The Equity Research Desk provides fundamental analysis of capital market-related entities to aid wise investment decisions. The analysis also includes IPO news and updates. An Initial Public Offering allows investors to explore the opportunities in various sectors. Nirmal Bang’s IPO watch helps market participants to stay abreast of all the latest developments in this segment.

Monthly Report - May'21 Series

01-May-21

The key contents of the report are as follows: Market Outlook Fundamental Stocks ? ICICI Bank ? S.H. Kelkar Technical Outlook Technical Stocks ? GLAND ? NATIONALUM Derivatives Outlook Derivatives Strategies ? NIFTY ? SUNPHARMA

Market Outlook - April 2021

13-Apr-21

Market Outlook April’21 Q4 results are likely to show substantial growth on account of lower base, high commodity prices and continuation of demand growth of Q3 into Q4 QoQ may see some moderation in EBITDA margin though absolute EBITDA to increase by 8% Management commentary for near term will be cautious due to second wave. May see some downgrades by analysts for FY22 EPS Small cap is at all time high but near term cautious outlook can have higher impact on price. In small cap market see near term results Valuation running at all-time high, leaving little scope for rerating China has recovered and is changing the track to deleveraging Whereas US’s full recovery may still be away by 1-2 quarters FII flow has slowed down and may remain lower in near term May see some more correction in Near term however same can be used to buy quality stocks for long term.

Monthly Metalliks- Febraury/March 2021

03-Apr-21

• Chinese steel (HRC) export price sustain upward trajectory in March 2021 to ~US$ 735/tonne • China Crude steel output down by 10% on monthly premises to 83mn tonne in Feb’21 owing to curtailed production to control air pollution and prevent excess steel output and, However the production in Jan-feb21 improved by 13% yoy due to increasing domestic demand as Chinese infrastructure projects and Real estate market surged after being hit by COVID-19. • India crude steel production is down by 11.7% and 3.2% on MoM and YoY basis respectively to 9.1mnt owing to lesser number of days in Feb. Domestic consumption reduced by 3% on MoM basis to 9.12mnt. • Domestic steel players continue to increase the steel prices given the pick-up in domestic demand and firm trend in international prices. HRC prices increased by 42% yoy to Rs 54,516/tonne and Rebar price increased by 22% yoy to Rs49,375/t in Mar 2021.

Monthly Report - Apr'21 Series

27-Mar-21

The objective of the report is to provide you insights into Equity markets, both from the Fundamental and Technical perspectives along with the stock picks for short to medium term. The key contents of the report are as follows: Market Outlook Fundamental Stocks ? Mayur Uniquoters ? Sanghi Industries Technical Outlook Technical Stocks ? Berger Paint ? Nocil Derivatives Outlook Derivatives Strategies ? NIFTY ? ONGC

Monthly Report - Mar'21 Series

27-Feb-21

We at Nirmal Bang Retail Research Desk are pleased to provide you with our Monthly Report followed after every F&O expiry. The objective of the report is to provide you insights into Equity markets, both from the Fundamental and Technical perspectives along with the stock picks for short to medium term. The key contents of the report are as follows: Market Outlook Fundamental Stocks ? Amber Enterprises ? Divis Laboratories Technical Outlook Technical Stocks ? MINDACORP ? NELCO Derivatives Outlook Derivatives Strategies ? NIFTY ? COALINDIA

Vaibhav Global Ltd Q3FY21 Result Update

23-Feb-21

Valuations and Recommendation The stock continued its outperformance against the broader indices backed by its strong and consistent financial performance. We remain positive on the future prospects of the company. We are projecting 24%/37% CAGR in sales/EBITDA between FY20-FY23E, led by improvement in EBITDA margins to 16.5% in FY23E from 13.2% in FY20. We are introducing FY23E projections and shifting our target multiple FY23E. The stock is currently trading at 18.5x on our FY23E earnings. Though the stock has achieved all our earlier targets, we remain upbeat on the near to medium term prospects and recommend HOLD on the stock with a target price of Rs 3593 (23x FY23E).

Union Budget FY21-22

02-Feb-21

Budget Summary FM has provided timely stimulus to economy through this budget This support shall continue in coming year as well No negative in the budget itself acted as a positive Q3 results are seeing growth YoY and have reached higher than pre COVID levels Stimulus will help revive growth Benefit of this budget will be indirect; No major direct up-gradation of earnings due to budget As such implementation will be the key Valuation has gone through the roof which will cap the upside in near term Budget is long term positive

Monthly Report -Feb' 21 Series

30-Jan-21

We at Nirmal Bang Retail Research Desk are pleased to provide you with our Monthly Report followed after every F&O expiry. The objective of the report is to provide you insights into Equity markets, both from the Fundamental and Technical perspectives along with the stock picks for short to medium term. The key contents of the report are as follows: Market Outlook Fundamental Stocks ? Infosys ? Repco Home Finance Technical Outlook Technical Stocks ? Jyothy Labs ? V-Guard Derivatives Outlook Derivatives Strategies ? NIFTY ? SAIL

Monthly Report - Jan'21 Series

02-Jan-21

We saw Nifty moving up by over 7% in December month driven by optimism on account of additional stimulus in US and Europe, positive news on vaccine approval and increasing commodity prices. Real Estate, Metal and IT sector outperformed whereas Auto, Power and Oil & Gas underperformed The expectation of stimulus by developed nations and a depreciating dollar have further moved money into emerging markets. We saw emerging markets like Brazil, Russia and South Africa along with India outperform developed nations which were impacted by increasing COVID cases and further lockdowns. Going forward the expectation of better results for Q3FY21 is driven by further opening up of economy along with festival season leading to an increase in demand and an increase in commodity prices. Various companies in sectors like IT, Metal, Cement, Ceramic, select Auto, various basic chemical, Textile, Appliances are likely to report better results whereas the larger sector viz Financial will recognize NPAs post moratorium. Sectors like Travel and Hospitality are still struggling whereas Retail is coming back. Some companies will also see margin pressure on account of increasing commodity prices. In the later half of Jan the expectation of Budget will also get built-up and can support the market. Sentiment related to the start of administration of vaccine in India to frontline workers can also support the market. Although, one needs to be watchful of - inflow of funds from FIIs where the pace has slowed down in recent past; and the excessive valuation of the market. We expect sentiment to remain positive in Jan Month and Market may move towards 14500.

Monthly metallix- Sector Update

01-Jan-21

GLOBAL METAL DYNAMIC Ferrous • Chinese steel (HRC) export price sustain upward trajectory in December 2020 to ~US$665/tonne. (up by 20% mom),However the prices are down 1.1% on FY20YTD (April-Dec20) basis. • China Crude steel output down on monthly premises to 87.7mn tonne in Nov’20 owing to curtailed production amidst winter restriction, the production for YTD (April-Nov 2020) stood at 730 mn tonnes– up 7.2% YoY. • China recorded iron ore production at 75.2mnt in Nov'20,down by 4% MoM, The output for FY20 (April-Nov) recorded ~1.5% rise to 604mnt. The output picked up amid high Chinese demand. • Iron ore prices (CFR China 63% Fe) increased by 23% on mom basis to US$153/tonne on increasing buying interest among steel players and supply tightness • Australian coking coal prices remained unchanged at USD 100/tonne as most of the buyers have slowed down their procurement activities ahead of upcoming new year-end holidays • India crude steel production up by 2% on mom basis to 9.2mnt.. Robust demand in the domestic market from the auto and consumer durable sectors led to an increase in production. The mills continued to operate at around 89% of their production capacity during the month. • Domestic steel players continue to increase the steel prices given the pick-up in domestic demand and firm trend in international prices. HRC prices increased by 13% to Rs 52,500/tonne and Rebar price increased by 17% to Rs51,100/t in Dec 2020. • Domestic iron ore prices in India remain supported on the back of tight availability (slower ramp up of mines in Odisha), Prices of iron ore lumps as well as fines increased to Rs. 5200/tonne & Rs. 4610/tonne during the month of Dec’20 Non-ferrous • Key metals Aluminium/zinc/copper and lead witnessed an improvement of 4.7%/5.2%/9.9% and 5.1% mom respectively to US$2,036/t, USD2,822/t. USD7,786/t and USD2,031/t. • The surge in base metals has been powered by expectations that the coronavirus vaccine deployment next year will ease global economic sufferings. Chinese rapid economic rebound and weak dollar has also supported the uptick in base metal prices

Metal monthly-Metallix-Oct/Nov 20

01-Dec-20

GLOBAL METAL DYNAMICS Ferrous • Chinese steel (HRC) export price sustain upward trajectory in November 2020 to ~US$ 546/tonne. (up by 5.6% mom),However the prices are down 5.6% on FY20YTD (April-Nov’20) basis. • China Crude steel output down marginally on monthly premises to 92.2mn tonne in Oct’20 owing to curtailed production and winter restriction, the production for YTD (April-Oct 2020) stood at 642 mn tonnes– up 7.1% YoY. • China recorded iron ore production at 78.42 mnt in Oct'20, up by 6.7% MoM, The output for FY20 (April-Oct) recorded ~2.5% rise to 529mnt. The output picked up amid high Chinese demand. • Iron ore prices (CFR China 63% Fe) increased by 3.2% on mom basis to US$123/tonne on increasing buying interest among steel players. • Australian coking coal (HCC Premium) fell by 24.2% MoM to $90/tonne as demand sentiments weakened amid growing panic over the impact of possible coal import restrictions in china, the prices are down by 40% on FY20YTD basis. • India crude steel production up by 6.3% on mom basis to 9.06mnt on improved capacity utilization and pick up in downstream demand from construction, auto & white goods sector, The production for YTD (April-October 2020) stood at 49mnt down by 23% YoY. • Domestic steel players continue to increase the steel prices given the pick-up in domestic demand and firm trend in international prices. HRC prices increased by 7.4% to Rs 46,000/tonne amd Rebar price increased by 9.5% to Rs42,488/t in Nov 2020. • Domestic iron ore prices in India remain supported on the back of tight availability (slower ramp up of mines in Odisha), Prices of iron ore lumps as well as fines increased to Rs. 4,000/tonne & Rs. 3,610/tonne during the month of Nov’20 Non-ferrous • Key metals Aluminium/zinc/copper and lead witnessed an improvement of 6.6%/9%/5% and 7% mom respectively to US$1940/t, USD2675/t. USD7047/t and USD1921/t. • The surge in base metals has been powered by expectations that the coronavirus vaccine deployment next year will ease global economic sufferings. Chinese rapid economic rebound and weak dollar has also supported the uptick in base metal prices Metal Pick • SAIL- We expect a twin trigger of volume improvement and deleveraging, SAIL is poised for a structural improvement in operating performance. With increasing steel prices and lower coking coal price we expect SAIL to report an EBITDA/T of Rs8000/t plus in Q3FY21. We recommend buy for sail with a target price of Rs 60/share.

Monthly Report - Dec'20 Series

28-Nov-20

We at Nirmal Bang Retail Research Desk are pleased to provide you with our Monthly Report followed after every F&O expiry. The objective of the report is to provide you insights into Equity markets, both from the Fundamental and Technical perspectives along with the stock picks for short to medium term. The key contents of the report are as follows: Market Outlook Fundamental Stocks ? Cholamandalam Investment & Finance ? Laurus Labs Technical Outlook Technical Stocks ? HEROMOTOCO ? MANAPPURAM Derivatives Outlook Derivatives Strategies ? NIFTY ? TATAPOWER

AU Small Finance Bank Ltd - Initiating Coverage

18-Nov-20

Valuation and Recommendation: With a long run-way for growth and visible ROE stabilization at ~18% + levels in the medium term on the back of - strong AUM CAGR of 30% over FY21-25E and lower credit costs, we believe AU’s valuations will gravitate towards that of leading banks and NBFCs demonstrating similar ROE, growth and asset quality profile. We value AU at PE/G of 1x at 30x Sep 2022 EPS of ~Rs. 37 at Rs. 1,100. At our target price of Rs. 1,100, AU would trade at an implied P/BV of 5.0x Sep 2022.

Vaibhav Global Q2FY21 Result Update

17-Nov-20

Valuations and Recommendations The stock has outperformed the broader indices backed by its strong and consistent financial performance. Given the resilience shown by the company in current unprecedentent times, we remain positive on the future prospects of the company for coming period. We are projecting 23% CAGR in sales between FY20-FY22E however expects EBITDA to grow faster at 31% during the same period, led by improvement in EBITDA margins to 15% in FY22E from 13.2% in FY20. The stock is currently trading at 20.7x on our FY22E earnings, which is still inexpensive as compared to other FMCG players.

Investment Picks for Diwali 2020

09-Nov-20

Investment Picks for Diwali 2020

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