IPO WATCH: HAL   Reco: Subscribe   Revenue CAGR of 5.5% over FY14-17 was led by robust growth of 13% CAGR in services business. During this period, share of service revenues jumped from 23% to 32%. With the upgrade of major fleets of the Indian Defence forces on the anvil, we believe this segment would continue to witness robust growth going forward. Growth would also be led by the execution of LCA (Tejas), Sukhoi, LCH, UAV and development of indigenous spares and engines. Orderbook of Rs.684bn provides strong revenue visibility for the company over the next five years.   We believe the stock is attractively priced given strong earnings potential and humungous domestic aero defence opportunities.   (Source: IIFL) Market check S&P BSE Sensex 33,726.03 -0.32%   Nifty 50 10,368.90 -0.40%   S&P BSE 200 4,536.12 -0.19%   Nifty 500 9,136.35 -0.17%   S&P BSE Mid-Cap 16,396.33 0.50%   S&P BSE Small-Cap 17,738.05 0.71% MARKET STRATEGY Midcap, smallcap stocks rebound from CY18 lows. Analysts remain cautious After tumbling 13 per cent and 14 per cent respectively when the frontline index, the S&P BSE Sensex, was at its peak level of 36,283 on January 29, 2018, the mid-and small-cap indices on the Bombay Stock Exchange (BSE) have staged a partial recovery.   Both indices moved up for the fourth straight session this week with a gain of 2.7% and 2.5% respectively, as compared to 1.4% rise in the S&P BSE Sensex. On a year-to-date basis, however, they still remain underperformers with a fall of eight per cent, as compared to less than one per cent fall in the S&P BSE Sensex. CLICK HERE TO READ MORE Photo: Shutterstock.com IDBI Bank gains for a third straight session   IDBI Bank gained for a third straight session today. The stock is quoting at Rs 76.8, up 4.21% on the day as on 12:54 IST on the NSE. The benchmark Nifty is down around 0.2% on the day, quoting at 10390.45. The Sensex is at 33802.93, down 0.1%. IDBI Bank Ltd has gained around 24.27% in last one month.   Meanwhile, Nifty PSU Bank index of which IDBI Bank Ltd is a constituent, has gained around 7.48% in last one month and is currently quoting at 2961.75, down 0.37% on the day. The volume in the stock stood at 645.39 lakh shares today, compared to the daily average of 519.67 lakh shares in last one month. Kotak Securities on NBCC In the last 4 years (FY15-18E), the company has grown its order book by ~4x to ~Rs 800 bn which gives strong revenue growth visibility for the next 5 years. On the other hand, the revenue has grown less than 1.5x in the same period. The company is focusing on execution and expects strong revenue growth in FY19E as most of the redevelopment projects would contribute meaningfully in the year. It has strong pipeline of new projects from development of railways land, armed forces land, Dharavi, etc which would support its future order book. We believe that the company’s top management getting clean chit would be sentimentally positive and ends the overhang of corruption changes on stock performance. The stock is presently trading at PE of 34.7x and 23.3x based on FY19E & FY20E EPS of Rs 5.6 and Rs 8.4 respectively. We upgrade our rating on the stock to BUY (from Accumulate earlier). Shakti Pumps up 6% on stake hike by promoter Shakti Pumps has moved higher by 6% to Rs 552 on the BSE in noon deal after the company announced that one its promoter bought more than 10,000 equity shares of the company through open market today. READ MORE