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Trendlyne Marketwatch
Trendlyne Marketwatch
03 Jan 2025
Market closes lower, KEC Intl secures Rs 1,097 crore orders in the UAE and Americas
By Trendlyne Analysis

Nifty 50 closed at 24,004.75 (-183.9, -0.8%), BSE Sensex closed at 79,223.11 (-720.6, -0.9%) while the broader Nifty 500 closed at 22,708.15 (-111.6, -0.5%). Market breadth is in the green. Of the 2,412 stocks traded today, 1,247 were in the positive territory and 1,133 were negative.

Indian indices closed in the red, with the benchmark Nifty 50 index closing at 24,004.8 points. The Indian volatility index, Nifty VIX, declined 1.1% and closed at 13.6 points. Yes Bank closed 1.9% higher as its deposits grew by 14.6% YoY to Rs 2.8 lakh crore, and advances rose 12.6% YoY to Rs 2.5 lakh crore in Q3FY25. The bank's CASA deposits grew by 27.6% YoY during the quarter.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the red, following the benchmark index. Nifty Media and BSE Oil & Gas were among the top index gainers today. According to Trendlyne’s Sector dashboard, Telecommunications Equipment emerged as the best-performing sector of the day, with a rise of 8.2%.

Asian indices closed lower, while European indices are trading in the red. US index futures traded in the green, indicating a positive start to the trading session. Brent crude oil futures are trading in the red. The American Petroleum Institute reported a 1.4 million barrel decrease in US crude inventories last week, marking a six-week decline in stockpiles.

  • Relative strength index (RSI) indicates that stocks like Lloyds Metals & Energy, United Spirits, Coromandel International, and Lupin are in the overbought zone.

  • KEC International rises as it secures orders worth Rs 1,097 crore in its Transmission and Distribution (T&D) business. Orders include a 400 kV transmission line project in the UAE and tower supplies across the Americas.

  • Aarti Pharmalabs is falling as the Gujarat Pollution Control Board (GPCB) directs the company to stop operations at its Vapi plant due to violations of the Water (Prevention and Control of Pollution) Act, 1974.

  • Sachin Agarwal, CMD of PTC Industries, highlights the company's newly commissioned 1,500 TPA vacuum arc remelting (VAR) furnace for producing titanium alloy ingots. The company now has the largest titanium ingot producing capacity in India. He guides margins to reach 30% with revenues at Rs 750 crore in FY26 and Rs 1,700 crore in FY27.

  • NHPC receives Rs 250 crore payment under its Mega Insurance Policy, related to business interruption loss from the Teesta-V power station (510 MW) flash flood on October 4, 2023.

  • Vedanta is rising as its parent company, Vedanta Resources, reportedly plans to raise up to $1 billion to restructure and prepay high-yield debt.

  • Jai Corp falls sharply as its subsidiary, Urban Infrastructure Holding (UIHPL), sells a 74% stake in Navi Mumbai IIA to Reliance Industries for Rs 1,628 crore, valuing the company at Rs 2,200 crore. According to reports, it held a 5,286-acre industrial land parcel with significant appreciation potential.

  • According to data from the Society of Indian Automobile Manufacturers (SIAM), passenger vehicle sales reached 4.2 million units in FY24, marking an 8.4% YoY growth driven by improved supplies and sustained consumer demand. Two-wheeler sales also saw a recovery, growing by over 13% to 17.9 million units.

  • KPI Green Energy's subsidiary, Sun Drops Energia, receives letters of intent (LoI) for solar power projects totaling 32.2 MW under its captive power producer business. The project is scheduled for completion in FY25-26.

  • Afcons Infrastructure rises to its all-time high of Rs 570 as it receives a letter of intent (LoI) worth Rs 1,084.5 crore from the Defence Research and Development Organisation (DRDO) to upgrade facilities and equipment at the ship lift facility in Visakhapatnam.

  • Western Carriers rises sharply as it secures a Rs 139 crore contract from Vedanta for material handling at the JSG Plant. The four year agreement covers handling of import, finished goods, and export materials.

  • ONGC rises over 4% as Jefferies maintains its 'Buy' rating with a revised target price of Rs 385. The brokerage cites a surge in oil prices amid hopes of an improvement in China's economic growth prospects and a likely ramp-up in KG Basin production in Q4FY25-Q1FY26 to be key triggers for the company's growth. It also expects the company's consolidated earnings per share to benefit from an improved earnings outlook for HPCL.

  • V2 Retail rises to a new all-time high of Rs 1,728.9 as its standalone revenue grows 58% YoY to Rs 591 crore in Q3FY25. The company adds 21 new stores during the quarter, bringing its total store count to 160.

  • Wockhardt rises to a new 5-year high of Rs 1,583 as it receives approval from the Central Drugs Standard Control Organization (CDSCO) for its new oral antibiotic, Miqnaf (Nafithromycin), to treat community-acquired bacterial pneumonia (CABP) in adults. The drug has a market size of approximately $23.5 billion.

  • RITES rises as it secures a Rs 69.8 crore contract from Steel Authority of India's (SAIL) Bhilai Steel Plant to repair 43 WDS6 locomotives over three years. Additionally, the company's arm, REMC, signs an memorandum of understanding (MoU) with Indian Railway Finance Corp (IRFC) to explore financing options for power projects supplying to Indian railways.

  • Zee Entertainment Enterprises rises over 3% as the Securities and Exchange Board of India (SEBI) rejects a settlement application filed by the company and its CEO, Punit Goenka, in connection with alleged violations of the listing obligations and disclosure requirements (LODR) regulations.

  • Adani Ports and Special Economic Zone handles 38.4 million metric tonnes (MMT) of cargo in December, led by a 22% YoY growth in the container segment. January-December cargo volumes grow 7% YoY to 332.4 MMT, driven by containers (19% YoY) and liquids & gas (8% YoY).

  • Yes Bank is rising as its deposits grow by 14.6% YoY to Rs 2.8 lakh crore, and advances increase 12.6% YoY to Rs 2.5 lakh crore in Q3FY25. The bank's CASA deposits grow by 27.6% YoY during the quarter.

  • Varun Beverages invests Rs 413 crore in its South African subsidiary, The Beverage Company (Bevco), raising its stake by 2.4%. The investment aims to reduce debt and strengthen Bevco's balance sheet for growth.

  • The Indian government forms a working group, led by NITI Aayog member Ramesh Chand, to revise the base year of the current Wholesale Price Index (WPI) from 2011-12 to 2022-23. The group will recommend a new commodity basket for the WPI and Producer Price Index, review the price collection system, and enhance its reliability. The final report is expected within 18 months.

  • AXISCADES Technologies' Chief Executive Officer & Managing Director, Arun Krishnamurthi, tenders his resignation, effective January 2, for personal reasons.

  • Avenue Supermarts surges as its standalone revenue grows 17.5% YoY to Rs 15,565.2 crore in Q3FY25. The company adds 10 new stores during the quarter, bringing its total store count to 387.

  • MOIL is rising as its Q3 sales increase 13% YoY to 3.9 lakh tonnes. The company's production rises to 4.6 lakh tonnes.

  • Hero MotoCorp's monthly wholesales decline 17.5% YoY to 3.2 lakh units in December due to lower motorcycle sales and domestic business. However, its exports grow by 90.9% YoY to 30,754 units during the month.

  • Nifty 50 was trading at 24,175.55 (-13.1, -0.1%) , BSE Sensex was trading at 80,072.99 (129.3, 0.2%) while the broader Nifty 500 was trading at 22,864.20 (44.5, 0.2%)

  • Market breadth is overwhelmingly positive. Of the 1,954 stocks traded today, 1,499 were gainers and 409 were losers.

Riding High:

Largecap and midcap gainers today include Avenue Supermarts Ltd. (4,025.20, 11.5%), Oil And Natural Gas Corporation Ltd. (258.89, 5.2%) and UPL Ltd. (529.55, 4.0%).

Downers:

Largecap and midcap losers today include Zomato Ltd. (272.85, -4.1%), Wipro Ltd. (294.45, -3.1%) and Gujarat Fluorochemicals Ltd. (4,106, -3%).

Volume Shockers

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

Top high volume gainers on BSE included Avenue Supermarts Ltd. (4,025.20, 11.5%), Lloyds Metals & Energy Ltd. (1,441.25, 7.5%) and Just Dial Ltd. (1,064.20, 5.4%).

Top high volume losers on BSE were Asahi India Glass Ltd. (730.25, -3.0%), Metropolis Healthcare Ltd. (1,997.80, -2.5%) and Deepak Nitrite Ltd. (2,452.70, -2.5%).

Quess Corp Ltd. (689.35, 3.2%) was trading at 19.1 times of weekly average. Shyam Metalics and Energy Ltd. (776.85, 4.6%) and Endurance Technologies Ltd. (2,200.95, 0.7%) were trading with volumes 14.0 and 12.7 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

18 stocks hit their 52 week highs, while 1 stock hit their 52 week lows.

Stocks touching their year highs included - Coromandel International Ltd. (1,956.65, 0.0%), Eicher Motors Ltd. (5,310.75, 0.1%) and Firstsource Solutions Ltd. (401.25, 1.7%).

Stock making new 52 weeks lows included - Astral Ltd. (1,621.60, -1.6%).

23 stocks climbed above their 200 day SMA including UPL Ltd. (529.55, 4.0%) and REC Ltd. (538.05, 3.8%). 10 stocks slipped below their 200 SMA including Ingersoll-Rand (India) Ltd. (4,130, -2.8%) and Balkrishna Industries Ltd. (2,818.70, -2.5%).

 
Trendlyne Marketwatch
Trendlyne Marketwatch
02 Jan 2025
Market closes higher, PNB's Q3FY25 domestic business grows 14.3% YoY to Rs 25.4 lakh crore
By Trendlyne Analysis

Nifty 50 closed at 24,188.65 (445.8, 1.9%) , BSE Sensex closed at 79,943.71 (1,436.3, 1.8%) while the broader Nifty 500 closed at 22,819.75 (338.0, 1.5%). Market breadth is in the green. Of the 2,415 stocks traded today, 1,486 were in the positive territory and 894 were negative.

Indian indices closed higher, with the benchmark Nifty 50 index closing at 24,188.7 points. The Indian volatility index, Nifty VIX, fell 5.3% and closed at 13.7 points. Eicher Motors hit a new all-time high of Rs 5,234.7 as its total sales grew 25% YoY to 79,466 units in December 2024.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the green. Nifty Bank and Nifty Consumer Durables closed higher. According to Trendlyne’s sector dashboard, Diversified emerged as the best-performing sector of the day, with a rise of 4.3%.

European indices are trading mixed. Major Asian indices closed mixed. US index futures are trading higher, indicating a positive start to the trading session. Apple plans to offer discounts on its latest iPhone models in China, a rare move highlighting rising competition from local rivals in the world’s largest smartphone market.

  • Money flow index (MFI) indicates that stocks like Lemon Tree Hotels, Coromandel International, Laurus Labs, and Lupin are in the overbought zone.

  • Punjab National Bank rises as its Q3FY25 domestic business reaches Rs 25.4 lakh crore, up 14.3% YoY. Domestic deposits grow 14.4% to Rs 14.8 lakh crore, while global deposits reach Rs 15.3 lakh crore, up 15.6% YoY.

  • TVS Motor’s total sales grow by 7% YoY to 3.2 lakh units in December. Two-wheeler sales increase 8% YoY, while three-wheelers are down 18.2% YoY. The company’s sales rise 11% YoY to 11.8 lakh units in Q3FY25.

  • Sandur Manganese & Iron Ores is rising as it secures approval from the Central Empowered Committee (CEC) of the Supreme Court of India to increase its permissible annual production (PAP) limit of iron ore from 3.8 million tonnes per annum (MTPA) to 4.4 MTPA.

  • Citi reiterates its 'Buy' rating on Bajaj Finance with a target price of Rs 8,150. The brokerage notes the positive movement in the broader finance and NBFC sector. It anticipates stable loan growth, driven by a 3-5 basis point (bps) positive bias in net interest margins (NIM).

  • HDFC Life Insurance receives a Rs 270.6 crore GST demand from the Assistant Commissioner of State Tax related to FY20-21, including both tax and interest components.

  • Indo Farm Equipment's Rs 260.2 crore IPO receives bids for 147.7X the available 84.7 lakh shares on offer on the last day of bidding. The retail investor quota gets bids for 82.7X the available 42.4 lakh shares.

  • Lloyds Metals & Energy rises to its all-time high of Rs 1,349.5 as its iron ore production rises 5% YoY to 8.6 million tonnes for 9MFY25. Direct Reduced Iron (DRI) production surges 22% YoY to 2.4 lakh tonnes.

  • Crude oil futures climb after Chinese President Xi Jinping expresses optimism for improved economic progress in 2025. China's outlook, being one of the largest crude oil consumers, has boosted prices. March Brent oil futures rise 0.3% to $74.9, while February West Texas Intermediate (WTI) crude oil futures increase 0.3% to $71.9.

  • Easy Trip Planners falls sharply as Nishant Pitti resigns as the Chief Executive Officer (CEO) of the company. The board appoints Rikant Pittie as his successor, effective January 1.

  • Vishnu Prakash R Punglia is rising as it receives a letter of intent (LoI) worth Rs 3,134 crore from the Department of Information Technology and Communication, Government of Rajasthan. The project involves elevating the academic blocks of Fintech Digital Institute, Jodhpur.

  • Eicher Motors rises to a new all-time high of Rs 5,234.7 as its total sales grow by 25% YoY to 79,466 units in December. Domestic vehicle sales increase 19% YoY, while exports are up 90% YoY.

  • India’s manufacturing PMI declines marginally to a year-low of 56.4 in December, compared to 56.5 in November, driven by softer demand in the sector despite easing cost pressures and strong job growth.

  • Waaree Energies secures a 150 MWp solar module supply order from a major renewable energy firm. The module supply is scheduled to commence in FY25-26.

  • Ashok Leyland rises sharply as its total sales rise 5% YoY to 16,957 units in December 2024. Its medium and heavy commercial vehicles' sales increase 7.9% YoY, while light commercial vehicles' sales grow marginally by 0.7% YoY.

  • Mahindra & Mahindra is rising as its wholesales grow by 16% YoY to 69,768 units in December. Passenger vehicle sales increase 18% YoY, while exports are up 70% YoY.

  • Jefferies upgrades Jubilant Foodworks to a 'Buy' rating and revises its target price to Rs 1,000. The brokerage maintains a positive outlook, highlighting improvements in same-store sales growth (SSSG) and strategic self-help measures. It notes the company's margins bottomed out in early CY24 and expects further improvement. The management's focus on growth over margins supports a strong long-term strategy.

  • Va Tech Wabag secures a Rs 145 crore order from Chennai Petroleum Corp (CPCL) to design, install, and commission desalination water pipelines between CPCL’s Manali Refinery and Kattupalli plant. The project is scheduled for completion in 12 months.

  • South Indian Bank is rising as its deposits grow by 6.3% YoY to around Rs 1.1 lakh crore in Q3FY25. The bank's advances also increase 11.9%, while its CASA ratio declines by 64 bps YoY.

  • RailTel Corporation of India is rising as it receives a work order worth Rs 78.4 crore from Bharat Coking Coal to implement an integrated IT-based security infrastructure and related services.

  • According to data from the National Payments Corporation of India (NPCI), digital transactions maintain their growth in December 2024, as UPI (unified payments interface) transactions rise 8% MoM to reach a record 1,673 crore. The value of transactions also increases by 8%, reaching Rs 23.3 lakh crore, up from Rs 21.6 lakh crore in November.

  • Ambuja Cements is rising as it receives a ‘no objection’ letter from the National Stock Exchange (NSE) and BSE for its merger with Adani Cementation.

  • Maruti Suzuki is rising as its wholesales grow by 29.6% YoY to 1.8 lakh units in December. Passenger vehicle sales increase 24.2% YoY, while exports are up 39.2% YoY.

  • Tata Motors' total sales grow marginally YoY to 2.4 lakh vehicles in Q3FY25. Passenger vehicle sales increase 1% YoY, while commercial vehicles sales decline by 1% YoY.

  • NMDC's total sales decline 6.7% YoY to 3.9 million tonnes (MT) in December. However, its production grows by 5.1% YoY to 4.7 MT.

  • Nifty 50 was trading at 23,788.85 (46.0, 0.2%) , BSE Sensex was trading at 78,657.52 (150.1, 0.2%) while the broader Nifty 500 was trading at 22,511.50 (29.7, 0.1%)

  • Market breadth is overwhelmingly positive. Of the 1,959 stocks traded today, 1,315 were gainers and 611 were losers.

Riding High:

Largecap and midcap gainers today include Eicher Motors Ltd. (5,308.10, 8.7%), Bajaj Finserv Ltd. (1,700.65, 7.9%) and Cholamandalam Investment & Finance Company Ltd. (1,271.50, 7.4%).

Downers:

Largecap and midcap losers today include Petronet LNG Ltd. (327.75, -5.7%), Suzlon Energy Ltd. (62.92, -3.7%) and Adani Total Gas Ltd. (734.45, -2.1%).

Volume Shockers

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

Top high volume gainers on BSE included Eicher Motors Ltd. (5,308.10, 8.7%), Bajaj Finserv Ltd. (1,700.65, 7.9%) and Cholamandalam Financial Holdings Ltd. (1,504.80, 7.5%).

Top high volume losers on BSE were Petronet LNG Ltd. (327.75, -5.7%), FDC Ltd. (508, -0.6%) and Tata Elxsi Ltd. (6,705.25, -0.6%).

Varroc Engineering Ltd. (633.50, 6.1%) was trading at 22.7 times of weekly average. CreditAccess Grameen Ltd. (954.65, 7.2%) and Zensar Technologies Ltd. (793.10, 6.1%) were trading with volumes 16.2 and 15.9 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

17 stocks overperformed with 52 week highs,

Stocks touching their year highs included - Coromandel International Ltd. (1,952.65, 1.2%), Eicher Motors Ltd. (5,308.10, 8.7%) and Firstsource Solutions Ltd. (394.50, 2.8%).

26 stocks climbed above their 200 day SMA including Bajaj Finserv Ltd. (1,700.65, 7.9%) and Cholamandalam Financial Holdings Ltd. (1,504.80, 7.5%). 5 stocks slipped below their 200 SMA including Petronet LNG Ltd. (327.75, -5.7%) and Crompton Greaves Consumer Electricals Ltd. (372.05, -0.9%).

 
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The Baseline
31 Dec 2024
By Aditi Priya

As 2024 ends, the benchmark indices, Sensex and Nifty 50, are set to finish the year with single-digit gains. The Sensex has gained 8.2% over the year, while the Nifty has risen 8.8%. 

The year saw major milestones: the Sensex hit a record high of 85,978.3 and the Nifty reached a record of 26,277.4 on September 27. However, the year's final quarter has seen a downturn for the indices with the Nifty 50 declining by 8.7% and the Sensex falling by 9.7%.

ICICI Direct said, “In the journey of Nifty to 50,000 by CY30, the index has achieved the milestone of 24,800 for CY24. Our analysis indicates that the stage is set for the next up move towards 28,800 levels in CY25.”

But a continued rise for the Indian indices depends on whether company earnings can justify current and future valuations. The September quarter was disappointing for many sectors. Now as the next earnings season approaches, we look at turnaround companies that analysts say are poised for a financial recovery in Q3FY25. These companies underperformed in revenue or net profit in Q2FY25, but are expected to show a stronger performance in Q3FY25.

In this chart of the week edition, we highlight these comeback kids, the companies which delivered disappointing results in Q2FY25 but are forecast to rebound in the upcoming quarter.

Bharat Dynamics and Prestige Estates lead the turnaround charge

Bharat Dynamics, a leading defense company, is expected to see a 102.8% YoY revenue growth in Q3FY25, rebounding from an 11.5% and 16.7% YoY decline in revenue and net profit, respectively in Q2FY25. The ongoing Russia-Ukraine war and Middle East conflicts caused supply chain delays, affecting Q2 performance.

The company’s 68.3% EPS growth forecast signals a strong recovery in profitability. As the sole manufacturer of missiles and torpedoes for the Indian military, Bharat Dynamics benefits from both domestic and export opportunities. While recent order delays have affected performance, Elara Securities remains optimistic about a surge in orders driven by upcoming defense capital expenditures.

Despite a challenging Q2FY25, Prestige Estates is expected to perform strongly in Q3FY25, with a forecast of 56.6% YoY revenue growth and a 165.2% YoY EPS increase. This turnaround is driven by the expected recovery in demand across the residential and commercial real estate segments. The company is also accelerating new launches in key markets such as Mumbai, Chennai, Bengaluru, Hyderabad, and NCR, following delays due to RERA (Real Estate Regulatory Authority) approval processes. Many of these projects, originally planned for earlier, are now slated for Q3FY25. Prestige Estates has also outlined plans to launch projects with a total Gross Development Value (GDV) of Rs 520 billion in H2FY25.

General industrials and consumer durable sectors expected to recover

The turnaround screener has the maximum number of companies (8 out of 42) from the general industrials sector. Several companies from the sector are expected to make significant turnarounds in Q3FY25. Companies like CG Power & Industrial, Grindwell Norton, and Timken stand out with positive forecasts. 

CG Power & Industrial is expected to see a 40.2% rise in net profit in Q3FY25, despite an 8.8% decline in Q2FY25. The decline was due to higher material costs and other expenses. The company, which specializes in electrical equipment, automation, and industrial solutions, has a strong order book of Rs 7,831 crore. In November, it won a Rs 500-600 crore order for the Kavach train protection system from Chittaranjan Locomotive Works, with execution expected within a year.

Grindwell Norton, which saw a modest 4% YoY revenue growth and a 4.7% decline in net profit in Q2FY25, is projected to post a 15.8% YoY revenue growth and 18.7% YoY EPS growth in Q3FY25. The company's performance in Q2 was impacted by margin declines in the ceramics & plastics and digital services segments, along with lower-than-expected growth in the abrasives segment. In H1FY25, the abrasives segment grew 5.5% YoY to Rs 350 crore, accounting for nearly 50% of total revenue of Rs 710 crore. Moving forward, growth in the abrasives segment is set to be driven by opportunities in solar glass edge grinding, increased demand for high-productivity solutions in steel and construction, and the expansion of non-woven products into new market segments. 

Similarly, companies from the consumer durables sector are expected to deliver positive results in the upcoming quarter. Finolex Cables is expected to recover in Q3FY25 with 11.6% YoY revenue growth and 7.8% EPS growth. In Q2FY25, net profit declined by 23.5% due to volatility in input prices, inventory loss, and destocking. However, stable input costs, improving margins and higher volumes are expected to drive growth in the upcoming quarter. Strong demand from the real estate sector and increased government spending are expected to boost wire and power cable volumes. 

Kajaria Ceramics, India’s largest ceramic and vitrified tile manufacturer, expects a positive Q3FY25 with 10.5% revenue growth and 12.2% EPS growth after weak Q2FY25 results. Strong domestic demand, driven by the realty sector and growing exports, is expected to support its recovery. 

Honeywell Automation faced challenges in Q2FY25, with a 5.6% decline in net profit due to weak execution, softer demand, and accounting changes. However, Q3FY25 looks promising, with EPS forecast to grow by 26.2%. The company should benefit from the government's focus on infrastructure sectors like oil, gas, power, and metals. Its emphasis on industrial digitalization, automation, and sustainability is expected to drive long-term growth, aiming to outpace GDP domestically.

Strong rebound in consumer-facing companies

Jubilant Foodworks is expected to achieve 50.3% revenue growth and 48% EPS growth in Q3FY25, recovering from a 34.1% YoY net profit decline in Q2FY25 due to higher tech investments and supply chain upgrades. The company also holds the master franchise for Domino’s India. Domino's added 50 stores and entered 20 new cities in Q2, with expansion efforts set to further boost customer reach and market share.

Westlife Foodworld reported a 98.4% drop in Q2 net profit, driven by higher expenses, subdued in-store business and rising inflation, which affected consumption outside the home and intensified competition. However, the company, analysts predict, will achieve 30.9% EPS growth in Q3FY25. Despite near-term challenges like lower on-premise sales, the company is expected to perform well in Q3 due to the festive season and new menu offerings. Management expects gross margins to rebound to over 70% in H2FY25, targeting 18-20% EBITDA margins by 2027.

Dabur reported a 5.5% revenue decline and a 17.5% net profit drop in Q2FY25, impacted by inventory corrections. Commenting on Q2 results, the company's CEO, Mohit Malhotra, stated, “The inventory correction is an exceptional one-time event. Dabur's business fundamentals remain strong, with our 5-year revenue CAGR for the India business growing at over 8%.” The forecast for Q3FY25 indicates a recovery with 5.7% revenue growth and 0.9% EPS growth. The acquisition of Sesa Care in October is expected to strengthen Dabur's position in the premium Ayurvedic hair oil segment.

 
Trendlyne Marketwatch
Trendlyne Marketwatch
31 Dec 2024
Market closes flat, MedPlus Health's arm gets temporary suspension of drug licenses in Karnataka & Maharashtra
By Trendlyne Analysis

Nifty 50 closed at 23,644.80 (-0.1, 0%) , BSE Sensex closed at 78,139.01 (-109.1, -0.1%) while the broader Nifty 500 closed at 22,375.40 (18.3, 0.1%). Market breadth is in the green. Of the 2,394 stocks traded today, 1,488 were gainers and 874 were losers.

Nifty 50 closed flat after paring losses from the morning session. The Indian volatility index, Nifty VIX, rose 3.4% and closed at 14.4 points. Waaree Renewable Technologies surged to its 5% upper limit as it secured a 2 GW solar project from Sunbreeze Renewables Nine, Jindal Renewables' special purpose vehicle (SPV).

Nifty Smallcap 100 closed in the green, while Nifty Midcap 100 closed flat. S&P BSE SME IPO and Nifty CPSE Index were among the top index gainers today. According to Trendlyne’s sector dashboard, Forest Materials emerged as the top-performing sector of the day, with a rise of 2.7%.

Asian indices closed mixed. European indices are trading mixed. US index futures are trading in the green, indicating a positive start to the trading session. Brent crude oil futures are trading higher, driven by data indicating an expansion in China’s manufacturing sector in December.

  • Relative strength index (RSI) indicates that stocks like Aster DM Healthcare, Indian Hotels Co, and United Spirits are in the overbought zone.

  • Chemical companies like Tata Chemicals and GHCL rise sharply after the Centre imposes a minimum import price of Rs 20,108 per tonne on disodium carbonate (soda ash) up to June 30,2025.

  • MedPlus Health Services declines after its subsidiary, Optival Health Solutions, experiences temporary suspensions of drug licenses for several stores in Karnataka and Maharashtra by the Food & Drugs Control Administration.

  • ITD Cementation India is rising as it reportedly secures a contract worth Rs 1,648 crore for the Vadhvan Port project in Maharashtra. The project includes near-shore reclamation and shore protection works under an engineering, procurement, and construction (EPC) model.

  • Satish Wagh, Chairman and Whole-Time Director of Supriya Lifescience, announces the launch of the company’s new manufacturing block with a capacity of 575 kilolitres per day. With an investment of Rs 120 crore, the facility will produce unique products currently dominated by Chinese manufacturers. He also reaffirms his revenue growth guidance of 22% YoY for both CY24 and CY25.

  • Mahindra Lifespace Developers (MLDL) is rising as it invests Rs 126 crore in its step-down subsidiary Mahindra Industrial Park Chennai (MIPCL) to expand the existing industrial park in Tamil Nadu.

  • Indo Farm Equipment's Rs 260.2 crore IPO receives bids for 10X the available 84.7 lakh shares on offer on the first day of bidding. The retail investor quota gets bids for 13.1X the available 42.4 lakh shares.

  • Waaree Renewable Technologies rises to its 5% upper limit as it secures a 2 GW solar project from Sunbreeze Renewables Nine, Jindal Renewables' special purpose vehicle (SPV). The project, located in Bikaner, Rajasthan, aims to improve energy efficiency and maximize power generation. Waaree will manage the design, engineering, procurement, supply, construction, testing, and commissioning of the solar PV project.

  • ITC plans to transfer cash worth Rs 1,500 crore to its demerged hotel business, ITC Hotels, which will take effect from January 1. The newly formed ITC Hotels will invest in renovations and ongoing projects, allocating 8-10% of its revenue for capital expenditures. ITC will retain trademarks for its iconic hotel restaurants, including Bukhara, Dum Pukht, and Dakshin, and transfer them to ITC Hotels under a trademark license agreement.

  • KP Green Energy wins multiple orders relating to solar & energy projects along with power components worth Rs 165.7 crore.

  • IT stocks like Tata Consultancy Services, Infosys, HCL Technologies, Wipro, and LTIMindtree are falling in trade. All constituents of the broader Nifty IT index are also trading in the red.

  • Jubilant Ingrevia is rising as its wholly-owned subsidiary, Jubilant Infrastructure's board, approves acquiring a 6.7% stake in Forum I Aviation (FAPL) from Hero Fincorp and Sunil Kant Munjal. Post-acquisition, the company will hold a 15.8% stake in FAPL.

  • India's Defence Minister, Rajnath Singh, highlights the surge in defence exports to a record Rs 21,000 crore, up from Rs 2,000 crore a decade ago. He has set a target of Rs 50,000 crore by 2029. Singh underlines the evolving nature of warfare, emphasizing challenges such as information warfare, AI-driven tactics, proxy conflicts, electromagnetic warfare, space warfare, and cyber-attacks while stressing the need for a well-prepared and equipped military.

  • Adani Green Energy is falling as its Chief Executive Officer (CEO), Amit Singh, resigns effective March 31. The company appoints Ashish Khanna, CEO of the International Energy Business, as his successor.

  • Prataap Snacks is falling as it faces disruption following a major fire at its manufacturing facility in Kartholi, Jammu. The company has announced its collaboration with third-party manufacturers in Hisar and Karnal to cater to the northern market.

  • Clean Science & Technology is rising as its wholly-owned subsidiary, Clean Fino-Chem (CFCL), commences commercial production of 2,5-Dihydroxy-1,4-Dithiane (DHDT) in a dedicated production block.

  • Ather Energy, the electric two-wheeler maker, gets its final approval from the Securities and Exchange Board of India (SEBI) to launch its initial public offering (IPO). The IPO will consist of a fresh issue of equity shares worth Rs 3,100 crore and an offer-for-sale (OFS) of 2.2 crore equity shares by promoters and investors.

  • Gokul Agro Resources is rising as it acquires fixed assets of an edible oil refinery in Mangalore from Sri Anagha Refineries for Rs 105.5 crore. This acquisition aims to increase the market presence in Southern India.

  • Easy Trip Planners falls sharply as 3.4 crore shares (1% stake) worth approximately Rs 54 crore reportedly change hands in a block deal at an average price of Rs 15.5 per share. Co-founder Nishant Pitti is likely the seller in the transaction.

  • Lupin hits a new all-time high of Rs 2,342.6 as it announces the acquisition of Huminsulin in India from Eli Lilly and Co to enhance its diabetes portfolio. Huminsulin is used to treat type 1 and type 2 diabetes mellitus and improve blood sugar control in adults and children.

  • Nuvama maintains a 'Buy' rating on Jindal Steel & Power with a target price of Rs 1,292. The brokerage believes Q4FY25 looks promising due to higher steel prices and increased volumes. However, it has lowered its FY25 and FY26 EBITDA estimates by 6% and 4%, respectively, due to weaker-than-expected volumes in the near term. Despite this, Nuvama remains positive about JSPL’s medium to long term growth prospects.

  • Unimech Aerospace and Manufacturing’s shares debut on the bourses at an 86% premium to the issue price of Rs 1,460. The Rs 500 crore IPO received bids for 175.3 times the total shares on offer.

  • Rail Vikas Nigam is rising as it emerges as the lowest bidder for a Rs 137.2 crore order from Central Railway. The project involves building a traction substation and related systems in the Bhusaval-Khandwa section to meet the 3,000 metric tonnes loading target.

  • Adani Wilmar is falling as Adani Enterprises (AEL) announces the sale of its entire 44% stake in the joint venture to partner Wilmar International for $2 billion.

  • Mazagon Dock Shipbuilders rises sharply as it signs a contract worth Rs 1,990 crore with the Ministry of Defence. The contract involves building an air-independent propulsion (AIP) plug for submarines, a technology that enables submarines to stay underwater for longer.

  • Markets opened on a low note. Nifty 50 was trading at 23,554.75 (-90.2, -0.4%) , BSE Sensex was trading at 77,826.94 (-421.2, -0.5%) while the broader Nifty 500 was trading at 22,273.95 (-83.2, -0.4%)

  • Market breadth is holding steady. Of the 1,930 stocks traded today, 984 showed gains, and 905 showed losses.

Riding High:

Largecap and midcap gainers today include Torrent Power Ltd. (1,485.95, 5.4%), Rail Vikas Nigam Ltd. (422.70, 3.5%) and UCO Bank (43.87, 3.5%).

Downers:

Largecap and midcap losers today include Adani Wilmar Ltd. (308.05, -6.3%), Bajaj Holdings & Investment Ltd. (11,886.75, -5.9%) and Bharti Hexacom Ltd. (1,456.90, -4.1%).

Volume Shockers

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

Top high volume gainers on BSE included KIOCL Ltd. (400.30, 16.6%), Rites Ltd. (291.65, 9.2%) and Crisil Ltd. (6,448, 7.6%).

Top high volume losers on BSE were Easy Trip Planners Ltd. (15.86, -6.9%), Westlife Foodworld Ltd. (792.45, -3.0%) and Krishna Institute of Medical Sciences Ltd. (598, -0.8%).

Chennai Petroleum Corporation Ltd. (625.80, 5.7%) was trading at 22.5 times of weekly average. Concord Biotech Ltd. (2,210.75, 0.8%) and Redington Ltd. (200.07, 6.5%) were trading with volumes 19.5 and 18.4 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

8 stocks took off, crossing 52 week highs, while 6 stocks tanked below their 52 week lows.

Stocks touching their year highs included - Crisil Ltd. (6,448, 7.6%), Lupin Ltd. (2,355.70, 1.9%) and Muthoot Finance Ltd. (2,136.15, 1.7%).

Stocks making new 52 weeks lows included - Astral Ltd. (1,652.25, -0.5%) and Relaxo Footwears Ltd. (621.25, 0.0%).

21 stocks climbed above their 200 day SMA including Godfrey Phillips India Ltd. (5,227.70, 8.5%) and Redington Ltd. (200.07, 6.5%). 19 stocks slipped below their 200 SMA including Phoenix Mills Ltd. (1,634, -2.1%) and Tata Consultancy Services Ltd. (4,094.80, -1.5%).

 
Trendlyne Marketwatch
Trendlyne Marketwatch
30 Dec 2024
Market closes lower, Reliance Ind's arm acquires healthcare platform Karkinos for Rs 375 crore
By Trendlyne Analysis

Nifty 50 closed at 23,644.90 (-168.5, -0.7%) , BSE Sensex closed at 78,248.13 (-450.9, -0.6%) while the broader Nifty 500 closed at 22,357.15 (-88.1, -0.4%). Market breadth is highly negative. Of the 2,438 stocks traded today, 771 were in the positive territory and 1,628 were negative.

Indian indices closed in the red, with the benchmark Nifty 50 index closing at 23,644.9 points. The Indian volatility index, Nifty VIX, rose 5.6% and closed at 13.9 points. The Government of India waived off financial bank guarantees for spectrum acquired by telecom players in previous years. The waiver will apply to guarantees from 2012, 2014, 2015, 2016, and 2021.

Nifty Smallcap 100 closed in the red, while Nifty Midcap 100 closed in the green. Nifty Midcap Select and Nifty MidSmall Healthcare were among the top index gainers today. According to Trendlyne’s Sector dashboard, Healthcare Equipment & Supplies emerged as the best-performing sector of the day, with a rise of 5.6%.

Asian indices closed lower, while European indices are trading mixed. US index futures traded in the red, indicating a cautious start to the trading session. Brent crude oil futures are trading in the red. Goldman Sachs forecasts that the Federal Reserve will implement a 25 basis point interest rate cut in March 2025, followed by two more cuts of the same size in June and September.

  • Money flow index (MFI) indicates that stocks like Five-Star Business Finance, Dr. Reddy's Laboratories, Devyani International, and PTC Industries are in the overbought zone.

  • The Income Tax Appellate Tribunal (ITAT) disposes of a penalty order worth Rs 172.8 crore against Suzlon Energy. The company received an order from the Office of the National Faceless Assessment Centre, Income Tax Department, for FY15-16 and FY16-17 in March 2024.

  • Reliance Industries' wholly-owned subsidiary, Reliance Strategic Business Ventures (RSBVL), acquires oncology-focused healthcare platform Karkinos for Rs 375 crore.

  • Vakrangee is rising as it partners with Shriram Life Insurance to offer comprehensive life insurance products through its Vakrangee Kendra network nationwide.

  • Ventura initiates a 'Buy' rating on Adani Enterprises with a target price of Rs 3,801. The brokerage notes that AEL aims to invest Rs 6.5-7 lakh crore in capex over the next decade for expansion into airports, data centers, copper, and green H2. It also raised Rs 4,200 crore in Q2FY25 through a QIP, with strong participation from both domestic and international investors, and Rs 800 crore via its first public NCD issuance.

  • Gujarat Fluorochemicals falls sharply following a gas leak incident at its CMS-1 plant in Dahej, Gujarat. The mishap has resulted in the loss of four lives, including one employee and three contractual workers.

  • Deep Industries' board of directors approves raising funds worth up to Rs 350 crore through a qualified institutional placement (QIP) of equity shares.

  • Utkarsh Small Finance Bank is rising as it sells its written-off loans portfolio and non-performing assets (NPAs) worth Rs 355 crore to an asset reconstruction company (ARC) for Rs 52 crore.

  • Cigniti Technologies' board of directors approves its merger with and into Coforge. Following the merger, Cigniti shareholders will receive one equity share of Coforge for every five shares they hold in the company.

  • Universal Autofoundry declines after Ashish Kacholia sells a 2.5% stake (3.1 lakh shares) in the company through a bulk deal. The transaction was executed at an average price of Rs 98 per share.

  • Prestige Estates Projects enters a business transfer agreement (BTA) to transfer its three hospitality business undertakings to its wholly-owned subsidiary, Prestige Hospitality Ventures, for Rs 313 crore.

  • Aether Industries is rising as it commissions a 15 MW solar power project. The project, developed under the Captive Power Producer (CPP) model, was executed by KPIG Energia, a subsidiary of KPI Green Energy.

  • Anil Gupta, Chairman & Managing Director of KEI Industries, highlights that the company is undergoing massive capex. He mentions that Phase 1 of their Sanand project is expected to be commissioned in June 2025, with full completion by March 2026. The Sanand project will lead to a 65-70% increase in capital expenditure, factoring in additional investments. He also reiterates the 15-17% revenue growth guidance and EBITDA margin guidance of 10.5-11% for FY25.

  • NAVA’s board sets January 20 as the record date for its stock split, dividing one equity share of face value of Rs 2 each fully paid up into two equity shares of Rs 1 each.

  • KEC International enters a business transfer agreement (BTA) to transfer its cables business through a slump sale to its subsidiary, KEC Asian Cables, in a transaction valued at Rs 125 crore.

  • Vodafone Idea is rising as the Government of India waives financial bank guarantees for spectrum acquired in previous years. The waiver applies to guarantees from 2012, 2014, 2015, 2016, and 2021. The company owed Rs 24,800 crore for each spectrum.

  • A BankBazaar report indicates a surge in India's gold loans by 56% YoY in 2024, surpassing the 18% growth in home loans. George Alexander Muthoot, Managing Director of Muthoot Finance, highlights that gold loans promote financial inclusion, providing credit access to individuals without a credit history. The company reported consolidated loan assets under management of Rs 1 lakh crore in 2024.

  • Senores Pharmaceuticals’ shares debut on the bourses at a 53.5% premium to the issue price of Rs 391. The Rs 582.1 crore IPO received bids for 93.4 times the total shares on offer.

  • Carraro India’s shares debut on the bourses at a 7.5% discount to the issue price of Rs 704. The Rs 1,250 crore IPO received bids for 1.1 times the total shares on offer.

  • Ventive Hospitality’s shares debut on the bourses at an 11.4% premium to the issue price of Rs 643. The Rs 1,600 crore IPO received bids for 9.8 times the total shares on offer.

  • Sharekhan maintains a 'Buy' rating on HDFC Bank and revises its target price to Rs 2,100. The brokerage notes the bank is preparing for a transition and finds the risk-reward profile of the stock appealing. It also highlights the bank is focused on increasing retail deposit mobilization while partially reducing its loan portfolio, as it aims to lower its loan-to-deposit ratio (LDR) more quickly to a normalized level of 85-87%.

  • Shakti Pumps (India) is rising as its board of directors schedules a meeting for January 7 to consider a proposal to raise funds via a qualified institutional placement (QIP) of equity shares.

  • IOL Chemicals and Pharmaceuticals is rising as its board of directors approves the stock split of one equity share with a face value of Rs 10, fully paid up, into five equity shares of Rs 2 each.

  • JSW Energy is rising as its wholly-owned subsidiary, JSW Neo Energy, signs an agreement to acquire O2 Power, a renewable energy platform with a capacity of 4,696 MW, at an enterprise value of Rs 12,468 crore.

  • Hero MotoCorp extends its partnership with Harley-Davidson Motor to introduce new variants of the Harley-Davidson X440 and develop a new motorcycle.

  • Nifty 50 was trading at 23,802 (-11.4, -0.1%) , BSE Sensex was trading at 78,637.58 (-61.5, -0.1%) while the broader Nifty 500 was trading at 22,434.65 (-10.6, -0.1%)

  • Market breadth is in the red. Of the 2,011 stocks traded today, 923 were on the uptick, and 1,023 were down.

Riding High:

Largecap and midcap gainers today include Bajaj Holdings & Investment Ltd. (12,630.80, 11.8%), Indian Renewable Energy Development Agency Ltd. (218.47, 10.9%) and Adani Total Gas Ltd. (751.15, 10.6%).

Downers:

Largecap and midcap losers today include Thermax Ltd. (3,913.10, -10.8%), Jindal Stainless Ltd. (686.90, -6.7%) and Solar Industries India Ltd. (9,527.35, -6.4%).

Movers and Shakers

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

Top high volume gainers on BSE included ITI Ltd. (379.20, 15.5%), AstraZeneca Pharma India Ltd. (7,337.20, 15.4%) and Bajaj Holdings & Investment Ltd. (12,630.80, 11.8%).

Top high volume losers on BSE were Thermax Ltd. (3,913.10, -10.8%), Balaji Amines Ltd. (1,743.95, -10.3%) and Redington Ltd. (187.93, -7.2%).

Happiest Minds Technologies Ltd. (749.70, 7.0%) was trading at 36.8 times of weekly average. Cera Sanitaryware Ltd. (7,684.95, 6.8%) and CreditAccess Grameen Ltd. (909.25, 8.3%) were trading with volumes 22.3 and 15.9 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

15 stocks hit their 52 week highs, while 11 stocks tanked below their 52 week lows.

Stocks touching their year highs included - Bajaj Holdings & Investment Ltd. (12,630.80, 11.8%), Coromandel International Ltd. (1,868.95, 1.2%) and Crisil Ltd. (5,992.45, 7.3%).

Stocks making new 52 weeks lows included - Astral Ltd. (1,660.70, 0.4%) and Berger Paints (India) Ltd. (447, 1.1%).

15 stocks climbed above their 200 day SMA including AstraZeneca Pharma India Ltd. (7,337.20, 15.4%) and Indian Renewable Energy Development Agency Ltd. (218.47, 10.9%). 28 stocks slipped below their 200 SMA including Godfrey Phillips India Ltd. (4,819.70, -8.5%) and Jindal Stainless Ltd. (686.90, -6.7%).

 
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The Baseline
27 Dec 2024
Five Interesting Stocks Today - December 27, 2024
By Trendlyne Analysis

1. InterGlobe Aviation:

This airlines company has risen by 5.6% over the past week, and gained around 64.5% from its 52-week low of Rs 2,847. This comes after Elara Securities upgraded its rating to ‘Buy’ from ‘Sell’ and raised the target price to Rs 5,309, while highlighting that the company will be a key beneficiary of the growth in India's aviation sector. The average target from analysts on the company according to Trendlyne’s Forecaster is Rs 4,913. 

IndiGo carried 90.7 lakh passengers during November, with its market share increasing to a dominant 63.6%, according to data from the Directorate General of Civil Aviation (DGCA). The company targets to fly around 11.2 crore passengers in 2024, surpassing its previous record of over 10 crore last year. India's air travel industry is witnessing rapid growth, driven by rising domestic and international passenger traffic. In the January to November 2024 period, Indian airline companies carried 14.6 crore passengers, a 5.9% YoY growth. 

To meet the growing demand in India’s air travel market, IndiGo is exploring advancing its aircraft rental agreements to February. In April, the company announced an order for 30 wide-body Airbus A350-900 aircraft, with deliveries starting in 2027, and 69 A321XLR aircraft expected in 2025. However, the company stated that it won’t wait until 2027 to introduce these planes. Commenting on this, Pieter Elbers, the CEO said, “To meet the rising demand for international and domestic travel to and from India and considering global supply chain challenges, IndiGo is exploring interim solutions for an earlier induction of long-range aircraft”.

India’s aviation space is projected to grow at a 12% CAGR from FY25-28, driven by capacity expansion and new infrastructure, including new airports in Delhi and Mumbai by April 2025 and terminal upgrades in Bengaluru, Chennai, and Ahmedabad. Elara Securities believes IndiGo is well-positioned to benefit from these tailwinds. According to Trendlyne’s Forecaster estimates, the airline’s revenue is expected to grow by 28.5% YoY in Q3FY25. 

2. Dr. Reddy's Laboratories:

Thispharmaceuticals company surged 3.9% on December 19 after Nomuraupgraded Dr. Reddy's Laboratories’ rating to ‘Buy’ from ‘Neutral.’ The brokerage set a target price of Rs 1,500 per share based on the company’s growth potential and investments in emerging markets and key therapeutic areas.

On November 28, the companylaunched Toripalimab, the first and only approved drug in India for nasopharyngeal carcinoma, a rare throat cancer. This drug, marketed under the brand name Zytorvi, works alongside chemotherapy to enhance the immune system's ability to fight the disease. This treatment is only available in a few countries, including India.

InQ2FY25 the company reported a revenue growth of 15.6% YoY to Rs 8,345.7 crore, driven by a 17.2% increase in sales from the pharmaceutical services & active ingredients segment, and a 16.3% rise in the global generics segment. However, net profit declined 15.3% YoY to Rs 1,255.7 crore during the quarter, due to the acquisition of Haleon’s global portfolio of consumer healthcare brands in Nicotine Replacement Therapy.

Dr. Reddy's has significantly increased its investments in manufacturing infrastructure, with capital expenditure (capex) expected toexceed Rs 2,500 crore in FY25. This is more than double the average annual capex of Rs 1,100 crore over the past five years. The increase is primarily for API capacity expansion, particularly for peptide products, including weight loss GLP-1 drugs. CFO M V Narasimhan,said, “We are developing a robust pipeline of small molecules, biosimilars and novel oncology assets, through internal and collaborative efforts, to drive future growth.”

Nomura believes the company is focusing on wellness and unique products, reducing its reliance on traditional therapies that currently make up 41% of sales. This shift is expected to strengthen its product range and improve its position in the market.

3. UPL:

This agrochemicals company has fallen by over 3% in the past week. On December 20th, the company raised Rs 3,376 crore through a rights issue at a price of Rs 360 per share. On December 1st, the company completed the transfer of its Specialty Chemical business by way of a slump sale to its wholly-owned subsidiary, Superform Chemistries.

UPL had posted a nominal 9% YoY increase in revenue for Q2FY25. However, its net loss rose to Rs 443 crore due to a jump in net debt and pricing pressure. Trendlyne Forecaster estimates the company’s revenue to rise by 38% in Q3FY25. Meanwhile, analysts from Sharekhan highlight rising food grain production, favorable regulatory reforms for farmers, and significant opportunities from off-patent products as positives for the company. It appears in a screener of stocks with the highest FII stock holdings.

The outlook however, is mixed – company’s management anticipates a slowdown in volume growth during the second half of the year, with expected growth in the mid-single digits, down from 18% in H1. Anand Vohra, CFO of the company, notes, “We continue to maintain our revenue guidance of 4-8% for FY25, driven by an increase in our differentiated product sales and recovery in the US market.” Commenting on the overall agrochemical space, the company’s CEO, Mike Frank, says, “Price pressure continues to weigh on the overall market, partly due to overcapacity issues in China and tight grower margins, specifically in global row crops. However, we continue to perform well in maintaining and growing our market share in most regions.”

Sharekhan has maintained its ‘Hold’ rating on UPL with a target price of Rs 584. The brokerage observes that high channel inventory and pricing pressures, coupled with increasing Chinese supply, will pose growth challenges for both global and domestic agrochemical companies. It anticipates that the demand recovery for the company is expected to be gradual in North America, Europe, and Brazil, with a quicker rebound in Asia. Given these industry challenges, the brokerage anticipates that earnings concerns for UPL will continue in the near term, with a recovery expected in FY25.

4. Akums Drugs & Pharmaceuticals:

This pharma company, which went public in August 2024, gained 19.2% last week after signing a long-term agreement with a leading global pharmaceutical firm to manufacture and supply oral liquid formulations for the European market. The total deal is valued at approximately €200 million (Rs 1,760 crore), including an upfront payment of €100 million (Rs 880 crore) for product development and site approval.

Akums is set to begin the commercial supply of these products in 2027, continuing through 2032. The company also plans to seek European approvals for its oral liquid site, which it aims to utilize for manufacturing these products.

Akums Drugs reported mixed Q2FY25 results, with a 105% YoY increase in net profit to Rs 65.2 crore, despite an 11.9% YoY decline in revenue due to muted volume demand and lower active pharmaceutical ingredient (API) prices. The company operates in three main segments - contract development and manufacturing operations (CDMO), active pharmaceutical ingredients (API), and branded and generic formulations. CDMO led the performance, contributing 79% of Q2 revenue, followed by branded and generic formulations at 16%, and API accounting for 5%.

On November 19, Akums also announced that it had signed an exclusive Master Sales Agreement with Caregen Ltd., a South Korean company in the nutraceuticals segment. Under the agreement, Akums obtained exclusive rights to market specific Caregen products in India.

Sandeep Jain, Managing Director of Akums stated, “Looking ahead, we anticipate demand trends in the second half to remain largely similar to the first half. There is potential for upside if API prices improve and industry volumes pick up, but that remains uncertain.” He believes that either in Q3 or Q4, API prices to at least average out or normalize, which should positively impact their revenue cycle.

5. Bharat Petroleum Corp:

This oil exploration and production company rose 1% on December 24 following two developments. Bharat Petroleum Corp (BPCL) initiated pre-project activities for a greenfield refinery and petrochemical complex on the East Coast of Andhra Pradesh, with an estimated cost of Rs 6,100 crore. The refinery reportedly could have a capacity of at least 9 million tonnes (180,000 barrels per day).

On the same day, the company also won NTPC’s 1200 MW solar tender as the lowest bidder, securing 150 MW in capacity. The project, valued at Rs 756.5 crore, will be developed over two years and is expected to generate annual revenue of ~Rs 100 crore by producing 400 million clean energy units.

On December 2, BPCL signed a memorandum of understanding (MoU) with Coal India to explore a coal-to-synthetic natural gas project at Western Coalfields (WCL). According to reports, BPCL and Coal India will invest Rs 12,000 crore in the joint venture, with Coal India holding a 51% stake and BPCL 49%. The investment supports BPCL’s clean energy goals and Coal India’s efforts to diversify coal use. The government will provide Rs 1,350 crore in funding for the project.

The company’s Bina refinery project, which involves an investment of Rs 50,000 crore, is expected to be commissioned by FY28, with a production capacity of 2.2 million metric tonnes per annum of bulk petrochemicals. The propylene project at the Kochi refinery, with a capacity of 4 lakh tonnes per annum, is set to be commissioned by FY27. Speaking about the capex on these projects, VRK Gupta, Director of Finance, said, “We don't anticipate a significant increase in borrowing in the next couple of years. However, from FY27 and FY28 onwards, peak capex will occur for both the Bina and Kochi projects, leading to higher borrowings. In the next 1–2 years, we expect a capex plan of around Rs 18,000–20,000 crore.”

Geojit BNP Paribas has given a ‘Hold’ rating to BPCL with a target price of Rs 326. This indicates a potential upside of 11.1%. The brokerage expects earnings growth in the coming quarters, driven by its expanding market share across segments, aggressive capital expenditure, and strategic partnerships. However, geopolitical uncertainties and volatile oil prices remain key risks that could affect the company's performance.

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

 
Trendlyne Marketwatch
Trendlyne Marketwatch
27 Dec 2024
Market closes higher, Cochin Shipyard secures a Rs 450 crore order from Adani Ports
By Trendlyne Analysis

Nifty 50 closed at 23,813.40 (63.2, 0.3%) , BSE Sensex closed at 78,699.07 (226.6, 0.3%) while the broader Nifty 500 closed at 22,445.20 (14.9, 0.1%). Market breadth is horizontal. Of the 2,401 stocks traded today, 1,130 were in the positive territory and 1,235 were negative.

Indian indices closed in the green, with the benchmark Nifty 50 index closing at 23,813.4 points. The Indian volatility index, Nifty VIX, declined 5.7% and closed at 13.2 points. UltraTech Cement acquired an 8.7% stake in Star Cement for Rs 851 crore.

Nifty Smallcap 100 closed in the green, while Nifty Midcap 100 closed in the red. Nifty Pharma and Nifty Auto were among the top index gainers today. According to Trendlyne’s Sector dashboard, Healthcare Equipment & Supplies emerged as the best-performing sector of the day, with a rise of 2.1%.

Asian indices closed mixed, while European indices are trading in the green with an exception of Russia’s MOEX & RTSI index. US index futures traded in the red, indicating a cautious start to the trading session. Wedbush raised its price target on Apple to $325, citing the transformative AI-driven iPhone upgrade cycle, which is expected to drive growth into 2025. Brent crude oil futures are trading in the green following the growing hopes for fresh stimulus from China that could lift the demand outlook on crude.

  • Relative strength index (RSI) indicates that stocks like KFIN Technologies, Amber Enterprises, Intellect Design Arena, and Five-Star Business Finance are in the overbought zone.

  • Max Estates rises sharply as its subsidiary, Max Estates 128, launches phase-2 of Estate 128 in Noida. The project achieves pre-sales bookings worth Rs 845 crore, taking the total booking value to Rs 2,700 crore.

  • SKF India is rising as its board approves a scheme of arrangement to demerge its industrial business. The company plans to transfer the Industrial Business to its wholly-owned subsidiary, SKF Industrial.

  • JSW Infrastructure rises sharply as Motilal Oswal maintains its 'Buy' call with a higher target price of Rs 375 per share. This indicates a potential upside of 15.8%. The brokerage believes the company's focus on expanding capacity, improving the third-party cargo mix, and enhancing utilization at existing ports will drive continued volume growth. It expects the firm's revenue to grow at a CAGR of 19% over FY25-27.

  • Zaggle Prepaid Ocean Services aims to acquire at least two companies in the next financial year to drive growth. Founder and Executive Chairman Raj Narayanam states that the company is evaluating 5 to 6 potential targets in the SaaS FinTech space, including merchant card software, accounts receivables, and FASTag solutions.

  • Cochin Shipyard rises to its 5% upper limit as it receives an order worth Rs 450 crore from Adani Ports and Special Economic Zone. The order involves building eight 70-tonne bollard pull tugs under the Make in India initiative.

  • IndusInd Bank rises sharply as it reportedly seeks to offload Rs 1,573 crore of non-performing microfinance retail loans. The bank plans to auction these distressed assets through public bidding as sector stress increases.

  • Choice International is rising as it receives in-principle approval from the Securities and Exchange Board of India (SEBI) to sponsor and establish a mutual fund. The company will set up an Asset Management Company and a Trustee Company.

  • The Reserve Bank of India (RBI) highlights that credit growth for banks has been broad-based in 2023-24, led by the personal loan and services sectors, followed by agriculture and industry. The share of services and personal loans in total credit increased from 21.9% and 17.1%, respectively, at the end of March 2013 to 27.9% and 32.4%, respectively, by March 2024.

  • NBCC (India) is rising as it receives work orders worth Rs 368.8 crore. These include a Rs 300 crore order from Varanasi Development Authority to develop the Jawaharlal Nehru Commercial Complex, a Rs 44.4 crore order from Power Grid Corp for construction and furnishing works at AIIMS Gorakhpur, and a Rs 24.4 crore order from IIT Roorkee for construction and development works.

  • EFC (I) is rising as its board of directors approves a bonus issue of shares to equity holders in the ratio of 1:1. This means that each shareholder will receive one fully paid-up equity share with a face value of Rs 2 for every share they hold on the record date.

  • Concord Enviro Systems' shares debut on the bourses at a 17.8% premium to the issue price of Rs 701. The Rs 500.3 crore IPO received bids for 10.7 times the total shares on offer.

  • Dixon Technologies' wholly-owned subsidiary, Dixon Electro Manufacturing, signs a memorandum of understanding (MoU) with Cellecor Gadgets to manufacture refrigerators and other components for the company. This partnership aims to expand Dixon Electro Manufacturing's customer base in the refrigerator segment.

  • Mamta Machinery’s shares debut on the bourses at a 146.9% premium to the issue price of Rs 243. The Rs 179.4 crore IPO received bids for 194.9 times the total shares on offer.

  • Jubilant Foodworks rises to its new 52-week high of Rs 724.9 as it enters a memorandum of understanding (MoU) with Coca-Cola India. The agreement covers the purchase of sparkling beverage products and other items from Coca-Cola's authorized bottlers, as well as collaboration on marketing activities.

  • Aarti Pharmalabs rises sharply as Sunil Singhania’s Abakkus Asset Manager buys a 1.2% stake worth Rs 61.5 crore via a block deal. The transaction was executed at an average price of Rs 575 per share.

  • The government is considering an amendment to the Income Tax Act in the 2025 Budget to simplify the taxation regime for foreign semiconductor firms. The proposal includes a presumptive taxation scheme under Section 44 to attract global companies and boost semiconductor manufacturing in India. The amendment aims to ease compliance and position India as a leading semiconductor manufacturing hub.

  • Star Cement rises sharply as UltraTech Cement acquires an 8.7% stake in the company for Rs 851 crore. The stake was purchased from Star Cement's promoter group via a block deal at an average price of Rs 235 per share.

  • Sanathan Textiles’ shares debut on the bourses at a 31.6% premium to the issue price of Rs 321. The Rs 550 crore IPO received bids for 35.1 times the total shares on offer.

  • Transrail Lighting’s shares debut on the bourses at a 36.6% premium to the issue price of Rs 432. The Rs 838.9 crore IPO received bids for 80.8 times the total shares on offer.

  • DAM Capital anticipates a recovery for the auto sector in FY26, driven by favorable macroeconomic conditions. The brokerage highlights attractive valuations and a positive risk-reward outlook as key factors. It upgrades Tata Motors and Escorts Kubota to 'Buy' from 'Neutral' with target prices of Rs 870 and Rs 3,550, respectively. It lists M&M, TVS Motor, and RK Forgings as its top picks.

  • DAM Capital Advisors’ shares debut on the bourses at a 38.9% premium to the issue price of Rs 283. The Rs 840.3 crore IPO received bids for 82.1 times the total shares on offer.

  • Va Tech Wabag is rising as it secures an order worth €78 million (approximately Rs 700 crore) from Lusaka Water Supply and Sanitation Company (LWSC). The contract involves the development of two waste water treatment plants in Zambia, one with a capacity of 54 million litres per day (MLD) and the other with 19 MLD, located in Ngwerere and Chunga.

  • Gensol Engineering is rising as it secures an EPC contract worth Rs 897.5 crore from NTPC Renewable Energy. This contract involves the development of 225 MW-AC grid-connected solar PV projects at the GSECL Solar Park in Khavda, Gujarat.

  • Power Mech Projects is rising as it secures an order worth Rs 186 crore from Jaiprakash Power Ventures (JPVL) to provide field operation and maintenance services for two units of the 660 MW Jaypee Nigrie Super Thermal Power Plant in Nigrie, Madhya Pradesh.

  • Nifty 50 was trading at 23,823.05 (72.9, 0.3%) , BSE Sensex was trading at 78,747.99 (275.5, 0.4%) while the broader Nifty 500 was trading at 22,492.75 (62.4, 0.3%)

  • Market breadth is surging up. Of the 1,939 stocks traded today, 1,360 were in the positive territory and 527 were negative.

Riding High:

Largecap and midcap gainers today include JSW Infrastructure Ltd. (323, 4.4%), Escorts Kubota Ltd. (3,258.40, 3.4%) and Oracle Financial Services Software Ltd. (12,646.60, 3.0%).

Downers:

Largecap and midcap losers today include NMDC Ltd. (69.32, -3.0%), Bharat Heavy Electricals Ltd. (235.40, -2.6%) and GAIL (India) Ltd. (192.50, -2.6%).

Volume Shockers

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

Top high volume gainers on BSE included Ajanta Pharma Ltd. (3,044, 9.1%), Garden Reach Shipbuilders & Engineers Ltd. (1,695.80, 8.9%) and Caplin Point Laboratories Ltd. (2,600.15, 8.4%).

Top high volume loser on BSE was Zydus Wellness Ltd. (1,898.55, -0.1%).

Finolex Industries Ltd. (256.05, 7.9%) was trading at 121.7 times of weekly average. Bata India Ltd. (1,381.30, 2.3%) and Usha Martin Ltd. (383.65, 5.9%) were trading with volumes 16.9 and 10.6 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

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

Stocks touching their year highs included - Caplin Point Laboratories Ltd. (2,600.15, 8.4%), Jubilant Foodworks Ltd. (708.10, 0.6%) and Oberoi Realty Ltd. (2,315.80, -0.3%).

Stocks making new 52 weeks lows included - Astral Ltd. (1,654.10, -1.0%) and Godrej Consumer Products Ltd. (1,067.80, -0.3%).

17 stocks climbed above their 200 day SMA including Garden Reach Shipbuilders & Engineers Ltd. (1,695.80, 8.9%) and Usha Martin Ltd. (383.65, 5.9%). 7 stocks slipped below their 200 SMA including ICICI Prudential Life Insurance Company Ltd. (656.15, -1.8%) and Maharashtra Seamless Ltd. (695.25, -1.4%).

 
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The Baseline
27 Dec 2024
The biggest global index gainers of 2024 | Screener: stocks with high momentum and durability scores
By Tejas MD

2024 is ending with investor hopes for a Santa rally. But so far, December has brought little festive cheer to global markets. The month has seen volatility in India and steep declines in US indices, driven by the Federal Reserve's cautious outlook on rate cuts for 2025.

Fed Chair Jerome Powell's words travel around the world, and after he said on December 18 that rate cuts would be slower - "it's like...driving on a foggy night, you need to move slowly" - the Nifty 50 dropped 2.5% in the next two trading sessions. 

If the Fed keeps US interest rates higher, then foreign investors will prefer investing in safer, high-yield US bonds than in riskier emerging markets like India. 

But despite December's muted performance, it was a strong year for global equity markets. But which index was the winner of 2024? And which sectors and stocks powered the surge?

Let’s uncover the stars of the year.

In this week’s Analyticks,

  • 2024 index winners: The indices that top the list, amid tough competition
  • Screener: Stocks with high Trendlyne Momentum and Durability scores, with high revenue forecasts for the upcoming quarter

2024 round-up: A strong year for major global indices

Equity markets across major economies have had a good year, riding high on cooling inflation and interest rate cuts from central banks worldwide.

It is Taiwan's Weighted Index that tops the charts, with the highest one-year gain. As AI investments surged, its semiconductor and electronics sectors boomed. 

Major global indices post gains in the past year

The US S&P 500 and Nasdaq 100 also delivered. India's Nifty 500, rose over 18% in the past year. This is despite falling sharply in the past quarter due to FII selling and muted Q2 results. 

China’s Shanghai Composite recovered from its lows after a massive government stimulus, helping the index rise 23% in the past quarter. 

When looking at five-year performance, the Nasdaq 100 emerges as the leader, followed by India’s Nifty 500. On the flip side, Hong Kong's Hang Seng, the FTSE 100, and the Shanghai Composite have lagged. 

The top stock gainers in the respective indices indicate tech as the top performer for the US, while finance, energy and industrials won elsewhere.

Top-performing stocks across global indices in 2024

The US has dominated global tech in 2024, thanks to AI investments by the Magnificent Seven (Apple, Microsoft, Alphabet, Amazon, Nvidia, Meta Platforms and Tesla).

But 2025 may be more muted. These stocks rose on the promise of the AI investments they made in 2024. Now comes the hard part: these investments have to show financial gains.

Central bankers gave stock markets a boost (except for the RBI)

Central Banks shifted their interest rate policies in 2024. When inflation rose to record levels in 2022, major central banks had raised interest rates. Now with the exception of RBI, most central banks are cutting rates.

RBI yet to start with rate cuts

Lower interest rates allow companies and people to borrow money cheaply, driving consumption and boosting the economy. The Euro zone was among the first to cut interest rates in June. The US followed in September. The US Fed has cut rates by a whole percentage point in 2024. 

The RBI has held off cutting interest rates in India despite the global trend, due to inflation breaching the upper tolerance limit of 6% in October. Weaker-than-expected GDP growth in Q2 and persistent foreign investor outflows caused Indian markets to enter correction territory in November. 

Which sectors and stocks contributed most to the stock market jump in India and the US? 

General industrials and consumer durables stocks shine in 2024

Several sectors stood out in the Indian market in 2024, with general industrials, consumer durables, realty and pharma stealing the spotlight.

Three of the top four contributors in the general industrials sector are from the defence industry: Mazagon Dock Shipbuilders, Bharat Electronics, and Hindustan Aeronautics, as the Indian government, focused on border tensions, boosted spends on domestic defence equipment and product manufacturing. 

In consumer durables, solar energy player Premier Energies and electronics manufacturer Dixon Tech lead the pack, with their share prices jumping sharply in the past year. Waaree Energies and Premier Energies both debuted on the market this past quarter—and haven’t stopped climbing since. 

General Industrials emerges as the start sector in the past year

The pharma sector has continued its recovery, with falling raw material costs and a resurgence in API manufacturing demand. Lupin, Torrent Pharma, Divi’s Labs, and Sun Pharma are leading the charge. 

In the realty sector, Anant Raj leads the pack with strong residential market demand. Analysts are also bullish on the company's presence in the data centre space. Other top contributors include Prestige Estates, Oberoi Realty, and Macrotech Developers. 

Hardware tech, software & services are star segments in the US

2024 was a great year for America's big guns. The Magnificent Seven dominated the sectors that saw the most growth this year: hardware technology and equipment, automobiles &auto components, and software and services.

Among them, Nvidia's CEO Jensen Huang in his signature leather jacket, stole the show. The media anointed Huang as 'the Steve Jobs of AI' and people clamoured for his autograph, as the demand for AI-related technologies catapulted Nvidia to the top. Semiconductor powerhouses Broadcom and Taiwan Semiconductor Manufacturing (ADR) also soared.

Nvidia drives the hardware tech & equipment sector higher

In the retail sector, Walmart was the winner. Its strong Q3 results, which outpaced Trendlyne’s Forecaster estimates for both revenue and net profit, pushed its stock to new highs.

Screener: Stocks with high Trendlyne Momentum and Durability scores with  high revenue forecasts for the upcoming quarter

IT stocks have high momentum and revenue growth forecast

As we inch closer to the end of Q3FY25, we take a look at technically strong stocks with high Forecaster estimates for YoY revenue growth in Q3FY25. This screener shows stocks with high Trendlyne omentum and durability scores where Forecaster estimates high quarterly revenue YoY growth.

The screener is dominated by stocks from the heavy electrical equipment, IT consulting & software, realty, exchange, and asset management companies industries. Major stocks featuring in the screener are BSE, KFIN Technologies, Kaynes Technology, Dixon Technologies (India), Coforge, Newgen Software Technologies, Persistent Systems, and KEC International.

BSE shows up in the screener with the highest Trendlyne momentum score of 76.2, helped by the exchange stock surging by 38.6% over the past quarter. Trendlyne’s Forecaster expects the company’s revenue to grow 67.6% YoY in Q3FY25. Analysts at Motilal Oswal Financial Services expect momentum from BSE's relaunch of derivative products, new product launches, and improvement in member participation.

Coforge also appears in the screener with a high Trendlyne momentum score of 71.4 due to the IT consulting & software stock’s price rising by 36.4% over the past three months. Trendlyne’s Forecaster expects the company’s revenue to grow by 37.4% YoY in Q3FY25. Analysts at Sharekhan say its revenue should improve via its growing order book, strong large deal pipeline, and synergies from the Cigniti acquisition. 

You can find some popular screeners here.

 
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The Baseline
26 Dec 2024
Five stocks to buy from analysts this week - December 26, 2024
By Ruchir Sankhla

1. Awfis Space Solutions:

ICICI Securities maintains its ‘Buy’ rating on this consumer services company with a target price of Rs 1,049, indicating an upside of 44.7%. Awfis Space Solutions provides workspace rentals and enterprise workspace design and building services. The company has a pipeline of 150,649 seats, with over 110,000 operational as of September 2024. Analysts Adhidev Chattopadhyay and Saishwar Ravekar expect a modest increase in seat prices (4-5% like-to-like) over FY25–27, with steady occupancy of around 71% in its operational portfolio during this period, as new centres typically take 6-12 months to fully mature.

The analysts highlight that workspaces are increasingly integrating flexible office spaces into their portfolios as part of “Core + Flex” strategies. According to a survey, ~30% of respondents plan to expand their presence in flexible office spaces over the next 12 months. Chattopadhyay and Ravekar said, "We estimate the company will achieve a 31% revenue CAGR over FY25–27, driven by seat expansion. Additionally, we expect EBITDA margin to rise to 14.6% by FY27, up from 9.2% in FY24, as the non-seat revenue increases and cost-optimisation initiatives in existing centres take effect."

2. Oberoi Realty:

Axis Direct initiates a ‘Buy’ rating on this realty company with a target price of Rs 2,560, indicating an upside potential of 10.2%. Oberoi Realty is a major real estate developer in Mumbai, active in residential, retail, hospitality, and social infrastructure projects, and in the luxury and ultra-luxury real estate market.

The analysts Eesha Shah and Preeyam Tolia highlight that the company plans to expand into key markets such as Delhi NCR, where rising demand for premium properties is an opportunity for high-end projects. The company has around 17.2 million sq ft of upcoming projects in MMR and Delhi region. The analysts note that the company has completed over 35 projects and holds a portfolio of ~30 Mn sq ft of ongoing and future developments. The company is expected to achieve a pre-sales CAGR of 25% between FY25-27. 

Shah and Tolia expect a CAGR of 17.8% in net sales and 20.2% in net profit over FY25-27. Additionally, they also expect collections to grow at a CAGR of 20% over the same period.

3. PNB Housing Finance:

Motilal Oswal reiterates its ‘Buy’ rating on this housing finance company  with a target price of Rs 1,160, indicating an upside potential of 36.4%. Analysts Abhijit Tibrewal, Nitin Aggarwal and Raghav Khemani highlight that the company is shifting its loan mix toward higher-yield emerging and affordable housing segments. These segments now account for 23% of its portfolio, up from 18% in March 2023.

This shift is driven by leveraging the Credit Linked Subsidy Scheme (CLSS) scheme under the Pradhan Mantri Awas Yojana (PMAY), which is expected to improve yields and expand net interest margins (NIMs). The analysts also note that the company plans to open 15 new branches in the affordable housing segment during FY25. Further, they target to add around 50 new branches every year from FY26 onwards.

Tibrewal, Nitin Aggarwal and Raghav Khemani believe the company is well-positioned to navigate the headwinds in net interest margin (NIM) growth and further offset it with an improvement in product mix. They expect the firm's revenue to grow at a CAGR of 26.6% over FY25-27, with the loan book expanding at ~18% CAGR and net profit at ~23% CAGR over the same period.

4. Bharat Forge:

Geojit BNP Paribas upgrades its rating to ‘Buy’ on this industrial products manufacturer with a target price of Rs 1,558. This indicates an upside of 18.6%.  In H1FY25, the company's revenue grew 2% YoY to Rs 7,795 crore, while net profit increased significantly by 32.1% to Rs 598 crore. EBITDA margin improved by 190 bps to 17.8%, driven by a favorable product mix and strong domestic business performance.

Bharat Forge’s (BFL) capital expenditure (capex) for the first half of the year totalled Rs 820 crore, primarily focused on US operations and investments in the EV business. Analyst Antu Thomas expects the EV segment to achieve EBITDA break-even in the next two to three quarters, despite the current slowdown in Europe.

The company secured new orders worth approximately Rs 646 crore in H1, contributing to a total order book of Rs 2,200 crore, primarily from defence. Thomas expects continued growth in the defence order book, which should help expand margins, along with long-term improvements in overseas operations strengthening BFL’s stability.

5. Lumax Auto Technologies:

Sharekhan reiterates its ‘Buy’ rating on this small cap auto parts & equipment manufacturer with a target price of Rs 767, indicating an upside potential of 23.6%. Lumax Auto Technologies (LATL) has entered the CNG segment by acquiring a 60% stake in Greenfuel Energy Solutions for Rs 153.1 crore.

The analysts say that this acquisition will provide access to the growing green fuels market, including CNG, hydrogen, and related technologies. The deal is expected to generate annual revenue of Rs 300-350 crore with a CAGR of 25-30% for the next few years. They also highlight that LATL’s order book has reached Rs 1,050 crore in Q2FY25, with 40% dedicated to EV models.

The analysts believe the company is focusing on increasing content per vehicle, pursuing joint ventures and acquisitions to introduce new product categories, and strengthening partnerships with original equipment manufacturers (OEMs). LATL is also investing in research and development for advanced technologies such as autonomous driving assistance, electronics integration, and Human-Machine Interface. As a result, they expect a CAGR of 12.9% in revenue for FY25-27.

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

(You can find all analyst picks here)

 
Trendlyne Marketwatch
Trendlyne Marketwatch
26 Dec 2024
Market closes flat, Redtape's board approves a 3-for-1 bonus issue of shares
By Trendlyne Analysis

Nifty 50 closed at 23,750.20 (22.6, 0.1%) , BSE Sensex closed at 78,472.48 (-0.4, 0%) while the broader Nifty 500 closed at 22,430.35 (27.7, 0.1%). Market breadth is in the red. Of the 2,398 stocks traded today, 900 were gainers and 1,461 were losers.

Nifty 50 closed flat after paring gains from the morning session. The Indian volatility index, Nifty VIX, rose 6.5% and closed at 14 points. National Aluminium surged as it signed a mining lease agreement with the District Collector, Angul, to mine coal from the Utkal-D and Utkal-E coal blocks. 

Nifty Smallcap 100 and Nifty Midcap 100 closed flat, taking cues from the benchmark index. S&P BSE Services and Nifty200 Momentum 30 Index were among the top index gainers today. According to Trendlyne’s sector dashboard, Transportation emerged as the top-performing sector of the day, with a rise of 2.6%.

Asian indices closed mixed. US index futures are trading in the red, indicating a negative start to the trading session. Brent crude oil futures are trading higher due to China's new $411 billion stimulus measures and a decline in US crude inventories.

  • Bank of India sees a long buildup in its December 26 futures series, with open interest increasing by 135.6% and a put-call ratio of 2.5.

  • Redtape is rising as its board of directors approves a bonus issue of shares to equity holders in the ratio of 3:1. This means that each shareholder will receive three fully paid-up equity shares with a face value of Rs 2 for every share they hold on the record date.

  • Indian Railway Catering and Tourism Corporation (IRCTC) falls as its platform experiences downtime due to maintenance activities. The company has confirmed the outage and states that the issue stands resolved.

  • Unimech Aerospace and Manufacturing's Rs 500 crore IPO receives bids for 118.5X the available 47 lakh shares on offer on the third day of bidding. The retail investor quota gets bids for 45.6X the available 23.4 lakh shares.

  • Venkatraman Narayanan, Executive Director of Happiest Minds Technologies, maintains a growth target of 30-35% for FY25. He highlights the second half of the year looks stronger than H1 and expects stability in the EdTech and Healthcare segments, along with a gradual recovery in the Retail and CPG sectors. Narayanan also adds that the company aims to maintain a margin range of 20-22%.

  • India Cements' board of directors approves the resignation of its Managing Director (MD) and Chief Executive Director (CEO), N Srinivasan, effective December 25.

  • Ola Electric Mobility rises as it expands its network to 4,000 stores nationwide, a four-fold increase. The company aims to drive EV adoption with over 3,200 new stores featuring service facilities across India.

  • NTPC Green Energy is falling as anchor investors offload their stake after the first lock-in period ends. As a result, approximately 18.3 crore shares, or 2.2% of the company’s outstanding equity, become eligible for trading in the open market.

  • Nuvama Institutional Equities expects CG Power, Rail Vikas Nigam, and Indus Towers to move from the 'midcap' to 'large cap' category, ahead of the Association of Mutual Funds of India's (AMFI) semi-annual rejig for H1CY25. The brokerage expects that Adani Total Gas, NHPC, and Bharat Heavy Electricals will likely shift from large caps to midcaps.

  • Vantage Knowledge Academy is rising sharply as its board of directors schedules a meeting for January 7 to consider a proposal for a bonus issue of shares. The board will also consider approving an interim dividend for its shareholders.

  • One Mobikwik Systems rises to its all-time high of Rs 698.3 as 18.6 lakh shares (2.4% stake) worth approximately Rs 118 crore reportedly change hands in a block deal at an average price of Rs 635 per share.

  • Bharat Petroleum Corp wins NTPC's 1200 MW solar tender as the lowest bidder, securing 150 MW. The Rs 756.5 crore project will be developed in two years, generating Rs 100 crore revenue annually from 400 million clean energy units.

  • According to Anarock, Indian housing sales decline 4% this year across seven major cities, totaling nearly 4.6 lakh units. Meanwhile, average housing prices increase by 21% due to higher costs of land, labor, and certain building materials. However, the brokerage notes the overall sales value of housing units has grown by 16% annually, reaching Rs 5.7 lakh crore in 2024, up from Rs 4.9 lakh crore in 2023.

  • Motilal Oswal maintains its 'Buy' call on PNB Housing Finance with a higher target price of Rs 1,160 per share. This indicates a potential upside of 37.3%. The brokerage believes the company is well-positioned to navigate the headwinds in net interest margin (NIM) growth and further offset it with an improved product mix. It expects the firm's revenue to grow at a CAGR of 26.6% over FY25-27.

  • Welspun Corp is rising as its associate company, East Pipes Integrated Company for Industry (EPIC), secures multiple contracts worth over SAR 57 million (approximately Rs 130 crore). The contracts are from Saudi Real Estate Infrastructure Company (Binyah) and Al Rashid Trading and Contracting Company to manufacture and supply steel pipes with coatings.

  • Surya Roshni is rising as it receives approval from the NSE and BSE for a bonus issue of 10.9 crore shares in the ratio of one share for every share held in the company. The company sets January 2 as the record date of the issue.

  • Reports suggest that Welspun Group's Goenka family is exploring options to reduce their stake in Welspun One, a warehousing and logistics firm with key assets in India. The promoters are said to be in direct discussions with overseas investors, including some from Japan, without the involvement of banks. The company plans to raise funds to grow its assets under management (AUM) to $1 billion (Rs 83,000 crore) by 2026.

  • Bharat Forge's board of directors approves a €39 million (Rs 345 crore) investment in its German subsidiary, Bharat Forge Global Holding GmbH (BFGH), to address borrowings and strengthen the financial position of its European units.

  • National Aluminium is rising as it signs a mining lease agreement with the District Colletor, Angul, to mine coal from the Utkal-D and Utkal-E coal blocks. The company plans to increase the coal production capacity to 4 MTPA to supply coal to the captive power plant.

  • Jammu & Kashmir Bank is rising as its board appoints Amitava Chatterjee as the new Managing Director (MD) and Chief Executive Officer (CEO), succeeding Baldev Prakash, for three years, effective December 30.

  • Elara Capital retains its 'Buy' rating on Oberoi Realty with a target price of Rs 2,350. The brokerage highlights the company’s foray into the uber-luxury segment in Alibaug, Mumbai, and anticipates gross development value (GDV) of around Rs 4,000-4,500 crore. It considers large deal closures as the near term catalysts for the company. Elara also highlights the company's industry-leading profitability.

  • Panacea Biotech surges to its 5% upper circuit as it bags an order worth $15 million (~ Rs 127 crore) from the United Nations Children's Fund (UNICEF) to supply 11.5 crore bivalent oral polio vaccine (bOPV) in 2025.

  • Garware Technical Fibres is surging as it receives approval from the NSE for a bonus issue of 7.9 crore equity shares. Shareholders will get four shares with a face value of Rs 10 for every share held in the company.

  • Ramky Infrastructure is rising as it receives a letter of acceptance (LoA) worth Rs 215.1 crore from the Hyderabad Metropolitan Water Supply and Sewerage Board (HMWSSB). The contract covers the maintenance of sewage treatment plants (STPs) and related interception and diversion (I&D) systems for five years.

  • Ceigall India rises sharply as its subsidiary, Ceigall Ludhiana Bathinda Greenfield Highway, signs a concession agreement worth Rs 981 crore with the National Highways Authority of India (NHAI). As per the agreement, the company will develop the 6-lane access controlled Ludhiana-Bathinda Greenfield highway section.

  • Nifty 50 was trading at 23,835.40 (107.8, 0.5%), BSE Sensex was trading at 78,557.28 (84.4, 0.1%) while the broader Nifty 500 was trading at 22,480.95 (78.3, 0.4%).

  • Market breadth is highly positive. Of the 1,969 stocks traded today, 1,399 were gainers and 524 were losers.

Riding High:

Largecap and midcap gainers today include Adani Ports & Special Economic Zone Ltd. (1,243.95, 5.2%), CG Power and Industrial Solutions Ltd. (743.75, 4.2%) and Adani Green Energy Ltd. (1,064.25, 3.2%).

Downers:

Largecap and midcap losers today include Page Industries Ltd. (47,083.35, -3.6%), SBI Cards and Payment Services Ltd. (679.20, -2.4%) and Bharti Hexacom Ltd. (1,457.05, -2.3%).

Volume Shockers

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

Top high volume gainers on BSE included Intellect Design Arena Ltd. (1,051.90, 14.9%), Godfrey Phillips India Ltd. (5,511, 8.9%) and PNC Infratech Ltd. (330.10, 7.1%).

Top high volume losers on BSE were Chemplast Sanmar Ltd. (493.60, -2.7%) and Cummins India Ltd. (3,364.25, -0.4%).

Rajesh Exports Ltd. (235.81, 3.0%) was trading at 56.9 times of weekly average. Blue Dart Express Ltd. (7,400, 4.7%) and Jammu & Kashmir Bank Ltd. (102.01, 3.9%) were trading with volumes 24.7 and 6.0 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

5 stocks overperformed with 52 week highs, while 10 stocks tanked below their 52 week lows.

Stocks touching their year highs included - Amber Enterprises India Ltd. (7,867.70, 8.5%), 360 One Wam Ltd. (1,245, 0.7%) and Lloyds Metals & Energy Ltd. (1,167.30, -1.8%).

Stocks making new 52 weeks lows included - Asian Paints Ltd. (2,262.40, -1.0%) and Astral Ltd. (1,671.50, -1.3%).

18 stocks climbed above their 200 day SMA including Intellect Design Arena Ltd. (1,051.90, 14.9%) and Blue Dart Express Ltd. (7,400, 4.7%). 19 stocks slipped below their 200 SMA including Usha Martin Ltd. (362.40, -3.1%) and Chemplast Sanmar Ltd. (493.60, -2.7%).