Trendlyne Analysis
Nifty 50 closed at 18,348.00 (33.6, 0.2%) , BSE Sensex closed at 61,981.79 (18.1, 0.0%) while the broader Nifty 500 closed at 15544.75 (40.8, 0.3%). Of the 1,950 stocks traded today, 989 were on the uptick, and 917 were down.
Indian indices fell from their day highs and closed flat, with the Nifty 50 closing below the 18,400 mark. Adani group companies extended their gains from Monday and closed in the green, led by Adani Enterprises, which rose over 13%.
Nifty Midcap 100 closed in the green, outperforming the benchmark index. Nifty Metal and Nifty Media closed higher than Monday’s close. According to Trendlyne’s sector dashboard, commercial services & supplies was the top-performing sector for a second straight day.
European indices traded flat or lower, except for UK’s FTSE 100 index, which traded marginally higher. Most Asian indices closed in the red, in line with the US indices futures, which also traded lower. Brent crude oil futures traded flat as investors await developments in the US debt ceiling talks. Crude oil prices have remained flat in the past three trading sessions.
Oil And Natural Gas Corp sees a short buildup in its May 25 future series as its open interest rises 9.8% with a put-call ratio of 0.47.
Bajaj Electricals is rising as its Q4FY23 net profit rises 31.8% YoY to Rs 51.9 crore, while its revenue grows 11.7% YoY. This healthy performance is led by growth in the consumer products and engineering, procurement and construction segments. The stock shows up in a screener for companies with low debt.
Garware Technical Fibersis rising with a 10.2% YoY increase in net profit to Rs 59.6 crore in Q4FY23, supported by a rise of over 60% YoY in income from other sources. While its revenue grows by 4.7% YoY, the company appears in a screener for stocks showing growth in net profit and improving profit margin QoQ.
Fusion Micro Finance hits its all-time high of Rs 519.8 as Q4FY23 net profit surges by 767.9% YoY to Rs 114.5 crore and revenue up 39.8% YoY. The NBFC's asset quality improves as its gross and net NPAs decline by 225 bps YoY and 77 bps YoY respectively. It appears in a screener of stocks with consistent profit growth in the past four quarters.
Gland Pharma is surging after hitting a 52-week low past week. It has a low rank of 28.6% in Trendlyne's checklist and a consensus recommendation of 'Sell' from 16 analysts. The stock appears in a screener for weak-performing stocks that have dropped over 20% in the past month.
J Kumar Infraprojects is declining despite its EBITDA growing by 18% YoY to Rs 597 crore in FY23. Its revenue has also risen by 19% YoY to Rs 4,203 crore. It appears in a screener for companies with newly affordable stocks with good financials and durability.
Metal stocks like Adani Enterprises, APL Apollo Tubes, Vedanta and NMDC are rising in trade. The broader sectoral index Nifty Metal continues to trade in the green, led by Adani Enterprises.
Utilities companies like Reliance Power, Orient Green Power Co, Reliance Infrastructure, NLC India and Adani Power are rising in trade. The broader sectoral index S&P BSE Utilities is also trading in the green.
Ravi Modi Family Trust, promoter of Vedant Fashions, sells a 9.9% stake in the company on Monday, now holds a 57.2% stake.
Analysts turn positive on JSW Steel on the back of a strong showing in Q4FY23. They believe that the company's increasing volume and higher share of value-added products will outweigh the effects of high debt in its book.
KRChoksey upgrades its rating on Glenmark Pharmaceuticals to ‘Buy’ from ‘Accumulate’ and raises the target price to Rs 683 from Rs 479. This implies an upside of 12%. The brokerage expects the company's growth to be driven by international generics, new product launches, and its strong position in India's chronic therapeutic segments.
PB Fintech remains flat as its net loss reduces by 96% YoY Q4FY23 to Rs 895.09 crore driven by robust growth in its insurance premium and credit disbursals, while its revenue increases by 61% YoY. It appears in a screener of stocks with FII/FPI increasing their shareholding.
Shree Cement rises despite a 20% YoY decline in net profit in Q4FY23 to Rs 525.77 crore. However, its revenue increases by 16.5% YoY. The EBITDA margin falls by 370bps in Q4FY23 due to high expenses in raw materials, power & fuel, and freight. It appears in a screener of stocks with a significant drop in TTM net profit.
Escorts Kubota's agri machinery business has announced that it will hike tractor prices from June 1 to partially offset the impact of inflation. The increase will be across models and geographies.
Finolex Industries falls as Q4FY23 net profit drops 66.4% YoY to Rs 166.5 crore. Revenue declines 28.4% YoY, led by lower revenue in the resins and pipes & fittings segments. However, EBITDA margin improves 246 bps YoY as raw material and employee costs decrease. It appears in a screener for stocks in the sell zone based on days traded at current PE.
Vedanta's board approves an interim dividend of Rs 18.5 per equity for FY23, totaling Rs 6,877 crore. The record date is set as May 30, 2023.
Keystone Realtors declines despite an 82.2% YoY surge in Q4FY23 net profit to Rs 76.5 crore, driven by lower expenses in inventories and employee benefits. Revenue grows by 44.2% YoY. It appears in a screener for companies with low durability.
IndusInd Bank is rising on the back of a strong business outlook, projecting 18%-23% credit growth for FY23-26, driven by growth in the retail banking segment. The bank has increased 12.9% in the past month and is currently trading close to its 52-week high.
EIH is rising as its Q4FY23 net profit jumps by 5.7X YoY to Rs 84.4 crore, while its revenue surges by 111.7% YoY driven by robust demand for retail and corporate travel. The stock shows up in a screener for companies with high TTM EPS growth.
DCX Systems Ltd.declines despite a 125.8% YoY surge in Q4FY23 net profit to Rs 41.1 crore, supported by lower finance costs, mat credit, and deferred tax. EBITDA margin expands by 140 bps YoY, and revenue grows by 21.9% YoY. It appears in a screener for companies with a low Piotroski score, indicating weak financials.
Aditya Birla Fashion hits a new 52-week low with a net loss of Rs 187 crore in Q4FY23, compared to a net profit of Rs 43.6 crore in Q4FY22. It has added 104 new stores in Q4 and revenue increased by 26.2% YoY. It appears in a screener for oversold stocks based on MFIs.
The Federation of Automobile Dealers Associations (FADA) submits an application to the GST Council of India to decrease the GST rate on two-wheelers from 28% to 18%. FADA aims to make two-wheelers more affordable and revive the slumping demand.
ITI is rising as it bags an advance purchase order worth Rs 3,889 crore from BSNL for its 4G network rollout. The project involves the planning, engineering, supply, installation and commissioning of the 4G mobile network for 23,633 sites across the west zone of the BSNL network.
Porinju V Veliyath’s Equity Intelligence India buys a 0.54% stake in Kokuyo Camlin in a bulk deal on Monday.
Bharat Petroleum Corp's Q4FY23 net profit surges 145.1% YoY to Rs 6,870.5 crore on lower excise duty, employee costs, and foreign exchange loss. EBITDA margin expands by 365 bps YoY, while revenue grows 8.1% YoY on strong market sales. It appears in a screener for stocks with net profits increasing sequentially for three quart
Riding High:
Largecap and midcap gainers today include Adani Enterprises Ltd. (2,633.70, 13.22%), Adani Wilmar Ltd. (488.70, 9.99%) and Gland Pharma Ltd. (941.40, 5.36%).
Downers:
Largecap and midcap losers today include LTIMindtree Ltd. (4,857.85, -2.60%), Bharat Electronics Ltd. (107.90, -2.31%) and DLF Ltd. (467.85, -2.15%).
Movers and Shakers
19 stocks in BSE 500 are trading on high volumes today.
Top high volume gainers on BSE included Adani Enterprises Ltd. (2,633.70, 13.22%), Adani Wilmar Ltd. (488.70, 9.99%) and TV18 Broadcast Ltd. (32.95, 7.50%).
Top high volume losers on BSE were NCC Ltd. (102.40, -8.49%), HEG Ltd. (1,170.30, -7.19%) and Grasim Industries Ltd. (1,697.95, -1.19%).
Varroc Engineering Ltd. (313.55, 6.07%) was trading at 22.1 times of weekly average. Bajaj Electricals Ltd. (1,212.60, 0.94%) and Akzo Nobel India Ltd. (2,507.85, 2.74%) were trading with volumes 10.2 and 9.5 times weekly average respectively on BSE at the time of posting this article.
BSE 500: highs, lows and moving averages
19 stocks took off, crossing 52 week highs, while 2 stocks were underachievers and hit their 52 week lows.
Stocks touching their year highs included - Akzo Nobel India Ltd. (2,507.85, 2.74%), Carborundum Universal Ltd. (1193.00, -2.35%) and Ceat Ltd. (1,974.50, 2.41%).
Stocks making new 52 weeks lows included - Aditya Birla Fashion and Retail Ltd. (194.50, 2.45%) and Aavas Financiers Ltd. (1385.85, -0.12%).
25 stocks climbed above their 200 day SMA including Varroc Engineering Ltd. (313.55, 6.07%) and Capri Global Capital Ltd. (708.00, 4.83%). 6 stocks slipped below their 200 SMA including Mahindra Lifespace Developers Ltd. (393.50, -2.83%) and Amber Enterprises India Ltd. (2,035.40, -1.66%).