Saturday, November 1, 2008
BNP Paribas Securities puts buy on Sun Pharmaceutical
1 Nov, 2008.
Sun Pharmaceutical
cmp: Rs 1,122.90
target price: Rs 1,695
Citing a healthy earnings growth rate of 21% till 2010-2011, BNP Paribas Securities India has rated Sun Pharma a “buy”. “The management pointed out the possibility of disengaging from Taro given the recent turmoil in credit markets and availability of far superior assets. We believe this could be a strategy to expedite the transaction and not the real intention,” the brokerage said in a client note.
BNP has valued Taro at Rs 69 a share and assigned an option value of Rs 50 to the ‘visible exclusivity opportunities from the Para IV pipeline.’ “Given its strong cash position, the management hinted at the possibility of exploring other inorganic moves in the US generics space as long as they fit the company’s defined criterion of capital returns,” the brokerage added.
Labels: Sun Pharmaceutical
ICICI Securities maintains buy on State Bank of India
1 Nov, 2008.
ICICI Securities has maintained its “buy” rating on SBI, with a price target of Rs1,668, after its second quarter results. “We raise estimated FY09 and FY10 earnings by 8.2% and 4.1% respectively, but lower estimates for other businesses and associate banks,” the brokerage said in a client note.
The state-owned bank’s July-September quarter results exceeded market and ICICI Securities’ estimates. “We believe NIMs (net interest margins) will hold at roughly 3% despite funding cost pressures on account of the recent CRR cut and the pricing power enjoyed by banks,” it added.
Labels: State Bank of India
ICICI Securities maintains buy on State Bank of India
1 Nov, 2008.
ICICI Securities has maintained its “buy” rating on SBI, with a price target of Rs1,668, after its second quarter results. “We raise estimated FY09 and FY10 earnings by 8.2% and 4.1% respectively, but lower estimates for other businesses and associate banks,” the brokerage said in a client note.
The state-owned bank’s July-September quarter results exceeded market and ICICI Securities’ estimates. “We believe NIMs (net interest margins) will hold at roughly 3% despite funding cost pressures on account of the recent CRR cut and the pricing power enjoyed by banks,” it added.
Labels: State Bank of India
ICICI Securities maintains buy on State Bank of India
1 Nov, 2008.
ICICI Securities has maintained its “buy” rating on SBI, with a price target of Rs1,668, after its second quarter results. “We raise estimated FY09 and FY10 earnings by 8.2% and 4.1% respectively, but lower estimates for other businesses and associate banks,” the brokerage said in a client note.
The state-owned bank’s July-September quarter results exceeded market and ICICI Securities’ estimates. “We believe NIMs (net interest margins) will hold at roughly 3% despite funding cost pressures on account of the recent CRR cut and the pricing power enjoyed by banks,” it added.
Labels: State Bank of India
CLSA Asia Pacific Markets puts buy on Cairn India
1 Nov, 2008.
CLSA Asia Pacific Markets has rated Cairn a “buy” citing attractive valuations and expectations of a rebound in crude oil prices. “Cairn is discounting $35/barrel nominal Brent to perpetuity on our DCF (discounted cash flow) valuation models.
On a nearer term, the stock reacts more to spot crude but is now at $40/barrel on this regression,” the French brokerage said in a client note. “We do not see $30-40/barrel as sustainable despite a worsening global oil demand scenario given tight supply and rising costs of production; we model in $70-80/bbl Brent over 2009-10 ,” it added.
Labels: Cairn India
