Brokerage Research Reports share price target

Credit growth continues to remain subdued despite availability of ample liquidity with banks.

Amid Covid-19 ARC business reported healthy AUM growth of 53.5% QoQ at | 66300 crore and recoveries at | 470 crore. For AMC business, AUM was at | 29400 crore with gross revenue at | 25 crore (yield at 0.08%). Higher operating costs marred EAML's PAT growth and led it to come in at | 2 crore....

Background: Indian Bank features among the mid-sized banks in the public sector space. As of 1QFY21, the bank had business of about 8.5tn operating through a network of 6062 branches. Prior to amalgamation with Allahabad bank, Indian Bank's footprint was largely skewed towards the southern states of Tamil Nadu, Karnataka, Andhra Pradesh and Kerala. Now the combined entity has a stronger presence in Central and Eastern states of India too. With RoA of ~0.26%, the bank features amongst the most profitable banks in the PSU space. The bank has...

At 90%, India recycles one of the highest percentages of PET waste in the world, which is more than many advanced economies such as Europe and Japan. Increasing adoption of products made from PET waste will drive demand for PET recycling solutions. Growing consumption of packaged food and beverages will ensure adequate PET waste supply for players in the recycling value chain. India...

Discoms in key states Rajasthan, Tamil Nadu, Uttar Pradesh, Karnataka, Maharashtra, J&K;, and Telangana account for 81% of the total overdue amount to gencos. In a positive move, the government has allowed a one-time relaxation to the eligibility criteria for discoms to avail working capital loans under the Atmanirbhar scheme by allowing PFC and REC to lend even beyond the cap of 25% of previous year's revenue. PFC/REC will now extend loans for dues pending till Jun'20 (Rs1.28tn), extending the previous set limit of Rs900bn as of Mar'20. Till date, Rs680bn has been sanctioned and Rs236bn in loans has been disbursed by PFC/REC....

The scheme had an outlay of Rs450bn in FY20. With export incentives a major source of other operating income for India generic majors, GOI's decision to cap export benefit of Rs20m under Merchant Export from India Scheme (MEIS) will impact 2-3% of earnings estimates from our pharmaceutical coverage universe. If withdrawal of the incentive scheme remains permanent, it would impact gross margin of high export-oriented companies such as Divis Lab, Dishman Pharma, Biocon, Strides Pharma, Jubilant Life, IPCA, Dr.Reddy's, Lupin, Aurobindo,Cipla and...

On PV side, MSIL's total volume rose a healthy 17.1% YoY to 1.24 lakh units. Its strong volume rebound was backed by 26.8% YoY rise in mini & compact portfolio, 13.5% growth in UVs. M&M;'s UV portfolio posted modest 2.8% YoY growth by comparison, with overall PV rise at 1.1% YoY to 13,651 units. CV segment's improvement from a low base continued, led by LCVs. LCV decline for Ashok Leyland was at 3.8% YoY while M&M;, MSIL posted healthy growth of 9%, 47.4% YoY, respectively. M&HCV; sub-segment continued to lag, albeit directional uptick carried over from the previous month. Ashok...

Auto sales clocked an expectedly healthy recovery across segments in Aug'20, barring MHCVs and 3Ws.

Capital Goods Near-term pain, structural story remains intact Cement Beats estimate, driven by lower costs and better realisations Consumer Rural leads, urban demand recovery from 2H likely Consumer Durable Will June recovery sustain? IT Services Resilient quarter, Multiple expansion on cards Infra Strong revival in execution amidst pandemic Life Insurance Growing in right areas...

Capital Goods Near-term pain, structural story remains intact Cement Beats estimate, driven by lower costs and better realisations Consumer Rural leads, urban demand recovery from 2H likely Consumer Durable Will June recovery sustain? IT Services Resilient quarter, Multiple expansion on cards Infra Strong revival in execution amidst pandemic Life Insurance Growing in right areas...