Brokerage Research Reports share price target

Policy driven optimism?

Corporate earnings further gained momentum as economic activity rebounded in the post Covid unlocking era with optimism fuelled by the festive season. Q3FY21 earnings staged an impressive show and were broadly ahead of estimates as corporates continue to benefit from lower raw material costs and realised leaner cost structures. Management commentary was enthused by the recent growth oriented Union Budget by the central government with conducive macroeconomics supporting healthy growth prospects, going forward....

Highly modular nature of capex with initial focus on CNG to ensure high ROCE. We hosted four CGD players, a retired policy expert and a Morbi based ceramic major to understand growth drivers for City Gas Distribution (CGD) sector. All CGD participants were extremely positive on growth prospects and expect accelerated development ahead. We sensed that the recent regulatory clarifications added to their comfort. Steep discounts to petrol and diesel is driving CNG volumes and overall margins for CGDs. The CGD players are fairly confident in meeting their aggressive Minimum Work Programme...

January's trade deficit came in at USD 14.5 billion, fairly in line with expectations.

Our interaction with cement dealers suggests that at an all India level, avg. cement price is flat MoM in Feb-21. Region wise, price increase is seen in West, East and Central region at 1%, 3% and 1% MoM respectively and North, South has declined by 1%, 2% MoM. At an All India level, cement prices in Q4FY21 (Jan, Feb) is soft and down 1% QoQ. Cost has moved up, in Feb-21 imported coal price (adjusted for exchange rate) is up 16% MoM. Average price of imported coal in Q4FY21 (Jan, Feb) is up 47% vs Q3FY21. Increase in the energy price and no hike in cement price is negative for EBITDA/t of the companies. On demand front, all India cement...

ONGC reported in-line sales volumes, with realization at USD43.2/bbl. Crude oil production has reached last year's levels, while gas is still marginally lower YoY due to lower offtake by customers on account of COVID-19. For FY21/FY22, the company has guided for oil production at ~22.5mmt/23mmt (flat YoY), while gas production is set to increase to ~23bcm/25bcm (+8% YoY), although lower than earlier estimates. COVID has caused further delay in KG-DWN-98/2, with the peak production target to be achieved over 202324. Production is likely to rise to 2.5...

The results include the combined earnings of M&M; and Mahindra Vehicle Manufacturers (MVML), which is a manufacturing unit of M&M.; On a consolidated basis, the company reported a net profit of Rs 704 crore in Q3 December 2020, up 252% over net profit of Rs 200 crore in Q3 December 2019. Total income increased...

Strong bid pipeline of Rs406bn public sector & Rs250bn private sector projects over 6 months, with primary focus on affordable housing and hospital projects. With sharp uptick expected in CIDCO & other key projects, company guided...