MARKET EYE-Macquarie says Indian 'elephant' to turn 'tiger'; ups Sensex target

* Macquarie says Indian 'elephant' to turn 'tiger' in 2013; ups
BSE index target to 22,200 versus 21,600 earlier and
NSE target to 6,900 points as against 6,600 previously.
* Investment bank expects reforms push would take India to 8 pct
per annum growth over the next three years, improving to 6.7
percent in FY14 from 5.6 percent projected in FY13.
* Corporate earnings growth may surprise on upside around 16-17
percent as street not factoring in improvement in EBITDA margins
with neither falling core inflation nor reduction in interest
costs getting built in, the note says.
* Cyclical sectors are even cheaper and are at 10-year low as
compared to defensives, it says.
* Adds Axis Bank, State Bank of India and
property developer DLF to its top 10 ideas, replacing
ICICI Bank Dr.Reddy's Laboratories and HDFC
Bank.

(manoj.dharra@thomsonreuters.com;
manoj.dharra.thomsonreuters.com@reuters.net)