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Trendlyne Marketwatch
Trendlyne Marketwatch
01 Jul 2022
Market closes lower, Maruti Suzuki's total wholesales in June rises 5.8% YoY

Trendlyne Analysis

Indian indices recovered sharply from the day’s low and closed marginally lower on a volatile day of trade. Nifty 50 bounced back from its 250 points fall and closed above the 15,750 level. European stocks, which opened in the red, traded higher than Thursday’s levels. Most Asian indices closed in the red as investors continue to assess the global economic growth concerns due to high inflation levels. US stocks closed in the red on a volatile day of trade on Thursday. The tech-heavy NASDAQ 100 fell 1.3% while the S&P 500 closed 0.9% lower. The S&P 500 posted its biggest first-half slide this year since 1970. Crude oil fell over 3% on Thursday after OPEC+ confirmed it would only increase the output in August as announced previously despite tight global supplies.

Nifty Smallcap 100 and Nifty Midcap 100closed in the green despite the benchmark index closing lower. Nifty Infra and Nifty Energy closed lower than Thursday’s levels. Nifty FMCG and Nifty Realty, which opened in the red, closed higher. Nifty IT closed in the green despite the NASDAQ 100 closing lower on Thursday.

Nifty 50closed at 15,752.05 (-28.2, -0.2%), BSE Sensexclosed at 52,907.93 (-111.0, -0.2%) while the broader Nifty 500closed at 13,394.45 (6.9, 0.1%)

Market breadth is horizontal. Of the 1,873 stocks traded today, 914 were on the uptrend, and 901 went down.

  • Dhani Services, Hatsun Agro Products, TCNS Clothing Co., and Aditya Birla Sun Life AMC are trading with higher volumesas compared to Thursday.

  • Escorts Kubota India is rising despite its total wholesales in June falling 19.8% YoY to 10,051 units. Domestic tractor wholesales fall by 22.5% YoY to 9,265 units while exports rise 36.2% YoY to 786 units.

  • ICICI Securities initiates coverage on Delhivery with a ‘Hold rating and a target price of Rs 484. The brokerage believes the company is well placed to benefit from the growing e-commerce market in India, as it has a 90% market share in the third-party logistics distribution market. It expects the company’s revenue to grow at a 37.3% CAGR over FY22-25.

  • India’s manufacturing PMI falls to 53.9 in June compared to 54.6 in May, due to the rise in input costs and inflation concerns.

  • Maruti Suzuki India is falling despite a 5.8% YoY rise in total wholesales to 1.55 lakh units with total passenger vehicle wholesales up 7.8% YoY to 93,695 units. Mini and compact car segment’s wholesales rise 6.8% to 92,188 units and mid-size car wholesales rise 150.3% YoY to 1,507 units. Total exports rise 40% YoY to 23,833 units.

  • Ashok Leyland is falling in trade despite its total wholesales in June rising 2.2X YoY to 14,531 units. The growth is driven by total domestic wholesales rising 2.3X YoY to 13,469 units. The M&HCV (medium & heavy commercial vehicles) Truck segment’s wholesales rise by 3.4X YoY to 8,211 units and LCV (light commercial vehicle) wholesales rise 41% YoY to 5,177 units.

  • FMCG stocks like Hindustan Unilever, ITC, Nestle India, Dabur India, Britannia Industries, among others, are rising in trade. The broader sectoral index Nifty FMCG is also trading in the green.

  • Sanofi India and Deepak Nitrite hit their 52-week lows of Rs 6,333 and Rs 1,681.2, respectively. While Sanofi India falls for two sessions, Deepak Nitrite trades lower for three sessions.

  • IIFL Wealth Management is trading with more than five times its weekly average trading volume. Mahindra Holidays & Resorts India, REC, Reliance Industries, and Metro Brands are trading at more than two times their weekly average trading volumes.

  • Eicher Motors' joint venture VE Commercial Vehicles’ June 2022 total wholesales rise 158.7% YoY to 6,307 units. Domestic wholesales rise 217.3% YoY to 5,584 units but exports fall 1.5% YoY to 601 units.

  • Hindustan Unilever (HUL) approves the appointment of CEO Sanjiv Mehta on the board of PT Unilever Indonesia TBK as President Commissioner. He will continue to hold the position of CEO & MD of HUL and President of Unilever South Asia.

  • Bajaj Auto is falling as its total wholesales for the month of June marginally rise by 0.2% YoY to 3,47,004 units. Total two-wheeler wholesales grew 2% YoY to 3,15,948 units, as domestic wholesales fall 20% YoY to 1,25,083 units. Exports rise 23% YoY to 1,90,865 units.

  • Freight charges for containers fall as inflationary pressures ease. The composite rate has fallen in January 2022 compared to July 2021.

  • Federal Bank rises as its board approves raising up to Rs 4,000 crore through issuance of equity shares. The shareholders will take up this proposal at the annual general meeting to be held on July 27,2022.

  • Oil and Gas stocks like Reliance Industries, Oil and Natural Gas Corp, Indian Oil Corp, among others, are falling in trade after the Centre raises taxes on the export of petrol and diesel. The broader sectoral index BSE Oil & Gas is also trading in the red.

  • Indian rupee depreciates 5 paise to 79.11 to a new all-time low, against the American Dollar in early trade today, amid foreign capital outflows.

  • Jewellery company stocks like Titan Co, Asian Star Co, and Kalyan Jewellers, among others, are falling in trade, as the Centre raises its basic import duty on gold to 12.5% from the existing 7.5%. This is likely to raise the cost of gold, and could impact revenues of these companies.

  • Reco Zinnia (RZPL), a subsidiary of GIC (Realty) invests the second tranche of Rs 400 crore in Phoenix Mills’ subsidiaries (Offbeat Developers, Graceworks Realty, and Leisure). The first investment was completed on June 30, 2021, when RZPL invested Rs 111.1 crore. With the recent investment, RZPL will hold a 32.9% stake in each of Phoenix Mills subsidiaries.

  • Lupin is rising as the US FDA approves the company's abbreviated new drug application, or ANDA, for paliperidone extended-release tablets on Thursday. It also got approvals to market a generic equivalent of Invega extended-release tablets of Jansen Research and Development. The product will be manufactured in Lupin's Goa facility and has an estimated annual sales of $ 152 million in the US.

  • Jubilant HollisterStier, a wholly-owned subsidiary of Jubilant Pharmova, announces a 100 million canadian dollars (Rs 612.8 crore) expansion of its CMO (contract manufacturing organisation) manufacturing facility in Montreal, Canada. The Government of Quebec will be funding CAD 25 million (Rs 153.2 crore) through a loan, which includes a forgivable portion of CAD 6.3 million (Rs 38.6 crore). The company aims to modernize and augment its drug production capacity by over 100% through this investment.

  • Bharti Airtel opts to defer its adjusted gross revenue or AGR dues for FY19 for up to four years, while retaining the right to repay installment amounts. According to reports, total dues add up to Rs 3,000 crore. It opted for this offer under the Department of Telecommunication's scheme, instead of opting for conversion of the dues into equity like Vodafone Idea. Also, the Competition of Commission of India approved Google's $700 million investment in the company for 1.28% stake in the company.

Riding High:

Largecap and midcap gainers today include Muthoot Finance Ltd. (1,042.65, 6.80%), Jubilant Foodworks Ltd. (541.45, 5.70%) and Hindustan Petroleum Corporation Ltd. (228.45, 5.18%).

Downers:

Largecap and midcap losers today include Oil India Ltd. (213.85, -14.97%), Oil And Natural Gas Corporation Ltd. (131.05, -13.53%) and Reliance Industries Ltd. (2,408.70, -7.20%).

Crowd Puller Stocks

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

Top high volume gainers on BSE included Responsive Industries Ltd. (139.60, 18.25%), Mahindra Holidays & Resorts India Ltd. (227.30, 6.02%) and IIFL Wealth Management Ltd. (1,545.20, 4.33%).

Top high volume losers on BSE were Reliance Industries Ltd. (2,408.70, -7.20%) and Symphony Ltd. (863.65, -1.49%).

REC Ltd. (125.70, 1.58%) was trading at 5.0 times of weekly average. HLE Glasscoat Ltd. (3,389.85, 2.87%) and Metro Brands Ltd. (621.10, 3.73%) were trading with volumes 4.5 and 3.8 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

4 stocks took off, crossing 52-week highs, while 19 stocks tanked below their 52-week lows.

Stocks touching their year highs included - ITC Ltd. (284.35, 3.97%), TVS Motor Company Ltd. (860.45, 2.20%) and Jamna Auto Industries Ltd. (124.90, 2.25%).

Stocks making new 52 weeks lows included - Bajaj Finserv Ltd. (11,322.55, 3.57%) and Biocon Ltd. (311.55, 1.02%).

15 stocks climbed above their 200 day SMA including Mahindra Holidays & Resorts India Ltd. (227.30, 6.02%) and Federal Bank Ltd. (93.65, 3.82%). 10 stocks slipped below their 200 SMA including Oil India Ltd. (213.85, -14.97%) and Reliance Industries Ltd. (2,408.70, -7.20%).

 
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The Baseline
01 Jul 2022
Copper as recession predictor, and FIIs buy options instead of stocks

When it comes to the stock market, we love mental shortcuts. Take for example, the link investors make between the price of copper and economic growth. Because copper is so widely used across industries, the up or down movement in the copper price tells us whether the global economy is going to boom or crash.

In recent months, copper has fallen sharply, along with other metal prices like aluminium, zinc, and steel. And expectations are that economic growth is slowing. This global slowdown is expected to impact future demand for all metals.

In this week's Analyticks,

  • Investors in metal stocks sweat over growth concerns
  • Foreign investors continue selling, but are buying in the F&O market

Let’s get into it.

Metal stocks struggle as investors see economic slowdown

Tariffs are notoriously bad at managing a rapidly changing economy. A little over a month ago India, worried about rising costs for infrastructure projects, imposedexport duties on steel.

The Centre couldn’t have predicted the crash in global metal prices that arrived soon after, which hit metal stocks badly and made these export duties an overreaction.

While its arguable that these duties on exports have reduced inflation in India, the demand for steel, aluminium, copper, and other metals is now falling due to concerns of a global recession.

Copperfell to its 16-month low last week. The fear of a fast-moving US Federal Reserve pushing the US into a recession is upending prices across assets and commodities. But despite thepessimism among traders, there is more than one way to look at this churn in metals.

Carmakers have faced acute cost pressures due to steel prices that were rising till recently. Cable makers were also hit by a rise in input costs, especially in metal. Wholesale price inflation reached 15.88% in May, a 30-year high for the WPI. But since its peak, this is how the Nifty Metal index has corrected—

This will certainly impact listedmetals and mining companies, which were expecting the surge in demand in 2021 to last longer. What’s causing the pain?

Valuations are shrinking everywhere

ICICI Securitiessays asset valuations globally are in reset mode. This will not leave metals unscathed, and the fear of a demand slowdown has led the brokerage to downgrade its ratings onTata Steel,Hindalco, andJSW Steel.

This is more bad news after the Centre imposed export duties on steel and iron ore prices, which led to asell-off in metal stocks. Most of these companies’ shares are down 15%-50% down from their year highs.

Kotak Institutional Equities alsodowngraded Tata Steel and JSW Steel to ‘Reduce’. It expects demand slowdown to impact margins at these steel makers.

If these export duties are just a temporary measure to curb rising prices (like in 2008), an eventual rollback could improve the margin outlook for metal stocks.

Metals companies fortunately also have cash in the bank to get through this crisis. In the months before, a commodities boom delivered high profits that helped them reduce their debt, and this keeps them on strong footing to weather the storm.

JSW Steel, Tata Steel, Hindalco andVedanta posted huge profits, with their FY22 net profit seeing at least a 4X rise from FY20. Vedanta swung to a huge Rs 15,000 crore profit in FY21 from a Rs 4,700 crore odd loss in FY20 and rose nearly 58% YoY to Rs 23,709 crore in FY22.

As all metals saw a surge in demand, evenHindustan Zinc posted higher profits, but its growth was not as rapid as other metal miners and product makers.

However, Trendlyne’s Forecaster shows that there might be some slowdown in demand growth going forward. The average revenue estimate in Forecaster’s consensus estimates indicate only JSW Steel seeing steady revenue growth over the next two financial years.

Analysts expect Hindustan Zinc to see a growth in revenue and profit in FY23, according toTrendlyne’s Forecaster estimates. But in FY24, this could taper off.

There are concerns over future demand for metals this year, and this is expected to impact most companies in the listed space. LME aluminium prices are down 36% from its peak seen in April as there is a surplus of aluminium in the market.

Analysts are taking cues from falling copper prices - a price correction in this metal is usually followed by an economic recession, and that’s what the market is pricing in. But a recession in Europe and the US might not be the calamity that it is expected to be, with many predicting a mild recession rather than a serious one.

China’s economy reopening is also a silver lining. China consumes nearly a third of the world’s steel and imports a lot of iron ore. Over the past couple of years, the country has been trying to cut carbon emissions from steel mills at home, and import steel instead. Investors in metal stocks will be hoping that there is a surge in demand for metals, as the Chinese economy comes back to life.

FII/DII flows: FII investors switch from equities to options

This week saw the rupee fall to a new all-time lowagainst the dollar, ending below Rs 79 on Wednesday. This is because foreign investors have been selling Indian shares and other assets. Over the past six months, we have seen a trend of FIIs pulling out cash from equities and putting them mainly in index and stock options. By contrast, domestic mutual funds are pumping cash into equities, as MFs see record SIP flows every month. 

In the last month,  FIIs pulled out a total of Rs 16,329.9 from the Indian stock market as a whole. They invested Rs 34,106.4 crore into index futures, but sold Rs 46,954.9 crore worth of shares during the same period. Indian mutual funds bought some of these shares foreign investors sold, with a Rs 20.712.9 crore investment.

In the past two weeks, FIIs sold shares worth Rs 21,587.2 crore. Mutual funds bought shares worth Rs 9,119 crore over the same period.

With SIP flows remaining steady, mutual funds may continue their buying despite foreign investors withdrawing in droves. MFs are not making up the shortfall completely, and there is volatility expected ahead for Indian markets.

 
Trendlyne Marketwatch
Trendlyne Marketwatch
30 Jun 2022
Market closes flat, Asian Paints re-appoints MD & CEO Amit Syngle

Trendlyne Analysis

Nifty 50 closed flat after gyrating between gains and losses on a volatile day of trade. European stocks traded sharply lower, taking cues from the US indices futures. Major Asian indices closed mixed, tracking the US indices, which also closed mixed on Wednesday. The tech-heavy index, NASDAQ 100, rose 0.2% while the S&P 500 closed marginally lower. Investors continue to monitor the impact of aggressive rate hikes on global economic growth. Crude oil is set for its first monthly decline this year ahead of the OPEC+ meeting to discuss the group’s supply policy.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the red despite the benchmark index trading flat. Nifty FMCG and Nifty PSU Bank closed lower than Wednesday levels. Nifty Metal, which opened in the green, closed 2% lower. Nifty IT closed lower, tracking the NASDAQ 100 futures, which are trading in the red.

Nifty 50closed at 15,780.25 (-18.9, -0.1%), BSE Sensexclosed at 53,018.94 (-8.0, 0.0%) while the broader Nifty 500 closed at 13,387.55 (-30.3, -0.2%)

Market breadth is in the red. Of the 1,877 stocks traded today, 629 were gainers and 1,200 were losers.

  • Stocks like FIEM Industries, Mahindra CIE Automotive, Asahi India Glass, and Sterling Tools, among others are outperforming the auto parts and equipment industry's month change of 5.8%.

  • MTAR Technologies receives an export order worth $22.12 million (approximately Rs 174.6 crore) in clean energy segment. The orders will be executed from January 2023 to June 2023.

  • Asian Paints’ shareholders approve the re-appointment of MD & CEO Amit Syngle for a period of five years. His new tenure starts from April 1, 2023 to March 31, 2028.

  • Ahluwalia Contracts is rising in trade as it secures an order worth Rs 209 crore for the construction of Adani Connex Data Centres in Noida. The company’s total order inflow during FY23 now stands at Rs 713 crore.

  • JB Chemicals & Pharmaceuticals is rising as its board of directors approve the acquisition of four pediatric drug brands from Dr. Reddy's Laboratories. JB Pharma will pay Rs 98 crore for these four pediatric drug brands.

  • TVS Motors is in talks with TPG Capital and KKR & Co for an investment of at least Rs 236.8 crore, according to reports. The investment is to fund the company's expansion of its electric vehicle business.

  • Hatsun Agro Products is trading with more than 20 times its weekly average trading volume. Ratnamani Metals & Tubes, Bajaj Holdings & Investment, Multi Commodity Exchange of India, and Zydus Wellness are trading at more than four times their weekly average trading volumes.

  • Axis Securities initiates coverage on Coal India with a ‘Buy’ rating with a target price of Rs 225, indicating an upside of 21%. The brokerage is positive on the company’s prospects due to its stable EBITDA margins, high coal prices, and robust cash flows. It expects the company’s revenue to grow at a 7.2% CAGR over FY22-24.

  • Dr. Reddy’s Laboratories rises after it settles patent litigation with Indivior Inc and Aquestive Therapeutics on the medication of treating opioid addiction. The US Court on Wednesday dismissed all claims and counter-claims pending with the case. Dr. Reddy's will receive a settlement from Indivior and Aquestive worth $72 million by March 31, 2024.

  • Wonderla Holidays rises after announcing the signing of a lease agreement with the Government of Odisha to lease around 50 acres of land to develop an amusement park in Bhubaneswar.

  • Realty stocks like Phoenix Mills, Indiabulls Real Estate, Godrej Properties, DLF, and Brigade Enterprises, among others, are falling in trade. The broader sectoral index Nifty Realty is also trading in the red.

  • Automotive safety and float glass maker Asahi India is rising in trade after the Department of Commerce recommends imposing an anti-dumping duty on imports of clear float glass, according to reports.

  • Indian rupee rises 13 paise to Rs 78.90 against the dollar in early trade today.

  • Sundram Fasteners to invest Rs 750 crore, over the next two to five years, to create and increase the capacity of defense and wind energy businesses, and develop components in emerging technology segments, according to reports.

  • Multi Commodity Exchange of India is rising in trade as SEBI (Securities Exchange Board of India) allows foreign portfolio investors (FPIs) to trade in exchange-traded commodity derivatives, according to reports. The FPIs will be allowed to trade in all non-agricultural commodity derivatives and select non-agricultural benchmark indices. Initially, they will be allowed only in cash-settled contracts.

  • Sterlite Technologies signs an agreement to acquire the balance 25% stake in Jiangsu Sterlite Tongguang Fiber Co (JSTFCL). The cost of acquisition is Rs 65 crore. Post-acquisition JSTFCL will become a wholly-owned subsidiary of Sterlite Technologies.

  • Indian Oil Corp approves expansion of Digboi refinery in Assam to 1 million tonne per annum from 0.65 million tonner per annum to improve the profitability of the refinery. The cost of this project is close to Rs 740.2 crore. The project is likely to be commissioned by October 2025.

Riding High:

Largecap and midcap gainers today include Adani Transmission Ltd. (2,473.65, 5.36%), Shriram Transport Finance Company Ltd. (1,281.35, 4.68%) and REC Ltd. (123.75, 3.12%).

Downers:

Largecap and midcap losers today include Zomato Ltd. (53.85, -6.02%), One97 Communications Ltd. (675.70, -4.24%) and Bajaj Auto Ltd. (3,706.60, -4.16%).

Movers and Shakers

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

Top high volume gainers on BSE included Infibeam Avenues Ltd. (14.10, 7.22%), Gujarat Pipavav Port Ltd. (77.10, 6.34%) and Aptus Value Housing Finance India Ltd. (281.80, 6.04%).

Top high volume losers on BSE were Borosil Renewables Ltd. (601.70, -7.91%), CSB Bank Ltd. (193.10, -3.23%) and Hatsun Agro Products Ltd. (881.15, -2.32%).

Ratnamani Metals & Tubes Ltd. (1,654.40, -1.55%) was trading at 10.0 times of weekly average. Zydus Wellness Ltd. (1,636.85, 3.91%) and Multi Commodity Exchange of India Ltd. (1,307.95, 2.63%) were trading with volumes 9.4 and 8.3 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

3 stocks made 52-week highs, while 9 stocks tanked below their 52-week lows.

Stocks touching their year highs included - Blue Dart Express Ltd. (7,802.15, -0.00%), TVS Motor Company Ltd. (841.95, 1.03%) and Ratnamani Metals & Tubes Ltd. (1,654.40, -1.55%).

Stocks making new 52 weeks lows included - Bajaj Finserv Ltd. (10,931.75, -1.60%) and Biocon Ltd. (308.40, -0.58%).

9 stocks climbed above their 200 day SMA including SKF India Ltd. (3,637.80, 4.72%) and Shriram Transport Finance Company Ltd. (1,281.35, 4.68%). 13 stocks slipped below their 200 SMA including Gujarat State Fertilizer & Chemicals Ltd. (132.00, -4.59%) and Bank of Baroda (97.40, -3.71%).

 
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The Baseline
30 Jun 2022
Chart of the Week: HDFC Bank’s credit card business gains ground over peers

With credit demand bouncing back in India, there is hope that consumer sentiment will turn positive. There is fierce competition among players as people have resumed eating out, shopping and traveling. This has led credit card spends to reach Rs 1.14 lakh crore at the end of May 2022 as increased incentives from banks boosted customer spends.

ICICI Bank was slightly ahead of SBI Cards in transaction market share at the end of May 2022. HDFC Bank maintained a steady lead over everyone else, with a 27.7% market share in the same month. HDFC Bank processed a total of Rs 31.75 thousand crore, up 113% YoY and 8% MoM. ICICI Bank’s total transaction on credit cards also rose over the past few months. At the end of January, the bank had processed Rs 18.8 thousand crore, and this rose 16% to Rs 21.9 thousand crore at the end of May 2022. Despite the rise in transactions, ICICI Bank saw a decrease in market share from 21.4% to 19.2% in the same time period.

While HDFC Bank and ICICI Bank are ahead in transactions, their market share in "credit cards issued" is down,Axis Bank has gained ground here in the past few months. At the end of December 2021, HDFC Bank and ICICI Bank had 162.7 lakh (22.9% market share) and 127.7 lakh credit cards issued (19.27% market share), respectively. This fell to 149.1 lakh (22.4% market share) and 107.2 lakh (17.35% market share), respectively at the end of May 2022. 

 The rise in transactions for HDFC Bank and ICICI Bank despite the market share decline indicates the differences in customer profile between banks. While banks issue as many cards as they can, eventually the real win is about having customers that make the most number of transactions. Right now HDFC Bank gets the cream, in terms of transaction value.

 
Trendlyne Marketwatch
Trendlyne Marketwatch
29 Jun 2022
Market closes lower, Tata Motors partners with Japanese chipmaker Renesas Electronics

Trendlyne Analysis

Nifty 50 closed in the red with the volatility index, Nifty VIX rising above 22%. Indian indices snapped their four-day winning streak amid weak global cues. European indices followed the global trend and traded lower than Tuesday’s levels. Major Asian indices closed lower, tracking the US indices, which fell sharply on Tuesday. US stocks declined after the US consumer confidence index fell for second straight month and to the lowest level since February 2021. The tech-heavy NASDAQ 100 fell over 3% while the S&P 500 closed 2% lower. Crude oil eased after rising for three consecutive days. Tight crude oil supply due to the geopolitical crisis, and fears of slow economic growth remain the key levers affecting the crude oil price.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the red, following the benchmark index. Nifty FMCGand Nifty Bank closed lower than Tuesday’s levels. Nifty Media, which opened in the red, closed flat. Nifty IT closed in the red, tracking the NASDAQ 100, which fell over 3% on Tuesday.

Nifty 50closed at 15,799.10 (-51.1, -0.3%), BSE Sensexclosed at 53,026.97 (-150.5, -0.3%) while the broader Nifty 500closed at 13,417.85 (-46.4, -0.3%)

Market breadth is in the red. Of the 1,872 stocks traded today, 746 were on the uptrend, and 1,070 went down.

  • Poly Medicure, Sundaram Finance, NHPC, and TCNS Clothing Co. are trading with higher volumes as compared to Tuesday.

  • Bharti Airtel sees a long build-up in its Jun 30 future series as its open interest rises 4.7% with put to call ratio of 0.68.

  • Ultratech Cement rises in a weak market after Nirmal Bang maintains a ‘Buy’ on the stock with no change in the target price of Rs 6,772. However, the brokerage expects the company's earnings in H1FY22 to face pressure because of high pet coke prices and weak realizations.

  • GAIL (India) rises as the public enterprise selection board picks Sandeep Kumar Gupta as the new Chairman of the company. Sandeep Kumar Gupta is currently the Director of Finance at Indian Oil Corp and will replace Manoj Jain, Chairman of GAIL who is scheduled to retire on August 31.

  • NMDC falls after shareholders and creditors approve the demerger of Nagarnar Steel Plant as said by the company’s CMD, Sumit Deb. NMDC is building a 3 million tonne per annum steel plant at Nagarnar at a cost of Rs 23,140 crore.

  • Energy stocks like Reliance Industries, Adani Transmission, Adani Green Energy, Oil and Natural Gas Corp, and Power Grid Corp of India, among others, are rising in trade. The broader sectoral index Nifty Energy is also trading in the green.

  • Bernstein maintains a 'Buy' call on Reliance Industries and raises target price to Rs 3,360 from Rs 2,830, according to reports. The brokerage says that the tariff hikes may drive strong Jio results and that e-commerce acceleration across categories will lift retail segment.

  • Orient Bell rises in intra-day trading after Crisil upgrades its rating on the bank facilities for the company to Crisil A/Stable/Crisil A1 from Crisil A-/Stable/Crisil A2+. The rating agency believes the company has a comfortable financial risk profile. It also expects revenue to grow by 10-12% CAGR over the medium term given the demand from the real estate sector remains healthy.

  • J B Chemicals & Pharmaceuticals is trading with more than seven times its weekly average trading volume. MTAR Technologies, Jamna Auto Industries, Alembic Pharmaceuticals, and Au Small Finance Bank are trading at more than four times their weekly average trading volumes.

  • SIS's board approves buyback of up to Rs 80 crore of fully paid-up equity shares of the company having a face value of Rs 5 per share. 

  • Tata Motors is rising in trade after it announces a strategic partnership with the Japanese chipmaker Renesas Electronics Corp. The companies will collaborate to develop next-generation automotive electronics, to accelerate the growth of electric and connected vehicles.

  • The Maharashtra government signs a memorandum of understanding withAdani Green Energyto generate 11,000 MW of green power over the next five years, according to reports. This is expected to entail an investment of Rs 60,000 crore over the next five years.

  • IDBI Capital maintains its ‘Buy’ rating on Mahindra & Mahindra with a target price of Rs 1,643, indicating an upside of 52%. The brokerage believes the newly launched ‘Scorpio N’ will boost volume growth for the company going forward. It expects the company’s sales volume growth to continue on competitive pricing and new product launches. The brokerage estimates the company’s revenue to grow at a 22.3% CAGR over FY22-24

  • AU Small Finance Bank falls more than 5% in trade today after Credit Suisse initiates coverage on the stock with an ‘underperform’ rating, according to reports. The brokerage set a target price of Rs 510 for the stock. It expects slippages to remain high from the restructured loan book and credit costs to rise in the SME segment.

  • Bank stocks like HDFC Bank, ICICI Bank, State Bank of India, Kotak Mahindra Bank, Axis Bank, among others, are falling in trade. The broader sectoral index Nifty Bank is also trading in the red.

  • Biocon hits a 52-week low of Rs 309 after the Central Bureau of Investigation (CBI) challenged the local court to gain custody of the people involved in the Central Drugs Standard Control Organisation bribery case. CBI arrested L Praveen Kumar of Biocon Biologics, an Associate Vice President, and joint drug controller Eswara Reddy, for demanding a bribe of Rs 9 lakh to waive off Phase-3 trial of ‘Insulin Apart Injection’.

  • Godawari Power & Ispat acquires a 78.96% stake in Alok Ferro Alloys for a total cash consideration of Rs 127 crore. The company acquires 37.8 lakh shares of Alok Ferro Alloys at a fair market value of Rs 336 per share.

  • Indian rupee falls to a new record low by 11 paise (0.14%) to Rs 78.88 against the dollar in early trade today.

  • Jammu and Kashmir Bank is rising after approving the raising of equity share capital of Rs 500 crore in one or more tranches. The plans to raise capital by way of rights issue or preferential allotment or follow-on public offer or any other approved method.

  • Route Mobile’s board approves a buyback of 7.05 lakh equity shares worth Rs 120 crore through the open market route. The buyback comprises 1.12% of the total paid-up share capital at a price of Rs 1,700 per share. The promoters and promoter group entities will not participate in the buyback.

  • Reliance Industries’ subsidiary Reliance Jio Infocomm’s board approves the appointment of Akash Ambani as Chairman as Mukesh Ambani steps down, according to reports. Akash Ambani was the Chief Strategy Officer at Reliance Jio before taking over as Chairman.

Riding High:

Largecap and midcap gainers today include Adani Transmission Ltd. (2,347.90, 8.53%), Bosch Ltd. (15,523.00, 5.91%) and Oil India Ltd. (261.60, 4.79%).

Downers:

Largecap and midcap losers today include Zomato Ltd. (57.30, -4.98%), NHPC Ltd. (30.95, -4.77%) and Max Financial Services Ltd. (777.85, -4.62%).

Movers and Shakers

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

Top high volume gainers on BSE included Aavas Financiers Ltd. (2,077.90, 7.34%), Bosch Ltd. (15,523.00, 5.91%) and Abbott India Ltd. (18,992.80, 4.72%).

Top high volume losers on BSE were Johnson Controls-Hitachi Air Conditioning India Ltd. (1,506.10, -4.68%), Au Small Finance Bank Ltd. (596.05, -4.27%) and Indian Energy Exchange Ltd. (161.30, -3.50%).

ZF Commercial Vehicle Control Systems India Ltd. (7,434.65, 1.25%) was trading at 17.4 times of weekly average. J B Chemicals & Pharmaceuticals Ltd. (1,556.45, -0.77%) and Alembic Pharmaceuticals Ltd. (739.05, 0.12%) were trading with volumes 8.2 and 6.8 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

4 stocks made 52-week highs, while 9 stocks tanked below their 52-week lows.

Stocks touching their year highs included - Blue Dart Express Ltd. (7,802.40, 3.15%), Phoenix Mills Ltd. (1,209.35, 1.68%) and TVS Motor Company Ltd. (833.35, 1.60%).

Stocks making new 52 weeks lows included - Bajaj Finserv Ltd. (11,109.75, -2.24%) and Biocon Ltd. (310.20, -1.82%).

7 stocks climbed above their 200 day SMA including Abbott India Ltd. (18,992.80, 4.72%) and Trent Ltd. (1,109.25, 3.84%). 8 stocks slipped below their 200 SMA including Au Small Finance Bank Ltd. (596.05, -4.27%) and SKF India Ltd. (3,473.95, -2.05%).

 
Trendlyne Marketwatch
Trendlyne Marketwatch
28 Jun 2022
Market closes flat, Edelweiss Capital initiates coverage on Medplus Health Services

Trendlyne Analysis

Nifty 50 erased its losses and closed flat on a volatile day of trade. Indian indices extended their winning streak to four days. European stocks traded higher, taking cues from the Asian indices, which closed in the green. Asian shares rose after China eased some Covid restrictions.

The US indices closed in the red on a volatile day of trade on Monday. The tech-heavy index, NASDAQ 100, fell 0.8% while the Dow Jones fell marginally by 0.2%. However, US indices futures traded in the green. Crude oil rises as the Group of Seven or G-7 countries plan to tighten Russia’s finances with new sanctions that include a plan to cap the price of Russian oil.

Nifty Midcap 100 closed in the green, following the benchmark index. Nifty FMCG and Nifty Realty closed higher than Monday’s levels. Nifty Auto, which opened in the red, closed sharply higher. Nifty IT closed in the green, tracking the NASDAQ 100 futures, which traded in the green.

Nifty 50closed at 15,850.20 (18.2, 0.1%), BSE Sensexclosed at 53,177.45 (16.2, 0.0%) while the broader Nifty 500closed at 13,464.25 (19.7, 0.2%)

Market breadth is in the green. Of the 1,873 stocks traded today, 977 were in the positive territory and 852 were negative.

  • Tube Investments of India, Galaxy Surfactants, Cholamandalam Financial Holdings, and Ajanta Pharmaare trading with higher volumesas compared to Monday.

  • Mahindra & Mahindra sees a long build-up in its Jun 30 future series as its open interest rises 7.3% with a put to call ratio of 0.83.

  • Hindustan Aeronautics' board approves a final dividend of Rs 10 per equity share for FY22, subject to the approval of the members of the company. The company has not declared the record date yet.

  • Stocks like Laxmi Organic Industries, IDBI Bank, Hindustan Zinc, Symphony, and Indian Railway Finance Corporation are in the oversold zone according to the technical indicator relative strength index or RSI.

  • Chambal Fertilisers & Chemicals and IDBI Bank hit their 52-week lows of Rs 268.2 and Rs 31.2, respectively. While Chambal Fertilisers & Chemicals falls for two days, IDBI Bank trades lower for six consecutive days.

  • Paint stocks like Asian Paints, Berger Paints and Kansai Nerolac Paints, among others, fall in trade as the crude oil prices rise.

  • Medplus Health Services rises as Edelweiss Capital initiates coverage of the company with 'BUY' rating, according to reports. The brokerage believes that Medplus offers industry-leading growth in pharmacy retailing due to profitable unit economics, integrated supply chain, attractive pricing and neighbourhood approach. Edelweiss forecasts revenue CAGR of 26% over FY22-25E and rise in ROCE to 23% from 18%. The target price is Rs 905 (an upside of 21%).

  • Asian Paints beats Berger Paints in YoY revenue growth, ROE, and mutual fund holding but lags in YoY profit growth, PE ratio, price to book ratio, and broker average target upside.

  • Tata Motors will hike the prices of its commercial vehicle products from July 1. The price hike will be in the range of 1.5%-2.5% across commercial vehicles to make up for rise in input costs.

  • CLSA initiates coverage on Campus Activewear with a ‘buy’ rating and a target price of Rs 370. The brokerage believes that backward integration of business and an expanding omnichannel network puts the company on a strong foot in the sports and athleisure footwear market. The brokerage expects the revenue for the company to grow by 3X and operating profit by 4X over FY22-25.

  • Brigade Enterprises is trading with more than eight times its weekly average trading volume. Medplus Health Services, Sundaram Financem, Network 18 Media & Investments, and Endurance Technologiesare trading at more than three times their weekly average trading volumes.

  • Oil and Gas stocks like Reliance Industries, Adani Total Gas, Oil And Natural Gas Corp, Bharat Petroleum Corp, GAIL (India), and Petronet LNG are rising in trade amid the rise in crude oil prices. The broader sectoral index BSE Oil & Gas is also trading in the green.

  • Indiabulls Real Estate falls as the National Anti-profiteering Authority finds the builder guilty of profiteering. Based on a case filed by a homebuyer that the builder has not passed on ITC benefits worth Rs. 6.46 crore to homebuyers in the Sierra-Vizag project situated in Vishakhapatnam.

  • Vedanta to raise Rs 4,809 crore from Life Insurance Corp via 10-year bonds as offshore borrowing gets costlier, according to reports. Vedanta will also raise Rs 2,000 crore via 18-month papers.

  • ICICI Securities maintains its ‘Buy’ rating on Balkrishna Industries with a target price of Rs 2,587, indicating an upside of 21.4%. The brokerage is positive on the company’s prospects due to its production expansion plans, plant modernisation projects and cost-saving measures. It expects the company’s revenue to grow at a 18.2% CAGR over FY22-24.

  • Mahindra and Mahindra rises to a new all time high of Rs 1,121.45 as Emkay Global reiterates 'BUY' rating, according to reports. The brokerage believes that improvement in chip supplies and the company's large order book will raise volume by 3% each for FY23 and FY24. The target price is raised to Rs 1,250 (an upside of 11.93%).

  • Societe Generale sells 46.8 lakh shares (0.77% stake) of Dhani Services at an average price of Rs 29.55 in a bulk deal on Monday. The total transaction amounts to Rs 13.8 crore.

  • Brigade Enterprises rises in trade after the company inks a Joint Development Agreement to develop a large residential township of around 2.1 million sq ft in Chennai. The project is situated in Perumbakkam.The company expects a revenue realisation of Rs 1,500 crore in five years and is targeting a revenue of Rs 6,000 crore over five years  from the Chennai residential business.

  • Glenmark Pharmaceuticals’ subsidiary acquires abbreviated new drug applications or ANDAs for four over-the-counter (OTC) drugs in the US from Wockhardt. With this, the company enters the US OTC market.

  • Moody’s upgrades its outlook on Tata Steel to ‘positive’ from ‘stable’, as the rating agency believes the company delivered a robust performance on the operating front in Q4FY22. It also expects the company to reduce its debt by $1 billion in FY23.

  • Indian rupee falls to a record low by 22 paise (0.28%) to Rs 78.57 against the dollar in early trade today.

  • Cipla announces buying of additional stake in digital tech company GoApptiv Private for Rs 26 crore. On completion of the deal, Cipla’s total stake in the company will go up to 22.02% on a fully diluted basis. The company’s previous investment in GoApptiv in June 2020 helped in expansion of Cipla’s channel reach across lower tier towns in India.

Riding High:

Largecap and midcap gainers today include Tube Investments of India Ltd. (1,753.80, 7.41%), Oil India Ltd. (249.65, 6.92%) and 3M India Ltd. (22,013.05, 5.64%).

Downers:

Largecap and midcap losers today include Zomato Ltd. (60.30, -8.43%), Astral Ltd. (1,632.55, -3.76%) and Titan Company Ltd. (1,968.05, -3.54%).

Crowd Puller Stocks

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

Top high volume gainers on BSE included Mahindra CIE Automotive Ltd. (241.90, 8.11%), Network 18 Media & Investments Ltd. (67.80, 7.88%) and Prince Pipes & Fittings Ltd. (614.30, 5.57%).

Top high volume losers on BSE were Indian Energy Exchange Ltd. (167.15, -4.43%), Wockhardt Ltd. (212.65, -4.02%) and Astral Ltd. (1,632.55, -3.76%).

Brigade Enterprises Ltd. (446.85, 1.20%) was trading at 10.5 times of weekly average. Medplus Health Services Ltd. (764.45, 2.19%) and ZF Commercial Vehicle Control Systems India Ltd. (7,342.85, 0.60%) were trading with volumes 7.9 and 5.6 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

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

Stocks touching their year highs included - Blue Dart Express Ltd. (7,563.85, 3.59%), Mahindra & Mahindra Ltd. (1,112.00, 2.71%) and Phoenix Mills Ltd. (1,189.35, 4.85%).

Stocks making new 52 weeks lows included - Chambal Fertilisers & Chemicals Ltd. (269.95, -5.21%) and Johnson Controls-Hitachi Air Conditioning India Ltd. (1,580.00, -2.30%).

5 stocks climbed above their 200 day SMA including Tube Investments of India Ltd. (1,753.80, 7.41%) and SKF India Ltd. (3,546.65, 3.23%). 4 stocks slipped below their 200 SMA including Tata Teleservices (Maharashtra) Ltd. (124.30, -3.12%) and Minda Industries Ltd. (928.60, -0.96%).

 
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The Baseline
27 Jun 2022
Five stocks with the highest dividend yields
By Suhas Reddy

With the stock market witnessing huge amounts of volatility over the past few weeks, many stocks lost a lot of their value. In these unpredictable times, investors have been picking high dividend yield stocks. Here we take a look at stocks with the highest dividend yields over the past three years. Not surprisingly, many of them are government-owned.  

  1. Bharat Petroleum Corp: This state-run oil-marketing company has one of the highest dividend yields in the past three years among the Nifty 500. Its three-year average dividend yield stands at 12.3%. The company increased its dividend payout in FY22. Over the last three years, it has declared eight dividends and in the past 12 months, declared six dividends. Its one-year dividend yield is 22.1%, which is higher mainly due to the special dividend of Rs 35 that got added to the final dividend of Rs 23, taking the total to Rs 58 per share. 

In FY22 the company declared four dividends worth Rs 68 per share, and in FY21 two dividends worth Rs 21 per share. In FY20 it declared two dividends worth Rs 24.5 per share. Overall, in three financial years the company declared dividends worth Rs 113.5 per share. However, the company’s stock fell 8.1% in the same period. Being a public sector company, Bharat Petro is required to pay a minimum annual dividend of 30% of net profit or 5% of net worth, whichever is higher subject to the maximum dividend permissible under law.   

  1. Power Finance Corp: This state-run NBFC’s three-year average dividend yield stands at 10.2%, and during the same time period it declared seven dividends worth Rs 31.5 per share. The company increased its dividend payout in FY22. The frequency of dividend pay-outs rose in the last 12 months, as it declared five dividends amounting to Rs 14 per share. 

In FY22, Power Finance declared four dividends amounting to Rs 12.75 per share, while in FY21, the company declared one dividend worth Rs 8 per share and one dividend worth Rs 9.5 per share the year before. Despite a rise in dividend payouts the stock is down 5.9% over the past three financial years. 

  1. REC: This infrastructure public sector NBFC’s three-year average dividend yield stands at 9.7%. During FY22, the company declared four dividends worth Rs 12.2 per share, increasing its dividend payout in FY22. In FY21 the company declared two dividends worth Rs 11 per share and one dividend worth Rs 11 per share during FY20. The company has maintained a consistent dividend payout over the past three years. However, the stock fell 15.2% over that period. The company’s net profit in the last two years rose significantly, up 20.1% and 71.1% YoY respectively in FY22 and FY21. 

  2. NMDC: This state-owned miner’s three-year average dividend yield stands at 8.8% and it declared four dividends totaling Rs 27.8 per share between FY 20-22. The company has been increasing its dividend payout annually over the past three financial years. During FY22, it declared two dividends amounting to Rs 14.7 per share,  and one dividend worth Rs 7.76 per share in FY21, In FY20 it declared just one dividend worth Rs 5.29 per share. While the company’s stock was volatile during FY 20-22, as a whole its stock rose 51.1% during the same period. Its annual net profit in FY22 rose 49.4% YoY to Rs 9,379.6 crore and in FY21 it rose 75.7% YoY to Rs 6,277 crore. 

  3. Indian Oil Corp: This oil marketing company’s three-year average dividend yield stands at 8.1% and over the same period it declared seven dividends amounting to Rs 26.25 per share. The company’s dividend payout has been increasing annually over the past three financial years. In FY22, the company declared three dividends totaling Rs 10.5 per share, another two dividends worth Rs 10.5 per share in FY21 and  two dividends worth Rs 5.3 per share in FY20. However, during these three years the stock fell an overall 26.1%. The company turned profitable on an annual basis in FY21, after incurring a loss in FY20 and FY19. 

 
Trendlyne Marketwatch
Trendlyne Marketwatch
27 Jun 2022
Market closes higher, Bajaj Auto's board approves a buyback worth Rs 2,500 crore

Trendlyne Analysis

Nifty 50 closed in the green with the volatility index, Nifty VIX, rising above 21%. Indian indices closed higher amid positive global cues and extended their winning streak to three days. European stocks followed the global trend and traded higher than Friday’s levels. Major Asian indices closed in the green, tracking the US indices, which closed sharply higher on Friday. The NASDAQ 100 rose 3.5% while the S&P 500 closed 3.1% higher. However, investors continue to monitor elevated inflation levels and the impact of aggressive rate hikes on global economic growth. Crude oil falls marginally as concerns over economic slowdown outweigh restricted Russian oil supplies amid sanctions over the Ukraine crisis.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the green, following the benchmark index. Nifty Pharma and Nifty Auto closed higher than Friday’s levels. Nifty IT closed in the green, tracking the tech-focused NASDAQ 100, which closed sharply higher on Friday.

Nifty 50closed at 15,832.05 (132.8, 0.9%), BSE Sensexclosed at 53,161.28 (433.3, 0.8%) while the broader Nifty 500closed at 13,444.55 (122.1, 0.9%)

Market breadth is ticking up strongly. Of the 1,903 stocks traded today, 1,391 showed gains, and 465 showed losses.

  • Brightcom Group, Kansai Nerolac Paints, Krishna Institute of Medical Sciences, and Sudarshan Chemical Industriesare trading with higher volumesas compared to Friday.

  • Bajaj Finance sees a long build-up in its Jun 30 future series as its open interest rises 1.9% with put to call ratio of 0.59.

  • BofA Securities initiates coverage on Delhivery with a ‘buy’ rating and a target price of Rs 630, according to reports. The brokerage believes the company is on track for breakeven of EBITDA and free cash flow. It expects revenue to grow by 40-43% for FY23-26 and parcel volumes to increase at 33% CAGR.

  • Stocks like Muthoot Finance, Gujarat State Petronet, Tata Steel, IDBI Bank, and Hindalco Industries are in the oversold zone according to the technical indicator relative strength index or RSI.

  • Power stocks like Adani Green Energy, Power Grid Corp of India, NTPC, Adani Power, Tata Power Co, among others, are rising in trade. The broader sectoral index BSE Power is also trading in the green.

  • Bajaj Auto's board of directors approve a buyback of share worth up to Rs 2,500 crore through the open market route. The price for the buyback is set at Rs 4,600. The promoters and promoter group entities will not participate in the buyback.

  • Dish TV is rising after its shareholders vote against re-appointing Jawahar Goel (also a promoter of Dish TV) as Managing Director of the company on Friday.

  • SIS is trading with more than 13 times its weekly average trading volume. Jyothy Labs, Tube Investments, Vaibhav Global, and Brightcom Group of India are trading at more than five times their weekly average trading volumes.

  • Dr. Reddy's Laboratories is rising as the company plans to buy Eton Pharmaceuticals' branded and generic injectable products for an upfront payment of Rs 39.1 crore. The deal also involves contingent payments of Rs 352 crore. The portfolio includes new drug applications of biorphen and reziprez injections with nine separate combinations of strength and presentations and one first-to-file approved abbreviated new drug application for cysteine hydrochloride for the US.

  • ICICI Securities maintains its ‘Buy’ rating on Whirlpool of India with a target price of Rs 2,000, indicating an upside of 31.7%. The brokerage remains positive on the company’s business model given its strong brand, steady launch of premium products, and established competitive advantages. It expects the company’s revenue to grow at a 17.5% CAGR over FY22-24.

  • Hikal is rising as the Bombay High Court orders Mahrashtra's Pollution Control Board to allow manufacturing activities to restart at its Taloja unit.

  • Metal stocks like JSW Steel, Tata Steel, Hindustan Zinc, Vedanta, and Hindalco Industries, among others, are rising in trade. The broader sectoral index Nifty metal is also trading in the green.

  • Adani Enterprises' arm Kutch Copper to set up a greenfield copper refinery project to produce 1 million tonnes per annum, in two phases. Kutch Copper signed financing documents with a lenders' consortium led by the State Bank of India. The consortium of banks sanctioned the agreement for raising Rs 6,071 crore through debt for Phase 1 of the project.

  • GHCL is rising in trade after announcing that it inaugurated a new spinning unit in Madurai, Tamil Nadu on Friday. The new unit is equipped with 39,600 ring spindles and has a production capacity of 23 tonnes per day.

  • Hindustan Copper rises after announcing it considers raising funds by issuing equity shares on Saturday. It plans to issue 9.69 crore equity shares through the qualified institutional placement method with a face value of Rs 5 per share in one or more tranches.

  • Zomato's board approves the acquisition of Blinkit, an online food delivery platform, for Rs 4,447.5 crore by offering 62.9 crore shares in the company. Shareholders of Blinkit will roughly get a 6.9% stake in Zomato.

  • All IT stocks are trading in the green. Stocks like HCL Technologies, Tech Mahindra, Larsen & Toubro Infotech, MindTree, Mphasis, and Coforge are up by more than 3%. The broader sectoral index Nifty IT is also rising in trade.

  • Welspun Corp secures various orders across the oil & gas and water sector of nearly 47,000 million tonnes worth Rs 600 crore. The orders secured will be executed from India and USA. The order also includes the manufacture and supply of 19,700 million tonnes of pipes and 180 bends for the transportation of gas for a pipeline project in Australia. The orders from India will be executed from Welspun Corp’s Anjar plant in H2FY22.

  • Ratings agency S&P retains its ‘stable’ outlook with a ‘BBB-‘ long-term rating on ICICI Bank as it expects the bank to sustain its improvement in asset quality. The rating agency expects the bank's asset quality to improve despite an uneven economic recovery in India.

  • Reliance Industries is in talks with global banks to raise $8 billion to buy the British Pharma chain, Boots, according to reports. It is planning to raise money from banks like Barclays Bank, Deutsche Bank AG, HSBC, and Standard Chartered. After the acquisition, it plans to merge the assets of Boots with Reliance Retail and get the combined entity under Reliance Retail Ventures.

Riding High:

Largecap and midcap gainers today include One97 Communications Ltd. (701.35, 8.22%), Persistent Systems Ltd. (3,457.05, 6.01%) and JSW Energy Ltd. (218.30, 4.65%).

Downers:

Largecap and midcap losers today include Zomato Ltd. (65.85, -6.60%), Star Health and Allied Insurance Company Ltd. (515.05, -3.41%) and HDFC Asset Management Company Ltd. (1,757.95, -3.20%).

Volume Rockets

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

Top high volume gainers on BSE included Carborundum Universal Ltd. (751.50, 10.41%), One97 Communications Ltd. (701.35, 8.22%) and City Union Bank Ltd. (137.25, 7.77%).

Top high volume losers on BSE were Zomato Ltd. (65.85, -6.60%), Brightcom Group Ltd. (33.10, -4.89%) and HDFC Asset Management Company Ltd. (1,757.95, -3.20%).

SIS Ltd. (452.30, 0.88%) was trading at 15.6 times of weekly average. Hikal Ltd. (263.90, 5.39%) and Jyothy Labs Ltd. (157.15, 2.24%) were trading with volumes 8.3 and 7.8 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

1 stock made 52-week highs, while 2 stocks were underachievers and hit their 52-week lows.

Stock touching their year highs included - Mahindra & Mahindra Ltd. (1,082.70, 0.99%).

Stocks making new 52 weeks lows included - V Mart Retail Ltd. (2,457.35, -1.01%) and Star Health and Allied Insurance Company Ltd. (515.05, -3.41%).

18 stocks climbed above their 200 day SMA including Tata Teleservices (Maharashtra) Ltd. (128.30, 5.42%) and Uflex Ltd. (594.95, 4.86%).

 
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The Baseline created a screener Internet Platforms
27 Jun 2022
 
Trendlyne Marketwatch
Trendlyne Marketwatch
24 Jun 2022
Market closes higher, ICICI Securities maintains its ‘Buy’ rating on HDFC Bank

Trendlyne Analysis

Nifty 50 closed in the green with the volatility index Nifty VIX falling below 21%. Indian indices extended their gains from Thursday amid positive global cues. European indices followed the global trend and traded higher. Major Asian indices closed in the green, tracking the US indices, which closed higher on Thursday. US stocks rose amid falling bond yields as investors continue to assess the impact of high inflation levels and aggressive rate hikes on the global economy. The NASDAQ 100 rose 1.5% while S&P 500 closed 1% higher on Thursday. Crude oil trades sideways amid concerns over slow economic growth as a result of aggressive rate hikes by the central banks.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the green, following the benchmark index. Nifty Metal and Nifty Media closed higher than Thursday’s levels. Nifty IT closed in the red, despite the NASDAQ 100 closing 1.5% higher on Thursday.

Markets closed up today. Nifty 50 closed at 15,699.25 (142.6, 0.9%) , BSE Sensex closed at 52,727.98 (462.3, 0.9%) while the broader Nifty 500 closed at 13,322.50 (143.7, 1.1%)

Market breadth is highly positive. Of the 1,881 stocks traded today, 1,489 were gainers and 349 were losers.

  • Go Fashion (India), IIFL Wealth Management, Galaxy Surfactants, and Emami are trading with higher volumes as compared to Thursday.

  • Infosys sees a short build-up in its Jun 30 future series as its open interest rises 5.3% with put to call ratio of 0.41.

  • Stocks like Just Dial, Ircon International, Rallis India, CESC, and Muthoot Finance are in the oversold zone according to the technical indicator relative strength index or RSI.

  • Strides Pharma surges in trade as its subsidiary Biolexis and Akston Biosciences announce positive results from their Phase 2/3 clinical trials in India for the covid-19 vaccine.

  • Suven Life Sciences is rising in trade as its board approves raising up to Rs 400 crore by issuing equity shares on rights basis.

  • ICICI Bank rises as Jeffries reiterates 'BUY' rating, according to reports. The brokerage believes that the lender has one of the best risk-reward ratios and expects ICICI Bank to gain from rise in bank credit growth and the ramp-up of SME vertical. The target price is unchanged at Rs 1,070 (an upside of 50.6%).

  • Public sector banking stocks like State Bank of India, Bank of Baroda, Canara Bank, Punjab National Bank, and Indian Overseas Bank, among others, are rising in trade. The broader sectoral index Nifty PSU Bank is also trading in the green.

  • Vodafone Idea is rising as reports suggest that the Centre will convert its interest liabilities of Rs 16,133 crore on its AGR dues into equity. Once this goes through, the Centre will hold a stake of 33% and become the single largest shareholder after the promoters.

  • Mahindra & Mahindra hits a new all-time high of Rs 1,066.75. The stock has outperformed Nifty500 by 16.67% over the last month.

  • Hindustan Unilever is rising in trade as the company’s chairman Nitin Paranjpe announces that it will continue to hike the prices of its products. The company cites rising costs for the price hikes.

  • PI Industries rises as Prabhudas Lilladher reiterates a 'BUY' rating on the company. The brokerage is confident of the company achieving a growth guidance of 18-20% by FY23 and a revenue CAGR of 18% over FY22-24E. The target price is unchanged at Rs 3,340 (an upside of 34.4%).

  • Solara Active Pharma Sciences is trading with more than 11 times its weekly average trading volume. Kansai Nerolac Paints, Varroc Engineering, Route Mobile, and Indo Count Industries are trading at more than three times their weekly average trading volumes.

  • ICICI Securities maintains its ‘Buy’ rating on HDFC Bank with a target price of Rs 1,955 indicating an upside of 47%. The brokerage remains positive on the company’s prospects given its plans to double its network by opening 1,500-2,000 branches per year in the next 3-5 years. It expects the company’s profit to grow at a CAGR of 20.1% over FY22-24.

  • IT stocks like MindTree, Larsen & Toubro Infotech, Coforge, MphasiS, Infosys, Tech Mahindra, among others, are falling in trade. This is despite Accenture's positive results for its March-May quarter where it beat estimates to post revenues of $16.16 billion. The broader sectoral index Nifty IT is also trading in the red.

  • ICICI Securities maintains its ‘Buy’ rating on Dr. Reddy’s Laboratories with a target price of Rs 4,925, indicating an upside of 15.2%. The brokerage expects growth momentum in the branded generics business in India & Europe and new product launches in the US to drive revenue growth for the company. It also believes the stock’s current valuation is attractive and expects revenue to grow at a 10.3% CAGR over FY22-24.

  • Greaves Cotton rises as its subsidiary, Greaves Electric Mobility, raises Rs 1,170.81 crore from Abdul Latif Jameel International. This fundraise is through a preferential allotment of 68.5 lakh shares for a 35.8% stake in the subsidiary.

  • Media stocks like Zee Entertainment Enterprises, Sun TV Network, PVR, Saregama India, Network 18 Media & Investments, TV 18 Broadcast, among others, are rising in trade. The broader sectoral index Nifty Media is also trading in the green.

  • Indian rupee rises 12 paise to 78.20 against the US dollar in early trade today.

  • DCM Shriram rises as its board of directors approves to invest Rs 65 crore for a minimum 26% stake in a special purpose vehicle (SPV). The SPV will be created for setting up a wind-solar hybrid renewable power project. It will also invest Rs 57.1 crore to manufacture potassium sulphate (K2So4) with a capacity of 4,600 tonnes per annum at Hariyawan (Uttar Pradesh) Sugar facility to derive value from by-products.

  • ONGC is rising in trade after its wholly-owned subsidiary and overseas arm ONGC Videsh, announces that it has made an oil discovery in a recently drilled well in Llanos Basin, Colombia

  • Hero MotoCorp will hike prices of its motorcyle and scooters by up to Rs 3,000 from July 1. This price hike is to offset rising costs affecting the larger automotive industry.

Riding High:

Largecap and midcap gainers today include Tube Investments of India Ltd. (1,588.65, 4.85%), Adani Power Ltd. (264.45, 4.69%) and Crompton Greaves Consumer Electricals Ltd. (344.30, 4.43%).

Downers:

Largecap and midcap losers today include Star Health and Allied Insurance Company Ltd. (533.25, -5.20%), Persistent Systems Ltd. (3,261.05, -3.16%) and MindTree Ltd. (2,831.90, -2.88%).

Crowd Puller Stocks

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

Top high volume gainers on BSE included MMTC Ltd. (39.85, 16.69%), KIOCL Ltd. (192.40, 10.10%) and Minda Corporation Ltd. (184.60, 9.85%).

Top high volume losers on BSE were Great Eastern Shipping Company Ltd. (370.30, -1.32%) and Thermax Ltd. (1,966.90, -1.10%).

Kansai Nerolac Paints Ltd. (373.20, 1.06%) was trading at 13.2 times of weekly average. Akzo Nobel India Ltd. (1,780.90, 0.33%) and Varroc Engineering Ltd. (310.70, 5.70%) were trading with volumes 11.9 and 11.0 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

1 stock took off, crossing 52 week highs, while 4 stocks hit their 52 week lows.

Stock touching their year highs included - Mahindra & Mahindra Ltd. (1,072.05, 4.32%).

Stocks making new 52 weeks lows included - Gujarat State Petronet Ltd. (214.90, 1.42%) and Hindustan Zinc Ltd. (246.55, -1.52%).

17 stocks climbed above their 200 day SMA including Minda Corporation Ltd. (184.60, 9.85%) and Mahindra CIE Automotive Ltd. (221.05, 5.16%). 1 stock slipped below their 200 SMA including NHPC Ltd. (31.05, 0.98%).