Stock views on Excel Crop Care, Bank of India, HDFC, Rolta

BNP Paribas on ROLTA

BNP Paribas Securities has maintained its ‘buy’ rating on Rolta and price target of Rs 220, after its acquisition of Piocon, a move that is expected to generate revenues of $100 million over the next three to four years. “While the deal size itself is small and is unlikely to have an immediate material financial impact on Rolta, we are impressed by the company’s current strategic direction,” the foreign bank said in a report. “We remain positive on Rolta because the company stands out within its peer group with its niche market leadership, defensive-end market exposure, and high-revenue visibility,” it added.


Kotak Securities on HDFC

Kotak Securities’ private client research has downgraded HDFC to ‘accumulate’ from buy while trimming its price target to Rs 1,908 from Rs 2,061 earlier, citing the recent slowdown in housing loan demand. “We also believe that HDFC’s disbursement growth is likely to slow down during H2FY09 and FY10 moreover due to present unfavourable macro-economic conditions,” the broking house said in a note, after meeting the management. “Of late, retail demand for real estate that has slowed down significantly is largely on the back of a combined ef-fect of high real estate prices and higher interest rate. This has impacted the real estate affordability for retail consumers. Correction in property prices would be essential to boost real estate demand going forward,” it added.


India Infoline on BANK OF INDIA

India Infoline has upgraded Bank of India’s rating to ‘add’, citing higher earnings visibility and relative stability in turbulent times. “Bank of India is confident of maintaining high-quality earnings growth with a strong focus on key operating ratios. BoI expects loan growth of 24% in FY09, driven by strong demand for rupee funds by domestic corporates,” the broking outfit said. “The cut in deposit rates, along with a BPLR cut, should enable it to keep its net interest margins intact. Its AFS investment portfolio would benefit from falling bond yields, and we expect its fee income to grow in sync with loan growth,” it added.


LKP Shares on EXCEL CROP CARE


LKP Shares has rated Excel Crop Care a ‘buy’, with a 12-month price target of Rs 180. “We expect ECCL to grow its revenues and profits at a CAGR (compounded annual growth rate) of 43% and 26% over FY07-09 and the stock trading at 3 times FY09E (estimated) earnings, with a dividend yield of 6% is a good bet in the agrochemical space,” the broking house said in a client note. “We believe that the farm loan waiver would raise the farmers’ ability to purchase agrochemicals, which coupled with growing food needs and expectations of higher productivity from crops would push the demand for agrochemicals in India,” it added.

Stock views on Balaji Telefilms, Jyoti Structures, Rolta

ULJK Securities on Rolta - Target Rs 190

ULJK Securities has recommended a buy rating on Rolta India with a target price of Rs 190 in its research report. "The company is confident of achieving its target of guidance of Rs 14.80 billion- Rs 15 billion and the PAT levels at Rs. 3.20 billion- Rs 3.30 billion. The order book position of the company is about Rs 15.90 billion. We expect the growth will most likely be driven by capturing the market in the GIS/EDA space for infrastructure space. We are initiating coverage with BUY recommendation, target of Rs 190," says ULJK Securities' research report


Reliance Money on Jyoti Structures - Target Rs 85

Reliance Money has recommended a buy rating on Jyoti Structures with a target of Rs 85 in its research report. "The overall Q3FY09 performance of Jyoti Structures Ltd (JSL) remains below our expectation. JSL witnessed a top line growth of 25% YoY to Rs 4330.7 million in Q3FY09. However higher borrowing cost along with increase in other expenditure negatively impacted the bottom line which saw a drop of 10.4% YoY during the quarter to Rs 180.6 million. The order book inflow has slowed down during the quarter which has raised concerns, but we remain confident on margins for next two years. We keep our BUY recommendation with a revised price target of Rs 85," says Reliance Money's research report.


Angel Broking on Balaji Telefilms - Target Rs 52

Angel Broking has downgraded its rating on Balaji Telefilms with a target of Rs 52 in its research report. "For the quarter, Topline de-grew 36.8% yoy to Rs 50.6 cr (Rs 80 cr) on a Standalone basis. In terms of Earnings, the company registered a decline of 97% yoy in Standalone Bottom-line to Rs 0.6 cr (Rs 18.8 cr) as a result of sharp Margin contraction. We have downgraded our rating on the stock to Accumulate from Buy, with a revised Target Price of Rs 52 (Rs 103), assigning a lower P/E multiple of 7x FY2010E factoring in higher uncertainty on its programming slate and lower Earnings growth," says Angel Broking's research report.

Top IT Stock Picks

Dollor is back at Rs 44, so whihc are the top IT picks??

Large Cap

• Infosys


• TCS

Mid Cap

• Rolta


• Mastek

Small Cap

• Tanla Solutions


• Bartronics