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Trendlyne Marketwatch
Trendlyne Marketwatch
09 Dec 2024
Market closes lower, Biocon's Bengaluru API facility gets a US FDA VAI classification
By Trendlyne Analysis

Nifty 50 closed at 24,619 (-58.8, -0.2%), BSE Sensex closed at 81,508.46 (-200.7, -0.3%) while the broader Nifty 500 closed at 23,292 (-20.1, -0.1%). Market breadth is in the green. Of the 2,321 stocks traded today, 1,243 showed gains, and 1,049 showed losses.

Nifty 50 closed lower after switching between gains and losses throughout the day. The Indian volatility index, Nifty VIX, fell 0.2% and closed at 14.1 points. Biocon fell as it received an establishment inspection report (EIR) with a voluntary action indicated (VAI) status from the US FDA for its API facility in Bengaluru, Karnataka.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the green. Nifty FMCG and Nifty Media Index were among the top index losers today. According to Trendlyne’s sector dashboard, Telecommunications Equipment emerged as the top-performing sector of the day, with a rise of 4.6%.

Asian indices closed mixed. European indices are trading mixed. US index futures are trading flat as investors await the release of key inflation data, indicating a cautious start to the trading session. Brent crude oil futures are trading higher due to increased uncertainty in the Middle East following the fall of Syrian President Bashar al-Assad's regime.

  • Money flow index (MFI) indicates that stocks like Central Depository of India, Maharashtra Seamless, Laurus Labs, and The Fertilisers & Chemicals Travancore are in the overbought zone.

  • Shree Renuka Sugars rises as the National Company Law Tribunal (NCLT) approves the merger of its subsidiaries, including Monica Trading, Shree Renuka Agri Ventures, and Shree Renuka Tunaport, into the parent company.

  • RailTel Corp of India is rising as it receives multiple work orders worth Rs 29.6 crore. These include Rs 13.4 crore to provide 4G LTE-R infrastructure for South Central Railways and a Rs 16.2 crore order from the Employees Provident Fund Organisation for MPLS services across 140 locations.

  • Geojit BNP Paribas downgrades Manappuram Finance to 'Sell' from 'Buy' with a lower target price of Rs 152 per share. This indicates a potential upside of 11.3%. The brokerage believes the company's regulatory issues will affect its assets under management (AUM) growth in the medium term. It expects the firm's net interest income (NII) to grow at a CAGR of 6.5% over FY25-26.

  • Reports suggest that Flipkart, India's largest e-commerce company, valued at $36 billion (approximately Rs 3 lakh crore), is preparing for an IPO within the next 12-15 months. The Walmart-owned company has relocated its domicile from Singapore to India and plans to launch a public share sale by the end of 2025.

  • Shyam Metalics and Energy's stainless steel sales rise 51% YoY to 6,064 million tonnes (MT) in November. Aluminium foil sales increase 30% YoY to 2,018 MT. The company's speciality alloy sales grow 43% YoY, and carbon sales rise by 15% YoY.

  • Styrenix Performance Materials rises to its new all-time high of Rs 2,895 as its board of directors approves the acquisition of INEOS Styrolution (Thailand) for $20 million (approximately Rs 169.4 crore). INEOS supplies specialty ABS, high-heat ABS, and SAN polymers to customers in Southeast Asia and China. The acquisition improves Styrenix's market position and expands its footprint in the engineering polymers sector.

  • Hyundai Motor India plans to set up 600 public EV fast charging stations across India over the next seven years. The company expects to commission 50 charging stations by the end of 2024.

  • Crude oil futures are rising amid rising tensions in West Asia following the removal of Syrian President Bashar al-Assad. Traders will closely monitor the potential consequences of a regime change in Syria and its impact on the broader Middle East, especially oil production. Although Syria's oil output has been nearly depleted due to the ongoing civil war, the situation remains uncertain.

  • Biocon falls sharply as it receives an establishment inspection report (EIR) with a voluntary action indicated (VAI) status from the US FDA for its API facility in Bengaluru, Karnataka.

  • Servotech Power Systems is rising as it partners with LESSzwei GmbH (LESS2) to develop and deploy 100% solar-powered EV charging infrastructure for micromobility, such as e-bikes, e-scooters, and e-cargo bikes in urban areas of Germany.

  • Welspun Corp rises to its all-time high of Rs 824.4 as it secures two large orders in the US for HSAW and HFIW pipes. The orders involve supplying coated pipes for a natural gas pipeline project, set for execution in FY25 and FY26.

  • Adani Ports & Special Economic Zone rises after its Krishnapatanam Port in Andhra Pradesh gets a Navigational Safety at Ports Committee (NSPC) certificate from the Government for petroleum imports in the country until March 2026.

  • Roto Pumps is rising as it secures over 400 orders for its newly launched Solar Submersible Pumping Systems under the brand 'Roto Rudra' for agriculture, irrigation, and renewable energy projects. The orders are from Australia, South Africa, and the Indian states of Chhattisgarh and Maharashtra.

  • Star Health & Allied Insurance falls sharply as it receives a show-cause notice from the Insurance Regulatory and Development Authority of India (IRDAI) after an inspection in 2022.

  • Easy Trip Planners is rising as it announces three acquisitions to expand into new sectors. It acquires 49% of Dubai-based Pflege Home Health Care Center for Rs 30 crore, entering medical tourism and home healthcare markets. It invests Rs 100 crore for a 50% stake in Jeewani Hospitality for hotel operations and Rs 39.2 crore for 49% of Australia’s Planet Education, entering the global education market.

  • Macquarie maintains a 'Neutral' rating on Godrej Consumer Products with a lower target price of Rs 1,260. The brokerage raises concerns that the ongoing palm inflation will likely delay the normalization of soap volumes and margins. It also aligns with the firm's perspective that the growth impact of insecticides is more seasonal.

  • Rites is rising as it emerges as the top scorer (H-1 bidder) for a $9.7 million (approximately Rs 82.3 crore) engineering services contract in Guyana. The project involves upgrading the Palmyra to Moleson Creek Highway.

  • Suven Pharmaceuticals acquires a 56% stake in US-based NJ Bio for Rs 535 crore. As part of the deal, Suven has invested Rs 411 crore to purchase shares from minority stakeholders and Rs 124 crore in primary equity to fund capacity expansion at NJ Bio's 80,000-square-foot facility in Princeton. The acquisition positions Suven in the $2.7 billion global ADC outsourcing market, expected to grow by 25% annually.

  • Wipro partners with SIAM.AI, a member of the NVIDIA Cloud Partner program in Thailand, to develop an AI-powered digital assistant named "Sukjai" for the Tourism Authority of Thailand. The assistant will provide 24/7 support and information on transportation guidelines and schedules, destinations and lodging availability, activity recommendations, and crowd flow details at popular attractions.

  • Textile companies like Trident and Welspun Living are rising by over 6% following reports that Bangladesh's interim government is considering the sale of ownership in 32 companies under the Beximco Group as a long-term solution to the ongoing workers' unrest over unpaid salaries and allowances.

  • NLC India is rising sharply as it emerges as the successful bidder for the New Patrapara South Coal Mine in Odisha in an auction held by the Ministry of Coal (MoC).

  • Laurus Labs' subsidiary, Laurus Bio, enters an agreement for a Rs 120 crore investment from Eight Roads Ventures and F-Prime Capital. Laurus Labs will also invest Rs 40 crore in the subsidiary.

  • Ceat surges to its all-time high of Rs 3,370.6 per share as it acquires Camso's off-highway construction equipment tyre and tracks business from the Michelin Group for a cash consideration of $225 million (approx. Rs 1,906.6 crore).

  • JSW Energy is rising as it bags a letter of award (LoA) from NTPC to set up a 400 MW Inter-State Transmission System (ISTS) connected solar power project.

  • Nifty 50 was trading at 24,680.95 (3.2, 0.0%), BSE Sensex was trading at 81,568.19 (-140.9, -0.2%) while the broader Nifty 500 was trading at 23,338.65 (26.6, 0.1%).

  • Market breadth is surging up. Of the 2,042 stocks traded today, 1,563 were on the uptrend, and 435 went down.

Riding High:

Largecap and midcap gainers today include Supreme Industries Ltd. (5,012.65, 5.8%), Delhivery Ltd. (371.10, 5.1%) and Bajaj Holdings & Investment Ltd. (11,122, 4.2%).

Downers:

Largecap and midcap losers today include Godrej Consumer Products Ltd. (1,127.85, -8.7%), Syngene International Ltd. (867.90, -5.6%) and Star Health and Allied Insurance Company Ltd. (468.15, -4.2%).

Movers and Shakers

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

Top high volume gainers on BSE included C.E. Info Systems Ltd. (1,908.45, 16.1%), ITI Ltd. (368.10, 14.6%) and Ceat Ltd. (3,415.75, 10.3%).

Top high volume losers on BSE were Godrej Consumer Products Ltd. (1,127.85, -8.7%), Marico Ltd. (607.75, -4.1%) and Laurus Labs Ltd. (571.90, -3.0%).

Trident Ltd. (37.99, 10.2%) was trading at 46.3 times of weekly average. Sundram Fasteners Ltd. (1,181.20, 4.3%) and Varroc Engineering Ltd. (534.85, 3.4%) were trading with volumes 17.6 and 11.5 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

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

Stocks touching their year highs included - Ceat Ltd. (3,415.75, 10.3%), City Union Bank Ltd. (186.27, 0.7%) and Deepak Fertilisers & Petrochemicals Corporation Ltd. (1,381.55, -3.0%).

Stock making new 52 weeks lows included - Asian Paints Ltd. (2,391.85, -1.6%).

25 stocks climbed above their 200 day SMA including ITI Ltd. (368.10, 14.6%) and Trident Ltd. (37.99, 10.2%). 10 stocks slipped below their 200 SMA including Marico Ltd. (607.75, -4.1%) and MMTC Ltd. (82.01, -2.1%).

 
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The Baseline
06 Dec 2024
Five Interesting Stocks Today - December 06, 2024

1. Dixon Technologies:

This smartphone manufacturer rose 11.6% over the past week to hit an all-time high of Rs 17,530 on Thursday. The surge came after the announcement that its subsidiary, Padget Electronics, will commence mass production of Google Pixel smartphones in collaboration with Compal Smart Device India. Google aims to ship over 10 million Pixel phones globally this year, following the shipment of about 10 million units in 2023.

Dixon Technologies' revenue surged 2.3X YoY to Rs 11,528.4 crore in Q2FY25, driven by a 235% YoY rise in its mobile & EMS segment. However, the company expects the contribution from the mobile segment to reduce from 70% to 60-65% by FY26, due to strong order inflow in the telecom and IT hardware segments.

In the IT hardware segment, Dixon has partnered with four of the top five players, covering 70-75% of the market, and plans to scale up production in the coming quarters. The company will begin production for Lenovo in Q3FY25, followed by Asus in Q4FY25, and targets a revenue of Rs 4,500-5,000 crore in the next 2-3 years for the IT hardware segment.

Telecom segment revenues have grown sharply, rising from Rs 17.3 crore in FY22 to Rs 690 crore in FY24, driven by increasing demand from Bharti Airtel for set-top boxes. To support this growth, Dixon plans to double its telecom capacity at its Noida facility.

The company’s production-linked incentives (PLI) are ending in FY26. PLI is a government scheme that offers financial incentives to companies to increase their production in specific sectors. Dixon Technologies has been declared eligible under the reworked PLI 2.0 scheme for IT products. Commenting on this, MD Atul Lall said “We have committed to a total production value of Rs 48,000 crore over the six years of the PLI scheme. By the third year, we expect our annual revenue to stabilize between Rs 4,500-5,000 crore.”

Sharekhan maintains a ‘Buy’ rating on Dixon with a target price of Rs 18,800, indicating a potential upside of 7.9%. The brokerage believes that onboarding top-tier clients in the IT hardware segment positions Dixon for growth in the coming years. While the mobile & EMS segment is expected to lead, other verticals, including IT hardware and laptops, are likely to contribute to overall performance.

2. PG Electroplast:

This consumer electronics company has gained 16.2% over the past week following board approval for a qualified institutional placement (QIP) to raise Rs 1,500 crore on December 4. This QIP will result in an equity dilution of 6.7%.

PG Electroplast posted a 56.3% YoY rise in net profit to Rs 19.3 crore in Q2FY25, and a 45.7% increase in revenue YoY due to a strong order book across its product lines. The product business (mainly home appliances), contributing 53.7% to the total revenue, grew 106% YoY. The room air conditioners (RAC) segment saw a growth of 212% due to the extended summer season, while the washing machine business grew 23% YoY during the same period. Operating profit margins improved by 3% YoY in Q2, driven by cost control and operating leverage.

Last month, the company, through its wholly owned subsidiary PG Technoplast, signed a definitive agreement with Spiro Mobility, an electric two-wheeler company based in Africa. Under the agreement, the company will serve as Spiro Mobility’s exclusive manufacturing partner for electric vehicles in India. Vishal Gupta, MD (Finance), said, “We are looking at a revenue of around Rs 500 crore by the second year of operation.”

Nuvama maintains a ‘Buy’ rating after the company surpassed Q2FY25 expectations by 10%. The brokerage expects the company to achieve a revenue and net profit CAGR of 29% and 43%, respectively, over FY25-27. However, it highlights unfavourable weather conditions and delays in ramping up new categories as key risks.

3. Aster DM Healthcare:

Thishealthcare company surged 11.4% over the past eight trading sessions, following a merger announcement with Blackstone-backed hospitals operator Quality Care India (QCIL). The merged entity, Aster DM Quality Care, aims to become one of India's top three hospital chains in terms of revenue and bed capacity.

The new entity will have a network of 38 hospitals and over 10,150 beds across 27 cities and nine states with a market presence in South and Central India. Aster shareholders will own 57.3% of the merged entity, while QCIL shareholders will hold the remaining 42.7%. Azad Moopen, Founder and Chairman of Aster DM Healthcare, will continue as the Executive Chairman, and Varun Khanna, Group MD of Quality Care, will become the MD and Group CEO of the merged entity.

Alisha Moopen, Deputy Managing Director of Aster DM Healthcare,said “The merged entity will be uniquely positioned to pursue both brownfield and greenfield expansion projects with plans to reach 13,300 bed capacity by FY27.” 

InQ2FY25, Aster DM Healthcare reported a revenue of Rs 1,086.4 crore beating Trendlyne’s Forecaster estimates by 1.3%, despite declining 67.2% YoY due to the sale of its GCC (Gulf Cooperation Council) business to a consortium led by Fajr Capital in Q4FY24. However, the company’s revenue grew by 8.5% QoQ.

In H1FY25, the company’s average revenue per occupied bed (ARPOB)rose by 11.8% YoY to Rs 43,600. The company plans toadd 1,800 beds by FY27, increasing its total capacity to 6,800.

After the merger announcement, Prabhudas Lilladharmaintains its ‘Buy’ rating with a target price of Rs 620, indicating an upside potential of 26.4%. The brokerage expects an EBITDA CAGR of 24% over FY25-27 and notes that the management aims for a 10-15% increase in EBITDA over the next 3-4 years driven by optimizing material and manpower costs.

4. Cochin Shipyard:

This marine port & services company rose 5% on December 2 after securing a contract worth Rs 1,000 crore from the Defence Ministry. The contract involves the short refit and dry docking of a large Indian naval vessel. In addition, the Defence Acquisition Council approved five capital acquisition proposals totalling over Rs 21,772 crore, providing a boost to defence stocks like Hindustan Aeronautics, Bharat Dynamics, and shipbuilders including Cochin Shipyard. The procurement includes equipment for the Indian Navy, Coast Guard, and Air Force. 

Cochin Shipyard has surged by 7.1% over the past week. This rise in share price is also driven by a memorandum of understanding (MoU) signed by the company with Seatrium Letourneau USA. This involves designing and providing critical equipment for jack-up rigs for the Indian market on November 25.

As of September 30, 2024, Cochin Shipyard’s order backlog stands at Rs 22,000 crore,  providing strong revenue visibility over the next few years. Speaking on this Madhu S Nair, the CEO said, “Our order book reached an all-time high during the second quarter, which involved building 65 ships, with the bulk of the orders coming from Germany, Norway, Cyprus, and the Netherlands. Apart from these, we have our focus on making green ships and already fulfilling orders for hydrogen fuel cell and methanol ships, electric ships, hybrid ships, and other sophisticated ships.” During the quarter, the company completed the capacity expansion of its dry dock and international ship repair facility. This is expected to improve its operational capability, enabling the construction and repair of larger vessels. 

The company reported a 13% YoY increase in revenue to Rs 1,143.2 crore in Q2, led by better execution in the shipbuilding and ship repair segments. Net profit grew 4.1% YoY to Rs 188.9 crore during the quarter. However, EBITDA margins declined 260 bps YoY to 18%, due to higher input costs and lower shipbuilding margins.

Geojit BNP Paribas has a ‘Buy’ rating on Cochin Shipyard with a target price of Rs 1,557, which the company has already surpassed. The brokerage believes the company’s long-term prospects have improved in terms of capacity expansion, order visibility, and ship repair orders.

5. Solar Industries India:

This industrial products company rose by over 3% on December 2 as it received its largest-ever export order worth Rs 2,039 crore for the supply of defence products, over a period of four years. Following this, on December 4, the Defence Acquisition Council, led by Defence Minister Rajnath Singh approved five defence acquisition proposals worth over Rs 21,772 crore, creating a potential opportunity for the company in defence orders.

The company released its Q2FY25 result on November 13. Its net profit rose by 48.2% YoY to Rs 285.9 crore, while its revenue rose 28.9% YoY on the back of a rise in defence order inflows. However, the company missed Trendlyne Forecaster's revenue estimate by 10% and net profit estimate by 21% due to delays in the Indian 'Pinaka' (rocket launcher) order and slow growth in the construction and infrastructure segments. It appears in a screener of stocks that have consistently given high returns over five years in Nifty500.

ICICI Securities notes that the market is underestimating the impact of the company's ongoing export order inflows in the defence sector. With Rs 4,500 crore in orders for CY24, they expect annual revenue growth of Rs 1,100–1,300 crore. The defence order book, at Rs 3,360 crore before Q2FY25, is expected to rise to Rs 5,000–5,200 crore with the new order.

Manish Nuwal, CEO & managing director of the company, revised the FY25 capex guidance upward to Rs 1,200 crore and also expects defence product sales of Rs 1,500 crore, making up 20% of total sales. Regarding the Pinaka orders, he said, “Due to Diwali and the holiday season, Pinaka orders were delayed, but we expect to receive them within a month, marking a significant milestone for our company.”

ICICI Securities retains its ‘Buy’ rating on Solar Industries with a target price of Rs 13,250. The brokerage notes that the incremental earnings from domestic orders are likely to sustain defence revenues for the company at Rs 1,800-2,500 crore on average and keep margins elevated over the next four years. At this stage, the brokerage’s FY26 EPS estimate is 10% higher than consensus and it believes that upward revisions are likely. 

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
06 Dec 2024
Market closes flat, Tata Power plans a Rs 1.5 lakh crore capex between FY25-30
By Trendlyne Analysis

Nifty 50 closed at 24,677.80 (-30.6, -0.1%), BSE Sensex closed at 81,709.12 (-56.7, -0.1%) while the broader Nifty 500 closed at 23,312.10 (34.2, 0.2%). Market breadth is in the green. Of the 2,256 stocks traded today, 1,308 showed gains, and 924 showed losses.

Nifty 50 closed lower after switching between gains and losses. The Indian volatility index, Nifty VIX, declined 2.7% and closed at 14.1 points. Borosil Renewables closed deep in the green as the Department of Revenue, Ministry of Finance imposes a provisional anti-dumping duty on the import of Textured Tempered Coated and Uncoated Glass from China and Vietnam.

Nifty Midcap 100 and Nifty Smallcap 100 closed higher. Nifty Metal and BSE Consumer Durables were among the top-performing indices of the day. According to Trendlyne’s sector dashboard, Telecommunications Equipment emerged as the best-performing sector of the day, with a rise of 5.4%.

European indices are trading mixed. Major Asian indices closed mixed. US index futures are trading mixed, indicating a cautious start to the trading session ahead of the release of the monthly US jobs report. Brent crude oil prices fell 0.5%.

  • Relative strength index (RSI) indicates that stocks like Laurus Labs, HEG, Maharashtra Seamless, and Central Depository Services (India) are in the overbought zone.

  • Kalpataru Projects International is rising as it, along with its international subsidiaries, secures new orders worth Rs 2,174 crore. The orders include a design and construction project for an elevated metro rail in India, transmission and distribution (T&D) projects in India and international markets, and a residential building project in India.

  • Angel One is rising as its average daily turnover (ADTO) rises 24.1% YoY to Rs 42.6 lakh crore in November, while its client base grows 56% YoY to 2.9 crore. However, it reports an 11.7% YoY dip in gross client acquisition.

  • Emkay initiates coverage on Sonata Software with a 'Buy' call and a target price of Rs 780 per share. This indicates a potential upside of 17.3%. The brokerage is positive on the company's medium-term outlook, driven by a rebound in revenue growth with an improvement in discretionary spending. It expects the firm's revenue to grow at a CAGR of 14.4% over FY25-27.

  • Canara Bank rises after receiving RBI approval to divest part of its holdings in Canara Robeco Asset Management and Canara HSBC Life Insurance via IPO. The bank plans to sell 13% and 14.5% stakes, respectively, as mandated by RBI to reduce its holdings to 30% by October 31, 2029.

  • Landmark Cars is rising as it enters an asset transfer agreement to acquire a Kia Showroom in Bowenpally, Hyderabad. This comes after the company received approval from Kia India to operate its showroom in the country.

  • Kernex Microsystems (India) rises to its 5% upper limit as it receives an order worth Rs 2,041.4 crore from Chittaranjan Locomotive Works. The contract involves the supply, installation, testing, and commissioning of 2,500 sets of On-board KAVACH equipment.

  • Samvardhana Motherson International is rising as its board of directors approves the acquisition of Japan-based Atsumitec for $57 million (approx. Rs 482.6 crore) through its arm, Samvardhana Motherson Automotive Systems Group BV.

  • Maruti Suzuki India announces plans to raise car prices by up to 4% starting January 2025. The decision as per the company is driven by increased input costs and operational expenses.

  • IKIO Lighting is rising as its step-down subsidiary, Royalux, signs a memorandum of understanding (MoU) with Metco Engineering. The agreement involves the supply of energy-saving products, including solar panels, LED lighting solutions, and other energy-efficient products.

  • Adani Wilmar appoints Shrikant Kanhere as Deputy Chief Executive Officer (Dy. CEO), effective immediately.

  • Borosil Renewables rises sharply as the Department of Revenue, Ministry of Finance imposes a provisional anti-dumping duty on the import of Textured Tempered Coated and Uncoated Glass from China and Vietnam. The duty will be imposed for the next six months.

  • Ganesh Kumar, CEO of ITC's Agri Business Division, highlights the company's expansion of its Farmer Producer Organizations (FPOs) to enhance fruit and vegetable sourcing. With around 1,600 FPOs currently, ITC aims to grow this network to 4,000 and reach 10 million farmers in 4-5 years. He also mentioned the expansion of the company's 'MAARS' super app, a 'phygital' initiative offering personalized advisories to farmers through FPOs.

  • Paytm's parent company, One97 Communications, reportedly plans to sell its stake in Japan's digital payments firm PayPay to SoftBank Group for $250 million (approximately Rs 2,000 crore).

  • ICICI Securities maintains its 'Buy' call on Inox Wind, raising the target price to Rs 245 per share. This indicates a potential upside of 18.7%. The brokerage remains optimistic about the stock, citing a sharp improvement in the order book, a better industry environment, and synergies from new businesses. It forecasts the company's revenue to grow at a CAGR of 104.7% over FY25-26.

  • Mishtann Foods plunges as the Securities and Exchange Board of India (SEBI) bars it from raising public funds for seven years over alleged financial misrepresentation. Reports state that SEBI directs the recovery of Rs 100 crore, while the company claims the order is a show-cause notice.

  • RBI Governor Shaktikanta Das emphasises the recent reduction in the Cash Reserve Ratio (CRR) aligns with the MPC's 'Neutral' stance and will inject Rs 1.2 lakh crore into the banking system. He also notes that the rupee's depreciation and volatility have been lower compared to other emerging market economies, reflecting India's strong macroeconomic fundamentals.

  • Suraksha Diagnostic’s shares debut on the bourses at a 0.7% discount to the issue price of Rs 441. The Rs 846.3 crore IPO received bids for 1.3 times the total shares on offer.

  • Welspun Living is rising as the boards of directors of its subsidiaries, Welspun Home Solutions and Welspun Advanced Materials (India), approve the merger of the companies.

  • Waaree Energies is rising as it secures accreditation from the National Accreditation Board for Testing and Calibration Laboratories (NABL) for its PV Module Test Lab (PMTL) at its module manufacturing facility in Chikhli, Gujarat.

  • The Reserve Bank of India (RBI) keeps the policy repo rate unchanged at 6.5% while reducing the GDP growth forecast for FY25 to 6.6% from 7.2%. Additionally, the RBI announces a 50 bps reduction in the Cash Reserve Ratio (CRR), bringing it down to 4.5%. Governor Shaktikanta Das highlights that the MPC assessed growth as resilient but has advised caution.

  • Ola Electric Mobility is falling as the Central Consumer Protection Authority (CCPA) seeks additional documents and information, amid allegations of whitewashing more than 10,000 service-related complaints.

  • Harsha Engineers International is rising as it secures a six-year agreement worth Rs 53.7–89.5 crore (EUR 6–10 million) annually with a leading multinational bearing company. The contract involves the manufacturing and supply of bearing cage products.

  • Garden Reach Shipbuilders & Engineers is rising as it bags a contract for four additional 7,500 deadweight tonnage (DWT) multi-purpose vessels.

  • Rites is rising as it secures an order worth Rs 148.3 crore from Indian Institute of Management Raipur. The company is appointed as the project management consultant (PMC) for the execution, supervision, monitoring, and development of Phase II of the IIM Raipur campus in Chhattisgarh.

  • Nifty 50 was trading at 24,689.40 (-19, -0.1%) , BSE Sensex was trading at 81,790.26 (24.4, 0.0%) while the broader Nifty 500 was trading at 23,281.55 (3.6, 0.0%)

  • Market breadth is in the green. Of the 1,952 stocks traded today, 1,229 were on the uptick, and 673 were down.

Riding High:

Largecap and midcap gainers today include PB Fintech Ltd. (2,142.30, 6.2%), Vedanta Ltd. (501.40, 6.1%) and Delhivery Ltd. (353, 5.9%).

Downers:

Largecap and midcap losers today include Mahindra & Mahindra Financial Services Ltd. (278, -2.9%), Alkem Laboratories Ltd. (5,505.40, -2.5%) and Tube Investments of India Ltd. (3,680.15, -2.0%).

Volume Rockets

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

Top high volume gainers on BSE included ITI Ltd. (321.20, 13.3%), Multi Commodity Exchange of India Ltd. (6,920, 6.7%) and HBL Power Systems Ltd. (674.50, 6.5%).

Top high volume losers on BSE were India Cements Ltd. (360.20, -1.7%), Route Mobile Ltd. (1,453.25, -1.0%) and Patanjali Foods Ltd. (1,865.10, -0.2%).

Asahi India Glass Ltd. (749.15, 3.6%) was trading at 13.6 times of weekly average. Metropolis Healthcare Ltd. (2,135.50, 1.7%) and Westlife Foodworld Ltd. (815.05, 2.4%) were trading with volumes 10.2 and 7.6 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 - City Union Bank Ltd. (184.96, -0.3%), Deepak Fertilisers & Petrochemicals Corporation Ltd. (1,423.85, 3.3%) and eClerx Services Ltd. (3,615.85, -2.3%).

23 stocks climbed above their 200 day SMA including ITI Ltd. (321.20, 13.3%) and MMTC Ltd. (83.78, 4.5%). 16 stocks slipped below their 200 SMA including Jai Balaji Industries Ltd. (973.70, -4.3%) and Can Fin Homes Ltd. (802.95, -3.9%).

 
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The Baseline
06 Dec 2024
FIIs keep buying some sectors amid a broader selloff | Screener: Outperforming stocks with strong estimates for Q3
By Tejas MD

For the last couple of years, India has basked in its status as a 'star performer' in the global economy, with strong growth even as China sputtered. But our article in October worried about signals that suggested that India's growth engine was slowing down. At the time, there was mostly anecdotal evidence from management about weak demand and consumer sentiment.

But the latest GDP data has proved this beyond doubt. India’s growth came in sharply lower than expectations, at a seven-quarter low of 5.4% in Q2FY25. 

Suresh Narayanan, chairman and managing director of Nestlé India said in a media briefing, “The market is facing muted demand. It's extremely clear - the growth in the food and beverages sector which used to be double digits a couple of quarters ago, is now down to 1.5% to 2%”.

Most sectors saw economic activity slump in Q2, with mining and construction among the weakest. Manufacturing growth also slowed to a six-quarter low of 2.2%.

After the GDP report, analysts rushed to downgrade their growth forecasts for India. Goldman Sachs cut their projection to 6% in FY25, down from 6.4%. 

After lowering her FY25 projection to 6% from 6.5%, Madhavi Arora, lead economist at Emkay Global Financial Services said, “The growth shock was due to lower manufacturing growth. We see urban consumption also staying pale owing to weaker incomes.” 

The RBI had projected a 7.2% GDP growth for FY25, which now looks quite out of reach, and is likely to be lowered at its next monetary policy meeting on December 6. Will lower GDP growth have any effect on RBI’s interest rate decision? RBI so far has stubbornly refused to cut rates, citing high food inflation. 

Stocks have been under pressure from foreign institutional investors (FIIs) selling. But there are sectors where FIIs have stayed bullish. Let’s dive in. 

  • Holding on: FII sector picks during the market correction
  • Screener: Stocks outperforming their industries in Q2 revenue and profit growth with strong Forecaster estimates for Q3

FIIs press sell, but some sectors see inflows 

FIIs have been relentlessly selling Indian equities since late September. India was no longer the star attraction this quarter due to China’s stimulus moves, higher-than-expected inflation, weak Q2 earnings, and US election jitters. October saw a historic high for FII outflows.

But sectoral data reveal some FII favourites - and some who aren't.

One consistent favorite, where FIIs kept buying even during the sell-off, is healthcare, a defensive sector. Regardless of market cycles, people get sick and need medicines and treatment, making healthcare an attractive choice for cautious investors. 

Another standout was chemicals, the only sector with inflows across all these months. Despite grappling with high raw material and freight costs over the past two years, analysts see it recovering from multi-year margin lows.

Realty and IT also found favor with FIIs last quarter. But banking & finance, consumer durables and FMCG, initially net gainers, flipped mid-quarter as FIIs turned bearish. A slow rural recovery and soaring inflation have dampened FMCG prospects, especially after dismal Q2 GDP data showed private consumption growth slowing.

Power and oil & gas saw significant outflows, with the latter showing disappointing Q2 profits due to weaker refining margins and heavy inventory losses. The auto and auto components sector was a mirror image to chemicals, with FIIs selling across all months.

FII favourites outperform the Nifty 50 in the past quarter

The Nifty 50 touched multiple all-time highs earlier this year, only to take a sharp U-turn in October, sliding into correction territory with a 10% dip from its peak. During this volatile quarter, Foreign Institutional Investors (FIIs) saw their favorite sectors outperform the benchmark index.

FII favored sectors outperform the Nifty 50 in the past quarter

FIIs’ least preferred sectors tumbled sharply, with one exception: banking and finance, which managed to hold its ground amidst the sell-off.

Which companies drove these sector shifts?

Healthcare and Chemicals stocks keep gains

Leading the pack of top performing stocks are two consumer durables players: Premier Energies and Waaree Energies. Both debuted on the market this past quarter, and haven’t stopped climbing since.

In the Pharma sector, Piramal Pharma stole the spotlight. Strong traction in its CDMO segment pushed Q2 results beyond expectations. Low manufacturing prices and government incentives such as the Production-Linked Incentive (PLI) plan have turned India into an appealing CDMO destination for global companies that are diversifying away from China.

Top contributors in FII preferred sectors rise in the past quarter 

Oberoi Realty and Persistent Systems have also risen in the past quarter due to strong Q2 results. Both companies beat their net income estimates according to Trendlyne’s Forecaster. 

Tough times for Auto and Oil & Gas: What’s Driving the Decline?

The last quarter has been brutal for auto and oil & gas, with both sectors facing significant headwinds. Auto manufacturers like Maruti Suzuki, Tata Motors, Bajaj Auto, and TVS Motor saw stock prices tumble, reflecting falling year-on-year sales across passenger, commercial, and two-wheeler segments.

Adding to the gloom, Bajaj Auto's Executive Director Rakesh Sharma admitted that they had miscalculated, “The response in the motorcycle industry is a little bit muted…we thought that 6 to 8% growth will be there in the festive period, but it is not that much. It is 1 -2%”.

Oil & gas sector falls sharply in the past quarter

In the oil & gas sector, intense margin pressure has dragged down performance, with Reliance Industries—India’s largest company by market cap—underperforming the Nifty 50. The sector has struggled to offset weaker refining margins and larger-than-expected inventory losses.

Finally, the FMCG and electric utilities sectors also lagged the Nifty 50. In the FMCG sector, none of the top ten companies managed to outperform the benchmark, averaging a sharp 10.2% decline in stock prices.

Screener: Stocks outperforming their industries in Q2 revenue and profit growth with strong Forecaster estimates for Q3

Restaurants and electrical equipment stocks have the highest Forecaster estimates in Q3

With the end of the Q2FY25 result season, we take a look at stocks that have outperformed their industries in revenue and net profit growth in Q2, with high Forecaster estimates for Q3FY25. This screener shows stocks outperforming their industries in revenue and profit, with estimates for the next quarter suggesting an upbeat outlook.

The screener contains stocks from restaurants, IT consulting & software, banks, heavy electrical equipment, and pharmaceutical industries. Major stocks that appear in the screener are Godrej Properties, Dixon Technologies (India), Kaynes Technology India, Zomato, Suzlon Energy, Au Small Finance Bank, Devyani International, and Jubilant Foodworks. 

Godrej Properties features in the screener as Trendlyne’s Forecaster estimates its revenue and EPS to grow by 162.8% YoY and 383% YoY respectively, in Q3FY25. This comes after its revenue and net profit grew by 122.5% YoY and 401.8% YoY in Q2FY25 on the back of higher bookings and new product launches. Analysts like Motilal Oswal Financial Services expect this realty company to deliver strong growth, improvement in cash flows, and higher margins, driven by a strong pipeline and healthy realisations.

Dixon Technologies also shows up in the screener as Forecaster expects its revenue and EPS to grow by 102.5% YoY and 111.4% YoY, respectively, in Q3FY25. Analysts at Sharekhan expect this high-flying consumer electronics stock’s revenue and profitability to improve, led by growth momentum in the mobile & EMS division, and a ramp up in the laptop segment. 

You can find some popular screeners here.

 
Trendlyne Marketwatch
Trendlyne Marketwatch
05 Dec 2024
Market closes higher, Aurobindo Pharma's arm Eugia gets US FDA nod for Pazopanib Tablets
By Trendlyne Analysis

Nifty 50 closed at 24,708.40 (241.0, 1.0%), BSE Sensex closed at 81,765.86 (809.5, 1%) while the broader Nifty 500 closed at 23,277.95 (178.5, 0.8%). Market breadth is horizontal. Of the 2,246 stocks traded today, 1,097 showed gains, and 1,125 showed losses.

Indian indices closed in the green, with the benchmark Nifty 50 index closing at 24,708.4 points. The Indian volatility index, Nifty VIX, rose 0.6% and closed at 14.5 points. PG Electroplast surged to an all-time high of Rs 825 as its board of directors approved the qualified institutional placement (QIP) of equity shares worth Rs 1,500 crore.

Nifty Midcap 100 and Nifty Smallcap 100 closed higher. Nifty Consumer Durables and Nifty FMCG closed in the green. According to Trendlyne’s sector dashboard, Software & Services emerged as the best-performing sector of the day, with a rise of 2.1%.

European indices are trading higher, except for Russia’s RTSI and MOEX indices, which are trading in the red. Major Asian indices closed mixed. US index futures are trading mixed ahead of the weekly jobless claims data print scheduled for release later today, indicating a cautious start to the trading session. Brent crude oil futures are trading slightly higher ahead of the OPEC+ meeting.

  • BSE sees a long buildup in its December 26 futures series, with open interest increasing by 148.6% and a put-call ratio of 0.5.

  • Aurobindo Pharma's wholly-owned subsidiary, Eugia Pharma, gets US FDA approval to manufacture and market Pazopanib Tablets, 200 mg. The drug is used to treat advanced renal cell carcinoma (RCC) and advanced soft tissue sarcoma (STS) in adults who have undergone prior chemotherapy. The product is expected to launch in Q4FY25 and has an estimated market size of Rs 898 crore ($106 million).

  • Marico's board appoints Ashish Goupal as the new Chief Executive Officer (CEO) of the India core business, effective April 1, 2025.

  • Zen Technologies is rising as it signs a memorandum of understanding (MoU) with Florida-based AVT Simulation. The companies plan to collaborate on developing advanced solutions for defence, emergency response, and commercial applications. This partnership aims to support Zen's entry into the US defence market while helping AVT expand its international business.

  • A Crisil survey shows the changing landscape of South India's real estate market, with cities like Mysuru, Mangalore, Nellore, Vellore, and Amaravati gaining momentum as larger markets slow. Developers remain optimistic about growth, particularly in Kerala, despite changing dynamics. About two-thirds of respondents are positive about Kerala's market, which accounts for 3% of total project registrations in southern states.

  • Sharekhan maintains its 'Buy' call on Mahindra & Mahindra with a higher target price of 3,600 per share. This indicates a potential upside of 18%. The brokerage remains positive on the stock due to strong demand in the PV segment, market leadership in the tractor segment, growth opportunity in the farm machinery segment, and expansion in the EV segment. It expects the firm's net profit to grow at a CAGR of 11.1% over FY25-27.

  • Hyundai Motor India is rising as the company plans to hike the prices of its vehicles with effect from January 1, 2025. The hike is due to increased input & logistics costs and higher exchange rates.

  • NBCC (India) is rising as its arm, HSCC (India), secures orders worth Rs 599.4 crore from the National Health Mission, Maharashtra. These include a Rs 259.4 crore order to establish and operate Hinduhridaysamrat Balasaheb Thackery Aapla Dawakhana, and setting up radiation oncology units in Jalna, Ratnagiri, Baramati, and Dharashiv, for Rs 340 crore.

  • HEG touches a new 52-week high of Rs 619.5 as reports suggest that 28.8 lakh shares (6% equity), amounting to Rs 172 crore have changed hands in a block deal.

  • Genus Power Infrastructure plunges to its 5% lower circuit following a search by the Directorate of Enforcement (ED) at the company’s corporate office and the Chairman’s residence.

  • Suraj Estate Developers is rising as its wholly-owned subsidiary, Iconic Property Developers, acquires a 1,464 square metre land parcel in Mumbai for Rs 101 crore. The company plans to develop a commercial building with an estimated carpet area of 1 lakh square feet and a gross development value (GDV) of approximately Rs 525 crore.

  • Muthoot Microfin is rising as it reduces interest rates for income-generated loans (IGL) by 25 bps to 23.1% and for third-party product loans (TPP) by 125 bps to 22.7%. This is the third reduction in lending rates made by the company.

  • Zomato surges to its 52-week high of Rs 304.6 as Bernstein gives an ‘Outperform’ rating with a target price of Rs 335. The brokerage notes that the company has a wider city presence and higher gross order value per restaurant compared to Swiggy. Bernstein also highlights that Zomato is well-positioned in terms of restaurant partners.

  • Adani Energy Solutions receives a Letter of Intent (LoI) from REC Power Development and Consultancy to establish a transmission system for evacuating power from Rajasthan's Renewable Energy Zone under Phase-III Part-I.

  • KIOCL is rising as it resumes operations at its pellet manufacturing plant in Mangalore.

  • Lemon Tree Hotels is rising as it bags an order from the Directorate of Tourism, Shillong, Government of Meghalaya, to re-develop, operate and maintain Orchid Hotel in Shillong.

  • Jefferies maintains its 'Buy' rating on Shriram Finance, with a target price of Rs 3,670. The brokerage highlights the company's consistent growth outlook, driven by strong asset quality. It projects the company's assets under management (AUM) to expand at a healthy rate of 18% in FY25.

  • Infosys partners with Switzerland-based Kardex to transform its business operations using SAP S/4HANA. The partnership aims to unify Kardex’s enterprise resource planning system across 30 countries, enhancing efficiency and scalability.

  • PG Electroplast surges to its all-time high of Rs 825 per share as its board of directors approves the qualified institutional placement (QIP) of equity shares worth Rs 1,500 crore at a floor price of Rs 705.2 per share.

  • Indraprastha Gas is rising as its board of directors schedules to meet on December 10 to consider and approve the issue of bonus shares to its shareholders.

  • Nomura predicts that RBI will reduce rates by 25 basis points in the latest MPC meeting and a total 100 bps cut by mid-2025, exceeding the expected 50 bps cut. The firm lowers India's FY25 GDP growth forecast to 6%, below the consensus estimate of 6.9% and RBI's projection of 7.2%. Nomura attributes this adjustment to slowing growth and easing inflation.

  • Torrent Pharmaceuticals is rising as it enters an agreement with Boehringer Ingelheim International GmbH to acquire three brands - Cospiaq (empagliflozin), Cospiaq Met (empagliflozin and metformin), and Xilingio (empagliflozin and linagliptin). Empagliflozin is a sodium-glucose co-transporter-2 (SGLT-2) inhibitor used for glycemic control in adults with type 2 diabetes and has a market size of Rs 3,235 crore.

  • Vodafone Idea's board of directors schedules a meeting for Monday to consider a fundraising proposal worth Rs 2,000 crore through a preferential allotment of equity shares or convertible securities. The company's UK arm, Vodafone PLC, sold a 3% stake in Indus Towers worth approx. Rs 2,800 crore, which will be used to repay a $101 million (approx. Rs 855.6 crore) debt.

  • Bondada Engineering is rising as it receives a work order worth Rs 108.9 crore from Bihar Renewable Energy Development Agency (BREDA). The project involves installing smart solar street lights on existing electric poles, along with a five-year maintenance contract. It is executed under the Mukhyamantri Gramin Solar Street Light Yojana on an EPC basis.

  • Bharat Forge is rising as its board of directors approves the qualified institutional placement (QIP) of equity shares worth Rs 1,650 crore at a floor price of Rs 1,323.5 per share.

  • Nifty 50 was trading at 24,496.75 (29.3, 0.1%), BSE Sensex was trading at 81,182.74 (226.4, 0.3%) while the broader Nifty 500 was trading at 23,141.85 (42.4, 0.2%).

  • Market breadth is ticking up strongly. Of the 1,947 stocks traded today, 1,372 were gainers and 537 were losers.

Riding High:

Largecap and midcap gainers today include Indraprastha Gas Ltd. (383.45, 6.4%), Gujarat Fluorochemicals Ltd. (4,261.25, 4.9%) and Zomato Ltd. (299.35, 4.6%).

Downers:

Largecap and midcap losers today include Oil India Ltd. (473.75, -3.1%), Shree Cements Ltd. (26,608, -2.9%) and Divi's Laboratories Ltd. (6,096.20, -2.6%).

Crowd Puller Stocks

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

Top high volume gainers on BSE included Maharashtra Seamless Ltd. (741.95, 11.4%), Kalpataru Projects International Ltd. (1,249.15, 7.1%) and Indraprastha Gas Ltd. (383.45, 6.4%).

Top high volume losers on BSE were Bajaj Auto Ltd. (8,891.95, -1.2%) and Blue Dart Express Ltd. (7,460.20, -0.9%).

Jai Balaji Industries Ltd. (1,021.55, 2.5%) was trading at 11.4 times of weekly average. Indus Towers Ltd. (363.55, 1.8%) and Anand Rathi Wealth Ltd. (4,383.15, 4.8%) were trading with volumes 9.0 and 5.6 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

25 stocks overperformed with 52 week highs, while 1 stock tanked below their 52 week lows.

Stocks touching their year highs included - Caplin Point Laboratories Ltd. (2,380.50, 0.8%), City Union Bank Ltd. (185.50, 0.3%) and eClerx Services Ltd. (3,700.75, 2.5%).

Stock making new 52 weeks lows included - Rajesh Exports Ltd. (235.72, 1.4%).

25 stocks climbed above their 200 day SMA including Maharashtra Seamless Ltd. (741.95, 11.4%) and Kalpataru Projects International Ltd. (1,249.15, 7.1%). 17 stocks slipped below their 200 SMA including Cummins India Ltd. (3,456.70, -2.5%) and Sammaan Capital Ltd. (162.75, -2.4%).

 
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The Baseline
05 Dec 2024
Five stocks to buy from analysts this week - December 05, 2024
By Divyansh Pokharna

1. Aadhar Housing Finance:

ICICI Securities maintains a ‘Buy’ rating on this housing finance company with a target price of Rs 550. This indicates a potential upside of 24.8%. Analysts Renish Bhuva, Chintan Shah, and Palak Bhatt highlight the company’s strong focus on geographical diversification. Unlike many mortgage players, where over 30% of assets under management (AUM) come from a single state, Aadhar Housing Finance (AHF) stands out with no single state contributing more than 15% of its AUM.

The company’s AUM stands at Rs 22,800 crore as of September 2024 which is among the highest in its listed peer group. AHF’s management reported minimal borrowings from the National Housing Bank (NHB) in H1FY25 but expects significant borrowing in H2FY25, which is likely to keep the cost of funds (CoF) in the range of 8.1-8.2%.  

Bhuva, Shah, and Bhatt note that AHF strategically targets the salaried segment beyond tier-2 cities, focusing on low-ticket loans under Rs 15 lakh. Aadhar’s early entry into underserved markets and focus on the formal salaried segment has helped its lending business. They expect AUM to grow at a CAGR of 20.8%, reaching Rs 31,046.2 crore by FY26.

2. The Ramco Cements:

ICICI Direct maintains a ‘Buy’ rating on this cement & cement products manufacturer with a target price of Rs 1,130, indicating an upside of 8.6%. The Ramco Cements is primarily based in South India, with around 84% of its cement capacity located in Tamil Nadu and Andhra Pradesh, while the remainder is in the East. The company added 4.6 million tonnes per annum (MTPA) of capacity between FY23 and H1FY25, bringing its total capacity to 24 MTPA, with plans to expand to 30 MTPA by FY26.

The company’s volume growth declined by 0.6% YoY in H1FY25, impacted by elections, monsoon, an extended heatwave, and pressure on cement prices. However, analysts Vijay Goel and Ankit Shah expect a recovery in sales volumes in H2, driven by capacity additions and stronger demand in key markets such as Tamil Nadu, Karnataka, and Andhra Pradesh. They believe that Ramco’s focus on expanding capacities at existing locations will support its market share growth.

The company has monetised Rs 376 crore of non-core assets during September-October 2024, aiding debt reduction and to support Rs 1,200 crore capex planned for FY25. Goel and Shah project a 12% revenue CAGR and a 64% net profit CAGR over FY25-27.

3. Lloyds Metals and Energy:

Anand Rathi initiates a ‘Buy’ rating on this mining firm with a target price of Rs 1,260, indicating an upside of 17.8%. Lloyds, the only iron ore miner in Maharashtra, holds around 157 million tonnes of extractable iron ore. Analysts Parthiv Jhonsa and Prakhar Khajanchi note that the company’s Surjagarh mine, awarded through an allocation route, exempts it from paying a premium to the government, making it one of the most cost-competitive miners in India.

Lloyds Metals and Energy is establishing integrated steel facilities in Ghughus and Konsari, set to begin operations between FY27-29. The company is also constructing a 10-million-tonne, 85km slurry pipeline between Hedri (pumping station) and the Konsari plant. This pipeline is expected to deliver benefits from FY26 and will save around Rs 600 crore annually when fully utilised.

In Q2FY25, Lloyds’ revenue grew by 25% YoY to Rs 1,364.4 crore, surpassing Trendlyne’s Forecaster estimates by 12.5%. However, its EBITDA margin declined by 130 bps to 24.9%, but analysts remain positive about margin growth. Jhonsa and Khajanchi said, “The company’s strong presence in Maharashtra and the development of integrated steel plants are expected to improve margins. Additionally, the construction of a slurry pipeline is likely to further drive up the EBITDA margin.”

4. Hindustan Unilever:

Motilal Oswal reiterates its ‘Buy’ rating on this personal products company with a target price of Rs 3,100, indicating an upside potential of 25.8%. In Q2FY25, the company reported a revenue growth of 2.1% YoY to Rs 16,145 crore, driven by the home care and beauty & wellbeing segments.

Despite a muted quarter for FMCG overall, analysts Naveen Trivedi and Tanu Jindal highlight that the company has a pipeline of innovative products in skin care and home care, aimed at capturing additional market share in the premium segment. The company is focusing on offering more premium products in beauty & wellbeing (B&W) and foods & refreshments (F&R) segments. HUL has a vast distribution network of 9 million outlets. Its Shikhar app services 1.4 million outlets, handling 50% of traditional trade demand. 

The analysts said, “The company remains focused on volume-led growth, complemented by low single-digit price hikes to offset raw material pressures.” HUL has achieved 30% ecommerce CAGR over the past three years.

Trivedi and Jindal note that the company aims for strong turnover growth by increasing volume, offering premium products, and changing its portfolio in B&W and F&R. They expect a CAGR of 7% in sales, 8% in EBITDA, and 9% in net profit over FY25-27.

5. Anant Raj:

Emkay initiates a ‘Buy’ rating on this realty company with a target price of Rs 925, indicating an upside potential of 28.1%. In Q2FY25, the company reported a net profit growth of 75.7% YoY to Rs 105.6 crore and revenue rose 54.3% to Rs 512.9 crore.

Analysts Ashwani Sharma, Harsh Pathak and Chinmay Kabra note that the company owns 220 acres of land, with approximately 120 acres of land yet to be developed. Also, the company has around 101 acres of land bank in Delhi which has a development potential of around 12 million square feet (msf), supporting its ability to launch new projects. The company plans to increase its data center and cloud capacity to 307 megawatts (MW) in the next 4-5 years, up from the current 6 MW. 

Sharma, Pathak and Kabra expect multifold growth in this segment, driven by digital adoption, 5G expansion, better optic fiber networks, and government efforts on data protection. They project residential sales to grow at a CAGR of 18%, reaching Rs 4,600 crore. This, they say, will drive collections to grow at a CAGR of 39%, reaching Rs 2,630 crore between FY25-27, leading to a strong cash flow for the company.

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

(You can find all analyst picks here)

 
Trendlyne Marketwatch
Trendlyne Marketwatch
04 Dec 2024
Market closes flat, Bharti Airtel awards Ericsson a multi-billion 4G and 5G RAN contract
By Trendlyne Analysis

Nifty 50 closed at 24,467.45 (10.3, 0.0%), BSE Sensex closed at 80,956.33 (110.6, 0.1%) while the broader Nifty 500 closed at 23,099.50 (78.7, 0.3%). Market breadth is in the green. Of the 2,260 stocks traded today, 1,323 were gainers and 913 were losers.

Indian indices closed in the green, with the benchmark Nifty 50 index closing at 24,467.5 points. The Indian volatility index, Nifty VIX, increased by 0.5% and closed at 14.5 points. Swiggy’s Q2FY25 revenue grew by 30.3% YoY to Rs 3,601.5 crore, driven by improvements in the food delivery, quick-commerce, and supply chain & distribution segments. Net loss narrowed 4.8% YoY to Rs 625.5 crore during the quarter.

Nifty Midcap 100 and Nifty Smallcap 100 closed in the green, following the benchmark index. Nifty PSU Bank and Nifty Realty 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 3.1%.

Asian indices closed mixed while European indices are trading higher. US index futures traded in the green, indicating a positive start to the trading session. Brent crude oil futures are trading in the green. Salesforce surged more than 10% in premarket trading after the cloud-based software company exceeded Q3 revenue expectations and raised the lower end of its annual revenue forecast, driven by strong demand for its enterprise cloud portfolio.

  • Money flow index (MFI) indicates that stocks like The Fertilisers and Chemicals Travancore, HEG, Laurus Labs and Caplin Point Laboratories are in the overbought zone.

  • Nazara Technologies is rising as it signs a letter of intent with Lysto to launch "The Growth Protocol," a blockchain-based Layer 1 infrastructure focused on digital marketing and growth applications.

  • Newgen Software Technologies rises sharply as it accepts a purchase order from the Reserve Bank of India (RBI). The order, valued at over Rs 32 crore, involves the implementation and maintenance of the regulatory application management system (RAMS).

  • Alembic Pharmaceuticals receives approval from the US FDA for its abbreviated new drug application (ANDA) for Olopatadine hydrochloride ophthalmic solution, used to temporarily relieve itchy eyes. The product is an equivalent of Alcon Laboratories’ Pataday Once Daily Relief hydrochloride ophthalmic solution, with an estimated market size of $22 million in the year ending September 2024, according to IQVIA.

  • The Association of Mutual Funds in India(AMFI) is set to re-categorize certain stocks in January 2025. Varun Beverages and ABB likely enter the large-cap space, while Timken and Metro Brands will move to midcaps. A total of 12 stocks are set for an upgrade from small to midcap status.

  • Geojit BNP Paribas downgrades Finolex Cables to 'Accumulate' from 'Buy' but upgrades target price of Rs 1,354 per share due to a reduction in expected earnings. This implies a potential upside of 11.2%. However, the brokerage believes the company's growth will return to normalised levels, led by improved construction activity and increased government spending on infrastructure in H2FY25. It expects the firm's net profit to grow at a CAGR of 15% over FY25-26.

  • Star Cement is rising as Adani Group's unit, Ambuja Cement, is reportedly in talks to acquire the company to strengthen its presence in the Northeast.

  • Honasa Consumer rises sharply as its co-founder Varun Alagh increases his stake to 31.9% with a Rs 4.5 crore investment.

  • Bajaj Auto cuts prices of its newly launched 'Freedom 125CC' bi-fuel powered motorcycle by Rs 5000-10,000 for entry & mid level variants. UBS maintains its 'Sell' rating on the company with a target price of Rs 7,900, noting that the price cut could lead to potential downside risks to market estimates. It also highlights that Bajaj Auto is facing weak demand, with domestic sales down 7% YoY in November, despite the festive season.

  • Cyient DLM signs a memorandum of understanding (MoU) with Arcedo Systems to set up a 500 kilowatt peak (kWp) rooftop solar power plant at Cyient's Mysore facility.

  • Adani Energy Solutions reportedly emerges as the preferred bidder for a Rs 25,000 crore transmission project under Rajasthan Part-I Power Transmission. The project includes building 6 GW HVDC (high-voltage direct current) terminal stations at Bhadla (Rajasthan) and Fatehpur (Uttar Pradesh), along with a transmission line and AC network between the stations.

  • Bharti Airtel awards Ericsson a multi-year, multi-billion-dollar contract extension to deploy 4G and 5G random access network (RAN) solutions in India. The deal includes centralized RAN, Open RAN-ready solutions, and 4G radio software upgrades.

  • Defence stocks are rising around 4% after the Defence Acquisition Council approves five capital acquisition proposals totaling over Rs 21,772 crore. The procurement includes equipment for the Indian Navy, Coast Guard, and Air Force to boost India's maritime operations, coastal security, and aircraft defense.

  • Suzlon Energy is rising after expanding its partnership with Jindal Renewables' arm, JSP Green Wind, to develop an additional 302.4 MW wind power project in Karnataka.

  • Wonderla Holidays surges as it opens a qualified institutional placement (QIP) with a floor price of Rs 829.7 per share. The company's board approved raising around Rs 800 crore through multiple funding options, including a QIP on October 4.

  • NBCC (India) is rising as it receives a work order worth Rs 213 crore from Motilal Nehru College, New Delhi, to upgrade the infrastructure of an auditorium, expand academic buildings, and build a hostel at Delhi University. The project will be completed in phases.

  • India’s services PMI declines marginally to 58.4 in November from 58.5 in October. The PMI reading, however, stays above the 50 mark for the 40th consecutive month, driven by a surge in hiring and growth in new orders in the services sector.

  • Swiggy rises as its Q2FY25 revenue grows by 30.3% YoY to Rs 3,601.5 crore, driven by improvements in the food delivery, quick-commerce, and supply chain & distribution segments. Net loss narrows 4.8% YoY to Rs 625.5 crore during the quarter. The company features in a screener of stocks gaining over 20% in a month.

  • Aditya Birla Capital invests Rs 300 crore in its subsidiary, Aditya Birla Housing Finance, through a rights issue of equity shares.

  • L&T Technology Services secures a $50 million multi-year contract with a global network solutions firm to serve as a strategic partner. The agreement focuses on providing product integration services in North America.

  • JSW Infrastructure is rising as Investec initiates coverage with a ‘Buy’ rating and a target price of Rs 370. The brokerage has a positive outlook on the company due to its strong growth prospects, driven by third-party cargo expansion at the new terminal and higher JSW Group traffic from FY27E. Investec also notes that the premium valuations look justified.

  • Reliance Power surges to its 5% upper circuit as the Solar Energy Corp of India (SECI) withdraws its order, barring the company and its subsidiaries from participating in tenders issued by the SECI.

  • Indian Energy Exchange is rising as its electricity volume increases by 16% YoY to 9,689 million units (MU) in November. IEX Green Market achieves a volume growth of 331.8% YoY to 818 MU.

  • Oil & Natural Gas Corp invests Rs 4,906.2 crore in its subsidiary ONGC Petro Additions (OPaL) through a rights issue of 490.6 shares.

  • Rail Vikas Nigam is rising as it receives an order worth Rs 186.8 crore from East Central Railway. The contract includes the design, supply, erection, testing, and commissioning of traction substations and switching posts. The project upgrades the electric traction system in the Gomoh-Patratu section of the Dhanbad Division to a dual 25 kV system.

  • Nifty 50 was trading at 24,479.25 (22.1, 0.1%) , BSE Sensex was trading at 81,036.22 (190.5, 0.2%) while the broader Nifty 500 was trading at 23,069.65 (48.8, 0.2%).

  • Market breadth is surging up. Of the 1,935 stocks traded today, 1,376 were in the positive territory and 511 were negative.

Riding High:

Largecap and midcap gainers today include UCO Bank (50.39, 11.7%), Indian Overseas Bank (58.97, 8.3%) and Central Bank of India (61.01, 7.6%).

Downers:

Largecap and midcap losers today include Adani Green Energy Ltd. (1,260.85, -4.0%), Adani Total Gas Ltd. (746.65, -2.6%) and Vedant Fashions Ltd. (1,351.40, -2.5%).

Volume Shockers

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

Top high volume gainers on BSE included HEG Ltd. (581.65, 16.2%), KEC International Ltd. (1,240.40, 13.3%) and Swan Energy Ltd. (709.40, 12.3%).

Top high volume losers on BSE were Ratnamani Metals & Tubes Ltd. (3,325.10, -1.3%) and UTI Asset Management Company Ltd. (1,305.10, -0.3%).

Star Cement Ltd. (207.64, 6.2%) was trading at 41.7 times of weekly average. UCO Bank (50.39, 11.7%) and Central Bank of India (61.01, 7.6%) were trading with volumes 21.9 and 8.8 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

23 stocks made 52 week highs, while 2 stocks were underachievers and hit their 52 week lows.

Stocks touching their year highs included - Caplin Point Laboratories Ltd. (2,362.50, 2.2%), City Union Bank Ltd. (184.88, 1.1%) and eClerx Services Ltd. (3,611.40, 1.5%).

Stocks making new 52 weeks lows included - Rajesh Exports Ltd. (232.59, -1.3%) and C.E. Info Systems Ltd. (1,571.30, 2.2%).

34 stocks climbed above their 200 day SMA including Central Bank of India (61.01, 7.6%) and Star Cement Ltd. (207.64, 6.2%). 8 stocks slipped below their 200 SMA including Samvardhana Motherson International Ltd. (162.48, -2.2%) and Cipla Ltd. (1,500.85, -2.2%).

 
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The Baseline
03 Dec 2024
By Aditi Priya

The RBI's monetary policy review meeting, scheduled for December 4-6, comes at a time when markets have turned volatile, with foreign fund outflows, sticky food inflation, and global uncertainty. India's GDP growth number for Q2FY25 also landed with a thud, slowing to 5.4% in Q2FY25, far below estimates and the lowest in two years.

Gaura Sen, chief economist at IDFC Bank, lowered India’s overall FY25 GDP growth forecast to 6.3% from 6.6%. She noted that much of the weakness in the first half has come from, “a slowdown in urban demand and decline in government capital expenditure.” Brokerages like Nomura and ICICI Securities also lowered their FY25 GDP growth estimates. While Nomura and HSBC expect a rate cut in December from the RBI, consensus still remains that RBI might start rate cuts only in February 2025.  

Indian Inc’s results season was pretty muted, with many companies missing earnings expectations. This triggered an equity selloff. JM Financial analyzed 227 companies under its coverage and found that 45% missed earnings estimates, highlighting a challenging quarter.

In this week's Chart of the Week, we explore the Trendlyne's Results Dashboard to analyze which industries excelled and which ones underperformed.

Exchanges & capital markets firms continue to outperform in Q2FY25

India’s capital markets have steadily grown in recent years, with the trend continuing in the last quarter. Despite the recent volatility, markets hit new highs, with Nifty50 near its all-time high of 26,179 after rising 20.5% over the past year. As per Trendlyne's Results Dashboard, the exchange industry reported a remarkable 94.8% YoY revenue growth in Q2FY25, with operating profit margins soaring 71.3% in the same period due to increased activity in the equity derivatives segment and higher daily premium turnover. 

BSE posted a threefold jump in net profit, reaching Rs 346.8 crore for the September quarter. The average daily premium turnover in the equity derivatives segment soared to Rs 8,203 crore in Q2FY25, compared to Rs 768 crore in the same quarter last year. Similarly, MCX India's revenue jumped 68.8% YoY, rising to Rs 310.8 crore.

The capital markets industry saw overall revenue and operating profit margin growth of 44.7% and 12% respectively, in Q2. Firms like Motilal Oswal Financial Services, ICICI Securities and Angel One contributed to this surge.

Consumer electronics see growth, realty sector shows mixed performance

The consumer electronics industry saw average revenue growth of 61.3% YoY, while net profit jumped 170.7%. Once considered a luxury, room air-conditioners (AC) have become popular as summers have become hotter. AC manufacturers like Voltas and Blue Star reported net profit growth of 265.3% and 36.1% respectively in Q2FY25, driven by high demand. The operating profit margin for Voltas surged by nearly 102% and by 1.1% for Blue Star as it is significantly increasing its production and capacity to prepare better for the upcoming summer.

Voltas' unitary cooling products segment, which includes split and window AC, maintained strong growth momentum. The segment outperformed the market with a 56% surge in volumes. The company retained its leadership position in the AC segment, achieving a 21% market share as of September 2024. The AC segment revenue rose by an impressive 45% to Rs 5,384 crores, compared to Rs 3,723 crores in the same period last year. 

Another consumer electronics front-runner, Dixon Technologies posted better-than-expected Q2FY25 results. This was led by a 235% YoY revenue increase in the mobile segment. Acquisition of Ismartu in August 2024, boosted mobile production and volumes from brands like Itel, Infinix, and Tecno. The company’s net profit jumped by nearly 263% to Rs 390 crore in Q2 from Rs 107.3 crore last year. Operating profit margin also increased marginally. The company’s booming mobile phone manufacturing segment contributed 73% to the operating profit and 82% to the total revenue.

Meanwhile, the realty industry had a mixed performance in Q2FY25, with both winners and losers. Average revenue growth stood at 26.3%, with operating profit margins rising by 68.3%. Companies like Godrej Properties, Sobha, and DLF played a key role, growing due to new project launches and higher retail demand in Q2. However, the sector's net profit fell by 17.7% in the September quarter. Prestige Estates reported a 77.4% drop due to a Rs 106 crore deferred tax impact, mainly from tax code changes, including the removal of indexation benefits on capital gains.

Gems & jewellery industry report strong growth, while movies & entertainment faces a decline

The gems & jewellery industry witnessed a 54.8% revenue growth and 76% operating profit margin growth, on average. In the spotlight was industry leader Titan, which reported a 15.8% increase in revenue, but its net profit dropped by 23% due to a reduction in customs duty. The customs duty cut led to lower gold prices, boosting jewellery sales. However, increased costs and reduced margins affected net earnings. The company saw its standalone jewellery business revenue grow 26% to Rs 10,763 crore compared to the same quarter last year. Meanwhile, Kalyan Jewellers saw a nearly 37.6% surge in revenue, though its operating profit margin fell by around 24% due to the fluctuating gold prices. Senco Gold also contributed to the overall industry growth with positive revenue, net profit and operating margin growth in Q2FY25. 

The movies and entertainment industry experienced a 13.4% drop in revenue. India’s largest multiplex chain, PVR Inox, reported its third consecutive quarterly loss as the growing popularity of streaming services kept audiences at home, impacting box-office collections and food and beverage sales. 

Movie theaters have been struggling with low footfalls in recent quarters as higher inflation has led consumers to cut back on discretionary spending. In response, multiplexes have introduced lower-priced weekday passes and reduced popcorn prices to attract customers.

Cement industry and roads & highways witness revenue moderation in Q2FY25

Both cement and roads & highways industries reported a decline in revenue growth YoY in Q2. The cement industry’s average revenue and net profit growth declined by 1.4% and 75.4%, respectively in Q2. This was due to weak demand during the monsoon season. UltraTech Cement, the market leader, saw its first quarterly revenue drop in four years, with a 2% and 19% decline in revenue and operating profit margin, respectively. Grasim Industries also saw a 66.5% decline in net profit and a 22.3% reduction in its operating profit margin.

Similarly, the roads and highways industry's average revenue declined by 11.7% during Q2, but operating profit margins edged up by 0.8%. IRB Infrastructure reported a 6% decline in revenue growth for the quarter, while operating profit margins increased by 6%. Virendra Mhaiskar, Chairman and MD of IRB Infrastructure said, “We anticipate better performance in the upcoming quarters, driven by the end of the monsoon season, the onset of the festive season, and accelerated progress in under-construction projects."

 
Trendlyne Marketwatch
Trendlyne Marketwatch
03 Dec 2024
Market closes higher, Coal India signs an MoU with BPCL for a natural gas project
By Trendlyne Analysis

Markets closed up today. Nifty 50 closed at 24,457.15 (181.1, 0.8%) , BSE Sensex closed at 80,845.75 (597.7, 0.7%) while the broader Nifty 500 closed at 23,020.85 (185, 0.8%). Market breadth is surging up. Of the 2,279 stocks traded today, 1,609 were on the uptick, and 643 were down.

Nifty 50 closed higher after gaining throughout the day. The Indian volatility index, Nifty VIX, fell 2.2% and closed at 14.4 points. KPI Green Energy rose to its 5% upper limit as it secured an order worth Rs 1,311 crore from Coal India to set up a 300 megawatt solar photovoltaic plant.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the green. Nifty PSU Bank and Nifty Media 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 3%.

Asian indices closed in the green. European indices are trading in the green, except for Russia’s RTSI and MOEX indices, which are trading in the red. US index futures are trading flat, as investors are looking ahead to Job Openings and Labor Turnover Survey (JOLTS) jobs data later in the day, indicating a cautious start to the trading session. Brent crude oil futures are trading higher as traders awaited the outcome of an OPEC+ meeting later this week.

  • Relative strength index (RSI) indicates that stocks like The Ramco Cements, Laurus Labs, Aster DM Healthcare, and CCL Products India are in the overbought zone.

  • BOB Capital retains its 'Buy' call on Hindustan Unilever with a target price of Rs 3,077 per share. This indicates a potential upside of 24.1%. The brokerage expects a favourable monsoon, improvement in agri-yield, and recovery in the rural areas to increase the company's sales and earnings. It expects the firm's revenue to grow at a CAGR of 8% over FY25-26.

  • Mazagon Dock Shipbuilders is rising as its board sets December 27 as the record date for its stock split, dividing one equity share of face value of Rs 10 each fully paid up into two equity shares of Rs 5 each.

  • Sky Gold surges to its 5% upper circuit as its board of directors sets December 16 as the record date for its 9:1 bonus share issue.

  • UBS initiates coverage on Indian real estate companies, rating DLF & Prestige Estates 'Buy' and Oberoi Realty 'Neutral' with target prices of Rs 1,005, Rs 2,175, and Rs 2,230, respectively. The brokerage believes the realty sector is in a "sweet spot," fueled by a unique combination of favorable factors expected to sustain growth for the next three to five years.

  • Tata Power rises as its subsidiary, Tata Power Renewable Energy, commissions a 431 MW direct current (DC) solar project at Neemuch, Madhya Pradesh. The project, spanning 1,635.6 acres, integrates advanced technology to improve efficiency by over 15% and reduce carbon dioxide (CO2) emissions by 7,80,300 tonnes.

  • Vakrangee surges to its 5% upper circuit as it enters an agreement with the Central Bank of India to offer banking services across India as a Corporate Business Correspondent (CBC).

  • HDFC Bank is rising as 21.7 lakh shares, worth approximately Rs 396 crore, reportedly change hands in a block deal at an average price of Rs 1,822.7 per share.

  • KPIT Technologies rises over 7% as JP Morgan maintains its 'Overweight' rating with a target price of Rs 1,900. The brokerage anticipates a recovery despite recent underperformance. While investment in EV and hybrid technologies has slowed, it expects continued, though measured, investment. JP Morgan names the stock its top pick among ER&D firms, forecasting growth from 2025 driven by a recovery in the auto sector.

  • TBO Tek falls sharply as 64.3 lakh shares (5.9% stake), worth Rs 951 crore, reportedly change hands in a block deal at an average price of Rs 1,476 per share.

  • Tata Consultancy Services is rising as it partners with the Bank of Bhutan to upgrade its digital infrastructure. TCS will implement its BaNCS Global Banking Platform to improve the bank's operations and integrate with Bhutan's digital public services.

  • Nazara Technologies is rising as it invests Rs 196 crore in its subsidiaries, Nodwin Gaming, Absolute Sports & Datawrkz, and to acquire a 60% stake in Funky Monkeys & Learntube.

  • Kotak Equities expects RBI's monetary policy committee to keep the repo rate unchanged in the upcoming meeting, citing high inflation in October-November, focus on disinflation, and global economic impacts. The firm also anticipates a 50 bps Cash Reserve Ratio (CRR) cut, infusing around Rs 1.2 lakh crore of liquidity and signaling the start of a monetary easing cycle.

  • Gland Pharma is rising as it receives approval from the US FDA for its latanoprost ophthalmic solution, used to treat high eye pressure in patients with ocular hypertension. The product is equivalent to the reference listed drug, Xalatan latanoprost ophthalmic solution, the market size of which is expected to reach $1.5 billion in 2024.

  • Pricol is rising as its subsidiary, Pricol Precision Products, acquires the injection-moulded plastic component division of Sundaram Auto Components (a wholly-owned subsidiary of TVS Motor) for Rs 215.3 crore. The company's board also approves an investment of up to Rs 120 crore to support the subsidiary’s operations and growth.

  • Indegene falls sharply as 1.1 crore shares (4.7% stake), worth Rs 707 crore, reportedly change hands in a block deal at an average price of Rs 623 per share. Global PE firm Carlyle-backed CA Dawn Investments is the likely seller in the transaction.

  • Zen Technologies declines over 4% as reports suggest that 21.4 lakh shares (2.6% equity), amounting to Rs 386.1 crore, have changed hands in a block deal.

  • Coal India rises as it signs a memorandum of understanding (MoU) with Bharat Petroleum Corp (BPCL) to explore setting up a coal-to-synthetic natural gas project at Western Coalfields (WCL).

  • Protean eGov Technologies is rising as it receives a work order worth Rs 161 crore from the Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI). The company will act as the system integrator for designing, developing, implementing, and maintaining the Central KYC Records Registry (CKYCRR 2.0).

  • E2E Networks is rising as it enters an agreement with Larsen & Toubro to expand E2E's data centre capacity to 10,200 KW from 4,200 KW over the next five years.

  • Food, beverage, and tobacco companies like ITC, Godfrey Phillips, and Varun Beverages are falling after a panel of state ministers recommend a sharp tax hike for “sin goods”, including tobacco products and aerated drinks, to 35% from 28% currently, under the goods and services tax (GST) framework.

  • MOIL is rising as its November sales increase 32% YoY to 1.3 lakh tonnes. The company's production rises marginally YoY to 1.6 lakh tonnes.

  • KPI Green Energy rises sharply as it bags an order worth Rs 1,311 crore from Coal India to set up a 300 megawatt alternating current (MW AC) ground-mounted solar photovoltaic (PV) plant. The order will be executed on an engineering, procurement & construction (EPC) basis, including operation and maintenance for the next five years.

  • Solar Industries India is rising as it, along with its subsidiary, secures export orders worth Rs 2,039 crore from international clients to supply defence products; to be delivered over four years.

  • Torrent Power is rising as its board of directors approves the qualified institutional placement (QIP) of shares worth Rs 5,000 crore at a floor price of Rs 1,555.8 per share.

  • Nifty 50 was trading at 24,315.40 (39.4, 0.2%), BSE Sensex was trading at 80,529.20 (281.1, 0.4%) while the broader Nifty 500 was trading at 22,904.05 (68.2, 0.3%).

  • Market breadth is surging up. Of the 1,925 stocks traded today, 1,500 were on the uptrend, and 379 went down.

Riding High:

Largecap and midcap gainers today include Torrent Power Ltd. (1,689.10, 6.5%), Adani Ports & Special Economic Zone Ltd. (1,288.65, 6.0%) and Tata Elxsi Ltd. (7,098.55, 5.7%).

Downers:

Largecap and midcap losers today include Deepak Nitrite Ltd. (2,627, -4.8%), Vedant Fashions Ltd. (1,388.70, -3.2%) and Mankind Pharma Ltd. (2,559, -2.2%).

Volume Rockets

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

Top high volume gainers on BSE included Jindal Worldwide Ltd. (387.35, 20%), HEG Ltd. (500.55, 14.1%) and Graphite India Ltd. (570.15, 9.2%).

Top high volume losers on BSE were Granules India Ltd. (534.15, -10.2%), C.E. Info Systems Ltd. (1,538.10, -9.0%) and Deepak Nitrite Ltd. (2,627, -4.8%).

TTK Prestige Ltd. (879, 3.7%) was trading at 16.8 times of weekly average. NMDC Steel Ltd. (48.25, 5.4%) and RHI Magnesita India Ltd. (553.80, 6.1%) were trading with volumes 12.6 and 11.6 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

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

Stocks touching their year highs included - Caplin Point Laboratories Ltd. (2,312.40, 3.4%), City Union Bank Ltd. (182.90, 1.0%) and Deepak Fertilisers & Petrochemicals Corporation Ltd. (1,358.65, -0.7%).

Stock making new 52 weeks lows included - C.E. Info Systems Ltd. (1,538.10, -9.0%).

35 stocks climbed above their 200 day SMA including Jindal Worldwide Ltd. (387.35, 20%) and Graphite India Ltd. (570.15, 9.2%). 7 stocks slipped below their 200 SMA including TVS Holdings Ltd. (11,700, -1.7%) and Ratnamani Metals & Tubes Ltd. (3,365.10, -1.0%).

 
Trendlyne Marketwatch
Trendlyne Marketwatch
02 Dec 2024
Market closes higher, Maruti Suzuki's total wholesales rise 10% YoY in November
By Trendlyne Analysis

Nifty 50 closed at 24,276.05 (145.0, 0.6%), BSE Sensex closed at 80,248.08 (445.3, 0.6%) while the broader Nifty 500 closed at 22,835.85 (148.9, 0.7%). Market breadth is in the green. Of the 2,301 stocks traded today, 1,430 were in the positive territory and 846 were negative.

Indian indices closed in the green, with the benchmark Nifty 50 index closing at 24,274 points. The Indian volatility index, Nifty VIX, increased by 1.9% and closed at 14.7 points. India’s manufacturing PMI declined to an eleven-month low of 56.5 in November, compared to 57.5 in October, driven by rising input cost inflation.

Nifty Midcap 100 and Nifty Smallcap 100 closed in the green, following the benchmark index. BSE Realty Index and Nifty Realty were among the top index gainers today. According to Trendlyne’s Sector dashboard, Realty emerged as the best-performing sector of the day, with a rise of 2.8%.

Asian indices closed higher 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 green. Investors are concerned about an impending trade war after Trump threatened on Sunday to impose "100% tariffs" on BRICS nations. He criticized their efforts to create a new currency and move away from the US dollar, warning that the US could cut off trade with the bloc unless they agree to use the dollar.

  • Money flow index (MFI) indicates that stocks like CCL Products India, The Fertilisers and Chemicals Travancore, and Ramco Cements are in the overbought zone.

  • Gujarat Gas announces a price hike of Rs 1.5 per kg for compressed natural gas (CNG), effective December 1. The new price will be Rs 77.8 per kg across the state of Gujarat.

  • Sterling Tools rises sharply as its subsidiary, Sterling Tech-Mobility, partners with China's Zhejiang Meishuo Electric to manufacture latching relays for power transmission in India. The partnership is expected to generate Rs 200 crore revenue by FY30 for Sterling Tools, with an initial Rs 20 crore investment.

  • Escorts Kubota is falling as its total wholesales decline 9.4% YoY to 8,974 units in November, while its exports decrease 39.5% to 244 units. The company's domestic wholesales drop by 8.1% to 8,730 units.

  • NMDC's total sales rise 5.5% YoY to 4 million tonnes (MT) in November as its production grows by 18% YoY to 4.5MT.

  • The Centre announces the removal of windfall tax on aviation turbine fuel (ATF), crude oil products, petrol, and diesel, providing relief to oil majors like Reliance and ONGC. The tax, introduced in July 2022 in response to rising global crude prices, was designed to capture revenue from producers' unexpected gains. The removal is expected to provide a significant boost to refining margins.

  • Biocon’s arm Biocon Biologics receives US FDA approval for Yesintek, a biosimilar to Johnson & Johnson’s Stelara (ustekinumab). Yesintek is a monoclonal antibody used to treat Crohn’s disease, ulcerative colitis, plaque psoriasis, and psoriatic arthritis. The global market size for ustekinumab is projected at around $11.4 billion in 2024.

  • Reports suggest that 1.9 crore shares (21% equity) of Home First Finance have changed hands in a block deal. The company's promoters are the likely sellers in the transaction.

  • HCL Technologies is rising as it partners with Google Cloud Security to deliver AI-driven managed detection and response (MDR) solutions. The service integrates HCLTech’s Fusion Platform with Google Cloud Security technology for better threat detection and response.

  • India’s manufacturing PMI declines to an eleven-month low of 56.5 in November, compared to 57.5 in October, driven by rising input cost inflation.

  • TVS Motor is rising as its wholesales grow 10% YoY to 4 lakh units in November, driven by a 12% YoY increase in two-wheelers and a 57% YoY growth in electric vehicles. Exports surge 25% YoY during the same period.

  • Adani Ports and Special Economic Zone handles 36 million metric tonnes (MMT) of cargo in November, led by a 21% YoY growth in the container segment. January-November cargo volumes grow 7% YoY to 293.7 MMT, driven by containers (19% YoY) and liquids & gas (7% YoY).

  • Cochin Shipyard rises to its 5% upper limit as it secures a contract worth Rs 1,000 crore from the Ministry of Defence (MoD), Government of India, for the short refit and dry docking of a large Indian naval vessel.

  • Morgan Stanley maintains its 'Equal-weight' rating on IndusInd Bank with a lower target price of Rs 1,150. The brokerage highlights the 30% drop in share price following the bank's Q2 earnings, driven by concerns over weak asset quality in the microfinance (MFI) segment. The brokerage notes that the risk-reward isn't unfavorable, but near-term risk leans towards the downside.

  • RBL Bank declines to its 52-week low of Rs 147.5 as it discontinues its eight-year co-branded credit card partnership with Bajaj Finance. This aligns with the bank’s plans to build diverse partnerships with NBFCs like Mahindra & Mahindra Finance, TVS Finance, and other brands like IRCTC and Indian Oil Corp.

  • Sterling and Wilson Renewable Energy is rising as it secures a Rs 504 crore order from a repeat customer in Rajasthan for the supply, installation, and commissioning of a 396 megawatt peak direct current (MWp DC) solar project.

  • Mahindra & Mahindra is rising as its wholesales grow by 12% YoY to 79,083 units in November. Passenger vehicle sales increase 16% YoY, while exports are up 53% YoY.

  • India's GDP growth slowed in Q2FY25, primarily due to weaker performance in the industrial sector. This is the slowest growth in seven quarters, prompting economists to revise their full-year growth projections downward. Barclays has lowered its forecast for FY25 to 6.5%, down from the previous estimate of 6.8%. Despite this, there are still expectations of a recovery in the second half of the fiscal year.

  • GP Petroleums rises sharply as it secures a Rs 223 crore supply agreement with Hindustan Petroleum Corp (HPCL) to provide 50,000 metric tonnes of bulk bitumen (VG30) over a year, with a possible extension.

  • Cipla's promoter reportedly sells nearly 1.4 crore shares (1.7% stake), worth Rs 2,000 crore, in a block deal at a floor price of Rs 1,442 per share.

  • Dixon Technologies surges to its 52-week high of Rs 16,824 as its arm, Padget Electronics, signs a contract with Compal Smart Device India to launch the mass production of Google Pixel.

  • India’s GDP slows to a seven-quarter low of 5.4% in Q2FY25, down from 6.7% in Q1, below RBI’s projection of 7% growth. The decline is due to slower growth in manufacturing and deceleration in mining and quarrying.

  • Hero MotoCorp's monthly wholesales decline 6.4% YoY to 4.6 lakh units in November due to lower motorcycle sales and domestic business. However, its exports grow by 35.7% YoY to 20,028 units during the month.

  • Bajaj Auto's domestic wholesales decline by 7% YoY to 2.4 lakh units in November due to a decrease in two-wheeler and commercial vehicle sales by 7% YoY and 5% YoY, respectively. However, the company's exports grow by 24% YoY to 1.8 lakh units during the month.

  • Rail Vikas Nigam is rising as it emerges as the lowest bidder for a contract worth Rs 642.6 crore from Punjab State Power Corp (PSPCL) to upgrade power distribution infrastructure in Punjab’s Central Zone. The project focuses on reducing losses in high-tension and low-tension power lines under the revamped distribution sector scheme (RDSS).

  • KEC International secures orders worth Rs 1,040 crore for its transmission and distribution (T&D) business from international markets. The orders include supplying towers, hardware, and poles in the US and constructing 220 kV transmission lines in the Commonwealth of Independent States (CIS).

  • Nifty 50 was trading at 24,037.75 (-93.4, -0.4%) , BSE Sensex was trading at 79,643.55 (-159.2, -0.2%) while the broader Nifty 500 was trading at 22,630.25 (-56.8, -0.3%)

  • Market breadth is in the red. Of the 2,011 stocks traded today, 837 were on the uptrend, and 1,109 went down.

Riding High:

Largecap and midcap gainers today include Dixon Technologies (India) Ltd. (16,763.90, 6.1%), Indraprastha Gas Ltd. (343.55, 5.1%) and Torrent Power Ltd. (1,586.30, 5%).

Downers:

Largecap and midcap losers today include Adani Total Gas Ltd. (772.55, -4.9%), Adani Energy Solutions Ltd. (807, -4.0%) and UNO Minda Ltd. (1,021.80, -2.8%).

Volume Shockers

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

Top high volume gainers on BSE included Castrol India Ltd. (215.25, 7.2%), Affle (India) Ltd. (1,736.20, 7.2%) and Intellect Design Arena Ltd. (764.10, 6.6%).

Top high volume losers on BSE were Emami Ltd. (631.25, -7.7%), Can Fin Homes Ltd. (814.55, -1.1%) and Berger Paints (India) Ltd. (489.60, -0.8%).

Home First Finance Company India Ltd. (1,074.75, 2.2%) was trading at 27.1 times of weekly average. Relaxo Footwears Ltd. (680.20, 1.5%) and Happiest Minds Technologies Ltd. (770.40, 6.5%) were trading with volumes 15.6 and 11.7 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 2 stocks tanked below their 52 week lows.

Stocks touching their year highs included - Caplin Point Laboratories Ltd. (2,236.05, 1.8%), Divi's Laboratories Ltd. (6,255.35, 1.3%) and eClerx Services Ltd. (3,542.05, 1.6%).

Stocks making new 52 weeks lows included - RBL Bank Ltd. (155.96, 0.6%) and Equitas Small Finance Bank Ltd. (62.52, 0.3%).

21 stocks climbed above their 200 day SMA including Torrent Power Ltd. (1,586.30, 5%) and Cochin Shipyard Ltd. (1,656.15, 5%). 16 stocks slipped below their 200 SMA including Emami Ltd. (631.25, -7.7%) and Kirloskar Oil Engines Ltd. (1,090, -2.8%).