Trendlyne Analysis

Indian indices closed in the green, with the Nifty 50 rising above the 18,400 mark. European indices traded higher than Friday’s levels. However, most major Asian indices closed lower, in line with the US indices, which extended their losing streak to three days. US stocks fell as investors remained worried about high federal funds rate pushing the US economy into recession. US indices posted losses for a second straight week. The tech-heavy Nasdaq 100 fell 0.8% and the S&P 500 closed over 1.1% lower on Friday. Brent crude oil futures rise nearly 1% after falling over 4% in the last two trading sessions as traders weigh supply and demand concerns amid slowing global economic growth.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the green, following the benchmark index. Nifty Media and Nifty Bank closed higher than Friday’s levels. Nifty IT closed in the red, taking cues from the Nasdaq 100, which closed lower on Friday.

Nifty 50 closed at 18,420.45 (151.5, 0.8%), BSE Sensex closed at 61,806.19 (468.4, 0.8%) while the broader Nifty 500 closed at 15,755.20 (118.9, 0.8%)

Market breadth is in the green. Of the 1,968 stocks traded today, 1,114 were on the uptrend, and 794 went down.

• Money Flow Index (MFI) indicates that stocks like Central Bank of India, The Fertilisers and Chemicals Travancore, EPL and Rashtriya Chemicals & Fertilizers are in the overbought zone.

• Elin Electronics, an electronics manufacturing services provider, opens for IPO subscription tomorrow. The price band for the issue is Rs 234-247 per share. The size of the issue is Rs 475 crore, comprising a fresh issue of Rs 175 crore and an offer for sale of Rs 300 crore.

• Crude oil prices rise amid demand recovery as the US plans to buy back oil to fill its state reserves and China relaxes Covid-19 restrictions.

  Oil rises as China recovery, U.S. buyback plan brighten outlook https://t.co/Pr0kEZuMLm pic.twitter.com/Y8QBnOGKah

  — Reuters (@Reuters) December 19, 2022

• KFin Technologies’ Rs 1,500 crore IPO gets bids for 55% of the available 2.37 crore shares on offer on the first day of bidding. The retail investor quota gets bids for 26% of the available 43.2 lakh shares on offer. The IPO is entirely an offer for sale of Rs 1,500 crore.

• Metal stocks like Jindal Steel & Power, Hindustan Zinc, Vedanta, National Aluminium Co and Tata Steel are rising in trade. All the constituents of the broader sectoral index BSE Metal are trading in the green.

• Stocks like Motherson Sumi Wiring India, LTI Mindtree and Easy Trip Planners see their mutual fund holdings rise more than 4% over the past month.

• Reliance Jio gains 14.1 lakh wireless subscribers in October on a net basis, while Bharti Airtel adds 8.1 lakh and Vodafone Idea loses 35.1 lakh.

  #October #TelecomData | Reliance Jio adds 14.14 lakh subscribers vs 7.24 lakh on MoM basis, while Vodafone Idea loses 35.09 lakh subscribers vs loss of 40.11 lakh (MoM)#RelianceJio #BhartiAirtel #VodafoneIdea pic.twitter.com/lC8CNgzjcR

  — CNBC-TV18 (@CNBCTV18Live) December 19, 2022

• HDFC Bank nears 52-week high in trade. Reports suggest that the bank plans to issue 10 lakh credit cards every month in an attempt to double the pace of its current issuance. The bank shows up in a screener of stocks with increasing revenue over the past four quarters.

• Motilal Oswal maintains its ‘Buy’ rating on KNR Constructions with a target price of Rs 310, indicating an upside of 21%. The brokerage is optimistic about the company’s prospects as it expects strong order inflow from the road segment given its robust tender pipeline. It expects a ramp-up in execution and falling input costs to improve profitability in the coming quarters. The brokerage anticipates the company’s revenue to grow at a CAGR of 14.1% over FY22-24.

• Alembic Pharmaceuticals is falling as the US FDA issues form 483 with five procedural observations. The observations were made after a pre-approval inspection (PAI) at the company's solid oral formulation facility in Jarod.

• Upasna Bhardwaj, Senior Economist at Kotak Mahindra Bank, expects a decline in the current account deficit if crude oil prices stay at current levels. She adds that the average price for crude oil will be in the range of $100-$105 per barrel.

  #OnCNBCTV18 | Current account deficit will be lower if crude prices sustain at these levels. Broad-range for rupee is at 79-84/$, likely to see ? at 84/$ probably sooner than later, says Upasna Bhardwaj of Kotak Mahindra Bank pic.twitter.com/edCJrGyfxT

  — CNBC-TV18 (@CNBCTV18Live) December 19, 2022

• Dilip Buildcon is rising as its bags three contracts from the National Highways Authority of India for new hybrid annuity model projects worth Rs 5,191 crore. The orders pertain to the construction of highways in Karnataka, Chhattisgarh and Telangana. The stock shows up in a screener for companies with improving cash flow from operations in the past two years.

• KEC International wins new orders worth Rs 1,313 crore across its various businesses. The orders include transmission and distribution projects in India, East Asia Pacific and SAARC, and a 500 MW solar PV project in India.

• Larsen & Toubro divests its entire 51% stake in L&T Infrastructure Development Projects to Yield Plus II, an infrastructure fund managed by Edelweiss Alternatives. Larsen & Toubro and Canada Pension Plan Investment (holds the remaining 49% stake) will receive Rs 2,723.4 crore from the sale.

• Glenmark Pharmaceuticals is rising as it receives final approval from the US FDA for nicardipine hydrochloride capsules, a generic version of cardene capsules of Chiesi USA. According to IQVIA, cardene capsules achieved annual sales of $10.9 million over the 12 months ending October 2022.

• Sugar stocks like Shree Renuka Sugars, EID Parry (India), Balrampur Chini Mills and Triveni Engineering & Industries are rising in trade. All constituents of the broader Sugar industry are also trading in the green. This comes after the GST rate for biofuel supply to refineries for blending ethanol was reduced to 5% from 18%, according to reports.

  #StocksInNews | Sugar stocks in focus, gain 10-20%, after the council cuts GST rates on biofuel supply to 5%, @Ashesha_A brings us all the buzz. Listen in #StockMarket #StocksToWatch pic.twitter.com/5hA85Kq4Ri

  — ET NOW (@ETNOWlive) December 19, 2022

• Tech Mahindra plans to divest its entire stake in its wholly owned subsidiary Dynacommerce Holdings B.V. for 6.6 million euros. The company will sell its stake to a subsidiary of Comviva Netherlands B.V.

• GMR Airports Infrastructure's arm GMR Airports Infrastructure BV receives Rs 1,389.9 crore for the sale of shares in GMR Megawide Cebu Airport Corp and the issuance of exchangeable notes to Aboitiz InfraCapital, according to reports.

• KFin Technologies raises Rs 675 crore from anchor investors ahead of its IPO by allotting 1.84 crore shares at Rs 366 each. Investors include Carmignac Portfolio, Pinebridge Global Funds and IIFL Special Opportunities Fund.

• Sun Pharma is falling after its Halol facility received a warning letter from the US FDA on Friday regarding its current goods manufacturing practice (cGMP). This is after the import alert raised by the US FDA on December 08.

• Phoenix Mills completes the acquisition of a 7.22-acre land parcel through its indirect subsidiary, Thoth Mall and Commercial Real Estate, in Surat. The total value of the acquisition is Rs 510 crore. The company ranks high in the Trendlyne checklist score.

Riding High:

Largecap and midcap gainers today include General Insurance Corporation of India (187.35, 12.42%), Life Insurance Corporation of India (734.60, 6.69%) and PB Fintech Ltd. (485.60, 4.73%).

Downers:

Largecap and midcap losers today include Delhivery Ltd. (353.25, -2.89%), FSN E-Commerce Ventures Ltd. (163.25, -2.86%) and JSW Energy Ltd. (279.90, -2.17%).

Movers and Shakers

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

Top high volume gainers on BSE included General Insurance Corporation of India (187.35, 12.42%), UTI Asset Management Company Ltd. (859.55, 11.45%) and Shipping Corporation of India Ltd. (140.35, 8.76%).

Top high volume losers on BSE were Mahindra Logistics Ltd. (458.30, -2.43%), KPR Mill Ltd. (501.85, -1.99%) and Grindwell Norton Ltd. (1,908.00, -1.76%).

SIS Ltd. (390.60, 0.75%) was trading at 9.4 times of weekly average. Varroc Engineering Ltd. (302.90, 3.95%) and Torrent Power Ltd. (515.20, 0.31%) were trading with volumes 7.2 and 7.1 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

9 stocks took off, crossing 52-week highs, while 9 stocks tanked below their 52-week lows.

Stocks touching their year highs included - Britannia Industries Ltd. (4,526.50, 1.84%), V-Guard Industries Ltd. (271.25, 0.93%) and Engineers India Ltd. (85.55, 4.84%).

Stocks making new 52 weeks lows included - Aurobindo Pharma Ltd. (437.70, -0.94%) and Bata India Ltd. (1,656.00, 1.66%).

10 stocks climbed above their 200 day SMA including IndiaMART InterMESH Ltd. (4,481.15, 3.38%) and Sonata Software Ltd. (547.40, 3.08%). 27 stocks slipped below their 200 SMA including Chemplast Sanmar Ltd. (438.40, -5.05%) and Gujarat State Fertilizer & Chemicals Ltd. (143.75, -2.34%).