Trendlyne Analysis

Nifty 50 closed at 19,386.70 (-57.3, -0.3%), BSE Sensex closed at 65,252.34 (-181.0, -0.3%) while the broader Nifty 500 closed at 16,930.15 (-20.1, -0.1%). Market breadth is neutral. Of the 1,922 stocks traded today, 895 showed gains, and 978 showed losses.

Indian indices pared their gains from the afternoon session and closed in the red, with the Nifty 50 closing at 19,387. The volatility index, Nifty VIX, rose by 0.3% and closed at 11.7 points. GAIL India announces a capex of Rs 30,000 crore over the next three years for pipelines, ongoing petrochemical projects and city gas distribution projects.

Nifty Midcap 100 closed in the green, while Nifty Smallcap 100 closed lower, following the benchmark index. Nifty IT and Nifty FMCG closed higher, compared to Wednesday’s closing levels. According to Trendlyne’s sector dashboard, telecommunications equipment emerged as the top-performing sector of the day, with a rise of over 1.4%.

Most European indices trade in the green. US indices futures trade higher, indicating a positive start. Nasdaq futures rallied 1% after NVIDIA’s profits exceeded consensus estimates and announced a share buyback of $25 billion. NVIDIA’s Frankfurt-listed shares jumped 9% in early trade.

• Coforge sees a long buildup in its August 31 future series as its open interest rises 72% with a put-call ratio of 1.04.

• Swan Energy surges more than 7% in trade today. The stock ranks high on Trendlyne's checklist, with a score of 69.6%, and also appears in the 'Strong Buy' zone. The company features in a screener of stocks with increasing profits for the past three quarters.

• SpiceJet falls as the Delhi High Court orders the company and its promoter Ajay Singh to pay Rs 100 crore by September 10. Additionally, the company has been directed to pay a total of Rs 270 crore plus interest to Kalanithi Maran. The company appears in a screener of stocks with high promoter pledges.

• Aeroflex Industries' Rs 351 crore IPO gets bids for 76.77X the available 2.3 crore shares on offer on the third day of bidding. The retail investor quota gets bids for 30.35X of the available 1.2 crore shares on offer.

• Vishnu Prakash R Punglia's Rs 308.9 crore IPO gets bids for 2.45X the available 2.2 crore shares on offer on the first day of bidding. The retail investor quota gets bids for 3.43X of the available 1.1 crore shares on offer.

• Gujarat Ambuja Exports rises as it receives a no objection certificate (NOC) from the Gujarat Pollution Control Board. The NOC allows the company to set up a greenfield corn wet milling plant with a capacity of 900 tonnes per day (TPD) at Himmatnagar, Gujarat. The company appears in a screener of stocks with strong momentum.

• GMR Airports Infrastructure and Mahindra Holidays & Resorts touch their all-time highs of Rs 66.5 and Rs 397 respectively. The former has risen by 48.9% over the past month, while the latter increased by 9.5%.

• Procter & Gamble Health is falling as its Q1FY24 net profit dips by 27.6% YoY to Rs 29.8 crore, while its revenue increases by 2.6% YoY. The profit fall is attributed to the rise in employee benefit expenses. The company also features in a screener for stocks with no debt.

• GAIL India is rising as it aims for a capex of Rs 30,000 crore in the next three years. This investment will be directed towards pipelines, ongoing petrochemical ventures, and city gas distribution projects. The company also expects to transmit more than 120 MMSCMD of natural gas, with sales of over 100 MMSCMD in FY24.

• ICICI Securities maintains its ‘Sell’ rating on Garden Reach Shipbuilders & Engineers but raises the target price to Rs 440 from Rs 370. This implies a downside of 44.5%. The brokerage believes the stock has limited room for growth as it expects the firm’s revenue to peak in FY25. It also anticipates a decline in net profit after FY25.

• TVS Motor Company rises as it invests a total capex of Rs 250 crore for its newly launched TVS X electric scooter. The company appears in a screener of stocks nearing 52-week high with significant volumes.

• According to RBI Governor Shaktikanta Das, vegetable prices in India are projected to fall from September. This will lead to a moderation in CPI inflation, which reached 7.44% in July, the highest in 15 months.

  #RBI Governor Shaktikanta Das stated that vegetable prices in India are expected to decrease from September, potentially easing the recent surge in retail inflation, which reached 7.44% in July, the highest in 15 months.https://t.co/lglnqIbPhA

  — Mint (@livemint) August 24, 2023

• Zydus Lifesciences gets USFDA nod for its Zinc Sulfate Injection USP in three strengths: 10 mg/10 mL (1 mg/mL), 30 mg/10 mL (3mg/mL), and 25 mg/5 mL (5 mg/mL) pharmacy bulk package vials. This injection is used for adult and pediatric patients as a source of zinc for parenteral nutrition when oral or enteral nutrition is not possible. These vials generated annual sales of Rs 146 crore in the US in June.

• Sugar stocks like Bajaj Hindusthan Sugar, Shree Renuka Sugars, EID Parry (India) and Balrampur Chini Mills are rising as reports suggest that the Centre may ban sugar exports. The broader sugar industry is also trading in the green.

• Suzlon rises as it bags an order to develop a wind power project with a capacity of 31.5MW for Integrum Energy Infrastructure in Maharashtra and Karnataka. The project is expected to be commissioned by May 2024. The company appears in a screener of stocks with strong annual EPS growth.

• Porinju Veliyath sells a 0.7% stake in RPSG Ventures on August 16. He now holds a 2.1% stake in the company.

• Reports suggest that 1.5 crore shares (25.4% equity) of Coforge, amounting to Rs 7,329 crore, change hands through a block deal. HULST BV (Baring), promoter of the company, is the likely seller in this transaction.

  #LargeTrade | 1.54 cr shares (25.4% equity) of Coforge worth Rs 7,329.3 cr change hands in a block deal https://t.co/31af9kYV59 pic.twitter.com/5AuUKcLDB6

  — CNBC-TV18 (@CNBCTV18Live) August 24, 2023

• NHPC is rising as it signs a memorandum of understanding (MoU) with Andhra Pradesh Power Generation Corp to implement pumped storage hydropower and renewable energy projects. The MoU also allows the company to form joint ventures to operate and sell power generated at these plants.

• Reliance Industries announces that Qatar Investment Authority will invest Rs 8,278 crore to acquire nearly 1% stake in the firm’s arm, Reliance Retail Ventures, at an equity value of around Rs 8.3 lakh crore. The stock shows up in a screener for companies with net cash flows improving over the past two years.

• Manappuram Finance falls as an 11% stake in the company reportedly changes hands in a block deal today. Details about buyers and sellers remain unknown.

• Bernstein initiates coverage on One97 Communications (Paytm) with an ’Outperform’ rating and a target price of Rs 1,100. The brokerage highlights that the firm is a dominant player in the digital payments space. It expects strong growth in the company’s loan disbursal volumes and market share to improve to around 4%. With margins stabilizing in the payments segment, it anticipates the business to breakeven by FY25.

  Brokerage Radar | Bernstein on PayTM: Initiate Outperform; To be on the right side of the disruption pic.twitter.com/JZNIAUJGxE

  — ET NOW (@ETNOWlive) August 24, 2023

• Vishnu Prakash R Punglia raises Rs 91.8 crore from anchor investors ahead of its IPO by allotting 92.7 lakh shares at Rs 99 each. Investors include Quant Mutual Fund, Max Life Insurance Co, Societe Generale, Kotak Mahindra Life Insurance Co, BNP Paribas Arbitrage and Copthall Mauritius Investment.

• Vascon Engineers rises to an all-time high of Rs 65.7 as it bags an order worth Rs 605.7 crore from Bihar Medical Services & Infrastructure Corp. The order involves the construction of hospital and residential buildings for Lohia Medical College & Hospital, Supaul. The project is expected to be completed in 36 months. The company appears in a screener of stocks with improving RoA.

• Ramkrishna Forgings is rising as it bags a contract worth 17.2 million euros (approximately Rs 156 crore) from a Eurasian client to supply forged and machined transmission and engine components. The agreement is for four years, with an annual contract value of 4.7 million euros.

Riding High:

Largecap and midcap gainers today include Coforge Ltd. (5,390.85, 9.72%), MphasiS Ltd. (2,463.90, 4.66%) and APL Apollo Tubes Ltd. (1,655.60, 4.14%).

Downers:

Largecap and midcap losers today include Jio Financial Services Ltd. (213.45, -4.99%), Max Healthcare Institute Ltd. (563.30, -2.98%) and Bank of India (87.45, -2.35%).

Movers and Shakers

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

Top high volume gainers on BSE included Indiabulls Real Estate Ltd. (69.25, 10.45%), Coforge Ltd. (5,390.85, 9.72%) and GMR Airports Infrastructure Ltd. (64.90, 9.44%).

Top high volume losers on BSE were Procter & Gamble Health Ltd. (5,086.95, -4.80%), Manappuram Finance Ltd. (142.25, -2.64%) and Kalpataru Projects International Ltd. (633.20, -0.35%).

Gujarat Ambuja Exports Ltd. (257.30, 4.87%) was trading at 16.7 times of weekly average. Rallis India Ltd. (229.50, 5.30%) and G R Infraprojects Ltd. (1,269.00, 1.45%) were trading with volumes 16.0 and 7.0 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

53 stocks hit their 52 week highs, while 1 stock tanked below their 52 week lows.

Stocks touching their year highs included - 3M India Ltd. (30,589.95, 1.15%), AIA Engineering Ltd. (3,649.60, 0.20%) and Axis Bank Ltd. (981.35, 0.21%).

Stock making new 52 weeks lows included - Jio Financial Services Ltd. (213.45, -4.99%).

15 stocks climbed above their 200 day SMA including Indiabulls Real Estate Ltd. (69.25, 10.45%) and Gujarat Ambuja Exports Ltd. (257.30, 4.87%). 5 stocks slipped below their 200 SMA including Aptus Value Housing Finance India Ltd. (267.65, -2.00%) and Reliance Industries Ltd. (2,479.80, -1.68%).