Prashantha Seth of India Infoline Limited is if the view that Coal india will remain rangebound within a range of Rs 300 to Rs 360.

Prashantha Seth while talking to a TV news Channel stated “Coal India will trade in a range probably Rs 300 on the downside and Rs 350-360 on the upside. I think the reason that stock got de-rated from Rs 400 odd is essentially the mining bill, which will tax essentially the profits of Coal India and that would result in a 15% downgrade in earnings for Coal India.”

Apart from that we have seen production constraints, production not increasing because of environmental issues and third you have new wage agreement that is going to be coming with its employee, which would essentially increase its operational cost and employee cost which is essentially the highest cost for the company.”

He further stated “So my sense is it will trade in a range Rs 355-360 will probably be on the higher side where it will go to and Rs 300 will be essentially the bottom. This Rs 300-360 range will hold at least for six-nine months. I would expect that unless you see some amount of improvement in terms of coal production which unfortunately hasn’t happen. So my sense is for the next six-nine months it should probably be in that range.”

FirstCall Research in its Research Report dated October 4, 2011 is bullish on the stock Larsen and Toubro (L&T) and suggests a price target of Rs 1510.

FirstCall Research states “L&T’s Buildings & Factories Independent Company- part of its Construction Division has secured new orders worth Rs 4100 crore during first quarter of FY12 for construction of airport expansion, hospital, commercial, residential buildings including factories.

L&T construction has secured new orders worth 1340 crore in the Building & Factories segment during the second quarter of FY12 for the construction of commercial & residential buildings including add-on orders from ongoing projects. L&T construction has secured another major order worth Rs 797 cr from a leading developer for the mixed use construction comprising predominantly of residential, including retail and commercial developments at Mumbai.”

“L&T Ltd. has reported net profit of Rs 7461.50 million for the quarter ended on June 30, 2011 as against Rs 6661.70 million in the same quarter last year, an increase of 12.01%.

It has reported net sales of Rs 94826.10 million for the quarter ended on June 30, 2011 as against Rs 78853.10 million in the same quarter last year, a rise of 20.26%. Total income grew by 20.55% to Rs 97787.90 million from Rs. 81120.70 million in the same quarter last year. During the quarter, it reported earnings of Rs 12.23 a share.”

It further states “At the current market price of Rs.1337.00, the stock is trading at 18.58 x FY12E and 16.71 x FY13E respectively. Earning per share (EPS) of the company for the earnings for FY12E and FY13E is seen at Rs.71.98 and Rs.80.02 respectively.

Net Sales and Operating profit of the company are expected to grow at a CAGR of 14% and 6% over 2010 to 2013E respectively. On the basis of EV/EBITDA, the stock trades at 10.50 x for FY12E and 9.49 x for FY13E. Price to Book Value of the stock is expected to be at 3.11 x and 2.63 x respectively for FY12E and FY13E.

We expect that the company will keep its growth story in the coming quarters also. We recommend ‘BUY’ in this particular scrip with a target price of Rs 1510 for long term investment.”

Shrikant Chouhan, Vice President, Technical Research at Kotak Securities is of the view that Tata Steel might drift lower in the days to come.

Shrikan Chouhan while talking on a TV channel voiced his view that Tata Steel would be an ideal short candidate. He advised to Short Tata Steel as the stock is diverging negatively.

He advised shorting the stock at CMP (current market price) of Rs 438 with a stop loss of Rs 456 on Intraday basis with a target of 420 to 415 or lower in the next few days.

Anil Manghnani of Modern Shares and Stock Brokers has advised traders and investors alike to book profits in Reliance Industries Limited (RIL).

In an interview to a TV Channel, Anil Manghnani of Modern Shares and Stock Brokers said that he is not sure as to how Reliance Industries limited (RIL) will react to the results it has just announced.

He said that if any investors or traders had bought the stock (RIL) in the range of 800 or below, it would be right to book profits now.

FirstCall Research states “Maruti Suzuki India Limited (MSIL), a subsidiary of Suzuki Motor Corp. of Japan, is India’s largest passenger car company, accounting for over 50 per cent of the domestic car market. During the quarter ended, the robust growth of Net Profit is increased by 18.02% Rs. 5492.30 million.

Maruti Suzuki India Limited and investors have invested over Rs. 550 Crore to make the new Swift more vibrant and sportier. Suzuki Motor plans to set up new passenger car factory for Rs 6,235 crore ($1.3 billion) in Gujarat. Maruti Suzuki India Limited sold a total of 75,300 vehicles in July 2011 where 91442 vehicles in August 2011. Net Sales and PAT of the company are expected to grow at a CAGR of 14% and 5% over 2010 to 2013E respectively.”

It also goes on to say ““At the current market price of Rs.1058.00, the stock is trading at 11.80 x FY12E and 10.61 x FY13E respectively. Earning per share (EPS) of the company for the earnings for FY12E and FY13E is seen at Rs.89.64 and Rs.99.69 respectively.

Net Sales and PAT of the company are expected to grow at a CAGR of 14% and 5% over 2010 to 2013E respectively. On the basis of EV/EBITDA, the stock trades at 6.65 x for FY12E and 6.03 x for FY13E. Price to Book Value of the stock is expected to be at 1.86 x and 1.58 x respectively for FY12E and FY13E. We expect that the company will keep its growth story in the coming quarters also. We recommend ‘BUY’ in this particular scrip with a target price of Rs 1216 for Medium to Long term investment.”

Unicon Investment says in its research report “Development Credit Bank (DCB) is a small new generation private sector bank serving ~6 lakh customers with a network of 82 branches and 140 ATMs as of June 11. Its branches are concentrated in western India with 65% of branches located in Maharashtra, Gujarat and Goa. After strategic overhaul in FY09, bank has returned to profitability of INR 214 mn in FY11 from a loss of INR 785 mn in FY10.”

It also goes on to say “This remarkable growth was achieved with limited number of branches.  Going ahead, on back of branch expansion and strong business growth of ~15% CAGR during FY11-13E, we expect bank to continue its profitability run. The growth seems to be achievable due to diversified loan book, efficient retail deposits, reduction in overall costs. With restructuring of balance-sheet largely in place, we expect a revival in business growth of 15% CAGR over FY11-13E. This will be achieved with management giving greater focus on diversification of its advances with secured retail book. In addition to a larger share of retail deposits (>70% CASA+term) in total deposits on liability front. Hence, NIMs to move to 3.3% in FY13E from 3.1% in FY11, is likely to be led by a better cost of deposits (higher CASA ratio) & focus on high yielding MSME sector in loan portfolio.”

“The stock historically traded at higher than 4x its one year forward ABV till Jan 08, slid to 2.5x in mid FY09 and crashed to sub 1.5x in Q4FY09. With revamping of business & returning to profitability, we expect the stock to command higher multiple going forward.

At the CMP stock trades at 1.3x & 1.2x FY12E & FY13E adjusted book value (ABV) respectively. We expect return ratios to improve from hereon for the bank i.e. RoE to reach to 9.5% in FY13E from 3.5% in FY11. Thus, we value the bank’s business at 1.7x FY13E P/ABV, thereby evaluating it at INR 64. Buy DCB with a price recommendation of INR 64, an upside of 40% from the current market price.”

Bonanza in its research report dated April 11, 2011 has recommended a buy rating on the stock Vijaya Bank for a price target of Rs 97.

Bonanza says ““Vijaya Bank posted a healthy growth of net profit of 21.6% y-o-y at Rs 151.8 crore in Q3FY11 on the back of strong net interest income (NII) growth of 36.5% y-o-y to Rs  536 crore. Net interest margin (NIM) also improved to 3.44% in Q3FY11 as against 2.65% in Q3FY10. Aggregate business of the bank touched Rs 107272 crore with a growth of 10.7% and 8.1% y-o-y in advances and deposits respectively.

Management has guided for 16% y-o-y business growth and a minimum 35% growth in NII for FY11. Recent capital infusion of Rs 700 crore through Perpetual Non Cumulative Preference Shares has increased the capital base of the bank and supports its business growth. Cost to income ratio has reduced by 235 bps from 51.9% in 9MFY10 to 49.6% in 9MFY11 Capital adequacy ratio of the bank stood at 13.67% in Q3FY11 with a 9.25% tier-I capital.”

Bonanza further adds “After a steep correction from the highs of 115, Vijaya Bank is holding above crucial support formed through the convergence of long term trend line. Recovery from lows was well supported by increasing volumes indicating upside rally to continue. On weekly chart also, the stock is showing a bullish trend reversal pattern. One should buy the stock at CMP for target price of Rs 97 with a stop loss of Rs 81.50 (closing basis).”

Emkay Global Financial Services in its research report dated April 11, 2011 recommends accumulating SBI (State Bank Of India) for a target price of Rs 3000.

Emkay Global Financial Services states “State Bank of India (SBI), the restructured standard advances, agriculture advances and retail advances were key driver of the slippages in M9FY11. The slippages in the restructured advances portfolio were 15.89% till M9FY11. For FY12E, the slippage rate could come down to 1.6-1.8% compared with 2% in FY11E.

The slippages from restructured portfolio and agriculture advances have slowed down sharply. Recoveries and upgradations are happening at pace of Rs 20-25 billion per quarter. The new chairman has highlighted that containing NPAs will be key priority in future.”

“The NIMs for FY12E could be maintained at 3.4% due to two reasons: (1) SBI’s base rate at 8.25% is still ~75bps lower than other banks which can be raised and (2) SBI had raised a large amount of deposits at 10.5% with tenure of 100 days in Sep-Dec 2008.

These deposits are likely to come up for renewal in H2CY11. The peak rate offered by SBI right now is 9.25%. SBI is still in talks with the RBI though no conclusion has been reached. The teaser rate loan portfolio is at about Rs 300 billion. If SBI has to provide on these loans, it will entail provisions of Rs 4.8 billion.”

Hence Emkay Global Financial Services says “At the CMP, the stock is quoting at 2.1x/1.8x consolidated banking FY11E/FY12E ABV. Excluding the value of insurance and other businesses, the valuations are attractive at 2.0x/1.6x consolidated banking FY11E/FY12E ABV. We maintain our Accumulate rating with target price of Rs 3,000.”

Networth Stock Broking in its research report dated 7th January, 2011 has recommended a buy rating on Joyti Structures for a target of Rs 162.

Networth Stock Broking further says in its research report “Jyoti Structures in its board meeting on 5th Jan 2010 approved issuance of NCD’s with detachable warrants on rights basis. 10.2 million NCD’s with 7% coupon (payable quarterly) having a face value of Rs 120 to be issued to existing shareholder on rights basis; For every 8 shares, 1 NCD shall be issued which is redeemable at the end of 15 months (Record date 15th Jan 2010). Two detachable warrants shall be issued along every NCD at an exercise price of Rs. 120 (CMP 135) to be exercised over a period of 18 months; every share holder who has 8 shares will have 10 shares at the end of 18 months. Amount raised through NCD’s – Rs 123.1 crore; Warrants – Rs 369.4 crore.

“The debt for the company is estimated to come down from Rs 360 crore in FY10 to Rs 275 crore. in FY12E reducing interest costs. The interest costs are estimated to come down significantly by 44% from our earlier estimates to Rs 52.7 crore. The net profit is thus estimated to increase by 25% to Rs 139 crore from our earlier estimated profit of Rs 111 crore. However, the EPS is estimated to increase marginally to Rs 13.55/share from our earlier estimated EPS of Rs 13.49/share led by the surge in the equity shareholders. At a target P/E multiple of 12, the value of the share remains unchanged at Rs 162/share, we recommend Buy.”

KRChoksey in its research report on 7th January, 2011 has recommended a buy rating on the stock Elder Pharma (EPL) with an upside potential of 19.5%.

It further says in its research report “Elder Pharma (EPL) is a strong domestic pharma player with strong brands (shelcal) in the market. EPL’s major in-licensed brands include: Carnitor (FY10 sales Rs 14 crore, growth rate 22%), Hibor (Rs 4 crore, 52%), Tantum (Rs 4.3 crore, 15%). The company has a state-of-the art R & D facility at Nerul, Navi Mumbai. It has three formulation facilities are at Paonta Sahib, Uttaranchal and Nerul and two API facilities are at Pawane and Patalganga.”

“Elder Pharma has entered into 24 strategic in-licensed agreements which accounts for around 10% of the total revenue. Biomeda group is the one in which company have 92.2% stake and it offers the Elder Pharma an opportunity to market Shelcal in the Europe. Biomeda is equipped with a formulation plant for manufacturing tablets in Bulgaria as well as a good distribution network in Bulgaria. The Company plans to capitalize by penetrating the European and CIS markets on a larger scale.”

“EPL has dominant market share in niche therapeutic segments with 6 products having market share in excess of 30% in their respective therapeutic segments. We expect domestic formulations to grow at 18-19% in the future. Domestic formulations contributes around 90% of EPL’s total sales. EPL’s major products include Shelcal, Deviry and B-long (women’s healthcare), Chymoral, Tantum and Hibor (wound care and pain management), Eldervit, Nephrocaps and Phytomeg (neutraceuticals), antiinfectives (Formic, Widcef, KefBactum), cardiac (Amifiru, Carnitor). EPL has a rich pipeline of new products in each of these categories.”

“EPL enjoys its presence in niche therapeutic category such as women’s healthcare, neutraceuticals and lifestyle disease. The revenue growth in this business (18-19%) outperforms the overall domestic formulation business. EPL also have presence in Nicotine Replacement Therapy (NRT) in pastille form for smokers/tobacco chewers. The stock trades at 14.8x FY11E EPS of Rs 25.7 and 9.2x FY12E EPS of Rs 41.3 We recommend Buy and assign it P/E of 11x FY12E earnings with a target price of Rs 454 with the potential upside of 19.5%.”