Buy SBI Life Insurance, target Rs 800

We recommend a 'Buy' with a target price of Rs 800 by FY19 end implying an upside of 20 percent.

We believe life insurance segment is underpenetrated, rising share of insurance in financial savings and given the big opportunity present in this sector, we recommend investors to have a slice of it in their portfolio. India continues to be under penetrated as compared to countries like Thailand and Korea.

At CMP of Rs 664, SBI Life Insurance is valued at 3x of Market Cap/Embedded Value. The company boasts of a strong distribution network owing to its parent SBI reach in the country and low cost to income ratio as compared to peers. We recommend a 'Buy' with a target price of Rs 800 by FY19 end implying an upside of 20 percent.

MORE WILL UPDATE SOON!!

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Buy Axis Bank for target of Rs 725

Stock can be bought at current levels and on dips to Rs 620 with stop loss below Rs 600 for target of Rs 725 levels. Axis Bank has formed symmetrical triangle pattern on weekly chart and trading in a range of Rs 650 and Rs 350 odd levels for almost three years now. On daily chart stock has seen sharp bounce back from 200-day moving average. For last couple stock has been facing at Rs 640-650 zone but forming higher lows. Thus, forming bullish ascending triangle pattern on daily chart. Relative strength index and Stochastic have given positive crossover with their respective averages on daily chart. On monthly chart ADX ine indicator of trend strength is moving up from neutral level of 20 suggesting strength emerging long term trend. Thus, stock can be bought at current levels and on dips to Rs 620 with stop loss below Rs 600 for target of Rs 725 levels. MORE WILL UPDATE SOON!!

Income Tax Deductions List FY 2018-19 | List of important Income Tax Exemptions for AY 2019-20

Budget 2018-19 & the Finance Bill 2018 have been tabled in Parliament. The Income Tax Slab rates have been kept unchanged by the Finance Minister for the Financial Year 2018-19 (Assessment Year 2019-2020) . Tax planning is an important part of a financial plan. Whether you are a salaried individual, a professional or a businessman, you can save taxes to certain extent through proper tax planning. The Indian Income Tax act allows for certain Tax Deductions / Tax Exemptions which can be claimed to save tax. You can subtract tax deductions from your Gross Income and your taxable income gets reduced to that extent. In this post, let us go through the Income Tax Deductions List FY 2018-19 . I hope you find this list useful and helps in planning your taxes well in advance. Income Tax Deductions List FY 2018-19 / AY 2019-20 (Chapter VI-A deductions list) Section 80c The maximum tax exemption limit under Section 80C has been retained as Rs 1.5...

Buy IndusInd Bank, target Rs 2248

We expect slippages from the corporate book to shrink as the bank increases its exposure to higher-rated corporate bodies. Thus, we model a gross-NPA ratio of 0.97 percent in FY20. IndusInd Bank continues to report robust operating performance after having absorbed the high NPA divergence reported this quarter, keeping profitability intact. Low credit costs, steady NIM and high credit growth would keep profitability high through FY19-20. The strategic BHAFIN deal would be synergistic in the medium term. We expect the bank to maintain stable asset quality over FY19- 20, aided by its well-diversified loan mix. We expect slippages from the corporate book to shrink as the bank increases its exposure to higher-rated corporate bodies. Thus, we model a gross-NPA ratio of 0.97 percent in FY20. We factor in 26 percent overall credit growth through FY19-20. The corporate book was largely driven by gaining market share from PSBs and working-capital loans to better...

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