Personal Finance & Investment share price target and research reports

Name: Latest research reports of Personal Finance & Investment authored by HDFC Securities and published by - Trendlyne research reports.
Item: Personal Finance & Investment
Rating: 5
Author: HDFC Securities

Latest analyst research reports with target prices and PDF download for INTPERSFIN, Personal Finance & Investment

Search Inside the pdf :

Personal Finance & Investment

TREND | 15 Aug 2020

Market share gains continue

Personal Finance & Investment

Motilal Oswal

15 August 2020 The Ramco Cements (TRCL) 1QFY21 results highlight the companys continued market share gains. Volumes declined only 28% YoY for TRCL (v/s 53% YoY decline for regional peer India Cements). Cement EBITDA/t also improved to INR1,283 (+34% QoQ), led by higher prices in the South. We maintain our FY21/FY22E EPS estimates and retain valuation at 13.0x FY22E EV/EBITDA prices in the benefit of the expansion- led market share gains. Commissioning timelines of ongoing expansions have also been pushed ahead by 2-3 months due to COVID-19 disruption. Revenue/EBITDA/PAT was down 24%/ 25%/ 43% YoY to INR10.4b/INR2.6b/INR1.1b, but was 8% above est. for all three numbers due to better than expected volumes. Sales volumes declined 28% YoY to 1.94mt (v/s est. 1.76mt), better than industry that declined by ~50% YoY in South India.

Personal Finance & Investment

TREND | 10 Feb 2020

Mastek (Update): Taking a big leap. Maintain BUY

Personal Finance & Investment

HDFC Securities

We increase our TP to Rs 595 based on 9x (~18% discount to 5Y average) FY22E EPS plus Rs 31/sh for residual 4.7% stake in Majesco US. Mastek announced the acquisition of Evosys in a two step transaction, which involves cash payout of USD 65mn and dilution of 17.5% in Mastek Ltd. The deal is valued at EV/EBITDA of 9.2x and P/E of 11.2x based on FY19 financials and 70% economic interest. The deal is EPS accretive and will boost FY21/22E EPS by 11.8/14.1% respectively. Post the traction, Evosys promoters will hold 15% in Mastek Ltd and 30% CCPS in TAISTech, converted to equity based on targets over the next three years. This is a complex traction but involves value unlocking and diversification of revenue. Risk involves higher dependence on Oracle and multi geography footprint, which the company has not handled before.

Personal Finance & Investment

TREND | 06 Feb 2020

Alkyl Amines (3QFY20): Acetonitrile steals the show. Maintain BUY

Personal Finance & Investment

HDFC Securities

We remain constructive on AACL owing to healthy product demand from the Pharma/Agro industries, impending capacity expansion for multiple products and rising market share in Methyl Amines. Owing to better (1) Margin profile (EBITDA margin of 22-25% in FY20-22E vs ~19% for Balaji amines), (2) Return ratio (RoE of 38.5/29.8/25.4 in FY20/21/22E vs 16.1/15.1/13.5% for Balaji amines), we ascribe a valuation multiple of 22x Dec-21 EPS to Alkyl amines as against 13x for Balaji Amines. AACL beat our EBITDA/APAT estimates by 29.1/55.5% in Q3FY20. We bump-up our FY20 EBITDA estimate by 25.1% to factor in the 9MFY20 performance. We maintain BUY with a revised TP of Rs 1,840 (22x Dec-FY21 EPS).

Personal Finance & Investment

TREND | 03 Feb 2020

V-Guard Industries (3QFY20): Missing excitement. Maintain NEUTRAL

Personal Finance & Investment

HDFC Securities

After a mixed bag in FY19, this year was expected to be solid for revenue acceleration and recovery in margins. The co has failed to deliver revenue growth but margins have continued to expand. We expect partial recovery in revenue growth in 4QFY20. We believe various disruptions (Demon, GST, Floods) over the last 2 years delayed the benefits from its non-south investment. Co is now investing behind expanding its distribution and differentiating its revenue profile. We expect co's up-front investments on newer products to start accruing benefits once overall consumption improves. V-Guards 3Q performance was mixed with miss in revenue but beat in margins. Slow revenue growth was on account of weak growth in Stabilizers, Cables and Southern market. Fan and Water Heater posted healthy low double growth. Management has witnessed better growth in Dec-Jan as compared to Oct-Nov, thereby 4Q can be slightly better. The co continued its efforts to expand non-South markets in order to diversify its revenue profile. V-Guard also intends to add 3,000-5,000 retailers/year across the country for the next 5 years. Custom duty increase (10% to 20%) will impact competitive edge for V-Guard for Fans and KEA. We cut EPS estimates by 3-4% for FY20-22 on account of slow growth, rising competition in its growing products and custom duty increase. We value V-Guard at 35x on Dec-21 EPS, with TP of Rs 232. Maintain NEUTRAL.

Personal Finance & Investment

TREND | 03 Feb 2020

Balaji Amines (3QFY20): The subsidiary needs to breakthrough. Maintain BUY

Personal Finance & Investment

HDFC Securities

Given the (1) Uncertainty in the ramp up of BSCPL (2) Muted earnings growth prospect (3) Declining return ratios (ROE: 16.1/15.1/13.5%, RoIC: 22.5/21.7/18.8% in FY20E/21E/22E), we prefer Alkyl Amines over Balaji in the amines space. Maintain BUY. We maintain BUY on BAL, post its muted performance in Q3FY20, with a TP of Rs 490 (13x Dec-21E EPS). The operating performance was adversely impacted by lower product realizations but offset by strong volume traction.

Personal Finance & Investment

TREND | 29 Jan 2020

Navin Fluorine International (3QFY20): Overvalued. Maintain SELL

Personal Finance & Investment

HDFC Securities

Given the newly signed long term contracts in the CRAMS BU at Dewas and a growing customer base (Europe now accounts for 50% of order book vs erstwhile 100% from US), we have better earnings visibility for NFIL's high margin CRAMS BU. Hence, we raise our FY21/FY22 EPS estimates by 13.3/13.5% to Rs 46.8/51.8. Post announcement of Rs 4.50bn of capex for Greenfield project at Dahej on Dec 12th, the stock has already surged 35.8%, pricing in the key positives. Our revised TP comes to Rs 1,011 (20x Dec-21E EPS). Maintain SELL. We retain our SELL rating on NFIL as the CMP already bakes in the (1) Earnings visibility from the CRAMS BU, and (2) Earnings potential of the Greenfield project at Dahej. The stock is currently trading at 25.5/22.9x FY21/22E EPS, which is contextually high, given the return ratios of RoE 16.2/18.3/17.9% and RoIC 23.0/23.2/21.0% in FY20E/21E/22E.

Personal Finance & Investment

TREND | 28 Jan 2020

Dr. Reddy's Labs (3QFY20): Positive outlook priced in. NEUTRAL

Personal Finance & Investment

HDFC Securities

Key downside risks: Delay in resolution of facilities, delay in approvals; adverse outcome on drug price fixing lawsuit in US; Key upside risks: higher growth in India and EM markets, resolution of plants. We resume coverage on Dr Reddys with a Neutral rating and a TP of Rs 3,440 based on 20x FY22 EPS. With improved performance across geographies we believe the multiple is well justified. While DRL has a rich pipeline of products for the US market, approval and launch timeline for key products - gNuvaring and gCopaxone does remain elusive. Despite factoring in these launches along with sustenance of good performance in non US markets and margin expansion as per company outlook, upside is limited from current market price.

Personal Finance & Investment

TREND | 15 Nov 2019

Prestige Estates Projects (2QFY20): Asset monetization awaited. Maintain NEUTRAL

Personal Finance & Investment

HDFC Securities

Despite an encouraging quarter on collections and pre-sales, PEPL has seen further debt built up, posing a challenge for the management in achieving optimal leverage (target D/E of 1.4 by FY20E). One of the few positives is that ~64% of debt is backed either by annuity or by rental securitization/ bill discounting. Launches during 1HFY20 were largely tilted towards commercial projects (6.2mn sqft out of 7.9mn sqft). The company continues to look at opportunities for monetization of its retail/hospitality assets and update on the same (expected in 3QFY20) would provide a re-rating trigger. Retain NEU with Rs 297/sh TP. We maintain NEU on Prestige Estate (PEPL) despite pre-sales and collections holding steady, owing to increasing debt and limited visibility on asset monetization. Our SOTP based TP is Rs 297/sh. We have increased our FY20/21E EPS estimates by 16%/20% respectively.

Personal Finance & Investment

TREND | 11 Nov 2019

Capacite Infraprojects (2QFY20): Robust outlook. Maintain BUY

Personal Finance & Investment

HDFC Securities

CIL 2QFY20 was largely in line with miss on APAT. Extended monsoon impacted execution. With robust financially closed order backlog of Rs 111.3bn ((5.5x FY20E rev) we model for 26/39% FY19-21E Rev/APAT CAGR. The order book is now well balanced between Private/Govt clients. This brings in diversification and lowers risk premium as revenue predictability improves with Govt. clients. We Maintain BUY with an increased TP of Rs 360/sh. Key risks (1) Slowdown in real estate (2) Delay in debtors recovery & (3) Slowdown in Government Capex. Capacite Infraprojects Ltd (CIL) delivered Rev/EBIDTA/PAT miss of 2.3/2.1/16% respectively led by extended monsoon. Large CIDCO order win of Rs 45bn was the key highlight of 2QFY20. We maintain BUY on CIL with an increased TP of Rs 360/sh (12.8x FY21E EPS).

Personal Finance & Investment

TREND | 24 Oct 2019

Navin Fluorine International (2QFY20): High margin business to drive growth. Maintain BUY

Personal Finance & Investment

HDFC Securities

The legacy business should continue to grow at a slower pace as investments are largely flowing into CRAMS and Specialty chemicals. New orders in CRAMS give earnings visibility. The specialty business is also demonstrating robust traction. Both these BUs will boost margins. Maintain BUY with a TP of Rs 870 (20x Sep-21E EPS). We maintain BUY on NFIL post a beat on our estimated EBITDA owing to strong growth in the specialty chemicals business unit (BU). Our confidence in NFIL is further boosted as CRAMS BU exhibits clearer earnings visibility.

VOTE: What's your call on Personal Finance & Investment?

2 Votes:

Buy 100.0%