Motilal Oswal - MOSL: Morning India (22/September/17): 1. United Breweries- 2. India Strategy (Sectoral weights in Nifty)- 3. Financial Deep Dive- 4. Room Air Conditioners

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Motilal Oswal

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MOSL: Morning India (22/September/17): 1. United Breweries- 2. India Strategy (Sectoral weights in Nifty)- 3. Financial Deep Dive- 4. Room Air Conditioners

â€‹MOrning India (22/September/17): 1. United Breweries; 2. India Strategy (Sectoral weights in Nifty); 3. Financial Deep Dive; 4. Room Air Conditioners

Todayâ€™s top research theme

United Breweries: Clouds of gloom appear to be dispersing; cheers to growth; Upgrading to Buy

â€‹For United Breweries (UBBL), we are upgrading our rating to Buy, as:
The impact of the highway alcohol sale ban, GST, and liquor prohibition in a few states has been nowhere as bad as feared. Demand outlook too appears to be turning favorable.
Key alcohol-consuming states like Karnataka, Telangana and Andhra Pradesh had the benefit of extended deadline for highway liquor ban beyond 1st April.
The GST impact on margins was expected to be ~200bp in FY18. Encouragingly, it is now likely to be less than half of that.
Meanwhile, UBBLâ€™s stock price has been range-bound in the recent past, despite the alcohol industry recovering from a spate of bad news. This, along with the promising long-term prospects, makes the stock an attractive investment proposition, in our view.

Piping hot news

Govt looking at â‚¹50,000 crore growth stimulus

â€‹India's government is considering a plan to loosen its fiscal deficit target to enable it to spend up to 500 billion rupees ($7.7 billion) more to halt an economic slowdown, two government officials with direct knowledge of the plan said on Thursday.

22/09/2017 26 EN

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MOSL: Morning India (22/September/17): 1. United Breweries- 2. India Strategy (Sectoral weights in Nifty)- 3. Financial Deep Dive- 4. Room Air Conditioners

MOSL : HOME FIRST FINANCE COMPANY: Earnings in-line with sustained improvement in asset quality

MOSL : SHOPPERS STOP: Ticking the right boxes

MOSL : ERIS LIFESCIENCES: Enhanced efforts toward product launch-related activities

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