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The Baseline
24 Nov 2023
2023 sees IPOs rebound, as investors grow optimistic
By Tejas MD

The IPO market is a useful mirror, reflecting the mood of investors. In 2022, it showed caution and hesitation, but 2023 tells a different story – one of recovery.  

In 2022, high inflation and rising interest rates led to a quiet year for Indian IPOs. However, IPOs are back in fashion in 2023 as inflation eases to the RBI's target levels, and investor confidence rises.

The benchmark Nifty 50 index is up 8.8% in 2023. This renewed enthusiasm is visible globally as well. The US indices S&P 500 and Nasdaq 100 have risen by 18.4% and 46.5% in 2023.

Right now, the pessimists are losing money: Michael Burry, the investor known for his ‘big short’ during the 2008 global financial crisis and who had predicted a US market crash in 2023, closed his short positions worth $1.6 billion in the S&P 500 and Nasdaq in September, at a 40% loss. 

India is set to be the fastest-growing major economy in FY24, and many companies are trying to ride the growth wave by launching their IPOs. But how does their performance compare to those in previous years? Let’s explore. 

In this week’s Analyticks, 

  • IPO fever: 2023 sparks a wave of new listings, breaking 2022's quiet spell
  • Screener: IPO stocks listed in the past two years with the highest 1-year jump in share price, plus YoY revenue and profit growth in Q2FY24

2023 sees an IPO bonanza, as markets recover 

The IPO market saw a downturn in pandemic year 2020, with a 14.9% fall in listings. But the recovery in 2021 made it the ‘Year of IPOs’. The number of mainboard IPOs exceeded those of small and medium enterprises (SMEs) in 2021, as larger companies rode positive market sentiment, helped by a 24.12% rise in the Nifty 50.

2023 marks the highest number of IPOs listed in five years  

After a bull run in 2021, 2022 brought volatility, fueled by high inflation, rising interest rates, and geopolitical tensions. As a result, many companies scrapped their IPO plans citing unfavourable market conditions.

But in 2023, the total number of IPO listings has risen sharply, and reached the highest level in the past five years.

Vast majority of IPOs list in the green

Over the past five years, the number of IPOs listing with gains has increased. As of November 20, 2023, 83% of IPOs have listed above their issue prices. 

IPO success rate climbs: Majority list in the green 

The average listing gains of the five most successful mainline IPOs in each year tell an interesting story.

2022 sees dip in the top five IPOs' average listing gains 

The average gain was the highest in 2021 (157.3%) but dropped significantly in 2022, due to investor hesitancy after the underperformance of several high-profile tech IPOs in 2021. 

Only Zomato trades higher than its issue price among new-age tech companies

However, 2023 signals a positive shift. Not only has the number of listed mainline and SME IPOs crossed 2022’s total, the average listing gains of the most successful ones have also improved sharply, from 49.7% to 77.5% in 2023.

Banking and finance IPOs excel in 2023

Two companies from the banking and finance sector, Utkarsh Small Finance Bank and SBFC Finance, are among the top four IPOs this year, thanks to the sector's overall uptrend.

Utkarsh Small Finance Bank rises since its successful listing in July 2023

The most successful IPO of the year, ideaForge Technology from the defense sector, debuted with a 92.7% gain. However, the stock has since fallen sharply and is currently trading only 20% above its issue price. This IPO also had the second-highest total subscription at 106x its offer. The Indian government's defense spending boost has increased investor interest in this sector.

All four IPOs in 2023 garner strong investor interest with high subscription rates 

Netweb Technologies, a software and services company, saw strong interest from qualified institutional buyers (QIBs) and listed at high gains. However, since its listing on July 27, the stock has declined by over 15%.

Stock prices of three out of the four most successful IPOs have now fallen below their listing gains. This trend suggests that investors are cashing in on initial gains to secure profits. Three of these IPOs listed in July 2023, a month when the Nifty 50 closed in the green for the fifth consecutive month. 

Post-2021, investors seem more inclined toward companies with strong fundamentals, especially after loss-making companies were listed at extremely high valuations, but failed to meet expectations.

Barring ideaForge Technologies, which turned profitable in FY22, the other three top IPOs in 2023 have displayed consistent profitability.

ideaForge Technology turns profitable in FY22

With still a month left in the year, India's IPO landscape is bustling with activity. In the coming weeks, five companies, including Tata Technologies and the Indian Renewable Energy Development Agency (IREDA), are set to collectively raise over Rs 7,300 crore. The IPO recovery is a confidence signal in the Indian economy, and more companies are lining up to list in the coming months.

Screener: IPO stocks listed in the past two years with highest 1-year change, and YoY revenue and profit growth in Q2FY24

Kaynes Tech leads in 1-year change % among IPOs listed in the past two years

This screener shows profit-making mainline IPO stocks listed in the past two years that have risen the most over the past year, with YoY revenue and net profit growth in Q2FY24. The screener is dominated by the banking & finance, consumer durables, diversified consumer durables, textiles, apparels & accessories and software & services sectors. 

Major stocks that appear in the screener are Kaynes Technology India, Kalyan Jewellers India, Anand Rathi Wealth, Electronics Mart India, RateGain Travel Technologies and Global Health.

Kaynes Technology India has risen by 322.5% since its listing on the bourses on November 22, 2022. Its net profit grew by 53.8% YoY to Rs 32.3 crore, while revenue increased by 32.1% YoY in Q2FY24. The profit increase is on the back of improvement in the automotive, industrial and aerospace, outer-space & strategic electronics segments.

Kalyan Jewellers comes next with a 238.5% rise over the past year. Listed on March 26, 2021, at Rs 73.9 per share, its net profit and revenue grew by over 27% YoY in Q2FY24. This profit rise was aided by an improvement in operational leverage, new customer additions and new showrooms.

You can find more screeners here.

 
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The Baseline
24 Nov 2023
Five Interesting Stocks Today

1. Narayana Hrudayalaya:

This healthcare facilities firm has been in the news after announcing a Rs 1,000 crore super speciality hospital in Kolkata, leading to a 3.3% rise in its stock on November 21. According to Trendlyne’s Technicals, the stock rose 8.2% over the past week, outperforming the Nifty Healthcare index by 6.6%. The outperformance was due to its lower valuation compared to peers, improved profitability of its newer hospitals post-expansion, and upcoming growth plans in both domestic and Cayman Island hospitals.

In Q2FY24, the company’s revenue improved by 14.3% YoY, backed by rising average revenue per patient. The company’s EBITDA margins increased by 230 bps YoY, driven by increased revenue realization per bed in its domestic and Cayman Island hospitals. The company appears in a screener of stocks with growing quarterly net profit and margins. 

The management plans a capex of Rs 1,140 crore in FY24, having already invested Rs 394 crore in H1FY24. The capex will focus on technological upgrades for better patient care and operational efficiency, as well as development in the Cayman Islands. Revenue growth was observed in new hospitals, with improved EBITDA. 

Prabhudas Lilladher says that the company comes at an attractive valuation compared to its peers. The ramp-up in its Cayman unit, which will be operational in H1FY25, will be key. The broker maintains a ‘buy’ rating on the company.

2. CG Power and Industrials:

This heavy electrical equipment manufacturer’s shares have surged to a record high of Rs 498 each, with a 20% rise on Wednesday alone. The rise follows the Murugappa Group company's announcement that it is seeking approval to set up a semiconductor assembly unit – an area where the Indian government has long aspired to be a key player. 

In its regulatory filing, CG Power said it had applied to the Ministry of Electronics and Information Technology (MeitY), proposing a project with an outlay of Rs 6,592 crore over the next five years. The project is part of a  scheme offering 50% capex support from the Centre.

In Q2FY24, the firm reported a revenue growth of 19.5% YoY to Rs 2,000 crore, beating Trendlyne’s Forecaster estimates by 1.6%. Its net profit also rose by 35.4% YoY to Rs 242 crore. Due to its success in generating cash, the firm appears in a screener of stocks with improving cash flow from operations. According to Trendlyne’s Forecaster, the company’s annual revenue is expected to rise by 17.8% in FY24.

The management has approved capacity expansion in both the industrial and power systems segments at multiple units in Bhopal, with an investment of Rs 35 crore. A similar expansion plan has been approved for units in Nashik, with an investment of Rs 155 crore. Geojit BNP Paribas expects the company to incur a capex of Rs 500 in FY24 and FY25, driven by strong domestic order book. 

3. Welspun Corp:

This iron & steel products company has been on the rise over the past month, touching its 52-week high of Rs 562.9 per share on November 21. The surge is on the back of strong results, new order wins, and approvals for expansion. Its stock price has risen by 25.6% over the past month, featuring in a screener of stocks with prices above short, medium and long-term moving averages.

The stock rose by 8.5% on November 12 after its associate company, East Pipes Integrated Company for Industry (EPIC), signed a contract worth approximately Rs 1,000 crore with Saudi Aramco. The contract involves supplying large-diameter steel pipes to Aramco for the next 13 months. 

The company’s subsidiary, Sintex BAPL, also received approval from the government of Odisha to invest Rs 479.5 crore in a new pipe manufacturing unit in Sambalpur on Wednesday. The facility, set to have a production capacity of 37,520 MT per annum, is expected to become operational in the next three years. 

Welspun Corp also posted a net profit of Rs 384.7 crore in Q2FY24 compared to a net loss of Rs 56.6 crore in Q2FY23. Its revenue surged by 106.7% YoY to Rs 4,059.4 crore, thanks to improved sales in the pipeline and building materials segments. Trendlyne’s Forecaster expects the company’s revenue to grow by 49.9% YoY and net profit to surge by 4.6x YoY in FY24. 

Commenting on its latest order wins, Vipul Mathur, MD and CEO of the company, said, “Our associate company, EPIC in Saudi Arabia has a confirmed order book exceeding two years. The execution of the recent Aramco order, valued at SAR.1.8 billion (approximately Rs 4,000 crore), has started.”

4. Aurobindo Pharma

This pharmaceutical company touched an all-time high of Rs 1,043 on Wednesday (November 22), following the US FDA approval of the anti-cancer drug, Ryzneuta, developed by its subsidiary Acrotech Biopharma. The global market size of the drug is approximately $6 billion. Aurobindo Pharma’s share price has risen by 5.8% in the past week, further boosted by a successful US FDA inspection at the manufacturing facility of another subsidiary, APL Healthcare, which resulted in zero observations. As a result, it features in a screener of stocks with the highest recovery from their 52-week lows. 

Over the past month, the stock has risen by 18.1%, outperforming its industry. Its net profit in Q2FY24 surged by around 85% to Rs 757.2 crore, while the EBITDA margin expanded by 485 bps YoY to 19.4%, driven by low material cost and a favourable product mix. According to Santhanam Subramanian, the Chief Financial Officer, “We are on track to achieve the 20% plus EBITDA margin target set internally for the year.”

Aurobindo Pharma’s revenue has grown by 25.7% YoY, led by healthy performance in the formulations and API (active pharmaceutical ingredients) businesses (up 29% YoY and 20.3% YoY, respectively). During the quarter, the revenue from US formulations (excluding Puerto Rico) increased by 35.7% YoY to Rs 3,385 crore, driven by volume growth, stable demand, and new product launches. 

KR Choksey maintains its ‘Accumulate’ rating on Aurobindo, with an upgraded target price of Rs 1,090. The brokerage is optimistic about the company’s strong pipeline of 40 new products slated for launch in the next 12 months, providing growth opportunities in existing and new businesses. 

5. UNO Minda: 

This auto parts manufacturer hit its all-time high of Rs 694.7 on Friday, marking a rise of 17% since the announcement of its Q2FY24 results on November 7. Its profit has increased by 32.3% YoY to Rs 225 crore, while its revenue grew by 25.5% YoY to Rs 3,630.2 crore. It beat Trendlyne Forecaster’s net profit and revenue estimates by 9.9% and 6%, respectively. Its EBITDA margin improved by 42 bps sequentially to 11.1%, due to a fall in employee and other expenses.

The growth in Q2FY24 has been on the back of continued capacity expansion and market share gains. The company also witnessed growth across all product verticals. The switch segment, which accounts for 28% of total revenue, grew by 26% YoY, while the lighting and casting segments increased by 23% and 21%, respectively. The company features in a screener for stocks with low debt.

For FY24, UNO Minda has planned a capex of around Rs 700-800 crore. The firm commissioned its electric vehicles component and systems plant in Q2FY24. According to ICRA, EV penetration is expected to double from the current 2-3% to 4-6% by FY25, which will potentially increase the company’s orders from original equipment manufacturers.

UNO Minda has approved the setting up of a new greenfield plant with a capacity of 1.2 lakh alloy wheels per month, responding to strong demand as the existing capacity is fully utilised. According to the management, “The new plant will lead to a potential 2-3X growth over the next seven years.”

Axis Securities upgraded its rating on UNO Minda to ‘Buy’, citing continued outperformance and consistent execution capabilities. It forecasts revenue and profit CAGR of 15% and 19% respectively, over FY24-26. 

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
24 Nov 2023
Market closes flat, JSW Steel completes the last tranche of its Rs 750 crore investment in JSW paints
By Trendlyne Analysis

Nifty 50 closed at 19,794.70 (-7.3, 0.0%) , BSE Sensex closed at 65,970.04 (-47.8, -0.1%) while the broader Nifty 500 closed at 17,643.50 (4.1, 0.0%), of the 1,974 stocks traded today, 893 were in the positive territory and 1,040 were negative.

Indian indices recovered from the day’s low and closed flat, with the Nifty 50 closing at 19,795. The volatility index, Nifty VIX, rose by 0.1% and closed at 11.3 points. Tata Technologies and Flair Writing Industries' IPO gets bids for 35X and 21.9X on the third day of bidding.

Nifty Smallcap 100 closed higher, while the Nifty Midcap 100 closed flat following the benchmark index. Nifty Pharma and Nifty Healthcare closed higher than Thursday’s closing level. According to Trendlyne’s sector dashboard, commercial services & supplies emerged as the top-performing sector of the day, with a rise of over 1.8%.

Most European indices trade in the green except for England’s FTSE 100 in the red. US indices futures trade higher indicating a positive start. The data released by Hamburg Commercial Bank indicated that Germany’s manufacturing PMI in November declined to 42.3 against estimates of 41.2.

  • Berger Paints (India) sees a short buildup in its November 30 future series as its open interest rises 12.5% with a put-call ratio of 0.4.

  • KRChoksey maintains its 'Accumulate' rating on Sonata Software with an upgraded target price of Rs 1,403 per share. This indicates a potential upside of 8.3%. The company's partnerships with Google, SAP, AWS, and Microsoft, among others, will bring more orders. It expects the IT company's net profit to grow at a CAGR of 21.9% over FY23-25.

  • IndusInd Bank partners with Indraprastha Gas (IGL) to facilitate the acceptance of digital rupee, India's central bank digital currency (CBDC). This collaboration aims to allow customers at select IGL stations in Delhi NCR to make payments using the digital rupee. It appears in a screener for stocks with strong momentum.

  • Maruti Suzuki India's board of directors approves the issue and allotment of 1.23 crore shares, amounting to Rs 12,841.1 crore, on a preferential basis to Suzuki Motor Corp. This will facilitate the acquisition of a 100% stake in Suzuki Motor Gujarat.

  • Gandhar Oil Refinery's Rs 500.7 crore IPO gets bids for 64.1X the available 2.1 crore shares on offer on the third day of bidding. The retail investor quota gets bids for 28.9X the available 1.1 crore shares on offer.

  • Ganesha Ecosphere rises more than 4% as its board approves raising Rs 350 crore through qualified institution placements. The company appears in a screener of stocks with improving RoE.

  • Flair Writing Industries' Rs 593 crore IPO gets bids for 46.7X the available 1.4 crore shares on offer on the third day of bidding. The retail investor quota gets bids for 13X the available 72.1 lakh shares on offer.

  • India’s credit card spending rises 25.4% MoM to around Rs 1.8 lakh crore, driven by growth in PoS (point of sale) transactions and e-commerce payments during the festive season.

  • Fedbank Financial Services' Rs 1,092.3 crore IPO gets bids for 2.2X the available 5.6 crore shares on offer on the third day of bidding. The retail investor quota gets bids for 1.8X the available 2.8 crore shares on offer.

  • Tata Technologies' Rs 3,042.5 crore IPO gets bids for 69.4X the available 4.5 crore shares on offer on the third day of bidding. The retail investor quota gets bids for 16.5X the available 1.8 crore shares on offer.

  • GATIrises over 3% as it launches a Surface Transhipment Centre and Distribution Warehouse (STCDW). It is strategically located to reduce transit time and enable businesses to deliver products faster to their customers.

  • Telecommunications equipment, pharmaceuticals & biotechnology and textiles apparels & accessories sectors rise by more than 2.3% over the past week.

  • Jefferies adds Coal India, Honasa Consumer, Eicher Motors, NTPC, HDFC Bank, and ICICI Prudential Life Insurance Co to its India model portfolio, replacing Power Grid Corporation of India, Marico, Maruti Suzuki, and NBFCs. The brokerage has lowered its weightage on NBFCs as the rate cut cycle is expected to be at least six months away.

  • RateGain Travel Technologies trades flat as Aditya Birla Sun Life Mutual Fund sells a 2.1% stake (20.2 lakh shares) in the company. The deal, conducted in the open market, amounts to Rs 11.8 crore. The company appears in a screener of stocks with strong annual EPS growth.

  • Foreign institutional investors withdraw Rs 2,488.7 crore from the equity market over the past week, according to Trendlyne's FII dashboard. Index options also witness the highest outflow of Rs 1.1 lakh crore from foreign investors. meanwhile, mutual funds invest Rs 1,300.3 crore in the equity market over the same period.

  • HDFC Securities initiates coverage on Sai Silks with a ‘Buy’ rating and a target price of Rs 385, implying an upside of 32.8%. The brokerage expects the company to benefit from the growing preference for organised saree retailers over unorganised retailers, citing its diverse price range and expansive presence. It projects a CAGR of 40.2% in net profit.

  • Morgan Stanley has an ‘Overweight’ rating on Zomato, with a target price of Rs 140. The brokerage notes the growing engagement of mature users and increased online spending, especially in the quick commerce segment. It also expects consistent performance in the food delivery business.

  • JSW Steel rises as it completes the last tranche of its Rs 750 crore investment in JSW paints. This last instalment involves an investment of Rs 75 crore. With this acquisition, JSW Steel holds a 12.8% stake in JSW Paints.

  • Healthcare stocks like Dr Lal Pathlabs, Lupin, Syngene International and Metropolis Healthcare are rising in trade. Barring Apollo Hospitals Enterprise, all constituents of the broader Nifty Healthcare index are also trading in the green.

  • Prestige Estates Projects launches a new residential project, Prestige Glenbrook, in Bangalore. It has a developable area of 0.7 million square feet and a revenue potential of Rs 550 crore. It appears in a screener for stocks with strong momentum.

  • One97 Communications (Paytm) declines over 2% as 1.6 crore shares (2.56% equity), amounting to Rs 1,441 crore, reportedly change hands in a block deal.

  • Lupin rises as it receives tentative US FDA approval for its abbreviated new drug application of Canagliflozin Tablets, 100 mg and 300 mg. The drug is used to treat adults with type two diabetes and has an estimated annual sales of $561 million in the USA.

  • Smallcap World Fund Inc buys a 2.7% stake in Home First Finance for approx Rs 208.5 crore in a bulk deal on Thursday.

  • NMDC is rising as it increases the prices of iron ore and fines by Rs 200 per tonne to Rs 5,400 and Rs 4,460 per tonne, respectively, effective from November 23. The stock shows up in a screener for companies with low debt.

  • Apar Industries opens its qualified institutional placement issue to raise Rs 1,000 crore at a floor price of Rs 5,540.3 per equity share. The company shows up in a screener for stocks with zero promoter pledges.

Riding High:

Largecap and midcap gainers today include General Insurance Corporation of India (307.10, 16.46%), Life Insurance Corporation of India (677.65, 9.71%) and Hindustan Aeronautics Ltd. (2,240.30, 4.38%).

Downers:

Largecap and midcap losers today include CG Power and Industrial Solutions Ltd. (429.15, -6.77%), One97 Communications Ltd. (892.55, -3.34%) and Mahindra & Mahindra Financial Services Ltd. (263.90, -3.03%).

Crowd Puller Stocks

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

Top high volume gainers on BSE included The New India Assurance Company Ltd. (209.00, 19.98%), General Insurance Corporation of India (307.10, 16.46%) and Life Insurance Corporation of India (677.65, 9.71%).

Top high volume losers on BSE were One97 Communications Ltd. (892.55, -3.34%), Asahi India Glass Ltd. (566.30, -1.59%) and Equitas Small Finance Bank Ltd. (94.35, -0.79%).

DCM Shriram Ltd. (938.55, 4.11%) was trading at 20.5 times of weekly average. Sun Pharma Advanced Research Company Ltd. (273.05, 6.14%) and Data Patterns (India) Ltd. (1,979.65, 6.87%) were trading with volumes 11.6 and 9.7 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

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

Stocks touching their year highs included - Bajaj Auto Ltd. (5,930.30, 0.09%), Bharat Heavy Electricals Ltd. (152.25, 6.65%) and Blue Star Ltd. (1,009.90, 3.38%).

Stock making new 52 weeks lows included - Polyplex Corporation Ltd. (1,017.40, -0.07%).

11 stocks climbed above their 200 day SMA including Life Insurance Corporation of India (677.65, 9.71%) and Sterling and Wilson Renewable Energy Ltd. (340.15, 2.92%). 6 stocks slipped below their 200 SMA including VIP Industries Ltd. (614.65, -1.51%) and Marico Ltd. (523.65, -1.37%).

 
Trendlyne Marketwatch
Trendlyne Marketwatch
23 Nov 2023
Market closes flat, Motilal Oswal maintains ‘Buy’ rating on Coal India

Trendlyne Analysis

Nifty 50 closed at 19,802.00 (-9.9, -0.1%), BSE Sensex closed at 66,017.81 (-5.4, 0.0%) while the broader Nifty 500 closed at 17,639.40 (11.7, 0.1%), of the 1,976 stocks traded today, 1,067 showed gains, and 863 showed losses.

Indian indices closed flat, with the benchmark Nifty 50 index closing at 19,802 points. The volatility index, India VIX, fell 4.6% and closed at 11.3 points. Honasa Consumer rose sharply and closed 20% higher after its Q2FY24 net profit grew by 73.2% YoY to Rs 29.4 crore.

Nifty Smallcap 100 closed in the green and outperformed the benchmark index. Nifty Metal and Realty closed higher than their Wednesday close. According to Trendlyne's sector dashboard, Telecommunications Equipment was the top-performing sector of the day as it rose 1.4%.

Major European indices traded in the green, except for the Swiss Market Index, which traded in the red. Major Asian indices closed flat or higher amid positive global cues. US index futures traded flat, indicating a cautious start to the trading session. Brent crude oil futures traded in the red after falling 1.1% on a volatile day of trade on Wednesday.

  • Money flow index (MFI) indicates that stocks like Ratnamani Metals & Tubes, Trent, Alkem Laboratories and The New India Assurance are in the overbought zone.

  • Cipla falls by over 7% as the US FDA issues a warning letter to its manufacturing facility in Pithampura. The US FDA has pointed out violations of good manufacturing practices and regulations concerning product quality at this site.

  • Equitas Small Finance Bank rises as HDFC Mutual Fund acquires a 2.1% stake (2.3 crore shares) in the company. After the acquisition, the AMC holds 6.2% of the bank.

  • Jindal Stainless, JSW Energy, Mphasis and Metro Brands outperform the Nifty 50 index over the past month post their Q2FY24 results.

  • Motilal Oswal maintains its ‘Buy’ rating on Coal India and raises its target price to Rs 380 from Rs 290, indicating an upside of 14.1% from the current market price. The brokerage is optimistic about the company's prospects, noting it is on track to meet its FY24 production target of 780 million tonnes, aligned with rising demand. It also adds that the e-auction premium remaining stable at 85-90% augurs well for the firm.

  • Gandhar Oil Refinery's Rs 500.7 crore IPO gets bids for 15.3X the available 2.1 crore shares on offer on the second day of bidding. The retail investor quota gets bids for 17.2X the available 1.1 crore shares on offer.

  • Flair Writing Industries' Rs 593 crore IPO gets bids for 6.1X the available 1.4 crore shares on offer on the second day of bidding. The retail investor quota gets bids for 7.1X the available 72.1 lakh shares on offer.

  • According to CLSA, Reliance Jio Infocomm's initial public offering (IPO) will be a stock-rerating catalyst for Bharti Airtel. The brokerage has a 'Buy' rating on both Bharti Airtel and Reliance Industries. Jio's market leadership and digital expansion vision justify a premium in valuation.

  • Fedbank Financial Services' Rs 1,092.3 crore IPO gets bids for 0.9X the available 5.6 crore shares on offer on the second day of bidding. The retail investor quota gets bids for 1.3X the available 2.8 crore shares on offer.

  • Tata Technologies' Rs 3,042.5 crore IPO gets bids for 14.9X the available 4.5 crore shares on offer on the second day of bidding. The retail investor quota gets bids for 11.2X the available 1.8 crore shares on offer.

  • Indian Renewable Energy Development Agency's Rs 2,150.2 crore IPO gets bids for 38.8X the available 47.1 crore shares on offer on the third day of bidding. The retail investor quota gets bids for 7.7X the available 23.5 crore shares on offer.

  • Goldman Sachs maintains its ‘Buy’ rating on Adani Ports & Special Economic Zone but increases the target price to Rs 855. The brokerage considers the company’s FY24 volume guidance of 370-390 MT (million tonnes) conservative and believes it could achieve a volume of 405 MT. It also highlights the strong growth in the logistics segment.

  • Realty companies like Indiabulls Real Estate, Sobha, Oberoi Realty, Prestige Estates Projects and Brigade Enterprises are rising in trade. Barring Godrej Properties, all the other constituents of the broader sectoral index, BSE Realty, are trading in the green.

  • Servotech Power Systems is rising as it bags an order for 2,649 EV chargers from Bharat Petroleum Corp. The company will manufacture, supply and install EV chargers across India.

  • Strides Pharma Sciencerises as its unit, Strides Pharma Global, gets US FDA approval for a generic drug equivalent to Braintree Labs' Suprep Bowel Prep Kit. The drug has an estimated market share of $143 million in the USA, as per IQVIA. The company appears in a screenerof stocks with strong momentum.

  • Jitendra Kumar Agarwal, Joint MD of Genus Power Infrastructures, expects the company to close FY24 with revenues between Rs 1,200-1,300 crore. For FY25, he anticipates a quarterly revenue run rate of Rs 500-700 crore. He also expects the company's margins to remain in the mid-teens, and the order book is projected to exceed Rs 20,000 crore by year-end.

  • KRChoksey downgrades its rating onBalaji Amines to ‘Add’ from ‘Buy’ and cuts its target price to Rs 2,172 from Rs 2,803. This implies an upside of 7.5%. The brokerage believes the company’s revenue and profitability will be severely impacted over the next few quarters due to the slowdown in demand and drop in price realisations.

  • Pharmaceutical companies like Cipla, Aurobindo Pharma, Lupin, Ipca Laboratories and Divi’s Laboratories are falling in trade. The broader sectoral index, Nifty Pharma, is also trading in the red.

  • Central Depository Services (India) rises as it becomes the first depository to surpass 10 crore Demat accounts. This is due to the post-pandemic increase in equity investors. The company appears in a screener of stocks nearing their 52-week highs with significant volumes.

  • According to Bloomberg's data analysis, India is the world's most popular emerging market this year. Despite foreign investors withdrawing funds from many other developing economies, India has attracted billions of dollars in investments this year. Analysts predict more broad-based spending in 2024 and expect a recovery in rural demand from its multiyear slump.

  • Power Grid Corporation of India's Committee of Directors approves the Maheshwaram (PG) Substation project in Telangana, estimated at Rs 142.7 crore, and a transmission system development project in Khavda, Gujarat, valued at Rs 224.4 crore. It appears in a screener for stocks with strong momentum.

  • TVS Motor rises to its all-time high of Rs 1,784.9 per share as it enters the Vietnamese market with Minh Long Motors as its distribution partner.

  • InterGlobe Aviation trades flat as the Commissioner of Income Tax (Appeals) stays the tax demand orders of Rs 739.6 crore and Rs 927 crore for FY17 and FY18, respectively.

  • Home First Finance is falling as reports suggest that 86.2 lakh shares (9.8% equity), amounting to Rs 754.4 crore, change hands in a block deal.

  • Telecom stocks like Tata Teleservices (Maharashtra), GTL Infrastructure, Optiemus Infracom and Sterlite Technologies are rising in trade. All constituents of the broader BSE Telecom index are also trading in the green.

  • Ashish Kacholia sells a 1.1% stake in SJS Enterprises for approx Rs 21.8 crore in a bulk deal on Wednesday.

  • Welspun Corpis rising as its subsidiary, Sintex BAPL, receives an approval from the government of Odisha to invest Rs 479.5 crore in establishing a pipe manufacturing unit in Sambalpur. The unit, with a production capacity of 37,520 MT per annum, is expected to be operational in the next three years.

  • Honasa Consumer rises to an all-time high of Rs 388 as its Q2FY24 net profit grows by 73.2% YoY to Rs 29.4 crore. Its revenue increases by 20.8% YoY driven by volume growth. The company appears in a screener of stocks with growing net profit and margins.

Riding High:

Largecap and midcap gainers today include Hindustan Petroleum Corporation Ltd. (326.70, 6.94%), Aditya Birla Fashion and Retail Ltd. (226.30, 5.26%) and YES Bank Ltd. (20.15, 4.95%).

Downers:

Largecap and midcap losers today include Tube Investments of India Ltd. (3,422.45, -8.25%), Cipla Ltd. (1,170.65, -7.93%) and Persistent Systems Ltd. (6,378.85, -3.26%).

Movers and Shakers

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

Top high volume gainers on BSE included EID Parry (India) Ltd. (532.10, 8.37%), Praj Industries Ltd. (615.90, 6.22%) and Indiabulls Real Estate Ltd. (84.25, 5.97%).

Top high volume losers on BSE were Cipla Ltd. (1,170.65, -7.93%), Mas Financial Services Ltd. (842.45, -6.45%) and Home First Finance Company India Ltd. (877.20, -4.08%).

Quess Corp Ltd. (495.25, 1.04%) was trading at 8.4 times of weekly average. Vedant Fashions Ltd. (1,299.00, -0.18%) and Ingersoll-Rand (India) Ltd. (2,931.50, 0.29%) were trading with volumes 8.4 and 7.2 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

28 stocks made 52 week highs,

Stocks touching their year highs included - Ajanta Pharma Ltd. (1,951.40, 1.71%), Bajaj Auto Ltd. (5,925.25, 3.02%) and Bharat Petroleum Corporation Ltd. (411.30, 2.29%).

9 stocks climbed above their 200 day SMA including EID Parry (India) Ltd. (532.10, 8.37%) and Aditya Birla Fashion and Retail Ltd. (226.30, 5.26%). 8 stocks slipped below their 200 SMA including VIP Industries Ltd. (624.00, -0.87%) and PNC Infratech Ltd. (323.85, -0.63%).

 
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The Baseline
23 Nov 2023
By Akshat Singh

While looking at what analysts recommend as stocks to buy, the average target price upside is crucial. This metric looks at the potential share price growth of a stock, as forecasted by analysts. A higher upside percentage indicates a more positive outlook, and a potential for growth beyond the stock’s current valuation. 

It's important to note that analyst predictions are not always accurate – there are unexpected factors that can affect a business, and its stock price. This is a cloudy crystal ball. But analyst calls are one among several factors investors can consider before picking a stock.

In this edition of Chart of the Week, we focus on this screener, which highlights stocks with high target prices and a significant upside according to analysts. We have selected sectors with the highest upside % and the stocks within these sectors driving this upward trend. We have only included stocks with positive price changes in the past six months. 

Analysts highlight chemical sector’s high upside amid expansions

The chemical & petrochemical sector has been on the mend, and Anupam Rasayan India is set for an especially strong performance, according to analysts, with an average share price upside of 42.2%. The stock has risen by 9.7% in the past month. Prabhudas Liladher expects the company’s revenue to grow on the back of three factors: its commercialization of innovative products, a robust order book, and its expansion into fluorination chemistry, which signifies diversification within the industry.

PI Industries also shows promise with an average price upside of 17.5%. The stock has risen by 12.4% in the past six months. According to Axis Direct, PI Health Sciences aims to boost its research capabilities by acquiring firms for a new pharmaceutical centre in Hyderabad. New brand launches and reduced working capital point to the company's growth plans. Finally, we have Aarti Industries with an average share price upside of 16.8%. It has risen  by 5.3% in the past six months. 

Analysts expect high growth in internet software and services 

Next, we move to the software & services sector, where Infibeam Avenues has an average share price upside of 28.7%. Its stock price has risen by 48.6% in the past six months. New-tech company Zomato has an average share price upside of 20.4% and rose by 80.6% in the same period. According to Motilal Oswal, India's food delivery sector is still developing and holds significant growth opportunities. They predict Zomato's revenue to grow at a CAGR of 53% annually from FY23 to FY25 due to its strong market presence in the food delivery and Hyperpure segments. 

PB Fintech’s average share price upside stands at 7.8% and its stock price has risen by 29.7% in the past six months. According to Keynote Capital, the company is going through a crucial growth phase, driven by increased commission revenue, expansion into smaller cities, and effective cost management. Its insurance premiums have grown by 36.5%, due to a surge in health insurance, while lending disbursals rose by 41.6% in Q2FY24. 

Moving on to the banking & finance sector, the Indian Energy Exchange has an average share price upside of 19.6%. The stock has risen by 1.4% in the past month. Similarly, Union Bank of India has an average share price upside of 15.6%, with a 57.9% rise in the past six months. The upside is thanks to management efforts to maintain gross non-performing assets (GNPA) below 6% and net non-performing assets (NNPA) under 1% for FY24. 

As for Can Fin Homes, analysts expect a price upside of 10.2%. The stock has risen by 17% in the past six months. This upside is attributable to an increase in net interest margin (NIM) despite higher credit costs. By closely managing credit and operating expenses, the company aims to improve return ratios.

In the automobiles and auto components sector, CIE Automotive India has the highest average share price upside of 22.1%. The stock has risen by 8.7% in the past six months. Analysts anticipate increased profits due to CIE's decision to sell its German operations, which is expected to increase EBITDA margins for its European business, in line with the company's targeted EBITDA range of 17-18%. 

The two companies of the Minda group, Uno Minda and Minda Corporation, have price upsides of 9.4% and 9.1%, respectively. These stocks have risen by 22.9% and 25.1% in the past six months. 

Cement & construction sector’s outlook strong amid robust order books 

In the cement & construction sector, IRB Infrastructures Developers leads with the highest average share price upside of 39.1%. The stock has risen by 28.8% in the past six months. The positive outlook is tied to the company's steady FY24 construction revenue projection, expected to be in the range of  Rs 5,000-5,500 crore, a 20-25% rise from the previous year. Looking forward, the company plans to bid on projects worth Rs 80,000-85,000 crore by Q3FY24.

KNR Constructions follows with an upside of 14%. The stock has risen by 24% in the past six months. According to Motilal Oswal, although the order inflow has been low so far, the tender pipeline remains strong. Due to reduced awarding activity by NHAI in H1FY24, KNRC has adjusted its FY24 order inflow estimate to Rs 2,000-3,000 crore. With an existing order book of Rs 7,500 crore, the company is projected to achieve an 11% CAGR in revenue for FY23-25. Birla Corporation also has a price upside of 7.8%. The stock has risen by 31.6% over the past six months.

In the FMCG sector, Dabur India is at the forefront with the highest average share price upside of 16.4%. The stock has risen by 4.2% in the past six months. It is followed by Godrej Consumer and Tata Consumer, with price upsides of 15.8% and 6.3%, respectively. Analysts hold a positive outlook for this sector as they foresee improvements driven by lower core inflation, increased government spending, higher urban remittances, and the likelihood of easing raw material prices boosting profit margins.

General industrials and Pharmaceutical stocks rise on regulatory approvals

3M India is the top performer in the General Industrials sector with an average upside of 13.9%. The stock has risen by 29.5% in the past six months. Next in line is defence player Bharat Dynamics, with an upside of 11.3%. The stock has risen by 6.4% in the same period. This optimistic view comes from the Defence Acquisition Council's approval in September 2023 for the production of Dhruvastra missiles, intended for the indigenous ALH Mk-IV helicopters. Elgi Equipments also has an average share price upside  of 7.9%. It has risen by 9.6% in six months.

Shifting to the pharmaceutical & biotechnology sector, Gland Pharma leads with an 11% average share price upside and a stock price rise of 55.2% in the past six months. According to Axis Direct, the company has expanded in Europe by acquiring Cenexi for CDMO operations and established new B2B partnerships in various markets by optimizing its US-approved ANDA portfolio. Major international players like Procter & Gamble Health and Pfizer are also in the spotlight with average upsides of 8.4% and 6.6%, respectively

 
Trendlyne Marketwatch
Trendlyne Marketwatch
22 Nov 2023
Market closes flat, Tata Technologies' IPO gets bids for 6.5X the available shares

Trendlyne Analysis

Nifty 50 closed at 19,811.85 (28.5, 0.1%) , BSE Sensex closed at 66,023.24 (92.5, 0.1%) while the broader Nifty 500 closed at 17,627.70 (0.1, 0%), of the 1,983 stocks traded today, 777 showed gains, and 1,171 showed losses.

Indian indices recovered from the day's low and closed in the green, with the Nifty 50 closing at 19,812. The volatility index, Nifty VIX, dropped by 3% and closed at 11.9 points. Tata Technologies' Rs 3,042.5 crore IPO gets bids for 6.5X the available 4.5 crore shares on offer on the first day of bidding.

Nifty Smallcap 100 closed lower, while Nifty Midcap 100 closed in the green following the benchmark index. Nifty FMCG and Nifty IT closed higher than Tuesday’s closing level. According to Trendlyne’s sector dashboard, textiles apparel & accessories emerged as the top-performing sector of the day, with a rise of over 0.7%.

Most European indices trade in the green except for England’s FTSE 100 in the red. US indices futures trade higher indicating a positive start. The data released by South Africa’s Statistical Office indicated that the country’s CPI inflation for October expanded by 5.9% against estimates of 5.5%.

  • Relative strength index (RSI) indicates that stocks like Ratnamani Metals & Tubes, Trent, Alkem Laboratories, RattanIndia Enterprises and Narayana Hrudayalaya are in the overbought zone.

  • CG Power and Industrial Solutions surges to an all-time high of Rs 469.4 after filing an application with the Ministry of Electronics and Information Technology (MeitY). The application is to set up an Outsourced Semiconductor Assembly and Test (OSAT) facility. They are seeking approval for a subsidy under the Modified Scheme for semiconductor facilities in India.

  • IDBI Bank falls over 3% as the government cancels the bidding process to hire an asset valuer for its planned divestment. The Department of Investment and Public Asset Management cites the receipt of only one bid as the reason for the cancellation, stating plans to invite fresh bids in the future.

  • Sical Logistics is falling despite its consortium with DSPL Mining bagging an order worth Rs 135 crore from Mahanadi Coalfields, a subsidiary of Coal India. The company will have a 25% share in the contract.

  • Realty stocks like Godrej Properties, Oberoi Realty, Phoenix Mills and Brigade Enterprises are falling in trade. All constituents of the broader Nifty Realty index are also trading in the red.

  • Gandhar Oil Refinery's Rs 500.7 crore IPO gets bids for 5.5X the available 2.1 crore shares on offer on the first day of bidding. The retail investor quota gets bids for 6.9X the available 1.1 crore shares on offer.

  • Flair Writing Industries' Rs 593 crore IPO gets bids for 2.2X the available 1.4 crore shares on offer on the first day of bidding. The retail investor quota gets bids for 2.9X the available 72.1 lakh shares on offer.

  • Delhivery falls over 3% as 28.7 lakh shares (0.4% equity), amounting to Rs 110 crore, reportedly change hands in a large trade.

  • Fedbank Financial Services' Rs 1,092.3 crore IPO gets bids for 0.4X the available 5.6 crore shares on offer on the first day of bidding. The retail investor quota gets bids for 0.7X the available 2.8 crore shares on offer.

  • Tata Technologies' Rs 3,042.5 crore IPO gets bids for 6.5X the available 4.5 crore shares on offer on the first day of bidding. The retail investor quota gets bids for 5.4X the available 1.8 crore shares on offer.

  • Indian Renewable Energy Development Agency's Rs 2,150.2 crore IPO gets bids for 4.5X the available 47.1 crore shares on offer on the second day of bidding. The retail investor quota gets bids for 4.3X the available 23.5 crore shares on offer.

  • According to the Finance Ministry's latest monthly economic review, India is likely to conclude FY24 with solid growth and macroeconomic stability. However, inflation and the influence of external variables on the rupee could pose threats.

  • Wipro signs a strategic partnership with Nvidia to assist healthcare organizations in accelerating the adoption of generative artificial intelligence (gen AI). Wipro will employ NVIDIA AI Enterprise software across its existing healthcare solutions portfolio. It appears in a screener of stocks with low debt.

  • Texmaco Rail & Engineering rises as it launches its qualified institutional placement (QIP) issue to raise Rs 750 crore. The floor price is fixed at Rs 135.9 per share. The company appears in a screener of stocks with strong momentum.

  • Reliance Industries' Chairman and MD, Mukesh Ambani, says the company plans to invest Rs 20,000 crore in West Bengal in the next three years. The investment aims to provide digital life solutions, add new retail stores and develop the bioenergy segment.

  • Rajiv Bajaj, CEO of Bajaj Auto, says that the company is developing a CNG two-wheeler, with an expected launch in 2025. He notes the global absence of CNG two-wheelers, contrasting it with the three-wheeler sector where CNG has been adopted by 60%. He also mentions new launches lined up for the next month and the firm's plans to double production and sales of Triumph motorcycles.

  • HDFC Securities maintains its ‘Buy’ rating on Stylam Industries with a target price of Rs 2,300. This implies an upside of 25.3%. The brokerage is optimistic about the company’s prospects due to its industry-leading EBITDA margins, healthy balance sheet and expanding production capacity. It expects the firm’s net profit to grow at a CAGR of 26.4% over FY23-26.

  • Aurobindo Pharma rises to an all-time high of Rs 1,043 as its subsidiary, Acrotech Biopharma, receives the US FDA approval for its anti-cancer drug, Ryzneuta. The global market share of the drug is estimated to be $6 billion. The company appears in a screener of stocks with growing net profit and margins.

  • RBI Governor Shaktikanta Das highlights that for the past 1.5 years, the focus of the monetary policy has been on controlling inflation. He adds that while there has been a moderation in core inflation, headline inflation remains exposed to food price shocks.

  • Prataap Snack surges more than 5% to touch its 52-week high of Rs 1,080 per share as its promoter, Arun Kumar Mehta, sells 1.3 lakh shares (5.4% stake) in the company in the open market. This transaction takes the promoter holding to 64.3% from 69.8%.

  • GMR Power & Urban Infra (GPUIL) rises as it acquires a 29.1% stake (105 crore shares) in GMR Energy (GEL) for $28.5 million (around Rs 237.3 crore) from Power and Energy International, Mauritius. With this deal, GPUIL now holds an 86.9% stake in GMR Energy.

  • Tata Technologies raises Rs 791 crore from anchor investors ahead of its IPO by allotting around 1.6 crore shares at Rs 500 each. Investors include BNP Paribas Arbitrage, HSBC, Goldman Sachs, Nippon Life India, SBI Mutual Fund, Mirae Asset Mutual Fund and Bajaj Allianz Life Insurance.

  • Goldman Sachs initiates coverage on Polycab India with a 'Buy' rating and a target price of Rs 5,750. The brokerage expects the company to gain from India's infrastructure initiatives and emerging sectors like electric vehicles. It prefers Polycab due to its larger distribution network and greater growth prospects. Meanwhile, it gives a 'Neutral' rating on KEI Industries with a target price of Rs 2,730.

  • Divya Mahesh Vaghela buys a 0.6% stake in FIEM Industries for Rs 15.2 crore in a bulk deal on Tuesday.

  • Pharmaceutical companies like Natco Pharma, GlaxoSmithKline Pharmaceuticals, Sanofi India, Cipla and Pfizer are rising in trade. All the constituents of the broader sectoral index, Nifty Pharma, are also trading in the green.

  • Jindal Stainless falls even as SBICAP Trustee Company informs about the release of its founders' pledged shares. This results in the company having no pledged shares with lenders. The company appears in a screener of stocks with low debt.

  • JK Paper is falling as it receives a demand notice for income tax and penalty totalling Rs 65.6 crore for the assessment year 2020-21. The stock shows up in a screener for companies where mutual funds have decreased their shareholdings in the last quarter.

  • Tata Consultancy Services (TCS) announces a provision of $125 million as an ‘exceptional item’ for Q3FY24, linked to a trade secret lawsuit by US-based Epic Systems. This follows the US Supreme Court rejecting TCS's appeal against an earlier court verdict. Epic Systems filed the lawsuit in 2014, alleging TCS of intellectual property theft.

Riding High:

Largecap and midcap gainers today include CG Power and Industrial Solutions Ltd. (469.35, 19.99%), Tube Investments of India Ltd. (3,730.35, 16.72%) and JSW Energy Ltd. (418.15, 4.43%).

Downers:

Largecap and midcap losers today include Solar Industries India Ltd. (6,649.25, -4.25%), Delhivery Ltd. (385.70, -3.50%) and IDBI Bank Ltd. (60.45, -2.97%).

Crowd Puller Stocks

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

Top high volume gainers on BSE included CG Power and Industrial Solutions Ltd. (469.35, 19.99%), Tube Investments of India Ltd. (3,730.35, 16.72%) and eClerx Services Ltd. (2,627.20, 12.40%).

Top high volume losers on BSE were Sonata Software Ltd. (1,302.30, -4.84%), Raymond Ltd. (1,677.20, -3.74%) and EID Parry (India) Ltd. (491.00, -0.25%).

Vardhman Textiles Ltd. (419.00, 9.06%) was trading at 23.5 times of weekly average. Aegis Logistics Ltd. (328.75, 5.05%) and Godrej Industries Ltd. (667.80, 1.56%) were trading with volumes 14.1 and 8.4 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

33 stocks overperformed with 52 week highs,

Stocks touching their year highs included - Aurobindo Pharma Ltd. (1,055.75, 2.77%), Bajaj Auto Ltd. (5,751.55, 1.15%) and Bosch Ltd. (20,760.00, 0.20%).

10 stocks climbed above their 200 day SMA including Carborundum Universal Ltd. (1,170.05, 6.89%) and Marico Ltd. (532.70, 1.16%). 10 stocks slipped below their 200 SMA including GMM Pfaudler Ltd. (1,538.80, -3.02%) and Devyani International Ltd. (179.95, -2.89%).

 
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The Baseline
21 Nov 2023
Which stocks did superstar investors sell in Q2FY24?
By Suhas Reddy

Superstar investor portfolios are closely tracked, for valuable insights into market trends and strategies. The proof is in the pudding - the most-watched superstars have a long track-record in increasing their net worth and making high-return picks. These seasoned investors' buying and selling decisions tell us quite a bit about their views on various stocks and sectors.

All superstar investors see their net worth rise in Q2FY24

Previously, we looked at the key superstar buys in Q2FY24. Now, let's analyse their sells. 

Biggest sells by superstars in Q2FY24

Rakesh Jhunjhunwala/RARE Enterprises makes fewer sells compared to previous quarters

Rakesh Jhunjhunwala’s portfolio, currently managed by his wife Rekha Jhunjhunwala, and investment firm Rare Enterprises, cut its stakes in four companies in Q2FY24. Despite these sales, the late big bull’s portfolio grew by 1.6% QoQ to Rs 39,507 crore.

The investment firm reduced its holdings in two companies to below 1% in the July-September quarter. The biggest sell was in the agrochemicals company, Rallis India, where its stake was cut from 7.8% to below 1%. Rallis’ share price has fallen by 4.9% over the past year. 

Similarly, the portfolio took its stake to below 1% from 2.5% in Autoline Industries. This auto parts & equipment stock rose by 6.1% over the past year. 

Jhunjhunwala’s portfolio pares stakes in four companies

The other two sells include firms from the banking and finance sector. It cut its stake in Federal Bank by 0.4% to 3.1% and in Star Health & Allied Insurance Co, a general insurance firm, by 0.6% to 17.25%. 

Ashish Kacholia sells stakes in two recently added stocks 

Ashish Kacholia sold stakes in 11 companies in Q2FY24. During the quarter, his net worth increased by 25.3% QoQ to Rs 2,541.1 crore. He reduced his stakes in Venus Pipes & Tubes and SG Finserve to below 1% each, despite having added these metals and finance companies to his portfolio in Q1. Venus Pipes’ share price rose 14.2% over the quarter while SG Finserve fell by 6.1%. 

Kacholia also scaled back his stakes in Arvind Fashions (apparels and accessories manufacturer) and Bharat Bijlee (electrical engineering company) to below 1% each. Their stock prices rose 17.8% and 69.2% respectively in the past year. He held 1.1% and 1.8% in them respectively in the previous quarter. 

Ashish Kacholia scales back stakes in four companies to below 1%

Kacholia reduced his stake in auto parts manufacturer SJS Enterprises by 1.1% and now holds 3.2% (stock price increased by 33.2% in the past year). The ace investor also trimmed a 0.4% stake each in Xpro India (containers & packaging company) and NIIT (IT training services provider) and now holds 3.9% and 1.86%, respectively. He cut his stake in Repro India (publishing company) to 3.2% by selling a 0.3% stake.

Kacholia also sold a 0.2% stake in Safari Industries (India) and a 0.1% stake in ADF Foods. He now holds 2.1% in the textile company and a 2.8% stake in the FMCG company. He also slightly reduced his stake in Ami Organics to 2.1%.

Sunil Singhania goes on a selling spree

Sunil Singhania’s Abakkus Fund pared stakes in nine companies in Q2FY24. But the Fund’s net worth rose by 12.6% QoQ to Rs 2,382.4 crore during the same period, thanks to gains in the existing portfolio and a few buys. It sold a 1.95% stake in Rajshree Polypack retaining 4.28% of it. The commercial services and supplies company’s stock price grew 23% in the past year.

Sunil Singhania cuts stake in Rajshree Polypack by 1.95%

The fund also trimmed its stakes in Hindware Home Innovation and Ion Exchange (India) (prices increased by 48.6% and 137% in the past year), a consumer durables and utilities company, by 0.5% each. It now holds 4.4% and 2.8% stakes in the companies, respectively. It also reduced its stake in AGI Greenpac (a diversified consumer services company) and Dreamfolks Services (a travel support services company) and now holds 1.4% and 1.5% respectively. 

Abakkus cut a 0.1% stake each in Uniparts India (heavy electrical equipment manufacturer) and Siyaram Silk Mills (textile company) to now hold 2.2% and 1.9% respectively. It also cut a minor stake in CMS Info Systems and Mastek, and now holds 1% and 3.2%, respectively.

Vijay Kedia removes two companies from his portfolio

Vijay Kedia adjusted his portfolio by reducing stakes in six companies in Q2FY24. His net worth increased by 41% QoQ to Rs 1,388.8. He slashed his stakes in Heritage Foods and Panasonic Energy India to below 1% during the quarter, from a 1.2% stake each in the packaged foods and electronic components companies in Q1FY24. The stock price of the former increased by 41.5% while the later fell by 25.7% in the past year.

Vijay Kedia takes stakes to below 1% in two companies

Kedia sold a 3.5% stake in Affordable Robotic & Automation over H1FY24. He now holds a 9.9% stake in the industrial machinery manufacturer. The company rose by 268.6% in the past year. He also cut his stake in Repro India to 6.36% by selling a 0.5% share of the publishing company. 

He sold a 0.2% stake in Elecon Engineering as well. He now holds 1.6% in the industrial machinery manufacturer. He reduced his stake in Tejas Networks (a telecom company) to 2% by selling a 0.1% stake. 

Dolly Khanna offloads stakes in multiple companies in Q2FY24

Dolly Khanna sold significantly in Q2FY24, as she cut her holdings in nine companies. Her portfolio grew by 16.5% QoQ to Rs 359.8 crore in the July-September quarter. However, she has not reduced her stakes in any of these companies below the 1% threshold. 

Dolly Khanna reduces holdings in nine companies

The superstar investor’s biggest sell in Q2 was Pondy Oxides & Chemicals, an other non-ferrous metals manufacturer, in which she reduced her stake by 0.6% to 3.1%. Over the past year, this small-cap company gained 21.9%. 

She lowered her stake in Simran Farms by 0.44% to 1.44%, while stock price has increased by 19.5% over the past year. In Monte Carlo Fashions she cut her holding by 0.42% to 1.94%, while its share price movement has been flat over the past year, rising by a marginal 0.3%. 

She also cut a 0.3% stake in the cement company, KCP, bringing her holding to 1.4%. The ace investor trimmed her stakes by 0.2% each in Chennai Petroleum Corp, Nitin Spinners and Som Distilleries & Breweries, now owning 1.6%, 1.2% and 1.1% in them respectively. She also brought down her stake in Mangalore Chemicals & Fertilizers by 0.1% to 1.2% and slightly reduced her holding in Tinna Rubber and Infrastructure. 

Porinju V Veliyath cuts holdings in nine companies

In Q2FY24, Porinju V Veliyath sold his stakes in nine companies and among them, he pared his holdings to below 1% in five. His portfolio grew by 38% QoQ to Rs 208.7 crore. 

He took his stake in Priti International from 1.3% to below 1%. This furniture manufacturing company gained 49.3% over the past year. He also reduced his stake in Taneja Aerospace & Aviation, to below 1% from 1.2%. This aerospace firm had surged by 93.2% over the past year.  

The ace investor brought his stakes to below 1% from 1.1% each in Lakshmi Automatic Loom Works, Kovilpatti Lakshmi Roller Flour Mills and Ansal Properties & Infrastructure. 

Porinju takes his stakes in five companies to below 1% 

However, the superstar investor’s biggest sell in Q2 was in Ansal Buildwell, a realty company, where he reduced his stake by 1.4% to 2% and the stock had fallen by 5.8% over the past year. He trimmed his stake in the commodity chemicals firm, Ashok Alco-Chem, by 1.1% to 3%. He also cut minor stakes in Max India and Thejo Engineering. 

Mohnish Pabrai sells his stake in a petrochemicals company

Mohnish Pabrai’s net worth increased by 25.6% QoQ to Rs 1,364.9 crore in Q2FY24. During this period, he reduced his stake in Rain Industries to 6.95% by selling a 1.87% stake in the petrochemicals company. Rain Industries reported a loss for the first time after a streak of profitability for five consecutive quarters. Its stock price fell by 17.8% in the past year.

Mohnish Pabrai pares stake in Rain Industries

This analysis by Trendlyne is meant for investor education - to help understand companies and make informed investment decisions on their own. It should not be considered an investment recommendation.

 
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The Baseline
21 Nov 2023
5 stocks to buy from analysts this week
By Abhiraj Panchal

1. Bajaj Finance:

Axis Securities maintains its 'Buy' call on this banking and finance company with a share price target of Rs 9,425. This indicates a potential upside of 32.7%. Analysts Dnyanada Vaidya and Prathamesh Sawant remain positive on the firm despite an RBI’s directive asking Bajaj Finance to stop approving loans for the Insta EMI Card and eCOM due to non-compliance with online lending regulations, particularly in interest rates and repayment methods.

According to the analysts, this regulation is not expected to significantly impact the company's financials, as only 4.1% of Bajaj Finance's total disbursements come from the EMI card segment. However, they caution that prolonged “restrictions would affect the company’s customer acquisition momentum” since the EMI card segment constitutes 18-21% of total new customer acquisitions. They also expect a potential decline in the return on assets in the case of lower fee income, and pressures in the Net Interest Margin (NIM) in H2FY24.

2. Aarti Industries:

Geojit BNP maintains its ‘Buy’ call on this specialty chemicals manufacturer with a target price of Rs 600. This indicates an upside of 15.1%. In Q2FY24, the company’s net profit fell 27.2% YoY, while its revenue dropped by 13.7% YoY. 

The revenue was lower than the brokerage’s estimates due to inventory destocking and decreasing realisation. According to analyst Anil R, sequential growth in EBITDA was led by falling input costs and operational expenses.

The company’s management says that the worst impacts were observed in H1FY24, with demand revival in dyes, polymers, additives, and some discretionary categories. Aarti Industries has also planned a capex of Rs 3,000 crore for 40 new value-added products over FY24-25. 

The analyst says, “Our confidence is bolstered by the sector's robust growth prospects, Aarti Industries strategic emphasis on portfolio expansion, aggressive capacity expansion, and the anticipated uptick in long-term contracts.” He expects profit to grow by 12% CAGR over FY24-25.

3. Tata Steel:

Bob Capital reiterates its ‘Buy’ call on this steel products manufacturer with a target price of Rs 150, indicating an upside of 18.8%. According to analysts Kirtan Mehta and Yash Thakur, the company’s Q2FY24 performance has been weak but only marginally below their estimates. They suggest a sequential improvement in Q3 is likely, and note that the company’s “profit has bottomed in Q2 as operations in the Netherlands return to breakeven, and India’s H2 demand outlook improves”.

Tata Steel’s cash transition cost assessment of 235 million pounds for redundancies and asset closures aligns broadly with the brokerage’s prior estimate of 250 million pounds for the decarbonisation of its UK operations. The company has planned a similar capex for transitioning the operations in the Netherlands as well. Despite the weak results, the analysts remain confident in Tata Steel’s ability to deliver earnings-accretive growth.

4. KNR Constructions:

HDFC Securities maintains its ‘Buy’ rating on this construction & engineering company with a share price target of Rs 341, implying an upside of 14.3%. In Q2FY24, its net profit grew by 27.8% YoY to Rs 147.4 crore and revenue increased by 8% YoY.  

Analysts Parikshit D Kandpal, Nikhil Kanodia and Manoj Rawat note that while KNR’s revenue and profit growth in Q2 were healthy, its EBITDA margin fell YoY due to volatile raw material prices and higher fixed costs. They add that the firm recorded no new orders in H1FY24, leading to a “revised  FY24 order inflow target range of Rs 3,000-4,000 crore, down from Rs 4,000-5,000 crore earlier”. 

However, the analysts expect the firm to win orders in H2FY24 on the back of diversification into different segments and geographies. Kandpal, Kanodia and Rawat remain optimistic about KNR’s prospects given its healthy balance sheet, strong execution capabilities and order pipeline. They estimate the company’s net profit to grow at a CAGR of 10.4% over FY23-26. 

5. Grasim Industries:

Motilal Oswal keeps its ‘Buy’ rating on this cement manufacturer with a target price of Rs 2,380. This implies an upside of 20.4%. In Q2FY24, its net profit rose by 15.3% YoY to Rs 1,163.8 crore and revenue grew by 10% YoY. Analysts Sanjeev Kumar Singh and Mudit Agarwal attribute the growth in net profit to a healthy performance in the viscose staple fibre (VSF) segment. VSF, a man-made biodegradable fibre, is emerging as an alternative to cotton. However, the analysts point out that the firm’s EBITDA was impacted due to cost pressures in the chemical segment.

Singh and Agarwal expect the company’s margins to stabilise in H2FY24 on the back of caustic soda prices improving from their lows. They see the slight rise in VSF prices in China and the launch of its paint business as key positives. They add, “We believe that the firm raising Rs 4,000 crore through a rights issue will ease pressure on the balance sheet and support  its growth plans.” The analysts expect the company’s revenue to grow at a CAGR of 9.5% over FY23-25. 

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

(You can find all analyst picks here)

 
Trendlyne Marketwatch
Trendlyne Marketwatch
21 Nov 2023
Market closes higher, KRChoksey maintains ‘Buy’ rating on Tata Motors

Trendlyne Analysis

Nifty 50closed at 19,783.40 (89.4, 0.5%), BSE Sensexclosed at 65,930.77 (275.6, 0.4%) while the broader Nifty 500closed at 17,627.60 (54.0, 0.3%). Market breadth is in the green. Of the 1,989 stocks traded today, 1,038 showed gains, and 899 showed losses.

Indian indices maintained their gains from the afternoon session and closed in the green, with the Nifty 50closing at 19,783.4 points. The Indian volatility index, Nifty VIX, rose 0.6% and closed at 12.2 points. Godrej Properties closed 2.2% higher after its Executive Chairperson, Pirojsha Godrej, said the company is on track to meet its sales target of Rs 14,000 crore in FY24, according to reports.

Nifty Midcap 100 and Nifty Smallcap 100 closed flat, underperforming the benchmark index. Nifty Realty and Nifty Media closed higher than their Monday close. According to Trendlyne's sector dashboard, Commercial Services & Supplies was the top-performing sector of the day as it rose 1.4%.

Major Asian indices closed flat or higher, except for Hong Kong’s Hang Seng index closing in the red. European indices trade mixed after opening higher. US index futures trade marginally lower, indicating a cautious start to the trading session. Brent crude oil futures trade in the red after rising 5.8% in the past two trading sessions.

  • Indian Energy Exchange sees a long buildup in its November 30 future series as its open interest rises 9.6% with a put-call ratio of 0.6.

  • Godrej Properties is rising as its Executive Chairperson, Pirojsha Godrej, says the company is on track to meet its sales target of Rs 14,000 crore in FY24, according to reports. The company’s H1FY24 sales bookings grow by 48% YoY to Rs 7,288 crore.

  • Infosys rises as it collaborates with Proximus, a digital services and communications solutions provider from Belgium, for an IT modernization and consolidation project. This agreement will allow Proximus to upgrade its IT stack and increase its offering portfolio. It appears in a screener for stocks with strong momentum.

  • Angel One, Apar Industries and eClerx Services' annual return on capital employed(RoCE) stands at 56.7%, 46.6% and 34.8%, respectively, outperforming their industries by 8.8, 24.5 and 14.8 percentage points.

  • KRChoksey maintains its ‘Buy’ rating on Tata Motors with a target price of Rs 784, implying an upside of 15%. The brokerage expects Jaguar-Land Rover to see an uptick in sales volumes, higher commercial vehicle realisations, and expanding margins in the passenger vehicle segment, led by new launches. It expects the firm’s revenue to grow at a CAGR of 17% over FY23-25.

  • Retailers and white goods manufacturers are concerned about the RBI's revision of the risk weight for unsecured consumer loans, including personal and credit card loans, on November 17. They fear this may impact their margins and are waiting for more clarity on the matter.

  • Indian Renewable Energy Development Agency's Rs 2,150.2 crore IPO gets bids for 2X the available 47.1 crore shares on offer on the first day of bidding. The retail investor quota gets bids for 2X the available 23.5 crore shares on offer.

  • Datamatics Global Services signs a contract with a US-based company to provide digital experience services. The client targets to spend $36 million (approx Rs 300 crore) over five years. The stock shows up in a screener for companies with high TTM EPS growth.

  • Realty companies like Oberoi Realty, Godrej Properties, Prestige Estates Projects, Brigade Enterprises and Mahindra Lifespace Developersare rising in trade. Barring Phoenix Mills, all the other constituents of the broader sectoral index, BSE Realty, are trading in the green.

  • Goldman Sachs raises its Nifty target to 21,800 by the end of 2024, indicating a 10.7% increase over Monday's closing level of 19,694. According to their analysts, returns are likely to be back loaded given the challenging global backdrop and political uncertainty ahead of the 2024 elections.

  • Strides Pharma Science is rising as its subsidiary, Strides Pharma Global Pte, receives approval from the USFDA for its Levetiracetam Oral Solution USP, 100 mg/ml, which is used in the treatment of seizures. The oral solution has a market size of approximately $55 million in the US (as per IQVIA).

  • Motilal Oswalkeeps its ‘Buy’ rating on NMDC and raises its target price to Rs 190 from Rs 135, implying an upside of 11.3%. The brokerage remains optimistic about the company’s prospects, expecting increased volumes, better iron ore prices, and strong demand. It estimates the firm’s revenue to grow at a CAGR of 14.5% over FY23-25.

  • ICICI Lombard General Insurance appoints Sanjeev Mantri as Managing Director and Chief Executive Officer for a period of five years, effective December 1, 2023.

  • According to Bizom, a retail intelligence platform, FMCG sales, excluding staples like edible oils, wheat, and rice, have increased by 4.4% YoY during Diwali. The growth is driven by robust demand in the dairy, home care and confectionary categories. Meanwhile, the beverages segment reports a 4.7% YoY decline in demand.

  • RateGain Travel Technologies is rising after successfully raising Rs 600 crore from qualified institutional buyers through the issue of 93.3 lakh shares at a price of Rs 643 each. The company plans to use these funds for strategic investments and acquisitions. The stock shows up in a screener for companies with improving RoCE over the past two years.

  • Som Distilleries & Breweries is rising as it receives approval from the Excise department to expand its beer capacity at the Hassan plant.

  • HDFC Life Insurance rises as it enters into a corporate tie-up with Karnataka Bank to offer life insurance products to the bank's customers. The company appears in a screener of stocks nearing 52-week high with significant volumes.

  • Incred Wealth downgrades its rating on SBI Cards and Payment Services to 'Reduce' and cuts the target price to Rs 600. The brokerage believes that the company will be adversely affected by the RBI increasing the risk weight on credit card receivables. It also lowers its margin and growth expectations and foresees the gradual rise in cost of funds to harm the company's margins.

  • KEC International rises as it bags orders worth Rs 1,005 crore for railways, transmission & distribution (T&D) and cables projects across India, the Middle East, Europe, Africa and America. It appears in a screener for stocks with improving cash flow and good durability.

  • State Bank of India appoints Vinay Tonse as Managing Director, with his tenure extending till November 30, 2025, reports suggest.

  • Consumer durables stocks like Rajesh Exports, Voltas, Havells India and Titan are rising in trade. All constituents of the broader BSE Consumer Durables index are also trading in the green.

  • Antony Cherukara, CEO of VST Tillers Tractors, says that the company has lowered its growth guidance for tractors to a low single-digit in FY24, from the earlier projection of 10-15%. He anticipates a revenue growth of 20%, with the tiller segment growing by 15-20%. He also highlights the firm’s target to achieve a revenue of Rs 3,000 crore by FY26.

  • Indian Renewable Energy Development Agency raises Rs 643.3 crore from anchor investors ahead of its IPO by allotting 20.1 crore shares at Rs 32 each. Investors include Goldman Sachs, Societe Generale, BNP Paribas Arbitrage, ICICI Prudential Mutual Fund, Nippon Life India, Kotak Mahindra Life Insurance and SBI Life Insurance Co.

  • ABB India is rising as it partners with Titagarh Rail Systems to supply propulsion systems for metro rolling stock projects in India. The partnership has already won orders to design and supply equipment for metro coaches in Gujarat.

  • Container Corp of Indiais rising as it signs a memorandum of understanding with Indraprastha Gasto set up liquified natural gas (LNG) and compressed natural gas (CNG) infrastructure at its terminals. Both companies will also explore the feasibility of transporting LNG through railway rakes from LNG terminals near sea ports to various locations in India.

  • Vascon Engineersis surging as it receives a letter of intent worth Rs 356.8 crore from Pimpri Chinchwad Municipal Corporation (PCMC). The order involves the construction of a general hospital building for PCMC hospital. The company appears in a screenerof stocks with growing net profit and margins

Riding High:

Largecap and midcap gainers today include Oberoi Realty Ltd. (1,406.60, 4.27%), Ashok Leyland Ltd. (178.05, 3.43%) and Zee Entertainment Enterprises Ltd. (251.75, 3.35%).

Downers:

Largecap and midcap losers today include Coal India Ltd. (334.20, -3.90%), Oil And Natural Gas Corporation Ltd. (191.20, -3.36%) and Max Healthcare Institute Ltd. (604.30, -2.78%).

Crowd Puller Stocks

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

Top high volume gainers on BSE included Rallis India Ltd. (235.75, 9.17%), SJVN Ltd. (81.50, 7.31%) and KNR Constructions Ltd. (298.45, 6.06%).

Top high volume losers on BSE were Thermax Ltd. (2,687.75, -3.59%), Gujarat State Petronet Ltd. (272.60, -1.45%) and AIA Engineering Ltd. (3454.60, -0.85%).

Sunteck Realty Ltd. (472.30, 4.08%) was trading at 9.3 times of weekly average. BASF India Ltd. (3,052.40, 3.77%) and EPL Ltd. (198.95, 2.90%) were trading with volumes 9.3 and 7.3 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

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

Stocks touching their year highs included - Ajanta Pharma Ltd. (1,969.15, -0.13%), Aurobindo Pharma Ltd. (10,27.25, 2.92%) and Bajaj Auto Ltd. (5,685.95, 0.63%).

Stock making new 52 weeks lows included - Alkyl Amines Chemicals Ltd. (2,130.00, -0.07%).

16 stocks climbed above their 200 day SMA including Chemplast Sanmar Ltd. (447.00, 4.35%) and VIP Industries Ltd. (633.35, 3.79%). 2 stocks slipped below their 200 SMA including Sterlite Technologies Ltd. (149.00, -2.36%) and Marico Ltd. (526.60, 0.16%).

 
Trendlyne Marketwatch
Trendlyne Marketwatch
20 Nov 2023
Market closes lower, Talbros Automotive Components wins orders worth Rs 580 crore

Trendlyne Analysis

Nifty 50closed at 19,694.00 (-37.8, -0.2%), BSE Sensexclosed at 65,655.15 (-139.6, -0.2%) while the broader Nifty 500closed at 17,573.65 (-26.9, -0.2%). Market breadth is even. Of the 2,017 stocks traded today, 976 showed gains, and 999 showed losses.

Indian indices extended the losses from the afternoon session and closed in the red, with the Nifty 50closing at 19,694. The volatility index, Nifty VIX, rose by 2.7% and closed at 12.2 points. Cipla received a warning letter from the US FDA for its Pithampur manufacturing facility.

Nifty Smallcap 100 and Nifty Midcap 100 closed flat with the benchmark index closing lower. Nifty PSU Bank and Nifty IT closed higher than Friday’s closing level. According to Trendlyne’s sector dashboard, telecommunication equipment emerged as the top-performing sector of the day, with a rise of over 3.6%. 

Most European indices trade in the green except for England’s FTSE 100 and Switzerland’s SMI index trading in the red. US indices futures trade higher indicating a positive start. Former OpenAI CEO and co-founder Sam Altman, who was fired by the board, joins OpenAI investor Microsoft to lead its advanced AI research team.

  • Money flow index (MFI) indicates that stocks like Solar Industries India, Alkem Laboratories, Suzlon Energy and Ratnamani Metals & Tubes are in the overbought zone.

  • Dreamfolks Services rises as it partners with three new airports in Malaysia — Kuala Lumpur, Kota Kinabalu and Kuching international airports. The company appears in a screener of stocks with improving annual net profit.

  • SVF Doorbell (Cayman) sells a 2.5% stake in Delhivery for approx Rs 738.6 crore in a bulk deal on Friday.

  • KRChoksey maintains its ‘Buy’ rating on Ashok Leyland with a target price of Rs 221, indicating an upside of 28.7%. The brokerage expects the firm’s sales volume to continue rising on the back of healthy demand for commercial vehicles, distribution expansion and new launches. It also sees margin expansion driven by softening input costs, higher net realisations and operating efficiencies. The brokerage expects the firm’s revenue to grow at a CAGR of 11.8% over FY23-25.

  • EIH surges over 4.8% and ranks high in Trendlyne's checklist with a score of 78.3%. The stock is in the strong buy zone. It appears in a screener of stocks with high TTM EPS growth.

  • Brent crude oil prices rise on expectations of OPEC+ deepening supply cuts to support prices. This upturn comes after a four-week decline due to fading worries about potential supply disruptions in the Middle East, caused by the Israel-Hamas conflict.

  • Hindustan Unilever sees five analyst target price downgrades and two recommendation downgrades in the past month. Can Fin Homes, NOCIL and ICICI Prudential Life Insurance see four analyst target price downgrades over the same period.

  • Software stocks like HCL Technologies, Persistent Systems, L&T Technology Services, Wipro and Mphasis are rising in trade. Barring Infosys, all the other constituents of the broader sectoral index, Nifty IT, are trading in the green.

  • Tata Investment Corpsurges almost 14% to touch its all-time highof Rs 4,518.3 per share. It has Trendlyne durability and momentum scores above 60. However, the stock is in the 'Sell' zone. It appears in a screenerfor high-return, technically strong value stocks.

  • Companies like TVS Motor, Yes Bank and IDFC First Bank, among others, are set to be included in the S&P BSE 100 index, while Tata Elxsi, Mphasis, Voltas and others will make an exit, during the reconstitution of S&P BSE indices. The changes will be effective from December 18.

  • Tata Consultancy Servicesrises as it signs an agreement with Australia’s primary securities exchange, ASX, to provide a next-generation clearing and settlement platform. This new system, replacing the current one, will cater to the Australian market using TCS’ flagship product, TCS BaNCS, for market infrastructure. It appears in a screenerfor stocks with strong momentum.

  • Persistent Systemstouches a new 52-week high of Rs 6,494, following the launch of a new open-source maintenance service. This will enable firms to keep their open-source software up to date with patches, help with bug fixes and incorporate the latest software releases.

  • Blue Dart Express announces a strategic partnership with India Post to introduce automated digital parcel lockers at selected post offices.

  • Manoj Sanghvi, Business Unit Head at Ratnamani Metals & Tubes, says the company targets to achieve a margin of 16-18% in FY24. He adds that its order book stands at Rs 2,950 crore and 20% of its revenue comes from exports. Sanghvi states that the company aims to achieve a 10% growth in its revenue.

  • Mankind Pharma surges to its all-time high of Rs 2,035 per share as the Financial Times Stock Exchange (FTSE) adds the stock to its All-World, Large-Cap, Total Cap and All-Cap Indices.

  • Geojit BNP Paribas maintains its ‘Buy’ rating on Bank of Baroda and raises the target price to Rs 222 from Rs 217. This implies an upside of 12.1%. The brokerage believes the bank’s net interest income will see robust growth on the back of its expanding loan book. It adds that the firm’s improving asset quality will aid in sustainable long-term growth.

  • Zen Technologies is rising as it bags an order worth Rs 42 crore for the export of simulators. The stock shows up in a screener for companies with strong annual EPS growth.

  • Ashok Atluri, the Managing Director of Zen Technologies, announces the company's revenue targets of Rs 450 crore for FY24 and Rs 900 crore for FY25. He also states that the current order book is at Rs 100 crore and a new export order of Rs 42 crore is set to be executed in the coming 18 months.

  • Orpheus Trading, promoter of 360 One Wam, sells a 0.3% stake in the company on Thursday. It now holds below 0.1%.

  • Newgen Software is rising as its board of directors informs the exchanges about its intent to issue bonus shares to its equity shareholders. The board will meet on November 27 to consider the proposal for the issuance of bonus shares.

  • Exide Industries touches its 52-week high of Rs 286.3 per share as it wins the right to use the 'Chloride' trademark in India from the Delhi High Court. This comes after the company signed a settlement agreement with Vertiv Company Group and Vertiv Energy to dispose off the suits in Delhi High Court.

  • UBS maintains its ‘Buy’ rating on Indian Hotels Co with an upgraded target price of Rs 500. The brokerage notes that the market is doubtful about growth in average room revenue (ARR) and occupancy. However, it remains positive on the overall market supply-demand balance. It believes the company will consistently outperform in room availability, ARR, and occupancy growth.

  • Larsen & Toubro falls as it receives tax penalties of Rs 111.3 crore for 2016 and Rs 127.6 crore for 2017 from the General Tax Authority of Qatar. The company also bags a mega order worth Rs 10,000-15,000 crore for its hydrocarbon business in the Middle East. The company appears in a screener of stocks with growing quarterly net profit and margins.

  • Talbros Automotive Components is falling despite winning multiple orders worth Rs 580 crore from international and domestic clients. The orders are to be executed in the next five years, starting from FY25.

  • Dalmia Bharat Sugar and Industriesfalls as it faces operational disruptions due to farmers' agitation in Kolhapur. The company appears in a screenerof stocks with declining RoE.

  • Oberoi Realtyrises to its all-time high of Rs 1,349 per share as it acquires a 14.8-acre land parcel in Gurugram from Ireo Residencies for Rs 597 crore. The company plans to develop a luxury residential housing project there.

Riding High:

Largecap and midcap gainers today include Adani Wilmar Ltd. (310.70, 5.32%), GlaxoSmithKline Pharmaceuticals Ltd. (1,647.95, 4.52%) and PB Fintech Ltd. (829.45, 3.33%).

Downers:

Largecap and midcap losers today include Solar Industries India Ltd. (6,956.50, -5.87%), Balkrishna Industries Ltd. (2,496.70, -5.56%) and Zomato Ltd. (118.15, -3.31%).

Movers and Shakers

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

Top high volume gainers on BSE included Tata Investment Corporation Ltd. (4,501.75, 15.17%), Latent View Analytics Ltd. (450.50, 9.25%) and ITI Ltd. (278.75, 7.07%).

Top high volume losers on BSE were Rajesh Exports Ltd. (351.95, -6.87%), Aster DM Healthcare Ltd. (338.00, -3.18%) and Chemplast Sanmar Ltd. (428.35, -1.86%).

EIH Ltd. (243.30, 4.65%) was trading at 9.8 times of weekly average. Eureka Forbes Ltd. (519.30, -1.58%) and Sheela Foam Ltd. (1145.10, 3.86%) were trading with volumes 8.2 and 8.1 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

57 stocks hit their 52 week highs, while 2 stocks tanked below their 52 week lows.

Stocks touching their year highs included - Ajanta Pharma Ltd. (1,967.95, 2.42%), Apollo Hospitals Enterprise Ltd. (5,473.95, -0.09%) and Aurobindo Pharma Ltd. (998.10, -0.92%).

Stocks making new 52 weeks lows included - Rajesh Exports Ltd. (351.95, -6.87%) and Adani Wilmar Ltd. (310.70, 5.32%).

12 stocks climbed above their 200 day SMA including Sheela Foam Ltd. (1,145.10, 3.86%) and Just Dial Ltd. (715.00, 2.28%). 7 stocks slipped below their 200 SMA including Sterlite Technologies Ltd. (152.60, -3.14%) and Adani Enterprises Ltd. (2,149.85, -2.67%).