My Newsfeed

Trendlyne Marketwatch
Trendlyne Marketwatch
04 Feb 2022
Market closes in red, Vedant Fashions’ Rs 3,149-crore IPO gets bids for 14% of total available shares

Trendlyne Analysis

Nifty 50 ended in red after a volatile trading session. Vedant Fashions’ IPO procured bids for 10% of the shares on offer on day one. Nifty Realty traded in the red as it gave up most of its gains over the week as Godrej Properties plunged close to 10%. Nifty PSU Bank and Nifty Auto sectors ended the session in red after a good start at the beginning of the trading session. While the Nifty FMCG index traded flat even after ITC posted good Q3 results, Nifty Metal held its gains throughout the day to finish in the green.

Nifty 50 closed at 17,516.30 (-43.9, -0.3%) , BSE Sensexclosed at 58,644.82 (-143.2, -0.2%) while the broaderNifty 500closed at 15,085.45 (-50.5, -0.3%)

Market breadth is in the red. Of the 1,850 stocks traded today, 717 were in the positive territory and 1,097 were negative.

  • Gujarat Pipavav Port, Symphony, TeamLease Services, and Pidilite Industries are trading with higher volumes as compared to Thursday.

  • Alkem Laboratories’ net profit rises 16.6% YoY to Rs 525 crore due to a deferred tax writeback of Rs 162 crore. Total revenues increased by 13% YoY to Rs 2,619 crore. Domestic market saw a revenue growth of 19.9% led by strong product portfolio which benefitted form COVID-19 tailwinds. Revenues from international business declined marginally by 0.4% as US business continues to face significant pricing pressure.

  • Deepak Fertilisers and Petrochemicals Corporation hits a 52-week high as its Q3FY22 net profit rises by 75% YoY to Rs 58.7 crore. Revenue from operations grew by 27% to Rs 553.3 crore. A significant margin expansion in the chemicals segment and the mining chemical business delivered an outstanding quarter despite unfavourable raw material prices.

  • GAIL’s Q3FY22 net profits jump 2X YoY to Rs 3,800 crore with revenue from operations rising 67% to Rs 26,175.6 crore. The management says that the surge in numbers is because of better gas prices, improved gas marketing, and increase in sales of petrochemicals and liquid hydrocarbons. Revenues for natural gas rose by 86% YoY to Rs 22,092 crore and operating profit grew by 22.3% YoY to Rs 4,233 crore.

  • Vedant Fashions’ Rs 3,149.2-crore IPO gets bids for 14% of the available 3.64 crore shares on offer on the first day of bidding. Retail investors quota of 1.28 crore shares is subscribed around 22%. The IPO is entirely an offer for sale by selling shareholders

  • Lupin’s Q3FY22 net profit rises 24.5% YoY to Rs 546 crore due to a deferred tax writeback of Rs 524 Crore. Revenues increased marginally by 3.5% to Rs 4161 crore. The company’s inhalation portfolio continues to build share in the US and helped register double-digit growth sequentially amidst pricing and demand challenges on seasonal products.

  • Venky's (India) is trading with more than 10 times its weekly average trading volume. Torrent Power, Pfizer, Sumitomo Chemical India, and Lupin are trading at more than five times their weekly average trading volumes.

  • Indian Energy Exchange's January 2022 volumes rise 16% YoY to 8,652 million units (MU). Real-time electricity market's volumes rise 28% YoY to 1,575 MU while green market volumes stand at 280 MU.

  • JK Tyre and Industries is falling as the company's Q3FY22 net profits falls 53.78% YoY to Rs 57.9 crore but total revenue rises 15.12% YoY to Rs 2,130.4 crore YoY. The company's EBITDA stands at Rs 281 crore, down 44.6%

  • Prince Pipes and Fittings' Q3FY22 net profit stays flat at Rs 67 crore while revenues rise 21%YoY to Rs 665.7 crore. High realization growth despite a double-digit fall in sales volumes drive the topline growth in Q3. Profit growth remains dismal on the back of higher raw material costs.

  • ITC's Q3FY22 net profit rises 15% YoY to Rs 4,056.7 crore and revenues rise 30% YoY to Rs 18,787.7 crore. The company witnesses double-digit revenue growth across its segments with Agri business posting over 2X YoY revenue growth led by higher wheat, rice, spices, leaf tobacco exports. The company also announces an interim dividend of Rs 5.25 per share.

  • Radico Khaitan's Q3FY22 net profit falls 5.9% YoY to Rs 79 crore despite revenues rising 12% YoY to Rs 766 crore. The company's prestige and above brands post over 20% YoY growth driving the overall topline growth in Q3. However contraction in gross margins by 460 bps owing to high commodity price inflation cause the fall in earnings.

  • Dr Reddy’s Laboratories to acquire Nimbus Health, a privately owned German medical cannabis firm. The company will pay an upfront amount to acquire Nimbus Health, with performance and milestone-based earn-outs over the next four years.

  • Pfizer’s Q3FY22 net profit rises marginally by 2% YoY to Rs 144 crore despite a 14% increase in revenues to Rs 676 crore. Operating profit margin fell to 29%, declining close to 400 bps YoY.

  • Manyavar-owner Vedant Fashions raises Rs 945 crore by selling 1.09 crore shares at Rs 866 per share to anchor investors ahead of its IPO. The investors include Government of Singapore, Fidelity, Nomura, Abu Dhabi Investment Authority, Morgan Stanley Asia (Singapore) Pte, BNP Paribas Arbitrage, Societe Generale, HDFC Life Insurance Company, ICICI Prudential Life Insurance Company, SBI Mutual Fund, ICICI Prudential MF, Axis MF, Kotak MF, Aditya Birla Sun Life MF, among others.

Riding High:

Largecap and midcap gainers today include Torrent Power Ltd. (580.35, 7.50%), Cholamandalam Investment & Finance Company Ltd. (675.70, 5.13%) and Vedanta Ltd. (356.35, 3.20%).

Downers:

Largecap and midcap losers today include Godrej Properties Ltd. (1,506.90, -9.65%), Mahindra & Mahindra Financial Services Ltd. (153.75, -3.97%) and SBI Cards and Payment Services Ltd. (854.90, -3.35%).

Volume Rockets

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

Top high volume gainers on BSE included Mas Financial Services Ltd. (659.55, 16.59%), Spandana Sphoorty Financial Ltd. (415.75, 10.19%) and Torrent Power Ltd. (580.35, 7.50%).

Top high volume losers on BSE were Godrej Properties Ltd. (1,506.90, -9.65%), Venky's (India) Ltd. (2,398.80, -8.78%) and Radico Khaitan Ltd. (977.60, -6.86%).

Sumitomo Chemical India Ltd. (418.45, 6.06%) was trading at 12.2 times of weekly average. Pfizer Ltd. (4471.40, -2.12%) and Lupin Ltd. (872.20, -3.09%) were trading with volumes 10.4 and 6.4 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

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

Stocks touching their year highs included - Cholamandalam Investment & Finance Company Ltd. (675.70, 5.13%), Deepak Fertilisers & Petrochemicals Corporation Ltd. (653.45, 5.00%) and State Bank of India (530.30, -1.81%).

Stocks making new 52 weeks lows included - Akzo Nobel India Ltd. (1,902.45, -0.52%) and Multi Commodity Exchange of India Ltd. (1,427.85, -2.68%).

11 stocks climbed above their 200 day SMA including Hindustan Copper Ltd. (137.70, 6.46%) and MOIL Ltd. (178.95, 2.46%). 24 stocks slipped below their 200 SMA including Godrej Properties Ltd. (1,506.90, -9.65%) and Mahindra & Mahindra Financial Services Ltd. (153.75, -3.97%).

 
logo
The Baseline
04 Feb 2022
Five Interesting Stocks Today
  • KEC International: This company’s Q3FY22 results were a mixed bag, confounding analysts as well. Net profits were down 35% YoY to Rs 94 crore but revenues rose 2% YoY to Rs 3,340 crore saved by the non T&D (transmission and distribution) segment involving railways, civil, cables, and others. KEC’s major business comes from the T&D segment which saw a fall in revenue by 14% YoY to Rs 1,388 crore. Even SAE Towers (a Brazilian subsidiary of KEC) saw an 18% YoY fall in revenues to Rs 220 crore in Q3FY22. What saved the company’s revenues was the robust growth in revenues in the civil and railways segments,  up 81% and 9%, YoY respectively. Looking at growing revenue, ICICIdirect upgraded its target price by 4% to Rs 535, but downgraded its rating to ‘Hold’ from ‘Buy’. The brokerage is of the view that the SAE business will take another year to turn around and start generating a decent margin.  This is because SAE Towers’ projects are slightly delayed due to the ongoing pandemic and unusual rainfall hindering the execution of the projects in the pipeline. SAE’s order intake value for FY22 is around Rs 1,137 crore. 
Axis Securities is however positive on the stock and upped its target price by 10% to Rs 555 as it expects margin pressures to subside in FY23. KEC International’s EBITDA margins slipped 190 bps YoY to 7.2% because of an increase in material costs. Also, the brokerage believes that the up order book will start generating revenues from FY 23-24.  
  • Pidilite Industries : This company’s Q3FY22 results were a disappointment with profits falling 19.5 % YoY to Rs 359.24 crore. This is despite a 24% YoY jump in revenues to Rs 2,850.72 crore. Revenue growth was broad-based across (C&B) Consumer and Bazaar & (B2B) Business-to-Business with growth in urban areas outpacing rural.  The company’s (C&B) segment, consisting of adhesives & sealants, construction & paint chemical, and art & craft materials, contributes 80% to its revenue, while the B2B segment (industrial adhesive, resins, and pigments) contributes the rest . The reasons for declining margins and profits despite increase in revenue is due to a steep cost inflation. The company passed on only 70-75% of the rise in costs to customers through price hikes. Raw material prices continued to increase, in Q3FY22 VAM (Vinyl Acetate Monomer) was priced at US$ 2000/mt Vs US$ 1,000/mt in Q3FY21. The management expects VAM (Vinyl Acetate Monomer) prices to cool off from March 2022.
ICICIdirect maintained a ‘Hold’ rating on the stock with the previous target price of Rs 2640 , a 5% upside . The brokerage sees Pidilite well placed to benefit from the revival in the domestic real estate industry, which drives demand in its C&B business. Addition of premium products in the portfolio such as Araldite, cost optimisation measures will help drive the EBITDA margin of the company higher. Construction chemical, waterproofing categories are highly under penetrated (<25%) in India. These categories are expected to drive long term growth for Pidilite. The brokerage projects a profit of CAGR of 17% for FY 21-24 with an EBITDA margin in the range of 20-23%.
  • Ajanta Pharma:  This company’s Q3FY22 net profit rose 8.6% YoY to Rs 192 crore while the  revenues rose 12% to Rs 838 crore. While EBITDA remained steady YoY at Rs 240 crore, EBITDA margin fell 370bps to 28.6% due to aggressive price erosion in the US Business and rising input costs. Taking cues from this, the management has not set aside any additional funds for capex apart from what is required for maintenance of its facilities for the next 3-4 years. As if on cue, the company plans to return the excess free cash flow back to the shareholders through a share buyback of Rs 352 crore. In the previous quarter, it paid out Rs 82 crore as dividend. The decline in gross margin in the US business was mitigated by generic business in India and Emerging markets, which boasts of higher gross margin. Ajanta Pharma’s key driver of growth is the branded formulation business, with revenues rising 26%YoY to Rs 361 crore. The formulation business accounts for 41% of total revenues. In the emerging market segment, revenues from China fell 1% owing to supply chain disruptions. However, the company posted a robust 87% revenue growth from Africa. Revenue from domestic business, which accounts to 30% of total revenues, grew 18% to Rs 260 crore. Brokerages like ICICI Securities and BOB Capital Markets, despite the company’s troubles in the US market continue to be upbeat about the company’s prospects and stuck  to  their “Buy” rating.
  • Indian Hotels Company: An upswing in domestic leisure travel in Q3FY22 finally caused Indian Hotel’s bottomline to return to black for the first time, after six quarters. The stock is up nearly 10.6% in the last one week. Tight operating cost control and a revenue growth of 2X YoY led to the generation of a net profit of Rs 76 crore in Q3FY22 as against a loss of Rs 119 crore in Q3FY21. What’s commendable here is that the company’s domestic revenue per available room recovered to 89% of the pre-Covid levels as against the industry average of 79%. Its occupancies not only recovered to 94% of the pre-covid levels, but also rose to nearly 67% in Q3, up 10 percentage points sequentially. Interestingly, the Q3FY22 revenues from its hotels in Goa and Rajasthan actually grew over Q3FY20 levels with the former posting 26% growth. However, the performance of the company's key markets of Mumbai, Delhi and Bengaluru remain lacklustre. The revenues from its mainstay market of Mumbai and Delhi are still at nearly 70% of the Q3FY20 level. On the international level, revenues from its hotels based in Dubai and Maldives grew 48% and 6% respectively over Q3FY20 levels led by over 25% QoQ rise in room occupancy.
The reduction in its net debt/equity ratio to 0.32X from 0.93X in Q2FY22 thanks to the recent QIP helped shore up its balance sheet strength. While the third Covid wave may once again dampen the prospects of this Tata Group company in Q4FY22, outlook for FY23 looks positive as the company is hopeful of a recovery in its flagship markets as business travel resumes.
  • Hero MotoCorp: This two-wheeler maker’s monthly wholesale numbers keep dwindling. Since July 2021, India’s largest two-wheeler maker’s monthly wholesales numbers are falling on an YoY basis. Its stock hit a 52-week low on December 02, 2021 after its November 2021 wholesales data came out. Hero MotoCorp’s January wholesales declined 22% YoY to 3,80,476 units due to the third Covid-19 wave, higher fuel prices and weak demand in rural markets. The wholesale volumes also fell 4% on a month-on-month basis. 
The company also witnessed a double-digit YoY fall in its wholesales between October-December, 2021. An important point made by competitor Bajaj Auto’s Executive Director Rakesh Sharma in the Q3FY22 earnings call was on the absence of money or the will to buy a bike amongst 60% of its prospective motorcycle customers. This also throws light upon Hero’s dismal performance and bleak outlook. This two-wheeler maker primarily serves the highly price sensitive consumers through its economy and executive-100 bike segments. The propensity to spend is materially impacted for these segments and the two-wheeler maker might see green shoots of growth only from the latter half of FY23. The management of the company, however, remains hopeful of the future backed by the announcement of a new battery swapping policy in Budget 2022-23. While the incentives are yet to be finalized, the policy might accelerate the adoption of electric two-wheelers in India. 

             
Trendlyne Marketwatch
Trendlyne Marketwatch
03 Feb 2022
Market closes in red, Dabur's Q3 profit rises marginally by 2.3% YoY
Trendlyne Analysis
Selling pressure in the last hour of trade meant the Nifty 50 ended the day in the red. The benchmark index barely managed to touch Wednesday’s closing levels during the day. The Nifty Auto, which was the only sectoral index trading in green throughout the day, gave up most of the gains as it finally settled higher by a mere 0.44%. Nifty IT was the major underperformer as it fell 2% taking cues from the global rout in technology stocks. Nifty Realty and Nifty Infra indices ended in the red.
Nifty 50 closed at 17,560.20 (-219.8, -1.2%), BSE Sensex closed at 58,788.02 (-770.3, -1.3%) while the broader Nifty 500closed at 15,135.90 (-157.5, -1.0%)
Market breadth is in the red. Of the 1,853 stocks traded today, 841 were on the uptrend, and 991 went down.
  • Laxmi Organic Industries, Kalpataru Power Transmissions, Westlife Development, and Cholamandalam Financial Holdings are trading with higher volumes as compared to Wednesday.
  • Balaji Amines Q3FY22 net profit rises 29% YoY to Rs 101.59 crore as its revenues rise 44.1% to Rs 565.83 crore. The revenue growth was muted on a sequential basis due to sluggish demand for few products as some of the company's clients could not procure key starting materials for their products.
  • Dabur's Q3FY22 net profit rises marginally by 2.3% YoY to Rs 503.3 crore and revenues rise 7.8% YoY to Rs 3,038.5 crore. An over 30% growth in the company's food and beverage segment involving read-to-cook and ready-to-eat items drives the overall revenue growth. Profit growth remains low owing to cost inflationary pressures in Q3.
  • ICICI Direct maintains a 'Buy' rating on Sun Pharmaceuticals with a target price of Rs 1,075 with 21% upside because of the company’s higher contribution from its domestic franchise. This is likely to change the product mix towards more remunerative businesses by FY23.
  • Cadila Healthcare’s Q3FY22 net profit falls 5% YoY to Rs 500 crore and revenues fall 3.4% YoY to Rs 3655 crore despite a robust 17% YoY growth in the branded formulations business.
  • Tata Consumer Products' Q3FY22 net profit rises 21.5% YoY to Rs 265 crore and revenues rise 4.5% YoY to Rs 3,233.4 crore. Company's Indian beverages segment sees over 6% sales volume growth and EBIT margin improvement of 11.1 percentage points as inflation in tea prices moderates in Q3.
  • Auto stocks are trading up with stocks like Maruti Suzuki, Bajaj Auto, Hero MotoCorp, and TVS Motor Company, among others. The broader sectoral index Nifty Auto is also trading higher today.
  • Dhani Services is trading with more than 40 times its weekly average trading volume. Blue Star, Laxmi Organic Industries, Gujarat State Petronet, and Elgi Equipments are trading at more than three times their weekly average trading volumes.
  • CE Infosystems to acquire 9.99% stake in display technologies and augment reality developer Pupilmesh for 49.95 lakh. Pupilmesh will support the company in the area of navigation.
  • Jubilant Foodworks' Q3FY22 net profit rises 7.85% YoY to Rs 134 crore and revenues rise 13.2% YoY to Rs 1,222 crore. Recovery in dine-ins and robust growth in the delivery and takeaway channels drives the overall topline growth for Jubilant in Q3. Company also approves a share-split of 5:1 in its board meeting
  • Bharat Dynamics rises on the bourses as it gets a three-year contract from the Indian Army worth Rs 3,132 crore. The contract involves the supply of Konkurs - M Anti-Tank Guided Missiles to the Indian Army. The company will also be exporting these missles to friendly foreign nations.
  • HDFC's net profit rises 11.44% to Rs 3,260.7 crore because of rise in net interest income by 6.96% to Rs 4,284 crore. The housing finance company also sees a rise in assests under management by 12.09% YoY to Rs 6,18,917 crore because of rise in individual loan book by 16% YoY. The bank's gross individual non-performing loans (NPL) stands at 1.44% and non-individual NPLs stands at 5.04%.
  • Plutus Wealth Management buys 6.5 lakh shares of AGS Transact Technologies at an average price of Rs 160.1 in a bulk deal on Wednesday.
  • Competition Commission of India (CCI) fines five major tyre manufacturers for cartelization. These are Apollo Tyres, CEAT, JK Tyre, Birla Tyres, and MRF. CCI says that the tyre manufacturers shared price-sensitive information amongst themselves through Automotive Tyre Manufacturers Association (ATMA), and took collective decisions on the prices of tyres. The competition regulator fined Apollo Tyres Rs 425.5 crore, MRF Rs 622.1 crore, CEAT Rs 252.2 crore, JK Tyre Rs 309.9 crore, and Birla Tyres Rs 178.3 crore. It also fined ATMA Rs 8.4 lakh.
Riding High:
Largecap and midcap gainers today include  TVS Motor Company Ltd.  (657.25, 4.97%),  IDBI Bank Ltd.  (51.55, 4.78%) and  Coromandel International Ltd.  (820.55, 3.34%).
Downers:
Largecap and midcap losers today include  Godrej Properties Ltd.  (1,667.85, -6.42%),  Mahindra & Mahindra Financial Services Ltd. (160.10, -5.27%) and  L&T Technology Services Ltd.  (4,591.95, -3.93%).
Crowd Puller Stocks
25 stocks in BSE 500 are trading on high volumes today.
Top high volume gainers on BSE included  Mas Financial Services Ltd.  (565.70, 19.99%),  Blue Star Ltd.  (1,000.05, 9.66%) and  Amber Enterprises India Ltd.  (3,888.05, 8.94%).
Top high volume losers on BSE were  Mahindra & Mahindra Financial Services Ltd.  (160.10, -5.27%),  Bajaj Consumer Care Ltd. (179.85, -4.08%) and  Supreme Industries Ltd.  (2,014.60, -3.73%).
Westlife Development Ltd.  (497.45, 1.05%) was trading at 8.5 times of weekly average.  Asahi India Glass Ltd.  (596.50, 5.83%) and  Gujarat State Petronet Ltd.  (317.70, 1.11%) were trading with volumes 6.2 and 5.8 times weekly average respectively on BSE at the time of posting this article.
BSE 500: highs, lows and moving averages
13 stocks took off, crossing 52-week highs, while 1 stock tanked below their 52-week lows.
Stocks touching their year highs included -  Bank of Baroda  (109.55, 0.14%),  Canara Bank  (264.90, -1.76%) and  Deepak Fertilisers & Petrochemicals Corporation Ltd.  (622.35, 4.99%).
Stock making new 52 weeks lows included -  Akzo Nobel India Ltd.  (1,920.00, -1.07%).
27 stocks climbed  above their 200 day SMA including  Blue Star Ltd.  (1,000.05, 9.66%) and  Balaji Amines Ltd.  (3,604.90, 6.84%). 17 stocks  slipped below their 200 SMA  including  Godrej Properties Ltd. (1,667.85, -6.42%) and  Mahindra & Mahindra Financial Services Ltd.  (160.10, -5.27%).

             
Trendlyne Marketwatch
Trendlyne Marketwatch
02 Feb 2022
Market closes higher, Zydus Wellness Q3 profit jumps 13X YoY
Trendlyne Analysis
Markets rose in today's trading. Nifty 50 closed at 17,780.00 (203.2, 1.2%) , BSE Sensex closed at 59,558.33 (695.8, 1.2%) while the broader Nifty 500 closed at 15,293.35 (177.2, 1.2%)
Market breadth is surging up. Of the 1,851 stocks traded today, 1,364 showed gains, and 460 showed losses.
  • Procter & Gamble Hygiene & Healthcare, Zydus Wellness, Quess Corp, and Orient Electric are trading with higher volumes as compared to Tuesday.
  • ICICI Securities upgrades its rating on United Breweries to 'Buy' from 'Hold' with a target price of Rs 1,900, indicating an upside of 13.64%. The brokerage sees the company's Rs 800-crore bank balance, strong supply chain, and strong return ratios to propel long term-growth for the company. For Q3FY22, The company's revenue rises 23% YoY to Rs 1,581 crore and profit rises 39% to Rs 100 crore.
  • Zydus Wellness Q3FY22 net profit jumps 13 times YoY to Rs 23.3 crore despite a 2.3% rise in revenues to Rs. 385 Crore. The sugar substitutes segment saw Sugarfree continue to remain the market leader a 96% market share (up 104 bps over Q3FY2021).
  • Hero MotoCorp's wholesales drop 21.69% YoY to 3,80,476 units comprising of 3,57,845 units of motorcycles (down 20.3% YoY) and 22,631 units of scooters (down 38.6% YoY). Exports rises 20.4% YoY to 21,816 units.
  • Indian Hotels Company generates a net profit of Rs 76 crore in Q3FY22 as against a loss of Rs 119 crore in Q3FY21. The hotel major's revenues grow 2X to Rs 1,134 crore in Q3 led by a swift recovery in occupancy rates driven by a robust festive and holiday season.
  • Spandana Sphoorty Financial is trading with more than 22 times its weekly average trading volume. Capri Global Capital, Westlife Development, Tata Teleservices (Maharashtra), and VIP Industries are trading at more than eight times their weekly average trading volumes.
  • Vodafone Idea is rising in trade after Care Ratings upgrades its credit rating on the company's long-term bank facilities and non-convertible debentures (NCDs) to B+ from B- with a ‘Stable’ outlook. The change in rating is because of the company opting for a 4-year moratorium on statutory dues towards adjusted gross revenues and spectrum leading to conversion of interest into equity to the tune of 35.8% of the company's shares. This helped the company in saving Rs 1 lakh crore in cashflows, improving its financials and allowing the funds to be invested in capex.
  • Adani Ports & SEZ's Q3FY22 net profit falls 6.6% YoY to Rs 1,472.3 crore and revenues rise marginally by 1.35% to Rs 4,422.7 crore. A 11% YoY fall in quarterly cargo volumes to 68 million metric tonnes owing to lower imports of coal and an erosion of 53 bps in EBITDA margins cause the overall fall in earnings.
  • Eicher Motors is rising even though its arm Royal Enfield's January 2022 total wholesales drop 15% YoY to 58,838 units. Exports rises 102% to 9,112 units. VE Commercial Vehicles' wholesales, the company's joint venture with Volvo, drop 4.2% to 5,434 units.
  • Alembic Pharmaceuticals is rising after the company receives a tentative approval from US Food & Drug Administration approval for Fesoterodine Fumarate Extended-Release tablets.
  • NMDC's iron ore sales for the month of January 2022 rise 13.4% YoY to 4.24 million tonnes (MT) led by rise in offtake in the state of Karnataka. Recently, the company also increased the prices of lump ore by Rs 300 to Rs 5,200 per tonne on higher steel demand
  • Kansai Nerolac's Q3FY22 net profit falls 37% YoY to Rs 128 crore despite revenues rising 14% YoY to Rs 1,820 crore. Spike in raw material costs, especially in crude oil, lead to EBITDA margin erosion of 7.8 percentage points YoY which ultimately cause the decline in profitability.
  • Tech Mahindra’s Q3FY22 net profits rise 2.2% QoQ to Rs 1,369 crore as revenue from operations rose 5.2% QoQ to Rs 11,451 crore. EBITDA rose 2.2% QoQ to Rs 2,060 crore while EBITDA margins contracted 30 bps QoQ to 18%. Total expenses for the quarter increase by 5.6% QoQ to Rs 9,786.8 crore as employee costs went up by 4.5% to Rs 5,660 crore
Riding High:
Largecap and midcap gainers today include  Dr. Lal Pathlabs Ltd.  (3,211.35, 7.72%),  Union Bank of India  (49.80, 6.98%) and  Vodafone Idea Ltd.  (11.40, 6.54%).
Downers:
Largecap and midcap losers today include  Jubilant Foodworks Ltd.  (3,301.60, -4.03%),  Balkrishna Industries Ltd.  (2,320.75, -3.05%) and  Cholamandalam Investment & Finance Company Ltd.  (639.20, -2.26%).
Movers and Shakers
21 stocks in BSE 500 are trading on high volumes today.
Top high volume gainers on BSE included  Spandana Sphoorty Financial Ltd.  (404.50, 19.99%),  VIP Industries Ltd.  (676.55, 12.33%) and  Elgi Equipments Ltd.  (381.90, 12.01%).
Top high volume losers on BSE were  IFB Industries Ltd.  (973.70, -5.94%),  Alkyl Amines Chemicals Ltd.  (3,211.30, -4.29%) and  V Mart Retail Ltd.  (3,743.90, -0.55%).
Capri Global Capital Ltd.  (598.30, 5.17%) was trading at 25.8 times of weekly average.  Westlife Development Ltd.  (492.30, -0.50%) and  Sudarshan Chemical Industries Ltd.  (612.85, 4.44%) were trading with volumes 14.1 and 9.3 times weekly average respectively on BSE at the time of posting this article.
BSE 500: highs, lows and moving averages
16 stocks took off, crossing 52-week highs,
Stocks touching their year highs included -  Bank of Baroda (109.40, 3.06%),  Canara Bank (269.65, 4.21%) and CCL Products India Ltd.  (510.10, 8.24%).
38 stocks climbed  above their 200 day SMA  including  Dishman Carbogen Amcis Ltd.  (206.95, 7.09%) and Prince Pipes & Fittings Ltd. (716.45, 5.98%). 8 stocks  slipped below their 200 SMA  including AIA Engineering Ltd.  (1,917.90, -1.84%) and  GAIL (India) Ltd. (145.70, -1.22%).

             
Trendlyne Marketwatch
Trendlyne Marketwatch
01 Feb 2022
Market closes higher, BPCL's Q3 profit rises 79.2% YoY
Trendlyne Analysis
Markets rose in today's trading. Nifty 50 closed at 17,576.85 (237, 1.4%) , BSE Sensex closed at 58,862.57 (848.4, 1.5%) while the broader Nifty 500 closed at 15,116.20 (194.8, 1.3%)
Market breadth is in the green. Of the 1,847 stocks traded today, 983 were gainers and 837 were losers.
  • Suzlon Energy, Varroc Engineering, Godrej Agrovet, and J B Chemicals & Pharmaceuticals are trading with higher volumes as compared to Monday.
  • BPCL's Q3FY22 net profits rises 79.2% YoY to Rs 2,805 crore and revenues rise 44.3% YoY to Rs 95,915 crore. Higher fuel demand and improvement in gross refining margins by nearly 3X YoY aid the earnings growth in Q3. The company also announces an interim dividend of Rs 5 per share.
  • KPIT Technologies' Q3FY22 net profits rises 7.5% QoQ to Rs 70.3 crore and revenue rises 4.8% QoQ to Rs 631 crore. Electric Powertrain and autosar business segments lead the revenue growth in Q3. The company also announces an interim dividend of Rs 1.25 per share.
  • Nifty Metal is trading up with stocks like Ratnamani Metals & Tubes, Tata Steel, Hindalco Industries, Jindal Steel & Power, Vedanta, SAIL among others after the union budget extends the custom duty exemption on steel scrap till FY23. The budget also announces revoking of anti-dumping duties on stainless steel, coated steel, among others in the larger public interest to tackle the problem of high price of metals.
  • Escorts' January 2022 tractor wholesales drop 36.7% YoY to 5,707 units due to unseasonal rainfall in certain parts of the country and impact of inflation on short term demand. The company's construction machinery wholesales drop 21.1% YoY to 375 units.
  • NTPC's arm NTPC Vidyut Vyapar Nigam purchases 5% equity stake in Power Exchange of India (PXIL) from NSE Investment, a co-promoter shareholder of PXIL.
  • Shipping Corporation of India's Q3FY22 net profit jumps 137% YoY to Rs 311.5 crore and revenue rises 71% YoY to Rs 1,456.2 crore. The company's flagship segments of liner and bulk carrier post over 2.5X YoY revenue growth which aids the overall earnings rise in Q3.
  • Indoco Remedies is trading with more than 10 times its weekly average trading volume. Future Retail, Shipping Corporation of India, PNC Infratech, and KNR Constructions are trading at more than three times their weekly average trading volumes.
  • Nifty Bank is trading up with stocks like Kotak Mahindra Bank, HDFC Bank, IndusInd Bank, ICICI Bank, Axis Bank, IDFC First Bank among others after the budget announces the continuation of ECLGS scheme to be extended till March 2023 for the benefit of MSME focused banks.
  • Real estate stocks are trading up with stocks like Prestige Estates, Brigade Enterprises, and Oberoi Realty rising. The broader sectoral index i.e. the Nifty Realty is also trading higher post the announcement of a Rs 48,000 crore allocation to the Pradhan Mantri Awas Yojana in Budget 2022-23.
  • Roads and Highways stocks like PNC Infratech,MEP Infrastructure Developers, Ashoka Buildcon, KNR Constructions among others are rising in trade after the budget announces national highways to be increased by 25,000 km in FY23.
  • DLF's Q3FY22 net profits fall 15.9% YoY to Rs 379.5 crore and revenues rise marginally by 0.43% to Rs 1,686.9 crore. An impairment provision of Rs 224 crore due to a debt default by its investee company pulls down its profits during the quarter.
  • Tata Steel Long Products is set to acquire 93.71% equity stake in Neelachal Ispat Nigam for a consideration of Rs 12,100 crore as a part of the government's disinvestment plan. Neelachal Ispat has a steelmaking capacity of one million tonne per annum (MTPA) and plans to set up a 4.5 MTPA long products complex in the next few years.
  • Tata Motors reports a net loss of Rs 1,451 crore in Q3FY22 as its arm, Jaguar Land Rover’s (JLR), net revenues fall 21.2% to Rs 4,716 crore because of reducing sales due to chip supply shortage. Consolidated net revenues fell 4.5% YoY to Rs 72,229.3 crore and EBITDA margins fell 350 bps to 3.3%. Finance cost increases by 12.9% YoY to Rs 2,401 crore in Q3FY22 due to higher gross borrowings.
Riding High:
Largecap and midcap gainers today include  Tata Steel Ltd.  (1,167.35, 7.54%),  Sun Pharmaceutical Industries Ltd.  (891.75, 6.86%) and  Dalmia Bharat Ltd.  (1,902.70, 6.79%).
Downers:
Largecap and midcap losers today include  Hindustan Petroleum Corporation Ltd.  (291.50, -7.20%),  Bharat Petroleum Corporation Ltd. (378.85, -4.58%) and  The New India Assurance Company Ltd.  (139.45, -3.13%).
Crowd Puller Stocks
21 stocks in BSE 500 are trading on high volumes today.
Top high volume gainers on BSE included  Hatsun Agro Products Ltd.  (1,165.70, 14.06%), Aavas Financiers Ltd.  (3,113.90, 8.34%) and  Navin Fluorine International Ltd.  (4,256.80, 8.20%).
Top high volume losers on BSE were  Hindustan Petroleum Corporation Ltd.  (291.50, -7.20%),  Vinati Organics Ltd. (1,945.45, -1.95%) and  KNR Constructions Ltd.  (311.00, -1.38%).
Indoco Remedies Ltd.  (401.90, 4.29%) was trading at 12.9 times of weekly average.  Shipping Corporation of India Ltd.  (129.90, 5.95%) and  PNC Infratech Ltd.  (297.90, 0.98%) were trading with volumes 7.2 and 5.6 times weekly average respectively on BSE at the time of posting this article.
BSE 500: highs, lows and moving averages
12 stocks hit their 52-week highs, while 3 stocks tanked below their52-week lows.
Stocks touching their year highs included -  Bank of Baroda  (106.15, -1.30%),  Canara Bank  (258.75, 2.29%) and  Deepak Fertilisers & Petrochemicals Corporation Ltd.  (571.40, 0.29%).
Stocks making new 52 weeks lows included -  Mas Financial Services Ltd.  (473.40, -3.42%) and  Vaibhav Global Ltd.  (443.05, -4.29%).
40 stocks climbed  above their 200 day SMA including  Hatsun Agro Products Ltd.  (1,165.70, 14.06%) and  Jindal Steel & Power Ltd. (411.15, 6.52%). 11 stocks  slipped below their 200 SMA  including  PCBL Ltd.  (230.60, -2.95%) and  Indian Overseas Bank  (20.80, -2.80%).

             
logo
The Baseline
01 Feb 2022
Five analyst stock picks this week
  1. Axis Bank: Edelweiss gives this bank a ‘Buy’ rating with a target price of Rs 985, indicating an upside of 27.1%. Analyst Raj Jha says, “Axis Bank reported robust Q3FY22 results beating our estimates on the credit, deposits, net revenue, and PAT fronts.” The bank reported 21% YoY and 7% QoQ growth to Rs 12,493 crore in net revenue, led by healthy net interest income and non-interest income growth, with its net profits growing 224% YoY, and 15% QoQ, to Rs 3,614 crore. The asset quality also improved on lower slippages, higher recoveries, and moderate write offs with stable restructuring. Return on assets improved 82 basis points YoY to 1.3% and Return on Equity increased 872 basis points YoY to 13.3%. With acceleration in credit growth and improvement in asset quality, the brokerage expects return ratios to improve here on.  
  2. Vardhman Textiles: ICICI Securities gives this textile company a ‘Buy’ call with a target price of Rs 3,125, indicating an upside of 30.1%. According to analysts Cheragh Sidhwa and Bharat Chhoda, Vardhman Textiles is among the few textile companies that have been able to maintain low debt levels despite continuous capacity addition. Healthy cash flows have enabled the company to reduce its debt to Rs 1,848.2 crore (reduced by Rs 152 crore, 7.6%) in FY21. The company reported strong operational performance for Q3FY22 with all-time high revenue of Rs 2,603 crore, up 49% YoY. EBITDA was higher by 124% YoY at Rs 619 crore and consequently, net profits grew 145% YoY to Rs 429 crore. Owing to strong demand, the company is expanding its yarn spindle capacity by installing 1,65,000 spindles with a capex of Rs 1,400 crore. ICICI Securities models revenue and profit CAGR of 22% and 57%, respectively, during FY 21-24.
  3. Craftsman Automation: LKP Securities has a ‘Buy’ rating on this auto parts maker with a 12-month target price of Rs 2,991. This indicates a potential upside of 45.3%. The company’s Q3FY22 numbers were good despite the challenging environment - revenues grew 49% YoY to Rs 550 crore. The power train business’ revenue expanded 9.6% YoY as the commercial vehicle (CV) industry grew at a strong pace. The automotive aluminum business’ revenue grew 7% YoY. Analyst Ashwin Patil believes the power train business will be driven by an expected pick up in the replacement cycle for heavy commercial vehicles in the coming quarters, and expects 35% growth in FY22 from this business. With increasing electrification efforts and the company being in talks with a North American company for a partnership, the brokerage expects the automotive aluminum business to grow at 25% and 20% in FY 22 and FY23. 
  4. Cera Sanitaryware: BOB Capital gives a ‘Buy’ rating to this sanitaryware company with a target price of Rs 5,590 with an upside of 14.5%. The company has a healthy revenue growth led by strong demand traction. consolidated revenues grew 28% YoY to Rs 400 crore in Q3FY22 due to revival in real estate demand and increasing retail consumption led by home upgrades and improvement.  A higher revenue contribution of sanitaryware and faucet ware at 88% in Q3FY22 had a positive bearing on the EBITDA margin of 16.5%. Demand was robust in Q3 and the company expects to see strong demand traction in the coming quarters. Analyst Ruchitaa Maheshwari believes strong demand trends, price hikes, and healthy revenue will lead to strong growth prospects and improved return ratios.
  5. Federal Bank: Axis Securities maintains a ‘Buy’ call with a target price of Rs 125, indicating an upside of 24.2%. Federal Bank’s Q3FY22 performance was marked by lower provisions, improved recoveries, pick-up in NIMs, healthy fee income, and loan growth which led to profit growth of 29% YoY to Rs 520 crore. The bank’s estimated return on assets at 1.2% over 4-6 quarters. Secondly, credit costs are likely to decline as the bank was very conservative with provisions. Lastly, a cost-benefit arising out of digital strategy is expected to drive improvements in the cost to income ratio. “The bank has managed Covid-19 related stress quite well, similar to frontline banks. It is on track to improve its ROE profile through higher-yielding Retail/CV/Credit cards in its portfolio mix,” says analyst Siji Philip. Axis Securities believes the asset quality is likely to stay stable and expects steady provision requirements along with healthy growth in the balance sheet and NIMs to deliver RoA of 1.1% and RoE of 14.9% by FY23.

             
Trendlyne Marketwatch
Trendlyne Marketwatch
31 Jan 2022
Markets closes higher, IndusInd Bank's Q3 profit rises 36% YoY to Rs 1,161 crore
Trendlyne Analysis
The market closed on an upbeat note. Nifty 50 closed at 17,339.85 (237.9, 1.4%) , BSE Sensex closed at 58,014.17 (813.9, 1.4%) while the broader Nifty 500 closed at 14,921.45 (198.2, 1.4%)
Market breadth is in the green. Of the 1,897 stocks traded today, 1,015 were gainers and 849 were losers.
  • CSB Bank, Emami, Ratnamani Metals & Tubes and Zydus Wellness are trading with higher volumes as compared to Friday
  • 
	Morgan Stanley maintains an 'Overweight' rating on BPCL and raises the target price by 2.4% to Rs 512. The brokerage expects the company's earnings to grow at a CAGR of 24% from FY22-24 on improving refining margins due to higher fuel demand and a pick-up in global air travel. It also feels the company is trading at attractive valuations.
  • IndusInd Bank's Q3FY22 profit rises 36% YoY to Rs 1,161 crore as Net Interest Income rises by 11.4% YoY to Rs 3,794 crore and provisions fall. However, the stock is falling as the management admits to the procedural lapses in its microfinance institution--Bharat Financial Inclusion.
  • Adani Wilmar’s Rs 3,600-crore IPO gets bids for 6.87X of the available 12.25 crore shares on offer on the final day of bidding. Retail investors quota of 5.03 crore shares gets bids for 3.27 times the shares on offer. The IPO entirely comprises of a fresh issue of equity shares.
  • UPL's Q3FY22 net profit rises 36.93% YoY to Rs 634 crore and total revenue rises 15.46% to Rs 10,614 crore. The company's EBITDA margin is at 23.6%, down by 61 basis points YoY.
  • Reliance Industries' rises as CLSA upgrades its rating to 'Buy' and raises the target price to Rs 2,955. The brokerage sees the company as a good entry point for multiple big India themes across various sectors. The company's retail business' improvement also holds it in good stead to become a dominant online and offline player.
  • Blue Dart Express's Q3FY22 net profit rises 29.48% to Rs 123.4 crore and total revenue rises 21.71% to Rs 1,269.1 crore. The company also approves interim dividend of Rs 25 per share for FY22.
  • AGS Transact Technologies’ shares list flat at a 0.9% premium to the issue price of Rs 175 on its debut on the bourses after getting bids for 8.22X of total shares on offer
  • NTPC's Q3FY22 net profit rises 19.4% YoY to Rs 4,498.6 crore and revenues rise 19% YoY Rs 33,783.62 crore led by higher electricity generation. The company also approves interim dividend for FY22 at Rs 4 per share.
  • Eris Lifesciences' Q3FY22 net profit rises 11.8% YoY to Rs 100.8 crore and revenues rise 7% YoY to Rs 337.3 crore. Double-digit growth of 15.5% YoY in the its flagship cardio-metabolic segment drives the earnings growth in Q3
  • Vedanta's Q3FY22 net profit rises 27% YoY to Rs 4,189 crore and revenue rises 50% YoY to Rs 33,697 crore. The company's EBITDA margin is at 37%, down 8% YoY
  • Britannia's Q3FY22 net profit falls 18.6% YoY to Rs 371.2 crore despite its revenues rising 12.9% YoY to Rs 3,630 crore. A 20% spike in commodity prices and higher fuel costs leads to a double-digit earnings fall in Q3
  • Larsen & Toubro's Q3FY22 net profit falls 16.7% YoY to Rs 2,054.7 crore and revenue rises 11% YoY to Rs 39,563 crore. The company receives orders worth Rs 50,359 crore, down 31% YoY
Riding High:
Largecap and midcap gainers today include  Info Edge (India) Ltd. (4,900.80, 11.23%),  MindTree Ltd.  (4,006.30, 7.57%) and  Larsen & Toubro Infotech Ltd. (6,270.35, 6.07%).
Downers:
Largecap and midcap losers today include  IndusInd Bank Ltd. (872.10, -3.48%),  Atul Ltd.  (9,559.75, -3.18%) and  Relaxo Footwears Ltd.  (1,231.00, -3.17%).
Volume Rockets
11 stocks in BSE 500 are trading on high volumes today.
Top high volume gainers on BSE included  Amber Enterprises India Ltd.  (3,610.05, 13.16%),  MMTC Ltd.  (61.10, 9.89%) and  Chalet Hotels Ltd. (258.55, 9.83%).
Lemon Tree Hotels Ltd.  (51.80, 7.02%) was trading at 10.2 times of weekly average.  The New India Assurance Company Ltd.  (143.95, 3.97%) and  EIH Ltd.  (140.55, 3.08%) were trading with volumes 4.2 and 4.1 times weekly average respectively on BSE at the time of posting this article.
BSE 500: highs, lows and moving averages
7 stocks took off, crossing 52-week highs, while 4 stocks tanked below their 52-week lows.
Stocks touching their year highs included -  Bank of Baroda (107.55, 4.11%),  Canara Bank (252.95, 5.88%) and  IDFC Ltd. (64.70, 1.01%).
Stocks making new 52 weeks lows included -  HDFC Life Insurance Company Ltd. (622.45, 0.32%) and  Mas Financial Services Ltd. (490.15, -1.85%).
26 stocks climbed  above their 200 day SMA including  Amber Enterprises India Ltd.  (3,610.05, 13.16%) and  APL Apollo Tubes Ltd. (864.30, 6.60%). 7 stocks  slipped below their 200 SMA  including  UTI Asset Management Company Ltd. (897.70, -7.17%) and  Infibeam Avenues Ltd.  (44.05, -5.67%).

             
Trendlyne Marketwatch
Trendlyne Marketwatch
28 Jan 2022
Market closes lower, Adani Wilmar’s IPO gets oversubscribed by 1.13X of total shares on offer on Day 2
Trendlyne Analysis
Nifty 50 closed at 17,101.95 (-8.2, -0.1%) , BSE Sensex closed at 57,200.23 (-76.7, -0.1%) while the broader Nifty 500 closed at 14,723.25 (43.6, 0.3%)
Market breadth is in the green. Of the 1,847 stocks traded today, 1,125 were gainers and 692 were losers.
  • Indigo Paints, Bajaj Holdings & Investment, Kansai Nerolac Paints, and TTK Prestige are trading with higher volumes as compared to Thursday.
  • Honeywell and Navin Fluorine International partner up to manufacture hydrofluoroolefins in India. Production is scheduled to commence by Q2CY22 at manufacturing facility in Gujarat.
  • Adani Wilmar’s Rs 3,600-crore IPO gets bids for 1.13X of the available 12.25 crore shares on offer on the second day of bidding. Retail investors quota of 5.03 crore shares gets oversubscribed by 1.85 times the shares on offer. The IPO entirely comprises of a fresh issue of equity shares.
  • Zomato is set to acquire 19.48% stake in an adtech company AdOnMo for Rs 112.3 crore so as to boost new customer acquisitions. It will also buy 5% stake in a B2B Saas based company UrbanPiper Technology for Rs 37.4 crore. Additionally, Zomato seeks to form a NBFC which will operate as its subsidiary.
  • KPR Mill surges in trade as its board will mull a buyback of equity shares in its meeting to be held on February 7, 2022. The board will also take up for approval the company's Q3FY22 results in the same meeting.
  • Heidelberg Cement India is trading with more than six times its weekly average trading volume. Godfrey Phillips India, LIC Housing Finance, Route Mobile, and Vaibhav Global are trading at more than three times their weekly average trading volumes.
  • C. E. Info Systems falls as Q3FY22 profit after tax declines 14% YoY to Rs 18.5 crore and revenue from operations falls 11% YoY to Rs 43.37, with EBITDA margins of 39%.
  • Larsen and Toubro's arm Larsen and Toubro Hydrocarbon Engineering receives an offshore contract worth Rs 2,500-5,000 crore from Oil & Natural Gas Corporation for the seventh development phase of their pipeline replacement projects. The contract involves engineering, procurement, construction, installation, and commissioning of 350 kms subsea pipelines among other things.
  • Canara Bank’s Q3FY22 net profit jumps 2X YoY to Rs 1,502 crore as net interest income (NII) rises and provisions fall. NII rises 14% YoY to Rs 6,946 crore with net interest margin rising marginally by 4 bps YoY to 2.83%. Provisions fall 35.56% YoY to Rs 2,946 crore, while gross NPA stands at 7.80%, down 34 bps YoY. Net NPA for Q3 is at 2.86%, down 22 bps YoY.
  • TVS Motor falls on the bourses after it announces the acquisition of a 75% stake in the electric bike maker Swiss E-Mobility Group for nearly Rs 487 crore. The company seeks to strengthen its presence in the electric personal mobility segment in Europe and other developed markets
  • Bharti Airtel’s board approves issuance of 7.1 crore equity shares at a price of Rs 734 per share (Rs 5,224.38 crore) to Google International on a preferential basis, subject to approvals from regulators. Google intends to invest a total of $1 billion in Bharti Airtel as a part of its Google for India Digitization Fund to work on improving Airtel’s scaling of business, enhancing connectivity and access to smartphones.
Riding High:
Largecap and midcap gainers today include  LIC Housing Finance Ltd.  (383.15, 10.90%),  Laurus Labs Ltd. (499.80, 7.55%) and  Coforge Ltd.  (4,713.25, 7.10%).
Downers:
Largecap and midcap losers today include  TVS Motor Company Ltd. (601.95, -4.43%),  Maruti Suzuki India Ltd.  (8,550.95, -3.05%) and  IDBI Bank Ltd.  (48.50, -2.90%).
Movers and Shakers
22 stocks in BSE 500 are trading on high volumes today.
Top high volume gainers on BSE included  LIC Housing Finance Ltd.  (383.15, 10.90%),  Route Mobile Ltd. (1,609.20, 7.60%) and  Laurus Labs Ltd.  (499.80, 7.55%).
Top high volume losers on BSE were  Mahindra Logistics Ltd.  (587.40, -10.98%),  Vaibhav Global Ltd.  (464.50, -8.31%) and  Finolex Industries Ltd.  (170.05, -5.42%).
Heidelberg Cement India Ltd.  (221.60, 0.07%) was trading at 7.2 times of weekly average.  Godfrey Phillips India Ltd.  (1,135.55, 3.79%) and  Eris Lifesciences Ltd.  (696.20, -2.04%) were trading with volumes 5.0 and 4.5 times weekly average respectively on BSE at the time of posting this article.
BSE 500: highs, lows and moving averages
4 stocks overperformed with 52-week highs, while 4 stocks tanked below their 52-week lows.
Stocks touching their year highs included -  Lakshmi Machine Works Ltd.  (11,049.75, -1.54%),  Oil And Natural Gas Corporation Ltd. (168.80, 1.87%) and  TV18 Broadcast Ltd.  (58.95, 0.77%).
Stocks making new 52 weeks lows included -  Alembic Pharmaceuticals Ltd.  (746.05, 1.36%) and  Vaibhav Global Ltd.  (464.50, -8.31%).
31 stocks climbed  above their 200 day SMA  including  Mangalore Refinery And Petrochemicals Ltd.  (46.50, 7.14%) and  Coforge Ltd.  (4,713.25, 7.10%). 19 stocks  slipped below their 200 SMA including  Mahindra Logistics Ltd. (587.40, -10.98%) and  Finolex Industries Ltd.  (170.05, -5.42%).

             
logo
The Baseline
28 Jan 2022
Five interesting stocks today
  • Cipla: This pharmaceutical company’s results were a mixed bag in Q3FY22. Although its net profits were down by 2.6% YoY to Rs 728.6 crore, but revenues grew 6% YoY to Rs 5,478.9 crore. Domestic revenues were up 12.9% YoY, while US revenues rose 8.8% YoY to Rs 1,124 crore. Growth in US markets was driven by an increase in demand for Cipla’s core products and those in its respiratory portfolio. Revenues from the South African private market also grew 16% YoY to US $60 million. 
The company’s ingredients (API) segment’s revenues fell 25% YoY (US $20 million), which pulled its quarterly revenues down. EBITDA margins fell 135 bps YoY to 22.5%, which pulled down profits. Brokerages like HDFC Securities and ICICI Securities are still upbeat about this company’s prospects and upgraded their target price for the stock by nearly 23% to Rs 1,115 and Rs 1,100, respectively, as they see robust growth opportunities in Indian and US markets. The company’s plans to shift focus from loss-making segments like HIV drugs to more profit-making segments like respiratory and core products as these would be the key drivers for growth in FY23. The US market is likely to gain more momentum in terms of revenue growth once the approvals for drugs like gRevlimid, gAdvair, gAbraxane, and Albuterol’s portfolio of drugs come in from the US FDA and they start earning Cipla revenues.
  • Lux Industries: This stock slumped on Tuesday and tanked 20% after the markets regulator SEBI held Executive Director Udit Todi guilty of insider trading.  Udit Todi is Managing Director Pradip Kumar Todi’s son. SEBI banned 14 entities for insider trading and ordered impounding of wrongful gains of Rs 2.94 crore. SEBI held that Udit Todi leaked sensitive information about the company’s financials to Avni Todi and Sanjeev Bubna, Udit Todi’s father-in-law. Then the related parties bought shares of the company from May 21, 2021, till right before the earnings were announced on May 25, 2021. 
When the stock surged 40% in just three days after the results were announced, the related parties sold off a considerable number of shares and earned substantial profits out of it,  SEBI held in its order. The regulator SEBI has scrutinized the deals on receiving an alert of abnormal trading being carried out. Its preliminary examination gave out detailed information of the insider trading been carried out by Udit Todi, during the UPSI (Unpublished Price Sensitive Information) period and reveals the existence of close connections among the participatory entities. For now, SEBI has banned all the entities from trading into the securities market till the investigation is completed. The company denied this and so did Udit Todi. The company is in the process of seeking clarification for the same, as dictated by SEBI norms. 
  • APL Apollo Tubes: The stock of this market leader in the structural steel tubes industry corrected nearly 24% from its 52-week high on December 16, 2021. The company’s Q3FY22 net profit fell 12.4% YoY to Rs 115.6 crore despite revenue rising 24.2% YoY to Rs 3,238.3 crore. Sales volumes in Q3 fell 17% YoY to 4.02 lakh tonne due to an extended monsoon season, weak construction activity and its distributors reducing stocks in anticipation of a fall in steel prices. Interestingly, realisations jumped over 50% YoY to Rs 77,569/tonne, which aided the top line growth. 
However, this didn’t completely cushion the impact of higher input costs (up over 30% YoY) which in turn hit profits. Brokerages like HDFC Securities, ICICI Securities,and Motilal Oswal continue to be upbeat on the company’s prospects. This is primarily on account of the company’s medium-term plan to double its sales volumes to four million tonnes per annum by FY25 and maintain its EBITDA/tonne at Rs 5,000 levels. Notably, the management does not see a further correction in steel prices as a detriment to its profitability. Infact, it believes that lower HRC prices make it more competitive vis-à-vis traditional construction materials. With two back-to-back quarters of falling net profits and sales volumes, APL Apollo’s Q4FY22 performance could be an interesting inflection point to watch out for investors.
  • Shoppers Stop: On January 21, this departmental store chain’s stock hit a 52-week high on the bourses after its bottomline returned to black for the first time in 11 quarters. The stock is up nearly 7.6% in the past week. Investors must be wondering whether this trend in profitability is sustainable or will Omicron ruin this party yet again. Consolidated net profit was Rs 77.3 crore in Q3FY22 as against a loss of Rs 25.1 crore a year ago. Revenues  rose 34% YoY to Rs 972.6 crore led by a robust festive period and marriage season during October-November 2021. Customer footfalls rose 65% YoY to 1.09 crore and average transaction by 13% YoY to Rs 4,345. If we further dissect the revenue growth segment-wise, beauty and private brands were the primary growth drivers in Q3. The sales from the beauty segment and private brands were up 40% and 31% YoY, respectively. 
The focus of the new Managing Director Venu Nair is to steadily increase the share of high-margin private brands in the overall sales mix. Sales from the digital channels jumped 39% YoY to Rs 70 crore. While ICICI Securities is positive on the medium-term prospects of the company given its aim to double its sales by FY25, Motilal Oswal is cautious. This is because the brokerage feels the company’s past performance isn’t much to write home about. In the past five years, the company witnessed a sustained fall in the same-store sales growth (SSSG) and closure of non-performing stores. Only time will tell if the new management can sustain the current quarters’ performance over FY22-23 and achieve its target SSSG growth of 9-11% in the near term.
  • Sharda Cropchem: This agrochemicals company’s stock is on fire after it announced its Q3FY22 results that saw its consolidated net profitmore than double to Rs 102.2 crore on a 1.8X rise in revenues to nearly Rs 880 crore. The company announced its results on Saturday, and when trade opened after the weekend on Monday, the stock was up 17% and touched a 52-week high. Then on Thursday, breached this 52-week high and touched a lifetime high of Rs 577.85. This upmove made the company’s stock the most overbought among the Nifty 500 companies according to technical indicators like MFI and RSI.

             
Trendlyne Marketwatch
Trendlyne Marketwatch
27 Jan 2022
Market closes lower, Raymond's Q3 profits rises 362.3% YoY
Trendlyne Analysis
Market sinks in today's trading. Nifty 50 closed at 17,110.15 (-167.8, -1.0%) , BSE Sensex closed at 57,276.94 (-581.2, -1%) while the broader Nifty 500 closed at 14,679.70 (-152.5, -1.0%)
Market breadth is in the red. Of the 1,842 stocks traded today, 746 were gainers and 1,079 were losers.
  • Max Healthcare Institute, Hatsun Agro Products, Tasty Bite Eatables, and Nesco are trading with higher volumes as compared to Tuesday.
  • Raymond's Q3FY22 net profits rises 362.3% to Rs 100.3 crore. EBITDA rises 93% YoY to Rs 303 crore with EBITDA margins at 16.2%. The company's net revenue rises 45% to Rs 1,872 crore backed by improved consumer sentiments, strong festive and wedding season, and strong momentum of export orders.
  • BOB Capital Markets maintains a 'BUY' rating on IndiaMart but cuts its target price by 10%. The company's QoQ revenue growth of 3% in Q3 and flat ARPU YoY failed to meet the estimates of the brokerage. BOBCaps also cut its two-year earnings CAGR estimate by 1.5 percentage points due to a 380 bps fall in EBITDA margins led by higher operating expenses.
  • Finolex Industries' Q3FY22 net profits falls 31.6% to Rs 177.4 crore and revenues fall 5.8% YoY to Rs 1,024 crore. Fall in sales volumes for both PVC pipes and PVC resin segment, softening in the global PVC prices and rise in input costs lead to overall earnings fall.
  • Adani Wilmar’s Rs 3,600-crore IPO gets bids for 57% of the available 12.25 crore shares on offer on the first day of bidding. Retail investors quota of 5.03 crore shares is subscribed by 96%. The IPO entirely comprises of a fresh issue of equity shares.
  • Maruti Suzuki India's Q3FY22 net profits fall 47.91% YoY to Rs 1,011.3 crore due to lower sales volume, high commodity prices and lower non-operating income. The company's total revenue falls 3.6% YoY to Rs 23,574 crore and wholesales fall 13.2% YoY to 4,30,668 units in Q3FY22.
  • Torrent Pharmaceuticals is trading with more than 20 times its weekly average trading volume. TeamLease Services, Thyrocare Technologies, Lux Industries, and Indigo Paints are trading at more than eight times their weekly average trading volumes.
  • United Spirits' Q3FY22 profit after tax rises 26.7% to Rs 291 crores and EBITDA rises 27.9% to Rs 491 crores with EBITDA margins at 17%, up 159 bps. The company reports net sales increase by 15.9% to Rs 2,885 crores because of strong consumer demand in the off-trade, premiumisation trend, and continued momentum in at-home consumption occasions.
  • Macrotech Developers' Q3FY22 net profit rises 25.7% YoY to Rs 285.6 crore and its revenues rise 36% YoY to Rs 2,148.7 crore. Robust YoY growth of 40% in sales bookings across regions and considerable debt reduction aid the overall earnings growth in Q3
  • APL Apollo Tubes' Q3FY22 net profit falls 12.4% YoY to Rs 115.6 crore while revenues rise 24.2% to Rs 3,238.3 crore. Double-digit fall in sales volumes backed by channel de-stocking as well as spike in input costs lead to the earnings fall in Q3.
  • Bharat Petroleum wins bids in the 11th round of auctions of the Petroleum and Natural Gas Regulatory Board's geographical areas and will invest Rs 10,000 crore over the next five years to set up city gas distribution networks in six cities.
  • Adani Wilmar raises Rs 940 crore by selling 4.08 crore equity shares at Rs 230 per share to 15 anchor investors ahead of its IPO. The investors include the Government of Singapore, Jupiter India Fund, Volrado Venture Partners Fund, Societe Generale, Cohesion MK Best Ideas, HDFC Mutual Fund, Nippon Life India Trustee, and Aditya Birla Sun Life Trustee, among others.
  • Cipla’s Q3FY22 net profits fall 2.6% YoY to Rs 729 crore as EBITDA margins contract 130 bps YoY to 22.5% because of an increase in expenses on R&D and employee expenses. Revenues from active pharmaceutical business drops 26% YoY to Rs 201 crore. However, overall revenue from operations shows a rise of 6% YoY to Rs 5,479 crore as revenues from India and US market rise 13% and 9%, respectively.
Riding High:
Largecap and midcap gainers today include  Union Bank of India  (46.45, 8.91%),  Canara Bank  (240.80, 8.76%) and  Shriram Transport Finance Company Ltd. (1,241.10, 6.38%).
Downers:
Largecap and midcap losers today include  Torrent Pharmaceuticals Ltd.  (2,683.50, -15.11%),  Coforge Ltd.  (4,400.80, -7.96%) and  ABB India Ltd.  (2,224.45, -7.32%).
Volume Rockets
21 stocks in BSE 500 are trading on high volumes today.
Top high volume gainers on BSE included  Thyrocare Technologies Ltd.  (1,057.05, 16.52%),  Union Bank of India (46.45, 8.91%) and  Canara Bank  (240.80, 8.76%).
Top high volume losers on BSE were  Torrent Pharmaceuticals Ltd.  (2,683.50, -15.11%),  IndiaMART InterMESH Ltd. (4,564.25, -8.81%) and  Laurus Labs Ltd.  (464.70, -2.17%).
TeamLease Services Ltd.  (4,099.25, 7.85%) was trading at 22.9 times of weekly average.  Lux Industries Ltd.  (2,796.40, -0.61%) and  Indigo Paints Ltd.  (1,951.80, -0.28%) were trading with volumes 11.4 and 8.3 times weekly average respectively on BSE at the time of posting this article.
BSE 500: highs, lows and moving averages
7 stocks took off, crossing 52-week highs, while 8 stocks were underachievers and hit their 52-week lows.
Stocks touching their year highs included -  Lakshmi Machine Works Ltd. (11,222.65, 2.92%),  Maruti Suzuki India Ltd.  (8,820.20, 2.53%) and  TV18 Broadcast Ltd. (58.50, 20.00%).
Stocks making new 52 weeks lows included -  Cadila Healthcare Ltd.  (384.40, -2.84%) and  L&T Finance Holdings Ltd.  (72.45, -1.16%).
17 stocks climbed  above their 200 day SMA  including  TeamLease Services Ltd. (4,099.25, 7.85%) and  Indian Bank (145.85, 7.76%). 33 stocks  slipped below their 200 SMA including  Torrent Pharmaceuticals Ltd. (2,683.50, -15.11%) and  Coforge Ltd.  (4,400.80, -7.96%).