My Newsfeed

Trendlyne Marketwatch
Trendlyne Marketwatch
29 May 2023
Market closes higher, GMR Airports Infrastructure's Q4 loss nearly triples to Rs 636.7 crore

Trendlyne Analysis

Nifty 50 closed at 18,598.65 (99.3, 0.5%), BSE Sensex closed at 62,846.38 (344.7, 0.6%) while the broader Nifty 500 closed at 15,772.35 (75.6, 0.5%). Of the 1,999 stocks traded today, 1,035 were in the positive territory and 887 were negative.

Indian indices maintain gains from the morning session and closed in the green with the Nifty 50 hovering around the 18,600 mark. The volatility index, Nifty VIX, rose above 12 at the close. India is now the fifth largest stock market with a market capitalization of USD 3.3 trillion.

Nifty Smallcap 100 and Nifty Midcap 100 closed higher, following the benchmark index. The Nifty Bank index closed at an all-time high. Nifty IT closed lower, despite the tech-heavy Nasdaq 100 closing in the green on Friday. According to Trendlyne’s sector dashboard, coal was the top-performing sector of the day as it rose over 1.92%.

Most European indices trade flat except for Switzerland’s Swiss Market Index, which traded in the green. US indices will remain closed today on account of Memorial Day. US Federal Bank is expected to shore up capital from the current holding of USD 50 billion to USD 500 - 600 billion as the debt ceiling for the government is removed until January 2025.

  • Relative strength index (RSI) indicates that stocks like Indigo Paints, CG Power and Industrial Solutions, Dixon Technologies (India) and Intellect Design Arena are in the overbought zone.

  • Natco Pharmarises as it returns to profitability in Q4FY23 with a net profit of Rs 275.8 crore, compared to a loss of Rs 50.5 crore in Q4FY22. Profitability improves as the cost of raw materials declines. Revenue rises 50.5% YoY on the back of robust growth in the US market.

  • Adani Enterprises, Varun Beverages, Tube Investments, Patanjali Foods and Linde India outperform the Nifty 500 index over a 5-year period.

  • Vartika Shukla, Managing Director of Engineers India, expects an increase in order inflow from the consultancy business in FY24, and its revenue contribution to rise to around 50% from the current 43%.

  • Ipca Laboratories’ Q4FY23 net profit declines 41.2% YoY to Rs 76.5 crore due to rising inventory costs and employee expenses. The firm’s revenue rises 17.3% YoY driven by healthy growth in exports and India formulations business. The company shows up in a screener for stocks with medium to low Trendlyne momentum scores.

  • Godfrey Phillips falls despite a 41.8% YoY growth in its Q4FY23 net profit to Rs 147.1 crore. Its revenue also rises 16% YoY, driven by robust growth in sales of retail & related products and cigarette, tobacco & related products. It appears in a screener of stocks with RSI indicating price strength.

  • Auto tyres manufacturers such as Balkrishna Industries, Ceat, MRF and Goodyear India are falling in trade. The broader Auto tyres & rubber products industry is also trading in the red.

  • GMR Airports Infrastructure plunges over 10% as its Q4FY23 net loss almost triples to Rs 636.7 crore. The increase in net loss is attributed to revenue share paid to concessionaire grantors and higher employee benefits and finance costs. However, revenue grows 44.3% YoY to Rs 2,001.9 crore, backed by improved domestic and international passenger traffic at its airports.

  • City Union Bank is falling despite its Q4FY23 standalone net profit rising 4.4% YoY to Rs 218 crore and net interest income growing by 2.7% YoY. Its asset quality also improves as its net and gross NPAs fall by 59 bps and 33 bps YoY respectively. But the bank missed Trendlyne Forecaster’s net profit estimates by 7%.

  • Goldman Sachs maintains its ‘Sell’ rating on Bharat Heavy Electricals with a target price of Rs 34. The brokerage says the company’s Q4 results have been a mixed bag with revenue below its estimates.

  • ICICI Securities upgrades its rating on Steel Authority of India (SAIL) to ‘Add’ from ‘Sell’ and increases the target price to Rs 92 from Rs 77. This implies an upside of 8.8%. The brokerage's outlook improves as it expects SAIL to benefit from lower coking coal prices and increasing sales volumes in the coming quarters. It expects the company’s net profit to grow at a CAGR of 43.3% over FY23-25.

  • Chambal Fertilisers & Chemicals is falling as its Q4FY23 consolidated net profit decreases 61.4% YoY to Rs 94.1 crore due to an increase in inventory costs. However, its revenue rises 9.3% YoY. It appears in a screener for stocks with low durability.

  • The sectoral index Nifty Bank is trading in the green and hits an all-time high. Banking stocks like HDFC Bank, ICICI Bank, State Bank of India and Kotak Mahindra Bank are rising in trade.

  • Aurobindo Pharma is falling as its Q4FY23 net profit decreases 34% YoY to Rs 519.3 crore due to higher raw material expenses. However, its revenue rises 12.8% YoY on the back of robust growth in the US and Europe formulation and active pharmaceutical ingredients (API) segments. It appears in a screener of stocks with promoters increasing pledged shares QoQ.

  • Saurabh Mittal, MD and CEO of Greenlam Industries, says the company's peak revenue potential is around Rs 3,500-3,600 crore. He anticipates a growth rate of 20-25% for Greenlam's revenue in FY24.

  • Karnataka Bank is rising as its Q4FY23 standalone net profit surges 171.4% YoY to Rs 353.8 crore due to lower tax expenses. Its revenue increases 28.8% YoY on the back of robust growth in the retail banking segment. It appears in a screener for companies with consistently high returns over five years in Nifty 500.

  • Financial services stocks like ICICI Lombard General Insurance, Power Finance Corp and REC are rising in trade. All constituents of the broader Nifty Financial Services index are also trading in the green.

  • Metal stocks like Hindalco Industries, Steel Authority of India, National Aluminium Company, Jindal Steel & Power and Tata Steelare rising in trade. The broader sectoral index BSE Metal is also trading in the green.

  • Ahluwalia Contracts touches its all-time high of Rs 617.6 as its net profit surges 70.4% YoY to Rs 72.2 crore in Q4FY23. Revenue grows by 18.1% YoY to Rs 863.1 crore backed by growth in contract work and property investments. It appears in a screener for top price gainers since market open.

  • Tencent Cloud Europe BV, a foreign direct investor, sells a 2.1% stake in PB Fintech in a bulk deal on Friday.

  • Reports suggest that 37.4 lakh shares (0.2% equity) of Ambuja Cements, amounting to Rs 159 crore, change hands in a large trade.

  • Sunteck Realty is falling as its Q4FY23 consolidated net profit drops 547.7% YoY to Rs 27.9 crore due to higher construction, development and inventory costs. Its revenue also dips 65.4% YoY and appears in a screener of stocks with declining revenue and profits.

  • Bharat Heavy Electricals is rising despite its Q4FY23 consolidated net profit falling 33.1% YoY to Rs 611 crore due to a rise in raw material and finance costs. However, the firm's revenue rises by 1.9% YoY. It appears in a screener for companies with high momentum scores.

  • Clean Science & Technology is falling as reports suggest that 3.95% of the company's equity, amounting to Rs 594 crore, change hands in a large trade.

  • Balkrishna Industries falls as its net profit decreases by 30.9% YoY to Rs 259.8 crore in Q4FY23 due to increased inventory expenses. Its revenue also dips by 4% YoY on the back of a reduction in net sales in Q4FY23. It appears in a screener of stocks with reduced MF holdings in the past quarter.

  • Sun Pharmaceuticals falls despite its net profit rising to Rs 1837.8 crore in Q4FY23, compared to a net loss of Rs 1996.5 crore in Q4FY22, due to a reduction in raw material expenses. Its revenue increases by 18.2% YoY, driven by robust growth in India and US formulation sales and global specialty sales. It appears in a screener of stocks representing top Indian listed exporter companies.

  • Oil & Natural Gas Corp's net profit plunges 64.8% YoY to Rs 3,715.5 crore in Q4FY23. Revenue increases 5.2% YoY, while EBITDA margin decreases by 354 bps YoY due to a rise in raw materials, finance, employee benefits, and exploration costs. The company features in a screener of stocks that released their results in the past week, showing a decline in net profit YoY or QoQ.

Riding High:

Largecap and midcap gainers today include ICICI Lombard General Insurance Company Ltd. (1,190.95, 8.27%), Macrotech Developers Ltd. (1,060.30, 3.93%) and Mahindra & Mahindra Ltd. (1,330.15, 3.77%).

Downers:

Largecap and midcap losers today include Balkrishna Industries Ltd. (2,280.50, -7.64%), Adani Total Gas Ltd. (729.20, -4.14%) and Bosch Ltd. (18,329.00, -3.23%).

Movers and Shakers

33 stocks in BSE 500 are trading on high volumes today.

Top high volume gainers on BSE included Mahindra Lifespace Developers Ltd. (440.05, 8.32%), ICICI Lombard General Insurance Company Ltd. (1,190.95, 8.27%) and Bharat Heavy Electricals Ltd. (83.00, 5.13%).

Top high volume losers on BSE were Greaves Cotton Ltd. (133.05, -10.28%), GMR Airports Infrastructure Ltd. (40.55, -9.89%) and City Union Bank Ltd. (125.65, -9.86%).

Clean Science & Technology Ltd. (1428.70, -0.39%) was trading at 129.1 times of weekly average. Natco Pharma Ltd. (633.10, 0.52%) and Prince Pipes & Fittings Ltd. (637.30, 4.42%) were trading with volumes 12.9 and 7.8 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

23 stocks overperformed with 52-week highs,

Stocks touching their year highs included - Apollo Tyres Ltd. (392.30, -0.05%), Crisil Ltd. (3,722.15, 0.55%) and Cummins India Ltd. (1,744.05, 0.52%).

24 stocks climbed above their 200 day SMA including ICICI Lombard General Insurance Company Ltd. (1,190.95, 8.27%) and Macrotech Developers Ltd. (1,060.30, 3.93%). 3 stocks slipped below their 200 SMA including Greaves Cotton Ltd. (133.05, -10.28%) and JK Lakshmi Cement Ltd. (667.75, -2.24%).

 
logo
The Baseline
26 May 2023
Five Interesting Stocks Today
  1. Deepak Nitrite: This chemical manufacturer rose by 9.5% in trade on Wednesday, marking its highest single-day gain in over 26 months. This uptrend follows the company’s announcement that its subsidiary, Deepak Chem Tech, has signed an MoU with the Gujarat Government to invest around Rs 5,000 crore in the state over the next four years. The company plans to manufacture specialty chemicals like phenol, acetone and bisphenol in Dahej and Nandesari, Gujarat.

    This sharp surge in the stock price comes despite the company’s subdued performance in Q4FY23. Its net profit has fallen 12.5% YoY to Rs 233.9 crore due to high input costs. Its revenue marginally increased by 4.8% YoY in Q4. However, it beat Trendlyne’s Forecaster profit estimates by 5.8%. The stock also shows up in a screener for companies with increasing net cash flows over the past two years.

    Going forward, the company plans to become the largest producer of solvents, as it believes this will help it benefit from import substitution. To achieve this goal, the management is aggressively expanding the firm’s production capacity. However, the expansion plans have encountered project delays, with the management announcing a delay in three of its projects. This includes the debottlenecking of its phenol plant, which was supposed to be commissioned in Q4FY23. It has now been delayed to Q1FY24. Similarly, the commissioning of its methyl isobutyl ketone (MIKB) and methyl isobutyl carbinol (MIBC) plants has been delayed by one quarter to Q1FY25. Only the commissioning of its photo chlorination and fluorination units seems to be on track.
  2. EIH: This hotel company rose 7.5% on May 18 and touched its 52-week high of Rs 218.5 per share as it posted a 5.7x growth in net profit to Rs 84.4 crore in Q4FY23. Revenue has shot up 111.7% YoY to Rs 637.1 crore, driven by industry-leading revenue per available room (RevPAR) of Rs 15,284. This growth has exceeded Trendlyne’s Forecaster estimates by 20.7% for revenue and 6.4% for net profit.

The company’s net cash flow turned positive for the first time in the past five quarters, owing to a reduction in debt. This has helped the company show up in a screener of stocks with improving return on capital employed (RoCE) in the past two years. EIH also leads the industry in RevPAR and average room rate (ARR), demonstrating its ability to command a premium.

MD and CEO Vikram Oberoi, expects further growth in occupancy levels and ARR, backed by strong domestic demand and the recovery of foreign occupancy in the winter season.

According to ICICI Direct, profitability is expected to remain healthy due to strong ARR and occupancy levels, particularly in key cities like Mumbai and Delhi with consistent demand. The broker has upgraded its rating on the hotel company to ‘Buy’ from ‘Hold’ with a target price of Rs 240, implying a potential upside of 18%.

  1. Dixon Technologies: This consumer electronics company has risen 10% since announcing its results on Tuesday evening and 20.6% over the past week till Friday. Its PE ratio is 85.3 (above the industry median), but it is trading below its 3 and 5-year historical PE averages. In Q4FY23, its net profit increased by 28.1% YoY to Rs 80.6 crore, while its revenue grew by 3.8% YoY. It beat Trendlyne Forecaster’s revenue and profit estimates by 1.5% and 9.6% respectively. The firm also shows up in a screener for companies with improving cash flows and high durability scores. 

This healthy Q4 performance was led by growth in home appliances and mobile business verticals. An increase in revenue contribution from original design manufacturers (ODM) has aided in margin improvement. Its EBITDA margin expanded by 110 bps YoY to 5.1%. But the growth in the white goods and lightning segments was subdued due to weak demand. 

Despite the healthy performance in Q4 and the stock’s uptrend, analysts’ views on the company’s prospects differ. While BoB Capital Markets maintains a ‘Buy’ rating on the firm due to its dominant position in the electronics manufacturing space and growing revenue contribution from the ODMs, ICICI Securities maintains its pessimistic outlook toward the company. It believes weakness in demand for white goods and durables will impact revenue growth in the near term.

The management expects to deliver ‘industry-leading’ growth in FY24 on the back of its robust order book, new client additions, and increasing production capacity. It expects further expansion of the EBITDA margin in FY24 given the increasing contribution from the ODM business and its backward integration efforts. 

  1. Aditya Birla Fashion & Retail (ABFRL): This retailing company hit a new 52-week low on Tuesday after reporting a net loss of Rs 187 crore in Q4FY23, compared to a net profit of Rs 43.6 crore in Q4FY22. This was due to an increase in expenses, which offset the demand for its apparel and lifestyle products. The company features in a screener of stocks with declining profits for the past three quarters. However, its revenue has increased by 26.2% YoY, beating Trendlyne’s Forecaster estimates by 3.9%. 

The company’s management states that the overall demand continues to be weak in the value and premium categories, which could likely affect the SSSG (same-store sales growth) and new store additions, especially for Pantaloons. Jagdish Bajaj, Managing Director, said, “The performance in metro cities continued to remain strong, but sales in Tier-2 and Tier-3 cities remained sluggish as inflationary pressures and weak consumer sentiments impacted demand.”

On the bright side, the Lifestyle brand posted its highest-ever Q4 revenue of Rs 1,535 crore, led by robust retail and strong e-commerce performance, while the Pantaloons segment has grown by 18% YoY, with an SSSG of 13% during the quarter.

Following the company’s results, ICICI Securities has downgraded its rating to ‘Add’ from ‘Buy’ and lowered the target price to Rs 220. The brokerage expects increased competitive intensity from online/offline players and a slower improvement in the profitability of emerging business. As a result, the company features in a screener of stocks where brokers have downgraded the target price or recommendation in the past month. 

  1. Narayana Hrudayalaya: This healthcare facilities provider has risen 9.3% until Friday after posting results on Monday. It also touched its new all-time high of Rs 880.8 on Wednesday. In Q4FY23, Narayana Hrudayalaya’s profit rose 151.2% YoY to Rs 173.1 crore, while its revenue increased by 30.1% YoY. It beat Trendlyne’s net profit Forecaster estimate by 11.5%. The company’s YoY profit growth also beat its industry’s profit growth of 41.4% YoY. The multispeciality private hospital appears in a screener for stocks with growth in quarterly profit and profit margin. 

According to Emmanuel Rupert, Managing Director and Group CEO, Narayana Hrudayalaya achieved its highest-ever revenue and profitability due to a rise in patient footfalls, along with improvements in the specialty and payor mix. He added, “The performance improvement is supported by the growth in business across our flagship units, other hospitals, and newer hospitals, in addition to the increased contribution of international patients.” The average revenue per occupied bed has increased by 11% YoY to Rs 36,986 per day.

The management expects the India business to grow at the current pace and has guided an aggressive capex of Rs 1,100 crore for FY24.

ICICI Direct maintains a ‘Buy’ call on the healthcare facilities provider on the back of improved occupancy levels, ramp-up in new hospitals, and consistent performance at the Cayman Islands facility. According to Trendlyne’s Forecaster, the company has a consensus recommendation of ‘Strong Buy’ from nine analysts, of which five are ‘Strong Buy’, three ‘Buy’ and one ‘Hold’.

Trendlyne's analysts identify stocks that are seeing interesting price movements, analyst calls, or new developments. These are not buy recommendations.

 
Trendlyne Marketwatch
Trendlyne Marketwatch
26 May 2023
Market closes higher, Mahindra & Mahindra's Q4 profit rises by 17.8% YoY to Rs 2,636.7 crore
Trendlyne Analysis

Nifty 50 closed at 18,499.35 (178.2, 1.0%), BSE Sensex closed at 62,501.69 (629.1, 1.0%) while the broader Nifty 500 closed at 15,696.75 (141.5, 0.9%). Of the 1,947 stocks traded today, 1,045 were gainers and 843 were losers.




Indian indices closed in the green, with the Nifty 50 closing just below the 18,500 mark. Indian volatility index, Nifty VIX, fell by around 5%. MedPlus Health Services rose almost 17.9% as its Q4 net profit jumped 127% YoY to Rs 27 crore.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the green, following the benchmark index. Nifty PSU Bank and Nifty Media closed sharply above their Thursday’s close. According to Trendlyne’s sector dashboard, Textiles, Apparels & Accessories was the top-performing sector of the day.

Major European indices traded in the red after opening in the green, on a volatile day of trade. However, Asian indices closed in the green, except for China’s Shanghai SE Composite Index, which closed lower. US indices futures traded flat as investors keep an eye on the US debt ceiling talk developments. Brent crude oil futures traded higher after falling nearly 2.7% on Thursday.






































Money flow index (MFI) indicates that stocks like Au Small Finance Bank, IndusInd Bank, Dixon Technologies (India) and Sanofi India are in the overbought zone.







Grasim Industries is falling as its Q4FY23 net profit drops 43.7% YoY to Rs 1,368.9 crore due to higher power and fuel expenses and raw material costs. However, the company's revenue rises by 16.2% YoY, driven by strong growth in its key subsidiaries. It appears in a screener for stocks with declining cash flow from operations.


Zee Entertainment Enterprises is rising despite its subdued Q4FY23 results. This comes after the National Company Law Appellate Tribunal (NCLAT) set aside the National Company Law Tribunal’s (NCLT) order directing the exchanges to reconsider the company's merger with Sony.


Mahindra & Mahindra is rising as its Q4FY23 net profit rises by 17.8% YoY to Rs 2,636.7 crore, while its revenue grows 24.8% YoY, led by robust sales volumes and product launches. It shows up in a screener for stocks with revenues increasing sequentially over the past four quarters.


Media stocks like Zee Entertainment, PVR INOX, Sun TV network, Network 18 media and TV18 broadcast are rising in trade. The broader Nifty Media index is also trading in the green.


Aster DM Healthcare's board is expected to review the proposals for the sale of its business in the Gulf Co-operation Council region. Binding bids from potential buyers will likely be received by the end of Q1FY24.


#4QWithCNBCTV18 | Aster DM board shall review the proposals for the sale of the co’s biz in the Gulf Co-operation Council region. Binding bids from potential buyers are likely to be received by the end of Q1 pic.twitter.com/aYYeUU7GNG
— CNBC-TV18 (@CNBCTV18Live) May 26, 2023


Gujarat State Fertilizer & Chemicals is declining as its Q4FY23 consolidated net profit falls 21.2% YoY to Rs 224.9 crore due to a rise in raw material and employee expenses. The firm’s revenue increases 14.8% YoY. It appears in the screener for stocks with undervalued growth stocks.


Karnataka Bank surges as it receives approval from the Reserve Bank of India for the appointment of Srikrishnan Hari Hara Sarma as the Managing Director and Chief Executive Officer of the Bank.


Bharat Electronics' current annual RoE stands at 21.5%, which is higher than it has been in the past five years.


MedPlus Health Services surges almost 20% as its net profit grows 127% YoY to Rs 27 crore in Q4FY23. Revenue improves by 30% YoY, while EBITDA margin expands 110 bps YoY. It shows up in a screener for high-gaining stocks since market open.


FMCG companies like Varun Beverages, Marico, Emami, Dabur India and Hindustan Unilever are rising in trade. All the constituents of the broader sectoral index Nifty FMCG are also trading in the green.


ICICI Direct downgrades its rating on NMDC to ‘Hold’ from ‘Buy’ and lowers the target price to Rs 115 from Rs 140. This implies an upside of 8.9%. The brokerage cites the declining trend in global iron ore prices over the past few months for the downgrade. It expects the company’s revenue to grow at a CAGR of 3% over FY23-25.


GMM Pfaudler is rising as its Q4FY23 consolidated net profit surges 139.8% YoY to Rs 38.4 crore. The firm’s revenue also increases 25.6% YoY on the back of revenue rise in the India and overseas segments. It appears in a screener for stocks with good quarterly growth in recent results.


Tarun Sawhney, Vice-Chairman and Managing Director of Triveni Engineering and Industries, highlights the significant contribution of the ethanol business to the company's growth. He further states that the company's ethanol production capacity is expected to reach 21 crore litres in FY24.


#OnCNBCTV18 | A significant share of the expansion has arisen from the ethanol industry, with the ethanol capacity projected to reach 21 crore litres by FY24 & 31 crore litres by FY25. There is potential for sugar rates to increase up to ?37,000/tonne: Tarun Sawhney, Triveni… pic.twitter.com/et3PjxoPYr
— CNBC-TV18 (@CNBCTV18Live) May 26, 2023


IT stocks like Mphasis, LTIMindtree, HCL Technologies and Coforge are rising in trade. The broader sectoral index Nifty IT is also trading in the green.


Reliance Industries, Varun Beverages, Crisil and Avenue Supermarts are trading above their third resistance or R3 levels.


Aster DM Healthcare is falling as its Q4FY23 net profit falls 24.5% YoY to Rs 139.4 crore, while its revenue rises 19.2% YoY. The drop in profit is due to higher cost of medicines, consumables, and employee benefits expenses. The company features in a screener for stocks with improving book value per share for the past two years.


Praj Industries is rising with a 53% YoY increase in net profit to Rs 88.1 crore in Q4FY23, accompanied by a 140 bps YoY improvement in EBITDA margin. Its revenue grows 21.7% YoY due to robust growth in mobility solutions and sustainable aviation fuel. It appears in a screener of stocks with strong momentum.


Bharat Dynamics is rising despite a 42.2% YoY fall in its Q4FY23 net profit to Rs 152.7 crore. Its revenue also drops by 40% YoY due to delayed delivery of raw materials. It appears in a screener for stocks with revenue and net profit falling quarterly.


CLSA maintains its ‘Buy’ rating on Phoenix Mills with a target price of Rs 1,703. The brokerage estimates a CAGR of 21% in the company's retail rental income over FY23-27.


Brokerage Radar | CLSA on Phoenix Mills: Maintain Buy; Well capitalised to fund growth beyond FY27 #PhoenixMills @CLSAInsights #StockMarket @gophoenixing pic.twitter.com/heIktYUxTJ
— ET NOW (@ETNOWlive) May 26, 2023


Emami is rising despite its Q4FY23 consolidated net profit falling 59.4% YoY to Rs 144.4 crore on the back of higher raw material, staff, and administration expenses. The firm’s revenue rises 6.1% YoY. It appears in a screener for stocks that have been impacted by a weak monsoon.


Vodafone Idea is rising as its net loss contracts marginally by 2.2% YoY to Rs 6,418.9 crore in Q4FY23. Revenue improves by 2.9% YoY, backed by a strong subscriber mix and the addition of 4G subscribers. Its average revenue per user (ARPU) increases to Rs 135 from Rs 124. The company appears in a screener of stocks with improving return on assets (RoA) for the past two years.


Star Health and Allied Insurance Co falls over 5% in trade. Reports suggest that 1.1 crore shares (1.9% equity) of the company, amounting to Rs 594.5 crore, change hands.


Star Health Large Trade | 1.1 Cr Shares (1.9% Equity) Worth ?594.5 Cr Changes Hands at ?550/Sh pic.twitter.com/tmNzBL1WxN
— CNBC-TV18 (@CNBCTV18Live) May 26, 2023


Zee Entertainment Enterprises is rising despite posting a net loss of Rs 196 crore in Q4FY23 as compared to a net profit of Rs 181.9 crore in Q4FY22. Its bottom line drops due to a loss of Rs 123.4 crore from discontinuing operations and an exceptional loss of Rs 90 crore. Its consolidated revenue falls 9.1% YoY as advertisement and subscription revenue dips.

Reports suggest that 1 crore shares (2.3% equity) of PB Fintech (Policy Bazaar), amounting to Rs 616.2 crore, change hands in a large trade.

PB Fintech Large Trade | 1 cr shares (2.3% Equity) worth ?616.2 Ccr changes hands at an avg Rs 605/Sh pic.twitter.com/FzL6lhemwg
— CNBC-TV18 (@CNBCTV18Live) May 26, 2023


AiA Engineering is falling despite its Q4FY23 consolidated net profit rising 37.8% YoY to Rs 268.1 crore on the back of falling freight outward expenses. The firm’s revenue is up 18.1% YoY. It appears in a screener for stocks with high momentum scores.

Page Industries falls as its net profit dips 58.9% YoY to Rs 78.4 crore in Q4FY23, with revenue dropping 12.8% YoY. It comes on the back of lower consumption and higher inventory levels. It appears in a screener of stocks with declining net profit and profit margin YoY.

Steel Authority of India’s Q4FY23 net profit drops 53.2% YoY to Rs 1,159.2 crore as employee expenses rise. Revenue falls by 5.3% YoY on the back of subdued growth in its Rourkela, Bokaro and IISCO steel plants. The company’s EBITDA margin drops 4.1 percentage points YoY to 10%. The stock shows up in a screener for companies with declining net cash flows.



Riding High:

Largecap and midcap gainers today include Info Edge (India) Ltd. (4,197.75, 7.62%), Zee Entertainment Enterprises Ltd. (190.80, 6.68%) and Indus Towers Ltd. (156.65, 6.10%).

Downers:

Largecap and midcap losers today include Page Industries Ltd. (37,501.30, -8.80%), Star Health and Allied Insurance Company Ltd. (534.85, -8.38%) and Adani Transmission Ltd. (850.10, -4.67%).

Crowd Puller Stocks

38 stocks in BSE 500 are trading on high volumes today.

Top high volume gainers on BSE included Medplus Health Services Ltd. (813.10, 17.88%), eClerx Services Ltd. (1,538.30, 9.01%) and Eureka Forbes Ltd. (404.00, 8.12%).

Top high volume losers on BSE were Page Industries Ltd. (37,501.30, -8.80%), Star Health and Allied Insurance Company Ltd. (534.85, -8.38%) and AIA Engineering Ltd. (2,800.45, -3.76%).

Praj Industries Ltd. (374.30, 4.88%) was trading at 18.4 times of weekly average. Prince Pipes & Fittings Ltd. (610.30, 4.23%) and GMM Pfaudler Ltd. (1,447.95, -1.75%) were trading with volumes 9.9 and 9.1 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

24 stocks took off, crossing 52-week highs, while 4 stocks were underachievers and hit their 52-week lows.

Stocks touching their year highs included - Apollo Tyres Ltd. (392.50, 0.85%), Bajaj Auto Ltd. (4,615.95, -0.60%) and Balkrishna Industries Ltd. (2,438.70, -0.29%).

Stocks making new 52 weeks lows included - Zee Entertainment Enterprises Ltd. (190.80, 6.68%) and Page Industries Ltd. (37,501.30, -8.80%).

16 stocks climbed above their 200 day SMA including JM Financial Ltd. (71.30, 6.66%) and Macrotech Developers Ltd. (1,020.25, 5.40%). 8 stocks slipped below their 200 SMA including Vardhman Textiles Ltd. (321.80, -1.67%) and APL Apollo Tubes Ltd. (1,128.35, -1.64%).
 
Trendlyne Marketwatch
Trendlyne Marketwatch
25 May 2023
Market closes higher, Oil India's Q4FY23 net profit falls 17.7% YoY to Rs 1,742.8 crore

Trendlyne Analysis

Nifty 50 closed at 18,321.15 (35.8, 0.2%), BSE Sensex closed at 61,872.62 (98.8, 0.2%) while the broader Nifty 500 closed at 15,555.25 (39.3, 0.3%). Of the 1,946 stocks traded today, 1,022 were in the positive territory and 857 were negative.

Indian indices recovered from their day lows and closed in the green, on a volatile day of trade. The benchmark Nifty 50 index closed above the 18,300 mark. Oil India’s share price fell over 3.1% after its Q4FY23 net profit decreased by 17.7% YoY to Rs 1,742.8 crore. Reserve Bank of India's Governor Shaktikanta Das said that India's FY23 GDP growth could exceed the RBI's advance estimate of 7% due to the economic momentum maintained in Q3 and Q4FY23.

Nifty Midcap 100 closed in the green, following the benchmark index. Nifty FMCG and Nifty Metal closed higher than Wednesday’s close. According to Trendlyne’s sector dashboard, Telecom Services was the top-performing sector of the day.

Major European indices traded flat or lower as Germany’s economy entered a technical recession as the country’s GDP contracted QoQ for a second consecutive quarter. However, Asian indices closed mixed but US indices futures traded in the green. Brent crude oil futures traded in the red after rising for four straight trading sessions.

  • Relative strength index (RSI) indicates that stocks like Cholamandalam Financial Holdings, Indigo Paints, Dixon Technologies (India) and Intellect Design Arena are in the overbought zone.

  • Apar Industries, CreditAccess Grameen, Gujarat Fluorochemicals and Mahanagar Gas outperform their industries in terms of annual growth and capital returns.

  • Finolex Cables, Chambal Fertilisers & Chemicals and City Union Bank fall 6.8%, 5.4% and 2% respectively over the past week, ahead of their Q4FY23 results tomorrow.

  • Abbott India, Tata Elxsi, Sanofi India and Bajaj Auto are trading above the second resistance or R2 level.

  • Kolte-Patil Developers’ Q4FY23 net profit jumps 323.4% YoY to Rs 116.7 crore, while its revenue surges by 111.9% YoY driven by robust demand. The stock shows up in a screener for companies with strong annual EPS growth.

  • Hotel stocks like Indian Hotels Co, EIH, Chalet Hotels and Lemon Tree Hotels are rising in trade. The broader Hotels industry is also trading in the green.

  • Piramal Pharma is surging as it posts a net profit of Rs 50.11 crore in Q4FY23, compared to a net loss in Q3FY23. Its revenue falls by 1% YoY due to ongoing expansions. It appears in a screener of stocks with low DVM scores.

  • Hindustan Zinc is falling as its promoter, Vedanta, pledges a 3.3% stake (or 13.9 crore shares) to Axis Trustee Services. This takes Vedanta's holding in Hindustan Zinc to 7.6%.

  • Oil India is falling as its Q4FY23 consolidated net profit decreases 17.7% YoY to Rs 1,742.8 crore on the back of increasing input costs and employee expenses. The firm’s revenue dips 13.7% YoY due to subdued growth in the crude oil and refinery products segments. It appears in the screener for stocks with low PE ratios.

  • Hindware Home Innovation surges despite a 40.3% YoY fall in Q4FY23 profit to Rs 22.3 crore, but its revenue rises 12.1% YoY. The profit decrease is due to a rise in inventory, finance, and power and fuel expenses. The company features in a screener for stocks trading near their 52-week high.

  • Cummins India is rising as its Q4FY23 net profit surges 61.3% YoY to Rs 348.91 crore and its EBITDA margin grows by 300 bps YoY. Its revenue increases 29% YoY on the back of robust growth in sales of engines and lubes. It appears in a screener of stocks with high TTM EPS growth.

  • Tata Motors is falling as UBS resumes a ‘Sell’ rating on the company with a target price of Rs 450. The brokerage expects Tata Motor’s passenger vehicle market share to peak due to a weak launch pipeline. It adds that the market underestimates the EV risks relating to Jaguar Land Rover.

  • The sectoral index Nifty FMCG is trading in the green and hits an all-time high. FMCG stocks like ITC, United Breweries and Tata Consumer Products are rising in trade.

  • Porinju Veliyath sells a 0.3% stake inHindware Home Innovation. He now holds a 9.3% stake in the company.

  • Axis Direct downgrades Shree Cements to 'Hold' from 'Buy' but increases target price to Rs 26,850 from Rs 26,700, implying an 11.1% upside. The brokerage cites expensive valuation for the downgrade but remains optimistic on the back of strong cement demand from higher government spending. It expects 12% CAGR revenue growth over FY22-25.

  • Indian rupee depreciates 10 paise to 82.76 against the US dollar in early trade today due to increased demand for the dollar.

  • Commercial Services & Supplies stocks like Adani Enterprises, eMudhra, Engineers India, Container Corporation of India and Delta Corp rise in the past week. The broader commercial services & supplies sector surges by over 15% in the same period.

  • Trident is falling as its Q4FY23 net profit decreases 28.4% YoY to Rs 129.7 crore and its EBITDA margin contracts by 102 bps YoY to 17.1%. The firm’s revenue has also dipped by 15.9% YoY on the back of sluggish domestic and export demand.

  • Metals prices decline around 2-5% overnight. This is due to weak economic conditions and rising Covid cases in China, among other factors.

  • FSN E-Commerce Ventures (Nykaa) remains flat as its net profit dips by 71% YoY to Rs 2.4 crore in Q4FY23 on the back of a muted fashion business. However, its revenue rises by 33.2% YoY. It appears in a screener of stocks with declining net cash flow.

  • Ircon International remains flat despite a surge in Q4FY23 net profit by 6.1% YoY to Rs 257 crore on the back of reduced inventory costs and robust growth in revenue from domestic customers. Its revenue also rises by 31.3% YoY. It appears in a screener of stocks with improving RoA for the past two years.

  • Jefferies maintains its ‘Buy’ rating on Indian Hotels Co with a target price of Rs 425. The brokerage says the company is gaining from its multi-brand strategy and diverse offerings.

  • National Aluminium Co's Q4FY23 net profit declines 51.7% YoY to Rs 495 crore due to higher input costs, while its revenue falls 15.4% YoY on lower sales from its aluminium business segment. It shows up in a screener for stocks with revenue declining sequentially over the past three quarters.

  • Life Insurance Corp of India is rising as its net profit increases 5.5x to Rs 13,427.8 crore in Q4FY23. However, its premium earned reduces by 8.3% due to lower premiums from pension participating, life non-participating and pension non-participating segments. The insurer's asset quality improves as gross NPA declines by 347 bps YoY.

Riding High:

Largecap and midcap gainers today include Zomato Ltd. (67.30, 4.42%), JSW Energy Ltd. (258.70, 3.60%) and Cummins India Ltd. (1,650.15, 3.44%).

Downers:

Largecap and midcap losers today include Indian Railway Finance Corporation Ltd. (32.00, -5.47%), Max Healthcare Institute Ltd. (536.70, -3.77%) and Oil India Ltd. (260.60, -3.36%).

Crowd Puller Stocks

29 stocks in BSE 500 are trading on high volumes today.

Top high volume gainers on BSE included Star Cement Ltd. (133.80, 7.25%), J B Chemicals & Pharmaceuticals Ltd. (2,054.85, 7.02%) and Sanofi India Ltd. (6,775.40, 5.81%).

Top high volume losers on BSE were Bharat Dynamics Ltd. (1,007.20, -5.39%), TTK Prestige Ltd. (699.65, -3.44%) and Borosil Renewables Ltd. (483.00, -3.10%).

Fine Organic Industries Ltd. (4,461.95, -0.93%) was trading at 14.1 times of weekly average. Aster DM Healthcare Ltd. (278.15, 5.56%) and Chalet Hotels Ltd. (432.55, 3.01%) were trading with volumes 11.4 and 9.9 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

25 stocks overperformed with 52-week highs,

Stocks touching their year highs included - Apollo Tyres Ltd. (389.20, 1.41%), Bajaj Auto Ltd. (4,644.00, 2.80%) and Balkrishna Industries Ltd. (2,445.75, 2.91%).

15 stocks climbed above their 200 day SMA including J B Chemicals & Pharmaceuticals Ltd. (2,054.85, 7.02%) and Esab India Ltd. (3,655.00, 3.45%). 8 stocks slipped below their 200 SMA including Trident Ltd. (32.55, -6.33%) and Ashok Leyland Ltd. (145.50, -3.26%).

 
logo
The Baseline
24 May 2023
India gets a boost from foreign investors | Outperforming stocks with rising FII holdings
By Tejas MD

In the first two months of 2023, Indian indices fell around 4.5%. Market observers suggested that India was 'out' as the emerging market investors were betting on. The new favorites would be China and Taiwan.

But fast forward to now, and there's been a remarkable recovery - the benchmark Nifty 50 index has risen over 9% from the year’s low, and now stands 3% away from its all-time high, which it hit in December last year.

What is driving the momentum? A key factor is the increasing bullishness of foreign institutional investors (FII) on India. FII inflows into Indian equities accelerated in May. And one reason the Indian market is becoming more attractive to foreign investors, is the risk of the US defaulting on its debt.  

If President Joe Biden and House Speaker Kevin McCarthy cannot reach a deal to raise the US debt ceiling by June 1, there is a real possibility that the US Treasury will run out of money, and default on its payments.

However, such back-and-forth negotiations and threats are typical in the United States before an agreement. The last debt-ceiling standoff happened as recently as 2021. While the likelihood of a default is low - few US elected officials actually want to see a humiliating default happen on their watch - the uncertainty has cast a shadow over the US stock market and prompted investors to move money into alternate investment destinations until an agreement is reached.

But this is not the only reason FIIs are investing in Indian equities.

Let’s dive in.

In this week’s Analyticks:

  • FIIs have increased their investments into India. Is this a blip, or will it last?
  • Screener: Stocks with rising FII holding, strong performance in Q4FY23 and outperforming the Nifty 50

Will the FII inflow into Indian equities continue?

The IMF Managing Director Kristalina Georgieva was not a cheerful person at the start of the new year. She had some tough words about the global economy: "2023 is going to be harder and more stressful than 2022," she said, "with recessions in multiple parts of the world." 

As economies slow down, investors are struggling to find 'safe' securities and countries to invest in. India, which is expected to be among the fastest-growing economies in the world in 2023 and has zero likelihood of a recession, is an attractive option.  

India’s retail inflation also fell to 4.7% in April and is currently below the RBI’s upper tolerance limit of 6% for the second consecutive month. The RBI paused repo rate hikes as inflation went down, which has attracted foreign investors.

Logically, another investment destination would be China, where the interest rate is currently at 3.65% and has been on pause for nine months. But China is not very popular these days in the West after the supply chain issues during the pandemic, and as the US-China relationship deteriorated.

India in comparison, looks like a Goldilocks destination for institutional investors - not too hot, not too cold, a low-inflation, growing economy that’s not picking fights. 

As the Adani cloud lifts, FIIs turn bullish

The recent rise in FII inflows comes after investors pulled money out of Indian equities in January. China was reopening, and the Adani-Hindenburg crisis had raised questions about the health of the Indian stock market.

But since March, there has been a consistent inflow of FII funds into Indian stocks. This has continued through April and May. 

In May, FIIs have invested (net) in Indian equities in every single trading session. In fact, their 16-day buying streak is still active as of May 22, and is the longest streak in three years. FIIs are favoring the auto and auto components sector as the sector saw FII inflows every month.  

US investors may be parking money into foreign equities (like India) until a last-minute agreement is reached to raise the debt ceiling. This could mean a sharp outflow of FII funds once US President Biden and House Republican Speaker McCarthy make a deal. 

Despite potential short-term outflow concerns, FII inflows into India could continue to rise as the country is expected to be one of the fastest-growing economies in the world this year. This is despite the IMF and foreign brokeragesloweringIndia’s GDP growth projection for 2023. 

Indian retail inflation moderates, RBI pauses rate hike

The RBI’s decision to pause interest rate hikes in its May meeting, has boosted investments into India. Devang Shah, co-head of fixed income at Axis MF, evenanticipates 50 bps of rate cuts in the next 12 months.

Morgan Stanley also expects rate cuts in early 2024. Usually, equity markets become more attractive as interest rates decrease, and investors increase their asset allocation in stocks. 

The US Fed and the European Central Bank, on the other hand, have continued with their rate hikes in May. While the US Fed is expected to keep the same rate at its next meeting, a rate hike is on the cards for the ECB due to high inflation levels in Europe. 

India seems to be doing better here. Inflation in India has fallen due to decreasing fuel and food prices, which are major components of the CPI. 

While inflation in the US, UK and EU softenedover the past six months, it is still over expected levels. When asked about the rocketing food prices in the UK, former minister for employment, Anne Widdecombe, said, “Don’t make cheese sandwiches if you can’t afford them.”

The global landscape looks chaotic. Biden and McCarthy are fighting in the media, China is battling sanctions, and the UK is worried about the price of sandwiches. India looks like a safer bet in comparison for foreign investors, and the benchmark Nifty 50 index reflects that belief.  

Screener: Stocks with rising FII holding, strong performance in Q4FY23 and outperforming the Nifty 50

With the shareholding data for Q4FY23 in hand, we take a look at stocks that have seen the highest rise in foreign institutional investor (FII) holdings. This screenerconsists of stocks that FIIs bought in Q4, with strong financial performance, and which also outperformed their industries and the Nifty 50 index.

The stocks in the screener are from industries like banks, IT consulting & software, auto parts & equipment, pharmaceuticals and heavy electrical equipment. Major stocks in the screener are Equitas Small Finance Bank, Sona BLW Precision Forgings, Syngene International, KPIT Technologies, CG Power & Industrial Solutionsand Adani Enterprises. 

Equitas Small Finance Bank saw the highest rise in FII holding, with an increase of 18.6 percentage points QoQ to reach 22.7% in Q4FY23. While funds like Ellipsis Partners LlC and Massachusetts Institute of Technology bought a 2.5% stake each, Rimco India purchased 2.1%. The bank’s stock price surged 17% over the past month, boosted by strong Q4FY23 results.

Sona BLW Precision Forgings saw its FII holding rise by 13.4 percentage points QoQ to 35.3% during the quarter. While major buyers of the auto parts & equipment stock were the Government of Singapore and Fidelity Funds, which bought 4.1% and 1.3% stake respectively, BNP Paribas Arbitrage increased its stake by 130 bps. The stock grew 14.4% over the past month, owing to a 35.3% YoY improvement in revenue for the quarter.

Syngene International saw a 6.4 percentage point QoQ improvement in its FII holding, totalling to 23.3% in Q4FY23. The Government of Singapore was the biggest buyer as it bought a 3.9% stake in the pharmaceutical company. Its net profit rose 20.9% YoY, while revenue surged 31.2% YoY in Q4FY23. This helped the stock grow by 13.3% over the past month.

You can find more screeners here.

 
Trendlyne Marketwatch
Trendlyne Marketwatch
24 May 2023
Market closes lower, India Cements posts a net loss of Rs 226.9 crore in Q4FY23

Trendlyne Analysis

Nifty 50 closed at 18,285.40 (-62.6, -0.3%), BSE Sensex closed at 61,773.78 (-208.0, -0.3%) while the broader Nifty 500 closed at 15,515.95 (-28.8, -0.2%). Of the 1,957 stocks traded today, 925 were in the positive territory and 971 were negative.

Indian indices settled in the red after switching between losses and gains, with the volatility index, Nifty VIX, rising by over 3.5%. The benchmark Nifty 50 index fell over 60 points and closed below the 18,300 mark. Dixon Technologies rose around 7.2% after its Q4 net profit increased by 28.1% YoY to Rs 80.6 crore with its EBITDA margin expanding by 110 bps YoY to 5.1%.

Nifty Midcap 100 closed in the green, despite the benchmark index closing in the red. Nifty Media and Nifty Bank closed lower than Tuesday's level. According to Trendlyne’s sector dashboard, hardware technology & equipment was the top-performing sector of the day.

Major Asian indices closed in the red amid weak global cues. European indices traded lower, in line with the US indices futures, which also traded in the red. Brent crude oil futures traded higher after rising over 2% on Tuesday. Investors look ahead to the Federal open market committee's (FOMC) May meeting minutes, to be released later today.

  • Astral beats Supreme Industries in QoQ & YoY revenue and profit growth, broker average target upside percentage and annual RoCE. But it lags in PE ratio, one-year price change, annual RoE and FII holdings.

  • Mahindra & Mahindra sells its entire 3.19% stake in Mahindra CIE Automotive at a gross price of Rs 447.7 per share.

  • Hindalco Industries is falling as its Q4FY23 net profit declines by 37.4% YoY to Rs 2,411 crore due to rising inventory costs, power & fuel expenses and employee costs. Its revenue rises by a marginal 0.2% YoY on the back of subdued growth across most of its business segments.

  • Dixon Technologies, Deepak Nitrite and Affle (India) are trading above their third support or S3 levels.

  • Consumer durables stocks like Dixon Technologies, Amber Enterprises India, Orient Electric and Blue Star are rising in trade. The broader sectoral indices Nifty Consumer Durables and BSE Consumer Durables are also trading in the green.

  • Ceat and Apollo Tyres touch their 10-year highs of Rs 2,079 and Rs 385 respectively. While Ceat has risen 47.8% in the past month, the other increased by 14.5%.

  • Galaxy Surfactants is falling as its Q4FY23 net profit drops by 8% YoY to Rs 90.5 crore and revenue declines by 7% YoY. This comes on the back of a decrease in sales volumes and rising inventory expenses. It features in a screener for stocks with negative breakdowns at second support.

  • Investec maintains its ‘Sell’ rating on Shree Cements with a target price of Rs 17,010. According to the brokerage, the company has guided for a lower fuel benefit in Q1FY24.

  • India Cements is falling as its posts a net loss of Rs 226.9 crore in Q4FY23, compared to a net profit in Q3FY23. However, revenue increases by 16% YoY to Rs 1,485.7 crore. It shows up in a screener of stocks where promoters have increased their pledged shares in the company.

  • Bikaji Foods International surges as its Q4FY23 net profit increases by 51.6% YoY to Rs 37.7 crore due to a 40% YoY increase in other income sources. Revenue rises by 15% YoY. It appears in a screener for stocks with low debt.

  • Dixon Technologies is rising as its Q4FY23 net profit rises 28.1% YoY to Rs 80.6 crore, aided by reduced inventory costs. Its revenue grows 3.8% YoY and EBITDA margin expands by 110 bps YoY to 5.1%. The stock shows up in a screener for companies with high TTM EPS growth.

  • Deepak Nitrite's arm Deepak Chem Tech inks a memorandum of understanding with the Gujarat Government to invest around Rs 5,000 crore for setting up projects to manufacture speciatity chemicals in the next four years.

  • ICICI Securities downgrades its rating on Aditya Birla Fashion & Retail to ‘Add’ from ‘Buy’ and lowers the target price to Rs 210 from Rs 330. This implies an upside of 4.7%. The brokerage cites the company’s weak profit growth in emerging businesses, a slowdown in retail expansion, increasing competitive intensity and increasing debt for the downgrade.

  • Reports suggest that 4.94 lakh shares (0.1% equity) of InterGlobe Aviation (Indigo), amounting to Rs 113.1 crore, change hands in a block deal.

  • Polyplex Corp plunges more than 5% in trade as its net profit declines 93.3% YoY to Rs 20.3 crore in Q4FY23 and revenue reduces by 11.6% YoY. EBITDA margin contracts 16.8 percentage points YoY due to a rise in employee benefits, finance and power & fuel expenses. It features in a screener of high-volume and top-losing stocks.

  • Fortis Healthcare trades flat despite its Q4FY23 net profit surging 95% YoY to Rs 132.6 crore and revenue rising 20% YoY. This robust performance comes on the back of the reallocation of funds to core business and increased capacity. It appears in a screener of stocks with overbought stocks, according to MFI.

  • GMR Power and Urban Infra is declining as its Q4FY23 net loss widens by 121% YoY to Rs 473.1 crore due to a 54.2% YoY increase in the purchase of traded goods. Revenue rises by 17.9% YoY, led by the power segment. It appears in a screener for stocks with low Piotroski scores.

  • RBI Governor Shaktikanta Das expects May retail inflation to be lower than 4.7%. He adds that India’s FY23 GDP will likely grow higher than the earlier forecast of 7%.

  • Shriram Properties is rising as its subsidiary, Shrivision Elevations, acquires 100% development rights of the Divine City project in Chennai. The project has a revenue potential of Rs 1,200 crore in the next five years. The company is also planning to launch two new projects in Chennai in the next 12-18 months.

  • Biocon is rising as its Q4FY23 net profit increases 31% YoY to Rs 313 crore and its EBITDA margin expands 270 bps YoY. Its revenue surges 59% YoY on robust growth in advanced and emerging markets, and Research Services - Syngene. It appears in a screener for stocks with improving book value per share for the past two years.

  • Crompton Greaves Consumer Electricals is rising as 65.2 lakh shares (1% equity) of the company, amounting to Rs 176.5 crore, change hands, according to reports.

  • Metro Brands' Q4FY23 profit falls by 0.4% to Rs 68.5 crore, despite a 35.1% rise in revenue. The decline is due to higher inventory, employee benefits and depreciation expenses. The company shows up on a screener for stocks with improving net cash flow for the past two years.

  • JSW Energy is rising despite its Q4FY23 net profit falling 68.5% YoY to Rs 272.1 crore due to a 54.7% YoY increase in fuel costs. Its revenue rises by 9.4% YoY to Rs 2,670 crore, led by robust growth in its thermal business segment. The company shows up in a screener for stocks with low Trendlyne durability scores.

  • Reports suggest that 1.2 crore shares (3.2% equity) of Mahindra CIE Automotive, amounting to Rs 560 crore, change hands in a large trade.

  • Amara Raja Batteries' board approves the acquisition of 100% equity share capital of Amara Raja Power Systems from RNGalla Family for Rs 133 crore.

  • Ashok Leyland rises as its consolidated net profit surges by 436% YoY to Rs 752.53 crore in Q4FY23, while its EBITDA margin improves by 280 bps. Its revenue grows by 33% YoY on robust growth in bus market share, domestic LCV volumes, and truck market share. It features in a screener for stocks with consistent profit growth over the past 3 quarters.

  • NMDC’s Q4FY23 net profit rises 25% YoY to Rs 2,271.5 crore on the back of an exceptional income of Rs 1,237.3 crore. However, the firm’s operational performance is lackluster, with a 12.7% YoY decline in revenue to Rs 5,851.4 crore due to subdued demand. Its EBITDA margin contracts by 320 bps YoY. The company shows up in a screener for companies with medium to low Trendlyne momentum scores.

Riding High:

Largecap and midcap gainers today include Deepak Nitrite Ltd. (2,135.10, 9.49%), Dixon Technologies (India) Ltd. (3,514.30, 7.29%) and Laurus Labs Ltd. (334.80, 6.47%).

Downers:

Largecap and midcap losers today include Adani Enterprises Ltd. (2,475.60, -6.00%), Cummins India Ltd. (1,595.30, -5.31%) and Adani Wilmar Ltd. (464.30, -4.99%).

Crowd Puller Stocks

35 stocks in BSE 500 are trading on high volumes today.

Top high volume gainers on BSE included Deepak Nitrite Ltd. (2,135.10, 9.49%), Indiabulls Real Estate Ltd. (62.85, 8.64%) and Engineers India Ltd. (108.55, 7.80%).

Top high volume losers on BSE were Cummins India Ltd. (1,595.30, -5.31%), Eureka Forbes Ltd. (358.55, -4.41%) and Johnson Controls-Hitachi Air Conditioning India Ltd. (1,044.05, -4.34%).

Mahindra CIE Automotive Ltd. (474.30, 4.74%) was trading at 32.7 times of weekly average. Avanti Feeds Ltd. (379.40, 4.12%) and Metro Brands Ltd. (929.60, 5.58%) were trading with volumes 12.0 and 9.2 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

18 stocks overperformed with 52-week highs, while 2 stocks hit their 52-week lows.

Stocks touching their year highs included - Apollo Tyres Ltd. (383.80, 1.24%), Ceat Ltd. (2,076.70, 5.18%) and Cummins India Ltd. (1,595.30, -5.31%).

Stocks making new 52 weeks lows included - Aavas Financiers Ltd. (1,384.95, -0.06%) and Saregama India Ltd. (306.55, -2.19%).

15 stocks climbed above their 200 day SMA including Deepak Nitrite Ltd. (2,135.10, 9.49%) and TV18 Broadcast Ltd. (34.20, 3.79%). 12 stocks slipped below their 200 SMA including Jindal Steel & Power Ltd. (510.15, -2.05%) and Info Edge (India) Ltd. (3,878.10, -1.91%).

 
logo
The Baseline
23 May 2023
Five analyst picks with high upsides post Q4 results
By Abhiraj Panchal
  1. Indian Oil Corp: ICICI Securities maintains its ‘Buy’ rating on this oil marketing and distribution company with a target price of Rs 115, implying an upside of 29.2%. The company’s net profit for Q4FY23 has increased by 54.8% YoY to Rs 10,289.82 crore, while operating revenue rose by 16.3% YoY.  It beat Trendlyne Forecaster’s profit estimates by 87.8%. Analysts Probal Sen and Hardik Solanki say that IOC has shown an overall improvement in operational metrics.

The analysts estimate a 21% YoY improvement in gross margins. They believe that the continued growth in volumes and considerably higher retail margins to date in Q1FY24 will boost earnings growth over the next two years. They forecast retail margins to increase to Rs 2.5-3 per litre for both FY24 and FY25. They also expect earnings per share to increase by 14% in FY25 due to stronger marketing margins and normalised gross refining margins.

The analysts consider Indian Oil Corporation to be trading at attractive valuations, with a forecasted dividend yield of 7.4% in FY24/FY25. The support from Chennai Petroleum Corp earnings makes the risk-reward here favourable.

  1. APL Apollo Tubes: IDBI Capital maintains its ‘Buy’ rating on this iron & steel products manufacturer and raises the target price to Rs 1,491. This implies an upside of 29.3%. In Q4FY23, the firm’s net profit rose 23.8% YoY to Rs 201.8 crore and revenue grew by 5.1%. It beat Trendlyne Forecaster’s profit estimates by 0.6%. 

Analyst Bhavesh Chauhan believes that the company’s healthy performance in Q4 has been driven by rising sales volume, led by robust demand across product categories. But he adds that margins are relatively weak despite volume growth, with EBITDA/tonne growing by only 3% YoY due to a weaker product mix. Nevertheless, he expects the EBITDA/tonne to cross Rs 5,000 in the medium-to-long term.

Chauhan is optimistic about margin improvement given the company’s capacity expansion initiatives. “The company targets 400 kt (kilo-tonnes) of volumes from the Raipur plant in FY24, which should aid margin improvement. It targets a sales volume of 3 million tonnes in FY24 and 4 million tonnes in FY25,” he says. The analyst expects the firm’s revenue to grow at a CAGR of 18.3% over FY23-25. 

  1. Bank of Baroda: Motilal Oswal keeps its ‘Buy’ rating on this bank with a target price of Rs 240, implying an upside of 30.9%. In Q4FY23, the company’s standalone net profit jumped 168.5% YoY to Rs 4,775.3 crore, and revenue grew by 42.3% YoY. It beat Trendlyne Forecaster’s net profit estimates by 18.9%.

Analysts Nitin Aggarwal and Yash Agarwal attribute the bank’s robust growth in profitability to lower provisions, higher other income, and healthy growth in loan disbursements across segments. They also see margin expansion and an improvement in the CASA mix as key positives.

The analysts point out that the bank’s asset quality has improved on the back of controlled slippages and healthy recoveries. They add, “The bank’s slippages were limited at Rs 2,740 crore, which coupled with healthy recoveries led to a 74 bps and 10 bps QoQ improvement in Gross NPA and Net NPA to 3.8% and 0.9% respectively.” They expect the bank’s net profit to grow at a CAGR of 18.2% over FY23-25. 

  1. Granules India: ICICI Direct maintains a ‘Buy’ call on this pharmaceutical company with a target price of Rs 360, indicating an upside of 30.5%. In Q4FY23, the company’s net profit grew by 7.8% YoY to Rs 119.6 crore, while the revenue increased by 15.9% YoY. It has missed Trendlyne Forecaster’s profit estimates by 14.6%. Analysts Siddhant Khandekar, Kushal Shah and Utkarsh Jain say, “The overall growth is primarily from improved performance in the US and European geographies.” 

The analysts believe that Granules’ plan to extend its core products via additional strength forms in the US, and launches in other geographies, will provide better operating leverage. They also remain positive on the company due to its geographical expansion, change in product mix, and a compelling risk-reward matrix.

The company’s progress in improving margins and executing its aggressive capex of Rs 700 crore will be key.

  1. Cipla: KR Choksey maintains its ‘Buy’ call on this pharmaceutical company but revises the target price down to Rs 1,167 from Rs 1,289 earlier. This indicates an upside of 25.4%. In Q4FY23, the company’s profit increased by 44% YoY to Rs 521.5 crore, while its revenue increased by 10.3% YoY. It has missed Trendlyne Forecaster’s profit estimates by 32%. According to analyst Abhishek Agarwal, the revenue has been driven by good traction in the US markets. He, however, notes that the quarterly margins shrank due to the high inflationary environment and rise in R&D spend.

Despite his cautious stance, Agarwal is optimistic about new product launches. During FY23, Cipla  launched over 50 new products in the Indian trade generics market. He adds, “Cipla has a strong product launch pipeline for the US and emerging markets, which is expected to boost the revenues as well as the profitability of the company.” 

Note: These recommendations are from various analysts and are not recommendations by Trendlyne.

(You can find all analyst picks here)

 
Trendlyne Marketwatch
Trendlyne Marketwatch
23 May 2023
Market closes higher, Bajaj Electricals' Q4 net profit rises 31.8% YoY to Rs 51.9 crore

Trendlyne Analysis

Nifty 50 closed at 18,348.00 (33.6, 0.2%) , BSE Sensex closed at 61,981.79 (18.1, 0.0%) while the broader Nifty 500 closed at 15544.75 (40.8, 0.3%). Of the 1,950 stocks traded today, 989 were on the uptick, and 917 were down.

Indian indices fell from their day highs and closed flat, with the Nifty 50 closing below the 18,400 mark. Adani group companies extended their gains from Monday and closed in the green, led by Adani Enterprises, which rose over 13%.

Nifty Midcap 100 closed in the green, outperforming the benchmark index. Nifty Metal and Nifty Media closed higher than Monday’s close. According to Trendlyne’s sector dashboard, commercial services & supplies was the top-performing sector for a second straight day.

European indices traded flat or lower, except for UK’s FTSE 100 index, which traded marginally higher. Most Asian indices closed in the red, in line with the US indices futures, which also traded lower. Brent crude oil futures traded flat as investors await developments in the US debt ceiling talks. Crude oil prices have remained flat in the past three trading sessions.

  • Oil And Natural Gas Corp sees a short buildup in its May 25 future series as its open interest rises 9.8% with a put-call ratio of 0.47.

  • Bajaj Electricals is rising as its Q4FY23 net profit rises 31.8% YoY to Rs 51.9 crore, while its revenue grows 11.7% YoY. This healthy performance is led by growth in the consumer products and engineering, procurement and construction segments. The stock shows up in a screener for companies with low debt.

  • Garware Technical Fibersis rising with a 10.2% YoY increase in net profit to Rs 59.6 crore in Q4FY23, supported by a rise of over 60% YoY in income from other sources. While its revenue grows by 4.7% YoY, the company appears in a screener for stocks showing growth in net profit and improving profit margin QoQ.

  • Fusion Micro Finance hits its all-time high of Rs 519.8 as Q4FY23 net profit surges by 767.9% YoY to Rs 114.5 crore and revenue up 39.8% YoY. The NBFC's asset quality improves as its gross and net NPAs decline by 225 bps YoY and 77 bps YoY respectively. It appears in a screener of stocks with consistent profit growth in the past four quarters.

  • Gland Pharma is surging after hitting a 52-week low past week. It has a low rank of 28.6% in Trendlyne's checklist and a consensus recommendation of 'Sell' from 16 analysts. The stock appears in a screener for weak-performing stocks that have dropped over 20% in the past month.

  • J Kumar Infraprojects is declining despite its EBITDA growing by 18% YoY to Rs 597 crore in FY23. Its revenue has also risen by 19% YoY to Rs 4,203 crore. It appears in a screener for companies with newly affordable stocks with good financials and durability.

  • Metal stocks like Adani Enterprises, APL Apollo Tubes, Vedanta and NMDC are rising in trade. The broader sectoral index Nifty Metal continues to trade in the green, led by Adani Enterprises.

  • Utilities companies like Reliance Power, Orient Green Power Co, Reliance Infrastructure, NLC India and Adani Power are rising in trade. The broader sectoral index S&P BSE Utilities is also trading in the green.

  • Ravi Modi Family Trust, promoter of Vedant Fashions, sells a 9.9% stake in the company on Monday, now holds a 57.2% stake.

  • Analysts turn positive on JSW Steel on the back of a strong showing in Q4FY23. They believe that the company's increasing volume and higher share of value-added products will outweigh the effects of high debt in its book.

  • KRChoksey upgrades its rating on Glenmark Pharmaceuticals to ‘Buy’ from ‘Accumulate’ and raises the target price to Rs 683 from Rs 479. This implies an upside of 12%. The brokerage expects the company's growth to be driven by international generics, new product launches, and its strong position in India's chronic therapeutic segments.

  • PB Fintech remains flat as its net loss reduces by 96% YoY Q4FY23 to Rs 895.09 crore driven by robust growth in its insurance premium and credit disbursals, while its revenue increases by 61% YoY. It appears in a screener of stocks with FII/FPI increasing their shareholding.

  • Shree Cement rises despite a 20% YoY decline in net profit in Q4FY23 to Rs 525.77 crore. However, its revenue increases by 16.5% YoY. The EBITDA margin falls by 370bps in Q4FY23 due to high expenses in raw materials, power & fuel, and freight. It appears in a screener of stocks with a significant drop in TTM net profit.

  • Escorts Kubota's agri machinery business has announced that it will hike tractor prices from June 1 to partially offset the impact of inflation. The increase will be across models and geographies.

  • Finolex Industries falls as Q4FY23 net profit drops 66.4% YoY to Rs 166.5 crore. Revenue declines 28.4% YoY, led by lower revenue in the resins and pipes & fittings segments. However, EBITDA margin improves 246 bps YoY as raw material and employee costs decrease. It appears in a screener for stocks in the sell zone based on days traded at current PE.

  • Vedanta's board approves an interim dividend of Rs 18.5 per equity for FY23, totaling Rs 6,877 crore. The record date is set as May 30, 2023.

  • Keystone Realtors declines despite an 82.2% YoY surge in Q4FY23 net profit to Rs 76.5 crore, driven by lower expenses in inventories and employee benefits. Revenue grows by 44.2% YoY. It appears in a screener for companies with low durability.

  • IndusInd Bank is rising on the back of a strong business outlook, projecting 18%-23% credit growth for FY23-26, driven by growth in the retail banking segment. The bank has increased 12.9% in the past month and is currently trading close to its 52-week high.

  • EIH is rising as its Q4FY23 net profit jumps by 5.7X YoY to Rs 84.4 crore, while its revenue surges by 111.7% YoY driven by robust demand for retail and corporate travel. The stock shows up in a screener for companies with high TTM EPS growth.

  • DCX Systems Ltd.declines despite a 125.8% YoY surge in Q4FY23 net profit to Rs 41.1 crore, supported by lower finance costs, mat credit, and deferred tax. EBITDA margin expands by 140 bps YoY, and revenue grows by 21.9% YoY. It appears in a screener for companies with a low Piotroski score, indicating weak financials.

  • Aditya Birla Fashion hits a new 52-week low with a net loss of Rs 187 crore in Q4FY23, compared to a net profit of Rs 43.6 crore in Q4FY22. It has added 104 new stores in Q4 and revenue increased by 26.2% YoY. It appears in a screener for oversold stocks based on MFIs.

  • The Federation of Automobile Dealers Associations (FADA) submits an application to the GST Council of India to decrease the GST rate on two-wheelers from 28% to 18%. FADA aims to make two-wheelers more affordable and revive the slumping demand.

  • ITI is rising as it bags an advance purchase order worth Rs 3,889 crore from BSNL for its 4G network rollout. The project involves the planning, engineering, supply, installation and commissioning of the 4G mobile network for 23,633 sites across the west zone of the BSNL network.

  • Porinju V Veliyath’s Equity Intelligence India buys a 0.54% stake in Kokuyo Camlin in a bulk deal on Monday.

  • Bharat Petroleum Corp's Q4FY23 net profit surges 145.1% YoY to Rs 6,870.5 crore on lower excise duty, employee costs, and foreign exchange loss. EBITDA margin expands by 365 bps YoY, while revenue grows 8.1% YoY on strong market sales. It appears in a screener for stocks with net profits increasing sequentially for three quart

Riding High:

Largecap and midcap gainers today include Adani Enterprises Ltd. (2,633.70, 13.22%), Adani Wilmar Ltd. (488.70, 9.99%) and Gland Pharma Ltd. (941.40, 5.36%).

Downers:

Largecap and midcap losers today include LTIMindtree Ltd. (4,857.85, -2.60%), Bharat Electronics Ltd. (107.90, -2.31%) and DLF Ltd. (467.85, -2.15%).

Movers and Shakers

19 stocks in BSE 500 are trading on high volumes today.

Top high volume gainers on BSE included Adani Enterprises Ltd. (2,633.70, 13.22%), Adani Wilmar Ltd. (488.70, 9.99%) and TV18 Broadcast Ltd. (32.95, 7.50%).

Top high volume losers on BSE were NCC Ltd. (102.40, -8.49%), HEG Ltd. (1,170.30, -7.19%) and Grasim Industries Ltd. (1,697.95, -1.19%).

Varroc Engineering Ltd. (313.55, 6.07%) was trading at 22.1 times of weekly average. Bajaj Electricals Ltd. (1,212.60, 0.94%) and Akzo Nobel India Ltd. (2,507.85, 2.74%) were trading with volumes 10.2 and 9.5 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

19 stocks took off, crossing 52 week highs, while 2 stocks were underachievers and hit their 52 week lows.

Stocks touching their year highs included - Akzo Nobel India Ltd. (2,507.85, 2.74%), Carborundum Universal Ltd. (1193.00, -2.35%) and Ceat Ltd. (1,974.50, 2.41%).

Stocks making new 52 weeks lows included - Aditya Birla Fashion and Retail Ltd. (194.50, 2.45%) and Aavas Financiers Ltd. (1385.85, -0.12%).

25 stocks climbed above their 200 day SMA including Varroc Engineering Ltd. (313.55, 6.07%) and Capri Global Capital Ltd. (708.00, 4.83%). 6 stocks slipped below their 200 SMA including Mahindra Lifespace Developers Ltd. (393.50, -2.83%) and Amber Enterprises India Ltd. (2,035.40, -1.66%).

 
Trendlyne Marketwatch
Trendlyne Marketwatch
22 May 2023
Market closes higher, Delhivery’s Q4 net loss widens by 32.4% YoY to Rs 158.7 crore

Trendlyne Analysis

Nifty 50 closed at 18,314.40 (111, 0.6%), BSE Sensex closed at 61,963.68 (234, 0.4%) while the broader Nifty 500 closed at 15,504.00 (96.5, 0.6%). Of the 1,995 stocks traded today, 931 were on the uptrend, and 999 went down.

Indian indices closed in the green, with the volatility index, Nifty VIX, rising by nearly 2.8%. The benchmark Nifty 50 index rose over 110 points and closed above the 18,300 mark. Narayana Hrudayalaya’s share price increased by over 7.5% and touched its all-time high after its Q4 net profit surged 1.5x to Rs 173 crore.

Nifty Midcap 100 and Nifty Smallcap 100 closed in the green, following the benchmark index. Nifty Metal and Nifty Pharma closed above their Friday closing levels. According to Trendlyne’s sector dashboard, commercial services & supplies was the top-performing sector of the day.

Major European indices traded flat or lower, except for UK’s FTSE 100, which traded marginally higher. US indices futures traded flat as investors looked ahead to President Joe Biden’s meeting with House Republican Speaker Kevin McCarthy regarding the US Debt ceiling, scheduled later today.

  • Relative strength index (RSI) indicates that stocks like CreditAccess Grameen, Cholamandalam Financial Holdings, Indigo Paints and Cholamandalam Investment & Finance are in the overbought zone.

  • Divi's Laboratory rises despite its net profit tanking by 38.4% YoY to Rs 318.8 crore for Q4FY23. The company also faces a 22% YoY drop in revenue and an 18.3 percentage point decrease in EBITDA margins. It appears in a screener of stock with declining revenue for the past three quarters.

  • Cochin Shipyard sharply declines as its Q4FY23 net profit drops by 84.9% YoY to Rs 39.3 crore, while its revenue falls by 50.5% YoY due to a severe decline in its shipbuilding and ship repair segments.

  • Ramco Industries’ Q4FY23 net profit rises 26.1% YoY to Rs 58.4 crore on the back of a deferred tax adjustment of Rs 19.9 crore. Its revenue declines 11.6% YoY due to a decline in its building products and textiles segments. The stock shows up in a screener for companies with low Piotroski scores.

  • The National Company Law Appellate Tribunal (NCLAT) upholds the insolvency proceedings against Go First. This comes as a setback to lessors of the airlines seeking to repossess their aircraft.

  • Oil And Natural Gas Corp's arm ONGC Videsh partners with Oil India to acquire a 50% stake in Tullow Oil Plc's $3.4 billion oilfield project in Kenya, according to reports.

  • Delhivery’s Q4FY23 net loss widens by 32.4% YoY to Rs 158.7 crore, while its revenue falls by 10.2% YoY. However, the firm is rising as net loss is lower than the streets’ expectations, thanks to an 8.7% YoY drop in freight, handling, and service costs. The net loss is 6.4% lower than Trendlyne’s Forecaster estimates. It shows up in a screenerfor stocks with a low PE ratio.

  • Bharat Electronics rises as its Q4FY23 net profit surges by 19.6% YoY to Rs 1,365.4 crore. Revenue expands 2% YoY, and EBITDA margin increases 340 bps YoY due to lower raw materials and finance costs. It features in a screener for stocks with improving ROE for the past two years.

  • Bloomberg Opinion says that SEBI's limited enforcement abilities mean that the regulator may not be able to uncover the ownership of the Mauritius funds investing in Adani companies.

  • Narayana Hrudalaya touches its all-time high of Rs 856 per share as its net profit surges 1.5x to Rs 173 crore in Q4FY23. Revenue improves 30% YoY, while EBITDA margin expands by 400 bps YoY. It shows up in a screener of stocks with increased FII shareholding.

  • Larsen & Toubro's power transmission and distribution business wins two orders worth Rs 2,500-5,000 crore. The orders involve the establishment of overhead power transmission lines connecting cities along the Red Sea coast and the construction of a substation in the central region of Saudi Arabia.

  • IT companies like Tech Mahindra, LTIMindtree, Infosys, HCL Technologies and Wipro are rising in trade. All the constituents of the broader sectoral index Nifty IT are also trading in the green.

  • Balaji Amines hits 52-week low at Rs 1,880 today as Q4FY23 revenues drop 38.9% YoY and net profits decline 56.3% YoY. It appears in a screener for high volume and top losers.

  • JSW Steel remains flat as its net profit increases by 12% to Rs 3,741 crore in Q4FY23. Despite flat revenues at Rs 46,962 crore, the company achieves its highest crude steel production and saleable steel sales in the quarter. However, EBITDA margin decreases by 2.5 percentage points YoY. It features in a screener for stocks showing growth in net profit and increasing profit margin QoQ.

  • Glenmark Pharmaceuticals is falling as it posts a net loss of Rs 428.3 crore in Q4FY23 due to an exceptional loss of Rs 799.7 crore. However, revenue increases by 12% YoY, driven by increased sales in Europe, North America and the Rest of the World. The company features in a screener of stocks with reduced mutual fund shareholding in the past quarter.

  • Indian rupee depreciates 13 paise to Rs 82.2 against the US dollar in early trade today.

  • Homedge Infracon buys a 0.5% stake worth approximately 163.9 crore in APL Apollo Tubes in a bulk deal on Friday.

  • JK Lakshmi Cement is falling as its net profits decline by 40.1% YoY in Q4FY23 due to higher power and fuel expenses, despite a 16.2% YoY increase in revenue. The company shows up in the screener for High volume and top losers in the recent quarter.

  • Metal stocks like Adani Enterprises, APL Apollo Tubes, Vedanta and NMDC are rising in trade. The broader sectoral index Nifty Metal is also trading in the green, led by Adani Enterprises.

  • Diwakar Aggarwal, promoter of BLS International Services, sells a 2.7% stake in the company in a bulk deal on Friday.

  • Transport Corp of India rises as its revenue from operation grows 16.4% YoY to Rs 3,812 crore. EBITDA surges by Rs 39 crore and net profit by 9.5% YoY, driven by increased demand for railway and coastal multimodal services. It appears in a screener of stocks with strong cash-generating capabilities from core business.

  • Piramal Pharma rises as it receives zero observations and no action indicated designation for an inspection conducted at its Pithampur facility.

  • Muthoot Finance surges despite a marginal fall of 2.4% YoY in Q4FY23 profits to Rs 973.5, while revenue rises 8.4% YoY. The profit decrease is attributed to impairment and employee benefit expenses. The company shows up in a screener for stocks with reduced provisions in the recent quarter.

  • Tata Consultancy Services receives a purchase order worth Rs 15,000 crore from BSNL for the deployment of a 4G network across India.

  • Dilip Buildcon, in a joint venture with Vijay Kumar Mishra Construction, secures a Rs 699 crore order for the construction of an irrigation project. The Water Resource Department in Madhya Pradesh floats the tender for the project.

  • Zee Entertainment rises as the National Company Law Tribunal dismisses IDBI Bank's application to initiate insolvency proceedings on the company.

Riding High:

Largecap and midcap gainers today include Adani Enterprises Ltd. (2,326.10, 18.92%), Adani Wilmar Ltd. (444.30, 9.99%) and Muthoot Finance Ltd. (1,124.20, 8.63%).

Downers:

Largecap and midcap losers today include Gland Pharma Ltd. (893.55, -16.15%), Siemens Ltd. (3,399.70, -8.68%) and Supreme Industries Ltd. (2,731.85, -2.39%).

Crowd Puller Stocks

28 stocks in BSE 500 are trading on high volumes today.

Top high volume gainers on BSE included Adani Enterprises Ltd. (2,326.10, 18.92%), Elgi Equipments Ltd. (557.50, 18.06%) and Adani Wilmar Ltd. (444.30, 9.99%).

Top high volume losers on BSE were Gland Pharma Ltd. (893.55, -16.15%), Siemens Ltd. (3,399.70, -8.68%) and JK Lakshmi Cement Ltd. (724.10, -7.33%).

Balaji Amines Ltd. (2,167.30, -6.04%) was trading at 20.4 times of weekly average. Narayana Hrudayalaya Ltd. (831.35, 7.53%) and Muthoot Finance Ltd. (1124.20, 8.63%) were trading with volumes 17.5 and 11.1 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

13 stocks hit their 52-week highs, while 5 stocks tanked below their 52-week lows.

Stocks touching their year highs included - Carborundum Universal Ltd. (1,223.00, 1.84%), Cholamandalam Investment & Finance Company Ltd. (1,053.70, 0.99%) and Cyient Ltd. (1,386.75, 6.69%).

Stocks making new 52 weeks lows included - Ipca Laboratories Ltd. (682.15, 1.06%) and Aditya Birla Fashion and Retail Ltd. (189.85, -0.52%).

16 stocks climbed above their 200 day SMA including Suzlon Energy Ltd. (9.25, 8.82%) and Muthoot Finance Ltd. (1,124.20, 8.63%). 14 stocks slipped below their 200 SMA including Cochin Shipyard Ltd. (485.75, -10.40%) and Restaurant Brands Asia Ltd. (110.15, -6.81%).

 
logo
The Baseline
21 May 2023
Which stocks did superstar investors sell in Q4FY23?
By Suhas Reddy

Looking into the portfolios of Superstar investors gives us insights into the sectors and stocks they are bullish or bearish on. This can help us better understand their sentiments around the market, especially as it has turned volatile. 

Previously, we looked at the key superstar buys in Q4FY23. Now, let's  analyze their sells. 

Rakesh Jhunjhunwala/RARE Enterprises makes some key sells

Rakesh Jhunjhunwala’s portfolio sold stakes in seven companies in Q4FY23. The late investor’s portfolio is currently managed by the investment firm Rare Enterprises and Rekha Jhunjhunwala (his wife). The portfolio reduced its stake to below 1% in Dishman Carbogen Amcis (from 1.6%), a small-cap pharmaceuticals firm, which rose by 24.7% over the past six months till Friday. 

The big bull’s portfolio also pared its stake by 0.96% in Singer India  to 6.95% and in Autoline Industries by 0.35%, bringing its holding to 3.96%. Additionally, its stake in Edelweiss Financial Services was cut by 0.2% to 1.3%. 

Rare Enterprises also sold minor stakes in Nazara Technologies, D B Realty and Aptech in Q4FY23.

Sunil Singhania sells minor stakes in micro and small-cap companies 

Sunil Singhania’s Abakkus Fund sold a 0.35% stake in IT consulting and software company Tracxn Technologies in Q4FY23. He added the company to his portfolio in Q3FY23 by buying a 1.63% stake, and now holds 1.27% after selling a portion. 

Singhania also cut stake in The Anup Engineering by selling a 0.17% stake. He has been gradually reducing his stake in the industrial machinery company for three consecutive quarters, and now holds a 4.06% stake against 5.72% in Q1FY23.

Singhania also sold a 0.09% and 0.05% stake in Carysil (consumer durables manufacturer) and Rajshree Polypack (containers and packaging company), respectively. He now holds 6.14% and 7.62% in these companies, respectively.

Ashish Kacholia cuts his stake to below 1% in two companies 

Ashish Kacholia cut stake in consumer durables company Hindware Home Innovation to below 1% in Q4FY23. He also sold the stake in pharma company IOL Chemicals and Pharmaceuticals to below 1% during the same period. Prior to the Q4 sell-off, he consistently held 1.3% and 2%, respectively, in these companies for four consecutive quarters.

The ace investor also sold a 0.3% stake in Safari Industries (India), a textile manufacturer, bringing down his stake to 2.3%. He sold a stake in Xpro India for the first time since adding it to his portfolio and now holds 4.3%. He had been gradually increasing his stake in the packaging company each quarter since his initial purchase in Q2FY22. 

He also sold a 0.1% stake in Raghav Productivity Enhancers, leaving him with a 2% stake.

Kacholia also trimmed stakes in Genesys International Corp and Stove Kraft, where he now holds 1.6% and 1.8% respectively. 

Vijay Kedia makes minor changes to the portfolio in terms of stake sell

Vijay Kedia sold a 0.3% stake in  Ramco Systems (IT consultant) in Q4FY23, reducing his holdings in the company to 1.1%. He also reduced his stake in Tejas Networks (a telecom hardware company) by 0.3% to 2%. Kedia has been reducing minor stakes in both of these companies since Q4FY22. 

Ramco Systems has consistently reported losses since Q1FY22, while Tejas Networks has been loss-making since Q3FY22, except in Q2FY23.

Dolly Khanna continues to lighten her portfolio

Dolly Khanna continued her selling spree, signaling her bearish outlook on the market. The Chennai-based investor reduced her stakes in 12 companies during Q4FY23. Her biggest sells include Rama Phosphates, a small-cap fertilizer company, in which she lowered her stake below 1% from 1.5%. She also pared her stake in the apparel company, Monte Carlo Fashions, by 0.4% to 2.1%.

Of the 12 companies Khanna reduced her stakes in, two each were from the textiles, fertilizers, automobiles & auto components and FMCG sectors. She also decreased her holdings in one company from the metals & mining, oil & gas, general industrials and cement & construction sectors. 

She cut her stake by 0.2% each in Tinna Rubber & Infrastructure, Ajanta Soya and Talbros Automotive Component, bringing her holdings to 1.4%, 1.3% and 1% respectively. She also pared her stake in KCP by 0.18% to 2.25%. The ace investor reduced her holdings in Simran Farms, Prakash Pipes, Chennai Petroleum Corp and Nitin Spinners by 0.1% each to 2%, 2.7%, 2.1% and 1.3% respectively. She sold minor stakes in Mangalore Chemicals & Fertilizers and Pondy Oxides & Chemicals. 

Porinju V Veliyath reduces holdings in six companies

Porinju V Veliyath pared his stakes in a total of six companies in Q4FY23. Among them, he took his holdings below 1% in the household appliances company, Hindware Home Innovation, from a previous 1.1%. He also reduced his stake in Orient Bell, a ceramic tiles manufacturer, by 1% to 3.8%.

The ace investor cut his stakes in TCM by 0.3% to 1% and in Duroply Industries by 0.2% to 6.8%. He also sold minor stakes in Aurum Proptech and Taneja Aerospace & Aviation. 


This analysis by Trendlyne is meant for investor education - to help understand companies and make informed investment decisions on their own. It should not be considered an investment recommendation.