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Trendlyne Marketwatch
16 Jan 2026
Market closes higher, buoyed by a rally in IT stocks
By Trendlyne Analysis

 

Nifty 50 closed at 25,694.35 (28.8, 0.1%), BSE Sensex closed at 83,570.35 (187.6, 0.2%) while the broader Nifty 500 closed at 23,485.30 (9.5, 0.0%). Market breadth is in the red. Of the 2,613 stocks traded today, 1,019 were gainers and 1,550 were losers.

Indian indices closed in the green after rising throughout the day, buoyed by a rally in IT stocks on strong Q3FY26 earnings from Infosys. The Indian volatility index, Nifty VIX, closed higher at 11.4 points. Infosys closed higher as its Q3FY26 revenue grew 9% QoQ, driven by improvements across businesses.

Nifty Smallcap 100 closed lower, while Nifty Midcap 100 closed in the green, tracking the benchmark index. Nifty IT and Nifty Capital Markets were among the highest-performing indices of the day. According to Trendlyne’s sector dashboard, Software & Services emerged as the best-performing sector of the day, with a rise of 2.2%.

European indices are trading lower, except Russia’s RTSI and MOEX indices. Major Asian indices closed mixed. US index futures are trading higher, indicating a positive start to the session. AI stocks rise in the pre-market session after Taiwan Semiconductor Manufacturing Co reports strong results.

  • Money flow index (MFI) indicates that stocks like Cohance Lifesciences, ITC, Rainbow Childrens Medicare and Triveni Engineering are in the oversold zone.

  • Bharat Forge secures defence contracts worth around Rs 300 crore to supply indigenous unmanned systems to the Indian Army and Navy. The contracts include intelligence, surveillance and reconnaissance platforms and loitering munitions.

  • Ventura initiates coverage on Jubilant Pharmova with a 'Buy' call and a target price of Rs 1,557 per share. This indicates a potential upside of 47.6%. The brokerage believes that the company's Rs 3,500-4,500 crore capex to expand CDMO, CRDMO, radiopharmacies, proprietary novel drugs, and maintenance in generics and allergy immunotherapy will drive revenue growth. It expects the firm to deliver a revenue CAGR of 11% over FY26-28.

  • Central Bank of India rises as its Q3FY26 net profit grows 30.6% YoY to Rs 1,265 crore, helped by a 27% decline in tax expenses. Revenue grows 12.6% to Rs 11,007 crore, led by improvements in the treasury operations, wholesale and retail banking segments. The bank's asset quality improves as its gross and net NPAs decline by 116 bps and 14 bps, respectively.

  • BNP Paribas expects a mixed December quarter for India’s pharmaceuticals and healthcare sector, with price erosion in key US generics pressuring drugmakers, while hospital chains see steady growth from capacity additions. The brokerage forecasts YoY revenue growth of 9% for pharmaceuticals, 15% for hospitals, and 16% for diagnostics in Q3 FY26.

  • Leela Palaces Hotels & Resorts is rising sharply as its Q3FY26 net profit surges 161.8% YoY to Rs 147.9 crore, owing to lower finance and depreciation & amortisation expenses. Revenue jumps 16.7% to Rs 470.9 crore during the quarter. The company appears in a screener of stocks outperforming their industries over the past month.

  • HDFC Life Insurance is falling as its Q3FY26 net profit declines marginally by 0.7% YoY to Rs 418.2 crore, missing Forecaster estimates by 2.4%. However, revenue grows 71.7% to Rs 29,157 crore, helped by a surge in income from investments. It shows up in a screener of stocks where promoters are decreasing their shareholding.

  • Restaurant Brands Asia's board of directors schedules a meeting on January 20 to consider a proposal to raise funds by issuing equity shares and other securities through a rights issue, qualified institutional placement (QIP) or other mode.

  • Jefferies reiterates a 'Buy' rating on HDFC AMC with a higher target price of Rs 3,120. The brokerage says assets under management (AUM) rose 19% YoY in Q3 on the back of strong equity inflows, with equity AUM up 20% and accounting for 67% of total assets, reinforcing HDFC AMC’s equity focus. Market share in equity and debt remains stable, though slower inflows into lower-margin liquid funds may weigh on the near-term revenue mix.

  • Federal Bank is rising sharply as its Q3FY26 net profit jumps 9% YoY to Rs 1,041.2 crore, helped by lower interest expenses. Revenue grows 3.1% to Rs 7,967.8 crore owing to improvements in the corporate and retail banking segments. The bank's asset quality improves as its gross & net NPAs decline 23 bps and 7 bps, respectively.

  • South Indian Bank rises sharply to its new 52-week high of Rs 45.2 as its Q3FY26 net profit grows 9.5% YoY to Rs 374.5 crore. Revenue increases 8% to Rs 3,003.3 crore, driven by improvements in the treasury and retail banking segments. The bank's asset quality improves as its gross and net NPAs contract by 163 bps and 80 bps, respectively.

  • Infosys rises sharply as its Q3FY26 revenue grows 8.9% QoQ to Rs 45,479 crore, driven by improvements in the financial services, manufacturing, energy and utilities segments. However, net profit declines 9.6% to Rs 6,654 crore due to the impact of new labour codes. It features in a screener of stocks with book value per share improving over the last two years.

  • Motilal Oswal maintains a 'Buy' rating on Billionbrains Garage Ventures (Groww) with a higher target price of Rs 190. The brokerage notes that the company continues to post strong revenue growth, driven by increasing product adoption and robust user activation. Its brokerage business is gaining market share across segments, supported by recent product launches like MTF (Margin Trading Facility) and commodities.

  • Larsen & Toubro is rising as its hydrocarbon onshore business secures an order worth Rs 2,500-5,000 crore from Petronet LNG. As per the order, the company will construct a 1.7 lakh cubic metre liquified natural gas (LNG) and a 1.4 lakh cubic metre propane storage tanks in Gujarat.

  • IndiaMART InterMESH rises sharply as Nalanda India Equity Fund acquires 11 lakh equity shares for Rs 232 crore at an average price of Rs 2,110 via a block deal. Smallcap World Fund was likely the seller in the transaction.

  • Insolation Energy surges more than 10% after its subsidiary, Insolation Green Energy, signs a memorandum of understanding (MoU) with Bondada Engineering to supply solar modules from 2027 to 2028.

  • Cipla falls over 2% as Nuvama downgrades its stock to a 'Reduce' rating and cuts the target price to Rs 1,360, citing weak near-term earnings visibility. The downgrade follows a temporary production halt at Pharmathen, impacting supplies of Cipla’s key drug Lanreotide, with re-supply expected only in H1FY27.

  • LTIMindtree is rising sharply as it secures an order worth Rs 3,000 crore from the Central Board of Direct Taxes (CBDT) for the Insight 2.0 project. Under the project, the company will develop an AI-powered program to modernise India's tax analytics platform.

  • 360 One Wam rises sharply as its net profit grows 18.4% YoY to Rs 327.3 crore in Q3FY26. Revenue increases 51.5% to Rs 1,181.5 crore, driven by improvements in the wealth and asset management segments. It features in a screener of stocks near their 52-week high.

  • Angel One is rising sharply as its Q3FY26 net profit beats Forecaster estimates by 4.7% despite falling 4.6% YoY to Rs 268.7 crore due to higher finance and employee benefits expenses. Revenue grows 5.8% to Rs 1,337.7 crore, driven by improvements in average daily turnover, credit disbursals and client base. Its board of directors approves a 1:10 stock split.

  • Amit Chadha, MD & CEO of L&T Technology Services, says FY26 revenue would have been in double digits if the company had not exited parts of its portfolio. He adds that the company aims to achieve a 16.5% EBIT margin by Q4FY27. Chadha, notes that business recalibration has been largely in the hi-tech segment, with some impact on mobility, as the company pivots toward higher margins.

  • Emmvee Photovoltaic Power rises as its Q3FY26 net profit surges 165.8% YoY to Rs 263.6 crore, supported by lower finance costs and higher inventory destocking. Revenue jumps 116.9% to Rs 1,167.9 crore, led by an improvement in the photovoltaic modules segment. It features in a screener of stocks where mutual funds increased their shareholding over the past month.

  • Zen Technologies surges after securing orders worth Rs 404 crore from the Ministry of Defence for anti-drone systems, training simulators and supporting equipment.

  • Indian Hotels rises as its board of directors approves the acquisition of a 51% stake in Brij Hospitality for Rs 225 crore through its subsidiaries, ANK Hotels and Pride Hospitality.

  • L&T Technology Services is falling sharply as its Q3FY26 net profit declines 7.9% QoQ to Rs 302.6 crore due to higher employee benefits expenses. Revenue decreases 2.9% to Rs 2,956.8 crore, caused by a reduction in the tech segment. It shows up in a screener of stocks with growing costs YoY for long-term projects.

  • Nifty 50 was trading at 25,730.45 (64.9, 0.3%), BSE Sensex was trading at 83,670.79 (288.1, 0.4%), while the broader Nifty 500 was trading at 23,541.05 (65.2, 0.3%).

  • Market breadth is in the green. Of the 2,165 stocks traded today, 1,211 were gainers and 868 were losers.

Riding High:

Largecap and midcap gainers today include Federal Bank Ltd. (270.25, 9.5%), Oracle Financial Services Software Ltd. (7,959.50, 5.7%) and Infosys Ltd. (1,689.80, 5.6%).

Downers:

Largecap and midcap losers today include L&T Technology Services Ltd. (3,917.10, -7.7%), GE Vernova T&D India Ltd. (2,621.30, -6.3%) and Hitachi Energy India Ltd. (16,214, -4.3%).

Volume Shockers

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

Top high volume gainers on BSE included Federal Bank Ltd. (270.25, 9.5%), Angel One Ltd. (2,752.20, 9.0%) and IndiaMART InterMESH Ltd. (2,289, 8.3%).

Top high volume losers on BSE were HBL Engineering Ltd. (796.05, -9.4%), L&T Technology Services Ltd. (3,917.10, -7.7%) and Leela Palaces Hotels & Resorts Ltd. (441.10, -2.5%).

Poly Medicure Ltd. (1,644.90, -1.3%) was trading at 14.5 times of weekly average. Zen Technologies Ltd. (1,328.40, 8.2%) and Sterling and Wilson Renewable Energy Ltd. (209.93, 6.0%) were trading with volumes 13.6 and 12.1 times weekly average respectively on BSE at the time of posting this article.

BSE 500: highs, lows and moving averages

13 stocks made 52 week highs, while 26 stocks hit their 52 week lows.

Stocks touching their year highs included - Axis Bank Ltd. (1,294.20, -0.4%), Bank of Baroda (308.25, 0.2%) and Bank of India (157.34, 2.9%).

Stocks making new 52 weeks lows included - Bata India Ltd. (900.05, -0.6%) and ITC Ltd. (329.20, -1.7%).

12 stocks climbed above their 200 day SMA including Angel One Ltd. (2,752.20, 9.0%) and Coforge Ltd. (1,732.30, 3.0%). 17 stocks slipped below their 200 SMA including L&T Technology Services Ltd. (3,917.10, -7.7%) and Redington Ltd. (263.50, -3.7%).

 
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