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We expect Usha Martin to benefit from 32% volume CAGR over FY10-FY12E and improved cost structure with completion of capacity expansion of metallics by 0.4mtpa and steel by 0.6mtpa and full integration from mineral resources to value-added products. Though there are concerns over execution of volumes mainly due to one-time events (breakdown of a 30MW CPP, inadequate power from the grid and captive coal logistics issues) in Q3FY11, we believe that these are factored-in the price. At CMP of Rs58 we find the risk-reward favorable. On a consolidated level we estimate 29% EBITDA CAGR and 26% EPS CAGR over FY10-FY12.

The cement industry has suffered due to over supply and substantial rise in costs. Cement demand is expected to pick up in the current quarter and continue until the onset of monsoon, giving price flexibility to manufacturers. Although all is still not well for the sector, the intense pain of Q2FY11 appears to be behind us.

We expect Tata Steel's EBITDA to grow at 42% CAGR over FY10-12, driven by its increasing share of profitable Indian operations with additional capacity at Jamshedpur, turnaround at Tata Steel Europe (TSE), capital restructuring, leaner cost structure, partial resource integration, and improving steel profitability. We expect Tata Steel's consolidated net profit to be Rs60.7bn in FY11 and Rs64.0bn in FY12. We find the stock attractively valued at 4.8x FY12E EV/EBITDA.

1) Brownfield expansion of 2.9mn tonnes at Jamshedpur to increase share of profitable Indian operations (FY11E EBITDA/t of USD382 vs. consolidated USD141);

NIIT Tech has large exposure to high-growth niche verticals such as insurance and travel. New service lines would boost non-linear growth and lead to improvement in realizations. NIIT Tech has been able to achieve volume growth in Europe despite economic headwinds.

Recent wins in the Indian market: Five-year BSF contract of Rs2,280mn;

Good performance in the BFSI and travel & transport verticals, which contribute ~73% to revenue;

Large untapped opportunity in the APAC markets, which are expected to be highest IT spenders in CY11;

With a significant rural presence, M&M would benefit from strong monsoons this year. The automobile segment is expected to record growth of 22.4% in FY11 and 13.2% in FY12, led by new product launches. The tractor segment too would grow 15.8% in FY11, underpinned by higher crop output.

Lupin is one of the best plays in the pharma space, given its strong execution capabilities, improving financial performance and diversifying business model. The high-margin branded generic business has been the key differentiator. Strong growth on the US front (both branded generic and generic segments) and improvement in operating margins would maintain the growth momentum.

1) Strong traction in the high-margin Suprax product (chewable tablets approved; double strength tablets now enjoy more than 50% of total Suprax prescription share) and gradual pick up in Antara prescription.