Trendlyne Analysis

Nifty 50 closed at 18,593.85 (59.8, 0.3%), BSE Sensex closed at 62,787.47 (240.4, 0.4%) while the broader Nifty 500 closed at 15,859.50 (48.3, 0.3%). Of the 2,008 stocks traded today, 1,161 were gainers and 778 were losers.

Indian indices maintained their gains and closed in the green, with the Nifty 50 closing just below the 18,600 mark. Investors are looking ahead to RBI's three-day monetary policy committee (MPC) meeting, scheduled to start on Tuesday. Analysts expect the MPC to keep the benchmark policy repo rate unchanged at 6.50%.

Nifty Smallcap 100 closed in the green, following the benchmark index. However, Nifty Midcap 100 pared its early gains and closed flat. Nifty Auto and Nifty Energy closed higher than Friday’s close. According to Trendlyne’s sector dashboard, Telecommunications Equipment was the top-performing sector of the day.

Major Asian indices closed in the green, except for Taiwan’s TSEC 50 and China’s Shanghai SE Composite, which closed flat. European indices continued to trade mixed, in line with US indices futures, which also traded mixed. Investors awaited for cues from purchasing managers index or PMI data of Germany, France and Italy, scheduled to be released later today.

• Relative strength index (RSI) indicates that stocks like Birla Corp, Dixon Technologies, IDFC First Bank and Can Fin Homes are in the overbought zone.

• Suresh Iyer, MD & CEO of Can Fin Homes, says that demand is improving and expects the company's AUM (assets under management) to grow around 18-20%.

  #OnCNBCTV18 | AUM growth without capital infusion can be at 17-18%, there is no clean-up required in the company
  
  Rate hike impact has been mainly on the liability side
  
  Suresh Srinivasan Iyer of Can Fin Homes to CNBC-TV18 pic.twitter.com/ifcEXiIi0u

  — CNBC-TV18 (@CNBCTV18Live) June 5, 2023

• eClerx Services, Raymond, Narayana Hrudayalaya, Tata Communications and Bata India outperform their industries in terms of annual growth and capital returns.

• Wonderla Holidays is rising as the Tamil Nadu government grants a 10% waiver on the local body tax (LBT) for a period of 10 years from the date of commencement of operations. The waiver for its Chennai project is subject to the condition that commercial operations must commence within two years from June 2, 2023.

• Britannia Industries' annual return on equity (RoE) stands at 65.7% in FY23, rises 39.2 percentage points over the past five years.

• Electronic components, shipping and other non-ferrous metals industries rise more than 10% over the past week.

• Suzlon Energy surges in trade today as it becomes the first Indian wind energy company to reach 20GW of worldwide wind energy installations. It appears on a screener for stocks with strong annual EPS growth.

• Tata Power’s arm, Tata Power Renewable Energy, commissions a 110 MW solar power project in Rajasthan, which will supply green power to the Kerala State Electricity Board. The stock shows up in a screener for companies with high TTM EPS growth.

• Indian rupee depreciates 14 paise to 82.53 against the US dollar in early trade today due to a strong dollar and rising crude oil prices.

  The rupee depreciated 14 paise to 82.53 against the US dollar in early trade on Mondayhttps://t.co/K0MuksXeTr

  — ETMarkets (@ETMarkets) June 5, 2023

• Telecommunications equipment manufacturers like ITI, HFCL, Sterlite Technologies and Optiemus Infracom are rising in trade. The broader sector of telecommunications equipment is also trading in the green.

• ICICI Securities maintains its ‘Sell’ rating on Mazagon Dock Shipbuilders with a target price of Rs 600. This implies a downside of 35.1% from the current market price. The brokerage remains pessimistic about the company’s long-term prospects due to the absence of order visibility and uncertainty regarding repeat orders. It expects the firm’s net profit to grow at a CAGR of 2.5% over FY23-25.

• JP Morgan downgrades Vedanta's rating to 'Neutral' from 'Overweight' and lowers the target price to Rs 280. It maintains its 'Underweight' call on Hindustan Zinc and reduces the target price to Rs 205. The brokerage explains that the sharp decline in LME zinc prices will result in EPS cuts by 23% for FY24/25.

  Brokerage Radar | @jpmorgan on @Vedanta_Group & @Hindustan_Zinc; Sharp decline in LME zinc prices, drives 23% EPS cuts for FY24/25 #StockMarket pic.twitter.com/sEiTskwekq

  — ET NOW (@ETNOWlive) June 5, 2023

• Lupin touches its 52-week high of Rs 831.3 per share after launching Darunavir tablets in the US. These tablets are a generic version of Janssen Products' Prezista tablets and are used for HIV treatment. IQVIA reports estimate sales of $308 million for the drug in FY23.

• Patel Engineering rises as it wins an order worth Rs 519.5 crore for the design and construction of a water tunnel and allied works in Raigad district from CIDCO.

• Nava is surging as its Zambian subsidiary, Maamba Collieries, repays loans worth $277 million (approximately Rs 2,296 crore). The subsidiary's outstanding debt currently stands at $206 million (approximately Rs 1,707 crore).

• NTPC rises marginally as its subsidiary, NTPC Green Energy, enters into a joint venture (JV) with Indian Oil Corporation (IOCL). The JV aims to develop renewable energy power projects to supply 650 MW for IOCL. The JV will be equally owned by NTPC Green Energy and IOCL.

• India’s Services PMI falls to 61.2 in May, compared to 62 in April. However, the PMI reading has remained above the 50-mark for 22 consecutive months.

  #NewsAlert ????India's services activity remained robust in May even though the sector's Purchasing Managers' Index (PMI) declined to 61.2 from 62.0 in April
  
  Take a look at recent data??https://t.co/sU7QLqTRYg#India #PMI #PMIData #Markets #Economy

  — Moneycontrol (@moneycontrolcom) June 5, 2023

• RateGain Travel Technologies rises as Aditya Birla Sun Life AMC increases its stake by 3.2% (25,34,000 shares). Following this transaction, ABSL's stake in RateGain stands at 5.2%.

• Tata Chemicals surges in trade as it reportedly signs an MoU with the Gujarat government to establish a 20 GW capacity lithium-ion cell manufacturing factory, investing Rs 13,000 crore. The company plans to rationalize its US operations by reorganizing the number of intermediate entities. It appears in a screener for stocks with low debt.

• Wipro sets June 16, 2023, as the record date for the Rs 12,000 crore buyback plan of up to 26.9 crore equity shares (representing 4.91%), with a face value Rs 2 each from the shareholders.

• Retail sales for the automotive industry rise by 10.1% YoY to 20.2 lakh units in May, shows data from the Federation of Automotive Dealers' Association. Two-wheeler retail sales are up 9.3% YoY, while cars increase by 4.3% YoY.

  FADA May Data | Total vehicle retail sales up 10.1% at 20.19 lk units vs 18.33 Lk Units YoY, total 2-wheeler sales up 9.3% at 14.93 lakh units vs 13.65 lakh units YoY: FADA May Data pic.twitter.com/aptAHpogOg

  — CNBC-TV18 (@CNBCTV18Live) June 5, 2023

• Media stocks like Zee Entertainment Enterprises, PVR INOX, Sun TV Network and Nazara Technologies are rising in trade. The broader sectoral index Nifty Media is also trading in the green.

• Angel One rises as the average daily turnover (ADTO) for May increases by 146.4% YoY to Rs 22,03,700 crore. The surge of 148.3% YoY in futures and options ADTO contributes the most to the overall increase.

• Paytm (One97 Communications) is rising as its loan disbursements grow by 168% YoY to Rs 9,618 crore in May 2023, with a distribution growth of 54% YoY to 85 lakh loans. It appears in a screener of stocks with brokers upgrading recommendations.

• Minda Corp’s board of directors approves a proposal to raise Rs 600 crore through further issuance of securities through public or private offerings, including preferential issue, qualified institutions placement, or further public offer. The stock shows up in a screener for companies with low debt.

Riding High:

Largecap and midcap gainers today include Torrent Power Ltd. (588.55, 4.39%), Adani Transmission Ltd. (828.00, 4.20%) and Mahindra & Mahindra Ltd. (1,395.40, 4.03%).

Downers:

Largecap and midcap losers today include Gujarat Fluorochemicals Ltd. (3,192.20, -3.30%), Info Edge (India) Ltd. (4,136.90, -3.03%) and Au Small Finance Bank Ltd. (750.95, -2.91%).

Crowd Puller Stocks

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

Top high volume gainers on BSE included Mazagon Dock Shipbuilders Ltd. (986.10, 17.62%), Cochin Shipyard Ltd. (558.90, 11.49%) and NLC India Ltd. (98.25, 6.16%).

Top high volume losers on BSE were Brightcom Group Ltd. (19.55, -4.87%), Endurance Technologies Ltd. (1,485.30, -1.15%) and L&T Finance Holdings Ltd. (105.05, -0.47%).

Rossari Biotech Ltd. (805.25, 5.85%) was trading at 11.7 times of weekly average. Tata Chemicals Ltd. (995.55, 2.66%) and Galaxy Surfactants Ltd. (2,551.00, 3.57%) were trading with volumes 10.0 and 9.7 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

43 stocks hit their 52-week highs,

Stocks touching their year highs included - 3M India Ltd. (26,660.00, 1.55%), AIA Engineering Ltd. (3,109.65, 1.68%) and Apollo Hospitals Enterprise Ltd. (4,950.20, -0.34%).

20 stocks climbed above their 200 day SMA including Rossari Biotech Ltd. (805.25, 5.85%) and Trident Ltd. (34.00, 5.26%). 9 stocks slipped below their 200 SMA including Aegis Logistics Ltd. (318.10, -4.67%) and Swan Energy Ltd. (244.90, -2.91%).