Trendlyne Analysis

Nifty 50 closed at 17,511.25 (-43.1, -0.3%), BSE Sensex closed at 59,605.80 (-139.2, -0.2%) while the broader Nifty 500 closed at 14,666.75 (-35.2, -0.2%). Of the 1,946 stocks traded today, 844 showed gains, and 1,027 showed losses.

Indian indices closed lower, with the volatility index, India VIX, rising above 15. The Nifty 50 fell over 40 points and landed just above the 17,500 mark.

Sonata Software acquired North America-based Quant Systems for USD 65 million. An additional USD 95 million will be paid in the next two years based on the performance of the firm. NSE gets approval from SEBI to set up Social Stock Exchange as a separate segment on its platform.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the red, following the benchmark index. Nifty Metal and Nifty FMCG closed in the green, led by large-cap stocks. All other major sectoral indices closed lower than Wednesday’s levels. Nifty Media fell the most while losing over 1.65%.

European markets trade in the green except for England’s FTSE 100 and Switzerland’s SMI trading in the red. Eurozone’s January CPI numbers are due to be released later today. US indices futures trade flat as investors look ahead to the release of US GDP numbers. US GDP is expected to remain flat or decline slightly after two successive quarters of growth.

• Persistent Systems beats Coforge in YoY & QoQ revenue growth, YoY profit growth, quarter price change and MF holdings. But it lags in QoQ net profit growth, broker average rating, FII holdings and PE ratio.

• Ashok Leyland, Bandhan Bank and South Indian Bank have the highest forward annual EPS growth according to analyst estimates.

• Food, beverages & tobacco, metals & mining and fertilizers sectors rise more than 15% in the past six months. But retailing, media and chemicals & petrochemicals fall more than 10% in the same period.

• Nissan Joseph, CEO of Metro Brands, says there is an increase in unit sales of products per consumer. He adds that the company has opened 46 new stores in Q3, taking the store additions in FY23 to 96.

  #ETNOWExclusive | "70% of the footwear market in India is unorganised. But now, more regulations, increase in GST rates is helping the sector," told Nissan Joseph, CEO, Metro Brands to @EyeshwaryaPatil
  @metroshoes #StockMarket pic.twitter.com/ScpOQT0IuT

  — ET NOW (@ETNOWlive) February 23, 2023

• Sandur Manganese & Iron Ores surges more than 10% as it receives approval from the Central Empowered Committee (CEC) to expand its manganese ore production to 5.8 lakh tonnes from 2.9 lakh tonnes. The company is awaiting consent for operation from the Karnataka State Pollution Board and the Monitoring Committee before commencing operations in FY24.

• Metals & mining stocks like Hindalco Industries, Coal India, Hindustan Zinc, Tata Steel and Jindal Steel & Power are rising in trade. All constituents of the broader sectoral index BSE metal are also trading in the green.

• Hitachi Energy India, Mastek, Route Mobile and Radico Khaitan are trading above their second resistance or R2 level.

• Crisil's Q3FY23 net profits fall 6.3% YoY but rises 6.9% QoQ. It shows up in a screener where MFs have increased their shareholdings in the past quarter.

• Reports suggest that 5.76 lakh shares (0.21% equity) of Godrej Properties, amounting to Rs 62.84 crore, change hands in large trade.

  Godrej Properties Large Trade | 5.76 lakh #shares (0.21% #equity) worth ?62.84 crore change hands at average of ?1,992.55/share#LargeTrade #BlockDeal pic.twitter.com/XWBBlnqcOW

  — CNBC-TV18 (@CNBCTV18Live) February 23, 2023

• RateGain Travel Technologies is rising as it partners with HotelKey, a cloud-based property management platform for hotels, to integrate its global distribution, central reservations, and pricing capabilities into HotelKey’s PMS platform. RateGain has a medium rank in Trendlyne's checklist with a score of 44.4%.

• HDFC Securities maintains its ‘Buy’ rating on Prestige Estates Projects with a target price of Rs 630, indicating an upside of 56.5%. The brokerage is positive about the company’s prospects on the back of a ramp-up in launches and rental income. It expects the firm’s net profit to grow at a CAGR of 45.3% over FY23-25.

• Sonata Software is up more than 4% as its wholly owned subsidiary Sonata Software North America acquires Quant Systems, a Texas-based IT company, for $65 million in an all-cash deal. An additional $95 million will be paid over two years on achievement-based earnings. Sonata Software hit a 52-week high in the past week.

• The Finance Ministry’s January Economic Review states that India’s exports could slow down in 2023. It adds that there is a downtrend in the total inflation even though January CPI inflation is at 6.5%.

  Finance Ministry (@FinMinIndia) releases January economic review, says Global inflation will remain higher than pre-pandemic levels & is likely to moderate gradually over the year pic.twitter.com/sEel5nWyHy

  — CNBC-TV18 (@CNBCTV18Live) February 23, 2023

• Deep Industries is rising as it bags an order worth $12.9 million (Rs 106 crore) from Oil & Natural Gas Corp (ONGC). It involves providing mobile drilling rigs for ONGC’s Ahmedabad asset for three years. The stock shows up in a screener for companies with improving RoE over the past two years.

• Media stocks like Zee Entertainment Enterprises, TV18 Broadcast and PVR are falling in trade. The broader Nifty Media index declines more than 2.5%.

• Zee Entertainment Enterprises is plunging as the National Company Law Tribunal (NCLT) admits the company under the corporate insolvency resolution process. The move comes after IndusInd Bank filed a petition against Zee.

• Rajendra V Gogri, Chairman and Managing Director of Aarti Industries, says the demand for dyes and intermediates has been slow in Q3FY23. He adds that the discretionary segment contributes 50% of the company’s revenues and expects the demand to normalise in the upcoming quarters.

  #OnCNBCTV18 | 25% #CAGR growth expected in #EBITDA in the next 2 years & FY24 EBITDA should grow by 20% & FY25 by 25%. We are planning #capex of ?3,000 crore in the next two years, says Rajendra V. Gogri of Aarti Industries
  
  New #products will aid #margin for the company pic.twitter.com/B9r9bw0ewQ

  — CNBC-TV18 (@CNBCTV18Live) February 23, 2023

• Tata Steel is rising after it acquires 4.6 crore shares in Neelanchal Ispat Nigam (NINL) for Rs 300 crore in the first phase of the transaction. Tata Steel now holds a 5.23% stake in NINL and shows up in a screener of stocks with improving RoCE for the past two years.

• HG Infra Engineering wins an order worth Rs 535.2 crore from Rail Vikas Nigam for the construction of foundations, substructure and superstructure along with river training/protection work, earthwork and allied works for viaduct in Bilaspur of Himachal Pradesh.

• Internet Fund III sells a 1.7% stake (1.2 crore shares) in Delhivery for Rs 414.2 crore in a bulk deal on Wednesday.

• Mahindra CIE Automotive’s Q4CY22 net profit surges 2.5X YoY to Rs 194.8 crore on exceptional gains. Revenue increases 35% YoY with contributions from Europe and India markets. However, the company is still battling high material costs which have risen 45% YoY. It shows up in a screener of stocks trading near 52-week high with high weekly volumes.

Riding High:

Largecap and midcap gainers today include Indus Towers Ltd. (173.00, 4.59%), Zomato Ltd. (54.95, 3.78%) and Delhivery Ltd. (345.70, 2.92%).

Downers:

Largecap and midcap losers today include Macrotech Developers Ltd. (805.85, -5.08%), Adani Total Gas Ltd. (791.35, -5.00%) and Adani Green Energy Ltd. (512.10, -5.00%).

Volume Shockers

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

Top high volume gainers on BSE included Shipping Corporation of India Ltd. (126.50, 9.95%), Finolex Cables Ltd. (713.90, 7.92%) and Raymond Ltd. (1,318.45, 7.42%).

Top high volume losers on BSE were Zee Entertainment Enterprises Ltd. (198.65, -3.73%), Lakshmi Machine Works Ltd. (10,850.35, -2.41%) and Cholamandalam Financial Holdings Ltd. (571.35, -2.35%).

3M India Ltd. (22,097.00, 1.32%) was trading at 15.6 times of weekly average. Prism Johnson Ltd. (108.05, 5.93%) and Mas Financial Services Ltd. (845.75, 4.92%) were trading with volumes 12.3 and 7.9 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

5 stocks hit their 52-week highs, while 24 stocks were underachievers and hit their 52-week lows.

Stocks touching their year highs included - Blue Star Ltd. (1,422.00, -2.03%), Cyient Ltd. (978.55, 0.49%) and Finolex Cables Ltd. (713.90, 7.92%).

Stocks making new 52 weeks lows included - Adani Transmission Ltd. (749.75, -5.00%) and Biocon Ltd. (220.00, -1.01%).

11 stocks climbed above their 200 day SMA including Shipping Corporation of India Ltd. (126.50, 9.95%) and Infibeam Avenues Ltd. (16.65, 8.47%). 19 stocks slipped below their 200 SMA including Rashtriya Chemicals & Fertilizers Ltd. (102.10, -2.95%) and Orient Electric Ltd. (268.90, -2.22%).