Share Market Highlights 26 February 2024: Sensex sheds 353 pts, Nifty closes at 22,122 on profit taking, mixed global cues

The rupee gained 2 paise to settle at 82.89 (provisional) against the US dollar in a range-bound trade on Monday, tracking volatility in the equity market.

Forex traders said inflow of foreign funds and softer crude oil prices provided support to the Indian currency.

Also, the dollar retreated from higher levels as investors moved cautiously ahead of inflation and other macroeconomic data to be released in India and elsewhere this week, they said.

At the interbank foreign exchange market, the local unit opened at 82.88 and finally settled at 82.89 (provisional) against the dollar, registering a gain of 2 paise from its previous close.

“Gold prices experienced volatility during the week, fluctuating between 62200 and 62340. The week began with a minor gap down opening, influenced by weakness observed in the comex market at the start of Monday morning. Market participants are closely monitoring major data releases that are expected to impact both the US Dollar and gold prices throughout the week. 

“As a result, heightened volatility is anticipated in the gold market. Given the significance of the upcoming data releases, gold is expected to remain within a range of 62000 to 62600. However, considering the potential impact of the major data releases, there is a possibility for gold to break out of this range-bound trading pattern. Traders and investors are advised to remain vigilant and monitor developments closely to capitalise on potential opportunities in the gold market.”

PNC Infratech has received letter of acceptance from Madhya Pradesh Public Works Department through Office of Chief Engineer, PWD Bridge Zone, for construction of four lane elevated corridor/flyover from Maharani Laxmibai Pratima to AB Road (NH 46) near Cirwai Police Chouki on Swarn Rekha River in Cwalior City (2nd phase) in Madhya Pradesh on EPC mode. 

The contract is valued at ₹690 crore.

Stock closed at ₹452 on the NSE, higher by 6.50%.

The contract is valued at about $9.13 million. 

The stock of Kilitch Drug (India) Ltd closed higher by 4.50% at ₹423.60.

ITI Limited has signed MoUs with Lekha Wireless, Niral Networks, and InstaICT Solution, aimed at driving the adoption of 5G technology in the country.

ITI stock rises by 2.14% on the BSE to trade at ₹321.50

Aarvi Encon Limited informed that its subsidiary Aarvi Encon Staffing Services has received work order from one of a leading multinational engineering company in Qatar to provide manpower supply of technical services.

Aarvi Encon stock rose 1.79% on the NSE, trading at ₹142.55.

Asian Paints (-3.87%)

Hindalco (-2.60%)

Apollo Hospitals (-2.59%)

Divi’s Laboratories (-2.15%)

Tech Mahindra (-1.99%)

L&T (2.39%)

Power Grid (1.83%)

BPCL (1.63%)

Tata Consumers (1.53%)

Adani Enterprises (1.49%)

SAIL (-2.66%)

Hindalco (-2.59%)

Ratna Metals (-2.44%)

Tata Steel (-1.72%)

As of 2:45 pm on February 26, 2024, the GPT Healthcare IPO has garnered a subscription of 4.05 times. The Qualified Institutional Buyer (QIB) portion has been oversubscribed by 6.45 times, Non-Institutional Investors (NII) by 5.59 times, and Retail investors by 2.03 times. The issue closes today.

Strong Growth: Our analysis of auto companies reveals substantial year-on-year growth in revenue, EBITDA, and PAT, attributed to higher average selling prices (ASPs), increased sales volumes, and enhanced operating leverage.

Margin Improvement: EBITDA margins witnessed significant expansion year-on-year, driven by higher ASPs and operating leverage. Although experiencing a slight quarter-on-quarter decline, select companies’ operational excellence mitigated overall margin pressures.

Positive Bottom-line Results: Despite a quarter-on-quarter decrease in aggregate revenue and PAT, operational efficiency and stable raw material costs contributed to a favourable bottom-line performance.

Power Grid Corporation stock achieves 52-week high at ₹291.50, currently trading at ₹288.25, up by 2.23% on NSE.

Bharti Airtel opens nine new stores in Coimbatore across various locations. The NSE stock saw a 1.39% decline, trading at ₹110.10.

CreditAccess Grameen Limited achieves ₹25,000 crore AUM milestone in its 25th year, with AUM growth fuelled by robust customer additions. Udaya Kumar Hebbar, Managing Director, expresses gratification and emphasizes the company’s customer-centric approach and robust balance sheet. He highlights the vast rural growth potential and reaffirms commitment to sustainable growth leveraging the company’s strengths.

Alkem Laboratories refutes tax evasion allegations, assures compliance. Despite hitting a 52-week high earlier, stock declines 6.23% on NSE.

Sealmatic India Limited has attained certification from the National Board of Boiler & Pressure Vessel (NBBI), a prestigious achievement acknowledged especially in the US market, stated the company in its regulatory disclosure. On the BSE, shares are trading at ₹840, marking a 2.56% increase.

Mangaluru-based Mukka Proteins Limited announces its Initial Public Offering (IPO) opening on February 29, with a price band of ₹26-28 per share. The IPO, consisting entirely of fresh shares, aims to raise funds for working capital and investment in its associate company. Mukka Proteins, a major player in India’s Fish Protein sector, plans to utilize the net proceeds for operational expansion and general corporate purposes. The company has been recognized by MPEDA for its export achievements and significantly contributes to India’s fish meal and oil industry revenue, as per CRISIL estimates.

Passenger vehicle (PV) volume will ascend to a new peak for the third straight time next fiscal, growing 5-7% on a high base of 6-8% estimated for the current fiscal, as sport utility vehicles (SUVs) race ahead even as demand for cars and exports remain muted. “While the overall PV volume is seen rising 5-7% next fiscal, we expect demand for SUVs to accelerate at twice the pace at over 12% driven by array of feature-laden launches at competitive price points, varied technology options including hybrid and electric, and increased access to credit, says s Anuj Sethi, Senior Director, CRISIL Ratings.

Airport congestion continues to cast a shadow on the On-Time Performance (OTP) of airlines in India, as data from the Ministry of Civil Aviation reveals a consistent decline in punctuality over the past three post-Covid years.

In 2021, IndiGo, the country’s largest player had an impressive OTP of 92.4 per cent, whichdeclined to 87.8 per cent in 2022, and dropped further to 85.4 per cent in 2023. The surge in departures from 1,53,367 in 2021, to 2,36,298 in 2023, was accompanied by a notable increase in delays, reaching 34,496 flights delayed in 2023.

As promised, starting the @Krutrim

AI public beta roll out today. Use it here: https://chat.olakrutrim.com This is a start for us and our first generation product. Lots more to come and this will also improve significantly as we build on this base. Do give us your feedback. While some hallucinations will be there but much lower for Indian contexts than other global platforms. And we will be working overtime to find and fix! We’ve rooted Krutrim strongly into Indian values and data with over 10+ Indian languages and ready to assist in English, Hindi, Tamil, Bengali, Marathi, Kannada, Gujarati and even Hinglish! Krutrim marks the dawn of a new era in the AI computing stack for our nation. We will aim to innovate alongside the world and define future paradigms.

Ericsson has announced deployment of 100,000 Massive MIMO 5G radios for Bharti Airtel across its 12 circles. Airtel has deployed products and solutions from Ericsson’s 5G Radio Access Network (RAN) and MINI-LINK (microwave) mobile transport portfolios. 

Bharti Airtel stock dropped 1.67% on the NSE to trade at ₹1,107.

Genesys International Corporation Ltd, in collaboration with Varanasi Smart City Limited (VSCL), embarks on the implementation of a 3D Digital Twin, covering an extensive area of 160 square kilometres. Leveraging the Genesys New India Map stack, the project aims to create an accurate 3D replica of Varanasi, capturing its physical features, processes, and relationships. The value of the order is ₹7 crore.

Genesys stock rose 3.03% on the NSE, trading at ₹544.70.

Oil India Limited (OIL), National Center for Seismology (NCS) under the aegis of Ministry of Earth Sciences, and Centre for Earth Sciences and Himalayan Studies (CES & HS), Govt. of Arunachal Pradesh, inked a tripartite MoU at Itanagar, Arunachal Pradesh, to pursue applied earth science related studies in the country with a focus on Arunachal Pradesh and the Northeast Region.

Oil India stock declined by 3.24% on the NSE to trade at ₹572.45.

TVS Motor Company announced that its TVS HLX line of two-wheelers has crossed the milestone of 3.5 million customers in international markets. The TVS HLX line was first made available 10 years ago in Africa and is now available in 50 countries across Latin America, Africa and Asia. 

The company announced launching TVS HLX 150F – a new offering that has efficient ecothrust engine, added safety features, a superior suspension and better styling courtesy new graphics.

Shares rise by 1.44% on the NSE to trade at ₹2,146.40

Globe Textiles (India) has announced plans to create a new Fashion Attire division. 

Stock traded at ₹4.20 on the NSE, higher by 5%.

Veranda Learning Solutions has announced a strategic alliance with Cambridge University Press & Assessment India Pvt. Ltd. 

The company is appointed as an Associate Partner for Cambridge in India and to play an important role in recruiting, onboarding and supporting schools in the Cambridge community with a specific focus on tier 2 and tier 3 cities.

Veranda Learning stock declined 2.97% on the NSE, trading at ₹224

Goldman Sachs and sovereign investor Mubadala Investment Company have signed a $1-billion separately managed account to co-invest in private credit opportunities throughout the Asia-Pacific region, including India. 

The partnership will be managed by Private Credit at Goldman Sachs Alternatives, with a dedicated on-the-ground team across multiple Asia-Pacific markets, a statement from Goldman Sachs said. 

BSE Sensex fell 404.64 pts or 0.55% to trade at 72,738.16, while Nifty 50 declined by 116.65 pts or 0.53% to trade at 22,096.05 as of 12.17 pm on Monday.

Mukka Proteins, which manufactures fish meal, fish oil, and fish soluble paste, on Monday fixed a price band of ₹26-28 apiece, for its ₹224 crore Initial Public Offering (IPO).

The company’s maiden public issue will open for subscription on February 29 and conclude on March 4. - PTI

Intellect Global Transaction Banking (iGTB) of Intellect Design Arena Ltd, announced that Corporate Treasury eXchange (CTX) platform powered by eMACH.ai architecture has been implemented in France by Société Générale, a European financial service provider.

Intellect Design Arena stock surged by 3.25% on the NSE, trading at ₹983.80.

Indo Count Industries stock hit a 52-week high today at ₹363.70 on the NSE. Currently, rallied up by 10.84%, trading at ₹359

R Systems International Limited has signed MoU with the Indian Institute of Technology Delhi (IIT-Delhi). 

R Systems will setup a Center of Excellence (CoE) on Applied AI for Sustainable Systems at IIT Delhi.

R Systems stock trades at ₹462.95 on the NSE, up by 0.26%.

Biocon’s NSE stock dropped 1.19% to ₹269.80. The company provided a $20 million corporate guarantee to Mizuho Bank for Biocon Generics Inc’s term loan.

Indo Count Industries Limited, a textile manufacturer with a global presence, announces a significant and enduring collaboration with Accenture, a leading global provider of digital transformation and technology services. This partnership signals a pivotal moment in Indo Count’s commitment to reshaping and improving its business operations using advanced digital technologies. The objective of this collaboration is to unlock operational efficiencies and explore new avenues for growth, positioning Indo Count as a frontrunner in the competitive home textile industry.

Advait Infratech’s NSE stock climbed 2.68 per cent to ₹1,592, following its MoU with Carbon Technology Energy (CTE) to innovate fuel cell and electrolyser sectors.

Top gainers on NSE at noon:

• L&T (2.27%)
• Power Grid (2.06%)
• Adani Enterprises (1%)
• SBI Life Insurance (0.86%)
• Adani Ports (0.81%)

Major losers:

• Asian Paints (-3.84%)
• Hindalco (-2.59%)
• Infosys (-1.80%)
• Apollo Hospitals (-1.71%)
• Tata Steel (-1.62%)

At noon on Feb 26, 2024, BSE witnessed 2,117 stocks advancing, 1,732 declining, and 164 remaining unchanged out of a total of 4,013 stocks traded. There were 347 stocks reaching a 52-week high and 20 hitting a 52-week low.

Shares of Adani Enterprises and Adani Ports has hit a 52-week high today at ₹3,332 and at ₹1,340.85, respectively.

Adani Total Gas stock surged 4.19% to trade at ₹1,072.55, meanwhile Adani Wilmar was up by 3.76% to trade at ₹404.60 as of 11.48 a.m.

The board of Tourism Finance Corporation of India has sanctioned the issuance of up to 88,91,000 fully paid-up equity shares at ₹225 each, totaling over ₹200 crore, through preferential issue on a private placement basis. The NSE saw a 4.98% surge in stock, reaching ₹267.55.

• Pilani Investment and Industries Corporation (15.83%)
• Zaggle Prepaid Ocean Services (12.09%)
• Panama Petrochem (7.72%)
• Voltamp Transformers (5.90%)
• Skipper (5.15%)

Bharti Airtel has revealed plans to ensure seamless connectivity for metro commuters by installing high-capacity nodes beneath the river Hooghly, 35 meters deep. Airtel has made investments in this infrastructure in anticipation of the upcoming commercial service launch, anticipated shortly.

On the NSE, the stock experienced a 1.38% decline, trading at ₹1,110.20.

The Bank Nifty index is trading lower. It is down 0.3 per cent and is currently at 46,673. The advances/ declines ratio is at 3:9, which indicates broader weakness in the index. 

The intra-day price action over the last one week indicates the formation of a double top reversal pattern. The neckline support of this pattern is near 46,500. So, a break below 46,500 will be bearish for this week.

Dixon Technologies stock hit a 52-week high today ₹7,048 on the NSE, currently trades at ₹6,948.15, up by 1.17%. The surge follows the company’s announcement about the launch of a new factory at Dehradun, Uttarakhand, for manufacturing of washing machines.

In addition, its wholly owned subsidiary, Padget Electronics Private Ltd had signed a contract with Compal Smart Device India Private Ltd.

Major gainers on the BSE at 11am:

ICIL (10.50%), Indiabulls Housing Finance (8.02%), Infibeam (7.11%), Voltamp (7.06%), Paisalo (6.59%)

Major losers:

Rain Industries (-7.29%), JP Associates (-4.96%), Usha Mart (-4.63%), ABB (-4.23%), Cummins India (-4.26%)

EaseMyTrip.com has announced the inauguration of its first physical store in Jalgaon, Maharashtra. 

Stock rose by 2.41% on the NSE, trading at ₹48.95.

Shilpa Medicare Limited has received Europe Approval for Varenicline Tablets, 0.5mg and 1mg.

Varenicline is indicated for smoking cessation in adults. 

Shilpa Medicare stock traded at 440.20 on the BSE, up by 0.65%.

SJVN’s wholly-owned subsidiary, SJVN Green Energy Limited (SGEL), has signed the Power Usage Agreement (PUA) with Jammu & Kashmir Power Corporation Limited (JKPCL) for 300 MW Solar Power Capacity. 

The company further said that 300 MW power shall be supplied to JKPCL from the under construction 1,000 MW Bikaner Solar project which is being developed under the CPSU Scheme of IREDA at a cost of ₹5,491 crore. The project is being developed under the Domestic Content Requirement (DCR) mode and is slated for commissioning by July, 2024. 

SJVN stock traded at ₹123.90 on the NSE, higher by 3.68%.

Elgi Rubber Company has informed that the capacity addition for manufacturing of envelopes at the Annur plant has been completed, and the commercial production has commenced today.

Shares declined 1.27% on the NSE, trading at ₹65.95.

L&T’s Railways Strategic Business Group bags significant contract worth ₹1,000-2,500 crore to construct the Jakarta Mass Rapid Transit (MRT) Project (Phase 2A) (Contract Package CP205) for MRT Jakarta through L&T’s long-term Japanese partner, Sojitz Corporation. This Contract marks the first EPC Railway Systems Order for L&T in the ASEAN region.

Stock rose by 2.50% on the NSE to trade at ₹3,472.50

The Nifty 50 has begun the week on a weak note. The index, trading at 22,143, is down 0.3 per cent so far today. 

The price action since the last week indicates that the Nifty lacks strong follow-through buying above 22,250. But at the same time, in the absence of strong sellers it cannot be dragged decisively below 22,000. This leaves the short-term picture mixed and unclear.

Tyremaker CEAT Ltd is looking to grow its market share by up to 16 per cent in the electric vehicle four-wheeler segment. 

The company has partnered with Original Equipment Manufacturers (OEM) to develop electric two- and four-wheeler tyres.

Zen Technologies stock trades at ₹816 on the NSE, up y 1.82%. The company’s board had approved the acquisition (51%) of AiTuring Technologies Private Limited (ATPL) with a consideration of about about ₹3.87 crore.

Infibeam Avenues stock surged 7.25% on the NSE, trading at ₹37, following the announcement of $10 million investment for to acquire 20% strategic stake in XDuce, an enterprise Application and AI development company based in the US.

GPT Healthcare IPO has been subscribed 0.96 times as of 10.06 am on Feb 26, 2024. The QIB portion has been subscribed 0.19 times, NII 1.03 times, and retail 1.37 times. Issue closes today.

Top losers of Nifty IT stocks: Mphasis (-2.79%), Persistent Systems (-2.76%), Wipro (-1.47%), Tech Mahindra (-1.43%), Coforge (-1.20%)

Silver prices fell below $22.9 as speculators prepare for Fed rate cuts and Middle East concerns drive safe-haven flows. The FOMC minutes showed the Fed is slow to lower rates. Since March, traders expect a 25bps drop in June by 53%. Silver prices are predicted to rise this year due to a weaker currency and lower Treasury yields from the Fed’s expected accommodating monetary policy.

Key economic data slated for release includes CBI Realized Sales from GBP Zone and New Home Sales from US Zone.

The rupee appreciated 2 paise to 82.89 against the US dollar in early trade on Monday on the back of foreign funds inflow and retreating crude oil prices in the overseas market.

Forex traders said subdued equity market sentiment and a strengthening American currency weighed on the domestic unit.

Gold fell as the dollar rose as investors awaited the Federal Reserve’s first interest rate drop of the year. Investors bet against U.S. interest rate reduction before June after Fed Governor Christopher Waller indicated he was in “no rush” to decrease rates. The Fed is expected to drop rates “later this year,” according to another official, despite stronger-than-expected inflation and labour market data in January.

Key economic data slated for release includes CBI Realized Sales from GBP Zone and New Home Sales from US Zone.

Supreme Industries has entered the Power Delivery Agreement (PDA) and Security Subscription and Shareholder Agreement (SSSHA) for 33.75 Mwp (25 Mw) Solar Power Under Captive Mode with O2 Renewable Energy XIV Private Limited, a Special Purpose Vehicle (SPV) formed by 02 Energy SG PTE Limited. 

The Renewable Solar Power project located at Village-Motala Dist- Buldhana Maharashtra. 

The said project will supply Solar Power to the Company’s 6 Units located at Gadegaon, Jalgaon-I, Jalgaon-11 , Khopoli, Talegaon and Urse, all located in Maharashtra State. The commercial operational will be on or before June 1, 2024.

Supreme Industries stock traded at ₹4,003.15 on the NSE, down by 1.20%.

Zaggle Prepaid Ocean Services Limited (Zaggle) has entered into an agreement with Nishi Forex And Leisure Pvt Ltd. to carry out activities such as sales and distribution, marketing and campaigning bundled with Zaggle expense management to drive card spends and greater usage of the software. Subject to RBI approval the product launch will be done in due course.

Zaggle stock trades at ₹303.85, higher by 5.91% on the NSE.

Major gainers on the NSE at 9.30 am:

L&T (1.65%), Bajaj Auto (1.17%), Power Grid (1.12%), Cipla (0.76%), Dr Reddy’s (0.57%)

Major losers:

Asian Paints (-3.72%), BPCL (-1.75%), Tech Mahindra (-1.47%), Titan (-1.32%), TCS (-0.98%)

Zydus Lifesciences Ltd has received the WHO prequalification approval for the API and formulation of the key drug to treat Leishmaniasis, ‘Miltefosine’. 

Shares inch up by 0.67 per cent to trade at ₹929.45 on the NSE.

Gensol Engineering has received orders from two leading IPPs, who are global renewable power producers focused on delivering clean and reliable solutions. The aggregate value order value of these two projects is approximately ₹337 crore. 

The contract pertains to a 250 MWac/350 MWdc ISTS solar power project in Rajasthan and 50MWac/72.5MWdc solar power project in Maharashtra.

Gensol Engineering stock rose by 2.12 per cent on the NSE, trading at ₹1,242.20.

Buy, TP Rs 4360

While market is worried of Middle East orders post-Aramco’s advisory, Co’s core right to win is its diversified portfolio & market, driving sector-leading growth & is a reason for its premium val 

Believe its margin will improve from 4Q

EW, TP Rs 555

RBI has advised NPCI to examine PAYTM’s TPAP application – if approved by NPCI, this will enable a seamless transition & continued UPI services for customers 

Await NPCI’s response as well as further updates from PAYTM on potential impact

Buy, TP Rs 280 

VIL evaluating options to raise funds; a catalyst for Indus 

Indus a beneficiary from VIL’s network expansion 

At 5X FY25 EBITDA multiple find val attractive & see risk-reward favourable

Integrated margins remain strong with gasoline & diesel margins near $20/bbl– 2x above mid-cycle as transport fuel demand still surprises +vely

A well-supplied oil market, hardware upgrades& refining golden age drive next leg of earnings upgrades 

HP/BP preferred picks

EW, TP Rs 750 

Industry spending growth was 30% YoY in Jan (vs. 31% in Dec) 

SBIC rose slower on YoY basis (+26%), but gained market share (75bp MoM) as MoM growth was faster than industry. 

However, it grew marginally slower MoM in cards in force, up 0.7% MoM

Hold, TP Rs 2050

Zurich Insurance will now buy 70% stake in Cos General Insurance in a single tranche through primary & secondary acquisitions 

Earlier, was to acquire 51% initially &19% within 3yrs 

Biz is small-0.5% premium market share, 0.3% of net-worth

Grasim shared a focus on driving distribution based on product quality & deeper contractor/painter connect

Prefer APNT over smaller players like BRGR that believe would be relatively more affected 

Asian Paints – OP, TP Rs 4000

Neutral, TP cut to Rs 2850 from Rs 3300

Cut EPS est. for FY25/26 by 5.2%/10.9% respectively & lower target multiple to 52x (from 58x) 

Birla details its paint entry strategy, way more comprehensive than earlier assumed

Downgrade to Sell, TP cut to Rs 2425 from Rs 3215

Competitive intensity in sector likely to heat up significantly 

Cut FY25/26CL est. 8%/10% 

APNT likely to emerge as leader post shake-up but is not a shoo-in 

De-rating likely, move to its 15-yr avg multiple

Buy, TP Rs 2650 

Feeling confident about Grasim’s ability to achieve their desired vision of becoming the no.-2 player; they plan to be pan-India by FY25 end. 

Grasim is 1st co to launch paints at this scale in one shot, with plans to add 500MLPA beyond 1,332MLPA 

Their strategy - 5 Ds: Design, Develop, Distribute, Disrupt and Delight. 

They have developed differentiated products vs. competition and have a clear dealer pull plan in place.

Bulk Deals

*Osia Hyper Retail Ltd : Minerva Ventures Fund Buy 1000000 Shares @ Rs. 49.2

*Arvsmart : Icici Prudential Equity Opportunities Fund Buy 465000 Shares @ Rs. 582

*Koltepatil : Whiteoak Capital Mutual Fund Buy 409834 Shares @ Rs. 487.5

Insider Trade

Acquisition

* Srinath Batni Director Acquisition 20000 shares of Kpit Technologies Ltd 

* ZYDUS FAMILY TRUST Promoter Acquisition 110000 shares of Zydus Wellness Ltd.-$ on 23-Feb-24

* JSL OVERSEAS HOLDING LIMITED Promoter Group Acquisition 1137029 shares of Jindal Stainless Ltd. 

* Showan Investment Pvt. Ltd. Promoter Group Acquisition 8500 shares of Greenply Industries Ltd. on 22-Feb-24

* Ashapura Industrial Finance Limited Promoter Group Acquisition 2000 shares of Ashapura Minechem Ltd. on 22-Feb-24

* Roopa Gupta Promoter Group Acquisition 3731 shares of Kirloskar Industries Ltd on 21-Feb-24

* Lakshmi Cargo Company Limited Promoter Group Acquisition 301 shares of Lakshmi Machine Works Ltd. on 21-Feb-24

* SUDHA APPARELS LIMITED Promoter Group Acquisition 50000 shares of Maharashtra Seamless Ltd. on 21-Feb-24

* Anand Arvindbhai Patel Promoter Group Acquisition 30000 shares of Lincoln Pharmaceuticals Ltd. on 21-Feb-24

Disposal

* Promoter Group Disposal 89000 shares of Lincoln Pharmaceuticals Ltd. 

* Dr. Kailash Shantilal Choudhari Promoter & Director Disposal 318640 shares of Aksh Optifibre Ltd. on 20-Feb-24

* S Venkatachalam Director Disposal 1000 shares of Oracle Financial Services Software Ltd. on 20-Feb-24

* S. Pathy Promoter Group Disposal 301 shares of Lakshmi Machine Works Ltd. on 21-Feb-24

* BHARATI SHIRISH MODY Promoter Group Disposal 3528 shares of Sasken Technologies Ltd on 22-Feb-24

Dividend Update

*Fineotex Chemical Ltd. Interim Dividend Rs. 1.2 Ex Date 26-Feb-2024 

*GATEWAY Interim Dividend Rs. 0.75 Ex Date 26-Feb-2024 

*Natco Pharma Ltd. Interim Dividend Rs. 1.25 Ex Date 26-Feb-2024 

*Suprajit Engineering Ltd. Interim Dividend Rs. 1.1 Ex Date 26-Feb-2024 

*Vibrant Global Capital Ltd. Interim Dividend Rs. 1.25 Ex Date 26-Feb-2024

26th February: STOVACQ to consider Dividend; Canara Bank, Sprayking Agro Equipment to consider Stock Split; Omkar Overseas to consider Scheme of Arrangement; Grauer and Weil to consider Bonus issue; Tourism Finance Corporation of India, Associated Alcohols & Breweries, Mercury Trade Links to consider Fund Raising

27th February: DCMSHRIRAM, MARICO to consider Dividend; Remsons Industries to consider Stock Split; Sunrise Efficient Marketing to consider Bonus issue; Eastern Sugar & Industries to consider Reduction of Capital; IndoStar Capital Finance, Texmaco Rail & Engineering, Paisalo Digital, Vodafone Idea, Macfos to consider Fund Raising

28th February: KSB to consider Dividend; Balaxi Pharmaceuticals to consider Stock Split; Pressure Sensitive Systems, Venus Pipes & Tubes, Punjab & Sind Bank to consider Fund Raising; TIPS Industries to consider Buyback

29th February: Five-Star Business Finance, Five-Star Business Finance, Mini Diamonds (India) Power Finance Corporation to consider Fund Raising

01st March: AUTOINT to consider Dividend; Lancor Holdings to consider Fund Raising; Thinkink Picturez to consider Dividend, Bonus issue & Stock Split

02nd March: National Oxygen to consider Fund Raising

04th March: WEL to consider Dividend

05th March: Bhagiradha Chemicals to consider Stock Split

07th March: ANSALAPI to consider Dividend; LIC Housing Finance to consider Fund Raising

12th March: Exxaro Tiles to consider Stock Split

Transformers and Rectifiers (India) Limited has been awarded orders of total contract value of ₹232 crore from Power Grid Corporation of India Limited.

Transformers And Rectifiers (India) stock surged 4.59% on the NSE, trading at ₹360 as of 9.54 am

The aggregate market capitalisation of public sector banks skyrocketed 223 per cent from Rs 5.3 lakh crore in March 2021 to Rs 17 lakh crore in February 2024, according to Motilal Oswal Financial Services Ltd

However, the m-cap of private sector banks has gone up just 43 per cent to Rs 30.4 lakh crore during the same period despite merger of HDFC with HDFC Bank.

Indian benchmark indices, Sensex and Nifty, opened weak on Monday amid mixed global cues. With global markets hitting new peaks with every passing day, analysts turned cautious on the valuation front. Individual stocks may face volatility due to the expiry of monthly derivatives contracts this Thursday, analysts said. 

In early trade, the 30-share BSE Sensex dropped 234.27 points to 72,908.52. The NSE Nifty fell 62.45 points to 22,150.25.

Ajit Mishra, SVP - Technical Research, Religare Broking Ltd, said: “We expect volatility to remain high due to the scheduled expiry of February month derivatives contracts.”

Besides, he said that participants should keep a close watch on the performance of the global indices, especially the US, for cues.

Sheersham Gupta, Director and Senior Technical Analyst at Rupeezy said: “Nifty has been in a consolidation zone for over one month, and we may soon see a breakout or breakdown with the former more likely. However, for any significant rally, the Nifty must give a decisive breakout above 22,250. The range of 22,100 - 22,130 is now the demand zone, and a slide below this range can push Nifty back towards 22,000 levels.

Santosh Meena, Head of Research, Swastika Investmart Ltd, said: “As we approach the February month Futures and Options (F&O) expiry alongside the MSCI rebalancing scheduled for Thursday, we anticipate heightened volatility. Several macroeconomic indicators from both domestic and global fronts will play crucial roles.”

GDP numbers and initial jobless claims will impact bond yields in the US. Moreover, our own Q3 GDP figures slated for release on February 29th and monthly auto sales data on March 1st will be closely watched.

Arvinder Singh Nanda, Senior Vice President of Master Capital Services Ltd, said: Certain Tailwinds for the upcoming quarter are improved global trade and investments, sustained manufacturing profitability, underlying service resilience, surge in capex in the budget, and increased household demand.

He added that possible headwinds for corporate are challenges related to the availability of raw materials and escalating prices, soft demand, shortage of skilled labour, increased power costs, market volatility, and geopolitical risk.

According to VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services, an interesting feature of the recent FPI trend is the decline in FPI equity outflows despite the rising bond yields in the US. “Normally, when the US 10-year yield rises above 4.15%, the FPIs sell heavily. But this is not happening now. Since the DIIs, HNIs, and retail investors are the dominant players now, and their sustained buying is pushing the market to newer records, FPIs have taken a backseat, he added.

From February through 23rd, FPIs had net sold equity only for ₹423 crore, sharply down from the January level.

According to Shrikant Chouhan of Kotak Securities, “Today, the market may open with a cautious stance, considering the recent volatility and mixed global cues. The Nifty might open flat to slightly lower, around the 22125-22075 range. On the technical front, the Nifty has shown resilience and is expected to continue its bullish trend as long as it trades above 22000/72500. If it breaks above 22300, it could reach 22500 or 22600 levels. For Bank Nifty, support is seen around 46300 and 46000, with resistance at 47100 and 47400. Buying on dips could be a strategy, with a stop loss at 46000 on a closing basis for Bank Nifty. However, it’s essential to monitor the market closely for any changes in trend or sentiment.”

Crude oil futures traded lower on Monday morning as the market is awaiting key inflation data from several economies during the week. At 9.13 am on Monday, May Brent oil futures were at $80.40, down by 0.50 per cent; and April crude oil futures on WTI (West Texas Intermediate) were at $76.07 down by 0.55 per cent. March crude oil futures were trading at ₹6319 on Multi Commodity Exchange (MCX) in the initial trading hour of Monday morning against the previous close of ₹6353, down by 0.54 per cent; and April futures were trading at ₹6324 as against the previous close of ₹6352, down by 0.44 per cent.

In the previous week, the benchmark indices witnessed a volatile trading session, with Nifty closing nearly 0.70 per cent lower after a roller coaster of activity, while Sensex was up 715 points. Among sectors, the Realty index outperformed, rising nearly 4 per cent, while the IT index declined over 1 per cent. Technically, after a short-term correction, the market took support near 21875/72080 and reversed sharply, after the reversal the market bounced back sharply. On the daily and weekly charts, the index has formed a series of higher highs and higher lows, supporting the uptrend from the current levels.

Our view is that, as long as the index is trading above 22000/72500, the bullish trend is likely to continue. Above that the market can go up to 22400-22500/73700-74000. On the other hand, sentiment may change below 22000/72500. Below 22000/72500, the market may retest 21875/72080 levels. 

For Bank Nifty traders, 46300 and 46000 would be the support zone. Buying is advisable if it corrects to the same. On the higher side, 47100 and 47400 would be the biggest hurdle zone. The strategy should be to buy on dips with a stop loss at 46000 on a closing basis.

The strategy should be to buy Nifty between 22125 and 22075. Keep a stop loss below 22000. In case the Nifty crosses and closes above the level of 22300 then it could jump to 22500 or 22600 levels. -- Shrikant Chouhan, Head Equity Research, Kotak Securities

Walt Disney and Mukesh Ambani’s Reliance Industries sign a binding pact to merge their media operations in India. Reliance to hold 61% of the new entity. - Bloomberg

GPT Healthcare is a hospital operator with four mid-sized, full-service hospitals in its portfolio. It operates under the ILS Hospitals brand from Kolkata (3 locations) and Tripura, Agartala (1 location). The group has an East and North-East focus, and future expansion is also planned in that region.

ICICI Bank (₹1,065): A couple of weeks back, this stock began its latest leg of rally on the back of the support at₹985. It broke out of a resistance at ₹1,050 this week, improving the probability of further gains. We expect the stock to touch ₹1,100 and then ₹1,150 in the short-term.

Reliance Industries (₹2,975): The stock has been charting sideways for the last two weeks. It has been oscillating within the narrow range of ₹2,920-2,975. However, the broader trend is bullish, and the stock is expected to break out of this range anytime.

Nifty 50 (22,213) and Bank Nifty (46,812) advanced 0.8 per cent and 0.9 per cent respectively last week. While the positioning in options of both indices is similar, the futures data give a different picture. Here is an analysis.

Crude oil prices witnessed a good amount of volatility last week but ended with a loss. Brent crude oil futures on the Intercontinental Exchange (ICE) was down 2.3 per cent as it closed at $81.6 per barrel. Crude oil futures on the MCX lost 2 per cent by ending the week at ₹6,353 a barrel.

The initial public offering of GPT Healthcare closes for public subscription today. The ₹525.14-crore IPO, which comes at a price band of ₹177-186, has subscribed 0.85 times. The market lot is 80 shares.

The issue consists of a fresh issue worth ₹40 crore and an offer for sale (OFS) of up to 2.608 crore shares (worth ₹485.14 crore) by investors selling shareholders.

Base issue is ₹300 crore with an option retain another Rs 300 crore in case of oversubscription

Rated A/Stable by Crisil Ratings 

The tenure ranging from 18 to 36 months across 5 series of monthly and annual coupon payment options offering yield upto 11.19% per annum.

InterGlobe Aviation (₹3,179): The stock of ​​​​​​InterGlobe Aviation (Indigo)​​ is in an uptrend and so is its futures contract. The chart shows that the likelihood of further rally is high.

Particularly, ​​the Indigo February futures​​, which closed on par with the stock at ₹3,179, exhibit bullishness. 

ASALCBR

Issue Of Warrants;Preferential Issue of shares

BETXIND

General

CANBK 

Stock Split

GRAUWEIL 

Bonus issue

MUZALI 

Audited Results

OMKAR 

Scheme of Arrangement

SPRAYKING 

Stock Split

STOVACQ 

Final Dividend;Audited Results

TFCILTD 

General 

WEWIN 

General

DRC Systems India Ltd

Bonus issue 2:1

Previous day Closing Price – Rs. 67

Ex Bonus 27 February 2024 (Tomorrow)

Last date Trade for Before Bonus Today

NMDC Ltd.

Dividend Per Share Rs.5.75

Previous day Closing Price – Rs. 238.5

Ex-Dividend 27 February 2024 (Tomorrow)

Last date for Cum-Dividend Today

(LT IN, Mkt Cap USD56.1b, CMP INR3388, TP INR4200, 24% Upside, Buy)

Motilal Oswal Financial

Our recent interactions with the management of Larsen and Toubro (LT) make us believe that recent concerns related to its performance are transient, such as 1) low YoY growth in domestic inflows in 9MFY24 was due to a high base of last year, particularly in domestic hydrocarbon; 2) lower-than-expected margins were attributed to legacy projects, which are now closer to completion in the next couple of quarters; and 3) high share of international projects, particularly in Saudi Arabia, where the addressable market is continuously growing. The positive factors that will drive growth ahead, in our view, are: 1) the ramp-up of domestic inflows after elections, 2) the completion of low-margin legacy projects in next couple of quarters, 3) the constant reduction in working capital and the resultant RoCE improvement, and 4) low working capital in international projects despite being fixed-price projects. We maintain our estimates and SoTP-based TP of INR4,200, valuing the core business at 28x Mar’26E EPS. Maintain Buy.

Motilal Oswal Financial

Re-rating has been sharp but valuations still reasonable; Maintain OW

- We resumed coverage on all six PSU Banks in early 2021, and followed this up with upgrading BOB at INR81 in Aug-21, after being NEUTRAL for four years. We have since published two PSU bank sector notes; 1. PSBs: The Homecoming of RoA in Jan-23 and followed this with a second report titled 2. PSBs: Well poised for Re-rating 2.0 in Dec’23.

- While PSU Banks have delivered a significant outperformance over the past three years and the sector has seen a significant re-rating, the stock valuations still look reasonable in context to business growth and profitability (~18-19% RoE over FY24-26E).

- The combined profitability of six PSBs under our coverage will surpass ~INR1t in FY24E. We estimate aggregate earnings of our PSB coverage to register a CAGR of 21% over FY24-26E (boosted by PNB & SBI), thereby reaching INR1.7t by FY26E.

- We believe that while NIMs may remain range-bound with a slight downward bias, the improvement in opex ratios, scope for further credit cost reduction (barring SBI), and a healthy treasury performance will enable the sector RoA to reach ~1.2% by FY26E.

- Considering PSBs’ valuation history, their trading multiples may look constrained now; however, the quality of earnings, growth outlook, and broader re-rating in Public Sector enterprises will enable steady performance for the sector.

- Several PSBs have raised capital from the market, which should aid business growth, particularly as the capex cycle revives post general elections. We believe that sustained and consistent performance on return ratios and a conducive macro-environment can drive further re-rating of the sector.

- We maintain our OW stance on the sector and roll forward our PTs to FY26. Top picks: SBIN & UNBK.

The Insolvency & Bankruptcy Code (IBC) seems to be incentivising debtors to settle their defaults even before the cases are admitted under the code with over 27,500 applications for initiation of CIRPs with an underlying default of Rs 9.74 lakh crore were withdrawn before their admission. Another measure of the effectiveness of the code is the ratio of resolution to liquidation. With several initiatives to improve outcomes, the ratio has improved from 0.21 in FY18 to 0.64 in Q3FY24.

The average time taken for resolution or liquidation continues to increase for operational creditors (OCs) and financial creditors (FCs) during the December quarter. Meanwhile, the overall recovery rate till Q3FY24 was 31.86% implying a haircut of approximately 68%. The cumulative recovery rate has been on a downtrend, decreasing from 43% in Q1FY20 and 32.9% in Q4FY22 as larger resolutions have already been executed and a significant number of liquidated cases were either BIFR cases and/or defunct with high-resolution time.

After slowing in the pandemic period of FY21 and FY22, the number of insolvency cases referred has increased by around 19% y-o-y in Q2FY24. However, despite the increase, the number of cases admitted to the insolvency process continued to be lower compared to earlier quarters in FY20. The distribution of cases across sectors remains broadly similar, compared to earlier periods given the extended resolution timelines.

Meanwhile, the number of ongoing CIRPs has declined on a y-o-y as well as sequential basis indicating that cases have been disposed at a faster pace compared to their admission. Furthermore, manufacturing too accounts for the largest number of cases, albeit its share has steadily reduced

Domestic markets are expected to open flat on Monday amid mixed global cues. With global markets hitting new peaks with every passing day, analysts turned cautious on the valuation front. Individual stocks may face volatility due to the expiry of monthly derivatives contracts this Thursday, analysts said.

Gift Nifty is ruling at 22,220 against NIfty. The value of Feb futures is 22,228.85, and the value of March futures is 22,374.30.

Input cost benefits drive earnings growth; revenue contribution muted Q3FY24 earnings season saw an overall in-line performance, with wide divergences across sectors and companies. Aggregate revenue/PAT grew by 5%/20% YoY and 4%/-4% QoQ across the HSIE coverage (~224 stocks), with their four-year CAGRs at 13%/18%. There was similar participation by large and midcap categories towards incremental earnings growth as large-cap grew by 20% YoY and midcap grew by 21% YoY. This is in contrast to Q2FY24 when large-cap had dominated earnings.

Further, 77% of incremental YoY earnings growth came from only three sectors—energy (33%), auto (24%) and metals (20%)—reflecting heavy lifting by these sectors. Our coverage universe saw strong YoY earnings growth in auto, lending financials (ex-SBI), industrials, energy, cement, pharma, capital markets, and metal 

sectors. On the other hand, staples, discretionary, IT, and power sectors disappointed. 

Key stocks contributing to the YoY earnings growth (61% of the total) are Tata Motors, ICICI Bank, IOCL, GAIL, Tata Steel, and JSW Steel. The benefits of softer input costs continued in this quarter as well. We believe support of favourable commodity costs is largely over and FY25 earning growth must be volume-led.

In FY24, energy supply and power demand have experienced remarkable growth, expanding by 8.5% y/y and 11.4% y/y respectively during the first 10 months of the fiscal year. These figures significantly exceed long-term trends observed over the past decade and past three years. If this robust trajectory persists, it could potentially surpass current medium-term estimates. The upsurge in demand can be attributed to various factors, including the overall rise in electricity consumption per capita, expanded electrification efforts, weather volatility, and heightened industrial activity. Additionally, emerging drivers such as green hydrogen and electric vehicles are anticipated to further augment energy demand

Fitch Ratings has assigned IRB Infrastructure Developers Ltd’s (BB+/Stable) proposed US dollar senior secured partially amortising notes due 2032 an expected rating of ‘BB+(EXP)‘. The Outlook is Stable

Elara securities India- Global Liquidity Tracker: China fund’s outperformance over India sharpest since Mar’23. US smallcap inflows expand to 20-month high

Overall global liquidity situation continues to remain benign with most markets witnessing strong domestic flows. Countries where both domestic and foreign inflows are strong include- US, Japan and India. On the other hand, China is witnessing strong domestic inflows, but foreign flows are still weak.

· Over the past month, the pace of inflows by domestic investors into Chinese equity is strongest since 2015.

· Finally, China funds have started showing strong outperformance over India funds. Similar outperformance was seen in May’22 after which we saw a round chasing into this trade. Likewise, the 2nd big leg was from Nov’22 to Feb’23 (O/P of 40%).

· With the strong domestic flows and beginning of outperformance, will be key to see if foreign flows start shifting there. No signs of this trade as of now. China saw another $268mn outflows from Foreign funds. On the other hand, domestic inflows of another $2.9bn this week.

· US funds witness another $12.1bn inflows this week. US Smallcap flows at 20-month high of $5bn. US smallcap flows are showing strong revival since Nov’23. Inflows into Japan funds for 6th week in row totalling $4.7bn. Out of this, $2.1bn were from Foreign funds. 

· 49th straight week of inflows into India dedicated funds. $712mn inflows this week after $766mn in previous week. Large cap funds continued to see biggest portion of this flows ($631mn).

· Some revival also seen in India Small cap funds where a total $280mn have come in the past 9-months. India flows continue to be strongest from US investors ($215mn) followed by Ireland ($177mn) & Japan ($124mn) investors.

· Global Junk bond flows remain strong with inflows in 16 out of 17 weeks. US Junk bond spread over US 10-year continues to drop sharply & currently at 3.5%, lowest since Apr’22.

Buzzing Stocks: Kotak Mahindra Bank, JSW Infra, Ashok Leyland, Infibeam Avenues, Transformers & Rectifiers, Skipper, Zydus Life, Kalyani Steels, Servotech, Piramal Pharma, FACT, Shakti Pumps, IndiaGrid InVIT, Oriental Rail, Dixon, Zen Tech, Max Health, Biocon

Amazon is set to introduce a new vertical, Amazon Bazaar, which features affordable, and non-branded fashion & lifestyle products, as per a news report by the Economic Times on 21 February. This strategic move aims to attract a value-conscious customer base in Tier II & III markets in India amid a slowdown in demand for mass market products and slow user acquisition. Amazon Bazaar is actively enrolling sellers, encouraging them to list non-branded products, such as apparel, watches, shoes, jewelry, and luggage priced below INR 600. To incentivize participation, Amazon is proposing a zero-referral fee for merchants, particularly crucial for products with a low average selling price. This initiative mirrors successful ventures, such as Meesho and Flipkart’s Shopsy, while Reliance also is developing, Ajio Street, its low-priced products platform.

The eCommerce market in India has seen a significant shift recently with user growth converging in the past few years. User growth has hit a plateau as metro and urban markets have reached a fair penetration level. During the recent festival season, online retailers saw huge sales growth as well as user acquisitions in Tier II & III markets, due to :1) increased internet penetration, 2) changing consumer behavior, 3) growth of local marketplaces, and 4) better supply chain & fulfillment network. We expect revenue growth of eCommerce platforms in metros and Tier I cities to be frequency- and average order value (AOV)-led, given: 1) rising income levels, and 2) higher purchasing power whereas growth in Tier II & III markets is expected to be new user-led. We expect premium online eCommerce to bolster revenue growth and profitability of eCommerce firms as they feature better margin products and may drive higher ad revenue for eCommerce brands.

Emkay Global Research

Q3FY24 operating performance for IT companies broadly met consensus/our low expectations. Revenue growth moderation trend on YoY basis continued in Q3. Growth was impacted by continuous weak discretionary spending, further accentuated by higher furloughs. On the demand front, while most companies highlighted the ‘status quo’, select companies pointed to the visibility of green shoots in select domains, which can aid in growth acceleration in FY25. Deal wins moderated slightly on a high base from the last couple of quarters. Cost optimization and vendor consolidation continued to be key drivers for the deal wins. In the absence of revenue uptick, companies continued to drive higher utilization, optimize subcontracting costs and other discretionary costs to drive margins recovery. Headcount declined for most companies, similar to last quarter, as demand remained muted. Going ahead, macro stability and recovery in discretionary spending remains key for revenue acceleration. We are building uptick in discretionary spending and abating the impact of spending normalization in FY25. Prolonged delay in recovery of discretionary spending can pose risk to consensus/our estimates. Our pecking order is INFO, HCLT, TECHM, LTIM, TCS, and WPRO, among Tier-1 companies, and CYL and Zomato in mid-sized companies.

Emkay Global Research

The results of the Household Consumption Expenditure Survey (HCES) for 2022-23 show that rural households have experienced improvement at a higher rate than urban ones since the last survey (2011-12). The difference between rural and urban Monthly Per Capita Consumption Expenditure (MPCE) has narrowed substantially over the years, implying successful government policies for improving rural incomes, while this is even more pronounced at the lower levels of the pyramid. Conversely, the gap is bigger at the top, reflecting an increase in inequality at higher income levels. Encouragingly, the share of food expenditure is lower across sections, while spending on proteins has improved, with rural even higher than urban! Thus, this should lead to the new CPI index having lower weights for food and higher for core, although it is still some time away.

NMDC (₹238.30) had announced a dividend of ₹5.75 for FY24. Accordingly, there will be adjustment in the stock price and the futures and options (F&O) contracts on this stock on the record date.

The company has decided February 27 as the record/ex-dividend date. On this day, the stock price and all derivatives contracts on NMDC will be adjusted for the dividend amoun

Gold gained 1.1 per cent whereas silver lost 2 per cent last week, as they closed at $2,035.7 and $22.94 per ounce, respectively.

Similar divergence in performance was seen in the domestic market too. Gold futures was up 0.8 per cent and silver futures declined 2.3 per cent – they ended at ₹62,345 (per 10 gram) and ₹70,479 (per kg) respectively.

The Indian Fast Moving Electrical Goods (FMEG) industry has experienced steady growth, propelled by ongoing infrastructure development, rising disposable incomes, government initiatives such as Production Linked Incentive (PLI) schemes, and technological advancements such as smart home automation and energy-efficient solutions.

As a diversified FMEG company and a constituent of the BSE Consumer Durable Index, Havells is levered to benefit from the “Make in India” theme

Never have so many depended so much on so few or rather on just one company – Nvidia! Goldman Sachs’ trading desk termed it as ‘the most important stock on planet Earth’ before its earnings release last Wednesday. Options pricing data implied expectations of greater than 11 per cent or around $200 billion of market cap move in the stock on either direction and linked to it was the fate of the entire AI rally that has been driving global markets since May of last year.

bl.portfolio caught up with Madanagopal Ramu, Fund Manager and Head – Equity, Sundaram Alternate Assets, at his office in Chennai. The firm manages ₹8,000 + crore of AUM, with offerings across PMS and AIFs catering to high net-worth individuals (HNIs). Madanagopal Ramu talked of his investment framework and stock selection process, among other things. 

The upmove in the US dollar index that was in place since the beginning of this year seems to have lost steam. It faced strong resistance near 105 last month and has been coming down since then. The index fell to a low of 103.43 before closing at 103.94, down 0.33 per cent for the week. The US 10Yr Treasury yield, on the other hand, remained stable and range bound last week.

Since our last Big Story on sugar published in July 2022, sugar stocks have managed a bitter-sweet performance.

Triveni Engineering and Industries has been the best performer with up to 47 per cent gains till date, while others such as Balrampur Chini Mills, EID Parry and Bannari Amman saw their stock price rise by 6-20 per cent since July 2022. The broader market, however, measured by the Nifty 50 performance, has been on a new high, raking in gains of over 40 per cent. Relative underperformance of the sector to the broad market has been due to a combination of global sugar scenario and adverse policy moves.

Market valuation of eight of the 10 most valued firms jumped ₹1,10,106.83 crore last week, with Reliance Industries Ltd (RIL) emerging as the biggest gainer.

Last week, the 30-share BSE Sensex benchmark rose 716.16 points or 0.97 per cent.

RIL, ICICI Bank, Life Insurance Corporation of India (LIC), ITC, and Hindustan Unilever Ltd (HUL) were among the gainers while Tata Consultancy Services (TCS) and Infosys saw a combined erosion of ₹38,477.49 crore in market valuation.

India’s policymakers and think tanks need to come up with steps that grow the depth and width of the country’s capital markets, Sundararaman Ramamurthy, MD&CEO, BSE has said. 

This is particularly important given the ongoing robust growth of the country, which is now aiming to be a developed one by 2047, Ramamurthy said at the 13th International Convention, organised by the Association of National Exchange Members of India (ANMI) in the capital on Saturday.

Broking industry must not bask in past glory even as it has played a huge catalytic role in the growth of Indian capital markets in recent decades, Ashish Kumar Chauhan, Managing Director & CEO, National Stock Exchange (NSE) has said.

There must now be concerted effort by the Broking industry to bring 100 per cent of Indian households into direct equity investing, Chauhan said at the 13 th International Convention of Association of Exchange Members of India (ANMI), a national level industry body with nearly 1,000 broker members.

Fintech firm Paytm may be proving to be a drag on Softbank’s $14 billion India investment portfolio, but it will be looking at selling stake and taking some handsome gains in at least three companies, with a combined valuation of over $20 billion, that will make their stock market debut this year.

Makers of best sellers such as Nexon.ev and Tiago.ev, India’s largest electric vehicles manufacturer, Tata Passenger Electric Mobility Limited (TPEML) is set to be the next big listing opportunity for the Tata Group.

According to multiple sources including investment bankers aware of the matter, the group is aiming at $1–2 billion of initial public offering for its electric vehicles business.

20.30 U.S. New Home Sales (Expected: 680k versus Previous: 664K)

STOVEC IND

Fidelity National Information Services, Inc. (Pre market) (Sector- Technology)

Li Auto Inc. (Pre market) (Sector- Manufacturing)

Public Service Enterprise Group Incorporated (Pre market) (Sector- Energy)

Joint Stock Company (Pre market) (Sector- Technology)

Domino’s Pizza Inc (Pre market) (Sector- Hotels)

Workday, Inc. (Post market) (Sector- Technology)

ONEOK, Inc. (Post market) (Sector- Energy)

Heico Corporation (Post market) (Sector- Defence)

SBA Communications Corporation (Post market) (Sector- Realty)

Heico Corporation (Post market) (Sector- Defence)

Zoom Video Communications, Inc. (Post market) (Sector- Technology)

Erie Indemnity Company (Post market) (Sector- Financials)

Unity Software Inc. (Post market) (Sector- Technology)

The AES Corporation (Post market) (Sector- Energy)

BeiGene, Ltd. (Tentative) (Sector- Healthcare)

1 ABFRL

2 ASHOKLEY

3 BALRAMCHIN

4 BIOCON

5 ANBK

6 GMRINFRA

7 GNFC

8 HINDCOPPER

9 PEL

10 PVRINOX

11 RBLBANK

12 SAIL

13 ZEEL

Here’s an interesting stock idea. The recommendation we have for you today is CAMS

The outlook for Computer Age Management Services (CAMS) is bullish. The stock rose over 3 per cent on Friday, taking the stock well above the psychological ₹3,000 mark. It has also closed the week on strong note.

The region between ₹3,050 and ₹3,000 will now act a strong resistance-turned-support zone. A fall below ₹3,000 is unlikely as fresh buyers are likely come into the market at lower levels and limit the downside.

#Nifty50 broke above the key resistance level of 22,150 but did not get a strong follow-through rise. #BankNifty also broke above 47,100 but failed to sustain. Charts are looking relatively more positive for the short-term with strong supports for both the #nifty and #niftybank. So, we can expect both the #Nifty and #NiftyBank index to move further up in the short-term. But at the same time, we prefer to remain cautious as well.

23rd February, Friday

MARKET DATA

*Provisional Cash Rs. In Crs. ( 

FIIs +1,276 (15,747 – 14,471) 

DIIs +177 (8,556– 8,380) 

Sensex: 73,143 (-15) (-0.02%)

Nifty: 22,213 (-5) (-0.02%)

BankNifty: 46,812 (-108) (-0.23%)

NiftyIT: 37,406 (-624) (-1.64%)

MIDCAP: 49,280: +151: +0.31%

NSE Auto: 20,621: +37: +0.18%

NSE FMCG: 54,338 (-81) (-0.15%)

WTI Oil: $76.49 (-2.7%)

Brnt: $81.74 (-2.31%)

Natural Gas: 1.60 (-7.45%) 

Gold: $2049: +19: +0.92%

Gold 22 Carat/g: 5,838 () (%)

Silver: $23.19: +0.81%

Copper: $390 (-0.37%)

Cotton: $93.49 (-1.03%) 

Copper (LME): $8,585: +43: +0.5%

Alluminum (LME): $2,198 (-22) (-0.97%)

Zinc (LME): $2,387 (-8) (-0.33%)

Tin (LME): $26,170 (-126) (-0.48%)

Eur-$: 1.0821 (-0.02%)

GBP-$: 1.2672: +0.09%

Jpy-$: 150.51 (-0.01%)

Re: 82.9487: +0.13% 

USD-RUB: 94.867: +2.01% 

US10yr: 4.25%: -7 bps 

GIND10YR: 7.077: +0.21%

$ Index: 103.964: +0.01%

Vix: 13.75 (-5.43%)

India Vix: 14.97 (-1.51%)

BalticDry: 1,752: +76: +4.53%

ADR/GDR 

Cogni: +0.45%

Infy (-0.98%) 

Wit: +0.47% 

IciciBk (-1.25%) 

HdfcBk (-0.71%) 

DrRdy: +1.06% 

TatSt (-2.82%) 

Axis (-0.60%)

SBI (-0.76%) 

RIGD: +0.97%

INDA: +0.17% (IShares MSCI INDIA ETF) 

INDY (-0.02%) (IShares MSCI INDIA 50 ETF) 

EPI (-0.1%) (Wisdom Tree India Earning)

PIN: +0.28% (Invesco India Exchange Traded Fund Trust)

Sensex and Nifty 50 managed to break and rise above their key resistances last week. Although they sustained higher, a strong follow-through rise was not seen. Similarly, the Nifty Bank index broke its resistance, but failed to sustain.