External broker reports(aggregated public sources), Axis Direct

Axis Direct

External broker reports(aggregated public sources)

Axis Direct is the flagship brand under Axis Securities Limited, a subsidiary of Axis Bank in India. 

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Thematic (Sector/Industry)

<ul><li>During the quarter, road infrastructure companies under our coverage reported Revenue/EBITDA/PAT growth of -11%/- 12%/42% YoY, against our expectation of 0%/-2%/2% YoY.</li><li>The performance deviation was primarily due to slower execution due to extended monsoons and delays in receiving AD.</li><li>PAT was higher owing to higher other income and exceptional gain reported by KNR construction during the quarter.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

During the quarter, road infrastructure companies under our coverage reported Revenue/EBITDA/PAT growth of -11%/- 12%/42% YoY, against our expectation of 0%/-2%/2% YoY.The performance deviation was primarily due to slower execution due to extended monsoons and delays in receiving AD.PAT was higher owing to higher other income and exceptional gain reported by KNR construction during the quarter.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Top Conviction Ideas – “Road Infra and Others”

<ul><li>Consumer demand remains tepid: The discretionary demand remains tepid with a greater impact seen on QSR, Footwear, and Apparel while the value segment has seen some recovery.</li><li>Premium vs. value segment: While the premium/luxury segment remains strong, the value segment saw some recovery. However, it remains a mixed bag.</li><li>Store expansion continues: Despite the muted environment, most companies in our coverage universe have maintained/increased store opening guidance as they move into smaller towns and long-term growth levers remain strong.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Consumer demand remains tepid: The discretionary demand remains tepid with a greater impact seen on QSR, Footwear, and Apparel while the value segment has seen some recovery.Premium vs. value segment: While the premium/luxury segment remains strong, the value segment saw some recovery. However, it remains a mixed bag.Store expansion continues: Despite the muted environment, most companies in our coverage universe have maintained/increased store opening guidance as they move into smaller towns and long-term growth levers remain strong.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

<ul><li>Hindalco’s Indian operations stood robust, offsetting Novelis's impacted profitability due to the flooding at its Sierre operations.</li><li>Consolidated EBITDA grew by 42%/6% YoY/QoQ to Rs 8,029 Cr (11% beat vs. our and consensus), led by strong upstream Aluminium and Copper EBITDA.</li><li>NALCO’s revenue/EBITDA/PAT beat ours and consensus estimates on account of strong performance by both the Alumina and Aluminium divisions.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Hindalco’s Indian operations stood robust, offsetting Novelis's impacted profitability due to the flooding at its Sierre operations.Consolidated EBITDA grew by 42%/6% YoY/QoQ to Rs 8,029 Cr (11% beat vs. our and consensus), led by strong upstream Aluminium and Copper EBITDA.NALCO’s revenue/EBITDA/PAT beat ours and consensus estimates on account of strong performance by both the Alumina and Aluminium divisions.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Top Conviction Ideas – “Metals and Mining”

<ul><li>Topline growth remains muted: Staple companies have reported muted topline growth due to weak urban consumer demand, heavy rainfall across major parts of the country, and heightened competitive intensity.</li><li>On a positive note, rural demand continues to show signs of revival and remains resilient. </li><li>Urban weakness was a surprising element: Urban which accounts for 50-60% of FMCG sales came under pressure as highlighted by most of the consumer companies owing to – 1) Slowdown in discretionary spends, 2) Muted wage growth, 3) Higher interest rate coupled with increase in rentals and EMIs, 3) Higher competitive intensity from other D2C brands as Qcommerce penetration increase in the recent time leading to overall weakness in overall urban.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Topline growth remains muted: Staple companies have reported muted topline growth due to weak urban consumer demand, heavy rainfall across major parts of the country, and heightened competitive intensity.On a positive note, rural demand continues to show signs of revival and remains resilient. Urban weakness was a surprising element: Urban which accounts for 50-60% of FMCG sales came under pressure as highlighted by most of the consumer companies owing to – 1) Slowdown in discretionary spends, 2) Muted wage growth, 3) Higher interest rate coupled with increase in rentals and EMIs, 3) Higher competitive intensity from other D2C brands as Qcommerce penetration increase in the recent time leading to overall weakness in overall urban.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Top Conviction Ideas – “FMCG” - November 2024

Equity Bottom-Up

PSP Projects Limited operates as a construction company. The Company offers industrial, institutional, government, and residential projects construction, as well as allied services including planning, designing, and post-construction activities. PSP Projects serves the private and public sectors in India.

<ul><li>SPA with Adani Infra India Limited: On November 19, 2024, PSP Projects Ltd entered into a Share Purchase Agreement (SPA) with Adani Infra India Limited for the sale of up to 30.07% of the company’s paid-up share capital, amounting to Rs 685 Cr for Rs 575 per share. Under the execution of the SPA, the acquirer will be required to make an open offer in compliance with SEBI (SAST) regulations.</li><li>Post-consummation of the open offer, both companies are expected to hold equal equity stakes in PSP Projects Ltd.</li><li>According to management, this strategic deal is anticipated to create operational synergies by leveraging advanced technologies and expanding the scope of work to include building projects, data centres, realty, and airport-related infrastructure. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

SPA with Adani Infra India Limited: On November 19, 2024, PSP Projects Ltd entered into a Share Purchase Agreement (SPA) with Adani Infra India Limited for the sale of up to 30.07% of the company’s paid-up share capital, amounting to Rs 685 Cr for Rs 575 per share. Under the execution of the SPA, the acquirer will be required to make an open offer in compliance with SEBI (SAST) regulations.Post-consummation of the open offer, both companies are expected to hold equal equity stakes in PSP Projects Ltd.According to management, this strategic deal is anticipated to create operational synergies by leveraging advanced technologies and expanding the scope of work to include building projects, data centres, realty, and airport-related infrastructure. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

PSP Projects Limited - Company Update Post Stake Sale To Adani Infra

Axis Direct is the flagship brand under Axis Securities Limited, a subsidiary of Axis Bank in India. 

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only.  Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Axis Direct
External broker reports(aggregated public sources)
• Axis Direct

Top Conviction Ideas – “Road Infra and Others”

During the quarter, road infrastructure companies under our coverage reported Revenue/EBITDA/PAT growth of -11%/- 12%/42% YoY, against our...

Axis Direct

Top Conviction Ideas – “Retail”

Consumer demand remains tepid: The discretionary demand remains tepid with a greater impact seen on QSR, Footwear, and Apparel while the value...

Axis Direct

Top Conviction Ideas – “Metals and Mining”

Consolidated EBITDA grew by 42%/6% YoY/QoQ to Rs 8,029 Cr (11% beat vs. our and consensus), led by strong upstream Aluminium and Copper EBITDA.

Axis Direct

Top Conviction Ideas – “FMCG” - November 2024

Staple companies have reported muted topline growth due to weak urban consumer demand, heavy rainfall across major parts of the country, and...

Axis Direct

PSP Projects Limited - Company Update Post Stake Sale To Adani Infra

According to management, this strategic deal is anticipated to create operational synergies by leveraging advanced technologies and expanding the...

Axis Direct