Bajaj Corp is initiating coverage on Bajaj Corp Ltd (BCL) as a "Buy" with a target price of Rs 136. BCL is a leading producer of hair oils in India, with its flagship brand Almond Drops contributing over 93% of sales. It has a dominant 53.9% market share in the fast growing light hair oil segment. The report recommends buying BCL due to its strong brand, market leadership position, and expected 30.6% annual earnings growth over the next two years as it launches new products and pursues acquisitions.
Bajaj Corp Ltd is an Indian company that manufactures hair oils, including its flagship Bajaj Almond Drops hair oil brand. It has the largest market share in the light hair oil segment in India, estimated at 54% as of FY2012. The document discusses Bajaj Corp's business, financials, brands, and performance, as well as the broader Indian hair oil industry which is dominated by local companies and valued at Rs. 6,664 crore as of 2011. It recommends buying Bajaj Corp shares with an initial 4-5% portfolio allocation.
The document provides a marketing research report on launching a new hair oil product called "OPT Hair Oil" in Bangladesh. The objectives are to launch the product, survive in the market, identify the target market as lower and middle income females aged 18-30, and study competitors. It discusses the product specifications, marketing plan, organizational structure with departments, SWOT analysis, PEST analysis, financial projections to increase sales by 45% and gain 5% market share, and establishes a marketing mix strategy including pricing of multiple pack sizes. The document contains questionnaires to analyze the market and seeks recommendations to address limitations of a new company launching a new product in the market.
1) The document summarizes a lecture given by Sanjay Bakshi and Ravi Purohit about the footwear company Relaxo.
2) It discusses Relaxo's strategy of increasing branding through celebrity endorsements and compares it to more premium brands. Financial data is presented showing Relaxo's growth over the past 10 years.
3) The speakers analyze whether Relaxo's earnings retention has created value for shareholders, as per Warren Buffett's test of whether retained earnings deliver over $1 in market value for each $1 retained. Relaxo appears to have delivered high returns on this measure.
The document provides an overview and financial analysis of Hero MotoCorp Ltd. It discusses Hero MotoCorp's background, brands, and separation from Honda. The financial analysis includes ratios like gross profit ratio, net profit ratio, current ratio, and earnings per share from 2010-2012. Most ratios declined in 2011 due to expenses from the Honda separation but recovered in 2012. The presentation emphasizes that Hero MotoCorp remains financially stable despite challenges.
The RBI raised interest rates more than expected to fight inflation, lifting the repo rate by 25 bps to 6% and reverse repo by 50 bps to 5%. This will increase bank borrowing costs and loan rates. Railways earnings increased over 6% in September from higher freight and passenger revenues. Four private equity funds are competing to acquire part of Honda's stake in Hero Honda Motors. Consumer durable makers decided against price hikes this festive season despite rising input costs. Air India obtained fleet insurance at a small premium despite high claims last year. Gold retailers expect 40% sales growth this festival season despite higher gold prices.
Hair care and skin care products & post trial study of pain oiljitharadharmesh
This document is a market study report submitted to NR Institute of Business Management by Manish Trivedi. The report studies the hair care, skin care, and pain oil markets in Bangalore through surveys of 122 medical/chemist shops and post-trial feedback from 25 pain oil users. The objectives are to understand brand awareness, monthly sales, market trends, and retailer opinions on new products from Spandan Health Care. Area sampling and questionnaires were used to collect both quantitative and qualitative data for exploratory analysis of the markets.
1) Indian Oil Corporation is the largest refiner and marketer in India, with a 35% market share of domestic refining capacity and 46% market share of petroleum products.
2) As India's largest commercial enterprise, Indian Oil operates 10 strategically located refineries with a total capacity of 65.7 MMT and owns and operates the largest pipeline network in India of over 10,000 km.
3) The presentation outlines Indian Oil's strong track record of growth, well-defined strategy, and dominant leadership position as "The Energy of India".
- Marico is an Indian consumer goods company founded in 1991 and headquartered in Mumbai. It produces edible oils, hair oils, and personal care products.
- The company's revenue grew from Rs. 5733.3 crore in 2012 to 2015. During this period, its operating margin, gross profit margin, and return on equity also increased, while return on assets and asset turnover ratio declined slightly.
- The company aims to maintain sufficient liquidity as seen from its current ratio hovering around 1 and gradual increase in quick ratio from 0.32 to 0.55 from 2012 to 2015.
Bajaj Corp Ltd is an Indian company that manufactures hair oils, including its flagship Bajaj Almond Drops hair oil brand. It has the largest market share in the light hair oil segment in India, estimated at 54% as of FY2012. The document discusses Bajaj Corp's business, financials, brands, and performance, as well as the broader Indian hair oil industry which is dominated by local companies and valued at Rs. 6,664 crore as of 2011. It recommends buying Bajaj Corp shares with an initial 4-5% portfolio allocation.
The document provides a marketing research report on launching a new hair oil product called "OPT Hair Oil" in Bangladesh. The objectives are to launch the product, survive in the market, identify the target market as lower and middle income females aged 18-30, and study competitors. It discusses the product specifications, marketing plan, organizational structure with departments, SWOT analysis, PEST analysis, financial projections to increase sales by 45% and gain 5% market share, and establishes a marketing mix strategy including pricing of multiple pack sizes. The document contains questionnaires to analyze the market and seeks recommendations to address limitations of a new company launching a new product in the market.
1) The document summarizes a lecture given by Sanjay Bakshi and Ravi Purohit about the footwear company Relaxo.
2) It discusses Relaxo's strategy of increasing branding through celebrity endorsements and compares it to more premium brands. Financial data is presented showing Relaxo's growth over the past 10 years.
3) The speakers analyze whether Relaxo's earnings retention has created value for shareholders, as per Warren Buffett's test of whether retained earnings deliver over $1 in market value for each $1 retained. Relaxo appears to have delivered high returns on this measure.
The document provides an overview and financial analysis of Hero MotoCorp Ltd. It discusses Hero MotoCorp's background, brands, and separation from Honda. The financial analysis includes ratios like gross profit ratio, net profit ratio, current ratio, and earnings per share from 2010-2012. Most ratios declined in 2011 due to expenses from the Honda separation but recovered in 2012. The presentation emphasizes that Hero MotoCorp remains financially stable despite challenges.
The RBI raised interest rates more than expected to fight inflation, lifting the repo rate by 25 bps to 6% and reverse repo by 50 bps to 5%. This will increase bank borrowing costs and loan rates. Railways earnings increased over 6% in September from higher freight and passenger revenues. Four private equity funds are competing to acquire part of Honda's stake in Hero Honda Motors. Consumer durable makers decided against price hikes this festive season despite rising input costs. Air India obtained fleet insurance at a small premium despite high claims last year. Gold retailers expect 40% sales growth this festival season despite higher gold prices.
Hair care and skin care products & post trial study of pain oiljitharadharmesh
This document is a market study report submitted to NR Institute of Business Management by Manish Trivedi. The report studies the hair care, skin care, and pain oil markets in Bangalore through surveys of 122 medical/chemist shops and post-trial feedback from 25 pain oil users. The objectives are to understand brand awareness, monthly sales, market trends, and retailer opinions on new products from Spandan Health Care. Area sampling and questionnaires were used to collect both quantitative and qualitative data for exploratory analysis of the markets.
1) Indian Oil Corporation is the largest refiner and marketer in India, with a 35% market share of domestic refining capacity and 46% market share of petroleum products.
2) As India's largest commercial enterprise, Indian Oil operates 10 strategically located refineries with a total capacity of 65.7 MMT and owns and operates the largest pipeline network in India of over 10,000 km.
3) The presentation outlines Indian Oil's strong track record of growth, well-defined strategy, and dominant leadership position as "The Energy of India".
- Marico is an Indian consumer goods company founded in 1991 and headquartered in Mumbai. It produces edible oils, hair oils, and personal care products.
- The company's revenue grew from Rs. 5733.3 crore in 2012 to 2015. During this period, its operating margin, gross profit margin, and return on equity also increased, while return on assets and asset turnover ratio declined slightly.
- The company aims to maintain sufficient liquidity as seen from its current ratio hovering around 1 and gradual increase in quick ratio from 0.32 to 0.55 from 2012 to 2015.
Hero MotoCorp Ltd. is the largest two-wheeler manufacturer in India with a 38% market share. The presentation analyzes Hero MotoCorp's financial performance and position in its industry compared to competitors like Bajaj Auto Ltd. and TVS Motors. While Hero MotoCorp saw a 14.2% increase in net revenue and 10% higher motorcycle sales in the previous year, its net profit growth was modest at 2.6%. The presentation projects that Hero MotoCorp will focus on new technologies like hybrid bikes and expanding into four-wheelers in the next 5 years.
CEAT is one of the largest tyre manufacturers in India established in 1958. It produces approximately 95,000 tires per day across various vehicle types. The company has a market share of 28-30% in the two-wheeler segment, 13-14% in the passenger car radial segment, and smaller shares in other segments. CEAT has expanded production capacity across categories through investments in new plants and expansions. Key financial and operational information is provided for the years 2018-2021 with details on market conditions, growth drivers, new initiatives and investments by CEAT.
Vedanta Resources and Sesa Goa have agreed to acquire a 51-60% stake in Cairn India from Cairn Energy for Rs405 per share, of which Rs355 per share is for acquisition and Rs50 is a non-compete fee. Vedanta and Sesa Goa will make an open offer for 20% of Cairn India shares at Rs355 per share, and Sesa Goa will make a strategic investment of 20% in Cairn India acquired from Vedanta. The deal is subject to regulatory approvals and a special shareholder resolution.
Hero Moto Corp Ltd. is an Indian motorcycle and scooter manufacturer formerly known as Hero Honda. In 2010, Honda decided to move out of the joint venture, leading Hero and Honda to see each other as competitors. This caused issues around brand identity, technology sharing, and royalty payments that Hero Moto Corp had to address. It responded with defensive marketing strategies and buying a stake in Honda. The document discusses Hero Moto Corp's market share and competitors, revenue growth, bargaining power with suppliers and customers, R&D investments, and political, technological, economic, and social factors influencing its business environment.
Hero MotoCorp is the largest manufacturer of two-wheelers in India and globally. The document provides an analysis of Hero MotoCorp's financial performance from 2009-2013 based on various ratios like return on assets, equity, net profit margin, earnings per share, asset turnover, inventory turnover, etc. It also compares Hero MotoCorp's performance to other major two-wheeler companies in India like Bajaj Auto, TVS Motors, Mahindra Scooters and Atul Auto on these various financial metrics to analyze Hero MotoCorp's competitive position.
This document is the annual report of Hero MotoCorp for fiscal year 2010-2011. It discusses Hero MotoCorp's transition from being a partnership with Honda to becoming an independent company. It highlights the company's new corporate identity and vision to become a global leader in motorcycle mobility solutions. It also briefly outlines the company's financial performance for the year, including record sales of over 5.4 million two-wheelers and total net income of Rs. 19,670 crore, representing strong 5-year growth rates.
Hero Moter is a large Indian conglomerate that began as a bicycle components manufacturer in the 1940s. It has grown to become the world's largest motorcycle manufacturer, producing over 3 million motorcycles annually under the Hero Honda brand. The Hero Group philosophy focuses on providing affordable transportation products to customers while also caring for employees and business partners. It emphasizes engineering satisfaction for all stakeholders through quality products and an innovative culture.
HPCL is an Indian state-owned oil and natural gas company headquartered in Mumbai. It operates two major refineries in Mumbai and Vishakhapatnam. The document analyzes HPCL's mission, vision, products, competitors, shareholding pattern, financial performance, ratio analysis, SWOT analysis, and future outlook. It recommends automating Kandla Terminal's manual operations to increase efficiency and support effective decision making.
The document summarizes the findings of Motilal Oswal's 14th annual wealth creation study covering the period 2004-2009. Some key highlights:
- Reliance Industries emerged as the biggest wealth creator for the third year in a row, creating Rs. 1,514 billion in wealth.
- Unitech was the fastest wealth creator, with its stock price rising 122% CAGR over the period.
- HDFC featured among the top 100 wealth creators in each of the last 10 years, making it the most consistent.
- Consumer facing companies dominated the lists of biggest, fastest and most consistent wealth creators.
The document summarizes the findings of Motilal Oswal's 14th annual wealth creation study covering the period 2004-2009. Some key highlights:
- Reliance Industries emerged as the biggest wealth creator for the third year in a row, creating Rs. 1,514 billion in wealth.
- Unitech was the fastest wealth creator, with its stock price rising 122% CAGR over the period.
- HDFC featured among the top 100 wealth creators in each of the last 10 years, making it the most consistent.
- Consumer facing companies dominated the lists of biggest, fastest and most consistent wealth creators.
This document discusses the oil industry, price fluctuations, and HPCL's strategies and financial analysis. It notes that the oil industry contributes 15% to India's GDP and that HPCL employs over 11,000 people. It also summarizes that OPEC has cut oil production while prices have decreased from $58 to $42 per barrel due to high supply. The document analyzes HPCL's financial ratios from 2011-2015 and notes its strategies include capital investments of 31,570 crore and maintaining fuel supplies during the oil crisis.
Coromandel International is a fertilizer company that is well-positioned to benefit from reforms in the fertilizer industry and the need to improve agriculture productivity in India. The company has a strong core phosphate fertilizer business with cost advantages. Upcoming reforms to subsidies on urea fertilizer over the next 5 years could significantly improve business dynamics for the company. The company also has a good track record of inorganic growth through acquisitions and a focus on higher-margin non-subsidized businesses that now make up 20% of revenues. At its current valuation, the company represents an attractive investment opportunity.
This document provides a case study analysis of Castrol India Limited (CIL). It discusses CIL's history and challenges in managing growth as the lubricant market in India became more competitive. Some key points:
- CIL was established in 1919 and is a subsidiary of British Petroleum (BP). It has faced increasing competition from other players in the lubricant market.
- One of CIL's challenges is transitioning from a growth phase to a sustaining growth phase as demand growth has slowed.
- The case analysis provides potential solutions for CIL such as exploring new products/markets, improving efficiency, and strengthening brand management. Market research methods like surveys and focus groups are recommended to understand brand switching
Cravatex Ltd obtained exclusive distribution rights for FILA apparel and Johnson Health Tech fitness equipment in India and other regions for Rs. 130 crores. This provides a significant growth opportunity as the sports and fitness industries in India are growing substantially. Cravatex has been successful in growing sales of both FILA and fitness equipment, and obtaining sub-licensing rights for FILA in the UK and Ireland. The company has improved operating margins through economies of scale. Sports goods sales increased over 400% after adding the FILA brand.
Grant Thornton's India Watch, in association with the London Stock Exchange, tracks the performance of all Indian companies listed on the London Markets, while also giving an overview of Indian M&A activity and an analysis of the Indian economy.
The document provides top business headlines and summaries of key stories. It discusses Vedanta Aluminium acquiring bauxite mines, Samara Capital investing in Monte Carlo Fashions, and DLF selling hotel assets. It also mentions Komli Media raising funds, Zicom acquiring a stake in a Qatar company, and Jyothy Labs merging with Henkel. The weekly economic review discusses a warning by S&P about India's credit rating and slow GDP growth, as well as inflation and industrial production figures.
The document provides background information on Coca Cola Company. It discusses how Coca Cola was invented in 1885 and sold as a patent medicine. Over the years, different owners acquired rights to the formula and brand. By 1892, Asa Candler incorporated the current Coca Cola corporation. Recently, the company has partnered with other companies and increased investments in Africa. Financial ratios are also presented analyzing the company's profitability and stability from 2012-2013. While profitability improved, stability ratios showed increased debt levels, so the document recommends against investing in the company.
Here are a few tips for having an effective international business meeting:
- Clarify the purpose and goals of the meeting upfront so all participants understand the agenda. Send the agenda in advance.
- Be aware of different cultural approaches to meetings. Some cultures prioritize relationship building while others get straight to business.
- Consider using icebreakers or warmups at the start to help people from various cultures feel comfortable.
- Provide context for what you expect from each participant so they know how to contribute.
- Be flexible with the schedule if needed to accommodate different communication or decision making styles.
- Choose a meeting location and set up that works for all cultural preferences when possible. Consider lighting, seating etc
A Bachelor of Commerece from Sydenham College, Bombay, and Mr.Harsh Mariwala has spent 26 years managing the business. Mr.Harsh Mariwala developed the Consumer Products business in Bombay Oil Industries and functioned, as its Executive Director from 1980-1990
Hero MotoCorp Ltd. is the largest two-wheeler manufacturer in India with a 38% market share. The presentation analyzes Hero MotoCorp's financial performance and position in its industry compared to competitors like Bajaj Auto Ltd. and TVS Motors. While Hero MotoCorp saw a 14.2% increase in net revenue and 10% higher motorcycle sales in the previous year, its net profit growth was modest at 2.6%. The presentation projects that Hero MotoCorp will focus on new technologies like hybrid bikes and expanding into four-wheelers in the next 5 years.
CEAT is one of the largest tyre manufacturers in India established in 1958. It produces approximately 95,000 tires per day across various vehicle types. The company has a market share of 28-30% in the two-wheeler segment, 13-14% in the passenger car radial segment, and smaller shares in other segments. CEAT has expanded production capacity across categories through investments in new plants and expansions. Key financial and operational information is provided for the years 2018-2021 with details on market conditions, growth drivers, new initiatives and investments by CEAT.
Vedanta Resources and Sesa Goa have agreed to acquire a 51-60% stake in Cairn India from Cairn Energy for Rs405 per share, of which Rs355 per share is for acquisition and Rs50 is a non-compete fee. Vedanta and Sesa Goa will make an open offer for 20% of Cairn India shares at Rs355 per share, and Sesa Goa will make a strategic investment of 20% in Cairn India acquired from Vedanta. The deal is subject to regulatory approvals and a special shareholder resolution.
Hero Moto Corp Ltd. is an Indian motorcycle and scooter manufacturer formerly known as Hero Honda. In 2010, Honda decided to move out of the joint venture, leading Hero and Honda to see each other as competitors. This caused issues around brand identity, technology sharing, and royalty payments that Hero Moto Corp had to address. It responded with defensive marketing strategies and buying a stake in Honda. The document discusses Hero Moto Corp's market share and competitors, revenue growth, bargaining power with suppliers and customers, R&D investments, and political, technological, economic, and social factors influencing its business environment.
Hero MotoCorp is the largest manufacturer of two-wheelers in India and globally. The document provides an analysis of Hero MotoCorp's financial performance from 2009-2013 based on various ratios like return on assets, equity, net profit margin, earnings per share, asset turnover, inventory turnover, etc. It also compares Hero MotoCorp's performance to other major two-wheeler companies in India like Bajaj Auto, TVS Motors, Mahindra Scooters and Atul Auto on these various financial metrics to analyze Hero MotoCorp's competitive position.
This document is the annual report of Hero MotoCorp for fiscal year 2010-2011. It discusses Hero MotoCorp's transition from being a partnership with Honda to becoming an independent company. It highlights the company's new corporate identity and vision to become a global leader in motorcycle mobility solutions. It also briefly outlines the company's financial performance for the year, including record sales of over 5.4 million two-wheelers and total net income of Rs. 19,670 crore, representing strong 5-year growth rates.
Hero Moter is a large Indian conglomerate that began as a bicycle components manufacturer in the 1940s. It has grown to become the world's largest motorcycle manufacturer, producing over 3 million motorcycles annually under the Hero Honda brand. The Hero Group philosophy focuses on providing affordable transportation products to customers while also caring for employees and business partners. It emphasizes engineering satisfaction for all stakeholders through quality products and an innovative culture.
HPCL is an Indian state-owned oil and natural gas company headquartered in Mumbai. It operates two major refineries in Mumbai and Vishakhapatnam. The document analyzes HPCL's mission, vision, products, competitors, shareholding pattern, financial performance, ratio analysis, SWOT analysis, and future outlook. It recommends automating Kandla Terminal's manual operations to increase efficiency and support effective decision making.
The document summarizes the findings of Motilal Oswal's 14th annual wealth creation study covering the period 2004-2009. Some key highlights:
- Reliance Industries emerged as the biggest wealth creator for the third year in a row, creating Rs. 1,514 billion in wealth.
- Unitech was the fastest wealth creator, with its stock price rising 122% CAGR over the period.
- HDFC featured among the top 100 wealth creators in each of the last 10 years, making it the most consistent.
- Consumer facing companies dominated the lists of biggest, fastest and most consistent wealth creators.
The document summarizes the findings of Motilal Oswal's 14th annual wealth creation study covering the period 2004-2009. Some key highlights:
- Reliance Industries emerged as the biggest wealth creator for the third year in a row, creating Rs. 1,514 billion in wealth.
- Unitech was the fastest wealth creator, with its stock price rising 122% CAGR over the period.
- HDFC featured among the top 100 wealth creators in each of the last 10 years, making it the most consistent.
- Consumer facing companies dominated the lists of biggest, fastest and most consistent wealth creators.
This document discusses the oil industry, price fluctuations, and HPCL's strategies and financial analysis. It notes that the oil industry contributes 15% to India's GDP and that HPCL employs over 11,000 people. It also summarizes that OPEC has cut oil production while prices have decreased from $58 to $42 per barrel due to high supply. The document analyzes HPCL's financial ratios from 2011-2015 and notes its strategies include capital investments of 31,570 crore and maintaining fuel supplies during the oil crisis.
Coromandel International is a fertilizer company that is well-positioned to benefit from reforms in the fertilizer industry and the need to improve agriculture productivity in India. The company has a strong core phosphate fertilizer business with cost advantages. Upcoming reforms to subsidies on urea fertilizer over the next 5 years could significantly improve business dynamics for the company. The company also has a good track record of inorganic growth through acquisitions and a focus on higher-margin non-subsidized businesses that now make up 20% of revenues. At its current valuation, the company represents an attractive investment opportunity.
This document provides a case study analysis of Castrol India Limited (CIL). It discusses CIL's history and challenges in managing growth as the lubricant market in India became more competitive. Some key points:
- CIL was established in 1919 and is a subsidiary of British Petroleum (BP). It has faced increasing competition from other players in the lubricant market.
- One of CIL's challenges is transitioning from a growth phase to a sustaining growth phase as demand growth has slowed.
- The case analysis provides potential solutions for CIL such as exploring new products/markets, improving efficiency, and strengthening brand management. Market research methods like surveys and focus groups are recommended to understand brand switching
Cravatex Ltd obtained exclusive distribution rights for FILA apparel and Johnson Health Tech fitness equipment in India and other regions for Rs. 130 crores. This provides a significant growth opportunity as the sports and fitness industries in India are growing substantially. Cravatex has been successful in growing sales of both FILA and fitness equipment, and obtaining sub-licensing rights for FILA in the UK and Ireland. The company has improved operating margins through economies of scale. Sports goods sales increased over 400% after adding the FILA brand.
Grant Thornton's India Watch, in association with the London Stock Exchange, tracks the performance of all Indian companies listed on the London Markets, while also giving an overview of Indian M&A activity and an analysis of the Indian economy.
The document provides top business headlines and summaries of key stories. It discusses Vedanta Aluminium acquiring bauxite mines, Samara Capital investing in Monte Carlo Fashions, and DLF selling hotel assets. It also mentions Komli Media raising funds, Zicom acquiring a stake in a Qatar company, and Jyothy Labs merging with Henkel. The weekly economic review discusses a warning by S&P about India's credit rating and slow GDP growth, as well as inflation and industrial production figures.
The document provides background information on Coca Cola Company. It discusses how Coca Cola was invented in 1885 and sold as a patent medicine. Over the years, different owners acquired rights to the formula and brand. By 1892, Asa Candler incorporated the current Coca Cola corporation. Recently, the company has partnered with other companies and increased investments in Africa. Financial ratios are also presented analyzing the company's profitability and stability from 2012-2013. While profitability improved, stability ratios showed increased debt levels, so the document recommends against investing in the company.
Here are a few tips for having an effective international business meeting:
- Clarify the purpose and goals of the meeting upfront so all participants understand the agenda. Send the agenda in advance.
- Be aware of different cultural approaches to meetings. Some cultures prioritize relationship building while others get straight to business.
- Consider using icebreakers or warmups at the start to help people from various cultures feel comfortable.
- Provide context for what you expect from each participant so they know how to contribute.
- Be flexible with the schedule if needed to accommodate different communication or decision making styles.
- Choose a meeting location and set up that works for all cultural preferences when possible. Consider lighting, seating etc
A Bachelor of Commerece from Sydenham College, Bombay, and Mr.Harsh Mariwala has spent 26 years managing the business. Mr.Harsh Mariwala developed the Consumer Products business in Bombay Oil Industries and functioned, as its Executive Director from 1980-1990
Market Research on Indian Market for Hair OilYatish Dasari
The document provides a market research report on the Indian hair oil market. Some key points:
- The Indian hair care market is dominated by hair oil, which accounts for over half of the total market. Coconut oil makes up the majority of hair oil sales.
- Younger consumers are looking for customized products that address both styling and specific hair needs, leading to growth in niche hair oil segments.
- The hair care industry is growing at 14% annually, higher than the overall FMCG industry growth rate of 13.4%. Coconut oil and non-greasy perfumed oils are the main types of hair oil available.
- Key findings from the consumer research include coconut oil and al
Marketing management project on hair oil class 12th by faizan khanFaizan Khan
The document discusses the benefits of exercise for mental health. Regular physical activity can help reduce anxiety and depression and improve mood and cognitive function. Exercise causes chemical changes in the brain that may help protect against mental illness and improve symptoms.
latest report about Dabur india, description about everything influencing Dabur in the world of business.
CONTENTS
Background
Values
History
Milestones
Mergers & Acquisitions
Products
Financials Of Dabur India
Progress and Future plans
Opinion on Future plans
Supply Chain of Dabur India
Distribution Network
Opinion on supply Chain References
The document is a project report submitted by Sonu Samdariya for their MBA program. The report focuses on analyzing the working capital and ratios of Monnet Ispat & Energy Limited (MIEL) based in Raipur, India. The objectives are to study MIEL's financial position, working capital requirements, liquidity, efficiency and more using tools like ratio analysis. The report includes an introduction to MIEL, its divisions, products, expansion plans, quality policy and organizational structure. Primary and secondary data was collected to analyze MIEL's working capital management and ratios.
This document provides an overview of Dabur India Limited, a leading Indian consumer goods company. Some key points:
- Dabur was founded in 1884 and has grown to become India's largest Ayurvedic and natural health care company with a portfolio of over 250 herbal products.
- It has a presence across multiple consumer product categories like hair care, oral care, health care, skin care, home care, and foods.
- Major brands include Dabur, Vatika, Hajmola, Réal, and Fem. Dabur Chyawanprash and Vatika hair oil are among its most popular products.
- The company has annual
This document provides an analysis of various brands of soybean refined oil in the Indian market. It begins with an introduction to the edible oil industry and market in India. It then discusses the major players in the soybean oil market in India, including their market share and branding strategies. The document finds that retailers prefer brands that offer higher margins and various package sizes, while customers prefer brands offering discount schemes and reasonable prices between Rs. 40-50 per liter. It concludes by noting limitations to the study due to its small sample size and area.
KASPARIAN_MSRS THESIS_Suitabiltiy Analysis of Almond Production under a Chang...Arpy Kasparian
This document presents a thesis analyzing the suitability of almond production in California under a changing climate. It discusses the history and growth of the almond industry in California. Two winter chill accumulation models are compared to assess how reduced winter chill due to climate change could impact suitable locations for almond farming. Suitability maps are developed for current and future conditions using climate change scenarios. The maps indicate areas of high to low suitability based on winter chill accumulation and other environmental factors. The results suggest suitable areas may shrink in the future, particularly under higher emissions scenarios, as winter temperatures rise with climate change.
Comparison between brands Nestle and Cadbury Rupal Tiwari
Nestlé is a global Swiss company operating in over 80 countries with around 254,000 employees. It is a leading food and beverage company with a wide range of brands across categories like milk products, beverages, prepared dishes, and chocolate. Cadbury is a British confectionery company and the largest in the world, with a strong regional presence in beverages and a variety of chocolate and candy brands enjoyed globally. Consumer research found that people generally prefer Cadbury's Dairy Milk due to its flavor, taste, quality, and crunchy texture, though Nestlé remains popular as well due to brand recognition and variety.
A study of customer satisfaction on after sales and service conducted at arpi...Projects Kart
This document discusses customer satisfaction after sales and service. It introduces the topic and defines customer satisfaction as relating to satisfying human wants through exchange of goods and services. Satisfying customers is important for business management. The document outlines the objectives of the study which are to understand customer perceptions of after sales service, their satisfaction levels and what influences satisfaction. It also aims to study the impact on future sales and whether customers are satisfied with the service. The scope is limited to customers of Bajaj vehicles in Hassan, India. The study uses questionnaires and interviews as primary data collection methods.
This document provides a SWOT analysis and STEEPLED analysis of Tata Motors. The SWOT analysis identifies Tata Motors' strengths as its strong domestic market presence in India, long list of product portfolios, and global presence through acquisitions. Weaknesses include low returns on investment and lack of focus on luxury products. Opportunities lie in acquisitions like Jaguar/Land Rover and entering new markets. Threats include intense competition and rising costs. The STEEPLED analysis examines social, technological, economic, environmental, political, legal, ethical, and demographic factors influencing Tata Motors.
The Indian automotive industry has experienced significant growth over the past decade. Exports of automobiles from India surged 57% in 2008-2009, led by major exporters Hyundai and Maruti Suzuki shipping more vehicles to Europe. However, domestic sales were impacted by the economic slowdown and high lending rates. Passenger vehicle sales grew only 0.13% while commercial vehicle sales declined sharply. Two-wheeler sales also grew modestly at 2.6% due to financing issues. Going forward, demand from Europe may soften and domestic sales will depend on availability of financing and new model launches.
This document appears to be a student project report on conducting a SWOT analysis of Tata Motors. It includes an introduction, background on SWOT analysis, definitions of strengths, weaknesses, opportunities and threats. It then provides an executive summary of Tata Motors and the Indian automobile industry. The rest of the report seems focused on a detailed SWOT analysis of Tata Motors, including identifying their strengths, weaknesses, opportunities and threats, as well as analyzing other factors using STEEPLED analysis. It concludes with a bibliography of sources used.
Godrej Consumer Products Ltd is initiating coverage as a "Buy" recommendation with a target price of Rs. 588.7, representing an upside of approximately 33%. Key reasons include strong growth in household insecticides in India and global acquisitions driving consolidated revenue growth of 28.4% annually over the forecast period. The international business is expected to be a major driver of growth, with revenues growing at 43.6% annually. Product and technology synergies across geographies backed by disruptive innovations will provide an edge over peers.
Aurobindo Pharma has transformed from a low-margin API player to a high-margin formulation player. The company is expected to see net sales and recurring profits grow at a CAGR of 15.6% and 29.1% through FY2012 due to supply agreements with Pfizer and AstraZeneca, growth in the US market, and their ARV formulation business. The report initiates coverage on Aurobindo Pharma with a buy recommendation and a target price of Rs. 1,330, representing growth potential of 18.7%
Vivimed Labs is initiating coverage as a buy recommendation with a target price of Rs. 468 per share. At the current market price of Rs. 343, the stock is trading at earnings multiples of 6.0-5.5x for FY13-FY14, representing upside of 36% over 24 months. Vivimed has a diversified portfolio of specialty chemicals and pharmaceuticals and will benefit from expected growth in these industries. Recent acquisitions will also help fuel revenue growth through expanded market reach and synergies. However, mounting debt remains a risk.
Divi's Laboratories Ltd is initiated as a "BUY" recommendation with a target price of Rs. 1287, representing a potential upside of 35%. Divi's is a leading player in the generic APIs and CRAMS spaces and will benefit from increased outsourcing and patent expiries. The company has established relationships with top innovators and a strong pipeline of products. Revenues are expected to grow at a CAGR of 25.2% through FY2014 driven by mature API products and new product approvals. Margins will be maintained through efficient capacity expansion and control of spare capacity. At the target price, Divi's would trade at a justified premium to peers given its high margins, growth, cash
We initiate coverage on Mahindra & Mahindra Ltd (M&M) as a BUY with a Price Objective of `975. At CMP of `727, the stock is trading at 16.2x and 14.1x its estimated earnings for FY13 & FY14 respectively, representing a potential upside of ~34% over a period of 15 months. UV sales (XUV500 and Xylo) and LCVs (Maximmo, Genio and Gio) are expected to be the key drivers of growth, while the tractor business is expected to weather the cyclical downturn and experience moderate traction. In addition the tangible benefits of the Ssangyong acquisition would be felt over the medium term as the joint R&D efforts and new product launches materialize. We forecast revenues and earnings to grow at a CAGR of 15.6% and 10.7% to `40,062.3 and `3,169.7 crore, respectively over FY12-14.
XUV 500 and refurbished Xylo to sustain volume growth in the UV segment
After having witnessed a CAGR of 23% over FY09-12, M&M UV sales are expected to moderate going ahead on account of new launches by competitors, rising fuel prices and higher interest rates. We expect M&M UV sales to post a CAGR of 13.2% over FY12-14 to ~2,60,000 units led by capacity ramp up of XUV 500 and strong demand for its existing products.
Weathering the cyclical downturn in tractor sales
The tractor industry being cyclical in nature has been witnessing a downturn since November 2011, after posting robust growth in the preceding two years. We expect this moderation in growth to continue in the near term led by a host of new capacity additions which will affect pricing power, expectation of an unfavorable monsoon and rising interest rates, which would affect serviceability of tractor loans. However, favorable factors like increasing budgetary allocation towards the rural sector, rising non-farm usage, higher MSP among others are likely to partially offset the downturn. While CMIE expects the volumes to grow by 8% for the entire industry, we are less optimistic and expect much lower growth of ~6%. However, southern India which is under penetrated is expected to grow much faster than the industry growth. On the back drop of its new facility of 1,00,000 units p.a. being commissioned at Zaheerabad in Karnataka, we expect M&M the market leader to grow faster than the industry.
We expect M&M (market leader with a share of ~40%) to post a CAGR of 7.5% over FY12-14 to reach ~2,72,000 units by FY14 and consequently revenues from this segment are expected to reach ~`11,500 crore by FY14 (CAGR of 8.6%). However, we expect significant pressure on margins led by higher raw material costs and lack of pricing power given the large capacity expansions across the industry.
LCV growth momentum to continue
Despite being a late entrant in the commercial vehicles (CV) market, M&M has carved for itself an enviable market share of ~30% in a relatively short span of time. Although the growth in the LCV markets is expected to tone down to a CAGR of 14% (from a 3 year CAGR of 32.9% over FY09-11), we expect M&M to outperform th
Pantaloon Retail reported a 25.3% year-over-year growth in net sales to Rs. 2,057.6 crore for the third quarter of fiscal year 2010, below expectations of 30.2% growth. Same store sales growth was 13.9% and 13.2% for value and lifestyle retailing respectively. Operating margins remained flat at 10.5% while net profit grew 62.7% to Rs. 55.9 crore due to sales growth and unchanged interest costs. The analyst maintains an accumulate rating and target price of Rs. 469 based on retail space expansion, revival in consumer sentiment, and organizational restructuring.
Bharat Petroleum Corporation Ltd (BPCL), a government‐owned company operating in
the refining and marketing segment. The company has also diversified into the
petrochemical feedstock and exploration and production segments.
Based on a consolidated FY12 P/E multiple of 12, the fair value for the
company works out to Rs 691.
The document initiates coverage on Cox & Kings Ltd (C&K) with a buy recommendation and a target price of Rs. 510. C&K is one of India's oldest and most reputed travel operators, offering tours and travel services globally. It has a presence in 164 cities across 4 continents. The company is expected to grow revenues by 25% in FY11 through acquisitions and expanding its franchise network. C&K has an asset-light business model which reduces risk compared to competitors. The target price represents a potential upside of 28.5% from the current market price of Rs. 397.
ICICI Direct aurobindo_pharma_initiating coverage March 2011MasterSun Goldbird
This document initiates coverage on Aurobindo Pharma with a rating of Strong Buy and a target price of Rs. 257. It summarizes Aurobindo Pharma as a leading formulations and API player that has transformed from a pure API supplier to a generic formulations player. It expects sales and profits to grow strongly over the next few years, driven by capacity optimization, monetizing its US ANDA pipeline, and deals with large companies. While the stock has fallen due to an FDA import alert, the analyst believes this was an overreaction and the valuation gap will narrow as the company's transformation continues.
Akzo Nobel India Ltd. reported an 8% increase in revenue for Q2 FY16 driven by higher volumes in decorative paints. Margins improved to 9.1% due to lower raw material costs. Net profit increased 15% to Rs 40.9 cr. While demand has been subdued, the company is focusing on product innovation and expanding distribution which is improving sales. The analyst maintains a 'Buy' rating given the company's strong brands and expectation that demand will gradually improve in urban areas.
Shoppers stop result update 4 qfy2010 040510Angel Broking
Shoppers' Stop reported a 23.1% year-over-year growth in net sales to Rs388.8 crore for the fourth quarter of FY2010. Operating margins expanded substantially by 490 basis points to 6.2% due to cost rationalization measures. Net profit was Rs12.6 crore compared to a loss of Rs24.5 crore in the prior year quarter. For the full year FY2010, net sales grew 11.4% while operating margins improved 600 basis points and the company reported a profit versus a loss in the previous year. While growth prospects remain positive, the analyst recommends a Neutral rating given rich valuations.
Cadila Healthcare reported strong quarterly results driven by growth in its export segment, particularly the US and Europe markets. Revenue grew 16% year-over-year led by 42% growth in the US and 50% growth in Europe. Domestic formulations grew modestly by 8%. Net profit more than doubled due to lower interest and tax expenses. For the full year, revenue grew 25% and net profit grew 67%. The company expects 27-28% revenue growth and a 100 basis point increase in operating margins in fiscal year 2011.
Godrej Consumer Products reported strong revenue growth of 48.1% for the fourth quarter, driven primarily by the consolidation of Godrej Sara Lee. However, excluding this contribution, domestic growth was a disappointing 5.3%. Earnings growth of 54.6% was boosted by margin expansion but adjusted earnings grew only 16% excluding Godrej Sara Lee. While international operations grew robustly, growth in the core domestic business of soaps and hair colors slowed. The brokerage maintains an 'Accumulate' rating based on Godrej's wider portfolio and potential for acquisitions but expects growth to moderate going forward.
Indraprastha Gas Ltd.- Company Update-June 22, 2010Angel Broking
The document discusses Indraprastha Gas (IGL), an Indian city gas distribution company. It makes the following key points:
1) IGL recently increased CNG prices by Rs.5.6/kg, more than offsetting expected margin declines from higher gas costs. This reduces risks to IGL's margins.
2) With gas prices frozen until 2014, IGL may not need major price hikes, further reducing margin risks.
3) Strong volume growth from new CNG vehicles and domestic PNG connections will drive earnings growth of 17.5% annually for IGL over 2010-2012.
4) Lower risks and higher earnings lead the analyst to increase their target price for
Indraprastha Gas Ltd.- Company Update-June 22, 2010Angel Broking
The document discusses an update on Indraprastha Gas (IGL). Key points include:
1) IGL recently increased CNG prices in Delhi by Rs.5.6/kg, more than offsetting expected margin declines from higher gas costs.
2) This eliminates concerns around IGL's ability to pass on higher costs without regulatory issues.
3) Strong volume growth from new CNG vehicles and domestic PNG, coupled with stable margins, is expected to drive 17.5% profit growth for IGL over the next few years.
4) The analyst upgrades IGL to "Buy" with a revised target price of Rs. 301 due to lower risks and higher earnings estimates.
- Blue Star reported a 22.6% year-over-year increase in quarterly revenue to Rs875 crore, slightly ahead of estimates. Operating margins were in line with estimates at 12.8%.
- The company has shifted its strategic focus from IT/ITeS and retail segments to hospital, hotel, and infrastructure segments, which have longer execution periods.
- Order inflows increased 43% year-over-year to Rs704 crore for the quarter, indicating an improved outlook. The analyst maintains an "Accumulate" rating with a target price of Rs425.
This document provides an overview and analysis of the Indian storage battery industry. Some key points:
1) The Rs 9,700 crore Indian storage battery industry grew revenues 30% annually and net income 50% annually from FY2005-2010 due to rising vehicle and industrial demand.
2) The industry is expected to grow revenues 19.7% annually from FY2010-2013, with the auto battery segment growing 20% and industrial battery segment 19.4% annually.
3) Exide Industries is expected to outperform Amara Raja Batteries in earnings growth due to Exide's captive lead smelter lowering raw material costs. Exide's earnings are forecast to grow 17%
Elecon Engineering is a leading provider of material handling equipment and gear solutions in India. It has a 26% market share in the domestic gear market, making it the leader. The company is well positioned to benefit from an estimated Rs32,500 crore of opportunities in the material handling equipment industry over the next few years, driven by growth in core sectors like power, steel, and coal. Elecon's order book and revenues are expected to grow at a CAGR of 40% and 13.5%, respectively, during FY2010-12, supported by a recovery in industrial activity and capital expenditures. The company's strong position in the stable gear market also helps support its profitability.
Elecon Engineering is a leading provider of material handling equipment and gear solutions in India. The company is well positioned to benefit from increasing industrial capital expenditures in sectors like power and steel. The analyst estimates Elecon will grow sales at a CAGR of 13.5% and adjusted profits at 37% over fiscal years 2010-2012 due to improving financials and recovery in the material handling equipment industry. The report initiates coverage on Elecon with a buy recommendation and target price of Rs102 based on attractive valuations and growth opportunities.
The document initiates coverage on Tata Motors as a buy, with a target price of Rs. 262 per share, representing an upside of 22.4% from the current market price of Rs. 214. Strong growth from JLR brands, expected recovery in commercial vehicle sales, and better performance of Tata's diesel passenger vehicles are expected to drive consolidated revenues and earnings over FY12-13. JLR volumes are forecast to grow at a CAGR of 17.1% through new product launches and expansion in international markets like China, while commercial vehicle sales are expected to benefit from an interest rate cycle reversal.
Similar to Bajaj corp initiating coverage report (20)
Burger King represents a unique opportunity to own equity of the second largest QSR branded franchise in the world's fastest going market India.
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In this webinar, we explore how any business should be analyzed to evaluate its true value. And this is the exact process taught in the Mastercourse in Equity Research and Valuation https://wa.me/message/6ALEXA634QLGK1
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This presentation was done by Yash Bhansali & Varun Bisen both students of the School of Market Studies' Mastercourse in Equity Research & Valuation. It is a realtime demonstration of the skills that you will acquire once you finish the course.
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This presentation was done by Stuti Dang & Kirti Gumber both students of the School of Market Studies' Mastercourse in Equity Research & Valuation.
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This is the outcome of what a student learns in the Mastercourse in Equity Research & Valuation that is organized by the School of Market Studies.
After two months of intense training, we have a 4-month internship. During the first month of internship Varsha Bezzam, a student made this absolutely detailed presentation on HUL.
This include
leadership analysis,
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MOATS for HUL
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Financial modeling
Equity Valuation using price earning method and DCF valuation
Peer comparison
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#CoronaVirus update:
#AskVinit
The only solution for preventing its spread is ISOLATION.
Work from home should be encouraged.
All public places of congregation for social & cultural activities must be stopped
Infected areas must be locked down
Government & corporate leaders should act decisively to promote best practices for the same
For every death, there are potential 800 people infected.
The fatality is higher than that of H1N1, SARS & MERS
We should adopt the Taiwan model which despite being so close to China is not impacted.
The concept of economic moats was first made popular by Warren Buffett. In actuality, a moat is a water body around a wonderful castle that helps prevent being raided by enemies. The attractiveness of the castle would have lured enemies to attack. In a similar way, the superior returns of a business venture would invariably attract competition.
To protect your business you would have to build significant competitive advantages that would help secure it.
Branding
Superior product offering
Great distribution
Size of operation
Scalability
Management quality
Technology adoption
IPR / patents / copyrights
are some of the factors which help to build a moat. And several of these together help to broaden and deepen the moat.
Businesses without moats are waiting to get raided. And we must watch the economic moats with a hawks eye to ensure that they are not being eroded. Especially in today’s times, when disruptive forces erode competitive advantages, we must ensure that it is enduring.
However, it is not easy to understand whether the moat is eroding or not. Cause the effect of no moat or an eroding moat will show up much later in the deteriorating financial performance of the business. Hence the time to engage in a “moat checkup and review” is when the business is at its peak.
Quick & easy system for finding stocks with multibagger potential
If you were asked to find a multibagger from the listed universe of stocks you would obviously get bogged down. The sheer effort of having to go through each of the 5000 stocks and deciding on its multibagger potential would be, to put it mildly, overwhelming! And I guarantee that you would reach nowhere!
Yet there has to be a better way of doing this. So why not invert the whole process and de-select stocks that that do meet the requirements of being investment grade. What you are left with is purely stocks that you would invest in. Next, we apply the proprietary tools to understand whether a stock can be a multibagger. At India Investors Club we refer to this process as the Criteria of Elimination in Stock Picking
The document discusses the benefits of exercise for mental health. Regular physical activity can help reduce anxiety and depression and improve mood and cognitive function. Exercise causes chemical changes in the brain that may help protect against mental illness and improve symptoms.
- OCL India Ltd is an Indian cement manufacturer that is well positioned to benefit from increased infrastructure development in East India under the new government.
- OCL recently expanded its cement grinding capacity to 6.7 MTPA, which is expected to drive revenue growth of 26% annually through FY16 as utilization increases.
- The company has operating efficiencies from a captive power plant, limestone reserves, and coal linkages that have enabled margins comparable to industry leaders. The analyst initiates coverage with a buy recommendation and target price implying 91% upside.
At the CMP of Rs 33, the stock is trading at an Adj P/BV of 1.3x and 1.1x for FY15E and FY16E, respectively. With the new government stepping-up reforms and making efforts to remove the bottlenecks in the economy, we expect the economic growth to pick up going forward. Consequently, we expect the strong growth momentum seen in SIB over past few years to continue. We expect advances and deposits to grow at a CAGR of ~19% each over the forecasted period of FY14-16E.
With business further expected to grow at CAGR of 19.5% over FY14-16E; NIMs remaining stable at ~3.0% and cost-to-income ratio improving to ~45% (currently ~50%), we expect a robust PAT growth of 22.6% CAGR over FY14-16E to Rs 763 crore.
Asset quality of SIB has improved in FY14 with GNPA and Net NPA standing at 1.2% and 0.8% in FY14 against 1.4% and 0.8% in FY13, respectively (which compares favourably with peers).
On the capital adequacy front, SIB is comfortably placed to support the future business needs of the bank over the period FY14-16E. The management has stated that it does not require any Tier-I capital funding during the current year. However, it plans to raise Tier-II capital of Rs 200 crore in FY15 to fund future growth.
In comparison to the less than ordinary and unimaginative budgetary proposals of yester years, Modi’s maiden budget comes as a welcome change from the norm. The proposals and reforms suggested in the Union Budget 2014-15 are ground breaking, specific with a good measure of thought & common sense and vastly catered for holistic growth of the economy.
The challenging circumstances of a slowing economy, soaring energy prices, inflation, fiscal and current account deficits do not provide adequate leeway to maneuver and hit the path of high growth. Yet the Budget provides a comprehensive plan and directional footprint towards overcoming these hurdles to sustainable growth of 7-8% over the next few years along with providing macro economic stability, lowered inflation, realistic fiscal health targeting and a manageable current account deficit.
The Finance Minister while presenting the budget takes cognizance of the fact that decisive action to fuel growth without populism is the need of the hour. And that resources for developmental expenditure cannot be raised at the cost of burdening the future generations with the legacy of debt. He goes on to emphasize the need to mobilize resources through both tax and non-tax revenues to feed the aspirational developmental expenditure.
In order to achieve this objective the Modi Government has taken head on the various issues plaguing the Indian economy and come out with imaginative and yet very practical and implementable reforms and measures.
Most commodities futures have been in a narrow trading range for quite a while now. However with volatility returning many have started to show signs of movement In this blog post we look at the commodities which hold promise. Corn, copper and soyabean are clear shorts while silver is on the verge of a break down. Gold though in a sideways consolidation could be a short term sell. Meanwhile crude oil and natural gas are hitting strong overhead resistances and could over the next few days put in some pullback. Platinum is still undecisive, sugar is a stock to watch for a buying opportunity and palladium is one lone metal which seems headed higher.
The budget document discusses the Union Budget 2013-14 which aims to return the Indian economy to high growth while maintaining fiscal discipline. Key points include containing the fiscal deficit to 5.2% of GDP for the current year and pegging it at 4.8% for 2013-14. The FM has taken a balanced approach through various initiatives to promote manufacturing, infrastructure, and capital markets while also introducing innovative revenue measures and keeping expenditure in check. However, uncertainty around GAAR could negatively impact foreign investment inflows which are important to bridge the current account deficit.
The Indian Pharmaceutical sector has been on a roll ever since the global economy picked itself up post the 2007 mayhem. Given the strong fundamentals of the Indian Pharmaceutical industry and the global opportunity due to the patent cliff in the western world, listed pharmaceutical stocks have responded well and rallied substantially. While the international opportunities have been good for the bottom line, pharmaceutical stocks with a larger or significant share of the domestic pharma market have come in for a rude shock as the implementation of the new pricing policy outline of the NPPA can sharply erode profitability. As the policy elements are still not clear, it would be premature to judge how individual companies would be affected.
With a view to having a mid journey outlook on expected price performance of pharmaceutical stocks, we decided to conduct a study of the major pharmaceutical stocks using technical analysis and analyse which stocks offer the best opportunity both from a long and short point of view. The exhaustive analysis was done on 29 of the major stocks, the details of which one can obtained from the slideshow.
The analysis was done using weekly chart data to get a more longer term picture and some of the results we found were quite contrary to general market expectation; yet others were quite revealing of exciting investment opportunities. We could have easily summed up our analysis and provided an instant listing of our analysis and recommendations for the benefit of our blog readers, but we thought it more appropriate that the reader “visualize” our analysis as “one picture is worth more than a thousand words.”
Technical analysis is a great science for stock price forecasting, but the overall investment decision can be more solid if backed by hard core fundamental study. In part 2 of the Indian Pharmaceutical Outlook, we would be providing extremely high quality fundamental evaluation on the fortunes of these very 29 stocks so that our faithful blog readers can make investment decisions based on comprehensive analysis.
As with all the content on this blog, the report will be provided FREE. However in order to make a point of the exclusivity of the content, we request blog readers to send us an email so that we could deliver it directly in your email inbox. This we request so that we could obtain your feedback on the same report so that we can improve on the content. We would also like to solicit your opinion on the type of content that readers find interesting so that future blog posts could be based more on reader interest rather than just what we think you should read.
Gujarat Mineral Development Corporation Ltd. is initiating coverage with a buy recommendation and a target price of Rs. 255. The company is expected to see revenues and earnings grow at a CAGR of 27.1% and 23.7% through FY2014 due to increased lignite volumes, price hikes, and growth in its bauxite business. While its power business has faced issues, the analysts expect a turnaround by FY2014. At the current market price of Rs. 187, the stock is trading at attractive valuations and expected to provide upside of around 36% over 18 months.
Wockhardt posted a net loss of Rs 191.6 crore for Q4FY12 due to exceptional items such as derivative liabilities and goodwill impairment. Excluding exceptional items, net profit grew 57% YoY to Rs 261.6 crore. Net sales grew 32.2% YoY to Rs 1,241.4 crore. The brokerage expects the company to benefit from its product portfolio and focus on high margin products, projecting a revenue CAGR of 14.8% over FY12-FY14. However, it has lowered earnings estimates for FY13-FY14 to factor in higher taxes and the potential delay of a nutrition business sale. The stock currently trades at attractive valu
We initiate coverage on Petronet LNG Limited(Petronet) as a BUY with a Price Objective of Rs 151 (target PE of 11x
FY2013) over a period of 15-18 months. At CMP of Rs 132.1, the stock is trading at 13.6x and 9.6x its estimated earnings
for FY2012E & FY2013E representing a potential upside of ~13.6%. Petronet LNG is majorly engaged in the business of
LNG procurement, transportation and regasification. Burgeoning natural gas demand supply mismatch in the country
makes it inevitable that the additional demand would be met by imported LNG. Petronet LNG, with its Kochi terminal set
to commission in Q4FY12 and expansion at its Dahej terminal, is all set to benefit from the current scenario. In addition,
diversification plans into the power segment add further value to the company. We expect revenue & earnings growth of
26.1% & 36.5% CAGR respectively over the next three years.
Favourable natural gas demand and supply to augur well for PLNG
On the back of growing consumption, demand for natural gas is expected to
grow at a faster rate of 16.3% (5 year CAGR) to 381 mmscmd compared to
supply which is expected to grow at a 5 year CAGR of 6.8% to 202.9 mmscmd.
This burgeoning demand supply gap is expected to be met through LNG
imports and Petronet LNG with its expanded capacity is well placed to garner a
major portion of this incremental demand. We expect the revenues of Petronet
LNG to grow at a CAGR of 26.1% to Rs 21343.7 crore over the forecast
period.
Kochi terminal & Dahej expansion to drive volume growth
The USD 850 mn Kochi LNG terminal of 2.5 MMTPA capacity is expected to
commission in Q4FY12 which would be later expanded to 5.0 MMTPA by the
end of FY13. Kochi terminal can help serve the Southern market where the
landed cost of domestic gas is higher. The Dahej expansion to 12.5 MMTPA is
expected to commence by FY13 with an additional jetty at Dahej at a cost of
~USD 980 million. Both these projects are to funded in a 70:30 Debt to Equity
ratio. We expect the LNG volumes to grow from the 7.6 MMTPA in FY10 to
10.4 MMTPA in FY13.
LNG pricing not a major concern
Although the LNG pricing is linked to JCC, over the forecast period we do not
expect significant cost increases as there is a fixed formula for pricing the
sourced LNG. Also, with the company having back to back off-take
agreements, we do not foresee any risk in passing on any of the increased
costs. While the recent nuclear
We initiate coverage on Wockhardt Limited (Wockhardt) as a BUY with a
Price Objective of ` 978 (target 10.0x FY14 P/E). At CMP of ` 565 the stock
is trading at 3.4x and 5.8x its estimated earnings for FY2013E & FY2014E
representing a potential upside of ~73% over a period of 18 months. With
the contingent liability concerns addressed and bulk of FCCBs already
repaid, the sale of nutrition business will lead to a substantial increase in
cash which could be used to draw down debt or pursue organic / inorganic
grow opportunities. Further its portfolio of high margin niche products and
impressive FTF launches should provide for strong growth in revenues
(12.3% FY11-14 CAGR) to ` 5311.2 crore and earnings (123.6% FY11-14
CAGR) of ` 97.8 /share by FY14.
During the period 2003 through 2008, Wockhardt has traded mostly in line
with the 1 Year forward PE multiple of its peers viz: Sun Pharma, Cipla,
Lupin and Glenmark. However, post its derivative losses, Wockhardt’s EPS
turned negative. Now that the balance sheet is all cleaned up and all
contingent liabilities addressed, we expect that going forward, Wockhardt
will catch up with its peers leading to a substantial re-rating of the stock.
More from Vinit Bolinjkar LION bolinjkar.vinit@gmail.com (20)
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Bajaj corp initiating coverage report
1. Bajaj Corp
BUY
Target Price ` 136 CMP ` 99 FY13 PE 10.2x
Index Details We initiate coverage on Bajaj Corp Ltd as a BUY with a Price Objective
Sensex 15,882 of ` 136 (target 14x FY13 P/E). At CMP of ` 99, the stock is trading at
Nifty 4,749 12.7x and 10.2x its estimated earnings for FY12 & FY13 representing a
BSE 100 8,143
potential upside of ~37.4% over a period of 15 months. Strong
Personal
sustainable volume growth and pricing power of its flagship brand
Industry
Products “Almond Drops”, new product launches in niche segments and
inorganic acquisitions should lead to an earnings growth of 30.6%
Scrip Details
CAGR over the period FY11 to FY13. Bajaj Corp Ltd is one of the
fastest growing companies in the FMCG space with market leadership
Mkt Cap (` cr) 1,460
in the niche “Light Hair Oil” category and over the years has
BVPS (`) 29.4 successfully consolidated its market share.
O/s Shares (Cr) 14.7
Avg Vol (Lacs) 0.1 Brand leadership, product differentiation, and extensive
52 Week H/L 132/73 network reach has helped BCL maintain its market leadership
STOCK POINTER
Div Yield (%) 1.9
The Light Hair Oil (LHO) segment (~13% of total hair oil market) has witnessed
FVPS (`) 1 ~25.5% CAGR (in value terms) and ~17.6% CAGR (in volume terms) over the
period of 6 years since 2006-07. Further this segment is expected to grow at ~17%
Shareholding Pattern CAGR over FY12-14 and Bajaj Corp with its offering of Almond Drops hair oil
ADHO (~93% of total sales) is best placed to benefit from this opportunity. Over the
Shareholders % years, ADHO has enhanced its market share to 53.9% (+1360 bps since FY08) and
Promoters 84.7 has ambitious plans to further consolidate its position in this segment to ~65% over
DIIs 4.0 the next five years. Slew of measures like sachets to penetrate the rural market
FIIs 5.7 (being the only player), targeted advertising, product differentiation through use of
glass bottle packaging (which reinforces its value proposition) and market
Public 5.6
expansion strategies to convert coconut hair oil users to the higher value added
Total 100 LHO category should stand the company in good stead to achieve its growth
targets.
BCL vs. Sensex
New foray into the fast growing cooling hair oil segment to help
diversify product portfolio and boost revenues
Leveraging on its strong presence in the LHO segment and the distribution strength
of over 2 mn retail outlets, BCL is looking at strategic brand extension and new
product launches. In line with this strategy, the company has forayed into the
~ ` 640 crore cooling hair oil segment with the launch of Kailash Parbat Cooling oil
(KPCO). The initial response has been quite promising with KPCO attaining a
volume market share of 1% within the first quarter of its launch. However we have
not factored this in our model and represents an upside risk to our estimates.
Key Financials (` in Cr)
Net EPS Growth RONW ROCE EV/
Y/E Mar EBITDA PAT EPS P/E (X)
Revenue (%) (%) (%) EBITDA(X)
2010 294.6 97.4 83.9 6.7 78.5 217.4 263.5 - -
2011 358.7 108.2 84.1 5.7 -14.9 41.9 33.5 17.5 13.0
2012E 458.6 113.5 114.8 7.8 36.5 25.7 32.8 13.0 12.4
2013E 545.5 149.7 143.4 9.7 24.9 26.8 34.2 10.4 9.4
- 1 of 12 - Wednesday 4th Jan, 2012
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2. Prospective inorganic growth on the back of cash availability
In its initiative to grow through acquisitions BCL is scouting for brands in the personal
care segment in the domestic, as well as, international market. The huge cash pile of
~ ` 346.7 crore is a strong advantage and can be put to work to undertake a sizable
acquisition which would catapult the company into a higher growth phase. This would
not only help de-risk the brand portfolio but would help diversify the revenue stream
and improved profitability leading to better shareholder returns which in turn should
lead to higher valuations.
Valuation
At the CMP of ` 99, BCL is trading at 12.7x and 10.2x its estimated earnings for FY12
and FY13. We initiate coverage on Bajaj Corp Ltd as a BUY with a Price Objective of
` 136 (14x FY13 EPS) over a period of 15 months.
We have valued the stock at ~35.5% discount to Marico‟s valuation of 21.7x FY13
EPS (as per Ventura estimates). BCL‟s earnings are expected to grow at a 30.6%
CAGR over the forecast period FY12-13 which is far ahead of the FMCG sector‟s
growth. Strong cash generation ability and the better visibility of its earnings over the
next two to three years are an added attraction.
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3. Company Background
Part of the esteemed Shishir Bajaj Group of companies ("Bajaj Group"), Bajaj Corp Ltd (BCL) is
one of the leading producers of hair oils. BCL is the 3rd largest player in the ~ ` 5,326 crore
hair oil market and the market leader (market share of 53.9%) in the ~ ` 690 crore Light Hair
Oil (LHO) segment. “Bajaj Almond Drops Hair Oil” (ADHO) is the key brand in its product
portfolio, contributing over 93% to the total sales. In addition, the company has other hair oil
brands – Brahmi Amla, Amla Shikakai, Jasmine, and Kailash Parbat Cooling Oil (launched
recently). BCL also has a presence in the oral care segment through its brand Kala Dant
Manjan; however, this constitutes a miniscule portion of its total revenue.
Hair Oil Industry in India (> 50% of the overall hair care industry)
FMCG
Rs 1,33,876 cr
(USD 29.8 bn)
Hair Care
Rs 10,243 cr
(USD 2.3 bn)
Hair Conditioners
Shampoo (32%) Perfumed Oil (31%) Coconut Oil (21%) Hair Dyes (14%)
(2%)
Rs 3,277 cr Rs 3,175 cr Rs 2,151 cr Rs 1,434 cr
Rs 204 cr
(USD 728 mn) (USD 705 mn) (USD 478 mn) (USD 319 mn)
(USD 45 mn)
Heavy Amla based
Coconut based oils Cooling Oils Others
Oils Light Hair Oils (13%)
(50%) (12%) (10%)
(15%)
- Brahmi Amla
- Amla Shikakai - Almond Drops - Kailash Parbat
- Chameli Jasmine
BCL’s Product Portfolio
Overall Hair oil Market BCL’s Presence
Source: BCL, Ventura Research
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4. Key Investment highlights
Brand leadership, product differentiation and extensive network reach
has helped BCL maintain its market leadership
The Light Hair Oil (LHO) category (~13% of total Hair Oil Market), which comprises the
premium hair oil segment, witnessed ~25.5% CAGR (in value terms) and ~17.6% CAGR (in
volume terms) over the period of 6 years since 2006-07. This segment is expected to continue
to grow at a CAGR of 17% in volume terms over the period FY12-14. BCL, with its LHO brand -
Bajaj Almond Drops Hair Oil (ADHO) commands a market share of 53.9% (by value) and
contributes more than 93% to its total sales, is best placed to avail of this opportunity. Despite
ADHO being a leader in the LHO category by a fair margin than its nearest peers Marico‟s –
Hair & Care (~22%) and Dey‟s Medical – Keo Karpin (~19%), the company has ambitious
plans to enhance market share to ~65% from its current 53.9% by FY16.
LHO Market – Volume LHO Market – Value
25000 900
800
20000 700
in Kilo Litres
Rs in crore
600
15000
500
400
10000
300
5000 200
100
0 0
FY07 FY08 FY09 FY10 FY11 H1FY12 FY07 FY08 FY09 FY10 FY11 H1FY12
Source: BCL, Ventura Research Source: BCL, Ventura Research
ADHO - Volume ADHO - Value
12000 500
450
10000 400
in Kilo Litres
350
Rs in crore
8000
300
6000 250
200
4000
150
2000 100
50
0 0
FY07 FY08 FY09 FY10 FY11 H1FY12 FY07 FY08 FY09 FY10 FY11 H1FY12
Source: BCL, Ventura Research Source: BCL, Ventura Research
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5. ADHO – Market Share (Volume) ADHO – Market Share (Value)
60% 60% 53.0% 53.9%
49.1% 50.2% 50.3%
47.7% 46.5%
50% 44.1% 50%
38.4% 40.3%
40% 40%
30% 30%
20% 20%
10% 10%
0% 0%
FY08 FY09 FY10 FY11 H1FY12 FY08 FY09 FY10 FY11 H1FY12
Source: BCL, Ventura Research Source: BCL, Ventura Research
In order to dominate this space BCL has come up with many initiatives like sachets to
penetrate the rural market (being the only player), targeted advertising campaign, product
differentiation through use of glass bottle packaging (which reinforces its value proposition) and
market expansion strategies to convert coconut hair oil users to the higher value added LHO
category. While competition has introduced similar products at lower price points, BCL has
adopted an aggressive pricing policy and yet has grown its market share and volumes clearly
indicating the brand power of ADHO.
Peer product price comparison for 100ml product
60
50
50 48
46
42 42
MRP per 100ml
40 37 36
34
30 27
23
20
10
0
Almond Keo Hair & Dabur Parachute Brahmi Dabur Amla Kailash Navranta
Drops Karpin Care Vatika Amla Amla Shikakai Parbat
BCL products Competitors products
Source: BCL, Ventura Research
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6. Price hikes but not at the cost of market share
50 60.0%
46
45
40 50.0%
40
35 35
32
MRP per 100ml
35 30 40.0%
30
25 30.0%
20
20.0%
15
10
10.0%
5
0 0.0%
Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11
ADHO Price Market Share (RHS)
Source: BCL, Ventura Research
On the distribution front, BCL have an extensive reach in urban and rural market through 2.0
million retail outlets serviced by 5913 direct distributors and 11,057 wholesalers. The northern
region of India is the major market as well as fastest growing zone for LHO category. Given the
fact that ~51% of company‟s stockists are based in North India, high penetration of ADHO in
rural and urban area is virtually assured. Moreover, BCL is rapidly expanding its distribution
reach as its stockists strength has grown from less than 1500 in FY05 to 5913 in Q2FY12 and
the company plans to further accelerate additions to the distribution outlets. This is evident
from the fact that ADHO generates ~39% of its sales from the rural markets which is higher
than the industry average.
Distribution Structure
Factory (5)
Central Warehouse (1)
Regional Distribution
Centre (32)
Urban Rural
Distribution Distribution
Redistribution Super Stockist
Stockist (1,756) (145)
Retail Outlets Sub-stockist
(9,67,804) (4,023)
Retail Outlets
(10,62,008)
Source: BCL, Ventura Research
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7. New foray into the fast growing cooling hair oil segment to help
diversify product portfolio and boost revenues
BCL has identified the fast growing cooling hair oil segment (~21% CAGR against ~17% CAGR
of hair oil industry growth) as one of its key growth drivers. Leveraging of its prevailing strong
brand equity and the distribution reach of over 2 mn retail outlets, BCL has recently launched
Kailash Parbat Cooling oil (KPCO).
Cooling Oil market – Volume Cooling Oil market – Value
14,000 600
12,000 500
10,000
400
Rs in crore
in Kilo Litres
8,000
300
6,000
200
4,000
2,000 100
0 0
FY07 FY08 FY09 FY10 FY07 FY08 FY09 FY10
Source: BCL, Ventura Research Source: BCL, Ventura Research
The product was initially test marketed in both north and south India and the feedback from the
northern states (which is the bastion of BCL) was very encouraging. KPCO was able to achieve
a volume market share of 1% within the first quarter of its launch itself. With the onset of the
summer season the sales are expected to pick up sharply and the current availability in 3.6
lakh outlets should help boost sales. Already in Rajasthan, KPCO has achieved a market share
of 7.6% and the states of UP, Bihar, Jharkhand and Chhattisgarh are expected to buoy the
volume growth.
Currently KPCO faces stiff competition from „Himgange‟ (unorganized sector), Emami‟s
„Himami Navratna‟ and Marico‟s „Nihar‟ cooling oil. Nihar cooling oil had an encouraging
response during test marketing down south; however post launch it has not been able to garner
satisfactory volumes.
While KPCO‟s launch may not be EPS accretive from the first year, it will steadily add to the
revenues as cooling oil is a fast growing segment.
Prospective inorganic growth on the back of cash availability
As a part of its growth strategy, BCL is scouting for inorganic growth opportunities in the FMCG
personal care and hair oil market (both domestic and international market) with focus on niche
brands. Moreover, BCL has also hired few consultants for screening suitable targets. With zero
debt and huge cash and cash equivalents of ~ ` 346.7 crore, it would not be difficult for the
company to fund any potential acquisitions going forward. Further, BCL does not have any
major capital expenditure (capex) plan and also does not require to raise additional funds to
meet its working capital requirement. Going further, we believe that the deployment of cash to
expand both organically as well as inorganically will boost the company‟s revenues as well as
valuations.
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8. Key Concerns
Volatility in raw material prices namely light liquid paraffin and vegetable
oil
Off late prices of key input Light Liquid Paraffin (~ 41.4% of the RM cost) and vegetable oil
(~8.3% of RM cost) have become very volatile and unfavorable movements can significantly
affect profitability and volume growth. However, BCL had taken an average price increase of
8.5% in ADHO in May 2011 which, to a certain extent, would provide shield against any
substantial increase in costs.
Key raw material cost resulting in margin pressure
100 38.8% 45.0%
90 40.0%
80 31.5% 30.0% 35.0%
28.5% 28.2%
70 25.6% 30.0%
Rs per Kg
60
25.0%
50
20.0%
40
30 15.0%
20 10.0%
10 5.0%
0 0.0%
Light Liquid Paraffin Refined Oil EBITDA Margin (RHS)
Source: BCL, Ventura Research
Reliance on one single product + declining volume of other products =
Riskier proposition
The company has a very concentrated portfolio, which brings a certain amount of risk attached
with it. Almond Drop hair oil (ADHO) constitutes over 93% to the total revenue of BCL. Any
drop in the sales of Almond Drops will adversely affect company‟s market share, business and
financial performance. Moreover, the increasing competition from its key competitors may
affect the sales volume and consequently hurt the overall health of the company.
Non-operational concerns have hurt valuations
Sensible deployment of available cash and cash equivalents to enhance its product portfolio or
to grow inorganically is one of the key drivers for the company. However, recent expenditure to
acquire land for future corporate premises in Mumbai (` 75 crore worth) and guest houses
(` 15 crore worth) has raised investor‟s concerns. Until the cash pile of ` 346.7 crore is put to
good use which would directly benefit business prospects, valuations would continue to remain
depressed.
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9. Financial Performance
Bajaj Corp Ltd witnessed a steady 31.6% YoY growth in its top line to ` 107.1 crore in Q2FY12
as against ` 81.4 crore in Q2FY11. Moreover, EBITDA and net profit increased sequentially by
3.1% and 1.2% to ` 27.4 crore and ` 28.8 crore (aided by yield from liquid investments ~ ` 9.9
crore) respectively. EBITDA margins for the business surged sequentially by 67bps to 25.6% in
Q2FY12 as against 24.9% in Q1FY12 on the back of ~ 8.5% weighted average price hike and
~ 22% volume growth in its key brand ADHO.
We believe that BCL is likely to maintain ADHO‟s volume growth at ~17% leading to further
increase in its market share. In our view, the recent diversification efforts, where the company
has forayed into the fast-growing cooling hair oil category would be positive for the stock as
BCL can very well leverage its pan-India distribution network for new product launches.
Quarterly Financial Performance
Particulars Q2FY12 Q2FY11 FY11 FY10
Net Sales 107.1 81.4 359.4 294.9
Growth % 31.6 21.9
Total Expenditure 79.7 58.2 250.5 197.2
EBDITA 27.4 23.2 108.9 97.7
EBDITA Margin % 25.6 28.5 30.3 33.1
Depreciation 0.5 0.4 1.8 0.8
EBIT (EX OI) 26.9 22.8 107.1 96.9
Other Income 9.9 2.4 17.0 4.8
EBIT 36.8 25.2 124.1 101.7
Margin % 34.4 30.9 34.5 34.5
Interest 0.0 0.0 0.1 0.1
Exceptional items 0.0 -6.3 -18.9 0.0
PBT 36.8 18.8 105.1 101.6
Margin % 34.4 23.1 29.2 34.5
Provision for Tax 8.0 3.7 20.9 17.6
PAT 28.8 15.1 84.1 83.9
PAT Margin (%) 26.9 18.6 23.4 28.5
Source: BCL, Ventura Research
Financial Outlook
Aided by steady volume growth and sustained leadership position in its flagship brand ADHO,
we expect revenues to grow at a CAGR of 23.3% to ` 545.5 crore over the forecast period of
FY11-13. Also, going forward, its foray into the fast growing cooling hair oil segment will further
boost revenues. We expect BCL to maintain ~26% EBITDA margin (excl OI) over the
forecasted period amidst volatile raw material prices. Consequently, we expect the PAT to
grow at a CAGR of 30.6% to ` 143.4 crore in FY13E as compared to ` 84.1 crore in FY11.
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10. Revenue and profitability trend
33.1%
600 35.0%
30.2%
27.4% 30.0%
500 24.8%
28.5% 25.0%
In Rs. Crore
400 26.3%
25.0%
23.4% 20.0%
300
545.5 15.0%
458.6
200 358.7
294.6
10.0%
100 5.0%
0 0.0%
FY10 FY11 FY12E FY13E
Revenues EBITDA Margin (excl OI) PAT Margin
Source: BCL, Ventura Research
Valuation
At a CMP of ` 99, BCL is trading at 12.7x and 10.2x its estimated earnings for FY12 and FY13.
We initiate coverage on Bajaj Corp Ltd as a BUY with a Price Objective of ` 136 (14x FY13
EPS) over a period of 15 months. We have valued the stock at ~35.5% discount to Marico‟s
valuation of 21.7x FY13 EPS (as per Ventura estimates). BCL‟s earnings are expected to grow
at a 30.6% CAGR over the forecast period FY12-13 which is far ahead of the FMCG sector‟s
growth. Strong cash generation ability and the better visibility of its earnings over the next two
to three years are an added attraction.
One year forward PE
30
25
20
PE (x)
15
10
5
0
Aug-10 Nov-10 Feb-11 May-11 Aug-11 Nov-11
Bajaj Corp Forward PE Average PE
Source: Ventura Research
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11. One year forward PE relative to Marico One year forward PE discount relative to Marico
0.0%
35
Aug-10 Nov-10 Feb-11 May-11 Aug-11 Nov-11
30 -10.0%
25 -20.0%
20
PE (x)
-30.0%
15
-40.0%
10
-50.0%
5
-60.0%
0
Aug-10 Nov-10 Feb-11 May-11 Aug-11 Nov-11 -70.0%
Bajaj Corp Forward PE Marico Forward PE % Discount to Marico's One year forward PE
Source: Ventura Research Source: Ventura Research
Peer Comparison
Earnings
P/E P/B ROE
Company Name Growth (%)
FY12E FY13E FY12E FY13E FY12E FY13E FY11-13E
Bajaj Corp 12.7 10.2 3.2 2.7 25.7 26.8 30.6
Marico 26.5 21.7 7.4 5.7 28.1 26.3 19.4
Dabur 27.0 22.7 10.5 8.4 42.7 40.4 18.3
Emami 19.3 16.1 6.1 5.0 32.3 35.2 19.3
HUL 36.2 31.7 25.4 19.0 70.0 59.9 15.1
Zydus Wellness 20.5 16.7 7.8 6.1 42.9 39.7 21.3
ITC 25.9 21.9 8.5 7.6 34.6 36.5 19.2
P&G 31.2 22.2 8.2 6.9 24.3 29.2 28.2
GCPL 20.9 16.1 5.4 4.3 33.5 26.7 27.8
Britannia Ind 28.1 22.1 10.7 8.5 39.6 48.2 34.3
GSK Consumers 24.4 20.7 7.8 6.4 34.6 34.5 30.3
Colgate Palmolive 30.5 26.4 30.3 25.4 106.4 102.8 9.3
Nestle 31.4 26.5 22.8 17.5 77.1 76.5 35.9
Source: Ventura Research Estimates, Bloomberg Estimates
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12. Financials and Projections
Y/E March, Fig in Rs. Cr FY 2010 FY 2011 FY 2012e FY 2013e Y/E March, Fig in Rs. Cr FY 2010 FY 2011 FY 2012e FY 2013e
Profit & Loss Statement Per Share Data (Rs)
Net Sales 294.6 358.7 458.6 545.5 EPS 6.7 5.7 7.8 9.7
% Chg. 20.5 21.8 27.9 18.9 Cash EPS 6.8 5.8 8.0 10.0
Total Expenditure 197.2 250.5 345.1 395.8 DPS 7.4 1.9 2.6 3.2
% Chg. 2.3 27.0 37.8 14.7 Book Value 2.0 25.5 30.3 36.2
EBDITA 97.4 108.2 113.5 149.7 Capital, Liquidity, Returns Ratio
EBDITA Margin % 33.1 30.2 24.8 27.4 Debt / Equity (x) 0.0 0.0 0.0 0.0
Other Income 5.1 17.8 33.0 33.0 Current Ratio (x) 1.5 2.4 2.8 3.6
PBDIT 102.5 125.9 146.5 182.7 ROE (%) 300.6 22.3 25.7 26.8
Depreciation 0.8 1.8 3.0 3.4 ROCE (%) 367.3 33.5 32.8 34.2
Interest 0.1 0.1 0.1 0.1 Dividend Yield (%) 7.4 1.9 2.6 3.3
Exceptional items 0.0 -19.0 0.0 0.0 Valuation Ratio (x)
PBT 101.6 105.1 143.4 179.1 P/E 14.7 17.4 12.7 10.2
Tax Provisions 17.6 21.0 28.6 35.8 P/BV 48.3 3.9 3.3 2.7
Reported PAT 83.9 84.1 114.8 143.4 EV/Sales 4.7 3.8 3.0 2.5
PAT Margin (%) 28.5 23.4 25.0 26.3 EV/EBIDTA 14.2 12.7 12.1 9.2
Raw Materials / Sales (%) 22.6 26.2 29.5 29.5 Efficiency Ratio (x)
Manpower cost / Sales (%) 4.0 4.0 4.0 4.0 Inventory (days) 12.3 14.7 17.0 17.0
Other opr Exp / Sales (%) 18.2 18.7 19.0 19.5 Debtors (days) 3.6 6.1 9.0 9.0
Tax Rate (%) 17.4 20.0 20.0 20.0 Creditors (days) 27.1 45.1 60.0 60.0
Balance Sheet Cash Flow statement
Share Capital 12.5 14.8 14.8 14.8 Profit After Tax 83.9 84.1 114.8 143.4
Reserves & Surplus 15.4 361.6 431.8 519.5 Depreciation 0.8 1.8 3.0 3.4
Minority Interest 0.0 0.0 0.0 0.0 Working Capital Changes 5.4 14.0 18.9 8.1
Total Loans 0.0 0.0 0.0 0.0 Others -4.6 -11.3 -33.0 -33.0
Deferred Tax Liability 0.0 0.0 0.0 0.0 Operating Cash Flow 86.1 101.5 122.6 130.0
Total Liabilities 27.9 376.3 446.6 534.3 Capital Expenditure -12.8 -6.2 -18.7 -5.6
Gross Block 19.6 24.7 43.4 49.1 Change in Investment 2.7 -311.4 33.0 33.0
Less: Acc. Depreciation 1.3 3.0 6.1 9.5 Cash Flow from Investing -10.2 -317.1 14.3 27.4
Net Block 18.4 21.7 37.4 39.6 Proceeds from equity issue 0.0 297.0 0.0 0.0
Capital Work in Progress 0.0 0.3 0.0 0.0 Issue Exp -2.3 -16.8 0.0 0.0
Investments 2.1 330.1 319.7 319.7 Dividend and DDT -107.9 0.0 -44.6 -55.7
Net Current Assets 5.2 24.3 89.5 175.0 Cash Flow from Financing -110.2 280.2 -44.6 -55.7
Deferred Tax Assets -0.1 0.0 0.0 0.0 Net Change in Cash -34.3 64.6 92.3 101.7
Misc Expenses 2.3 0.1 0.0 0.0 Opening Cash Balance 51.0 16.8 81.3 173.7
Total Assets 27.9 376.3 446.5 534.2 Closing Cash Balance 16.8 81.3 173.7 275.4
Ventura Securities Limited
Corporate Office: C-112/116, Bldg No. 1, Kailash Industrial Complex, Park Site, Vikhroli (W), Mumbai – 400079
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mentioned in their articles. Neither Ventura Securities Limited nor any of the contributors accepts any liability arising out of the above
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