Trendlyne Analysis

Nifty 50 closed at 18,089.85 (-57.8, -0.3%), BSE Sensex closed at 61,193.30 (-161.4, -0.3%) while the broader Nifty 500 closed at 15,276.40 (-24.4, -0.2%). Of the 1,940 stocks traded today, 924 showed gains, and 966 showed losses.

Indian indices snapped their six-day gaining streak and closed in the red. Nifty 50 fell around 65 points and closed below the 18,100 mark. MRF rose over 5.5% as its Q4FY23 net profit surged 86% YoY to Rs 313.5 crore while its revenue increased by 10%.

Nifty Midcap 100 closed in the green, despite the benchmark index closing in the red. Nifty Energy and Nifty Infra closed lower than Tuesday’s levels. Nifty IT closed in the red, in line with the tech-heavy Nasdaq 100, which fell 0.9% on Tuesday. According to Trendlyne’s sector dashboard, hotels, restaurants & tourism was the top-performing sector of the day for a second straight trading session.

European stocks traded in the green. However, major Asian indices closed lower. European stocks rose, led by banking stocks ahead of the interest rate decision by the US Fed later today. Eurozone unemployment hit a record low of 6.5% in March, the lowest since the EU's statistics agency started compiling jobless figures in April 1998. Brent crude oil futures extended losses and traded sharply lower after falling over 5.2% on Tuesday.

• Relative strength index (RSI) indicates that stocks like Rail Vikas Nigam, Welspun India, Syngene International and Oracle Financial Services Software are in the overbought zone.

• Havells India’s Q4FY23 net profit rises 1.6% YoY to Rs 358 crore and revenue grows by 9.8% YoY driven by its switchgear and cables segments. The stock shows up in a screener for companies with improving net cash flow over the past two years.

• MRF, 3M India and Hindustan Aeronautics are trading above their second resistance or R2 level despite markets trading lower.

• Bharat Heavy Electricals rises over 6% in trade today. The stock ranks high on Trendlyne’s Checklist, scoring 72.7%. It also features in a screener of companies with strong momentum.

• Godrej Properties is rising as its Q4FY23 net profit surges 58.2% YoY to Rs 412.1 crore and revenue grows by 23.7% YoY. The firm’s booking value and customer collections increase by 25% and 52% YoY in Q4. The stock shows up in a screener for companies with high TTM EPS growth.

• MRF is rising as its Q4FY23 net profit surges 86% YoY to Rs 313.5 crore and revenue increases 10%. Net profit margin has improved 268 bps YoY to 5.76% in Q4. The company has declared a dividend of Rs 10 per share in FY23. The stock is trading near its 52-week high.

• Transportation, fertilizers and healthcare equipment & supplies sectors rise more than 12% over the past 90 days.

• Dr. Reddy’s Laboratories and Anupam Rasayan India touch their 52-week highs of Rs 4,960 and Rs 1,224.2, respectively. Dr. Reddy’s has risen 6.5% in the past month, while the other increased by 40.3%.

• Virender Jeet, CEO of Newgen Software Technologies, says the company will grow over 20% in FY24. He adds that its margin will increase by 22%.

  #OnCNBCTV18 | #Orderbook growth has been more than the #revenue growth. #FY24 growth will be more than 20%, says Virender Jeet of Newgen Software pic.twitter.com/SrxUqipkJ8

  — CNBC-TV18 (@CNBCTV18Live) May 3, 2023

• Sun TV Network’s annual RoCE stands at 27.2%, outperforming the broadcasting and cable TV industry by 9.2 percentage points.

• Macrotech Developers, Dalmia Bharat and Persistent Systems underperform the Nifty 50 index over the month post their Q4FY23 results.

• Adani Wilmar is falling as its Q4FY23 profit drops 60% YoY to Rs 93.61 crore, while its revenue declines 7%. The profit for FY23 also dips 27.6% to Rs 582.12 crore. The stock shows up in a screener for companies with low debt.

• IT stocks like L&T Technology Services, LTIMindtree, Mphasis, Tata Consultancy Services and Coforge are falling in trade. All the constituents of the broader sectoral index Nifty IT are also trading in the red.

• Aviation stocks like InterGlobe Aviation (Indigo), SpiceJet and Jet Airways are rising in trade after Go First filed for voluntary insolvency proceedings with the NCLT (National Company Law Tribunal).

  IndiGo, SpiceJet, Jet Airways shares price: Aviation stocks jump up to 6 per cent after Go First files for insolvency#StockMarket #GoFirstAirlines #IndiGo #SpiceJet #JetAirwayshttps://t.co/ADdsVUtRy7

  — ET NOW (@ETNOWlive) May 3, 2023

• Blue Star, Ceat and Hero MotoCorp's weekly average delivery volumes rise ahead of their Q4FY23 results tomorrow.

• ICICI Direct maintains its ‘Buy’ rating on Ultratech Cement with a target price of Rs 9000, implying an upside of 19.7%. The brokerage remains positive about the company’s growth prospects given its market leadership, strong brand value, expansive retail presence and robust balance sheet. It expects the firm’s revenue to grow at a CAGR of 12% over FY23-25.

• Ahluwalia Contracts (India) wins an order worth Rs 744.7 from DLF Home Developers for the construction of civil structures and waterproofing work for the Arbour project located at Gurugram.

• Indostar Capital Finance will open an offer for sale (OFS) today in which promoter group firms Everstone Capital Partners II and Indostar Capital will offload a 14.2% stake (1.9 crore shares) in the company. After the OFS, Indostar Capital will hold a 17% stake, while the promoter group will own 75%.

• India’s services PMI surges to the highest level since June 2010, reaching 62 in April from 57.8 in March.

  S&P Global April Services PMI at 62.0 vs 57.8 in March.
  
  Alert: S&P Global April Services PMI rises to highest level since June 2010 pic.twitter.com/xhTur9wKc7

  — CNBC-TV18 (@CNBCTV18Live) May 3, 2023

• PSU bank stocks like Central Bank of India, Punjab & Sind Bank, UCO Bank and Bank of Baroda are falling in trade. All constituents of the broader index, Nifty PSU Bank, are also trading in the red.

• Hulst BV, promoter of Coforge, sells a 3.5% stake in the company for approx Rs 887 crore in a bulk deal on Tuesday.

• Crude prices fall sharply to around $75 per barrel. The decline is due to concerns about more rate hikes by the US Federal Reserve and a decline in manufacturing activity in China, among other factors.

  Crude cracks | Crude at lowest level since March 24
  
  What are the key reasons for the decline? How does it impact the Indian economy?
  
  From the sectors impacted to the stocks to watch out for, @soumeet_sarkar is here with the details #crude #oil #StockMarket pic.twitter.com/zx58UU8OOR

  — ET NOW (@ETNOWlive) May 3, 2023

• DCM Shriram is falling as its Q4FY23 net profit dips 53.5% YoY to Rs 186.7 crore and revenue declines by 2.7% YoY. The company’s profitability has been impacted by rising raw material and power & fuel costs, while its revenue is hit by weakness in its chloro-vinyl and farm solutions segments.

• KEI Industries is rising as its Q4FY23 net profit increases by 19% YoY to Rs 138.1 crore. Revenue also rises 9% YoY, led by growth in cables & wires and stainless-steel wires segments. The company's profit margin improves by 60 bps YoY to 7.07% in Q4. The stock has touched its 52-week high in the past week.

• Ambuja Cements is rising after reporting an increase in standalone net profit by 1.6% YoY to Rs 502.4 crore and an 8.4% rise in revenue. Expenses has grown 12% on high raw material costs in Q4. The company recommends a final dividend of Rs 2.5 per share for FY23. It shows up in a screener of stocks with growth in profit margin (QoQ).

• Tata Steel’s Q4FY23 net profit plunges by 82.5% YoY to Rs 1,704.9 crore and its revenue falls by 9.2% YoY due to declining steel prices and weakness in its European business. The stock shows up in a screener for companies with weak Piotroski scores.

Riding High:

Largecap and midcap gainers today include Indian Railway Finance Corporation Ltd. (35.45, 5.66%), MRF Ltd. (93,559.80, 5.60%) and InterGlobe Aviation Ltd. (2,164.10, 4.68%).

Downers:

Largecap and midcap losers today include Adani Wilmar Ltd. (397.45, -4.33%), Adani Enterprises Ltd. (1,839.00, -4.21%) and Adani Total Gas Ltd. (922.95, -3.76%).

Movers and Shakers

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

Top high volume gainers on BSE included Engineers India Ltd. (94.85, 14.90%), Ceat Ltd. (1,638.30, 7.68%) and Bharat Heavy Electricals Ltd. (86.95, 6.56%).

Top high volume losers on BSE were Manappuram Finance Ltd. (113.95, -12.14%), Bombay Burmah Trading Corporation Ltd. (979.40, -5.84%) and DCM Shriram Ltd. (804.40, -1.82%).

Jamna Auto Industries Ltd. (104.20, -0.53%) was trading at 10.2 times of weekly average. Jyothy Labs Ltd. (193.75, 0.78%) and MRF Ltd. (93,559.80, 5.60%) were trading with volumes 10.0 and 9.2 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

26 stocks overperformed with 52-week highs, while 1 stock was an underachiever and hit its 52-week low.

Stocks touching their year highs included - Akzo Nobel India Ltd. (2,422.00, 0.51%), Apollo Tyres Ltd. (355.35, 2.64%) and Carborundum Universal Ltd. (1,104.70, -1.03%).

Stock making new 52 weeks lows included - GlaxoSmithKline Pharmaceuticals Ltd. (1,248.15, 1.43%).

16 stocks climbed above their 200 day SMA including RHI Magnesita India Ltd. (684.00, 6.30%) and PNB Housing Finance Ltd. (485.25, 5.92%). 8 stocks slipped below their 200 SMA including Indiabulls Real Estate Ltd. (71.90, -1.84%) and V-Guard Industries Ltd. (246.20, -1.64%).