Two-wheelers Update 27Aug2014

8/10/2019 Two-wheelers Update 27Aug2014

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Automobiles August 27, 2

Hero MotoCorp

Bloomberg: HMCL INReuters: HROH.BO BU

Institutional Equities

India Research

UPDATE

Recommendation

CMP: Rs2,

Target Price: Rs2,

Previous Target Price Rs2,

Upside (%) 1

Stock Information

Market Cap. (Rs bn / US$ mn) 516/8,

52-week High/Low (Rs) 2,788/1

3m ADV (Rs mn /US$ mn) 1,232/

Beta

Sensex/ Nifty 25,908/7

Share outstanding (mn)

Stock Performance (%)1M 3M 12M Y

Absolute 0.0 17.0 39.3

Rel. to Sensex 0.2 1.4 3.2

Performance

Source: Bloomberg

Analysts Contact

Mitul Shah

+91 22 6184 4312

1,30

1,80

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2,80

15,50017,50019,50021,50023,50025,50027,500

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Sensex (LHS) Hero MotoCorp (RHS)

Likely Excise Reversal to Expand Margins in

FY16E...New Launches to Boost Volumes

Hero MotoCorps recent performance was impacted by reduction in excise

duty post Budget in Q4FY14, lowering the excise benefit enjoyed by HMCL on

its production from Haridwar plant (40% of total production). Company is

exempted from excise duty on its production from Haridwar plant, while it

maintains its vehicle pricing across the products irrespective of its location of

production, which translated into direct benefit of 12% of net revenues from

Hridwar plant to companys financials till Q4FY14. However, lower excise

duty of 8% resulted in loss of benefit to the tune of 4% of net revenues fromthis plant. Assuming constant average realization per vehicle across plants and

75% net impact on margins, our back of envelop calculation indicates direct

impact of 120 bps on companys EBIDTA margins. Our adjusted EBIDTA

margins stood at 14.7% as against reported margins of 13.5% in Q1FY15. Our

sensitivity analysis indicates net impact of 30 bps on EBIDTA margins for

every 1% cut in excise duty for HMCL. We believe that lower excise rate would

not continue for longer term and expect its reversal in FY16, benefitting

HMCLs operating margin going forward.

New Launches, Network Expansion and Additional Capacity to Pay off:

HMCLs strong product pipe line with expected launch of 8-10 new models

over next one year would help maintain market shares. Moreover, it expandedannual production capacity by ~750,000 units at its Rajasthan plant. Companys

strong network of ~6000 touch points would be the key factor to grab the

opportunity arising out of expected economic recovery over next two years.

We expect companys R&D and promotional expenses to go up amid

intensifying competition, while operating leverage, value engineering and

likely excise reversal would compensate for higher expense. Therefore we

expect ~50 bps improvement in HMCLs EBIDTA margins to 14.5% in FY16E.

Outlook & ValuationWe maintain our estimates and we expect margins and return ratios to

improve for HMCL. In view of healthy return ratio and 29% EPS CAGR over

FY14-FY16E, we reiterate our BUY recommendation on HMCL and maintain

our target price of Rs 2,950, valuing the stock at 17x FY16E EPS.

Key Financials

Y/E March (Rs. mn) FY12 FY13 FY14 FY15E FY16E

Net Sales 235,790 237,681 252,755 295,157 334,944

EBITDA 36,330 32,921 35,545 41,432 48,712

EBITDA margin (%) 15.4 13.9 14.1 14.0 14.5

Adj. Net Profit 23,781 21,182 21,090 29,397 34,659

EPS (Rs.) 119.1 106.1 105.6 147.2 173.6

YoY growth (%) 19.2 -10.9 -0.4 39.4 17.9

RoE (%) 57.4 39.6 34.8 41.6 40.1

RoCE (%) 54.7 38.5 34.5 41.7 40.2PER (x) 21.5 24.2 24.3 17.4 14.8

EV/ EBITDA 14.1 15.5 14.4 12.3 10.4


3/12

August 27,

Hero MotoC

Exhibit 1:Hero MotoCorps Key Fundamental Parameters

Y/E March (Rs. mn) Q1 Q2 Q3 Q4

FY14 FY14 FY14 FY14 F

Net Revenue 61,595 57,262 68,768 65,130 70

Impact of 4% Excise Cut (at Haridwar plant) 0 0 0 320 Adj Revenue 61,595 57,262 68,768 65,450 71

Adj Revenue Per Vehicle 39,502 40,433 40,910 41,177 41

YoY Growth % 2.3%

QoQ Growth % 0.7%

Total Expenses 52,443 48,935 59,788 56,188 60

Reported EBIDTA 9,152 8,327 8,980 8,942 9

Adj EBIDTA 9,152 8,327 8,980 9,262 10

Reported EBIDTA Margin (%) 14.9 14.5 13.1 13.7

Adj EBIDTA Margin (%) 14.9 14.5 13.1 14.2

Impact Ananlysis of Excise Duty Cut

Production from Haridwar (40% of Total) Units 623,713 566,484 672,376 635,785 686

Revenues from Haridwar (Rs mn) 24,638 22,905 27,507 26,052 28

4% Excise Reduction with 75% Net Impact (Rs mn) - - - 333

Source: Company, Karvy Institutional Research, Note: Q4FY14 witnessed lower excise impact for 40 days only, hence lower impact as against full impact witness

Q1FY15.

Exhibit 2:HMCLs EBIDTA Margin Sensitivity to Excise Duty

Source: Company, Karvy Institutional Research

12.312.6

12.913.2

13.513.8 14.1 14.4

14.7

10

12

14

16

4 5 6 7 8 9 10 11 12

EBIDTAMargin

(%)

Excise Duty (%)

Current Rate &Margins


4/12

August 27,

Hero MotoC

Financials

Exhibit 3:

Profit &Loss Statement (Standalone)

Y/E March (Rs. mn) FY12 FY13 FY14 FY15E FYNet revenues 235,790 237,681 252,755 295,157 334

Operating expenses 199,460 204,760 217,210 253,726 286

EBIDTA 36,330 32,921 35,545 41,432 48

EBIDTA margin (%) 15.4 13.9 14.1 14.0

Other income 3,595 3,945 4,435 4,900 5

Interest 213 119 118 120

Depreciation 10,973 11,418 11,074 6,218

Profit Before Tax 28,738 25,330 28,788 39,994 4

Tax 4,866 4,110 7,582 10,597 12

Reported Net Profit 23,781 21,182 21,091 29,397 34

Net Margin (%) 10.1 8.9 8.3 10.0

Adjusted Net Profit 23,781 21,182 21,090 29,397 34


Exhibit 4:

Balance Sheet (Standalone)

Y/E March (Rs. mn) FY12 FY13 FY14 FY15E FY

Equity capital 399 399 399 399

Reserves & surplus 42,499 49,663 55,599 68,809 8

Shareholders funds 42,898 50,062 55,999 69,209 8

Total Loans 0 0 0 0

Deferred tax liability 2,148 1,397 48 48

Total Liabilities and Equity 45,046 51,460 56,047 69,257 8

Gross block 63,083 66,851 69,089 89,331 94

Depreciation 25,228 36,141 46,657 52,875 59

Net block 37,855 30,710 22,433 36,455 34

Capital WIP 388 621 8,541 1,300

Investments 39,643 36,238 40,888 47,888 6

Inventory 6,756 6,368 6,696 7,647

Debtors 2,723 6,650 9,206 9,704 10

Cash & Bank Bal 768 1,810 1,175 2,284 3

Loans & Advances 10,821 14,093 12,083 12,768 13

Current Assets 21,068 28,921 29,160 32,402 35

Sundry Creditors 22,932 18,733 22,906 25,720 29

Other Current Liability 30,977 26,297 22,068 23,068 23

Current Liability& Provisions 53,908 45,030 44,974 48,788 52

Net current assets -32,840 -16,109 -15,815 -16,386 -16

Total Assets 45,046 51,460 56,047 69,257 8



5/12

August 27,

Hero MotoC

Exhibit 5:Cash Flow Statement (Standalone)


EBIT 25,357 21,504 24,471 35,213 41

Other Income 3,595 3,945 4,435 4,900 5Depreciation & Amortisation 10,973 11,418 11,074 6,218 6

Interest paid(-) (213) (119) (118) (120)

Tax paid(-) (4,866) (4,110) (7,582) (10,597) (12

Extra Ord Income (91) (38) (116) 0

Operating Cash Flow 34,755 32,599 32,164 35,615 41

Change in Working Capital (27,609) (15,689) (930) 1,680

Cash flow from Operations 7,146 16,910 31,234 37,295 42

Capex (7,915) (4,505) (10,717) (13,000) (5

Non Strategic Investment 11,645 3,404 (4,649) (7,000) (20

Cash flow from Investing 3,730 (1,100) (15,366) (20,000) (25Change in borrowing 0 0 0 0

Others (380) (750) (1,316) 0

Dividends paid(-) (10,444) (14,018) (15,188) (16,187) (16

Cashflow from Financial Activities (10,823) (14,768) (16,504) (16,187) (16

Change in Cash 53 1,042 (635) 1,109

Opening cash 715 768 1,810 1,175 2

Closing cash 768 1,810 1,175 2,284 3


Exhibit 6:

Key RatiosY/E March (Rs. mn) FY12 FY13 FY14 FY15E FY

Revenue Growth 21.5 0.8 6.3 16.8

EBITDA Margin 15.4 13.9 14.1 14.0

Net Profit Margin 10.1 8.9 8.3 10.0

ROCE (%) 54.7 38.5 34.5 41.7

ROE (%) 57.4 39.6 34.8 41.6


Exhibit 7:

Valuation Parameters


EPS( Rs) 119.1 106.1 105.6 147.2

P/E (x) 21.5 24.2 24.3 17.4

P/ BV (x) 11.9 10.2 9.1 7.4

EV/ EBITDA (x) 14.1 15.5 14.4 12.3

Fixed Assets Turnover Ratio (x) 6.2 7.6 8.2 7.8

Debt / Equity (x) 0.0 0.0 0.0 0.0

EV/ Sales (x) 2.2 2.1 2.0 1.7



6/12

Automobiles August 27, 2

TVS Motor

Bloomberg: TVSL INReuters: TVSM.BO SEL

Institutional Equities

India Research

RESULT REVIEW

Recommendation

CMP: Rs

Target Price: Rs

Previous Target Price: Rs

Downside (%) 2

Stock Information

Market Cap. (Rs bn / US$ mn) 88/1

52-week High/Low (Rs) 188

3m ADV (Rs mn /US$ mn) 487

Beta

Sensex/ Nifty 26,443/7

Share outstanding (mn)

Stock Performance (%)1M 3M 12M Y

Absolute 29.5 49.1 506.7 14

Rel. to Sensex 28.0 39.4 325.8 9

Performance

Source: Bloomberg

Analysts Contact

Mitul Shah

+91 22 6184 [email protected]

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Sensex (LHS) TVS Motor (RHS)

Punchy Valuation Breaches Our Blue Sky

Scenario; Reiterate SELL

TVS Motor has outperformed BSE Auto Index and Sensex by 440% and 464%

respectively over last one year. Its price performance is way ahead of its

earnings performance. Its EPS growth was 30% in FY14, while we expect its

EPS to double over FY14-FY16E to Rs 11.1 However price has moved up by

over 5x in a years period. All the positives, even in our blue sky scenario, are

priced in. Current valuation of 16.6xFY16E EPS is expensive for a company

with single digit operating margin and RoE of 25%. We believe that stock

would remain under pressure until it delivers margin performance, despiteexpectation of strong volume outperformance in coming quarters. Strong

margin performance is needed for re-rating, along with volumes.

Gaining Volumes and Shares at the Cost of Margins:TVSL outperformed

domestic as well as exports industry across the segments in Q1FY15 with

market shares gain in majority of the segments. However, its margins fell

sequentially and remained flat YoY despite favourable currency, which

indicates lack of competency to maintain profitability in a period of best of the

volume performance. Companys export contribution and three wheeler

contribution to total volume is highest ever at ~16.7% and 4.3% respectively

and exchange rate was favorable during Q1FY15, while its operating margins

remained under pressure indicating absence of product mix benefit. We

believe that companys operating expenses will increase with new launches in

the coming quarters. It may surprise on volumes front, but drastic

improvement operating margins would be a challenge for Company. This

would restrict re-rating of the company and may lead to de-rating in case of

subdued margins.

Expensive even in Blue Sky Scenario:In our blue sky scenario, we assumedTVSLs EBIDTA margins to improve from current 5.7% to 8% in FY16E and

assigned P/E multiple of 14x (as against our base case assumption of 7.3% and

P/E of 13x) FY16E, we arrive at target price of Rs 174, implying 6% downside

from CMP. Risk reward is highly unfavorable at current valuation and wayahead of fundamentals. We reiterate our SELLon TVS Motorwith a target

price of Rs 145, valuing it at 13xFY16E EPS, potential downside of 22%.

Key Financials

Y/E March (Rs. mn) FY12 FY13 FY14 FY15E FY16E

Net Sales 71,415 71,693 79,619 99,158 115,352

EBITDA 4,948 4,229 4,803 6,746 8,370

EBITDA margin (%) 6.9 5.9 6.0 6.8 7.3

Adj. Net Profit 2,491 1,982 2,583 4,043 5,293

EPS (Rs.) 5.2 4.2 5.4 8.5 11.1

YoY growth (%) 28.0 -20.4 30.3 56.5 30.9

ROE (%) 22.2 16.1 19.0 25.0 26.2

ROCE (%) 15.6 11.9 14.0 19.9 23.6PER (x) 35.3 44.4 34.0 21.7 16.6

EV/ EBITDA 19.2 22.0 19.1 13.3 10.4


7/12

August 27,

TVS Mo

Key Fundamental Parameters

Exhibit 1:

TVS Key Financials

Y/E March (Rs. mn) Q1 Q2 Q3 Q4 Q1

FY14 FY14 FY14 FY14 FY15 FY15E FY

Sales Volume (units) 475,634 502,000 532,701 563,000 584,000 2,516,377 2,81

Growth YoY (%) (11.0) 4.4 3.1 10.0 22.8 21.0

Net Revenues 17,602 19,884 20,576 21,557 23,054 99,158 115

EBIDTA 989 1,171 1,234 1,387 1,312 6,746 8

Export Contribution (%) 14.1 15.9 14.5 15.1 16.7 15.7

Three Wheeler Contributions (%) 3.3 4.6 3.9 3.7 4.3 4.5

Exchange Rate (Rs/$) 56 60 62 61 61 61

Average Realisation per Vehicle (Rs) 36,587 39,084 38,196 37,669 38,754 38,880 40

YoY Growth (%) 7.4 11.7 9.5 10.1 5.9 2.9

EBIDTA Margins (%) 5.6 5.9 6.0 6.4 5.7 6.8

RM/Vehicle (Rs) 26,319 28,185 27,443 27,429 28,710 28,263 29

EBIDTA/Vehicle (Rs) 2,079 2,333 2,317 2,463 2,246 2,681 2

Source: Karvy Institutional Research

As evident in above table, TVS export contribution to total volume grew to 16

and three wheeler contribution was high at 4.3% in Q1FY15. Company faile

translate this benefit into financial performance, despite favourable exchange r

Increase in price per vehicle by Rs 1,085 QoQ is insufficient to compensate incre

of Rs 1,281 QoQ in raw material per vehicle, impacting margins.

Margin and Valuation Scenario Analysis

Exhibit 2:Margin Scenario

Y/E March (Rs. mn) Bear Case Base Case Bull Case

FY15E FY16E FY15E FY16E FY15E FY

Revenue 99,158 115,352 99,158 115,352 99,158 115

EBIDTA 5,949 8,075 6,746 8,370 6,941 9

EBIDTA Margins (%) 6.0 7.0 6.8 7.3 7.0

EPS (Rs) 7.26 10.6 8.5 11.1 8.8 Source: Karvy Institutional Research

Exhibit 3:Valuation Doesnt Justify Even in Blue Sky Scenario

Target Price (Rs)

1 Year Forward P/E 10x 11x 12x 13x

FY16E EPS (Rs)

Bear Case 10.6 106 117 127 138

Base Case 11.1 111 123 134 145

Bull Case 12.4 124 136 149 161

Source: Karvy Institutional Research


8/12

August 27,

TVS Mo

In a blue sky scenario of EBIDTA margin improvement of 230 bps from cur

level to 8% in FY16E and P/E multiple of 14x (as compared to TVS historical

cycle average multiple of 12.5x 1 year forward P/E), we arrive at target price o

174 per share. This implies 6% downside from CMP, resulting in hig

unfavourable risk reward at current valuation. There is no room for upside...e

in our blue sky scenario.

Exhibit 4:P/E Price band

Source: Bloomberg, Company, Karvy Institutional Research

Exhibit 5:Volumes and EBIDTA Margin Trend

Source: SIAM, Company, Karvy Institutional Research

Valuation Surpasses Previous PeakAs evident in above P/E chart for TVSL, the stock has traded at 12.5x during FY

FY12, when its volumes surpassed 2 mn mark and sales volume grew by 2

CAGR over FY10-FY12. Its EBIDTA margins were in the range of 6.5 - 6.9% du

the same period. Historically, its high multiple was backed by strong volumes

operating margins of ~7%. Current situation resembles the past scenario of volu

and margin performance, however at present stock is trading at 16.6xFY16E EP

compared to historical valuation of 12.5x, which is very expensive, we reiterate

SELLon TVS Motor.

0

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Apr-05

Nov-05

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FY06

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FY14

FY15E

FY16E

Total Volume EBIDTA margin (RHS)

('000 Units) (%)High Volumes and Margins


9/12

August 27,

TVS Mo

Financials

Exhibit 6:Profit & Loss Statement (Standalone)


Net revenues 71,415 71,693 79,619 99,158 115

Operating expenses 66,467 67,464 74,816 92,412 106

EBIDTA 4,948 4,229 4,803 6,746

EBIDTA margin (%) 6.9 5.9 6.0 6.8

Other income 200 237 279 365

Interest 574 483 254 229

Depreciation 1,175 1,304 1,317 1,421

Profit Before Tax 3,165 1,636 3,525 5,461

Tax 674 476 909 1,418

Reported Net Profit 2,491 1,160 2,616 4,043

Net Margin (%) 3.5 1.6 3.3 4.1

Adjusted Net Profit 2,491 1,982 2,583 4,043

Adj. Net Margin (%) 3.5 2.8 3.2 4.1


Exhibit 7:Balance Sheet (Standalone)


Equity capital 475 475 475 475

Reserves & surplus 11,221 11,772 13,678 17,056 2

Shareholders' funds 11,696 12,247 14,153 17,531 22

Total Loans 7,155 5,459 4,759 2,759

Deferred tax liability 976 931 1,247 1,247

Total Liabilities and Equity 19,826 18,637 20,158 21,536 23

Gross block 21,545 22,479 24,723 26,959 29

Depreciation 11,289 12,365 13,466 14,887 16

Net block 10,256 10,115 11,257 12,072 13

Capital WIP 525 361 481 945

Investments 9,309 8,688 8,959 10,459 10

Inventory 5,846 5,097 5,482 6,836

Debtors 2,080 3,169 3,341 4,075 4

Cash & Bank Bal 130 175 826 1,192

Loans & Advances 2,998 3,752 5,302 4,116 4

Current Assets 11,055 12,192 14,950 16,219 18

Sundry Creditors 7,117 8,086 9,989 12,659 14

Other Current Liability 1,063 1,066 1,211 1,211

Current Liability& Provisions 11,319 12,720 15,489 18,159 20

Net current assets -264 -528 -539 -1,940 -

Total Assets 19,826 18,637 20,158 21,536 23



10/12

August 27,

TVS Mo

Exhibit 8:Cash Flow Statement (Standalone)


EBIT 3,773 2,925 3,486 5,325 6

Other Income 200 237 279 365

Depreciation & Amortisation 1,175 1,304 1,317 1,421

Interest paid(-) (574) (483) (254) (229)

Tax paid(-) (674) (476) (909) (1,418) (1

Extra Ord Income (235) (1,043) 14 0

Operating Cash Flow 3,666 2,464 3,933 5,464

Change in Working Capital 1,058 308 662 1,767

Cash flow from Operations 4,724 2,772 4,595 7,231 6

Capex (2,006) (999) (2,579) (2,700) (2

Strategic Investment (2,815) 660 (304) (1,500)

Non Strategic Investment 118 (39) 33 0

Cash flow from Investing (4,704) (378) (2,850) (4,200) (3

Change in borrowing 820 (1,696) (700) (2,000) (2

Others (52) 2 381 0

Dividends paid(-) (718) (655) (775) (664)

Cashflow from Financial Activities 50 (2,350) (1,094) (2,664) (3

Change in Cash 70 44 651 366

Opening cash 60 130 175 826

Closing cash 130 175 826 1,192


Exhibit 9:Key Ratios


Revenue Growth 13.6 0.4 11.1 24.5

EBITDA Margin 6.9 5.9 6.0 6.8

Net Profit Margin 3.5 2.8 3.2 4.1

ROCE (%) 15.6 11.9 14.0 19.9

ROE (%) 22.2 16.1 19.0 25.0


Exhibit 10:

Valuation Parameters


EPS( Rs) 5.2 4.2 5.4 8.5

P/E (x) 35.3 44.4 34.0 21.7

P/ BV (x) 7.5 7.2 6.2 5.0

EV/ EBITDA (x) 19.2 22.0 19.1 13.3

Fixed Assets Turnover Ratio (x) 6.7 6.8 6.5 8.2

Debt / Equity (x) 0.6 0.4 0.3 0.2

EV/ Sales (x) 1.3 1.3 1.2 0.9



11/12

Institutional Equities TeamRahul Sharma

Head Institutional Equities /

Research / Pharma+91-22 61844310/01 [email protected]

Gurdarshan Singh Kharbanda Head - Sales-Trading +91-22 61844368/69 [email protected]

INSTITUTIONAL RESEARCH

Analysts Industry / Sector Desk Phone Email ID

Mitul Shah Automobiles/Auto Ancillary +91-22 61844312 [email protected]

Parikshit Kandpal Infra / Real Estate / Strategy/Consumer +91-22 61844311 [email protected]

Rajesh Kumar Ravi Cement/ Logistics/ Paints +91-22 61844313 [email protected]

Rupesh Sankhe Power/Capital Goods +91-22 61844315 [email protected]

Asutosh Mishra Banking & Finance +91-22-61844329 [email protected]

Vinesh Vala Research Associate +91 22 61844325 [email protected]

Rajesh Mudaliar Research Associate +91 22 61844322 [email protected]

INSTITUTIONAL SALES

Celine Dsouza Sales +91 22 61844341 [email protected]

Edelbert Dcosta Sales +91 22 61844344 [email protected]

INSTITUTIONAL SALES TRADING & DEALING

Aashish Parekh Institutional Sales/Trading/ Dealing +91-22 61844361 [email protected]

Prashant Oza Institutional Sales/Trading/ Dealing +91-22 61844370 /71 [email protected]

Pratik Sanghvi Institutional Sales/Trading/ Dealing +91-22 61844366 /67 [email protected]

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12/12

For further enquiries please contact:

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Disclosures Appendix

Analyst certification

The following analyst(s), who is (are) primarily responsible for this report, certify (ies) that the views expressed

herein accurately reflect his (their) personal view(s) about the subject security (ies) and issuer(s) and that no part ofhis (their) compensation was, is or will be directly or indirectly related to the specific recommendation(s) or views

contained in this research report.

Disclaimer

The information and views presented in this report are prepared by Karvy Stock Broking Limited. The information

contained herein is based on our analysis and upon sources that we consider reliable. We, however, do not vouch for

the accuracy or the completeness thereof. This material is for personal information and we are not responsible for any

loss incurred based upon it. The investments discussed or recommended in this report may not be suitable for all

investors. Investors must make their own investment decisions based on their specific investment objectives and

financial position and using such independent advice, as they believe necessary. While acting upon any information

or analysis mentioned in this report, investors may please note that neither Karvy nor Karvy Stock Broking nor any

person connected with any associate companies of Karvy accepts any liability arising from the use of this information

and views mentioned in this document.

The author, directors and other employees of Karvy and its affiliates may hold long or short positions in the above

mentioned companies from time to time. Every employee of Karvy and its associate companies are required to

disclose their individual stock holdings and details of trades, if any, that they undertake. The team rendering

corporate analysis and investment recommendations are restricted in purchasing/selling of shares or other securities

till such a time this recommendation has either been displayed or has been forwarded to clients of Karvy. All

employees are further restricted to place orders only through Karvy Stock Broking Ltd. This report is intended for a

restricted audience and we are not soliciting any action based on it. Neither the information nor any opinion

expressed herein constitutes an offer or an invitation to make an offer, to buy or sell any securities, or any options,

futures nor other derivatives related to such securities.

Karvy Stock Broking LimitedInstitutional Equities

Office No. 701, 7th

Floor, Hallmark Business Plaza, Opp.-Gurunanak Hospital, Mumbai 400 051Regd Off : 46, Road No 4, Street No 1, Banjara Hills, Hyderabad 500 034.

Karvy Stock Broking Research is also available on: Bloomberg - KRVY , Thomson Publisher & Reuters.

Stock Ratings Absolute ReturnsBuy : > 15%Hold : 5-15%Sell : < 5%

Two-wheelers Update 27Aug2014

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