Trendlyne Analysis
Nifty 50 erased losses and closed in the green on a volatile day of trade. All Asian indices closed higher than Monday’s levels despite the US indices closing in the red yesterday. US stocks fell as US Federal Reserve Chairman Jerome Powell adopted a more hawkish tone on monetary policy. The Fed Chairman said that the Fed is prepared to hike the interest rates by a half percentage point if needed. Indian state fuel retailers raise petrol and diesel prices by 80 paise per litre as crude oil prices continue to trade at elevated levels due to the ongoing Russia-Ukraine war.
Nifty Smallcap 100 closed in the green but underperformed the benchmark index. Nifty Next 50 closed lower after opening in the green. Nifty Metal, which has gained over 5% in the last three trading sessions, ended the day in the green for the fourth consecutive trading session. Nifty IT closed sharply higher tracking the tech-heavy NASDAQ 100 futures, which is trading in the green.
Upbeat trading today. Nifty 50 closed at 17,315.50 (197.9, 1.2%), BSE Sensex closed at 57,989.30 (696.8, 1.2%) while the broader Nifty 500 closed at 14,724.05 (121.7, 0.8%)
Market breadth is in the red. Of the 1,886 stocks traded today, 820 were on the uptrend, and 1,030 went down.
Kalpataru Power Transmissions,Procter & Gamble Health, Tube Investments of India, and Cholamandalam Financial Holdings trading with higher volumes as compared to Monday
Jubilant Foodworks (JFL) issues notice to Golden Harvest QSR to exercise its call option to acquire the remaining 10% equity stake in Jubilant Golden Harvest Limited (JGHL) as agreed on March 6, 2018. Accordingly, JFL will acquire the complete 49% equity stake of Golden Harvest QSR in JGHL. Post the exercise of call options, JGHL will become a wholly owned subsidiary of JFL.
FMCG stocks are trading lower with stocks like Hindustan Unilever, Nestle India, Dabur India, and Marico among others falling in trade. The broader sectoral index Nifty FMCG is also trading lower today.
Axis Securities maintains a ‘Buy’ rating on CreditAccess Grameen with a target price of Rs 831, indicating an upside of 10%. The brokerage remains bullish on the company due to its deep rural presence, expanding branch network, and improving traction on customer addition.
Tata Motors announces price hike of 2-2.5% of its commercial vehicle range with effect from April 1, 2022. The increase in the prices of steel, aluminium and other precious metals, in addition to higher costs of other raw materials, has incited the price hike of commercial vehicles.
HDFC Securities upgrades rating on BPCL to 'BUY' with a target price upside of 15.4%. The brokerage is positive on the OMC owing to its attrative valuation, robust refining margins of $12.3/bbl and possible resumption in daily revision of retail auto fuel prices.
Stocks of upstream oil company ONGC are trading higher on the back of rise in international crude oil prices. Additionally, stocks of oil marketing companies like BPCL and HPCL are trading up on account of an 80 paise hike in petrol, diesel prices as well as a Rs 50 hike in LPG cylinder prices.
KSB is trading with more than sixteen times its weekly average trading volume. Mahindra Holidays & Resorts India, Ratnamani Metals & Tubes, Graphite India, and Rain Industries are trading at more than three times their weekly average trading volumes.
Hindustan Unilever falls after reports suggest of discussions to buy majority stake in Mahashian Di Hatti (MDH).
Future Retail hits its all-time low of Rs 29.7 as banks announce to initiate debt recovery proceedings this week against the company. The banks have initiated the proceedings to safeguard their interests after Reliance unexpectedly took over some of the retailer’s stores. Future Group has more than $ 4 billion in debt.
Indoco Remedies receives approval from the United States Food & Drug Administration (USFDA) for Lacosamide tablets in the strengths of 50 mg, 100 mg, 150 mg and 200mg. Lacosamide tablets are the generic version of Vimpat tablets, which has a market size of $ 1.7 billion. Lacosamide tablets are used for the prevention and control of seizures
IT major Wipro's board will consider the interim dividend for FY22 in the board meeting to be held on Friday. The company had earlier approved an interim dividend of Rs 1 per share in January 2022 and paid the same on February 5, 2022
CLSA maintains ‘Buy’ on ICICI Bank but cuts target price to Rs 1,050 from Rs 1,125 as it expects RBI’s unchanged repo rate (4%) will affect margins in near term. Repo-linked loans account for 38% of the bank’s books and margins will face constraint if RBI decides to keep rates on hold for another few months. The recent spike in operating expenses is also a sign of concern as employee cost inflation remains high. However, the brokerage expects the bank to grow by 17% CAGR over FY22-24.
Equitas Small Finance Bank (SFB) and Equitas Holdings are rising as their boards approve a merger of the two companies. This merger proposes the amalgamation of Equitas Holdings into and with Equitas SFB and the dissolution without winding-up of the transferor company (Equitas Holdings). Shareholders of Equitas Holdings will be allotted 231 equity shares for every 100 shares of the Equitas SFB.
Sun Pharmaceutical Industries inks pact with Japan’s Daiichi Sankyo Company to acquire its 11.28% stake in Zenotech Laboratories. Sun Pharma will acquire 68.8 lakh equity shares worth Rs 5.32 crore. After the acquisition, Sun Pharma’s stake in the company will increase to 68.84% from 57.56%.
Riding High:
Largecap and midcap gainers today include Tech Mahindra Ltd. (1,538.20, 3.95%), Adani Total Gas Ltd. (1,883.95, 3.85%), and L&T Finance Holdings Ltd. (75.10, 3.73%).
Downers:
Largecap and midcap losers today include Macrotech Developers Ltd. (1,064.40, -3.97%), Abbott India Ltd. (16,685.60, -3.28%) and Zee Entertainment Enterprises Ltd. (248.55, -3.21%).
Movers and Shakers
15 stocks in BSE 500 are trading on high volumes today.
Top high volume gainers on BSE included Chalet Hotels Ltd. (303.65, 12.82%), Mahindra Holidays & Resorts India Ltd. (233.25, 9.84%) and Ratnamani Metals & Tubes Ltd. (2,509.85, 9.69%).
Top high volume losers on BSE were Sun TV Network Ltd. (459.85, -1.29%), Hawkins Cookers Ltd. (5,340.00, -1.25%) and J B Chemicals & Pharmaceuticals Ltd. (1,599.30, -0.22%).
KSB Ltd. (1,237.70, 6.31%) was trading at 18.8 times of weekly average. Graphite India Ltd. (515.15, 4.58%) and Rain Industries Ltd. (194.35, 5.80%) were trading with volumes 6.2 and 5.6 times weekly average respectively on BSE at the time of posting this article.
BSE 500: highs, lows and moving averages
9 stocks overperformed with 52-week highs, while 2 stocks hit their 52-week lows.
Stocks touching their year highs included - Century Plyboards (India) Ltd. (710.50, 2.67%), GHCL Ltd. (557.30, 3.63%) and Linde India Ltd. (3,332.70, -1.32%).
Stocks making new 52 weeks lows included - Castrol India Ltd. (103.75, -1.47%) and Mishra Dhatu Nigam Ltd. (168.25, -0.59%).
13 stocks climbed above their 200 day SMA including KSB Ltd. (1,237.70, 6.31%) and Alok Industries Ltd. (25.60, 3.23%). 16 stocks slipped below their 200 SMA including Macrotech Developers Ltd. (1,064.40, -3.97%) and Welspun Corp Ltd. (145.00, -3.27%).