Trendlyne Analysis

Indian indices closed in the red with the volatility index, India VIX, falling below 15%. European indices traded lower than Wednesday’s levels as investors awaited key Eurozone inflation data to be released later today. Major Asian indices closed lower, in line with the US indices, which closed in the red on Wednesday. US stocks fell as retail and semiconductor companies raised fresh concerns, leading to a fall in consumer discretionary and semiconductor firms. The tech-heavy NASDAQ 100 index fell nearly 1.5% while the S&P 500 closed 0.8% lower. Brent crude oil futures traded flat after falling over 1% on Wednesday.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the red, following the benchmark index. Nifty Media and Nifty Energy closed lower than Wednesday’s levels. Nifty IT closed in the red, taking cues from the NASDAQ 100, which closed lower on Wednesday.

Nifty 50 closed at 18,343.90 (-65.8, -0.4%), BSE Sensex closed at 61,750.60 (-230.1, -0.4%) while the broader Nifty 500 closed at 15,597.25 (-66.1, -0.4%)

Market breadth is in the red. Of the 1,935 stocks traded today, 692 showed gains, and 1,184 showed losses.

• Relative strength index (RSI) indicates that stocks like Indian Railway Finance Corp, Rail Vikas Nigam, Amara Raja Batteries and Housing and Urban Development Corp are in the overbought zone.

• KR Choksey maintains its 'Buy' rating on Aarti Industries with a target price of Rs 841. This indicates a potential upside of 24.2%. The brokerage believes that the company's focus on value-added products and better operating leverage will drive margins and profitability in the next few years. It estimates the company's revenue to grow at a CAGR of 2% over FY22-24.

• UPL acquires a 20% stake in Seedcorp Ho for $42.3 million. Seedcorp Ho is a Brazilian soy genetics company engaged in the research and development of soybean germplasm, and the production, marketing, storage and logistics of soybean and corn seeds.

• Anand Roy, Managing Director of Star Health and Allied Insurance, expects the company’s growth to be around 18-20% and retail business to grow at 20-25% in FY23.

  #OnCNBCTV18 | #FY23 overall growth will be 18-20%. Our #margin will also increase as the shift towards individual business plays out. Combined ratio should be around 95% by end of this FY, says Anand Roy of Star Health pic.twitter.com/bNu4U1Vpi0

  — CNBC-TV18 (@CNBCTV18Live) November 17, 2022

• Exide Industries and Bharti Airtel hit their 52-week highs of Rs 187 and Rs 849 respectively. Exide Industries rises for four consecutive sessions, while Bharti Airtel trades higher for three sessions.

• HFCL receives an export order worth Rs 86.2 crore from European telecom solution providers for the supply of various types of optical fiber cables to be executed by February 2023.

• Mold-Tek Packaging rises after receiving an order from Grasim Industries-Birla Paints Division for the supply of packing materials. The company will also set up a facility at Cheyyar near Chennai to meet the division’s demands. The company plans to invest Rs 30 crore to set up this facility and expects it to be operational by the end of 2025.

• Tata Motors wins an order for 1,000 buses from Haryana Roadways. The 52-seater fully built BS6 diesel buses will be supplied in a phased manner. The stock also features in a screener of top Indian exporter in listed companies.

• ICICI Securities upgrades its rating on Biocon to ‘Buy’ from ‘Add’ and increases its target price to Rs 362 from Rs 332. This indicates an upside of 27.5%. The brokerage finds the stock’s current valuations attractive. It also expects new launches in the formulation segment and capacity additions in the active pharmaceutical ingredient segment to support growth in the coming quarters. The brokerage estimates the company’s net profit to grow at a CAGR of 42.3% over FY22-25.

• Patanjali Keswani, Managing Director of Lemon Tree Hotels, says that prices rose 20% compared to the pre-covid period. He expects the company’s EBITDA to pick up in H2FY23.

  #OnCNBCTV18 | Prices are up 20% over pre-COVID period. Home stays have impacted hotel business in #Goa. FY23 should see 30% #EBITDA growth vs FY22, says Patanjali Keswani of Lemon Tree Hotels pic.twitter.com/7RIOYH9N3c

  — CNBC-TV18 (@CNBCTV18Live) November 17, 2022

• L&T Finance Holdings, Dixon Technologies (India), Avenue Supermarts and Hindustan Copper trade below their second support or S2 level.

• Timken India is rising as it plans to set up a new manufacturing facility worth Rs 600 crore for spherical roller bearings (SRB), cylindrical roller bearings (CRB) and other components in Bharuch, Gujarat.

• Goldman Sachs buys 17.4 lakh shares (7.2% stake) worth Rs 56.6 crore in the recently listed IPO, Bikaji Foods International, in bulk deal yesterday.

• Indian rupee falls to 81.64 from the previous close of 81.30 against the US dollar in early trade today due to a strengthening dollar.

  #Rupee opens lower against US dollar pic.twitter.com/3dzHFhtDcO

  — CNBC-TV18 (@CNBCTV18Live) November 17, 2022

• One97 Communications (Paytm) is falling as Softbank is set to sell its 2.9 crore shares for Rs 1,628.9 crore in a bulk deal, say reports. Softbank currently owns a 12.9% stake in Paytm and plans to sell 4.5% of it.

• Nomura India Investment buys a 0.6% stake (15 lakh shares) in the recently listed IPO, Global Health, for Rs 62.2 crore in a bulk deal yesterday. In another deal, Smallcap World Fund buys a 1.95% stake (30 lakh shares) in CMS Info Systems for Rs 99.9 crore.

• The Centre raises the windfall tax on locally produced crude oil to Rs 10,200 from Rs 9,500 per tonne earlier but cut the export tax on diesel to Rs 10.5 from Rs 13 per litre. The export tax on aviation turbine fuel (ATF) of Rs 5 per litre remains unchanged.

  The windfall tax levied as special additional excise duty is aimed at absorbing the super profits earned by domestic crude oil producers and is revised every fortnight.https://t.co/0ik3UOi4bo

  — Mint (@livemint) November 17, 2022

• One month post their results, stocks like Union Bank of India, Karur Vyasa Bank and IIFL Finance outperform Nifty 50 by 51%, 16% and 15% respectively.

• Tata Motors' arm Jaguar Land Rover’s Chief Executive Officer Thierry Bolloré resigns from the position due to personal reasons. His resignation will be effective from December 31.

• R Systems rises more than 15% in trade as Blackstone Capital Partners makes an open offer to buy 5.7 crore shares (48.3% stake) in the company. Blackstone will buy the stake for Rs 245 per share, with the total transaction amounting to Rs 1,406.5 crore.

• Lighthouse India Fund sells a 1.05% stake (3 crore shares) in FSN E-Commerce Ventures (Nykaa) for Rs 525.4 crore in a bulk deal.

Riding High:

Largecap and midcap gainers today include Union Bank of India (70.25, 6.36%), Indian Railway Finance Corporation Ltd. (27.90, 3.53%) and Shriram Transport Finance Company Ltd. (1,275.65, 3.40%).

Downers:

Largecap and midcap losers today include One97 Communications Ltd. (539.80, -10.25%), Info Edge (India) Ltd. (3,907.55, -5.79%) and Adani Transmission Ltd. (3,117.55, -4.70%).

Volume Rockets

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

Top high volume gainers on BSE included Timken India Ltd. (3,506.00, 20.00%), Engineers India Ltd. (80.70, 10.10%) and Equitas Small Finance Bank Ltd. (53.50, 5.31%).

Top high volume losers on BSE were One97 Communications Ltd. (539.80, -10.25%), Aavas Financiers Ltd. (1,962.50, -2.99%) and Blue Star Ltd. (1,135.25, -2.83%).

Tata Coffee Ltd. (230.75, 4.36%) was trading at 7.7 times of weekly average. Endurance Technologies Ltd. (1,499.95, 2.64%) and Cyient Ltd. (824.55, 1.95%) were trading with volumes 5.7 and 5.0 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

13 stocks overperformed with 52-week highs, while 10 stocks tanked below their 52-week lows.

Stocks touching their year highs included - Bharti Airtel Ltd. (846.15, 0.59%), Exide Industries Ltd. (186.70, 2.50%) and J B Chemicals & Pharmaceuticals Ltd. (2,042.20, -0.36%).

Stocks making new 52 weeks lows included - Relaxo Footwears Ltd. (908.55, -0.12%) and Sanofi India Ltd. (5,531.15, -0.65%).

12 stocks climbed above their 200 day SMA including Equitas Holdings Ltd. (105.90, 6.06%) and NBCC (India) Ltd. (38.00, 4.68%). 25 stocks slipped below their 200 SMA including Dhanuka Agritech Ltd. (707.80, -3.82%) and Jubilant Pharmova Ltd. (379.30, -3.50%).