Tag: ICICI Securities

Sansera Engineering (SEL) is on track to meet its revenue and profitability targets for FY24, driven by strong growth in exports and aerospace. The company is also confident of crossing ~20% pre-tax RoCE by FY25. SEL's mid-year update is positive, with the company well-positioned to benefit from the long-term growth trends in the automotive and aerospace industries.

Bromine prices have fallen sharply in China, but are expected to recover in the fourth quarter of fiscal year 2024. Archean Chemical (ACI), the largest bromine producer in India, has reported strong Q1 FY2024 results despite the volatility in bromine prices. ACI is also in the process of commissioning its derivative plant, which will increase earnings visibility in the coming years.

Prestige Estates Projects reported strong residential sales bookings of ₹129 billion in FY23. However, the company's net debt levels have risen by ₹25.6 billion over the last 12 months. The key monitorable going forward will be Prestige's ability to achieve significant pre-leasing in ongoing and upcoming annuity assets. We retain our target price of ₹611 per share but have cut our rating to HOLD from ADD.

ICICI Securities upgraded NMDC's rating to "BUY" from "ADD" and raised its target price to INR 180 from INR 130. The brokerage firm expects NMDC's sales volume to breach the 32-40 million tonne range in FY24E, and its long-term volume visibility is clearer as the roadmap for 100 mtpa by FY30 is being worked on. Commercial mining in Odisha is also progressively getting undermined, resulting in more opportunity. RoE may improve further from the current level of 22% as the mining business takes the centre stage and the steel plant is demerged.