Trendlyne Analysis
Indian indices closed in the green with the Nifty 50 closing above the 18,200 mark. European indices traded higher than Monday’s close. Most major Asian indices closed higher after falling on Monday as investors remained wary of rising Covid cases in China, which announced its first new Covid-related death in nearly six months. This could give way to a new wave of lockdowns, leading to economic slowdown. As a result, US indices also closed in the red on Monday.
The S&P 500 index fell 0.4%, led by Tesla, which closed over 6.8% lower after hitting a new two-year low during intraday. However, the Dow Jones closed flat, helped by a 6.3% rise in Disney shares as the company replaced CEO Bob Chapek with his predecessor, Bob Iger. Brent crude oil futures recovered over $5 from its day's low but still closed in the red on Monday. Crude oil prices bounced back after Saudi Arabia denied reports of OPEC+ considering an oil output hike of 500,000 barrels per day.
Nifty Midcap 100 closed in the green, following the benchmark index. Nifty Media and Nifty Bank closed higher than Monday’s levels. Nifty IT closed higher, despite the tech-heavy NASDAQ 100 closing over 1% lower on Monday.
Nifty 50closed at 18,244.20 (84.3, 0.5%), BSE Sensexclosed at 61,418.96 (274.1, 0.5%) while the broader Nifty 500closed at 15,509.20 (55.4, 0.4%)
Market breadth is in the red. Of the 1,940 stocks traded today, 866 showed gains, and 1,015 showed losses.
Relative strength index (RSI) indicates that stocks like Bank of Maharashtra, Indian Railway Finance Corp, Union Bank of India and Hindustan Zinc are in the overbought zone.
- FSN E-Commerce Ventures (Nykaa) falls over 3% in trade as reports suggest that Lighthouse India likely offloaded 1.8 crore shares in a block deal.
Easy Trip Planners hits an all-time high of Rs 67.3 after it inks a memorandum of understanding with Assam Tourism Development Corp to share resources and collaborate to boost the growth of tourism in Assam.
Steel Strips Wheels rises as it signs an MoU with Israel-based Redler Technologies. The MoU pertains to the establishment of a joint venture undertaking to focus on the development, manufacturing and marketing of motion control solutions for two, three and four-wheeled electric vehicles.
- India’s domestic air passenger traffic rises 27% YoY in October. Market share for Indigo, Vistara and Air India fell MoM in October, while Air Asia gained.
Stocks like IndusInd Bank, GAIL (India), Trentand Indian Railway Finance Corptrade above their second resistance or R2 levelas the market trades higher.
Realty stocks like Macrotech Developers, Indiabulls Real Estate, Phoenix Mills and Brigade Enterprises are falling in trade. The broader sectoral index Nifty Realty is also trading in the red.
Trendlyne’s Forecaster estimates weak revenue growth for State Bank of India, Power Grid Corp and HDFC Life Insurance in FY23.
Yes Securities maintains its ‘Buy’ rating on Aarti Industries with a target price of Rs 845, indicating an upside of 25.4%. The brokerage is positive about the company’s future growth prospects given its capacity expansion plans, ramp-up in operations and new product launches. It expects the company’s revenue to grow at a CAGR of 10.4% over FY22-25.
- Reliance Jio gains 7.2 lakh wireless subscribers in September on a net basis, while Bharti Airtel adds a net 4.1 lakh subscribers. Vodafone Idea loses 40.1 lakh subscribers.
Raymond, ABB India and Oil India have a Trendlyne Durability score of above 80 and EPS TTM growth of more than 100%.
One97 Communications (Paytm) falls and touches a 52-week low of Rs 484.5. Reports suggest that rampant selling by foreign investors because of the end of the anchor lock-in period is the reason for the stock to fall. It shows up on a screener of bearish stocks with low to medium Trendlyne Momentum Score.
- Crude oil prices reverse overnight losses after Saudi Arabia denies news of a possible output rise by OPEC+. Brent crude fell to $82.5 before rising to $87.6 per barrel in trade. Crude oil prices fell amid reports that OPEC+ will consider increasing output to 5 lakh barrels per day.
Jubilant Foodworks' arm Jubilant FoodWorks International Luxembourg approves incorporation of a wholly owned subsidiary company in Nepal. The to-be-named subsidiary shall have the exclusive right to develop and operate Domino‘s Pizza stores in the territory of Nepal.
ICICI Securities upgrades Bharti Airtel to 'Buy' rating from 'Add' with a target price of Rs 970, according to reports. This indicates an upside of 13.8%. The brokerage believes that the company's recent price hikes in Haryana and Odisha will raise the average revenue per unit (ARPU) to Rs 300 from Rs 190 in Q2FY23.
JK Paper is rising as it is set to acquire two paper & packaging board companies, Horizon Packs and Securipax Packaging, for Rs 578 crore. It will acquire an 85% stake in both companies now and the remaining 15% in three years. The company believes that this will enable the expansion of its corrugated packaging business.
CB Ananthakrishnan, Director (Finance) and CFO of Hindustan Aeronautics, says that the EBITDA margin guidance is at 26-27% for FY23, compared to the earlier 24-25%. He expects revenue growth of 8% during FY23 and FY24.
Kaynes Technology’s shares list at a 32.5% premium to the issue price of Rs 587 on its debut on the bourses. The Rs 857.8 crore IPO was subscribed for 34.2X the total shares on offer.
Public holder Dharampal Satyapal sells a 0.14% stake (25 lakh shares) in Easy Trip Planners for Rs 13.5 crore in a bulk deal, while Saint Capital Fund picks up a 0.13% stake (22 lakh shares) for Rs 11.5 crore.
CA Swift Investments sells a 2.5% stake (1.8 crore shares) in Delhivery worth Rs 607.4 crore in a bulk deal. In another deal, Morgan Stanley Asia picks up a 0.67% stake (48.5 lakh shares) in Delhivery for Rs 160.2 crore.
Riding High:
Largecap and midcap gainers today include Varun Beverages Ltd. (1,155.20, 4.70%), Bank of India (80.45, 4.35%) and The New India Assurance Company Ltd. (95.55, 3.69%).
Downers:
Largecap and midcap losers today include One97 Communications Ltd. (476.80, -11.21%), Adani Transmission Ltd. (2,875.15, -4.76%) and FSN E-Commerce Ventures Ltd. (175.20, -4.52%).
Volume Rockets
20 stocks in BSE 500 are trading on high volumes today.
Top high volume gainers on BSE included Easy Trip Planners Ltd. (68.40, 19.37%), UCO Bank (20.95, 12.33%) and Mazagon Dock Shipbuilders Ltd. (866.75, 12.01%).
Top high volume losers on BSE were Vakrangee Ltd. (28.40, -8.09%), Avanti Feeds Ltd. (378.00, -4.91%) and Max Financial Services Ltd. (644.80, -1.67%).
UTI Asset Management Company Ltd. (683.75, 0.24%) was trading at 16.4 times of weekly average. Torrent Power Ltd. (530.05, 0.93%) and Gujarat State Petronet Ltd. (238.15, 1.25%) were trading with volumes 6.6 and 5.5 times weekly average respectively on BSE at the time of posting this article.
BSE 500: highs, lows and moving averages
20 stocks hit their 52-week highs, while 14 stocks hit their 52-week lows.
Stocks touching their year highs included - Bank of India (80.45, 4.35%), Bank of Maharashtra (27.85, -3.30%) and Bharti Airtel Ltd. (847.60, -0.42%).
Stocks making new 52 weeks lows included - Avanti Feeds Ltd. (378.00, -4.91%) and Johnson Controls-Hitachi Air Conditioning India Ltd. (1,066.00, -3.39%).
13 stocks climbed above their 200 day SMA including Prism Johnson Ltd. (120.25, 3.53%) and Glenmark Pharmaceuticals Ltd. (422.40, 2.61%). 12 stocks slipped below their 200 SMA including Indiabulls Real Estate Ltd. (80.80, -4.09%) and Bajaj Electricals Ltd. (1,074.00, -1.72%).