Share Market Highlights: Equities close higher on global cues; IT, metals, oil & gas lead sectoral gains

The board of Maruti Suzuki Ltd has approved termination of the contract manufacturing agreement with Suzuki Motor Gujarat Private Limited (SMG) and exercising the option to acquire the shares of SMG from Suzuki Motor Corporation (SMC) subject to all legal and regulatory compliances including minority shareholders’ approval. Read more

Benchmark equity indices Sensex and Nifty closed over half a per cent higher on Monday, snapping their two-day falling streak on buying in index majors Reliance Industries and Tata Consultancy Services and firm global trends.

The 30-share BSE Sensex jumped 367.47 points or 0.56 per cent to settle at 66,527.67. The index opened lower but later rebounded from early lows and hit a high of 66,598.42 as power, oil, IT and FMCG shares advanced.

The NSE Nifty climbed 107.75 points or 0.55 per cent to end at 19,753.80. Read more

Asahi India Glass: Consolidated profit for the quarter ended June 30, 2023, is at ₹102.62 crore as against ₹107.76 crore in the previous year. The stock surged by 3.64% on the NSE and closed at ₹577.

The Indian rupee ended little changed on Monday, the first day of a data-heavy week that will help investors assess the outlook for US monetary policy.

The rupee ended at 82.2450 against the dollar on the day, compared with its close of 82.2475 on Friday. Read more

On Monday, Indian equity indices closed with gains. The Nifty 50 index rose by 0.55% and concluded at 19,753.80, while the S&P BSE Sensex finished 0.56% higher at 66,527.67. Except for Nifty FMCG and Healthcare indices, all other major sectoral indices recorded increases, primarily driven by IT, Metals, and Oil and Gas sectors.

Private sector lender Kotak Mahindra Bank on Monday said it has not received any communication from the Reserve Bank on the succession of its executive officer (CEO).

Its current CEO Uday Kotak’s term ends in December this year, and as per RBI’s new rules on limiting the tenures of CEOs, he cannot continue in the office. Read more

Shares of Radico Khaitan hit a fresh 52-week high (₹1,468.95) ahead of August 3 board meeting to consider June-2023 quarter financial results. The stock of the company, which sells brands such as Contessa, Magic Moments, Old Admiral and 8PM, is ending trade today over 4.4% up at Rs 1449 apiece on the BSE.

Kamdhenu Limited reported its net profit for the quarter ended June 30, 2023, at ₹12.06 crore as against ₹10.03 crore in the previous year. The stock, higher by 1.23%, trades at ₹308 on the NSE.

​One97 Communications Limited​ (OCL), which owns Paytm, has announced the launch of two innovative payment devices that are 4G-enabled — Paytm Pocket Soundbox and Paytm Music Soundbox.

The stock jumps 5.39% on the NSE, trading at ₹804.05.

Mahindra Finance’s shares went down by 0.77 per cent after the company reported a 51 per cent increase in profit for the quarter ended June 30, 2023, at Rs 362.22 crore, compared to Rs 239.86 crore during the corresponding quarter last year. Revenues were up 23 per cent at Rs 3,583.20 crore, compared to Rs 2,902.14 crore last year. Sequentially, profits were lower by 82 per cent, compared to Rs 2,071.20 crore in the previous quarter.

Read more.

Gland Pharma’s shares surge by 1.15% on the NSE, trading at ₹1,306.85 per share.

The stock of Indian Railway Finance Corporation jumps 8.70% on the NSE, trading at ₹38.10.

GAIL (India) reported its consolidated net profit for the quarter ended June 30, 2023, at ₹1,792.99 crore as against ₹3,250.95 crore in the previous year. The stock surges by 1.70% on the NSE, trading at ₹119.50.

Shoppers Stop Ltd has informed the exchanges that its board has approved an investment in Pahadi Goodness Private Limited of upto ₹4 crore by way of subscription to 40,000 optionally convertible debentures at face value of ₹1,000 each and shall be entering into a subscription agreement with Pahadi Local for the same. The Company shall further have an option to acquire an additional 17.67% of the Equity Capital of Pahadi Local in June, 2025, at a post money valuation of ₹20 crore.

The stock of Shoppers Stop inches up by 0.81% on the NSE, trading at ₹798.05.

Credit offtake continued to show robust growth, increasing by 20.2% year on year (y-o-y) to reach Rs. 147.6 lakh crore for the fortnight ending July 14, 2023.

This surge was primarily driven by the impact of HDFC’s merger with HDFC Bank, which took effect in July 2023, as well as growth in personal loans and NBFCs. However, if we exclude the impact of the merger, credit offtake grew at a slightly lower rate of 14.4% y-o-y in the same fortnight (as reported on July 14, 2023).

Looking ahead, the outlook for bank credit offtake remains positive, with a projected growth of 13-3.5% for FY24, excluding the merger’s impact. Including the merger, the growth is likely to be higher by approximately 3%. Deposits also witnessed healthy growth, increasing by 13.2% y-o-y for the fortnight (including the merger impact).

Major gainers

• NTPC (3.74%)
• ONGC (2.94%)
• Adani Ports (2.91%)
• Power Grid (2.73%)
• Tech Mahindra (2.23%)

Major losers

• Apollo Hospitals (-3.12%)
• Britannia (-2.25%)
• HDFC Life Insurance (-1.74%)
• Divi’s Laboratories (-1.74%)
• Kotak (-1.14%)

Government has allocated 23.5 lakh tonnes of sugar for sales during August, which is slightly lower than 24 lakh tonnes allotted in July. However, the mills have been given time to clear the unsold quantity of July quota by August 15 which will make additional 1.5-2 lakh tonnes available in the domestic market, enough to meet the estimated festive demand.

Copper futures on the Multi Commodity Exchange (MCX) bounced off support at ₹720 last week. The continuous contract closed at ₹736.7 on Friday, and it has opened the week on a positive note and is up 0.2 per cent so far today.

There was a strong roll-over of 98 per cent in copper futures by the end of last week and, thus, the uptrend is likely to continue, at least in the near-term. That said, the August futures, currently trading at around ₹745, is right on a resistance.

Stocks advanced on BSE at 3 pm on July 31 were 2,136 against 1,500 stocks that declined. Total stocks traded were 3,846. The number of stocks that recorded a 52-week high 318, and those that hit a 52-week low was 49.

Recently listed Netweb Technologies is trading at ₹878, down 2 per cent for the day and down by around 8 per cent from its listing day peak price of 952. At current price it trades at a trailing PE of 105 times.

Godfrey Phillips India Ltd’s shares went up by 2 per cent after the company announced its Q1 results. Revenue, EBITDA, and PAT recorded 26.2 per cent, 21 per cent, and 115.5 per cent growth, respectively. This performance was attributed to a focus on the cigarette business, expanded distribution of the Marlboro portfolio, leaf tobacco exports, and the improved performance of associate company PMI, leading to dividend income.

Read more.

Welspun India reported its consolidated net profit for the quarter ended June 30, 2023, at ₹162.73 crore as against ₹21.36 in the previous year. The company’s stock jumps 11.07% on the NSE, trading at ₹111.40.

Jai Balaji Industries has incorporated a Subsidiary - Kesarisuta Industries Uganda - in Uganda for selling of products like ductile iron pipes and others.

Shares jumped 5 per cent at ₹156.96 on the BSE

Kotak Mahindra Bank said there is no communication, formal or informal, from RBI to the Bank or its Board members on CEO succession.

Further, the Bank holds all regulatory approvals including from RBI for its stake in its insurance.

This statement comes in response to a news agency report, which said “India’s banking regulator is nudging Kotak Mahindra Bank Ltd to select someone outside the lender’s ranks…to succeed Uday Kotak as the next Chief Executive Officer…The Reserve Bank of India has conveyed its view to board members of Kotak Mahindra Bank…”

The agency also said the regulator is also reviewing whether stakes the banking group holds in two wholly-owned insurance units pose any risks to the firm’s stability.

The Bank said the aforementioned statements in the report are completely incorrect and baseless.

Adani Green Energy reports its consolidated net profit for the quarter ended June 30, 2023, at ₹323 crore as against ₹214 crore in the previous year.

On a Q-o-Q basis, Adani Green EPS has declined from 3.02 to 1.85.

The company’s stock slips by 0.12% on the NSE, trading at ₹1,091.25.

Jet Airways (India) has informed the exchanges about the renewal of Air Operator Certificate. The stock gains 4.91% on the NSE, and trades at ₹51.30.

​De Nora India Ltd.​’s shares went down by 15.13 per cent after the company reported a 66 per cent decrease in profit for the quarter ended June 30th, 2023, at ₹52.16 lakhs compared to ₹1.5681 crore during the corresponding quarter last year. ​Read more​

Heritage Foods Ltd has reported a consolidated net profit of ₹16.738 crore for the quarter ended June 30, 2023, as against ₹7.276 crore in the previous year. The company’s stock rose by 1% on the NSE to trade at ₹267.25.

Go Fashion (India) has reported a net profit of ₹26.27 crore for the quarter ended June 30, 2023, as against ₹24.43 crore in the previous year. The stock gained by 2.33% on the NSE to trade at ₹1,197.60.

Bengaluru-based lender Jana Small Finance Bank has filed a Draft Red Herring Prospectus (DRHP) with the market regulator, the Securities and Exchange Board of India (SEBI), for an Initial Public Offering (IPO).

The bank has resubmitted papers two years after pulling its previous plan due to the pandemic, and the last year it could remain private according to local market regulations, according to reports. Read more

Royal Enfield Motors seeks to build on the growth momentum in its international business with a three-pronged strategy going forward.

Thanks to fresh motorcycle portfolios, its rich British roots, and penetration of overseas markets under its global expansion strategy, the company’s international sales have expanded more than four times in the last five years, along with market share gains in key markets. The revenue from international business has increased to Rs 2,080 crore from Rs 1,732 crore in FY22 and Rs 379 crore in FY19.

Read more.

The stock of Suzlon Energy surges by 4.99% on the NSE, trading at ₹18.95

HIL Ltd reports a net profit of ₹57.86 crore for the period ended June 30, 2023, as against ₹86.73 crore in the previous year. The company’s stock declines by 0.45% on the NSE trading at ₹2,883.85.

“The upcoming review of GBI-EM index members toward the end of this quarter has raised expectations of India’s inclusion in global indices, yet again. Unusually lack of public news or comments from the government indicates little need or political will to make additional concessions this year. However, India remains an under-owned major EM market with increasing investor interest recently. Need for further diversification of index constituents may lead to the index providers going ahead with inclusion, despite frequently cited operational difficulties for smaller investors. While flows could be large, the impact on FX could be limited if RBI absorbs the bulk of the flows.”

Oricon Enterprises board to consider sale of Petrochemical division of the Company situated at Village Niphan and Anandwadi, Raigarh District in Maharashtra, at its meeting on August 4, 2023.

The company’s stock jumps by 4.84% on the NSE, trading at ₹23.85.

Mumbai-based Onest Ltd is primarily engaged in the Fast Moving Consumer Goods (FMCG) market with a range of home care and personal care products, food products and household products catering to B2B2C and B2B customers has filed its Draft Red Herring prospectus (DRHP) with capital market regulator Sebi to raise funds through for its initial public offering (IPO).

The IPO with a face value of ₹10 comprises a fresh issue of ₹77 crore and an offer for sale (OFS) of up to 3.25 million shares by the Promoter and other selling shareholders.

The offer for sale comprises of up to 2.66 million equity shares by Pawan Kumar Gupta, up to 4.69 lakh equity shares by Glentrade DMCC, up to 62,250 equity shares by Ramesh Girdharilal Lulla, up to 30,000 equity shares by Rahul Porwal, up to 15,000 equity shares by Pankaj Jain, up to 7,500 equity shares by Piyush Dungarpuria, up to 1,875 equity shares by R Sambhu Kumar.

Bajaj Hindusthan Sugar reported a net loss of ₹74.69 crore for the period ended June 30, 2023, as against the loss of ₹44.91 crore in the previous year. The stock declines by 3.41% on the BSE, trading at ₹17.58.

Edelweiss Asset Management Company informed the fund management structure of the Edelweiss Long Term Equity Fund (Tax Savings) with existing ‘Fund Manager- Trideep Bhattacharya, and Co- Fund Manager- Ashwani Agarwalla’, will stand revised with the proposed ‘Fund Manager- Ashwani Agarwalla and Co- Fund Manager- Trideep Bhattacharya with effect from August 1, 2023.

Europe markets are largely flat marginally down on open with key indices across Germany, UK, France and Italy trading in the range of -25 to 10 bps. This is on the back of largely green Asian markets with major indices across Japan, Korea, China, Hong Kong and India all trading in the green.

This follows macro economic data from China which indicated that its manufacturing PMI contracted for the fourth month in a row in July. This was however better than consensus forecasts, and underlies the broader positive market reaction.

Prevest Denpro Limited announced the signing of a Memorandum of Understanding (MoU) with Sri Vishnu Educational Society. This strategic alliance aims to foster a strong industry-academia partnership, paving the way for innovative advancements in the dental sector. The stock of Prevest Denpro rises by 1.81% on the BSE, trading at ₹562.

Seacoast Shipping Services Ltd is set to resume its agreement with Maria Shipping Fze., Dubai, after fulfilling working capital requirements. The initial contract between Seacoast and Maria Shipping aimed to establish Seacoast’s provision of Shipping and Logistics Services in Dubai, with an effective start date of April 1, 2023. Unfortunately, the deal was momentarily suspended due to unforeseen challenges in fulfilling the necessary working capital requirements at that time.

Bharti Airtel has informed exchanges that it has prepaid ₹8,024 crore to the Department of Telecom (Government of India) towards part prepayment of deferred liabilities pertaining to spectrum acquired in auction of year 2015.

The stock inched down by 0.25% on the NSE, trading at ₹892.85.

Prakash Industries reported its net profit for the quarter ended June 30, 2023, at ₹89.41 crore as against ₹43.15 crore in the previous year.

The company’s stock surges by 3.04% on the NSE, trading at ₹91.65.

The stock of Virinchi Ltd rises by 5% on the NSE, trading ta ₹39.90. The company had entered into a multi-year agreement with one of the Micro Lending companies in the US that will add $2-2.5 million per annum to the top line of the company going forward.

Shares of Electronics Mart India rise by 1.90% on the NSE, trading at ₹107.45. The company had commercial operation of a new Multi Brand Store of 6,375 sq.ft. under the brand name ‘Bajaj Electronics’ on July 29 in Telangana.

Alphalogic Industries stock jumps by 11.21% on the BSE, trading at ₹132.70. The company had bagged order (worth ₹6.09 lakh) for design, manufacture, supply and installation of Storage Racking System and Staff Locker from Shoppers Stop Limited for their unit based in Warangal, Telangana.

SoftTech Engineers Limited, India (SoftTech), shares went up by 1 per cent after the company reported signing a memorandum of understanding (MoU) with CDC International Sdn Bhd (CDCi) at their Malaysia headquarters. The agreement aims to extend SoftTech’s comprehensive suite of software product platforms, CIVIT, for the digitalisation of the Government and Corporate construction and Infrastructure industries in Malaysia.

Persistent Systems, in partnership with Google Cloud, is launching a suite of Google Cloud- powered Generative AI solutions. The stock of Persistent Systems rises by 1.02% on the NSE, trading at ₹4,744.80.

Major gainers

• NTPC (3.38%)
• Adani Ports (2.39%)
• Power Grid (2.11%)
• Tech Mahindra (2.09%)
• Tata Steel (1.95%)

Major losers

• Apollo Hospitals (-2.45%)
• Britannia (-2.10%)
• HDFC Life Insurance (-1.62%)
• Kotak (-1.15%)
• Hindustan Unilever (-0.97%)

Bengaluru-headquartered Tresa Motors, which is focussing on medium and heavy electric trucks, ropes in former MD of Ashok Leyland Vinod K Dasari as Chairman of the company’s Board.

Taiwanese major and Apple phone manufacturer Foxconn will expand its operations in Tamil Nadu by pumping in ₹1,600 crore in a new factory in Tamil Nadu to manufacture mobile components, source said.

Its Chairman Young Liu on Monday met Tamil Nadu Chief Minister M. K. Stalin to discuss the company’s investment in the State.

Last week, senior officials from Foxconn’s India office met Stalin.

Today’s meeting also assumes significance as the Taiwanese major, which already has a strong presence in the State, is scouting for a place to put up its semiconductor unit and also set up component units.

Read more.

Stocks advanced on BSE at 12 noon on July 31 were 2,216 against 1,281 stocks that declined. Total stocks traded were 3,697. The number of stocks that recorded a 52-week high was 281, and those that hit a 52-week low was 38.

MMTC stock jumps by 7.40% on the NSE, trading at ₹37.75. The company had informed exchanges about the receipt of information about Notices of Default initially to the tune of approximately $11.50 million addressed to MTPL, Singapore (a wholly owned subsidiary of MMTC Ltd), from the overseas branches of Indian Overseas Bank, Bank of India and UCO Bank.

Power Mech Projects Ltd’s (PMPL) shares surged 10 per cent as the company bid for a Mine Development and Operation Project (MOO) from the Steel Authority of India Ltd. (SAIL). The contract, estimated at Rs 30,438 crore, involves the Tasra Open Cast Project (OCP) in Jharia Coal Fields, Jharkhand, with a duration of 28 years, including two years for development. After securing the KBP MOO Project in June 2021, PMPL has now won its second MOO contract.

Drone Destination Limited and National Skill Development Cerperation (NSDCQC) have entered into an MoU on providing skill training in emerging space of Drones across various specialised applications, including survey mapping.

The stock of Drone Destination jumps by 3.88% on the NSE, trading at ₹108.50.

Bandhan Bank shares rise by 2.49% on the NSE, trading at ₹222.50 per share

The stock of Macrotech Developers rises by 1.57% on the NSE, trading at ₹758.60. The company had invested ₹1,000 crore during the April-June period on the construction of various projects.

Shares of Tata Consultancy Services went up by 1.18 per cent after the company reported a restructuring in its organisation under its new CEO, K. Krithivasan.

TCS had announced changes in senior management positions and created a new business group to capitalise on the potential arising from the deployment of artificial intelligence across the globe. Under the new organisational structure, seven business group leaders will oversee the Industry Solutions Units (ISUs), with the current heads of ISUs reporting to them.

Read more.

Jet Airways (India) stock rises by 4.91% on the NSE, trading at ₹51.30.

Bank Nifty index opened today’s session with a gap-up at 45,546 versus Friday’s close of 45,468. It is currently trading at around 45,525, up 0.1 per cent for the day after the first hour of trade.

The advance/decline ratio of the index, which stands at 8/4 gives it a bullish bias. Read more

Thomas Cook India and SOTC Travel have entered into an MoU with Sentosa Development Corporation (SDC), Singapore. The stock of Thomas Cook (India) rises by 1.03% on the NSE, trading at ₹83.70.

The stock of Gland Pharma rises by 2.92% on the NSE, trading at ₹1,329.70. The company had informed the exchanges about the conclusion of a USFDA inspection with zero 483 observations at the company’s VSEZ Sterile Oncology Facility at Visakhapatnam.

Major gainers

• Lloyds Steels (13.77%)
• BLS (11.85%)
• Power Mech (9.59%)
• Ujjivan Small Finance (9.62%)
• Hindustan Copper (7.75%)

Major losers

• Jindal Saw (-6.20%)
• PEL (-5.48%)
• Intellect (-4.66%)
• DCB Bank (-4.32%)
• Rossari (-4.11%)

Motherson Sumi Wiring India Ltd.’s share price went down by 1.85 per cent after the company reported a 2.2 per cent decrease in profit for the quarter that ended June 30th, 2023, at ₹123.13 crore compared to ₹125.96 crore during the corresponding quarter last year. Read more

The Nifty 50 and Sensex are trying to bounce back after having fallen towards the end of last week. The benchmark indices are trading marginally higher. The Sensex is trading at 66,243, up 0.13 per cent, and the Nifty is at 19,669, up 0.11 per cent.

Although this bounce has provided a is giving some breather, it is important to see if the indices are getting a strong follow-through rise. Last week, Nifty failed to breach 19,800 decisively. So, only a sustained rise above 19,800 will bring back the bullish momentum, and pave way for a test of 20,000 on the upside. As long as Nifty stays below 19,800, a fall to 19,500 cannot be ruled out before a reversal happens. Read more

HDFC Bank’s share price went up by 0.05 per cent after the company reported that foreign portfolio investors (FPIs) had increased their shareholding in HDFC Bank, reaching a record high of 54 per cent by the end of the June 2023 quarter.

The latest data indicates a surge, compared to the 32 per cent shareholding recorded in the corresponding quarter of the previous fiscal year. “So, with its relative valuation (compared to other global banks) and growth opportunities in India, HDFC Bank is naturally the top choice for FPIs,” said Kranthi Bathini, Director - Equity Strategy, at WealthMills Securities

Read more.

Venus Remedies’ oncology wing product registrations go up to 506 with marketing approvals from four more countries.

However, the stock declines by 1.99% on the NSE, trading at ₹248.95.

Alembic Ltd.’s share price went down by 0.30 per cent after the company reported a recall of its products in the US market due to manufacturing problems, as written by the US Food and Drug Administration (USFDA).

The recall affects 12,336 bottles of Buprenorphine Sublingual tablets, used for treating opioid use disorder, and 2,844 units of Diclofenac Sodium Topical Solution, used for alleviating pain and arthritis symptoms. The company’s response to the issues is detailed in the most recent Enforcement Report by the USFDA, and the recall aims to protect consumer safety.

Thangamayil Jewellery has informed the exchanges about the opening of its new branch at Tirumangalam, Madurai District, Tamil Nadu, on August 3, 2023.

The stock jumps 4.55% on the NSE, trading at ₹1,374.95.

Crude oil futures traded lower on Monday morning as the market was disappointed with data related to manufacturing and business activity from China for July.

At 9.55 am on Monday, October Brent oil futures were at $83.92, down by 0.58 per cent, and September crude oil futures on WTI (West Texas Intermediate) were at $80.16, down by 0.52 per cent.

Equity benchmark indices declined in early trade on Monday as investors remained cautious amid continuous foreign fund outflows.

Falling for the third day running, the 30-share BSE Sensex went lower by 161.3 points to 65,998.90 in early trade. The NSE Nifty declined 48.45 points to 19,597.60.

Ujjivan Small Finance Bank stock surges by 10.27% on the NSE, trading at ₹48.85.

Walmart Inc. paid $1.4 billion to buy Tiger Global Management’s remaining stake in Flipkart, boosting its bet on the retailer and helping the money manager provide distributions to investors at a time when accessing liquidity is tough.

The transaction, which took place in recent days, valued the Indian e-commerce giant at $35 billion, according to a letter sent by Tiger Global to investors that was obtained by Bloomberg News. That’s down from the nearly $38 billion valuation Flipkart commanded in its 2021 funding round. A spokeswoman for the investment firm declined to comment on the deal, which the Wall Street Journal reported on earlier Sunday.

Read more here.

The stock of Rail Vikas Nigam rises by 2.32% on the NSE, trading at ₹123.75.

The stock of Siemens rises by 2.50% on the NSE, trading at ₹3,954. The company had informed the exchanges that its shareholders have voted against its proposed sale and transfer of the company’s low voltage motors and geared motors businesses to Siemens Large Drives India Private Limited.

Jet Airways’ Airport Operator Certificate (AOC) has been renewed by the Directorate-General of Civil Aviation (DGCA).

The Jalan-Kalrock consortium, the successful resolution applicant of Jet Airways said, “JKC expresses its gratitude to the aviation regulator, the Ministry of Civil Aviation, and all other stakeholders, in showcasing their faith in JKC and in the revival of Jet Airways.”

Piramal Enterprises stock declines by 4.60% on the NSE, trading at ₹1,023.60.

The stock of STEL Holdings, formerly known as Sentinel Tea & Exports Ltd, jumps by 16.68 per cent on the NSE, trading at ₹202.50.

Aluminium prices on MCX may find support from the low inventory in the global market.

The Chinese domestic aluminium ingot inventory accumulation is lower than expected. The low inventory in the off-season may give support to aluminium prices.

In terms of consumption, it is off-season for domestic downstream demand, said Kedia Commodities.

MCX Aluminium closed at Rs 199.90 on Friday up by 0.83 per cent.

The rupee depreciated 7 paise to 82.25 against the US dollar in early trade on Monday, tracking a strong American currency and outflow of foreign funds from domestic equity markets.

Elevated level of crude prices crossing ₹84 a barrel and subdued sentiment in the domestic equity markets also weighed on the Indian currency, forex traders said.

The stock of TCS inches up by 0.95% on the NSE, trading at ₹3,387.30. The company had rolled out a new operating structure based on industry verticals.

The Reserve Bank of India’s latest report reveals that gross credit deployment by Indian banks in the aviation sector has seen a staggering 41.3 per cent year-on-year jump in May. The total outstanding credit by 40 scheduled banks was over Rs 22,381 crore in May 2022, which rose to Rs 31,628 crore in May 2023. This is the highest monthly credit outstanding in the past 21 months since July FY22, at Rs 32,301 crore.

Credit deployment within the aviation sector, considered a part of the services sector by the RBI, has surpassed the services sector’s average deployment, which grew at 21 per cent for the same period.

Major gainers

• NTPC (2.40%)
• Tata Steel (1.41%)
• Power Grid (1.37%)
• JSW Steel (1.15%)
• Hindalco (1.02%)

Major losers

• HDFC Life Insurance (-2.09%)
• Apollo Hospitals (-2.04%)
• Asian Paints (-1.59%)
• Britannia (-1.21%)
• Bajaj Finance (-1.02%)

Crude oil futures traded lower on Monday morning as market was not happy with the data related to manufacturing and business activities from China for July. At 9.21 am on Monday, October Brent oil futures were at $84.03, down by 0.45 per cent; and September crude oil futures on WTI (West Texas Intermediate) were at $80.25, down by 0.41 per cent.

TCS, Maruti Suzuki, Adani Green, Adani Transmission, GAIL India, Keynes Tech, Siemens, BPCL, Ather, Tata Communications, Shree Cement, Dhanlaxmi Bank, Piramal Enterprises, JBM Auto, Som Distilleries, Gland Pharma, PowerGrid, Bajaj Hidusthan, Bosch, LMW, Macrotech, MMTC.

Read more here.

Ex-Dividend August 1, 2023 (Tomorrow)

Last date for Cum-Dividend Today

1. D B Corp Ltd

• Dividend Per Share ₹3
• Previous day Closing Price – ₹219.95

2. Exide Industries Ltd.

• Dividend Per Share ₹2
• Previous day Closing Price – ₹251.15

3. J.K.Cement Ltd.

• Dividend Per Share ₹15
• Previous day Closing Price – ₹3248.55

4. Orient Paper & Industries Ltd.

• Dividend Per Share ₹1
• Previous day Closing Price – ₹43.86

5. Resonance Specialties Ltd

• Dividend Per Share ₹1
• Previous day Closing Price – ₹98.26

6. Rupa & Company Ltd.

• Dividend Per Share ₹3
• Previous day Closing Price – ₹292.9

7. Sharda Cropchem Ltd

• Dividend Per Share ₹3
• Previous day Closing Price – ₹449.9

8. Shetron Ltd.

• Dividend Per Share ₹0.5
• Previous day Closing Price – ₹74.67

9. SRF Ltd.

• Dividend Per Share ₹3.6
• Previous day Closing Price – ₹2169.75

• UBS on Gail: Maintain Buy on Company, target price at ₹150/share (Positive)
• CLSA on Indus Tower: Maintain Buy on Company, target price at ₹210/share (Positive)
• CLSA on NTPC: Maintain Buy on Company, target price at ₹240/share (Positive)
• MS on ICICI Bank: Maintain Overweight on Bank, target price at ₹1350/share (Positive)
• MS on HDFC Bank: Maintain Overweight on Bank, target price at ₹2110/share (Positive)
• MS on Bank India: Maintain Overweight on Bank, target price at ₹120/share (Positive)
• MS on IOC: Maintain Overweight on Company, target price at ₹110/share (Positive)
• Citi on M&M Fin: Maintain Buy on Company, target price at ₹355/share (Positive)
• CLSA on M&M Fin: Maintain Buy on Company, target price at ₹360/share (Positive)
• Macquarie on Marico: Maintain Outperform on Company, target price at ₹625/share (Positive)
• Nomura on Motherson wiring: Maintain Buy on Company, target price at ₹69/share (Positive)
• Axis on Siemens: Upgrade to Add on Company, target price at ₹4211/share (Positive)
• MS on SBI Cards: Maintain Overweight on Company, target price at ₹1155/share (Positive)
• Jefferies on Home First: Maintain Buy on Company, target price at ₹1020/share (Positive)
• HSBC on SBI Cards: Maintain Buy on Company, target price at (Neutral) ₹990/share
• Kotak on SBI Cards: Maintain Buy on Company, target price at ₹960/share (Neutral)
• Macquarie on M&M Fin: Maintain Neutral on Company, target price at ₹215/share (Neutral)
• MS on M&M Fin: Maintain Equal weight on Company, target price at ₹300/share (Neutral)
• Jefferies on Siemens: Maintain Buy on Company, target price at ₹4520/share (Neutral)
• MS on MCX: Maintain Underweight on Company, target price at ₹1270/share (Neutral)
• Nomura on IOC: Maintain Neutral on Company, target price at ₹105/share (Neutral)
• Citi on Exide: Maintain Buy on Company, target price at ₹270/share (Neutral)
• CLSA on Apollo Hospitals: Initiate Underperform on Company, target price at ₹4,200/share (Neutral)
• CLSA on Max Helath: Initiate Underperform on Company, target price at ₹465/share (Neutral)
• CLSA on IDFC First: Maintain Underperform on Company, target price at ₹85/share(Neutral)
• MS on IDFC First: Maintain Equal weight on Company, target price at ₹80/share (Neutral)
• CLSA on PEL: Downgrade to Underperform on Company, target price at ₹1150/share (Negative)
• Jefferies on IEX: Maintain Underperform on Company, cut target price at ₹105/share (Negative)
• Bernstain on IEX: Maintain Underperform on Company, cut target price at ₹95/share (Negative)

Power Mech bags mine development and operation project for an estimated value of ₹30,438 cr from SAIL. The duration of the contract is 28 years (including 2 years of development period).

NTPC coal produced from Captive Mines-Commercial jumps 52 per cent at 6.24 mt against 4.10 mt y-o-y.

Shree Cement starts commercial production at its Clinker Grinding Unit at West Bengal

Piramal Enterprises board approves share buyback up to ₹1,750 crore at ₹1,250/share via tender route

Power Grid board approves fund raise of upto ₹5,700 crore in FY24 in multiple tranches via NCDs, bonds

Tata Communications completes full acquisition of Oasis Smart SIMTM Europe SAS, a leading eSIM technology provider

Shri Techtex Limited, a leading Ahmedabad-based manufacturer and exporter of technical textiles, has witnessed an overwhelming response to the initial public offering (IPO) as NSE Emerge. The IPO, which closed July 28, was oversubscribed 144.23 times and had received 72.91 lakh bids amounting to ₹4,447.51 crore.

The public issue, which comprised 74 lakh equity shares, garnered tremendous interest across all investor categories. In the retail category, the company has received bids for 38.46 lakh shares amounting to ₹2,346.39 crore. In the non-institutional segment, the company has received bids for 26.46 lakh shares amounting to ₹1,614.35 crore while in the qualified institutional segment, it has bids for 8.18 lakh shares amounting to ₹499.14 crore.

The company had set a floor price range of ₹54 to ₹61 per share for book-building. The shares of the company will list on NSE Emerge. The proceeds from the IPO will be utilised for various purposes, including construction at the manufacturing site, procuring machinery, and rationalising energy and working capital costs.

“In Q1FY24, PIEL continued to add more building blocks for creating a sustainably-profitable retail, SME and corporate mid-market lender, what we call as Piramal 2.0. In this pursuit, Company continued to aggressively sell down its legacy large ticket (Wholesale 1.0) loans, has sold its investments in Shriram Finance, taken a ₹2.8 billion goodwill impairment, and approved share buyback of ₹17.5billion.

The buyback (5.9% of outstanding capital, at ₹1,250 per share), and the decision of the promoter group to not participate in the buyback, gives investors comfort around capital allocation and the promoter’s long-term commitment to the franchise. As PIEL continues to move out of non-focused activities and its investment in growth areas start delivering results, sustained profitable growth will emerge from FY25. We retain BUY, with Jun-24E TP of ₹1,230/share.”

“MMFS’s asset quality surprised positively as asset quality improved during Q1FY24 vs historically deterioration by increase in GS3 by 400 – 500bps sequentially. During Q1FY24, GS3 declined to 4.3% vs 4.5% QoQ led by higher write-offs. AUM growth improved to 28% YoY vs 27% YoY (FY24) led by strong disbursement growth (up 28% YoY) during Q1FY24. NII grew by 5% YoY led by decline in NIMs. PPoP grew by 6% YoY as other opex declined by 4% YoY.

However, PAT grew by 58% YoY led by decline in provisions (down 18% YoY). MMFS on track to achieve vision 2025 of ~2.5% return on assets (achieved 2.3% FY23). We maintain ‘BUY’ on MMFS with target price of ₹350 (earlier ₹310), valuing it at 2.1x (earlier 1.9x) P/ABV FY25E ABV as asset quality concerns seems to be stabilising.”

“DCB Bank’s asset quality deteriorated slightly with GNPA at 3.3% vs 3.2% QoQ and NNPA at 1.2% vs 1.0% QoQ. Net restructured standard book further declined to Rs.14.1bn vs 15.5bn QoQ; remains high among the industry. Banks deposits growth remained strong at 23% YoY vs 19% YoY (FY23); credit growth too witnessed strong growth at 19% YoY vs 18% YoY (FY23). NII declined by 3% QoQ led by decline in margins (down 35bps QoQ).

PAT declined by 11% QoQ led by higher employee expenses (up 5% QoQ). C/I ratio increased to 64% vs 60% QoQ led by lower non-interest income (down 13% QoQ). Bank reported collection efficiency for key portfolios (June’23) – LAP/Home loans/CV loans at 97.2%/97.5%/88.6% vs 97.9%/97.7%/93.6% (March’23) respectively.

We maintain ‘BUY’ rating with TP of Rs.150 valuing it at 0.9x P/ABV FY25E.”

“Supreme Industries Ltd.’s (SIL) Q1FY24 result was in-line with our estimates on net sales and EBITDA front, while net profit was beat. Strong volume off-take in pipes segment aided net sales, however inferior product mix (higher contribution of agri and infra pipes) eroded operating margin.

After a sharp run up in the stock price, potential upside from current level is limited. Hence, we maintain HOLD with a TP of ₹3,575 (earlier ₹2,810), assigning 35x PER on FY25E.”

“We build-in revenue/earnings CAGR of 10%/14% over FY23-26E. Marico’s India business (75%/72% of revenue/EBITDA) thrust is on diversification from commodity oil (entails 3/5ths of revenue concentration), while its international focus is on replicating the Bangladesh model (high-growth, high-margin business). We believe Management aspiration of 13-15% domestic growth will require stable performance in core segments and strong execution in the built-up foods and premium personal-care portfolios (to contribute 20% to FY24E domestic revenue). Marico’s patchy past regarding innovation remains a worry, though management remains optimist, given the turnaround in the business with new initiatives.”

• Price : ₹705 - ₹741
• Market: 20
• App Amt: ₹14,820
• Size : ₹1,550.52 crore
• EMP : 0.67 crore
• Retail Form: 366,024
• HNI Small Form: 3,735
• HNI Big Form: 7,470
• QIB : 50%
• NII : 15%
• Retail : 35%

Antony Waste has announced the successful completion of the 14MW/1,000 TPD Integrated Waste to Energy Project at Moshi, Pimpri. This cutting-edge initiative exemplifies the Company’s unwavering commitment to circularity and aligns with global sustainability goals, positioning Antony Waste at the forefront of environmental leadership in the G20 community.

“Brightcom Group’s audit committee is thoroughly reviewing relevant matters, as previously announced. To ensure a comprehensive assessment, the committee requested an extension of 45 additional days, further to the original 90 days, to complete the review. We want to assure our investors that the audit committee is actively engaged in this process, and we are confident that the additional time will allow for a comprehensive and well-informed conclusion.”

“In light of recent discussions about promoter holding, Brightcom Group would like to clarify that there was a minor reduction of approximately 0.3% compared to the prior holding. This reduction was solely due to a pledge trigger and was not indicative of any loss of confidence from the promoters. We want to reassure our investors that the promoters are taking the necessary actions to cover the lost ownership percentage soon.”

Share Sales by Foreign Portfolio Investors (FPIs): “We would like to address recent share sales by some FPIs. It is essential to note that FPIs often undertake portfolio adjustments for various reasons, including rebalancing and risk management. Such decisions do not indicate any negative sentiment towards the company’s prospects.”

Share Sales by Prominent Holder: “A prominent shareholder’s recent share sale, although a very small fraction of the holding, should not be misinterpreted as a lack of confidence in Brightcom Group’s potential. Shareholders have diverse investment objectives and may opt for periodic portfolio adjustments.”

• Buy, TP raised to ₹146
• Strong start to FY24E with 1Q PAT at ₹5.3 billion, up 23% y-o-y
• Core performance healthy; other income boosted by higher interest income
• Management guided for 17% y-o-y revenue growth in FY23E & 21-23% EBITDA margin with ₹200 billion+ order inflows

• Investec: raise price target to ₹300 from ₹230
• InCred: Increases price target to ₹294 from ₹225
• JPM: Remain OW with PT ₹275; Bull case fair value at ₹372/share
• Citi: Buy Rating, Target At ₹270/share

The new week is set to begin on a positive note for the domestic markets. SGX Nifty at 19,800 indicates a gap-up opening of about 50 points for Nifty. Analysts expect the consolidation phase and stock-specific action to continue in the domestic markets. As foreign portfolio investors and mutual funds indulge in sector rotations in their portfolios, one can expect the market to move in a broader range.

As most companies have announced their first quarter results for the current fiscal, the focus would be on institutional behaviour, said analysts.

Read more.

• U-P, TP ₹465
• Believe significant capacity expansion coupled with weak demand could drag down utilisation & profitability in the medium term
• Stock trades at a 50% premium to its peers

Bharat Petroleum Corporation Limited (BPCL) has forged a strategic partnership with Ather Energy to further strengthen and expand India’s largest EV charging network. Through this collaboration, Ather Energy gains access to BPCL’s extensive network of over 21,000 fuel stations across the country, enabling the installation of Ather’s fast-charging Grid.

Raymond Realty, the real estate arm of Raymond, has expanded its presence in the Thane market with the launch of its fourth project Address by GS 2.0.

Virinchi Ltd has entered into a Multi-Year Agreement with one of the leading Micro Lending companies in the US that will add $2-2.5 million per annum to the top line of the company going forward. The initial Term of the agreement is for 5 Years from July 28.

The contract is for the implementation, hosting, support, and maintenance of the Base QFund Applications by the company for use by the customer.

Gland Pharma said the United States Food and Drug Administration (US FDA) has conducted Good Manufacturing Practice (GMP) Inspection at the Company’s VSEZ Sterile Oncology Facility at Visakhapatnam between July, 20 and 28. The inspection was concluded with Zero 483 observations and a classification of No Action Indicated (NAI).

Indiabulls Housing Finance Ltd

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