Addl Borrowing
Brokerage: IDFC
The broking firm said that fears of bond traders come true as government announces additional borrowing. Further, the government could head towards a fisc gap of additional 0.4% of GDP in FY18. Even as the market was factoring in some slippage in FY, gap appears to be large.
Brokerage: Citi
The global research firm said that news on fiscal front was once again negative. Further, it added that the last time government resorted to extra borrowing was in FY12. The announcement of additional bond supply of Rs 50,000 crore comes as a negative surprise.
Brokerage: Antique | Rating: Buy | Target: Rs 363
Antique expects the firm to post 8% like-to-like growth in Q3 cons revenue. It estimate profit at rs 210 crore (10% yoy growth) in Q3. Parachute oil & value added hair oils continued to post double digit volume growth. It expects Bangladesh to record double digit constant currency growth.
Brokerage: Motilal | Rating: Initiate coverage with a buy | Target: Rs 297
The brokerage expects consolidation & operating leverage to drive 29% EPS CAGR. Further, the firm is primed for a growth phase, after three years of consolidation. All ingredients are in place for sustained growth.
Brokerage: Goldman Sachs | Rating: Buy | Target: Rs 600
The global investment bank said that delayed Halol resolution & US price erosion intensity key risks. Further, the US FDA accepting NDA filing of OTX-101, is in-line with expectations.
Brokerage: Motilal | Rating: Buy | Target: Rs 211
The brokerage said that declining PLF is impacting operating efficiencies of plants. Lower coal cost & relaxed regulatory norms provide some relief and revised regulatory norms can compensate earnings by 2 percent. As capitalisation outpaces capex, RoE will get a boost.
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