Capital Goods Q4 Preview - Strong Signs Of Recovery; Resurgence Of Covid-19, Not A Good Sign: Anand Rathi 
Employees assemble a rail maintenance car at an heavy machinery manufacturing facility. (Photographer James MacDonald/Bloomberg)

Capital Goods Q4 Preview - Strong Signs Of Recovery; Resurgence Of Covid-19, Not A Good Sign: Anand Rathi 

Bookmark

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Anand Rathi Report

Aided by economic activity picking up, operations have largely risen to pre-Covid-19 levels.

With this, we expect a better Q4 FY21 for engineering procurement and construction and product companies.

Orders and the pipeline continue to be healthy due to pro-growth government policies with higher capex allocation in the Union budget, followed by the production linked incentive scheme to boost domestic manufacturing.

Visible signs of recovery can be seen in private capex, with greater spends on automation and digitisation.

Sectors showing order traction are railways; power transmission and distribution, flue gas de-sulphurisation, pharma, auto, food and beverages, data centres, water and oil and gas.

We are cautious, though, regarding the second wave of Covid-19.

Click on the attachment to read the full report:

Anand Rathi Capital Goods Q4FY21 Result Preview.pdf

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.