News and Impact

News and Impact

 

 

·      Hope of US Fed to pause hike in interest rate and negotiation of US debt ceiling deal lifted across the global market between 1-2%. The S&P 500 index and Nasdaq Composite (up 1% each) closed at their highest levels in more than nine months on Thursday, boosted sentiment with Congress making progress on raising the debt ceiling, support coming from U.S. economic data and some Federal Reserve officials who suggested there may be no need to raise interest rates again in June. As a results, US Vix nosedive (Volatility Index) 15% to close over 12-month low and fall in Dollar Index. Back home, SGX Nifty is up half percent or 74 points on account of strong domestic factors.  Manufacturing PMI during the month of May reported 31-month high which indicated strong growth in the manufacturing and factory growth. Moreover,  May GST collection remain strong of above Rs1.5lakh cr in a 5-month row and impressive auto monthly sales volume will be positive for the market sentiment. Strong FY23 GDP growth, impressive Q4 results, fall in oil price and IMD predicated normal monsoon will add fuel in the market sentiment. Yesterday, market fell by half percent but Nifty 500 stocks advance decline ratio was favourable at 1.6:1. Expects momentum continue on mid- cap and small cap stocks. Tech stocks may be positive after Global IT major Index Nasdaq Composite closed 9-month high. Metal stocks will be in focus as base metal price on LME surged to 2-week high. Auto stocks will be positive after announced strong monthly sales data. US Voting on debt ceiling  and US Job data likely to be held today. 

 

·      US Market   – US stock indexes closed higher as signs of slowing wage pressure on inflation raised hopes the Federal Reserve will pause raising interest rates in two weeks, and investors welcomed a vote in Congress to suspend the debt ceiling. Both Nasdaq and S&P 500 gained 1% to close at 9-month high while Dow Jones gained half percent.

 

·      Global market summary – US Vix (Volatility Index) declined 15% to close over 12-month low. S&P 500 and Nasdaq Composite closed 9-month high.  Brent crude fell to 1-month low, US Voting on debt-ceiling ling. Base metal price on LME 2-week high.

 

·      Asian Market – Asia stocks advanced after a renewed rally in tech giants pushed Wall Street higher ahead of jobs data due Friday as investors assess the likelihood the Federal Reserve will pause interest rate hikes in June. Hong Kong (up 2%), South Korea, Taiwan and Japan Index advance half to one percent.

 

·      European Market - : European stocks rose as investors received a positive euro zone inflation data along with reports of the US House of Representatives passing a bill to avoid a catastrophic debt default. UK and France Index gained over half percent each. Germany Index gained 1%.  European Union May Inflation fell to 6.1% vs expectation 6.3% (previous month was 7%).

 

·      Oil –  Brent Crude is trading flat at $74/bbl but biggest weekly loss in a month as persistent concerns over demand weigh on the market ahead of an OPEC+ meeting.

 

·      Gold –   Gold gained 1% to $1978/ounce after traders pared bets on further tightening this month following a flurry of data that showed some progress on getting inflation under control.

 

·      Previous Day market Update – Equity benchmark indices closed in the red for the second straight day after investors booked profits on gains following stronger-than-expected domestic growth data, and receding bets of a US rate hike. However, Nifty mid-cap and small cap stocks continued its northbound journey and ended on a record high. Nifty 500 stocks advance decline ratio was favorable at 1.6:1 due to trader shifted from large cap to small and mid-cap counters.. Upbeat in domestic sentiments after FY23 GDP growth reported at 7.2% (expectation 7%), over 24-month high FIIs net inflow during the month of May, impressive Q4 results (double digit revenue growth) and IMD predicated normal monsoon. Moreover, Manufacturing PMI during the month of May reported 31-month high and reported impressive auto monthly sales. Traders were booking profit in the last two trading sessions after the bank Nifty surged to record high and Nifty just 1.5% away from the all time high.  Sensex ended 194 points lower 0.3% to settle at 62428, dragged by banking and financial stocks. The broader Nifty dropped 46 points or 0.25% to end at 18,488. FIIs were net sellers Rs71cr while DIIs were net buyers Rs489cr yesterday.

 

·      Nifty Technical Levels – Nifty formed a Bearish Belt Hold candle on daily scale and has been forming lower lows from the last three sessions. Now it has to find support near 18442 zones, then only we can witness a bounce towards 18580 and 18666 zones while a hold below 18442 could open the further decline towards 18333 and 18181 zones.

 

·      Bank Nifty Technical Levels – Bank Nifty formed a Bearish Belt Hold Candle on daily scale as selling pressure was seen at higher zones and index ended with losses of around 340 points. Now till it holds below 44044 zones some weakness could be seen towards 43500 then 43333 levels while on the upside hurdle is seen at 44144 then 44250 zones.

 

·      Actionable BUY – Sun Pharma, Tata Motor, HAL, Eicher, Parras Defense

 

·      Brokers Radar – CLSA TGT on ICICI Prudential at 575, Adani Ports TGT by Philips Securities at 930, ICICI Prudential TGT by CLSA at 57 and Morgan Stanley TGT at 600. Bajaj Auto TGT by Macquarie at 4541. DR Reddy ADR TGT raised by Barclays to $70 FROM $66

 

·      Events – Birla Corp board meeting for fund raising, Coal India OFS for Retail at Rs225

 

·      Corporate Action  - Mahindra Rs2.50,  Infosys Rs17.50, Indusind Bank Rs14,  Steelcast Rs3.15, SYLPH TECHNOLOGIES stock split from Rs10 Re1

 

·      Global Data – Change in Non-farm payroll, Private payroll, Unemployment (US), Industrial Production (IIP) and Manufacturing Production (France). 

 

·      Market Summary – Govt. to Ask Airlines to Keep Fares in Check After Go Air Crisis, GST Collections Grow 12% To Rs 1.57 Lakh Crore In May, NHPC inks initial pact with Nepalese utility to develop 480 MW , Maruti, Escorts, M&M, Eicher, Ashok Leyland, Tata Motor, Eicher, TVS Motor and Bajaj Auto announced imprrssive Monthly sales volumes, May Manufacturing PMI rises to highest since Oct. 2020, 31 months high, S&P Affirms Reliance Industries 'BBB+' Ratings; Otlk Stable, US Set to Allow GE to Make India Military Jet Engines: Reuters, TVS hikes electric scooter prices by Rs 17,000-20,000

 

·      NHPC - State-owned hydro power giant NHPC inked an initial pact with Nepalese utility Vidhyut Utpadan Company for developing a 480 MW Phukot Karnali hydroelectric project. – Positive

 

·      Aster DM Healthcare – Company has entered into Hospital Operation and Management Agreement with Padmavathy Medical Foundation (PMF) on May 31, 2023. PMF is a 130-bed tertiary super specialty hospital situated in Sasthamkotta, Kollam District, Kerala. With this total installed capacity of the Company shall be increased to 4,547 beds.- positive

 

·      Autoline Industries - Company has received offer from Tata Motors Ltd. to setup a facility at Sanand, Gujarat to cater with the automobile parts to Tata Motors – positive

 

·      Paras Defence – Company have entered into a Joint Venture Agreement with CONTROP Precision Technologies Limited ("CONTROP"), Israel, with the purpose of undertaking business of manufacturing / production, implementation / installation, Integrated Logistics Support ("ILS"), after sale support, training etc.,

 

·      Coal India: Centre’s offer for sale (OFS) of shares in Coal India received a robust response from non-retail or institutional investors and the issue was subscribed 3.46 times on Thursday

 

·      TVS Motor – Company increased the price of its TVS IQube electric scooter by Rs 17,000 to Rs 20,000 depending on the variant – positive

 

·      The goods and services tax (GST) collections for the month of  May stood at Rs 1.57 lakh crore, a growth of 12 percent over the year-ago period. The monthly GST revenue is at more than Rs 1.4 lakh crore for 14 months in a row, with Rs 1.5 lakh crore crossed for the fifth time since inception of GST. Last month, GST collection was at a record high of Rs 1.87 lakh crore.- Positive for the market sentiment – to reduce fiscal burden and indicating all round growth in economy after announced solid GST collection.

 

·      Airlines stocks – The government is working with airlines to bring fares under control after Go Airlines India’s collapse led to a surge in ticket prices, Aviation Minister Jyotiraditya Scindia said at the Times Network India Economic Conclave 2023. – Any decline on Indigo will be buying opportunity.

 

·      US Set to Allow GE to Make India Military Jet Engines: Reuters –The Biden administration is ready to approve a deal that would allow General Electric Co. to make jet engines for Indian military aircraft, Reuters reports, citing three people familiar with the matter. The deal is expected to be signed and announced by the time President Biden hosts India’s Prime Minister Narendra Modi for an official state visit on June 22, the people told Reuters

 

·      Reliance Industries – Rating agency affirming our 'BBB+' long-term issuer credit rating on Reliance Industries. S&P says Reliance Industries operating performance is likely to remain resilient over the next two years – Positive

 

·      L&T: The power transmission and distribution business of Larsen & Toubro (L&T) has said it will set up infrastructure for the world’s largest green hydrogen plant being built by NEOM Green Hydrogen Company – positive

 

·      Aditya Birla Capital: Aditya Birla Capital on Thursday said it plans to raise ₹1,250 crore through a preferential issue of shares to its promoter and promoter group companies – positive

 

·      Power Finance Corporation: State-owned non-bank lender Power Finance Corporation (PFC) on Thursday said its Director (Finance) Parminder Chopra has been assigned the additional charge of the company's CMD - positive

 

·      TVS Motor - Company, said, "TVS Motor is spearheading the EV transformation narrative in the country. Backed by this electrification journey, TVS iQube recorded a sales milestone of 1 lakh units for its range of scooters in the last financial year, which is a testament of its strong community of happy customers. In May 2023, TVS iQube crossed 20,000 units of retails and continues to have a healthy booking pipeline of over 30,000 units." – positive

 

·      GOCL Corp –Company secured orders worth Rs257cr from Coal India for the supply of detonators,

 

·      NCC Company said it had received new orders worth Rs 2,088 crore in the month of May. 2023. Of the aforementioned amount, company's building division has signed the agreements for the orders amounting Rs. 1,668 crore and water division secured order for Rs. 420 crore – Positive

 

·      May Auto sales Update – Maruti, Escorts, M&M, Eicher, Ashok Leyland, Tata Motor, Eicher, TVS Motor and Bajaj Auto announced better than expected monthly sales data - Maruti Total sales at 178083 uint (up 10% YoY) – expectation 164746 unit, M&M total sales at 95541 unit (up 14% YoY) – expectation 95471. Escorts May sales at 9167 unit (up 9% YoY) – expectation 7891. Bajaj Auto May sales at 355148 unit (up 29% YoY) – expectation 326724. Tata Motor reported 73448 vehicles (down 2% YoY) – Expectation 71058, Ashok Leyland reported 13134 vehicles (down 1% YoY) – Expectation 12926. TVS Motor reported 330609 units  (up 9.1% YoY) – Expectation 325724 unit.

 

·      NMDC – Company reported iron ore sales during the month of May at 3.62mt (up 37% YoY) and production increased to 3.71mn tons (up 16% YoY) – positive

 

·      May Manufacturing PMI rises to highest since Oct. 2020 – Manufacturing PMI during the month of May reported at 58.7 vs 57.2 previous month

 

·      Birlasoft – Company has launched bCloud+, an end‐to‐end solution to help enterprises migrate on‐premises Oracle JD Edwards instances to Oracle Cloud Infrastructure (OCI). – positive 

 

·      Mastek – Company has considered and approved the appointment of Mr. Hiral Chandrana, as a Chief Executive Officer and Key Managerial Personnel of the Company with effect from May 31, 2023. Further, he shall continue to be the Global Chief Executive Officer of the Mastek Group Subsidiaries. - positive

 

·      South India Bank - Board approved a panel of candidates for the position of managing director and chief executive officer. As per the norms set by the Reserve Bank of India, the bank will now submit its application to the RBI with the names of the candidates in order of preference seeking approval for the appointment of the positions. – positive… stock gain 10% yesterday

 

·      Mphasis Ltd – Company launched a business unit that aims to help clients integrate AI capabilities into their existing technology platforms. The unit Mphasis.ai will offer clients advisory to identify key AI interventions for tasks such as contact center transformation, customer experience transformation. - positive

 

·      Adani Enterprises: Adani Road Transport, a wholly-owned subsidiary of Adani Enterprises, has decided to terminate the agreement to acquire Macquarie Asia Infrastructure Fund's (MAIF) toll road in Andhra Pradesh, Gujarat for ₹3,110 crore

 

 

Pre-Market Derivatives and Technical Set-up

*Pre-Market Derivatives and Technical Set-up*

◆ Nifty index opened positive and remained choppy for first half of the session. It was finding tough to surpass any immediate hurdle and bears were sliding the index lower to breach its previous day’s low levels in the last hour of the day to touch 18464 marks. It has been witnessing profit booking from last two sessions and closed with losses of around 50 points. It formed a Bearish Belt Hold candle on daily scale and has been forming lower lows from the last three sessions

◆ Now it has to find support near 18442 zones, then only we can witness a bounce towards 18580 and 18666 zones while a hold below 18442 could open the further decline towards 18333 and 18181 zones

◆ India VIX was down by 3.11% from 11.97 to 11.59 levels. Volatility cooled off and thus in turn created swings within a smaller range in the indices making it choppy for most part of the day

◆ On option front, weekly Maximum Call OI is at 18600 then 18500 strike while Maximum Put OI is at 18500 then 18400 strike. Call writing is seen at 18600 then 18500 strike while Put writing is seen at 18500 then 18300 strike. Option data suggests a broader trading range in between 18200 to 18800 zones while an immediate trading range in between 18300 to 18700 zones

◆ Bank Nifty opened on a flattish note and remained consolidative in a narrow range of 200 points between 43950 to 44150 zones in the first half of the session. However it failed to hold its key level of 44144 marks and corrected sharply towards 43700 zones in the last hour of the session. It formed a Bearish Belt Hold Candle on daily scale as selling pressure was seen at higher zones and index ended with losses of around 340 points

◆ Now till it holds below 44044 zones some weakness could be seen towards 43500 then 43333 levels while on the upside hurdle is seen at 44144 then 44250 zones

◆ Bullish setup in Apollo Hospital, India Cement, RBL Bank, M&M Fin, Naukri, Intellect, Canfin Homes, Marico, Glenmark, Tatacomm, Havells, Indhotel, Bajaj Auto, Pidilitind, Tatamotors, Poly Cab, Asian Paint, Sunpharma, IDFC First Bank and Nestle Ind 

◆ Bearish setup in IGL, Navinfluor, SRF, Jindalstel, ICICI Bank, Petronet and GNFC

7 Companies of FMCG Mcap

*7 Companies of FMCG Index are Close or Above 1Lk Cr Mcap*👇

HUL: 6.20 Lk Cr

ITC: 5.50 Lk Cr

Nestle: 2.10 Lk Cr

Britannia: 1.12 Lk Cr

Varun Bev: 1.10 Lk Cr

Godrej Cons: 1.08 Lk Cr

Dabur: 1Lk Cr

NIFTYVIEW

NIFTYVIEW

                

🎯 NIFTY likely to *open or Around 18509-18552*

🎯 NIFTY is likely to see *RESISTANCE or around 18606-18663-18729*

🎯 NIFTY KEY *SUPPORT lies 18459-18420-18338*

 

🎯Fellas *Nifty is likely to trade sideways to positive & possibly surpassing 18729 till tomorrow😉 Use the dips to add longs as we are headed towards 19000🙏 Stock specific movements could be in focus today🙏 BankNifty has crucial support 43000 meanwhile positional target remains 45800 kind of levels🙏NiftyAuto may continue to face resistance 14313🙌 NiftyIT may remain sideways to positive as positional target continue to remain 30450 kind of levels 🙏DowFutures may now head for 35000+ kind of levels after relief from USDebtCeiling extension🙏*

🎯 Fellas *USDINR may head for 82 kind of levels🙏*

🎯 Stock on *radar JUBFOOD🙏*

*🟢Disclaimer: Our clients may or may not have interest in the above stock🙏*

https://chat.whatsapp.com/DFilBxunI6RLGEdZTwMkRK

Derivatives update

*Derivatives update*

Good morning !! 

Derivatives update for Thursday, 1st June 2023.

India VIX was down by 0.31% from 12.01 to 11.97 levels. Volatility hovered around the same range giving some comfort to the bulls to buy at any small decline.

Nifty *Put/Call Ratio* (OI) decreased from 1.32 to 0.99 level. 

On option front, weekly Maximum Call OI is at 18600 then 18700 strike while Maximum Put OI is at 18500 then 18400 strike. Call writing is seen at 18600 then 18500 strike while Put writing is seen at 18500 then 18350 strike.

*Option data suggests a broader trading range in between 18300 to 18800 zones while an immediate trading range in between 18450 to 18700 zones.*

For weekly Bank Nifty, Maximum Put OI is at 43500 then 44000 strike and maximum Call OI is placed at 44500 then 45000 strike. We have seen significant Call writing 44200 and Put writing is also witnessed at 43500 with significant unwinding at 44500 strike. 

Bank Nifty Put Call Ratio decreased from 1.22 to 0.82. Implied volatility rose from 13.41 to 13.43 levels.

Bank Nifty (CMP 44,128.15)

Data setup for Bank Nifty suggests a trading range in between *43600/43850 to 44500/44750 zones.*

Looking ahead at the FII’s derivatives activity, there was long liquidation in index futures, call & put buying in index options and short built up in stock futures.

In the cash market, FIIs were net buyers to the tune of 3406 crores while DII’s were net sellers worth 2529 crores. FIIs Index Long Short Ratio decreased to 53.92%.

Derivatives data and price set up suggests, Nifty has to hold above 18500 zones, for an up move towards 18666 and 18888 zones while on the downside support exists at 18442 and 18333 zones.

Bank Nifty has to continue to hold above 44144 zones for an up move towards 44500 then new life high of 44750 zones while on the downside support exists at 43850 then 43600 zones.

Thank you. Have a great trading day and weekly expiry ahead..!!

News and Impact

News and Impact

 

 

·      Expects market to open on a positive note after the news that the US House passed on debt-ceiling bill in 314-117 vote, easing US default concerns.  Asian markets recovered from the intra-day low and US Future bounced back into positive territory after the news that the US Congress passed debt-limit legislation forged by President Joe Biden and Speaker Kevin McCarthy. In the domestic front, better than expected FY23 domestic GDP data, over 24-month high FIIs net inflow during the month of May, impressive Q4 results (double digit revenue growth) and IMD predicated normal monsoon will be positive for the market sentiment. Yesterday, Index decline over half percent due to profit booking. However, Nifty 500 stocks advance decline ratio was favorable at 1.3:1.  SGX Nifty declined by quarter percent or 50 points. Any decline will be good opportunity to buy in Indian bourse. FIIs were net buyers nearly Rs28000cr or $3.5bn during the month of May, highest since Feb 2021. Domestic Q4 GDP data reported at 6.1% while expectation was 5% on account of strong growth in the manufacturing, Infra and financials sectors. US Bond yield declined yesterday after the US Fed officials indicating to pause on hike in interest rate in the next policy meeting. Intra-day volatility may not be ruled out on ahead of weekly Nifty and Bank Nifty expiry. Auto stocks will be in focus ahead of monthly sales data to be release today. Government cut ATF fuel price will be positive for airlines stocks. Expects positive for hotel and Restaurant stocks after news that the government cut gas cylinder price.

 

·      US Market   – U.S. stocks ended lower on Wednesday as investors waited for a House vote on the debt ceiling deal to avert a potential default. Both Dow Jones and Nasdaq Composite declined half percent each.

 

·      Global market summary –  The US House passed debt-limit legislation forged by President Joe Biden and Speaker Kevin McCarthy that would impose restraints on government spending through the 2024 election and avert a destabilizing US default. Lawmakers from both parties joined to approve the bill 314-117 Wednesday evening, sending the measure to the Senate for

·      consideration as a default deadline draws near. European markets witnesses biggest monthly decline during the month of May. 

 

·      Asian Market – Stocks fluctuated in Asia on Thursday as the House began voting on the US debt ceiling deal and investors weighed the prospect of a pause in rate hikes from the Federal

·      Reserve this month. Japanese and Australian shares rose, those in South Korea edged lower and US equity futures swung between small gains and losses.

 

·      European Market – European stocks closed May with their biggest monthly drop this year as luxury companies slumped after data showed China’s economic recovery faltering and concern of US Debt ceiling negotiation. UK, Germany and France Index declined over 1% each. 

 

·      Oil –  Oil fell for a third day as industry data pointed to rising US crude stockpiles with demand concerns hanging over the market. Brent Crude declined 2% to $72/bbl

 

·      Gold –   Gold rose for a third day as traders pared bets for more tightening from the Federal Reserve ahead of a vote on the US debt-limit deal. Gold gained 1% to $1966/ounce

 

·      Previous Day market Update – After a rally in the last four trading sessions, the benchmark of the equity Index slipped over half percent on account of profit booking amid weakness in the global market. Across the global markets declined as concerns about US debt-ceiling deals and weak manufacturing PMI data announced from the world's second-largest economy China impacted the market.  Investors were booking profit ahead of domestic GDP data to be released in the post-market hours today. Banking and metal stocks were major losers today while FMCG, telecom, Nifty mid-cap and small cap stocks posted smart gains. Buying interest came in the last hour on account of MSCI Index final day for re-balancing. Stocks like Sona BLW, ABB, Kotak Bank, Zomato, Max Healthcare soared between 3-8% from the intra-day.  Nifty 500 stocks advance-decline ratio was 1.3:1. There was bullish sentiment in the market on account of strong FIIs buying interest, impressive quarterly results, a fall in oil price, and strong micro economy data. Sensex dropped 347 points, or 0.6%, to close at 62,622, while it touched low of 62401. Nifty slumped 99 points, or 0.5%, to close at 18,534 while touching intra-day low of 18484.  FIIs were net buyers Rs2090cr while DIIs were net sellers Rs439cr yesterday.

 

·      Nifty Technical Levels -  Nifty formed a Bearish candle on daily scale but with longer lower shadow indicating support levels are held intact. Now it has to hold above 18500 zones, for an up move towards 18666 and 18888 zones while on the downside support exists at 18442 and 18333 zones.

 

·      Bank Nifty Technical Levels – Bank formed a Bearish candle on daily scale with long lower shadow as buying is visible at lower zone but ended in the negative territory near its crucial 44144 marks. Now it has to continue to hold above 44144 zones for an up move towards 44500 then new life high of 44750 zones while on the downside support exists at 43850 then 43600 zones.

 

·      Actionable BUY – Tejas, Tech Mahindra, Borosil, Dixon Tech, IndiGo, Indian Hotel

 

·      Brokers Radar –  Citi Union Bank TGT by Macquarie at 140, Coal India Citi TGT at 240

 

·      Events –Weekly Nifty and Bank Nifty expiry, Coal India OFS for Non-retail at Rs225 (CMP 241). Ab Capital board meeting for fund raising. Escorts price hike on tractors to implement from today.

 

·      Corporate Action  - Aptech Rs6, Shree Cement Rs55

 

·      Global Data – Non-Farm Productivity, Initial Jobless Claims, Manufacturing PMI and Construction Spending. (US), Consumers Credit, Manufacturing PMI and Mortgage Application(UK). Manufacturing PMI (France). Manufacturing PMI (Germany).

 

·      Market Summary – Govt to sell up to 3% in Coal India via OFS, Domestic GDP grows at 6.1% in March quarter; FY23 growth at 7.2%, Dixon Techs To Partner With Xiaomi To Make Mobile Phones, PTC India Signs Two Long-Term Power Purchase Agreement, No Plans to Pare Stake in Vedanta Ltd., Anil Agarwal Says, SBI Cards Plans To Raise Rs 3,000 Crore From Debentures

 

·      GDP Growth ahead of expectation - Economy grew faster than the government’s expectations last year, as demand spurred an expansion in the services sector and cushioned the impact of elevated interest rates. Q4 GDP grew at 6.1 per cent (YoY) vs previous quarter 4.4% - Bloomberg expectation 5%FY23 GDP growth at 7.2% vs 9.1% (YoY) – Expects positive for the market sentiment on account of strong growth in manufacturing, Infra and financials.

 

·      SBI Card - Company plans to raise up to Rs 3,000 crore by issuing debentures to fund business growth.- positive

 

·      Focus on Airlines stocks  - ATF price was reduced by Rs 4,606 per kilolitre, or 4.09 per cent, to Rs 107,750.27 per kilolitre (kl) in the national capital, according to a price notification of state-owned fuel retailer – Positive for IndiGo

 

·      Coal India OFS - The government will sell up to 3% of its stake in Coal India to raise about Rs4,200 crore through a two-day offer-for-sale (OFS) from Thursday. The offer price at Rs225 a share, 7% discount against the previous day’s close at Rs241. Non-retail segment for to today while retail segment for tomorrow. – Buying opportunity

 

·      Laurus Lab – Company to buy 7.24% more stake in Immunoact for Rs80cr. Company’s stake in Immunoact to increase to 33.86%

 

·      MOIL: The company increased prices of manganese ore grades BGF452, CHF473 and GMF569 by 10%, effective from the June 1. - positive

 

·      Tata Motors: The company is looking to buy back external commercial bonds worth $250 million from bond holders.- positive

 

·      HFCL: The company will spend Rs 470 crore to expand current optical fibre capacity to 33.9 million fibre kilometer per annum from 10 million fibre kilometer per annum at its manufacturing facility in Telangana – positive

 

·      Vinati Organics: The company bought additional 65.97 lakh shares of subsidiary Veeral Organics for Rs 6.59 crore.

 

·      Lemon Tree Hotels: The company will acquire 9.67 lakh compulsorily convertible preference shares of Fleur Hotels from APG Strategic Real Estate Pool NV at Rs 505 apiece, resulting in a total outgo of Rs 48.84 crore.

 

·      Steel Authority of India: Amarendu Prakash has taken over as chairman of the company – positive

 

·      Rainbow Children’s Hospital: The company appointed Vikas Maheshwari as the chief financial officer, effective June 1, following resignation of R Gowrisankar from the position. - positive

 

·      Vedanta - Billionaire Anil Agarwal has no plans to reduce his stake in Vedanta, the chairman of parent Vedanta Resources said Wednesday, adding that the company could explore the option only if the need arises in the interest of the country. Vedanta Resources has a very comfortable debt-to-equity ratio – Long term positive

 

·      Dixon Technologies – Company and Xiaomi India plan to partner for manufacturing and exporting mobile phones from India, as a part of its 'Make In India' commitment.- positive

 

·      PTC India - Company has signed two agreements for purchase of 215 MW electricity on a long term basis with Brookfield Renewables for purchase of 100 MW solar power, another pact is with V S Lignite for purchase of 115 MW thermal power.- Positive

 

·      Vedanta Resources pays off all its maturing loans and bonds due in May and June 2023. Vedanta’s gross debt stands at $6.4 billion, as of today, down from $6.8bn at the end of April 2023. Long term positive

 

·      Himadri Speciality – Company invests AU$ 10.32 million or Rs 55.43 crore in Sicona Battery Technologies Sicona is an Australian startup specializing in silicon anode technology for lithium-ion batteries.

 

·      Poonawalla Fincorp will sell 24.98 crore shares in its unit Poonawalla Housing Finance to Perseus SG Pte., a TPG Global LLC entity.  RBI has approved the proposed divestment – positive

 

·      Focus on logistic and food grain stocks - The government will bring a policy for world's biggest food grain storage scheme under the cooperative societies sector. The government will make an allocation of approximately Rs 1 lakh crore. Under this scheme, a godown of a capacity of 2000 tonnes will be constructed in every block – Expects positive for KRBL, Godrej Agrovat, Container Corp, Aegis Logistic,

 

·      Mahindra & Mahindra: The company incorporated subsidiary Mahindra Last Mile Mobility to manage its three-wheeler and small commercial vehicle businesses. The auto major also incorporated a step-down subsidiary, Icarus Hybren, to run the renewable energy production and distribution business. - positive

 

·      Axis Bank: The board appointed former RBI deputy governor NS Vishwanathan as an additional director for a period of four years, up to May 29, 2027. - positive

 

·      Aurobindo Pharma: The company received tentative new drug application approval from the U.S. FDA for HIV drugs Dolutegravir, Entricitabine, and Tenofovir Alafenamide tablets. – positive

 

·      Sun Pharm: The company received approval from China’s National Medical Products Administration for its new drug application of tildrakizumab injection, used to treat moderate-to-severe plaque psoriasis. - positive

 

·      Lupin: The company entered a strategic collaboration with Enzene Biosciences to launch Cetuximab in India, used in treatment of head and neck cancer. - positive

 

·      Welspun Corp - Company guided for a 50% growth in its revenue over FY24 to approximately Rs 15,000 crore, as per the company's investor presentation. Welspun also targets increasing natural gas consumption from 6% to 15% of the energy mix by 2030. It also expects refining capacity to increase from 250 MTPA to 450 MTPA over the next few years. – Positive

 

·      Birlasoft – Company has launched bCloud+, an end‐to‐end solution to help enterprises migrate on‐premises Oracle JD Edwards instances to Oracle Cloud Infrastructure (OCI). – positive 

 

·      Mastek – Company has considered and approved the appointment of Mr. Hiral Chandrana, as a Chief Executive Officer and Key Managerial Personnel of the Company with effect from May 31, 2023. Further, he shall continue to be the Global Chief Executive Officer of the Mastek Group Subsidiaries. – positive.

 

·      Deloitte Flags Adani Port Transactions Citing Lack of Review -  Adani Ports’s auditor said insufficient disclosures over transactions with certain entities means it can only issue a qualified opinion on the company’s accounts, returning the spotlight to allegations made by short seller Hindenburg Research on Gautam Adani’s empire. Deloitte Haskins & Sells LLP raised concerns on Tuesday over transactions with three entities, which the company said were unrelated parties. But the auditor said it could not independently confirm that the parties were indeed unrelated, and that the company has refused to get an independent external xamination that would help prove so.

 

 

 

STOCKS IN ACTION 1 JUNE

STOCKS IN ACTION 1 JUNE 

Coal India: The government will sell up to 18.48 crore shares of the company, representing a 3% stake, via an offer for sale on June 1 and 2. The floor price of the offer has been pegged at Rs 225 per share.

MOIL: The company increased prices of manganese ore grades BGF452, CHF473 and GMF569 by 10%, effective from the June 1.

Tata Motors: The company is looking to buy back external commercial bonds worth $250 million from bond holders.

HFCL: The company will spend Rs 470 crore to expand current optical fibre capacity to 33.9 million fibre kilometer per annum from 10 million fibre kilometer per annum at its manufacturing facility in Telangana.

Bank of India: The bank hiked marginal cost of funds-based lending rates by five basis points across tenures, effective June 1.

Mahindra & Mahindra: Subsidiary Mahindra Holdings completed the sale of 30% stake of Mahindra Susten to 2452991 Ontario, a wholly owned subsidiary of Ontario Teachers' Pension Plan Board. Additional 9.99% stake of Mahindra Susten will be completed by March 31.

Laurus Labs: The company will acquire additional 7.24% stake in Immunoadoptive Cell Therapy for Rs 80 crore. Some promoters and senior management of the company will also acquire 0.54% stake in ImmunoACT for Rs 4 crore through secondary purchases. The company already holds 26.62% stake in ImmunoACT.

Vinati Organics: The company bought additional 65.97 lakh shares of subsidiary Veeral Organics for Rs 6.59 crore.

Lemon Tree Hotels: The company will acquire 9.67 lakh compulsorily convertible preference shares of Fleur Hotels from APG Strategic Real Estate Pool NV at Rs 505 apiece, resulting in a total outgo of Rs 48.84 crore.

Steel Authority of India: Amarendu Prakash has taken over as chairman of the company, effective May 31.

Rainbow Children’s Hospital: The company appointed Vikas Maheshwari as the chief financial officer, effective June 1, following resignation of R Gowrisankar from the position.

South Indian Bank: The board approved the panel of candidates for the position of managing director and chief executive officer. This will be sent to the Reserve Bank of India for approval. The bank also appointed General Manager Nandakumar G as the head of inspection and vigilance department and head of internal audit and chief of internal vigilance, effective June 1.

Gati: Pirojshaw Aspi Sarkari has stepped down as the chief executive officer of Gati to take charge as managing director and CEO of material subsidiary Gati-Kintetsu Express, effective immediately. Shashi Kiran Shetty, chairman and managing director of Gati, has been appointed as non-executive chairman of Gati-Kintetsu Express.

PNC Infratech: Bhupinder Kumar Sawhney has stepped down as chief financial officer of the company on health grounds, effective May 31.

Adani Total Gas: MSCI - Update On Implementation Treatment Of Adani Group And Associated Securities During May 2023 Index Review || MSCI Says Adani Total Gas, Adani Transmission Will Be Deleted From MSCI Global Standard Indexes WEF June 1

Adani Enterprises: Adani To Raise USD 3.5 Bn Through Share Sale In 3 Cos; Adani Green Energy Board Approval For Usd 1 Bn Share Sale Next Month - PTI, Citing Sources

Bharat Road Network: Court Dismissed NHAI Application To Set Aside 2019 Arbitration Award To Co's Unit

Market Indication

Market Indication:

Global: FLAT to NEGATIVE

NIFTY: FLAT to NEGATIVE

BANKNIFTY: FLAT to NEGATIVE

BULK Deals:Kalpataru Power Transmission, Krishna Institute of Medical Sciences etc.

Stocks In F&O Ban Period: Nil

Results Today: Nil

SGX NIFTY: (Negative)

18659 -70.50 -0.38%

News and Impact

News and Impact

 

 

·      Worries about debt-ceiling negotiation voting to be held today in the US Congress and lower than expected China PMI data, may open domestic market on a flat to negative note. SGX Nifty declined nearly quarter percent or 50 points while most of the Asian market fell half to one percent in the morning. US Future are exhibiting on a mixed bag. On the other hand, Brent crude nosedived 4% to 1-week low on account of weaker global demand and sufficient supply ahead of an upcoming OPEC+ meeting.  Overnight, US market ended on a mixed bag as investors weighed a tentative U.S. debt ceiling deal that needs Congress approval as well as the potential for another interest rate hike in June. President Joe Biden and Republican House Speaker Kevin McCarthy expressed confidence that they can muster the necessary support for the bill before voting commences, which could be held today. Back home, expects range bound market today on ahead of US voting outcome for debt ceiling deal. Moreover, domestic GDP number will be release in the post market today. Undertone bullish sentiment in the market on account of strong FIIs buying interest, impressive quarterly results and strong micro economy data. FIIs were net buyers over Rs2000cr yesterday, highest ever buying since Feb 2021 or 27 months high. FIIs bought $3bn or Rs24500cr during the month of May. Nifty is just 1.5% shy away from its all-time high level of 18,887, it hit in December 2022. Traders buy on dips strategy continue on account of  Nifty formed a bullish candle on daily scale and gave the highest daily close of the last 112 sessions. The Nifty Midcap 100 index already hit its all-time high along with the Nifty Bank. Bank Nifty also formed a bullish candle on daily scale and gave the highest ever close. Auto stocks will be in focus today ahead of monthly sales data will be announce tomorrow. Domestic CPI data and MSCI Global Standard Index today, as a part of the May rejig exercise. Euro zone CPI and GDP data will be release today. Expects positive for airlines, paints, cement stocks due to benefit of fall in oil price.

 

·      US Market   – U.S. stocks ended mixed on Tuesday as investors weighed a tentative U.S. debt ceiling deal that needs Congress approval as well as the potential for another interest rate hike in June. Dow Jones slipped 0.2% while Nasdaq Composite gained 0.3%

 

·      Global market summary –  US Congress Voting today for debt ceiling deal negotiation deal at 8.30PM in US Time. Brent Crude fell to 1-week low. S&P 500 ended 9-month high. China announced lower than expects May PMI data.

 

·      Asian Market – Asian stocks fell in the morning after momentum in US equities faded and Congress considered the debt accord that’s needed to head off a catastrophic default. Shares slipped in Japan, Taiwan and Australia. Hong Kong Index slipped over 1% after China announced lower than expects May PMI data.

 

·      European Market – European stocks dropped yesterday on account of poor economy data  and lower oil prices weighed on the energy sector, while Unilever Plc and Nestle SA dropped after announcing changes to the chief financial officer role. Both UK and France Index declined over 1% each as worries that central banks would keep interest rates higher for longer because of elevated inflation have also capped risk demand

 

·      Oil –  Oil held its biggest decline by in four weeks on signs of weaker demand and sufficient supply ahead of an upcoming OPEC+ meeting. Brent Crude  declined by 4% to 1-week low at $73/bbl.

 

·      Gold –   Gold gained 1% to $1966/ounce as Treasury yields slumped on hopes that US Congress will pass a debt-ceiling deal to avoid a default.

 

·      Previous Day market Update – After opening on a flat note,  equity benchmark indices closed marginally higher for the fourth straight day, inching closer to their record high levels amid continued purchases from foreign investors. Bajaj twins, HDFC twins, Hindustan Unilever, ITC, Infosys and Kotak Bank lifted Nifty to a positive territory. The Nifty Midcap 100 index already hit its all-time high along with the Nifty Bank. Sentiment boosted on account of rally in the global markets and US future on the hopes that Congress will pass a debt accord to head off a default as White House and Republican congressional leaders stepped up lobbying in support of the deal. On the domestic front,  strong FIIs buying interest, impressive quarterly results and IMD forecast of normal monsoon boosted the market sentiment. Sensex surged 123 points or 0.20% to settle at 62,969 and Nifty rose 35 points or 0.20% to end at 18,634. Financials, FMCG and select IT stocks were major gainers today while metal stocks witnessed profit booking. Nifty 500 stocks advance decline ratio was 1:1.  FIIs were net buyers Rs2090cr while DIIs were net sellers Rs439cr yesterday.

 

·      Nifty Technical Levels -  Nifty formed a Bullish candle on daily scale and gave the highest daily close of the last 112 sessions. Now it has to hold above 18550 zones, for an up move towards 18750 and 18888 zones while on the downside support exists at 18550 and 18442 zones.

 

·      Bank Nifty Technical Levels – Bank formed a Bullish candle on daily scale and gave the highest ever close. Now it has to continue to hold above 44144 zones for an up move towards 44750 then new life high of 45000 zones while on the downside support exists at 44144 then 44000 zones.

 

·      Actionable BUY – REC, LTIMindtree, Coal India, Prestige Estate, 

 

·      Brokers Radar –  Adani Ports – Goldman Sachs TGT at 800, Nomura TGT at 1075. CLSA TGT at 878, Citi 972,, PI Industries TGT by Philips Securities at 4095, Chambal Fertilizer TGT by Philips Securities at 384.  Nomura TGT on Sona BLW at 573, Torrent Pharma TGT – Goldman Sachs TGT at 2025 and Jefferies TGT at 1650 , JK Cement TGT by Jefferies at 3260.

 

·      Events – MSCI Re-balancing, GDP and Eight Infrastructure Data, Sona BLW and HDFC Life block deal today.

 

·      Corporate Action  - Macrotech bonus 1:1, SBI ex-dividend 11.30 and  DB Corp Rs3,

 

·      Global Data – Mortgage Application and US Fed Reserve Release Beige Book (US), CPI, Consumer Spending, GDP and PPI (France). CPI and Unemployment Change (Germany). Composite PMI, Manufacturing PMI and Non-Manufacturing PMI. (China)

 

·      Market Summary – Coal India raises high grade non-coking coal prices by 8%, Aureus Investment to sell 3.2% stake in Sona BLW today, Abrdn likely to sell 1.66% stake in HDFC Life via block deal today, TCS Bags Contract from Swedish Bank, Sun Pharma, Philogen Enter Agreement To Commercialize Skin Cancer Drug, RateGain's International Flight Bookings At Highest Since Pandemic, Prestige Estates buys out DB Group’s balance stake in 2 Mumbai projects for Rs1,176 crore, Apollo Hospital announced lower than expected Q4 Ebitda and Ebitda margin.  MSCI Global Standard Index 2023 Rejig Today

 

·      MSCI Global Standard Index 2023 Rejig Today - Shares of Adani Transmission, Adani Total Gas and Indus Towers will exit the MSCI Global Standard Index on May 31, 2023, as a part of the May rejig exercise. On the other hand, Max Healthcare Institute, Hindustan Aeronautics (HAL) and Sona BLW Precision Forgings will make an entry into the index.

 

·      Coal India - India's largest coal supplier Coal India has raisedprices of non-coking coal of grade G2 to G10 by 8% over the existing notified prices with effect from May 31, five years after the last hike. – positive.

 

·      TCS– Company secured a contract from Sweden-based Ikano Bank AB for its pan-Europe core banking transformation – positive

 

·      HDFC Life - Abrdn, formerly known as Standard Life, is likely to sell 1.6 percent equity stake or 3.57 crore shares in HDFC Life Insurance company via block deal today price range between Rs 563-585 per share (CMP 585). HDFC Bank, is set to acquire a 1.66% stake in HDFC Life from its UK-based joint venture partner –– We are positive on the HDFC Life – positive

 

·      Sona BLW - Promoter Aureus Investment Pvt Ltd plans to sell 3.25% stake or 1.9cr shares in Sona BLW Precision Forgings through a block deal today. The floor price for the sale is Rs500 a share, a discount of 7% to Tuesday’s closing price of Rs 535.50. – Good buying opportunity at lower level.

 

·      Govt may cut solar panel import tax from 40% to 20% to make up domestic shortfall - Rrenewable energy ministry has held talks with the finance ministry to approve its request to cut the import tax on solar panels from 40% to 20%, said the three sources – Expects positive for Tata Power

 

·      Infosys – Company and the French Tennis Federation (FFT) have revealed new innovations that will continue their partnership to transform and power the game in novel, smarter more immersive ways

 

·      Prestige Estates -  Company has made two strategic acquisitions to attain complete ownership of two key projects in central Mumbai’s Bandra-Kurla Complex (BKC) and South Mumbai’s Mahalaxmi locality by picking up balance stake from DB Group for a total consideration of over Rs 1,176 crore. Both the projects are currently under construction and are expected to be completed within the next 3- 4 years. – positive

 

·      ITC - The company revived its plan to carve out the hotels business as the sector has recovered from the pandemic's lows. The conglomerate was looking for an "alternative business structure" for its hotel business, ITC Chairman Sanjiv Puri said in an interview with Hindu BusinessLine. ITC's plans to spinoff its hotel businesses had been shelved since the pandemic. Recovery in its hotel business after the pandemic was the primary reason for the demerger proposal to be "back on the table", Puri said. - Positive

 

·      Vedanta -  Finsider International, a unit of Vedanta Ltd., pledges 4.4% of the latter's equity to Glencore International AG for a facility worth $250 million. The facility availed from Glencore will be operated by Vedanta Resources Ltd. Funds raised from Glencore will be used to refinance group debt – Positive

 

·      Sun Pharma- Sun Pharma, Philogen signed licensing agreement to sell Philogen’s specialty product, Nidlegy in Europe, Australia and New Zealand. The drug will be used to treat melanoma and non-melanoma skin cancers and is currently in Phase III clinical trials. – positive

 

·      RateGain's International - RateGain says international leisure flight bookings from India jumped to its highest post pandemic in June-August. RateGain Travel Technologies' latest report shows  international leisure flight bookings from India rose by 40% YoY in June-August 2023- its highest after pandemic. Demand remains 15-20% lower than pre-pandemic high of 2019 - positive

 

·      Torrent Pharma – Company approved rising Rs5000cr vis QIP and others  - positive

 

·      NDR Auto Componenet – Company announce bonus in the ratio of 1:1

 

·      Dividend – Astrazenacs Rs16, BCL Industries Rs5, La Opala Rs3, Goodyear India Rs26.50, Torrent Pharma Rs8

 

·      RattanIndia Enterprises – Company launched a new cargo drone ‘L-40’ by its company, Throttle Aerospace Systems The new L-40 drone has a higher payload capacity of 40 kgs as compared to the 20 kgs capacity L-20 drones – positive

 

·      Inox Wind- Company  bagged an order for a 150MW wind project from NTPC Green Energy's renewable arm. The project shall be executed in Gujarat. Inox Wind has recieved a total order of 550 MW from NTPC till date. – positive

 

·      Jyoti Ltd – Company bagged an order worth Rs6.21cr  from IOC for the design, engineering, manufacturing, testing and supply of 58 6.6-kilovolt and 11 KV vacuum circuit breaker panels.- Avoid due to poor balance sheet.

 

·      Force Motor announced strong Q4 results. Company reported Q4 Net Sales at Rs 1,490.15 crore in March 2023 up 69.07% from Rs. 881.38 crore in March 2022.  Net Profit at Rs. 149.16 crore in March 2023 up 473.09% from Rs. 39.98 crore in March 2022. EBITDA stands at Rs. 158.63 crore in March 2023 up 2015.07% from Rs. 7.50 crore in March 2022.

 

·      Mankans Pharma Q4 net profit Rs109.5cr (up 72% YoY) Ebitda margin 22.5% vs 15.2% (9YoY) and Income Rs486cr (up 16.5% YoY )

 

·      Adani Port Q4 -Income Rs5796.9cr (up 40% YoY), Ebitda Rs3271.3cr (up 24.8% YoY), Ebitda margin at 56.4% vs 62.3% (YoY) and Net profit Rs2292.4cr (up 42.6% YoY)

 

·      Munjal Showa Q4 net profit Rs21.2cr (up 202% YoY), Ebitda margin 5.5% vs 3% (YoY) , Ebitda Rs16.4cr (up 82.2% YoY)and Income Rs299cr (up 1% YoY )

 

·      Arvind Fashion Q4 net profit Rs28.5cr (up 27.2% YoY), Ebitda margin 11% vs 8% (YoY) , Ebitda Rs124cr (up 69.2% YoY)and Income 1140cr (up 24.4% YoY )

 

·      V-Guard better than expected Q4 Incoem and Ebitda inline with Bloomberg expectation. Company reported Q4 net profit Rs52.7cr (down 41.2%% YoY) – Bloomberg expectation Rs66.79cr, Ebitda margin 8.6% vs 10.6% (YoY) , Ebitda Rs98.6cr (down 12% YoY) – Bloomberg expectation Rs100cr, and Income 1140.1cr (up 7.6% YoY ) – Bloomberg expectation Rs1109cr

 

·      Suzlon Q4 Net profit Rs320cr vs loss Rs205.52cr (One time gain Rs251.5cr), operating margin 13.73% vs 4.26% (YoY), Ebitda Rs232.69cr (up nearly 100% YoY) and Income Rs1694cr (up 31.53% YoY)

 

·      Apollo Hospital announced marginally lower than expected Ebitda and Ebitda margin. Company reported Q4 net profit Rs146cr (up 50.50% YoY) – expectation Rs208.9cr, Ebitda margin 11.4% vs 13.1% (YoY) – Expectation 12% , Ebitda Rs488cr (up 5.4% YoY) – expectation Rs528cr and Income 4302.2cr (up 21.3% YoY ) – Expectation Rs4404cr

 

·      Torrent Pharma announced marginally lower than expected Ebitda and Income. Company reported Q4 net profit Rs287cr vs loss Rs118cr (YoY) – expectation Rs360cr, Ebitda Rs727cr (up 30% YoY) – expectation Rs774cr and Income Rs2490cr (up 17% YoY ) – Expectation Rs2495cr.  Domestic sales Rs1260cr (up 22% y/y) – Bloomberg estimate Rs1237cr and  US revenue Rs280cr (down 0.7% y/y) – Bloomberg estimate Rs292cr. 

 

 

 

Derivatives update

*Derivatives update*

Good morning !!

Derivatives update for Wednesday, 31st May 2023.

India VIX was down by 2.36% from 12.29 to 12.01 levels. Volatility was down thus giving some comfort to the bulls to buy at any small decline at record high index levels.

Nifty *Put/Call Ratio* (OI) marginally decreased from 1.33 to 1.32 level. 

On weekly front, Maximum Call OI is at 18800 then 18700 strike while Maximum Put OI is at 18300 then 18600 strike. Minor Call writing is seen at 18850 then 18650 strike while Put writing is seen at 18600 then 18650 strike.

*Option data suggests a broader trading range in between 18400 to 18800 zones while an immediate trading range in between 18500 to 18750 zones.*

For weekly Bank Nifty, Maximum Put OI is at 44500 then 44000 strike and maximum Call OI is placed at 44500 then 46000 strike. We have seen Call writing 44500 and Put writing is also witnessed at 44500 strike. 

Bank Nifty Put Call Ratio increased from 1.10 to 1.22. Implied volatility fell from 13.9 to 13.4 levels.

Bank Nifty (CMP 44,436.35)

Data setup for Bank Nifty suggests a trading range in between *44000/44144 to 44750/45000 zones.*

Looking ahead at the FII’s derivatives activity, there was long built up in index futures, position unwinding in index options and short built up in stock futures.

In the cash market, FIIs were net buyers to the tune of 2086 crores while DII’s were net sellers worth 439 crores. FIIs Index Long Short Ratio increased to 60.77%.

Derivatives data and price set up suggests, Nifty has to hold above 18550 zones, for an up move towards 18750 and 18888 zones while on the downside support exists at 18550 and 18442 zones.

Bank Nifty has to continue to hold above 44144 zones for an up move towards 44750 then new life high of 45000 zones while on the downside support exists at 44144 then 44000 zones.

Thank you. Have a great trading day ahead..!!

Pre-Market Derivatives and Technical Set-up

*Pre-Market Derivatives and Technical Set-up*

◆ Nifty index opened positive and moved in a zig zag fashion throughout the day. It remained in a narrow range in the second half of the day and finally closed with gains of around 36 points. Any small declines were converted into buying opportunity and it sustained at higher zones. It formed a Bullish candle on daily scale and gave the highest daily close of the last 112 sessions

◆ Now it has to hold above 18550 zones, for an up move towards 18750 and 18888 zones while on the downside support exists at 18550 and 18442 zones

◆ India VIX was down by 2.36% from 12.29 to 12.01 levels. Volatility was down thus giving some comfort to the bulls to buy at any small decline at record high index levels

◆ Since it’s the beginning of the new series, Option data is scattered at various far strikes in monthly series. On weekly front, Maximum Call OI is at 18800 then 18700 strike while Maximum Put OI is at 18300 then 18600 strike. Minor Call writing is seen at 18850 then 18650 strike while Put writing is seen at 18600 then 18650 strike. Option data suggests a broader trading range in between 18400 to 18800 zones while an immediate trading range in between 18500 to 18750 zones

◆ Bank Nifty opened slightly negative and bulls were seen in action in the first tick and then later touched a new all-time high of 44498 levels. It was followed by a small decline and then recovered in the next half of the session. It respected its previous day’s low levels and closed above 44400 zones with gains of around 120 points. It formed a Bullish candle on daily scale and gave the highest ever close

◆ Now it has to continue to hold above 44144 zones for an up move towards 44750 then new life high of 45000 zones while on the downside support exists at 44144 then 44000 zones

◆ Bullish setup in Auropharma, RBL Bank, PFC, Rec Ltd, AB Capital, Ramco Cement, IDFC, JK Cement, HAL, IDFC First Bank, Indigo, Hindcopper, HDFC Life, Berger Paint, Indhotel, Poly Cab, Trent, DalBharat, Bandhan Bank, Bajfinance, Cumminsind, Ultracemco, Axis Bank and Asian Paint

◆ Bearish setup in Hindalco, SAIL, Tatachem, IEX and BPCL

STOCKS IN ACTION 31 MAY

STOCKS IN ACTION 31 MAY 

HDFC Asset Management Company: Keki Mistry has expressed the desire not to be re-appointed as non-executive director of the company, and will retire after the upcoming AGM on June 26.

Coal India: The company will increase prices of high-grade coal by 8%, applicable across subsidiaries, leading to revenue rising by additional Rs 2,703 crore during the current fiscal.

Mahindra & Mahindra: The company incorporated subsidiary Mahindra Last Mile Mobility to manage its three-wheeler and small commercial vehicle business. The auto major also incorporated a step-down subsidiary Icarus Hybren to run the renewable energy production and distribution business.

Axis Bank: The board appointed former RBI deputy governor NS Vishwanathan as additional director for a period of four years, up to May 29, 2027.

Aurobindo Pharma: The company received tentative new drug application approval from U.S. FDA for HIV drugs Dolutegravir, Entricitabine and Tenofovir Alafenamide tablets.

Sun Pharmaceuticals Industries: The company received approval from China’s National Medical Products Administration for its new drug application of tildrakizumab injection used to treat moderate-to-severe plaque psoriasis.

Lupin: The company entered a strategic collaboration with Enzene Biosciences to launch Cetuximab in India, used in treatment of head and neck cancer.

SonaBLW: Promoter entity Aureus Investment likely to sell upto 3.25% equity of Rs 950 cr at Rs 500/share in SonaBLW

AdaniPorts: Q4 results | Net profit grows 5%, dividend of Rs 5/share declared

KRISHNA INSTITUTE OF MEDICAL SCIENCES Large Trade

GENERAL ATLANTIC SINGAPORE Sold 23,20,449 Shares @ Rs 1600/ Share

KALPATARU POWER TRANSMISSION Large Trade

Promoters Sell 96,34,284 Shares 

ICICI Prudential Mutual Fund Bought 14.95 Lakh Shares

Corporate Actions

Corporate Actions

Dividend

30-May-23

VEDL: Interim Dividend - Rs. - 18.50

ITC: Final Dividend - Rs. - 9.50

RALLIS: Final Dividend - Rs. - 2.50

31-May-23

DBCORP: Interim Dividend - Rs. - 3.00

SBIN: Dividend - Rs. - 11.30

ADVANIHOTR: Interim Dividend - Rs. - 1.40

PGINVIT: Income Distribution (InvIT)

01-Jun-23

SIL: Interim Dividend - Rs. - 0.80

TRIDENT: Interim Dividend - Rs. - 0.36

APTECHT: Interim Dividend - Rs. - 6.00

SHREECEM: Interim Dividend - Rs. - 55.00

02-Jun-23

INFY: Final Dividend - Rs. - 17.50

INDUSINDBK: Final Dividend - Rs. - 14.00

JSWENERGY: Final Dividend - Rs. - 2.00

STEELCAS: Special Dividend - Rs. - 3.15

MAHINDCIE: Final Dividend - Rs. - 2.50

HAVELLS: Final Dividend - Rs. - 4.50

PAGEIND: Interim Dividend - Rs. - 60.00

ANZEN: Income Distribution (InvIT) 

05-Jun-23

SHYAMMETL: Interim Dividend - Rs. - 1.80

IPO

--

Buyback

Axita Cotton: Ex-Date: 02-Jun-23

Hinduja Global Solutions: Open: 22-May-23; Close: 02-Jun-23

Bonus

Macrotech Developers: Bonus Issue 1:1; Ex-Date: 31-May-23

Hardwyn India: Bonus Issue 1:3; Ex-Date: 05-Jun-23

Indiamart Intermesh: Bonus Issue 1:1; Ex-Date: 21-Jun-23

Roto Pumps: Bonus Issue 1:1; Ex-Date: 08-Jul-23

Stock Split

Sylph Technologies: Stock Split From Rs. 10/- to Rs. 1/-; Ex-Date: 02-Jun-23

Hardwyn India: Stock Split From Rs. 10/- to Rs. 1/-; Ex-Date: 05-Jun-23

Radhagobind Commercial: Stock Split From Rs. 10/- to Rs. 1/-; Ex-Date: 08-Jun-23

Right Issue

Praxis Home Retail: Ex-Date: 30-May-23

Shree Rama Multi-Tech: Ex-Date: 30-May-23

Bhakti Gems and Jewellery: Ex-Date: 31-May-23

North Eastern Carrying Corporation: Ex-Date: 02-Jun-23

Spin Off

Edelweiss Financial Services: Ex-Date: 02-Jun-23

STOCKS IN ACTION 30 MAY

STOCKS IN ACTION 30 MAY 

NBCC: (India) Q4 FY23 (Consolidated, YoY) Revenue up 14.3% at Rs 2,790 crore Ebitda up 43% at Rs 104.3 crore Ebitda margin at 3.7% vs 3% Net profit up 176.5% at Rs 113.6 crore The company reported net exception expenses of Rs 4.77 crore during the March quarter, down from 72.9 crore in the year-ago period. Finance costs came down to Rs 95,000 from Rs 1.4 crore crore during the quarter under review

Torrent Power: Q4 FY23 Revenue up 61.3% at Rs 6,037.9 crore Ebitda up 10.1% at Rs 1,090.4 crore Ebitda margin at 18.1% vs 26.5% (Bloomberg estimate: 19.4%) Net profit of Rs 483.9 crore vs net loss of Rs 487.37 crore The consolidated revenue for the quarter under review includes sale of regassified liquified natural gas of Rs 506.1 crore. The company will pay a final dividend of Rs 4 per share for the fiscal 2023, with a total outgo of Rs 192.3 crore.

Rail Vikas Nigam Q4 FY23 (Consolidated, YoY) Revenue down 11.1% at Rs 5,719.8 crore Ebitda down 8.3% at Rs 374.37 crore Ebitda margin at 6.5% vs 6.3% Net profit down 5% at Rs 359.2 crore The board recommended a final dividend of Rs 0.36 per share.

Sobha Q4 FY23 Revenues up 70.3% at Rs 1,209.9 crore Ebitda up 49% at Rs 115.6 crore Ebitda margin at 9.5% vs 10.9% Net profit up 242.2% at Rs 48.6 crore The board recommended a dividend of Rs 3 per share for the fiscal 2023.

Campus Activewear Q4 FY23 (Consolidated, YoY) Revenue down 1.3% at Rs 347.75 crore Ebitda down 27.9% at Rs 56.5 crore Ebitda margin at 16.3% vs 22.3% Net profit down 0.09% at Rs 22.9 crore Tax expenses went down as the company received deferred tax credit of Rs 5.89 crore. Sanjay Chabra has been appointed as the chief financial officer of the company, effective June 1, while Piyush Singh has been

Force Motors: Q4 Cons Net Profit 1.47b Rupees Vs Loss 428m (YoY); Loss 156m (QoQ) Q4 Revenue 14.9b Rupees Vs 8.8b (YoY); 13b (QoQ) Co Has An Exceptional Item Of 2.08b Rupees || Co Recommended A Dividend Of 10 Rupees Per Equity Share

KNR Constructions: Q4 FY23 (Consolidated, YoY) Revenue up 13% at Rs 1,245.3 crore Ebitda down 11.8% at Rs 245.97 crore Ebitda margin at 19.8% vs 25.3% Net profit up 5.8% at Rs 147.27 crore The company announced a final dividend of Rs 0.25 per share for the fiscal

NHPC: Q4 Cons Net Profit 6.43b Rupees Vs 4.67b (YoY); 6.72b (QoQ) Q4 Revenue 20.29b Rupees Vs 16.74b (YoY); 25.8b (QoQ) Co Recommended A Final Dividend Of 0.45 Rupees Per Equity Shares

Adani Transmission: Q4 FY23 (Consolidated, YoY) Revenue up 12.9% at Rs 3,357.7 crore Ebitda up 27.3% at Rs 1,203.2 crore Ebitda margin at 35.8% vs 31.8% Net profit up 85.5% at Rs 439.6 crore 

Speciality Restaurants: Q4 Sl Net Profit 549.2m Rupees Vs 43m (YoY); 150m (QoQ) Q4 Revenue 875m Rupees Vs 718m (YoY); 1.04b (QoQ) Co Has An Exceptional Item Of 83.9m Rupees || Co Recommended A Dividend Of 2.50 Rupees Per Share

Techno Electric & Engineering: Q4 Sl Net Profit 919m Rupees Vs 372.7m (YoY); 313m (QoQ) Q4 Revenue 4.5b Rupees Vs 3.05b (YoY); 1.85b (QoQ) Co Has Recommended Dividend Of 6 Rupees Per Share

Eureka Forbes: Q4 Cons Net Profit 159m Rupees Vs 45m (YoY); 69m (QoQ) || Q4 Revenue 5.08b Rupees Vs 3.74b (YoY); 4.72b (QoQ)

IRCTC: Q4 Sl Net Profit 2.79b Rupees Vs 2.14b (YoY); 2.6b (QoQ) Q4 Revenue 9.65b Rupees Vs 6.91b (YoY); 9.2b (QoQ) Co Recommended A Final Dividend Of 2 Rupees Per Equity Shares

Hikal: Q4 Cons Net Profit 360m Rupees Vs 207m (YoY); 264m (QoQ) Q4 Revenue 5.4b Rupees Vs 5b (YoY); 5.4b (QoQ) Co Has An Exceptional Item Of 258m Rupees || Co Recommended Final Dividend Of 0.60 Rupees Per Equity Share

ISGEC Heavy Engineering: Q4 Cons Net Profit 861m Rupees Vs 376m (YoY); 630m (QoQ) Q4 Revenue 20.43b Rupees Vs 15.96b (YoY); 15.9b (QoQ) Co Recommended A Final Dividend Of 3 Rupees Per Equity Share

Gujarat Industries Power : Q4 Sl Net Profit 651m Rupees Vs 547m (YoY); 341m (QoQ) Q4 Revenue 4.2b Rupees Vs 2.9b (YoY); 3.76b (QoQ) Co Recommended Dividend Of 3.75 Rupees Per Equity Share

News and Impact

News and Impact 

 

 

·      Expects market to open on a strong note on account of across the global markets rally after resolved on overhang US debt ceiling negotiation. Global equity markets welcome on US debt selling deal after White House and Republican negotiators reached a tentative agreement to raise the nation’s debt ceiling. As a result, Asian market, US Future gained between 1-2% boosted sentiment after the President Joe Biden and House Speaker Kevin McCarthy voiced confidence their tentative agreement will pass Congress, where it will be voted on as early as Wednesday. US market is shut today. Back home, SGX Nifty is up nearly 170 points or 1%. Strong FIIs inflow and IMD forecast of normal monsoon will be positive for the market sentiment. Moreover, impressive quarterly results, favourable government policy, stable oil price and strong macro data will help domestic market to touch near record high as the Nifty is just 2% or 380 points away from the record high. Strong participation by FPI during the month of May due to FPI investment hits 6-Month high in May. Expects positive for FMCG and Auto stocks on hope of good monsoon and ahead of auto monthly sales to be release this week. Beaten down metal stocks expected to be bounce back on account of favourable risk-reward and hope of improve global demand ahead of US debt ceiling negotiation. IT stocks expected to be positive after global IT major Index Nasdaq Composite surged to nearly 13-month high.

 

·      US Market - Equities rebounded sharply on Friday amid signs of progress on debt-ceiling negotiations, which offset a slew of economic data signaling additional interest-rate hikes could be coming. The S&P 500 Index climbed 1.3% in a broad-based rally. Nasdaq Composite climbed up by 2% while Dow Jones gained 1%. Investors bet Friday that the impasse over a debt ceiling

·      in Washington may be nearing an end, with Republican and White House negotiators reportedly moving closer to an agreement to raise the debt limit and cap federal spending for two years.

 

·      Global market summary – Global market gained after  the US Officials agree on tentative debt negotiation deal, US Volatility Index declined 7% on Friday. The deal reached late Saturday includes a two-year appropriations agreement that keeps non-defense spending roughly flat with current levels, a person familiar with the deal said, speaking on condition of anonymity. It also suspends the debt limit through January 2025 — after the next presidential election.

 

·      Asian Market – US stock futures and Asian equities advanced as appetite for risk taking returned to global markets following the deal between President Joe Biden and House Speaker Kevin

·      McCarthy on the US debt ceiling. Japan, Taiwan, South Korea and Australia Index gained 1% each.

 

·      European Market – European stocks jumped the most in two months on Friday as optimism increased about an agreement to end the US debt-ceiling impasse, while technology shares extended their rally. UK, Germany and France Index gained over 1% each.

 

·      Oil –  Oil prices rose 2% to $77/bbl Oil advanced after President Joe Biden and House Speaker Kevin McCarthy reached a tentative deal over the weekend on the US debt ceiling, likely averting a catastrophic default.

 

·      Gold –   Gold fell to the lowest in two months after revisions to US data pointed to the robustness of the economy, cementing bets on more monetary tightening this year.

 

·      Previous Day market Update – There was renewed buying in the Index heavyweight Reliance Industries, Hindustan Unilever, TCS, Maruti, Sun Pharma and HCL Tech that lifted Nifty nearly 1% to close nearly 18500 mark. IT, metal, FMCG, capital goods, mid-cap and small cap stocks were major gainers today. FMCG, Nifty mid-cap and small cap  sectors closed on all time high. Sentiment boosted after the IMD said that Southwest monsoon seasonal (June to September) rainfall over the country as a whole is most likely to be normal (96 to 104% of Long Period Average (LPA). impressive June series F&O roll over and continued FIIs buying interest also added fuel in the market. FIIs over Rs20000cr net buyers this month (May) while Nifty June rollover reported at 71% vs 3 months average at 70%. Signs of progress in US debt-ceiling talks, an advance in US and Asian equities and better than expected US Q1 GDP data and Jobless claim lifted global markets. Sensex jumped 629 points or 1 per cent to settle at 62,502. During the day while Nifty climbed 178 points or 1 per cent to end at 18,499. Previous day, both FIIs and DIIs were net buyers Rs350cr and Rs1841cr respectively

·      Nifty Technical Levels -  Nifty formed a Bullish candle on daily scale and gave the highest daily close of the last 110 sessions. Index has been witnessing buying interest at key levels which is keeping the overall momentum intact to commence the next leg of rally. It formed a Bullish candle on weekly frame and has been forming higher highs from the last nine weeks. Now it has to hold above 18442 zones, for an up move towards 18600 and 18888 zones while on the downside support exists at 18333 and 18281 zones.

·      Bank Nifty Technical Levels – Bank Nifty negated the formation of lower highs - lower lows on daily scale after two sessions and formed a Bullish candle. On weekly scale it formed a Bullish Pin Bar with long lower shadow as buying is visible at lower zones. Now it has to continue to hold above 43750 zones for an up move towards 44144 then 44500 zones while on the downside support exists at 43600 then 43500 zones.

 

·      Actionable BUY – Sun Pharma, Reliance Industries, Info Edge, Aurobindo Pharma, Mindtree. Tata Motor

 

·      Brokers Radar –  M&M – CLSA TGT at 1700, Morgan Stanley TGT at 1578, JP Morgan TGT at 1585. Morgan Stanley TGT on ONGC 218. Grasim – TGT by Morgan Stanley at 1910 and Jefferies TGT at 2105. Sun Pharma – Morgan Stanley TGT at 1170.

 

·      Results –   Adani Transmission, Allcargo, Hedielbag Cement, Hikal, Jindal Poly, IRCTC, Ipca Labs, ITI, Jindal Poly, Kovai Medical, Jub,ianl Pharmo, Lakshmi Mills, Monte Carlo, Nocil, Natco Pharma, OnMobile Global, Specialty Restaurant,  SML Isuzu, Star Paper, Torrent Power, TCNC Clothing,  RITES, PFC sign MoU to foster collaboration in Transport & Logistics and other infra sectors 

 

·      Corporate Action  ex-dividend - M&M Forging Rs6, Anand Rathi Wealth Rs7

 

·      Global Data – US market is shut today

 

·      Market Summary – General Atlantic and Advent closer to buying Everstone's Burger King stake, Baring EQT set to buy HDFC's education loan arm Credila for up to $1.5 billion, IMD Forecast normal monsoon this year, NCLAT directs NSE, BSE to review grant of NOC on Zee –Sony Merger, Sun Pharma, Aurobindo Pharma, Samvardhana Motherson, Global Health, Info Edge and JK Cement announced impressive Q4 results. ONGC announced lower than expected Q4 results. Gravita expands capacity of its Chittoor Plant. Sun Pharma to acquire Taro's 100% stake in all-cash

 

·      Baring Private Equity Asia (BPEA) EQT is set to acquire Credila Financial Services, the educational loan arm of Housing Development Finance Corp (HDFC), for $1.3-1.5 billion (Rs 10,000 crore-12,000 crore), trumping private equity rivals Carlyle, TA Associates, Blackstone and CVC Capital, among others, said people in the know. – ET Report – positive

 

·      Restaurant Brands Asia (RBA) - General Atlantic and Advent International are at an advanced stage in their bid to acquire private equity firm Everstone Capital's 40.9% stake in Restaurant Brands Asia (RBA), which operates fast-food chain Burger King in India, said executives aware of the matter.

 

·      Sun Pharma – Company  has offered to acquire the outstanding shareholding in its US subsidiary, Taro Pharma for around $300 million through a reverse triangular merger. In the all cash deal, Sun Pharma will acquire the shares at a price of US $38 per ordinary share, which will be payable in full at the close of the proposed transaction.

 

·      Focus on FMCG, Auto and Fertilizer stocks on ahead of normal monsoon - IMD said that Southwest monsoon seasonal (June to September) rainfall over the country as a whole is most likely to be normal (96 to 104% of Long Period Average (LPA). – expects Positive FMCG (HUL, Dabur India, Tata Consumers, Britannia), Auto (M&M, Escorts, Hero Motocorp, Maruti) and Fertilizer (GSFC, GNFC)

 

·      FPI investment Hits 6-Month High in May - Foreign investors have made a noteworthy investment in Indian equities, totaling Rs 37,316 crore from May 2 to May 26, 2023, marking the highest level of investment in six months.

 

·      Moody's changes Jaguar Land Rover's outlook to positive from stable; B1 ratings affirmed -  Moodyʼs Investors Service (Moodyʼs) has changed Jaguar Land Rover Automotive Plcʼs (JLR) outlook to positive from stable.- positive

 

·      Engineers India – Company’s order book at Rs4708cr as of March 31 – Positive

 

·      Zee Entertainment- Appellate tribunal set aside an order from a court in Mumbai that had asked exchanges to reconsider their approval of the company’s merger with Sony.  The National Company Law Appellate Tribunal said that the lower tribunal’s May 11 order was passed without adequate hearing from Zee – positive

 

·      Reliance - India’s biggest company Reliance Industries is seeking to dominate the country’s $10bn online domestic fashion market, striking a deal with Shein that will allow the rapidly growing Chinese retailer to return to the world’s most populous nation. – positive

 

·      Adani Green – Company commissions 130MW wind power plant at Kutchh. Company’s operational wind generation capacity crosses 1GW.

 

·      Mphasis – Company announced its strategic partnership with Kore.ai, the world’s leading enterprise conversational AI platform and solutions company, to bolster its offerings to transform customer experience management and employee engagement for their enterprise clients. - positive

 

·      BHEL – Company names Jai Prakash Srivastava as CFO – Positive 

 

·      Aurobindo Pharma has received the final approval from the U.S. FDA) to manufacture and market Carboprost Tromethamine Injection USP 250 mcg/mL, single-dose vials – positive

 

·      Dalmia Cement: Subsidiary Dalmia Cement (North East) has approved capital expenditure to the tune of Rs 3,642 crore for setting up new clinkerisation unit of 3.6 MTPA at Umrangso unit, and new cement grinding unit of 2.4 MTPA at Lanka unit. The said capex will be funded via a mix of debt, equity & internal accruals and the proposed capacity is expected to be added by FY25-26.- positive

 

·      Adani Wilmar said it has entered into the whole wheat category with its brand Fortune. The company guarantees to provide premium wheat seed varieties such as Sharbati, Poorna 1544, Lokwan, and MP Grade 1. It aims to consistently increase market share and expand into high-value metro markets such as New Delhi, Mumbai, Pune, Surat and Ahmedabad.

 

·      Aster DM Healthcare -Board is in the process of reviewing proposals from potential buyers for the sale of ‘Gulf Co-operation Council' (GCC) region business. The binding bids are likely to be received by end of June quarter of financial year 2023-2024. Disclosures will be made subject to board's approval. GCC revenue for the said quarter includes Covid testing and vaccination income of six crore rupees, as compared to Rs 217 crore in the same period of the previous fiscal. – Long term positive.

 

·      Ethos: Subsidiary Silvercity Brands AG has acquired 100% stake in Swiss-based Favre Leuba GmbH. Now Favre Leuba GmbH has become the wholly owned subsidiary of the Silvercity Brands AG and thereby, step - down subsidiary of Ethos with immediate effect. - positive

 

·      RITES and PFC – Company has signed a MoU with PFC to explore avenues of mutual collaboration for consultancy works in sectors such as Transport & Logistics, Energy, Water & Sanitation, Communication, Social and Commercial Infrastructure. As part of the MoU, RITES will provide expertise for Pre-Feasibility Reports, Detailed Project Reports, Transaction Advisory, Project Management services, Audits, and Inspection, where PFC and its subsidiaries propose to provide financial assistance for infrastructure projects in India and abroad. – positive

 

·      Alfa Transformers – Company has been awarded 500 KVA LINE VOLTAGE REGULATING TRANSFORMERS orders from TATA POWER – positive

 

·      Gravita India - Company has increased capacity of its existing recycling unit situated at Chittoor, Andhra Pradesh ("Facility"). The existing capacity of said unit for Battery recycling has been increased by 26,440 MTPA bringing the total capacity of Battery recycling of this unit to 64,640 MTPA. – Positive

 

·      Praveg Ltd forms subsidiary in Tanzania, subsidiary is incorporated to carry on the business of Tourism, Hospitality and to do all other allied and incidental activities in this regard.- positive

 

·      Ward Wizard Ltd – Company has launched five new delectable items to its already impressive menu at all of its outlets. The new menu includes a variety of delicious and mouth-watering dishes that are sure to tantalize the taste buds of foodies across the country.

 

·      IPO-bound Yudiz Solutions - A blockchain, AI, and gaming focussed enterprise technology company has received an NSE approval for an SME IPO. With this approval, the company is set to invest approx Rs8cr to set up a gaming studio and a multi-gaming platform. The game studio will aim to produce over 40 games in a year.

 

·      Reliance Industries: Step-down FMCG subsidiary Reliance Consumer Products completed the acquisition of a 51% controlling stake in Lotus Chocolates for an aggregate consideration of Rs 74 crore and subscribed to non-cumulative redeemable preference shares of the company for Rs 25 crore.

 

·      Dividend  - Grasim Rs10, Info Edge Rs9,  M&M 16.25, dividend Rs9, Grasim Rs10, Finolex Cable Rs7. Chambel Fertilizer Rs3, HUDCO Rs3.10, Bharat Bijlee Rs40, Styrenix Performance Rs24, Repco Home Rs2.70, Alphageo Rs8, Sal Automotive Rs4, Garware Hi-Tech Rs10, Finolex Cable Rs7, Nucleus Software Rs10, Ambika Cotton Rs35, BEML Rs5

 

·      BHEL announced Q4 net profit Rs611cr (down 33% YoY), Ebitda Rs1098cr (down 13.7% YoY), and Income Rs8062cr (down 2% YoY)

 

·      Engineers India announced impressive Q4 results. Company reported Q4 net profit Rs190.8cr (down 140.33% YoY), Ebitda Rs211.8cr (up 39% YoY), and Income Rs880.10cr (up 7.6% YoY)

 

·      Nucleus Software Q4 Income Rs206.2cr (up 22% QoQ), Ebitda Margin at 40.2% vs 28.3% (QoQ), Ebitda Rs82.8cr (up 72.9% QoQ) and net profit Rs67.6cr (up 72% QoQ)

 

·      KPI Green Q4 Income Rs182.4cr (up 183% YoY) and net profit Rs31.7cr (up 217% YoY)

 

·      Finolex Cable Q4 net profit Rs175cr (down 22% YoY), Ebitda Rs145.7cr (up 21.7% YoY) and income Rs1224cr (up 3.2% YoY)

 

·      Samvardhana Motherson announced better than expected Q4 results. Company reported Q4 Income Rs22476cr (up 31% YoY) – Expectation Rs21525cr, Ebitda Margin at 9% vs 7.3% (YoY) – expectation 7.7%, Ebitda Rs2020.7cr (up 59.7% YoY) – expectation Rs1647.9cr and net profit Rs654cr (up 436% YoY) – expectation Rs458.5cr

 

·      Infoedge announced strong Q4 results.  Q4 Income Rs604.7cr (up 1.6% QoQ) – Expectation Rs559cr, Ebitda Rs220.3cr (down 1.7% QoQ) – expectation Rs205cr, Ebitda margin flat at 39% (QoQ) – Expectation 36.5% and net profit 178.9cr vs loss Rs84.3cr – expectation Rs180cr

 

·      M&M Q4 Income Rs22571.4cr (up 31% YoY) – Expectation Rs22229.8cr, One time loss Rs512cr vs gain Rs125cr, other Income Rs334cr (up 45% YoY) – Expectation Rs213.1cr, Ebitda Margin at 12.4% vs 11.2% (YoY) – expectation 12.4%, Ebitda Rs2797.4cr (up 44.5% YoY) – expectation Rs2760.5cr, raw materials cost Rs16758cr (up 38% YoY) and net profit Rs1549cr (up 221% YoY) – expectation Rs1576.2cr

 

·      Grasim Q4 Income Rs6645.8cr (up 4.2% YoY) – Expectation Rs6250cr, Ebitda Margin at 6.4% vs 11.8% (YoY) – expectation 11.5%, Ebitda Rs426cr (down up 43.4% YoY) – expectation Rs720cr and net profit Rs93.5cr (down 88.5% YoY) – expectation Rs320cr

 

·      Sundaram Finance Q4 net profit Rs433.2cr (up 27.4% YoY) and Income Rs1483.6cr (up 16.7% YoY)

 

·      Sun Pharma Net profit Rs1984.5cr (up 25.4% YoY) – Expectation Rs2100cr, Ebitda Margin at 25.6% vs 24.8% (YoY) – expectation 25.8%, Ebitda Rs2803cr (up 19.7% YoY) – expectation Rs2886.7cr and Income Rs10930.6cr (up 15.7% YoY) – expectation Rs11188.6cr

 

·      Global Healthcare announced strong quarterly results and Ebitda margin. Company reported Q4 Net profit Rs101.3cr (up 477.6% YoY), Ebitda Rs165.9cr (up 112.2% YoY), Ebitda margin 23.6% vs 15% (YoY) and Income Rs703.4cr (up 35.2% YoY)

 

·      Aurobindo Pharma announced better than expected Ebitda and Ebitda margin. Company reported Q4 Net profit Rs505.7cr (down 10.3% YoY) – expectation Rs493.1cr, Ebitda Rs1002.2cr (up 2.9% YoY) – expectation Rs945.9cr, Ebitda margin 15.5% vs 16.8% (YoY) – expectation 15.5% and Income Rs6473cr (up 11.4% YoY) – expectation Rs6321.1cr

 

·      JK Cement Ebitda in line with expectation and Ebitda/pt in line with expectation. Company reported Q4 consolidated EBITDA/t at Rs748 (estimates Rs753).  Net profit Rs122.1cr (down 38.1% YoY) – expectation Rs135.6cr, Ebitda Rs349.5cr (up 9% YoY) – expectation Rs339.2cr, Ebitda margin 12.6% vs 16.2% (YoY) – expectation 13% and Income Rs2777.9cr (up 18.1% YoY) – expectation Rs2606.4cr

 

·      Indigo Paints announced in line with expected income while reported  better than expected Ebitda margin. Company reported Q4 Net profit Rs48.7cr (up 40.7% YoY) – expectation Rs34.9cr, Ebitda Rs71.7cr (up33.4% YoY) – expectation Rs51.5cr, Ebitda margin 22% vs 18.60% (YoY) – expectation 16.2% and Income Rs325.5cr (up 12.9% YoY) – expectation Rs317.6cr

 

·      ONGC announced lower than expected Ebitda due to higher other expense . Company reported Q4 Net loss Rs250cr vs profit Rs8860cr (YoY) while adjusted profit Rs2090cr – expectation Rs10930cr, Exceptional items Rs9240cr  (due to on-going dispute regarding applicability of service tax and GST on Royalty), Ebitda Rs16340cr  (down 20% YoY) – expectation Rs20960cr, other expenses Rs8960cr vs 4540cr (QoQ) – adjusted exceptional loss Rs9240cr, Ebitda margin 22% vs 18.60% (YoY) – expectation 16.2% and Income Rs36290cr (up 5% YoY) – expectation Rs38060cr

 

NIFTYVIEW

 *NIFTYVIEW*

🎯 NIFTY likely to *open or Around 18578-18614*

🎯 NIFTY is likely to see *RESISTANCE or around 18633-18696-18729*

🎯 NIFTY KEY *SUPPORT lies 18529-18459-18338*

 

🎯Fellas *Nifty is now approaching towards 19000 as it is likely to give good gap up opening following fabulous closing on Friday Bulls are likely to roam DalaalStreet & is likely to test 18700 today itselfAs of now 18200 becomes crucial support BankNifty is likely to head for 45800 this week Use all dips to add longs NiftyAuto is likely to show resistance or around 18200-18300 kind of levels this week NiftyIT is likely to continue its outperformance  As it is likely to test 30450 this week DowFutures once gives any close above 33300 we may get to see 34000+ kind of levels this week

Fellas *USDINR may positionally test 82

Stock on radar HDFC

*🟢Disclaimer: Our clients may or may not have interest in the above stock🙏*

Market Indication

Market Indication:

Global:  POSITIVE

NIFTY: POSITIVE

BANKNIFTY:  POSITIVE

BULK Deals: PB Fintech etc.

Stocks In F&O Ban Period: Nil

Results Today: Ipca Laboratories, Indian Railway Catering and Tourism Corporation, Adani Transmission, Allcargo Logistics, Ansal Housing, Bajaj Hindusthan Sugar, Campus Activewear, Force Motors, HeidelbergCement India, Hikal, ITI, Jubilant Pharmova, KNR Constructions, Natco Pharma, NBCC (India), NHPC, The New India Assurance Company, Rail Vikas Nigam, Shriram Properties, Sobha, Speciality Restaurants, TCNS Clothing, Torrent Power, Vadilal Industries, Vijaya Diagnostic Centre, and Zee Media Corporation

SGX NIFTY:  (Positive)

18716     +168.00    +0.91%

STOCKS IN ACTION 29 MAY

STOCKS IN ACTION 29 MAY 

Reliance Industries: Reliance Consumer Product, the FMCG arm of the company, partnered with U.S.-based General Mills to launch international corn chips snacks brand Alan’s Bugles in India.

Tata Motors: Moody’s Investor Service changed outlook for the company to positive from outlook over robust credit metrics and affirmed its B1 rating.

Central Bank of India: RBI imposed a penalty of Rs 84.50 lakh on Central Bank of India for failing to report certain accounts as fraud and recovering SMS alert charges from customers on flat basis.

HDFC: Market regulator SEBI has granted final approval for the proposed change in control of HDFC Capital Advisers in its capacity of an investment manager of the HCARE Funds and investment manager cum sponsor of HDFC Build Tech Fund.

Lupin: The company received approval from Health Canada to market generic version of tiotropium bromide inhalation powder under the name Spiriva for treatment of chronic obstructive pulmonary disease in Canada.

Godrej Properties: The company increased stake in Wonder City Buildcon to 100% from 74%, acquiring 2.9 crore shares (26% of overall shareholding) for Rs 45.13 lakh.

RITES/Power Finance Corporation: RITES and Power Finance Corporation signed an MoU to explore avenues of mutual collaboration for consultancy works in transport and logistics, energy, water and sanitation, communication, social and commercial infrastructure.

GAIL/Axis Bank: GAIL (India) has partnered with Axis Bank to digitise bank guarantees under Society for Worldwide Interbank Financial Telecommunication

NCC: appoints Sanjay Pusarla as Chief Financial Officer w.e.f. June 1

Ion Exchange (India) Q4 Result

Ion Exchange (India) Q4 Result 

Net profit down 1.7% at Rs 81.7 cr Vs Rs 83.1 cr (YoY)

Revenue up 30.4% at Rs 647.5 cr Vs Rs 496.4 cr (YoY)

EBITDA up 12% at Rs 106.4 cr Vs Rs 95 cr (YoY)

EBITDA Margin at 16.4% Vs 19.1% (YoY)

*Board recommends a #dividend of Rs 12.50/share for #FY23*

GODFREY PHILLIPS INDIA Q4 RESULTS

GODFREY PHILLIPS INDIA Q4 Result 

NET PROFIT RUPEES 1.47B VS 1.03B (YOY); 1.99B (QOQ) 

REVENUE RUPEES 9.6B VS 8.5B (YOY); 11B (QOQ)

 EBITDA RUPEES 1.52B VS 1.6B (YOY) 

EBITDA MARGIN 15.61% VS 19.21% (YOY)

*CO APPROVED DIVIDEND OF 44 RUPEES PER SHARE*

LUMAX INDUSTRIES Q4 RESULTS

LUMAX INDUSTRIES Q4 Result 

NET PROFIT 207M RUPEES VS 285M (YOY); 295M (QOQ) 

EBITDA 489M RUPEES VS 574M (YOY) 

EBITDA MARGIN 8.04% VS 10.46% (YOY)

*CO APPROVED DIVIDEND OF 27 RUPEES PER SHARE*

KARNATAKA BANK Q4 Result

KARNATAKA BANK Q4 Result 

NET PROFIT 3.54B RUPEES VS 1.3B (YOY); 3.01B (QOQ)

INTEREST EARNED 19.69B RUPEES VS  15.79B (YOY);  18.51B (QOQ) 

PROVISIONS 2.53B RUPEES VS 1.65B (QOQ) 

GNPA 3.74% VS 3.28% (QOQ)

NNPA 1.70% VS 1.66% (QOQ)

*CO RECOMMENDED A DIVIDEND OF 5 RUPEES PER EQUITY SHARES*

Lakshmi Machine Works Q4 Result

Lakshmi Machine Works Q4 Result 

Net profit up 13.74% at Rs 94.1 crore 

Revenue up 30.5% at Rs 1,303.04 crore 

Ebitda up 30.44% at Rs 118.26 crore 

Ebitda margin at 9.08% vs 9.08% 

*The company announced dividend of Rs 98.50 per share.*

STOCKS IN ACTION 25 May

STOCKS IN ACTION 25 May

Shreyas Shipping And Logistics: Board Provided Its Consent To The Delisting Proposal 

Floor Price Of The Delisting Offer Is Rupees 292 Per Share

J.B.Chemicals& Pharmaceuticals: Approved Sub-Division/Split Of Existing Equity Shares 

Split Of Shares Of Face Value 2 Rupees To Shares Of Face Value 1 Rupees

B L Kashyap and Sons bags an order worth Rs 132 cr

Garden Reach Shipbuilders: Entered Into A Contract With Indian Navy 

Order At A Cost Of 2.49b Rupees

Tata Motors: Jaguar Land Rover To Pick UK Over Spain For Giant Car Battery Plant - BBC

Wipro Engineering Edge partners with SpartanRadar to enhance assisted & automated driving solutions on its Cloud car platform

Adani Ports and Special Economic Zone: The company will make long-term investment of $10 billion in Vietnam, including $3 billion in ports and wind and solar power projects.

HDFC AMC gets final nod from Sebi for change in control due to merger

Gujarat Gas cuts industrial gas price to Rs 38.43/scm from June 1

SAIL: Boardmeet Today 

Along with results board to consider final dividend for FY’23

MAHINDRA CIE AUTOMOTIVE: Large Trade

MAHINDRA & MAHINDRA LIMITED

Sold 1,21,22,068 Shares @ Rs 447.65/ Share

Market Indication

Market Indication:

Global: FLAT to NEGATIVE

NIFTY: FLAT to NEGATIVE

BANKNIFTY: FLAT to NEGATIVE

BULK Deals: Salzer Electronics, Safari Industries, Mahindra CIE Automative etc.

Stocks In F&O Ban Period: Delta Corp, Indiabulls Housing Finance

Results Today: Zee Entertainment Enterprises, AIA Engineering, Aster DM Healthcare, Bharat Dynamics, Dredging Corporation of India, eClerx Services, Emami, General Insurance Corporation of India, GMM Pfaudler, Gujarat State Fertilizers & Chemicals, Vodafone Idea, Indian Energy Exchange, Infibeam Avenues, Indian Railway Finance Corporation, ITD Cementation, Kolte-Patil Developers, Max India, Mishra Dhatu Nigam, Page Industries, Radico Khaitan, Steel Authority of India, Shilpa Medicare, Strides Pharma Science, Triveni Engineering, and TTK Prestige

SGX NIFTY: (Negative)

18245 -38.50 -0.21%