Trendlyne Analysis

Nifty 50 closed at 19,265.80 (-120.9, -0.6%), BSE Sensex closed at 64,886.51 (-365.8, -0.6%) while the broader Nifty 500 closed at 16,820.85 (-109.3, -0.7%). Of the 1,926 stocks traded today, 694 showed gains, and 1,180 showed losses.

Indian indices extended the losses from the afternoon session and closed in the red, with the Nifty 50 closing at 19,266. The volatility index, Nifty VIX, rose by 3.2% and closed at 12.1 points. Aurobindo Pharma plans to sell its injectable business for $2 - $2.5 billion.

Nifty Smallcap 100 and Nifty Midcap 100 closed in the red following the benchmark index. Nifty Realty and Nifty Metal closed sharply lower, compared to Thursday’s closing levels. According to Trendlyne’s sector dashboard, forest materials emerged as the top-performing sector of the day, with a rise of over 3.6%.

Most European indices trade in the green. US indices futures trade higher, indicating a positive start. Germany’s GDP contracted 0.2% in the second quarter of 2023 giving rise to recessionary fears. JP Morgan expects the European Central Bank (ECB) to pause rate hikes in the ECB’s next monetary policy meeting.

• Money flow index (MFI) indicates that stocks like GMR Airports Infrastructure, Solar Industries India, Trent and Whirlpool of India are in the overbought zone.

• Lupin receives US FDA approval for its abbreviated new drug application for Pirfenidone Tablets in strengths of 267 mg and 801 mg. It is used for treating idiopathic pulmonary fibrosis, a lung condition. The tablets have an estimated annual sales of $218 million in the United States. The company appears in a screener of stocks with strong annual EPS growth.

• Suzlon Energy is rising as it wins an order to install 64 of its largest wind turbine generators with a rated capacity of 3.15 MW each. The order amounts to a total installation capacity of 201.6 MW. The wind power project is expected to be commissioned in 2025. The stock shows up in a screener for companies with strong annual EPS growth.

• The Fertilisers and Chemicals Travancore, APL Apollo Tubes, and Tata Elxsi’s stock prices increase 813.8%, 610.3% and 581.3% respectively over the past three years.

• Union Bank of India falls despite its board of directors approving the allotment of 57.8 crore shares for Rs 5,000 crore through qualified institutional placement (QIP). SBI Life Insurance, ICICI Prudential Life Insurance and Life Insurance Corp of India are the largest buyers as they are allotted more than 10% share each.

• Premier Explosives and Supreme Industries touch their 52-week highs of Rs 1,218 and Rs 4,566.4 respectively. The former has risen 23.4% over the past month, while the latter increased by 20.2%.

• Power companies like Adani Energy Solutions, ABB India, Adani Power, Power Grid Corp of India and NTPC are falling in trade. Barring CG Power and Industrial Solutions, all the other constituents of the broader sectoral index, BSE Power, are trading in the red.

• Vishnu Prakash R Punglia's Rs 308.9 crore IPO gets bids for 10.63X the available 2.2 crore shares on offer on the second day of bidding. The retail investor quota gets bids for 12.88X of the available 1.1 crore shares on offer.

• Foreign institutional investors invest Rs 90.4 crore in the equity market over the past week, according to Trendlyne's FII dashboard. Meanwhile, index options witness the highest investment of Rs 12,850.6 crore from foreign investors.

• Sanjay Tibrewala, Whole-Time Director and CFO at Fineotex Chemicals, says the company is aiming for a revenue of around Rs 600 crore in FY24, with margins of 23-25%. He also highlights that it derives around 35% of volumes from the textiles industry, and expects it to grow further as demand improves.

  FINEOTEX CHEMICALS
  
  Mgmnt targets ~600 Cr revenue this year with 23-25% margins
  
  Targets capacity utilization of 75% in FY24 on expanded capacity
  
  Says textile demand is looking up, 50% revenue & 35% volumes generated from Textiles #StockMarket https://t.co/qjTon1kdxW

  — Mangalam Maloo (@blitzkreigm) August 25, 2023

• Max Ventures Holdings, promoter of Max Financial Services, sells a 3.6% stake in the company. It now holds a 6.4% stake in the company.

• Indiabulls Housing Finance rises more than 5% in trade as it repays Rs 2,232 crore of dollar-denominated external commercial borrowings to ANZ banking group, Barclays bank PLC and State Bank of India. With this, the company has repaid all its foreign currency debt taken in the past few years. It appears in a screener of stocks with strong momentum.

• Bharat Electronics rises to an all-time high of Rs 137.9 as the Defence Acquisition Council grants 'acceptance of necessity' to the Indian Air Force for acquiring electronic warfare (EW) suites from the company. These advanced defence components will be integrated into Mi-17 V5 helicopters, enhancing their survivability. Reports indicate that the order amounts to approximately Rs 7,800 crore.

• According to reports, 2.3 crore shares (3.6% equity) of One97 Communications (Paytm) have changed hands in a block deal. Its promoter Antfin is the likely seller.

  #MarketsWithBS | Shares of One97 Communications-owned #Paytm hit a 18-month high at Rs 939, as they rallied 4% on the #BSE in Friday’s intra-day trade.#markets #One97Communications #buzzingstocks #sharemarket #stockmarket #buzzingstocks https://t.co/22KMPJkeys

  — Business Standard (@bsindia) August 25, 2023

• Sun TV Network surges more than 5% to touch a new 52-week high of Rs 615.8 per share. It ranks high on Trendlyne's checklist with a score of 69.6%. The stock has a consensus estimate of 'Strong Buy' from 11 out of 17 analysts. However, it is in the 'Sell' zone. It appears in a screener of affordable stocks with high return on equity (RoE) and momentum.

• ICICI Direct maintains its ‘Buy’ rating on Can Fin Homes with a target price of Rs 930, implying an upside of 26.4%. The brokerage believes the company’s future growth will be driven by geographic expansion, increasing ticket size and robust underwriting practices. It expects the firm’s net profit to grow at a CAGR of 16.7% over FY23-25.

• PSU banks like Indian Bank, Punjab & Sind Bank, UCO Bank and Punjab National Bank are falling in trade today. All other constituents of the broader Nifty PSU Bank index are also trading in the red.

• Nomura initiates coverage on Birlasoft with a ‘Buy’ rating and a target price of Rs 610. The brokerage believes that the recent organisational changes will enhance stability and revenue. It highlights that the firm’s business metrics have improved substantially over the years and anticipates industry-leading growth in the medium term.

  Brokerage Radar | @Nomura on Birlasoft: Initiate ‘Buy’; Ongoing organization changes to drive stability and revenue growth pic.twitter.com/FJAPXi5tLt

  — ET NOW (@ETNOWlive) August 25, 2023

• Bharti Airtel adds 1.4 million new customers to its wireless subscriber base and 1,34,021 to the wireline segment. As of June 2023, the company's total broadband subscribers stand at 248.06 million, placing it in the 2nd position among the top five telecom service providers. It appears in a screener for stocks with consistent share price growth.

• Hulst B V, promoter of Coforge, sells a 26.6% stake in the company for approx Rs 7,683.5 crore in a bulk deal on Thursday.

• Power Mech Projects is rising as it bags two orders worth Rs 723.9 crore. The first project, valued at Rs 565.2 crore, is from Madhya Pradesh State Mining Corp and involves sand mining for three years. The second, worth Rs 158.7 crore, is from Raichur Power Corp and involves the maintenance and operation of a coal-based thermal power station in Karnataka.

• According to reports, 74.1 lakh shares (2.6% equity) of UNO Minda, amounting to Rs 447 crore, have changed hands in a block deal.

  #UnoMinda #LargeTrade | 74.1 lakh shares (2.6% equity) worth ?447 cr change hands in block deal pic.twitter.com/KUPG9WiAfk

  — CNBC-TV18 (@CNBCTV18Live) August 25, 2023

• Ashish Kacholia buys an 8.5% stake in Universal Autofoundry for approx Rs 16.7 crore in a bulk deal on Thursday.

• Kaynes Technology rises to an all-time high of Rs 2149.9 as it signs a memorandum of understanding with the Government of Karnataka to invest Rs 3,750 crore. The investment aims to set up a semiconductor assembly & testing (OSAT) facility and a printed circuit board (PCB) manufacturing plant through its subsidiaries. The company appears in a screener of stocks with improving RoA.

• Astra Microwave Products rises as it bags an order worth Rs 158 crore from the Defence Research and Development Organisation (DRDO), the Indian Space Research Organisation (ISRO), and the Defence Public Sector Undertaking (DPSU). The order involves the supply of satellite sub-systems, airborne Radar, and sub-systems of radar and electronic warfare projects. The company appears in a screener of stocks nearing their 52-week highs, with significant volumes.

• Shoppers Stop’s Managing Director and CEO, Venu Nair, resigns from his post with effect from August 31, citing personal reasons. The company appoints Kavindra Mishra, CEO of Homestop, as the Executive Director and CEO for a three-year term from September 1.

Riding High:

Largecap and midcap gainers today include Vodafone Idea Ltd. (8.70, 9.43%), Tube Investments of India Ltd. (2,882.75, 4.08%) and Indus Towers Ltd. (168.35, 2.93%).

Downers:

Largecap and midcap losers today include Macrotech Developers Ltd. (654.80, -3.97%), Syngene International Ltd. (766.35, -3.77%) and Mahindra & Mahindra Financial Services Ltd. (294.25, -3.22%).

Volume Shockers

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

Top high volume gainers on BSE included Vodafone Idea Ltd. (8.70, 9.43%), Asahi India Glass Ltd. (558.70, 9.42%) and Indiabulls Housing Finance Ltd. (172.95, 8.91%).

Top high volume losers on BSE were Shoppers Stop Ltd. (709.05, -12.71%), Blue Star Ltd. (704.70, -3.39%) and Endurance Technologies Ltd. (1,609.65, -2.66%).

UNO Minda Ltd. (592.85, -2.04%) was trading at 13.8 times of weekly average. Mastek Ltd. (2,256.75, 2.56%) and Firstsource Solutions Ltd. (168.20, 7.44%) were trading with volumes 8.4 and 4.1 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

23 stocks hit their 52-week highs, while 2 stocks hit their 52-week lows.

Stocks touching their year highs included - 3M India Ltd. (3,0340.75, -0.68%), AIA Engineering Ltd. (3,650.00, 0.01%) and Bharat Electronics Ltd. (133.40, -0.74%).

Stocks making new 52 weeks lows included - Vedanta Ltd. (233.30, -1.79%) and Jio Financial Services Ltd. (214.50, 0.49%).

11 stocks climbed above their 200 day SMA including Asahi India Glass Ltd. (558.70, 9.42%) and Tube Investments of India Ltd. (2,882.75, 4.08%). 9 stocks slipped below their 200 SMA including Shoppers Stop Ltd. (709.05, -12.71%) and Ambuja Cements Ltd. (434.60, -3.20%).