Blog posts

06 Jun 2022

Market closes flat, Prabhudas Lilladher upgrades Aarti Industries rating to 'Accumulate'

Trendlyne Analysis

Nifty 50 recovered from the day’s low and closed flat on a volatile day of trade. However, most Asian indices closed in the green as China eased Covid-19 lockdowns offering hope for a global economic recovery. Major US indices closed in the red on Friday led by the tech-heavy NASDAQ 100, which fell over 2.7%. US stocks fell as a strong US job report released on Friday, allows the US Federal Reserve to maintain its aggressive stance on inflation. Saudi Arabia raises crude oil prices for its Asian customers starting July leading to a rise in crude oil prices globally. European indices trade higher than Friday’s levels ahead of key inflation print releases this week.

Nifty Smallcap 100 closed lower despite the benchmark index closing flat. Nifty Media closed lower while Nifty Metal closed higher than Friday’s levels. Nifty IT closed in the red, tracking the tech-focused NASDAQ 100, which fell 2.7% on Friday.

Nifty 50closed at 16,569.55 (-14.8, -0.1%), BSE Sensexclosed at 55,675.32 (-93.9, -0.2%) while the broader Nifty 500closed at 14,054.10 (-23.8, -0.2%)

Market breadth is in the red. Of the 1,904 stocks traded today, 700 were gainers and 1,145 were losers.

Galaxy Surfactants, J B Chemicals & Pharmaceuticals, Kansai Nerolac Paints, and Equitas Small Finance Bank are trading with higher volumes as compared to Friday.
Rain Industries sees a long build-up in its Jun 30 futures series as its open interest rises 11% with put to call ratio at 0.38.
Stocks like ICICI Bank, ITC, HCL Technologies, Hindustan Unilever, Larsen & Toubro, and Titan Company, among others, are outperforming their respective sectors in the past month.
Prabhudas Lilladher upgrades rating on Aarti Industries from ‘Hold’ to ‘Accumulate’ with a target price of Rs 880, indicating an upside of 22%. The brokerage expects the company’s revenue growth to be driven by increasing capacity utilization, rising domestic demand and import substitution. The brokerage expects the company’s revenue to grow at an 18% CAGR over FY22-24.
Stocks like Hemisphere Properties India, Thyrocare Technologies, Indoco Remedies and Oil India rise by more than 5% in trade today.
Tata Motors receives an order for the supply of 10,000 XPRES-EV (electric vehicle) units from BluSmart Electric Mobility, according to reports.
Kolte-Patil Developers partners with Tata Power to set up charging stations across its projects in Pune, Mumbai, and Bengaluru. Tata Power will provide seamless EV (electric vehicle) charging facilities to the residential customers of Kolte-Patil Developers.
Hem Securities initiates coverage on Agarwal Industrial Corp with a ‘Buy’ rating and a target price of Rs 705, indicating an upside of 32%. The brokerage believes the company is well-placed to benefit from the rise in infrastructure spending given its fully integrated business model and market leadership in bitumen transportation with a market share of 28%. The brokerage expects the company’s profit to grow at a 22.5% CAGR over FY22-24.
Vijaya Diagnostic Centre and Aptus Value Housing Finance India touch an all-time low of Rs 345.1 and Rs 270.3 respectively. Both stocks are falling for two consecutive sessions.
PVR and Inox Leisure fall as investors worry about a decrease in footfall as Covid-19 infections rise, according to reports. The Maharashtra government makes the wearing of masks compulsory in public places after the number of cases increase by 54% in the last 24 hours.
Glenmark Life Sciences is trading with more than 11 times its weekly average trading volume. Thyrocare Technologies, Aegis Logistics, Galaxy Surfactants, and Garware Technica Fibres are trading at more than 2 times their weekly average trading volumes.
Aditya Birla Group set to invest Rs 77,000 crore towards building new capacity and entering new sectors.
With metals major #Hindalco leading the pack, the Aditya Birla group would be investing a massive Rs 77,000 crore in creating new capacities and entering new sectors such as paints. @ParagonWorli18 reports #AdityaBirla #Companies https://t.co/rwRPFrzxCr
— Business Standard (@bsindia) June 6, 2022
Oil India rises after Kotak Institutional Equities upgrades the stock to ‘Add’ from ‘Sell’ with a target price of Rs 285, indicating an upside of 10.7%. The upgrade is on the assumption of elevated oil and gas prices in FY23-24. It raises its operating profit estimates for Oil India by 71% for FY23 and 83% for FY24.
Cyient’s arm Cyient Europe acquires a 100% stake in Celfinet for a total cash consideration of euro 41 million (Rs 341.4 crore). Celfinet is a wireless engineering and network management services provider based out of Lisbon, Portugal. The company expects the acquisition to improve its wireless engineering services and expand its presence in Europe.
Larsen & Toubro wins an order worth Rs 2,500-5,000 crore from the Municipal Corporation of Greater Mumbai to set up the Bandra wastewater treatment. The project involves designing, building, operating and maintaining the 360 million litres per day sewage treatment plant, which will also have an inhouse power generator.
All media stocks are trading in the red. Stocks like Zee Entertainment Enterprises, Sun TV Network, PVR, Network 18 Media & Investments, Saregama India, TV 18 Broadcast and Inox Leisure are falling below 2%. The broader sectoral index Nifty Media is also trading in the red.
Adani Transmission enters into a share purchase agreement with Essar Power to acquire a 100% stake in Essar Power Transmission for a total consideration of Rs 1,913 crore. The company expects this acquisition to expand its transmission line network, and reduce operational costs.
Vehicle retail sales in May 2022 rises 206.8% YoY to 16.5 lakh units. Two-wheeler sales rise 197.7% YoY to 12.2 lakh units and three-wheeler sales rise 695.9% YoY to 41,508 units. Passenger vehicle sales rise 204% to 2.6 lakh units and commercial vehicle sales rise 278% YoY to 66,632 units. Hero Motocorp's market share falls to 37.6% from 47%, and TVS Motor's and Bajaj Auto's market share fall marginally to 13.9% and 10.1%, respectively.
The Centre directs Coal India to import 12 million tonnes of coal to avoid a shortage of coal stock for power utility companies. Coal India will import coal for the next 13 months to meet the demand of power supply companies.
Zydus Lifesciences receives final approval from the United States Food and Drug Administration (USFDA) to market Famotidine tablets in the strengths of 20mg and 40mg. This drug is used to prevent and treat heartburn and other symptoms caused by acid indigestion. This drug has a market size of $67 million and will be manufactured at the company’s drug formulation facility in Ahmedabad.
NTPC awards multiple contracts to Adani Enterprises to import 6.25 million tonnes of coal worth Rs 6,585 crore, according to reports. The power generating company is importing coal to meet the new target given by the Union power ministry to blend 10% imported coal to deal with the domestic coal shortage.

Riding High:

Largecap and midcap gainers today include Oil India Ltd. (278.90, 11.14%), Adani Power Ltd. (298.30, 5.00%) and Bajaj Auto Ltd. (3,817.00, 3.93%).

Downers:

Largecap and midcap losers today include Coforge Ltd. (3,606.85, -4.08%), Berger Paints (India) Ltd. (589.90, -3.12%) and Shree Cements Ltd. (20,002.70, -3.08%).

Crowd Puller Stocks

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

Top high volume gainers on BSE included Oil India Ltd. (278.90, 11.14%), Thyrocare Technologies Ltd. (670.50, 5.80%) and Indoco Remedies Ltd. (380.00, 4.89%).

Top high volume losers on BSE were V Mart Retail Ltd. (2,900.00, -6.66%), Anupam Rasayan India Ltd. (649.55, -4.75%) and Akzo Nobel India Ltd. (1,785.00, -0.60%).

Dhanuka Agritech Ltd. (710.05, 1.03%) was trading at 5.6 times of weekly average. Aegis Logistics Ltd. (228.65, 2.28%) was trading with volume 3.5 times weekly average on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

2 stocks hit their 52-week highs, while 19 stocks were underachievers and hit their 52-week lows.

Stocks touching their year highs included - Oil India Ltd. (278.90, 11.14%) and Sumitomo Chemical India Ltd. (484.10, 4.87%).

Stocks making new 52 weeks lows included - Biocon Ltd. (318.70, -0.50%) and Birla Corporation Ltd. (882.25, -4.36%).

10 stocks climbed above their 200 day SMA including Adani Transmission Ltd. (2,017.10, 3.12%) and ZF Commercial Vehicle Control Systems India Ltd. (7,839.15, 2.85%). 18 stocks slipped below their 200 SMA including Suzlon Energy Ltd. (8.25, -9.34%) and Greaves Cotton Ltd. (158.15, -4.41%).

The Baseline

06 Jun 2022

Five analyst picks that outperformed the Nifty 50

This week, we look at five analyst picks that outperformed the Nifty 50 and have a fresh buy call.

Jubilant Foodworks: IDBI Capital maintains a ‘Buy’ call on this quick service restaurant operator with a target price of Rs 766. This indicates an upside of 42.8%. The company outperformed the Nifty 50 index by 2.3% over the past seven days.

“Jubilant Foodworks has reported in-line results for 4QFY22. Revenue grew 13%YoY (to Rs 1,157.9 crore in Q4FY22) led by 5.8% like-for-like growth. Delivery drove revenue growth while dine-in was impacted due to Omicron,” say analysts Varun Singh and Chetan Mahadik. The company’s profit grew 17.3% YoY to Rs 122.3 crore during the quarter.

According to the analysts, in Q4FY22 the company added 80 Domino's stores (the highest ever, totaling 230 in FY22) along with 4 Popeyes stores, 1 Dunkin store, 1 Hong Kong Kitchen store, and 1 Ekdum store. The analysts are also positive about the appointment of the new CEO Sameer Khetarpal.

Dixon Technologies (India): Axis Securities maintains a ‘Buy’ rating on this electronics contract manufacturer with a target price of Rs 4,450, indicating an upside of 21.6%. The company outperformed the Nifty 50 index by 5.7% over the past seven days.

“Dixon reported a consolidated revenue of Rs 2,953 crore in Q4FY22, down 3.9% QoQ but up 40% YoY, led by strong growth in the mobiles and home appliances segment,” says analyst Hiren Trivedi. In Q4FY22, net profit grew 37% YoY to Rs 63 crore. The analyst further added, “Dixon continues to focus on new client acquisition and product addition to aid its top line growth, backward integration, and increasing own design manufacturing revenues.”

Trivedi believes that the company will continue to benefit from its strong order book and execution capabilities to improve its operations. He also thinks that the company will enter into new product segments while deriving benefits from the PLI scheme in multiple segments. He expects the company’s revenue and profit to grow at a CAGR of 38% and 52% respectively, between FY 22-24

Timken India: ICICIdirect has a 'Buy' rating on this industrial product manufacturer’s stock, with a target price of Rs 2,810. This indicates an upside of 15.4%. The company outperformed the Nifty 50 index by 22.6% over the past seven days.

“It (the company) has state-of-the-art manufacturing plants in Jamshedpur in Jharkhand, and Bharuch in Gujarat,” said analysts Chirag Shah and Yash Panwar. “Timken India reported an excellent set of numbers in Q4FY22, with revenues better than our expectation due to exceptional performance on the industrial segment side,” they added. Revenue for Q4FY22 came in at Rs 667.4 crore, up 40.4% YoY (versus the brokerage’s estimate of Rs 553.7 crore). In Q4FY22, the company registered a profit of Rs 121.3 crore (versus the brokerage’s estimate of Rs 68.1 crore), up 129.2% YoY, and EBIDTA margin was 26.9% against 18.3% in the consecutive quarter previous year (versus the brokerage’s estimate of 19.9%). The analysts believe that the surprise in the margin came due to higher gross margins, lower employee costs, and other expenses.

Vedant Fashions: ICICI Securities initiates coverage on this branded apparel company with a ‘Buy’ rating and a target price of Rs 1,200, indicating an upside of 11.1%. This stock outperformed the Nifty 50 index by 10% over the past seven days.

Analysts Krupal Maniar and Harsh Mittal say that “first-mover advantage, scale efficiencies and no discounts on Manyavar allows Vedant Fashions to enjoy a significantly higher gross margin compared to most other listed brands”. They added that the company enjoys a higher gross margin of 75% on the net end customer sales than most other listed brands, which have a gross margin between 45-60%. The higher gross margin results in higher profitability and superior free cash flow generation for the company.

The analysts believe the asset-light business model followed by the company will continue to drive profitability. The company outsources a substantial portion of manufacturing and distribution, which enables it to reduce input costs, thereby improving profitability. The analysts expect Vendant’s profit to rise at a 23% CAGR over FY22-25.

Mahindra & Mahindra: Motilal Oswal maintains a ‘Buy’ rating on this automaker’s stock with a target price of Rs 1,150, indicating an upside of 11.4%. This stock outperformed the Nifty 50 index by 6.9% over the past seven days.

“Mahindra & Mahindra’s Q4FY22 performance was above our estimate, as a strong recovery in the auto business made up for weakness in the tractor business,” say analysts Jinesh Gandhi, Vipul Agarwal, and Aniket Desai. They noted that the outlook for the tractor business is improving but it is the auto business that will drive growth over the next couple of years. They expect the growth in the auto business to be driven by new launches in the SUV (sport utility vehicle) segment and cyclical recovery in the LCV (light commercial vehicle) segment.

The company is the biggest player in the SUV market with a 17.8% market share, and expects a 16% volume CAGR in passenger utility vehicles over FY22-24. The analysts estimate the company’s revenue to grow at a 19.5% CAGR over FY22-24.

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

The Baseline

03 Jun 2022

Five Interesting Stocks Today

FSN E-Commerce Ventures (Nykaa): This online fashion and beauty products company’s stock rose 3% on Monday even after its Q4FY22 net profit fell 96.5% YoY to Rs 8.6 crore. According to Trendlyne’s Forecaster, it missed profit estimates by 78% in Q4FY22. The street’s consensus is still positive on this stock with it having 12 ‘Buy’ ratings, one ‘Sell’ and three ‘Hold’ ratings.

Nykaa reported negative operating cash flows (Rs 354 crore) for FY22. This could be because of an increase in inventory as the company expanded its warehouses on a regional level. As a result, cash is tied up in inventory. The company is expanding its warehouse coverage to reduce the delivery time of products, which improved serviceability of orders by 98% in FY22. Almost 95% of orders were delivered in five days. This helped revenue rise 31.4% YoY to Rs 973.3 crore and a 71% rise in the GMV or gross merchandise value to Rs 6,933 crore.

ICICI Securities remains positive on the stock as it expects Nykaa’s investments to build a sustainable growing business. However, the management remains cautious and highlighted inflation, reduction in discretionary spending, and Covid uncertainty to be major challenges in FY23. CEO Falguni Nayar is targeting growth in the fashion space, which is expected to grow to $125 billion by 2025, even though it’s a crowded industry.

Coal India: This coal miner’s stock outperformed the Nifty 500 over the past month. Although the stock fell by nearly 10% in the second week of May, it rose again ahead of Q4FY22 results. The company’s Q4FY22 net profit rose 46.3% YoY to Rs 6,715 crore, while revenues increased 22.6% to Rs 30,046.2 crore. Its raw coal production also increased 2.8% YoY to 209 million tonnes.

The uptrend of the stock began after the company announced its divestment of a 25% stake from its unlisted arm Bharat Coking Coal (BCCL). It also plans to get BCCL listed after getting the necessary approvals from the Ministry of Coal.

While BCCL’s performance isn’t something to write home about as its FY21 production missed its target, the divestment plan enthused investors sending Coal India’s stock higher. BCCL posted a loss of Rs 1,577.6 crore in FY21 on a turnover of Rs 6,149.8 crore (up 31.4% YoY).

For now, Coal India’s growth prospects look good and its recent production numbers look decent. The company’s coal production in May 2022 rose 30% YoY to 54.7 million tonnes and coal offtake increased 11.3% to 61.2 million tonnes.

United Spirits: This alcohol company’s stock rose 6% since Monday after announcing its Q4FY22 results, despite its net profit falling 12.9% YoY to Rs 181.7 crore. United Spirits shows up on a screener for companies that declared their results in the past week with a declining net profit YoY and QoQ. So why did the stock rise despite posting a bad show in Q4FY22?

The company announced that it will sell 32 ‘popular’ brands or entry-level brands to Inbrew Beverages (Inbrew) for Rs 828.5 crore. The sale of these brands was on the anvil for a while, and now that it is finally done, the company plans to use the funds received from this slump sale to wipe out its accumulated losses. The Diageo-owned company and Inbrew have entered into a five-year franchise arrangement for 11 other brands. According to the agreement, the legal titles of the franchise brands will remain with United Spirits and it will receive royalties over the franchise period. The company also granted Inbrew a right to convert the fixed-term franchise arrangement into one with perpetual rights with a call option to acquire the brands at Rs 1,331 crore. This transaction is expected to be completed by September 30.

Sun TV Network: This broadcaster’s stock rose 4.1% since it announced its Q4FY22 results last Friday evening. This is despite its net profit falling 15.8% YoY to Rs 410.2 crore as operating expenses rose 20.6% to Rs 142.7 crore. However, its profit beat Trendlyne’s Forecaster estimates by 8.2%. The stock’s up move after the results helped it outperform the Nifty 50 index over the past week. The reason profit fell is due to a high base, caused by a deferred tax credit of Rs 426.8 crore in Q4FY21. The growth in revenue was driven by a 7% YoY rise in advertisement revenue, as overall viewership improved. The company’s revenue from IPL (Indian Premier League) stood at Rs 28.9 crore in Q4FY22 and is set to recognize a large part of the revenue from IPL in Q1FY23. Sun TV also owns the Sunrisers Hyderabad team.

The company is increasingly investing in content creation in the South Indian market, as it expects to maintain its growth momentum in viewership in the coming years. As it is nearly debt-free and has a positive cash flow, this offers it the flexibility to intensify investments in the OTT (over-the-top) content as well. But as the company has not held an earnings conference call since November 8, 2021 (Q2FY22 earnings call), there is no management guidance regarding its OTT investments.

Go Fashion (India): This clothing and apparel retailer saw itspromoter’s pledged shares rise to 11.65% of the shares they held in the company at the end of Q4FY22. At the end of Q3FY22, there were no pledges on any promoter shares. For context, the promoter group entities–VKS Family Trust and PKS Family Trust–had pledged 16.56% stake in the company to Tata Capital Financial Services before the IPO for a loan facility of Rs 40 crore. These entities, along with other promoters, hold a 52.8% stake in the company post the IPO. A part of the IPO proceeds received by the promoters went towards paying off this debt.

Then came the bumper listing which saw the stock double from its issue price of Rs 690, but now it’s been trading around Rs 1,000 levels for a while. On April 1, PKS Family Trust pledged a 2.47% stake in the company. This takes the total pledged promoter holding to 16.32% of the shares held by the promoter and promoter group entities.

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

The Baseline created a screener Stocks with Free Float …

03 Jun 2022

Stocks with Free Float Market Cap Greater than Rs. 1000 Crore

Companies whose free float market capitalization is greater than 1000 crore.

Trendlyne Marketwatch

03 Jun 2022

Market closes lower, ICICI Direct maintains a ‘Buy’ rating on GAIL India

Trendlyne Analysis

Nifty 50 gave up all its gains on a volatile day of trade and closed below Thursday’s closing level. The S&P Global India Services Purchasing Managers’ index (PMI) rises to 58.9% in May, topping analysts’ expectations. Any value above 50 indicates an expansion. PMI stood at 57.5 in April. Most Asian stocks closed in the green, tracking the US indices, which closed sharply higher on Thursday. The tech-heavy NASDAQ 100 rose 2.8% while S&P 500 closed 1.8% higher than Thursday’s level.

Crude oil is set for its sixth weekly gain as the OPEC+ supply meeting delivered only a modest increase in crude oil output. Crude oil is expected to trade at elevated levels on the back of European Union agreeing to cut over 90% of crude oil imports from Russia by the end of 2022. Investors look ahead to the US Labour Department’s jobs report, which is due later today. A considerable slowdown in the employment market may convince the Federal Reserve to slow the interest rate hikes going forward. European indices follow the global trend and trade higher than Thursday’s levels.

Nifty Next 50 and Nifty Smallcap 100 closed in the red, following the benchmark index. Nifty Metal and Nifty Media, which opened in the green, closed lower than Thursday’s levels.Nifty IT closed in the green, tracking the tech-focused NASDAQ 100, which rose 2.8% on Thursday.

Nifty 50closed at 16,584.30 (-43.7, -0.3%), BSE Sensexclosed at 55,769.23 (-48.9, -0.1%) while the broader Nifty 500closed at 14,077.90 (-90.1, -0.6%)

Market breadth is sharply down. Of the 1,881 stocks traded today, 573 were gainers and 1,269 were losers.

ZF Commercial Vehicle Control Systems India, Indoco Remedies, SKF India, and Gland Pharmaare trading with higher volumesas compared to Thursday.
Indiabulls Housing Finance sees a long build-up in its Jun 30 futures series as its open interest rises 8.7% with put to call ratio at 0.54.
Stocks like Solar Industries India, Indiabulls Housing Finance and TCI Expressrise by more than 5% in trade today.
HDFC Securities maintains a ‘Sell’ rating on Bata India with a target price of Rs 1,400. The brokerage continues to have a negative outlook on the company’s prospects as its pace of recovery is slower than its peers. The brokerage also points out that the company’s profit is at 31% of pre-pandemic levels in FY22.
Auto stocks like Maruti Suzuki India, Tata Motors, Eicher Motors, Hero MotoCorp, Bosch, and Ashok Leyland, among others, are falling in trade. The broader sectoral index Nifty Auto is also trading in the red.
S&P Global India Services Purchasing Managers’ Index (PMI) rises to 58.9 in May for India's service sector compared to 57.9 in April. This is the tenth consecutive month of expansion. A PMI number above 50 indicates an expansion.
Va Tech Wabag receives a order worth Euro 146 million from Société Nationale Des Eaux du Sénéga, the National Water Company of Senegal to design, build and operate the 50 million liter per day Mamelles sea water desalination project. The project is to be executed by the company in consortium with Toyota Tsusho Corp, Japan and Eiffage Génie Civil, France.
Power stocks like Adani Green Energy, Adani Transmission, NTPC, Adani Power, and Torrent Power, among others, are falling in trade. The broader sectoral index BSE Power is also trading in red.
ICICI Direct maintains a ‘Buy’ rating on GAIL India with a target price of Rs 180, indicating an upside of 21%. The brokerage expects the company’s revenue to rise on the back of favourable LNG spot prices, higher realisation, and an increase in gas transmission volumes. The brokerage estimates the company’s revenue to grow at a 19.5% CAGR over FY22-24.
Ratnamani Metals & Tubes is trading with more than 15 times its weekly average trading volume. TCI Express, Advanced Enzyme Technologies, Deepak Nitrite, and Dalmia Bharatare trading at more than five times their weekly average trading volumes.
Ratnamani Metals & Tubes touches 52-week high Rs 2,864, stock rises for two consecutive sessions. However, Shree Cements touches 52-week low of Rs 20,651.6, stock falls for five sessions.
MTAR Technologies rises as it enters a share purchase agreement to acquire Gee Pee Aerospace for Rs 8.8 crore. The company will acquire a 100% stake in Gee Pee Aerospace making it a wholly-owned subsidiary.
Deepak Nitrite falls in trade after the warehouse section of its manufacturing site at Nandesari, Gujarat catches fire on Thursday. The company says that there are no casualties. Plant operations are likely to resume in one or two days.
Mahindra & Mahindra Financial Services is rising as its disbursements in May rise 272% YoY to Rs 2,973 crore and the collection efficiency rises by 28 percentage points YoY to 95%. The collection efficiency is in-line with pre-covid levels.
India's digital payments platform-Unified Payments Interface (UPI) processes transactions worth Rs 10 lakh crore, a record high since its launch in 2016.
We continue to remain a unique county where the UPI transaction volume has moved 10x over the last 3 years ( 8.8L Cr -> 84L cr in FY 22). However, over the same time, the cash in circulation has also gone up 2.5x over the same period ( 12.6L Cr -> 31.4L Cr) : Fino payment concall
— Amit Kumar Gupta (@amitgupta0310) June 3, 2022
IT stocks like Tata Consultancy Services, Infosys, HCL Technologies, Wipro, and Mindtree, among others, are rising as the rupee rises 0.16% to Rs 77.47 against the dollar in early trade. The broader sectoral index Nifty IT is also trading in the green
Cement stocks like Grasim Industries, Shree Cements, Ambuja Cements, ACC, Dalmia Bharat, JK Cement and Ramco Cements, among others, trade lower after UltraTech Cement announces Rs 12,886 crore capex plan to expand production capacity.
Shares of cement companies were under pressure as it fell up to 6% on the BSE on Friday in an otherwise firm market. #CementStocks #CementIndustry #StockMarket #MarketsWithBS #UltraTech https://t.co/hv57TqLR95
— Business Standard (@bsindia) June 3, 2022
Adani Ports and Special Economic Zone’s May 2022 cargo volume rises 4% YoY to 30.4 million metric tonnes indicating slow growth. Total coal volumes increase 6% YoY as thermal coal volumes are up 5% and coking coal by 9%. Crude volumes rise 15% YoY despite high crude oil prices.
Aether Industries’ shares list at a 9.7% premium to the issue price of Rs 642 on its debut on the bourses. The Rs 808-crore IPO was subscribed for 6.3X of the total shares on offer.
Angel One is rising as its client base rises 4.7% MoM in May to 1 crore. The number of orders grows 6.8% MoM to 7 crore with its retail turnover market share in the commodity segment increasing by 184 bps MoM to 45.1%
UltraTech Cement’s board approves capex of Rs 12,886 crore towards increasing capacity by 22.6 million tonnes per annum through brownfield and greenfield projects. The company will use a mix of debt and internal accruals to finance its capex plans. Commercial production from these new capacities will start from FY25. The existing expansion plan of the company is likely to complete by end of FY23.