Trendlyne Analysis

Indian indices closed in the green with the Nifty 50 rising over 50 points and closing above the 18,650 mark. UK inflation fell to 10.7% in November from October’s 41-year high of 11.1%. European stocks bucked the global trend and traded lower than Tuesday's levels. Major Asian indices closed in the green, in line with the US indices which closed higher on Tuesday. US consumer price index (CPI) rose 7.1% YoY in November, down from 7.7% in October, rising expectations that the Federal Reserve is about to reduce the size of its interest rate hikes going forward. In reaction, the tech-heavy Nasdaq 100 index rose 1.1% while the Dow Jones settled 0.3% higher. Brent crude oil futures traded marginally higher after rising nearly 3% on Tuesday.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the green, following the benchmark index. Nifty Bank and Nifty Auto closed higher than Tuesday’s levels. Nifty IT closed in the green, taking cues from the tech-heavy Nasdaq 100, which rose over 1% on Tuesday.

Nifty 50 closed at 18,660.30 (52.3, 0.3%), BSE Sensex closed at 62,677.91 (144.6, 0.2%) while the broader Nifty 500 closed at 15,963.80 (59.3, 0.4%)

Market breadth is in the green. Of the 1,939 stocks traded today, 1,035 were gainers and 848 were losers.

• Jubilant Foodworks beats Devyani International in QoQ profit growth, annual RoCE and FII holdings. But lags in YoY revenue & profit growth, annual RoE, and broker average rating.

• HG Infra Engineering is rising as it bags a hybrid annuity mode project worth Rs 743.7 crore from the National Highways Authority of India. The stock shows up in a screener for companies with improving RoA over the last two years.

• Coal India issues letters of acceptance for seven coal projects which will be carried out through mine developer and operators (MDO). Together the projects will have a production capacity of 100 million tonnes per year. The company shows up in a screener of stocks with high revenue and high return on capital deployed.

• Advertising & Media, Roads & Highways and Fertilizer industries rise more than 13% in the past month.

• Landmark Cars’ Rs 552 crore IPO gets bids for 39% of the available 80.4 lakh shares on offer on the second day of bidding. The retail investor quota gets bids for 36% of the available 40 lakh shares on offer.

• ICICI Securities maintains its ‘Buy’ rating on Havells India with a target price of Rs 1,550. This implies an upside of 32.8%. The brokerage believes the company’s focus on rural expansion and improving market presence in the mass products category will be the key growth drivers in the long term. It expects the firm’s net profit to grow at a CAGR of 21.4% over FY22-24.

• Sula Vineyards’ Rs 960.3 crore IPO gets bids for 2.3X of the available 1.8 crore shares on offer on the last day of bidding. The retail investor quota gets bids for 1.7X the available 94.1 lakh shares on offer.

• India’s Wholesale Price Index (WPI) inflation eases to a 21-month low of 5.85% in November compared to 8.39% in October. The decline is because of a fall in prices of food articles, basic metals and textiles, among others.

  The month-on-month change in WPI index for November 2022 contracted by 0.26 per cent as compared to a growth of 0.39 per cent in October. https://t.co/xgLLajKu8u

  — Economic Times (@EconomicTimes) December 14, 2022

• Mahindra & Mahindra receives approval from the Maharashtra government to invest Rs 10,000 crore over the next 7-8 years for setting up an electric vehicle manufacturing facility in Pune. The stock ranks high in the Trendlyne checklist as it checks 69.57% of the parameters. It also shows up in a screener for companies with high TTM EPS growth.

• Nifty Bank hits an all-time high of 44,127.1. The index rises for three consecutive sessions.

• Siddharth Mishra, Chairman and Managing Director of Bharat Dynamics, says that the company’s current order book stands at Rs 12,000 crore and expects it to increase to Rs 20,000 crore by FY24. He adds that the Ministry of Defence aims to reduce imports of defence products.

  #OnCNBCTV18 | Expect ?3,200 cr #revenue in #FY23. Target ?25,000 cr orderbook in next 2-3 years. Defence ministry is looking at reduction in imports of #defence products, says Siddharth Mishra of Bharat Dynamics pic.twitter.com/fi78KL8qMg

  — CNBC-TV18 (@CNBCTV18Live) December 14, 2022

• Yes Bank is falling as its board approves the allotment of 184.8 crore equity shares each to CA Basque Investments and Verventa Holdings with an issue price of Rs 13.78 per share. Allotment of 128 crore share warrants each to the companies has also been approved.

• Realty stocks like Phoenix Mills, Indiabulls Real Estate, DLF and Macrotech Developers are rising in trade. The broader sectoral index BSE Realty is also trading in the green.

• HDFC Bank is rising as it acquires a 7.75% stake in a fintech startup, Mintoak. The deal is likely to be completed by January 31, 2023. The bank ranks high in the Trendlyne checklist and is trading near its 52-week high.

• Morgan Stanley initiates an ‘Underweight’ rating on Yes Bank with a target price of Rs 20.5. The brokerage expects gradual recovery in its Return on Assets (ROA) to 1% by FY25, as credit costs reduce.

  #BrokerageRadar | @MorganStanley on @YESBANK: Initiate Underweight; Expect strong RoA improvement to 1% by FY25 #StockMarket #StocksToWatch pic.twitter.com/L9uuh17lNo

  — ET NOW (@ETNOWlive) December 14, 2022

• IFB Industries will infuse Rs 97 crore in its promoter group company IFB Refrigeration in two tranches. IFB Industries shows up in a screener of companies with low debt.

• Colgate-Palmolive falls more than 2.5% in trade today. The stock has a high durability score but ranks low on valuation. It shows up in a screener where FIIs increased their holdings QoQ and brokerages upgraded their target price for the stock.

• Indian rupee rises to 82.60 from the previous close of 82.81 against the US dollar in early trade today.

  #RupeeCheck | Rupee opens at 82.60/$ vs Tuesday’s close of 82.81/$ pic.twitter.com/ucAUkBdFXg

  — CNBC-TV18 (@CNBCTV18Live) December 14, 2022

• Bank of Baroda’s board approves divestment of 98.57% stake in Nainital Bank. The company shows up in a screener with improving cash flow and durability.

• General Atlantic Singapore Fund sells a 3.5% stake (31.1 lakh shares) in IIFL Wealth Management for Rs 564 crore in a bulk deal. Meanwhile, Capital Income Builder picks up a 3.4% stake in IIFL Wealth Management for Rs 550.8 crore.

• The board of One97 Communications (Paytm) approves a share buyback proposal. The company will buy back 1.05 crore shares for Rs 810 per share, which is worth Rs 850 crore. It shows up in a screener of stocks with falling book value per share.

Riding High:

Largecap and midcap gainers today include Vodafone Idea Ltd. (8.65, 9.49%), General Insurance Corporation of India (159.90, 8.96%) and The New India Assurance Company Ltd. (122.45, 8.94%).

Downers:

Largecap and midcap losers today include YES Bank Ltd. (22.10, -7.72%), Colgate-Palmolive (India) Ltd. (1,571.50, -4.30%) and Page Industries Ltd. (45,201.00, -3.37%).

Movers and Shakers

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

Top high volume gainers on BSE included UCO Bank (33.25, 14.46%), Hathway Cable & Datacom Ltd. (19.15, 10.69%) and Vodafone Idea Ltd. (8.65, 9.49%).

Top high volume losers on BSE were Page Industries Ltd. (45,201.00, -3.37%), Bayer Cropscience Ltd. (46,79.55, -0.97%) and TCI Express Ltd. (1,812.00, -0.93%).

PNB Housing Finance Ltd. (481.05, 8.58%) was trading at 19.3 times of weekly average. General Insurance Corporation of India (159.90, 8.96%) and KIOCL Ltd. (223.30, 7.46%) were trading with volumes 16.2 and 13.7 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

32 stocks took off, crossing 52-week highs, while 1 stock was an underachiever and hit its 52-week low.

Stocks touching their year highs included - Abbott India Ltd. (20,563.35, -1.32%), Axis Bank Ltd. (942.40, -0.23%) and Bank of Maharashtra (34.10, 4.44%).

Stock making new 52 weeks lows included - Vodafone Idea Ltd. (8.65, 9.49%).

24 stocks climbed above their 200 day SMA including Hathway Cable & Datacom Ltd. (19.15, 10.69%) and Network 18 Media & Investments Ltd. (75.40, 4.50%). 4 stocks slipped below their 200 SMA including Page Industries Ltd. (45,201.00, -3.37%) and Procter & Gamble Hygiene & Healthcare Ltd. (14,090.00, -0.92%).