Trendlyne Analysis

Indian indices recovered from their day’s low but still closed in the red on a volatile day of trade. European stocks followed the global trend and traded below Monday’s levels. Major Asian indices closed in the red, in line with the US indices, which extended their losing streak to three days. On Monday, US indices extended their losses and closed lower for a fourth straight session on a volatile day of trade. US stocks fell as investors continue to analyse the impact of high federal fund rates on the US economic growth as the Fed Chair maintained a hawkish tone to combat high inflation. The tech-heavy Nasdaq 100 fell 1.42% and the Dow Jones closed 0.5% lower on Monday. Brent Crude oil futures traded in the green for a second consecutive day amid traders’ optimism over demand recovery due to China’s reopening.

Nifty Smallcap 100 closed in the red, following the benchmark index. Nifty Realty and Nifty Auto closed lower than Monday’s levels. Nifty IT closed in the green, despite the tech-heavy Nasdaq 100 closing 1.4% lower on Monday.

Nifty 50 closed at 18,385.30 (-35.2, -0.2%), BSE Sensex closed at 61,702.29 (-103.9, -0.2%) while the broader Nifty 500 closed at 15,726.20 (-29, -0.2%)

Market breadth is in the red. Of the 1,938 stocks traded today, 825 were in the positive territory and 1,057 were negative.

• Shriram Finance beats Muthoot Finance in YoY & QoQ revenue and net profit growth, PE ratio, FII Holdings and broker average rating. But lags in annual RoE & RoCE, MF holdings and broker average target upside.

• Axis Bank rises to an all-time high of Rs 952.75 per share. The stock has a high rank of 57.69% in Trendlyne's checklist score. It also features in a screener with strong annual EPS growth.

• Salasar Techno Engineering is rising as it bags two contracts worth Rs 748.5 crore from Pashchimanchal Vidyut Vitran Nigam. Both orders pertain to the construction of electricity distribution circles in Uttar Pradesh. The stock shows up in the screener for companies with quarterly profits increasing sequentially for the past three quarters.

• Capacite Infraprojects is rising as it receives an order worth Rs 117.2 crore from DLF for the construction of a mall in Goa. The company shows up in a screener for stocks in the PE Buy zone with a good durability score and rising momentum.

• Samiran Chakraborty, Chief Economist (India) of Citigroup, says that global slowdown will impact India’s net exports. He expects rural demand to improve over urban demand next year.

  #OnCNBCTV18 | Global slowdown will impact net export for #India. #GDP compression could come back on the fertiliser sector. Global focussed companies may not do much capex next year, says Samiran Chakraborty of Citi pic.twitter.com/t4oevBLU67

  — CNBC-TV18 (@CNBCTV18Live) December 20, 2022

• Mahanagar Gas appoints Ashu Shinghal as an Executive Director (Additional) designated as Managing Director of the Company with effect from December 23.

• Elin Electronics’ Rs 475 crore IPO gets bids for 37% of the available 1.4 crore shares on offer on the first day of bidding. The retail investor quota gets bids for 55% of the available 71.04 lakh shares on offer. The IPO is a fresh issue of Rs 175 crore and an offer for sale of Rs 300 crore.

• KFin Technologies’ Rs 1,500 crore IPO gets bids for 70% of the available 2.37 crore shares on offer on the second day of bidding. The retail investor quota gets bids for 74% of the available 43.2 lakh shares on offer.

• RC Bhargava, Chairman of Maruti Suzuki India, says that high tax rates will hinder the auto sector's growth. His statement comes after the GST Council announced a standard rate for sports utility vehicles (SUVs) across all states—GST of 28% and 22% cess, taking the effective rate to 50%.

  The taxes on motor vehicles in India have historically been among the highest in the world and need to be rationalised, Maruti Suzuki Chairman RC Bhargava has said. @1997_raghav #India #Auto #MarutiSuzuki #RCBhargava #MotorVehicleshttps://t.co/6szcKqOIYu

  — Business Standard (@bsindia) December 20, 2022

• ICICI Securities upgrades its rating on Phoenix Mills to ‘Buy’ from ‘Add’ with a target price of Rs 1,648, indicating an upside of 17.9%. The brokerage turns positive on the company after its acquisition of a 7.2-acre land parcel for a new mall in Surat. It believes the firm’s focus on building new office and mall spaces will increase rental income and drive long-term revenue growth. The brokerage expects the company’s revenue to grow at a CAGR of 34.6% over FY22-25.

• According to Trendlyne's FII dashboard, foreign institutional investors invested a total of Rs 6,487.1 crore in the equity market over the past 30 days, while mutual funds did only Rs 2,823.7 crore. Index options received the highest inflow of Rs 56,826.7 crore from foreign investors.

• Rajesh Gopinathan, CEO of Tata Consultancy Services, expects 2023 to be a balanced year with improving margins. He adds that the company is on the path to increasing its revenue to $50 billion by 2030 and attrition rates will fall in H2FY23.

• #ETReports | "2023 will be a balanced year after two years of very strong growth," says @TCS' Rajesh Gopinathan. Read here- #Recession #Attrition #India #Growth pic.twitter.com/iHn0Lj8i3g

  — ET NOW (@ETNOWlive) December 20, 2022

• NTPC completes capacity (100 MW out of 300 MW) expansion of the Nokhra Solar Project at Bikaner, Rajasthan. The plant is now ready to commence operations. The stock shows up in a screener with improving RoA for the past two years.

• Realty stocks like Godrej Properties, DLF, Oberoi Realty and Macrotech Developers are falling in trade. The broader sectoral index Nifty Realty is also trading in the red.

• The President of India sells a 5% stake in Indian Railway Catering & Tourism Corp for approx Rs 2,726.8 crore, now holds 62.4%.

• Just Dial is falling as the company's promoter, Reliance Retail Ventures, intends to sell 16.8 lakh shares (or 2% stake) through an open market sale to increase public shareholding. As per regulatory norms, the total public shareholding in a company should be at least 25%. Currently, Just Dial's public shareholding is 14%. The promoter plans to complete the sale within eight trading sessions starting Wednesday.

• Dabur falls over 2% in early trade as 1.9 crore shares (1.06% equity) amounting to Rs 1,079 crore change hands, according to reports.

  Dabur Large Trade | 1.9 Cr shares (1.06% Eq) worth Rs 1,079 Cr change hands at an avg of Rs 571/Sh https://t.co/yKcl4qpKOU pic.twitter.com/cJs5gv7oMV

  — CNBC-TV18 (@CNBCTV18Live) December 20, 2022

• NBCC (India) is rising as it secures a contract worth Rs 69.3 crore from the Odisha Power Transmission Corp. The project involves the construction of a quarter complex in Bhubaneswar, Odisha. The stock shows up in a screener for companies with no debt.

• IRB Infrastructure Developers' board will meet on January 4, 2023, to consider a stock split.

• Promoters of Sterling and Wilson Renewable Energy decide to sell their stakes in the company via an offer for sale on December 20 and 21. Shapoorji Pallonji and Co will offload a 3.69% stake, while Khurshed Yazdi Daruvala will sell a 1.58% stake in the company. The floor price for the sale is set at Rs 270 per share.

• Elin Electronics raises Rs 142.5 crore from anchor investors ahead of its IPO by allotting 57.7 lakh shares at Rs 247 per equity share. Investors include SBI Life Insurance, Aditya Birla Sun Life Trustee and Pinebridge Global Funds.

• Adani Group’s arm Vishvapradhan Commercial acquires an additional 8.27% stake for Rs 156.7 crore in New Delhi Television (NDTV) through an open offer. This transaction takes the subsidiary’s overall shareholding to 37.45%.

Riding High:

Largecap and midcap gainers today include Indian Railway Finance Corporation Ltd. (35.65, 8.52%), Max Healthcare Institute Ltd. (437.00, 2.92%) and Adani Enterprises Ltd. (4,165.30, 2.21%).

Downers:

Largecap and midcap losers today include Indian Overseas Bank (30.85, -6.09%), Godrej Properties Ltd. (1,275.80, -2.88%) and SBI Life Insurance Company Ltd. (1,231.25, -2.86%).

Movers and Shakers

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

Top high volume gainers on BSE included Chemplast Sanmar Ltd. (480.65, 9.64%), Indian Railway Finance Corporation Ltd. (35.65, 8.52%) and RHI Magnesita India Ltd. (847.60, 3.79%).

Top high volume losers on BSE were Sterling and Wilson Renewable Energy Ltd. (273.40, -3.56%), Supreme Industries Ltd. (2,500.00, -2.33%) and Dabur India Ltd. (579.50, -1.62%).

Shipping Corporation of India Ltd. (141.25, 0.64%) was trading at 8.6 times of weekly average. JK Paper Ltd. (439.85, 3.47%) and Wockhardt Ltd. (225.65, 0.87%) were trading with volumes 6.6 and 4.7 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

14 stocks made 52-week highs, while 7 stocks tanked below their 52-week lows.

Stocks touching their year highs included - Abbott India Ltd. (20,898.70, 0.06%), Apollo Tyres Ltd. (327.40, 0.89%) and Axis Bank Ltd. (949.75, 0.38%).

Stocks making new 52 weeks lows included - Aurobindo Pharma Ltd. (438.20, 0.11%) and Sunteck Realty Ltd. (359.55, -0.83%).

8 stocks climbed above their 200 day SMA including Chemplast Sanmar Ltd. (480.65, 9.64%) and Can Fin Homes Ltd. (546.25, 0.86%). 15 stocks slipped below their 200 SMA including Sonata Software Ltd. (531.55, -2.90%) and Prince Pipes & Fittings Ltd. (602.05, -2.01%).