It is prudent to remain with construction players having balance sheet strength and industry expertise, but have lower return expectations in the interim
Recent weakness in the stock prices of Indian airlines on the back overall market volatility and rising ATF prices is providing an opportunity to board fundamentally strong business for the long term
Within the power sector, we are more constructive about state-run utilities such as NTPC, which has a stable cash flow stream, capacity addition and low regulatory risk
MSP is a short term eye wash which can be called a myopic solution to the agrarian distress.
From a valuation standpoint, Astral Poly Technik trades at premium valuation given its business moat, strong business fundamentals and historic track record
Airline companies can expect an annual relief of Rs 3,000-5,000 crore under input tax credit if the same is included in GST
Despite May being the holiday month, the industry witnessed lower than 20 percent year-on-year (YoY) growth. This is the first time in five months the growth was below 20 percent. Industry load factor witnessed a month-on-month (MoM) contraction of 170 bps. This was due to substantial fall of 680bps (MoM) in RPK (revenue passenger kilometers).
Stronger two-wheeler sales is an emerging trend and could receive additional support from the back of a revival in demand
FY18 turned out to be an exceptional year for shrimp exporters as the companies benefited from slight pick-up in realisations as well as benign raw material prices.
With India importing nearly 15 percent of its crude imports from Iran, the future course of diplomatic policy and trade alterations would be worth watching out.
The industry is looking forward to better capacity utilisation this year, as the demand environment, led by a pick-up in infrastructure and housing, is expected to remain buoyant.
While the category itself undergoes a change, even the existing business of GSK Consumer holds value for other FMCG players and there is a scope for operational synergies
The company has signed an agreement to partner with Saudi Aramco to buy 50 percent stake in the $44 billion Ratnagiri oil refinery and petrochemical project
The sectoral outlook for FY19 looks positive as revival in new construction activity (post the implementation of RERA) is expected to spur the demand for building products
The prevalent weakness in the market provides an opportunity to buy into these businesses with an eye on the long term
What makes us bullish on Sreeleathers is its ability to outperform peers every quarter on the margin front, underscoring the management’s strong execution capabilities.
We expect VRL Logistics to be a steady compounder over the next few years and therefore advise long term investors to accumulate the stock on dips
The consumer durable market offers immense growth potential as penetration levels of even the most basic electronic goods are in low double-digits
With changing geopolitical dynamics over the last few months, there are strong expectations of a change in the overall strategy.
Product premiumisation, higher advertising spends, network expansion, foray into clothing and GST-induced market share gains should augur well for all companies in the long-run
Growth has been fuelled by the government’s focus on infrastructure, increase in mining activity, boost to rural sentiment from a normal monsoon and a strict ban on overloading of vehicles
We feel the competitive pressure will continue to remain high in the northern and western regions. However, the companies with strong presence in east, central and south (specifically Andhra and Telangana) region will benefit from an improved demand environment in these geographies.
We have high conviction on Indian Hotels and it remains our top pick. From the midcap space, we like Royal Orchid.
Should the headwinds lead to a correction in stocks, investors should look at some of the strong NBFCs
While Asian Granito is focusing on increasing its retail presence, Kajaria and Somany are gradually diversifying their business by foraying into sanitaryware and bathware segments