY (down 17.3% QoQ, 1% of revenue). API revenue, however, rose 17.2% YoY (up 24.5% QoQ, 12% % of revenue)....
|2020-08-07||Sun Pharmaceutical I..||KRChoksey||490.20||619.00||525.95 (-6.80%)||26.27||Buy|
Sun Pharma reported Revenue decline of 9.4% YoY (down 7.3% QoQ) to INR 75,853 mn. EBITDA though declined 8.5% YoY to INR 15,051 mn, rose on QoQ basis by 17.2%. EBITDA margin expanded 23 bps YoY to 23.2% in 1QFY21 (from 23.0% in 1QFY20). On the sequential basis, EBITDA expanded by 487 bps. Company reported a net loss of INR 16,556 mn for the quarter primarily due to exceptional items of INR 36,333 mn during the quarter, company reported Adj Net Profit of 11,460 mn with a Net Profit Margin of 15.3% for the quarter. The Board of Directors of the Company at its meeting held on July 31, 2020, approved the Scheme of Amalgamation and Merger between the Company and Sun Pharma Global FZE (wholly owned subsidiary of the Company) which inter-alia, envisages merger of Sun Pharma Global FZE into the Company. The scheme shall be effective post receipt of required approvals and accordingly,...
|2020-08-05||Solar Industries Ind..||KRChoksey||1020.30||998.00||966.55 (5.56%)||Target met||Hold|
Global cues & slow industrial activity due to prolonged rain continue to affect volume; lower realizations due to subdued commodity prices: The management highlighted that unusually heavy monsoon & extended rainfall during the quarter impacted mining and infrastructure demand badly. There was also a general slowdown in the Indian as well as global economies, which affected demand in India, Zambia & Turkey. Company also had to face extension in delivery of Defense products from customer's end while expected new orders were further delayed. On account of this, the company's explosives sales volume declined during the quarter by 10.0% YoY to 94,927 MT while realization declined by 15% YoY due to global fall in...
|2020-08-04||CreditAccess Grameen..||KRChoksey||635.00||684.00||570.30 (11.34%)||Target met||Buy|
Efforts on collection efficiency: CAGL has 76% of collection efficiency for July'20 while MMFL has 64% as against 54% in Jun'20. Overall collection efficiency is expected to further improve during Sept'20 once the moratorium is over. Customer centricity and weekly repayments and majority of borrowers from rural areas has led to improved collections. Monthly repayments of MMFL shows lower collections when compared with...
|2020-08-01||Cholamandalam Invest..||KRChoksey||242.55||223.00||201.00 (20.67%)||Target met||Accumulate|
CIFC's Net Interest Income (NII) increased 13.8% YoY to INR 940 Cr. in Q1FY21 (up 3.3% QoQ) while PPOP grew 7.5% YoY/up 3.8% QoQ to INR 637 Cr, led by increase in asset under management. Provisions stood at INR 56 Cr. in Q1FY21 versus INR 557 Cr. in Q4FY20 (down ~90% QoQ) and INR 110 Cr. in Q1FY20 (down ~49% YoY)...
|2020-07-31||Colgate-Palmolive (I..||KRChoksey||1426.80||1507.00||1411.30 (1.10%)||5.62||Accumulate|
Colgate Palmolive reported revenue decline of 4.1% YoY (down 2.9% QoQ) to INR 10,406 mn as toothpaste/toothbrush volumes were affected due to COVID-19 led lockdown and disruptions. EBITDA margin expanded to 29.6% in Q1FY21 (27.6% in Q1FY20). EBITDA increased 2.7% YoY/ +17.2% QoQ. Net Profit grew 17.2% YoY (down 2.9% QoQ) to INR 1,982 mn due to lower taxation rate....