Although financials & consumption remain attractive for investors, for the first time participants are also showing interest in infra & cos considering capex, says Ashok Wadhwa of Ambit.
CLSA has retained its buy call on Phoenix Mills, with reduced target price at Rs 460 from Rs 479. It says company's lease income growth at malls is at 6-7-quarter high despite demonetisation. Capex strategy may enable low strain capex, it feels.
Even as hopes of a wider farm loan waiver have risen in the wake of PM Narendra Modi‘s pro-agri speech on December 31, 2016, an Ambit report warns it could spell disaster for banks.
Speaking to CNBC-TV18 Ashok Wadhwa, Group CEO of Ambit, said that demonetisation has reduced the consumption engine which was propelling the Indian economy.
Watch the interview of Hrishikesh Parandekar, CEO-Pvt Wealth & NBFC, Ambit with Surabhi Upadhyay on CNBC-TV18, in which he shared his view on impact of demonetisation on portfolio and the realignment required to preserve the wealth.
Having taken credit for putting life back in a moribund economy when he took power 2-1/2 years ago, Prime Minister Narendra Modi's crackdown on tax dodgers and counterfeiters by removing 500 rupee and 1,000 rupee banknotes from circulation has taken the economy down a very bumpy road.
Ambit has scrapped its March 2017 Sensex target of 29500 and has set March 2018 Sensex target of 29000 stating that demonetisation will paralyse economic activity in the short term.
While most economists and financial market experts have hailed the move as a long term positive for the economy, they see it hurting growth in the short term. Many broking firms have lowered their GDP estimates for FY17, and some economists feel the slowdown could prolong into FY18 as well
Speaking to CNBC-TV18 Pramod Gubbi of Ambit said that the pharma sector will be under pressure. He said pharma has been neglected or has underperformed.
It will be a few more quarters before general consumption and investment cycles pick up, said Ashok Wadhwa of Ambit Capital. He added that he expects a strong positive consumption cycle in the first half of FY18 and an uptick in investment cycle in FY19 subsequently.
In an interview with CNBC-TV18, Gubbi outlined his views on the current market scenario and said that there have been pockets of growth and recovery in the Indian market and also pockets of disappointment, hence the market is fairly balanced at present.
Saurabh Mukherjea, author of the book 'The Unusual Billionaires' feels the buy-and-hold approach to investing holds true even as volatile financial markets and disruptive changes across sectors are questioning its validity
Brokers say bears are wary of going short on the market as more liquidity measuresâ€”known in market parlance as helicopter moneyâ€”could push stock prices higher
Most analysts are cautious on the stock post June quarter results and hold a neutral rating but few find its valuations to be reasonable.
People are hoping for growth recovery on back of strong monsoon and 7th pay commission, but Andrew Holland of Ambit Investment Advisors believes that earnings recovery will be patchy.
Prashant Mittal of Ambit initiates fresh shorts on Mahindra & Mahindra and fresh longs on Idea Cellular whilst continuing with shorts on Zee Entertainment and Hindustan Zinc and longs on Ashok Leyland. He advises exiting longs on HCL Technologies.
You might anticipate six months later that Netherland or Germany also say why the hell are we hanging out with these no hopers and we want to get out as well, says Rakesh Jhunjhunwala of RARE Enterprises
After having a recent management interview, the brokerage says it expects Magma's RoE to improve to 14 percent by FY18 driven by ongoing restructuring improving operational efficiencies, declining funding cost, and under-control asset quality.
On Ambit‘s scale of one to five for parameters like macroeconomic management, banking supervision and independence, Patel scores as an average of 3.3.
Better than expected quarterly corporate earnings, signs of a turnaround in the economy and the positive mood in global markets had lifted equity benchmarks to seven-month highs earlier this month.
"Although the possibility of Sensex 22,000 remains real, it is no longer our base case scenario, thanks to the firefighting done by the RBI and the Banks Board Bureau," Ambit said in a note.
While Dish TV's earnings were largely above the general street expectations, EBITDA growth missed estimates of most of the brokerage firms. However, these research bodies are largely positive on Dish TV stock in the long-term, considering the key management takeaways.
Ambit believes there is no margin of safety to get into Torrent Power at current levels.
Indian economy has been losing momentum since middle of financial year 2014-15, a new study says, citing corporate results and 'real economic indicators', while questioning the 'counter-intuitive' official GDP data.