Share Market Highlights 03 November 2023: Sensex gains 283 pts, Nifty closes above 19,200 on positive global trends

The Indian rupee bucked the trend among its Asian peers and ended slightly lower on Friday, as continued local US dollar demand in the absence of substantial inflows weighed on the unit.

Likely US dollar sales by the Reserve Bank of India prevented further losses in the rupee, three traders said.

The rupee closed at 83.2850 against the US dollar, compared with its close at 83.2425 in the previous session. The unit was little changed on the week. Read more.

InterGlobe Aviation (IndiGo) reported its standalone net profit for the quarter ended September 2023 at ₹187.86 crore as against loss of ₹1585.5 crore in the same quarter previous year.

The stock gained 0.58% to close at Rs 2,505.30 on NSE.

The stock closed at at ₹95.90 on the NSE, up by 0.89%.

The stock closed at ₹188.75 on the NSE, up by 0.03%.

IG Petrochemicals reported its standalone net profit for the quarter ended September 2023 at ₹10.08 crore as against ₹55.37 crore in the same quarter previous year. The stock falls by 6.47% to close at ₹455 on NSE.

Indian equity markets closed in green for the second day in a row. Equity benchmarks BSE Sensex and NSE Nifty surged over 0.45% each driven by positive global sentiment and optimism that the US Federal Reserve might not hike interest rates over the near-term. While Sensex gained 282.88 points or 0.44% to end at 64,363.78, Nifty advanced 97.35 points or 0.51% to close at 19,230.60. Read more.

Cineline India has announced the opening of 3 screen multiplex at Ansal Plaza, Gurugram. The stock inched up by 0.14% on the BSE, trading at ₹109.65.

TVS Srichakra has executed a Loan Agreement for extending a loan for the amount of $6 million to SG Acquisition Corporation, USA, a wholly-owned subsidiary of the company.

Zomato has reported its standalone net profit for the quarter ended September 2023 at ₹315 crore as against ₹12 crore in the same quarter previous year. The stock surged by 7.16% on the NSE, trading at ₹115.25.

Major gainers on the NSE at 3 pm:

Apollo Hospitals (5.26%); Adani Ports (2.80%); Eicher Motors (2.75%); LTIMindtree (2.42%); Titan (2.25%)

Major losers: Bajaj Finserv (-2.26%); Dr Reddy (-1.44%); SBI Life (-1.09%); IndusInd (-0.80%); Tata Steel (-0.68%)

Stocks advanced on BSE at 3 pm on November 3, 2023, were 2,289 against 1,365 stocks that declined; 131 stocks remain unchanged. Total stocks traded were 3,785. The number of stocks that recorded a 52-week high was 178, and those that hit a 52-week low was 19.

Titan Company reported its net profit for the quarter ended September 2023 at ₹940 crore as against ₹857 crore in the same quarter previous year. The stock rose by 2.35% on the NSE, trading at ₹3,276.75.

Praj Industries Ltd has appointed Venkatesh Rao as the Executive Vice President - Bioenergy Ethanol (1G & 2G). The stock rose by 1.73% on the NSE, trading at ₹547.15.

IDFC Limited reported its standalone net profit for the quarter ended September 2023 at ₹21.65 crore as against ₹44.56 crore in the same quarter previous year. The stock inched up by 0.57% on the NSE, trading at ₹113.85.

MOIL’s production has surged to 9.26 lakh tonnes in the first seven months of FY23. In October 23, the company achieved a production of 1.11 lakh MT, which is 48% higher y-o-y. The stock is up by 0.71% on the NSE, trading at ₹234.40.

TeamLease Services informed the exchange that Alluri Ramesh Reddy has joined the company as Chief Executive Officer – Degree Apprenticeship. The stock trades at ₹2,390.20 on the BSE, up by 0.21%.

Blue Jet Healthcare informed the exchange that a fire accident occurred at the company’s Mahad plant situated in Maharashtra. The fire was extinguished within time with the help of the Fire Department. Currently, the Company is in the process of evaluating the extent of the damage caused and has started the necessary procedures. The stock is down by 1.93% on the BSE, trading at ₹399.25.

Aditya Birla Capital Limited has informed the exchange regarding the grant of 18,45,178 Options. The stock is up by 1.62% on the NSE, trading at ₹175.50.

​Zydus Lifesciences Limited​ and ​Lupin Limited​ have entered into a licensing and supply agreement to co-market, Saroglitazar Mg for the treatment of Non-Alcoholic Fatty Liver Disease (NAFLD) and Non-Alcoholic Steato Hepatitis (NASH) in India. Zydus stock rose by 1.06% on the NSE, trading at ₹583.90. Lupin stock is up by 1.34% on the NSE, trading at ₹1,184.85.

One 97 Communications Ltd has approved the allotment of 262,801 equity shares having a face value of ₹ 1 each, as fully paid-up, to the eligible employees under the ESOP plan. The stock trades at ₹899.80 on the NSE, down by 2.33%.

Himadri Speciality Chemical Limited has informed the Exchange regarding the allotment of 672,000 securities pursuant to the preferential issue. The stock is up by 1.43% on the NSE, trading at ₹245.50.

Britannia Industries reported sales/EBITDA/PAT of -4%/+1%/+8% vs Bloomberg consensus, with 1% underlying sales growth for the consolidated business. Gross margins expanded 373 bps, with EBITDA margin expansion of 309 bps. Volumes were subdued on a tough base and underlying weak consumer sentiment but BRIT remains on course to drive innovation to compete in larger categories like dairy and snacking.

Aditya Soman, an analyst, assumes coverage and adjusts FY24-26 earnings by -2%-+1% and raises PT to Rs5,156 from Rs4,685. Upgrade to O-PF from U-PF.

The board of Jagsonpal Pharmaceuticals has approved the divestment of the company’s Faridabad facility. The stock trades at ₹404.25 on the NSE, down by 2.06%.

Amanaya Ventures informed the exchange about the launch of a new product: Aurel Bullion. The stock rose by 3.11% on the BSE, trading at ₹13.25.

Imagicaaworld Entertainment has appointed Prashant Jadhav as Head of Operations. The stock trades at ₹47.05 on the NSE, down by 1.36%.

​Delhivery Limited​ has informed the Exchange regarding the grant of 66,300 options. The stock is trading at ₹404.10 on the NSE, up by 0.71%.’

SML Isuzu reported its net profit for the quarter ended September 2023 at ₹21.09 crore as against net loss of ₹9.17 crore in the same quarter previous year. The stock rises by 1.28% on the NSE, trading at ₹1,404.85.

Godfrey Phillips India reported its standalone net profit for the quarter ended September 2023 at ₹163.34 crore as against ₹174.95 crore in the same quarter previous year. The stock falls by 5.05% on the NSE, trading at ₹2,230.05.

Chambal Fertilizers & Chemicals reported its standalone net profit for the quarter ended September 2023 at ₹372.35 crore as against ₹240.41 crore in the same quarter previous year. The stock trades at ₹285.05 on the NSE, down by 0.33%.

Wardwizard Foods and Beverages Limited will make appearance at World Food India 2023. The stock trades at ₹30 on the BSE, down by 0.07%.

KPI Green Energy Ltd informed the exchange about the receipt of new orders aggregating to 5.70 MW for executing solar power projects received by Sun Drops Energia Private Limited, a wholly owned subsidiary of the Company under ‘Captive Power Producer (CPP)’ Segment of the Company. The stock trades at ₹877.75 on the NSE, up by 6.18%.

DroneAcharya Aerial Innovations Limited entered a Memorandum of Understanding (MoU) with Yashwantrao Chavan Maharashtra Open University (YCMOU), opening up new horizons of education and technology. The stock rises by 2.25% on the BSE, trading at ₹189.

Prime Minister Narendra Modi on Friday said that the food processing industry has emerged as the “sunrise sector” in India and has attracted FDI investments of about Rs 50,000 crore in the past nine years. He emphasised that India’s food diversity is a dividend for global investors. He also urged industry stakeholders to focus on finding solutions for the reduction in post-harvest losses and the usage of better technology for packaging besides promoting a sustainable lifestyle.

Religare Enterprises Limited (REL) has reported a 56 per cent sequential decline in consolidated net profits for the second quarter ended September 30,2023 at ₹40.35 crore as compared to net profit of ₹92.52 crore recorded in the first quarter ended June 30, 2023.

Tata Motors : YES Securities

Result Report Q2 FY24

Recommendation: BUY

Target Price: Rs 773

Upward revision in JLR EBIT outlook is positive

TTMT’s 2QFY24 consol results were in-line to our/street estimates with underlying profitability continues to be robust across businesses. There were several positives invernals such as 1) Net Auto debt decline further to ~Rs387b in 2Q (v/s Rs417b in 1Q and Rs437b in FY23), 2) margins for ICE PV at 9.2% (v/s 8.6%/8.5% in 1Q/FY23) with guidance of double digit EBITDA intact, 3) upward revision in JLR EBIT guidance to ~8% for FY24E (v/s 6% earlier with no change to FY26 EBIT margins guidance of double digit and 4) JLR’s 2HFY24 volumes guidance to be better than 2QFY24. The MOU between JLR and TPEM for access to the JLR’s EMA (electrified modular architecture) platform is a step that would offer cross synergies including entry into mid SUVs (Avinya). We raised FY24/25 consol EPS by 3-4% each to factor in for better margins at JLR. We estimate revenue/EBITDA CAGR of 8%/17% in FY23-26E and maintain BUY with SoTP based TP of Rs773 (v/s Rs768 earlier). TTMT is one of our preferred pick among OEMs.

Tribhovandas Bhimji Zaveri informed regarding opening of 33rd store at Vapi, Gujarat. The stock trades at ₹122.60 on the NSE, up by 2.64%.

The board of Transformers And Rectifiers (India) has approved appointment of C S S Rajora as the chief financial officer of the company. The stock jumps 13.79% on the NSE, trading at ₹186.50.

Omaxe Ltd has signed an MoU with various companies for development of an Integrated Township Project. The company intends to invest ₹300 crore in the said project. The stock rises by 3.94% on the NSE, trading at ₹85.75.

Mawana Sugars Ltd has commenced cane crushing operations for the crushing season 2023-24.

The stock trades at ₹99.85 on the NSE, up by 0.30%.

ESAF Small Finance Bank IPO has been subscribed 0.60 times as of 12:51 pm on the opening day, November 3, 2023. The NII portion has been subscribed 0.59 times, retail 0.95 times, and those reserved for employees 0.54 times. The issue closes on November 7, 2023.

MRF Ltd has declared interim dividend of ₹3 per equity share. The stock trades at ₹1,08,334.25 on the NSE, down by 1.96%.

The board of Usha Martin Ltd has approved the removal (strike-off) of Usha Martin Power & Resources Limited (UMPRL), non-material wholly-owned subsidiary of the Company. The stock trades at ₹290.10 on the BSE, up by 0.22%.

Saptak Chem and Business Ltd has appointed Ganesh R Thakor as the Chief Financial Officer. The stock rises by 4.90% on the BSE, trading at ₹2.57.

Kotak Institutional Equities

Sector View: Attractive NIFTY-50: 17,555

CRAs: Beneficiaries of credit cycle but valuations misplaced

We believe credit rating agencies (CRAs) are well-placed to benefit from credit expansion in the medium term, given the strong correlation the ratings business has with corporate credit growth. While we are positive on ratings, we are cautious about the non-ratings businesses of both CRISIL (~85%/70% of revenues/EBIT) and ICRA (~45%/55% of revenues/EBIT), which have global market linkage. Reasonable valuations and more confidence in the profitable growth of non-ratings businesses could make us revisit our stance. Initiate with a SELL rating on CRISIL (21% downside) and REDUCE on ICRA (8% downside).

Prism Johnson reported its standalone net profit for the quarter ended September 2023 at ₹178.36 crore as against net loss of ₹51.52 crore in the same quarter previous year. The stock rises by 3.17% on the NSE, trading at ₹145.

Arvind Fashions Limited has entered into a Share Purchase Agreement (SPA) with Reliance Beauty & Personal Care Limited, a wholly owned subsidiary of Reliance Retail Ventures Limited to sell and transfer the entire equity stake held by the Company in the following subsidiary company and upon completion of the formalities comprised under the SPA, the following company would cease to be the subsidiary of the Company. The stock surges by 8% on the NSE, trading at ₹351.

Aegis Logistics reported its standalone net profit for the quarter ended September 2023 at ₹103.94 crore as against ₹100.76 crore in the same quarter previous year. The stock slides down by 1.87% on the NSE, trading at ₹284.10.

Titan Company has informed the exchange regarding allotment of 250,000 Non Convertible Debentures on private placement basis. The stock rises by 1.71% on the NSE, trading at ₹3,256.20.

Ethos Ltd announced opening of RIMOVA’s first boutique in India. The stock rises by 1.72% on the NSE, trading at ₹1,721.

Infosys expands its footprint in Europe with a new proximity center in Sofia, Bulgaria. The stock rises by 1.14% on the NSE, trading at ₹1,385.75.

Cummins India has announced Voluntary Retirement Program and Voluntary Separation Program for its Professional/Exempt employees (Employees) which will be launched from November 6, 2023. The stock trades at ₹1,709.40 on the NSE, up by 0.25%.

Following the manufacturing sector, the services sector, too, showed some slowdown in October as Purchasing Managers’ Index (PMI) dropped to 58.4 from 61 in September. New job opportunities, too, lost its pace.

The services sector has over 54 per cent share in Gross Value Added, while manufacturing has around 14 per cent. This means more than two- third of economic activities have recorded subdued performance. However, the expectation is that these will improve in the coming months as festive demands followed by marriage demand will pick up in November and in parts of December.

Whirlpool of India reported its standalone net profit for the quarter ended September 2023 at ₹25.52 crore as against ₹40.62 crore in the same quarter previous year. The stock declines by 1.18% on the NSE, trading at ₹1,586.

Raymond: Company Says Strategic Acquisition of 59.25% Stake in MPPL Business for a Consideration of Rs 682 Crore

Cera Sanitaryware (CRS IN) - Praveen Sahay - Research Analyst, Prabhudas Lilladher Pvt Ltd.

Rating: ACCUMULATE | CMP: Rs8,132 | TP: Rs8,926

Q2FY24 Result Update – Margin improved, guidance upward revised

Cera Sanitaryware (CRS) upward revised its revenue growth guidance between 19-21% from 17-19% and expects 16%+ margins in the near term, given strong demand outlook from replacement (accounts 65% its revenue) and expansion in geographical penetration. CRS’s Q2FY24 Revenue/PAT was 3.1%/3.0% above our estimates with healthy performance from faucetware segment & margin expansion of 60bps YoY. The company delivered revenue CAGR of 9.1% over 4years in Q2FY24 and strong growth guidance for H2FY24 considering seasonally better quarters. EBITDA margin improved to 16.5% and is expected to be at current level in near terms.

We believe demand scenario to remain healthy and capacity expansion in faucetware division will add to growth in coming quarters. Hence, we expect positive momentum to continue. Management guided revenue of ~Rs29bn by Sept-25 with ~16%+ sustainability in EBITDA margin. We estimate Revenue/EBITDA/PAT CAGR of 17.5%/18.2%/18.5% over FY23-26E. We upward revise our FY26E earnings estimate by 1.5% and maintain FY24/FY25E earnings. Maintain ‘Accumulate’ rating with revised TP of Rs8,926 (earlier Rs 8,857) valuing at 35x Sep’25 EPS.

Hind Rectifiers (19.99%); Industrial Investment Trust (16.40%);

Transformers And Rectifiers (India) (1370%); Tilaknagar Industries (10.59%); SEPC (10%)

HDFC Top 100 Fund, an open-ended equity scheme predominantly investing in large-cap stocks (“the Fund”), has successfully completed 27 years of operation in 2023. Over the past 27 years, the Fund has delivered Compound Annual Growth Rate (CAGR) of ~19%. Further, a SIP of Rs 10,000 invested systematically on the first business day of every month (total investment Rs 32.40 Lacs) in HDFC Top 100 Fund would have grown to Rs. 6.88 crores by September 29, 2023 (See complete performance details below).

The portfolio construction follows a bottom up approach to stock picking blended with top down sector and macro trends. The Fund follows a diversified style with a blend of GARP (growth at reasonable price) and value. In stock selection, the focus is on quality of business models, management and financial metrics. Portfolio construction is based on risk-reward of opportunities available at any given point in time. As per the mandate, more than 80% of the portfolio always remains invested in the well-established large cap companies. The core of the portfolio construction is from a medium to long term perspective. The strategy will be in line with our philosophy of maintaining a disciplined approach of looking for quality companies at reasonable valuations.

There is lot of focus on risk management with active positions being taken in a controlled manner while ensuring compliance with regulatory and internal risk guidelines. Any high conviction bets are taken after a considered evaluation of the company’s positioning in the industry and the business cycle and regularly evaluated. The portfolio is well diversified in number of stocks and the fund manager takes measured sector deviations calls vs benchmark.

Bharti Airtel (BHARTI IN) - Swarnendu Bhushan - Co-Head of Research, Prabhudas Lilladher Pvt Ltd.

Rating: ACCUMULATE | CMP: Rs924 | TP: Rs993

Q2FY24 Result Update – Muted operating performance

We cut our FY24 EPS estimate by 15.4% due to volatility in Africa segment. Bharti Airtel reported EBITDA/PAT of Rs195.1bn (-0.4%QoQ; PLe Rs200bn) and Rs13.4bn (-16.9%QoQ; PLe Rs15.3bn). India mobile revenues were up 2.7%QoQ and EBIDTA margin was stable at 54.9%. ARPU grew 1.5% QoQ to Rs203 (PLe Rs203) with 7.7mn growth in 4G subscribers (overall net addition was 3.7mn). Africa mobile Revenue/EBITDA was down 9.2%/8.5% QoQ, and Enterprise revenue grew 1.1% QoQ, while EBIDTA grew by 3%QoQ due to 74bps jump in margins. Home services (fixed line + broadband) had an ARPU decline of 2.2% while DTH had ARPU grew 3.3%. We maintain our positive stance on the sector, due to falling competitive intensity, given weak financial position of peers. Maintain ‘Accumulate’ rating at SOTP based TP of Rs993 (Rs936 earlier) based on 8.5x FY26 EV/EBITDA for India mobile multiple, 4.5x FY26 EV/EBITDA for Airtel Africa, enterprise segment at 9x FY26 EV/EBITDA, 3x FY26 EV/EBITDA for DTH and 6x EV/EBITDA for home services.

Capri Global Capital Ltd, a diversified non-banking financial company, has disbursed Rs 1000 crore car loans in Oct’23. The company has reported a surge in car loan disbursals and an all-time high record of disbursing 10,000 car loan cases in the month of October. CGCL eyes to disburse loans worth Rs 10,000 crore in FY 23-24. Within 30 months of operations, the car loan distribution business has strategically scaled up its operations to encompass 722 locations, providing comprehensive coverage across 32 states and union territories in India.

Apollo Hospitals (4.87%); Adani Ports (2.74%); Eicher Motors (2.54%); Tata Motors (2.07%); JSW Steel (1.56%)

Major losers:

SBI Life (-0.68%); Dr Reddy (-0.59%); Bajaj Finance (-0.50%); Nestle India (-0.28%); LT (-0.22%)

Stocks advanced on BSE at 12 noon on November 3, 2023, were 2,409 against 1,089 stocks that declined; 140 stocks remain unchanged. Total stocks traded were 3,638. The number of stocks that recorded a 52-week high was 155, and those that hit a 52-week low was 14.

The board of Raymond Ltd have approved to incorporate a wholly owned subsidiary of the Company. The stock inches up by 0.90% on the NSE, trading at ₹1,829.70.

Bank Nifty began today’s session higher at 43,318.30 versus yesterday’s close of 43,017.20. It is currently trading at 43,325, up 0.7 per cent.

Showing a clear bullish bias, all 12 stocks in the index have gone up today. Bank of Baroda is the top gainer, 1.7 per cent, followed by Bandhan Bank, up 1.4 per cent.

Nifty 50 (19,265) opened today’s session with a gap-up at 19,241 versus yesterday’s closing level of 19,133.25. It has inched up after opening and is now up 0.7 per cent post the first hour of trade.

As a strategic effort to stabilise wheat prices, the government has sold 3 million tonnes of wheat in the open market.

It has set a target to sell 10 million tonne by March 2024. This proactive approach, executed through auctions and higher allocations, has curbed the rise in wheat prices.

The government has also raised the minimum support price to ₹2,275 for the next rabi marketing season and implemented measures to prevent hoarding, such as limiting participation to processors and conducting inspections on successful bidders.

Ahasolar Technologies Limited has received a contract for Lucknow Solar City Awareness Campaign from National Solar Energy Federation of India, New Delhi. The stock rises by 1.12% on the BSE, trading at ₹272.

Adani Ports and Special Economic Zone Ltd (APSEZ) has handled 37 MMT of total cargo in October 2023, implying a Y-o-Y growth of 48%. The stock rises by 2.12% on the NSE, trading at ₹790.70.

ICICI Securities’ Diwali Mahurat 2023 picks are Larsen & Toubro, Coromandel International, State Bank of India, Spandana Sphoorthy Financial, Bharat Dynamics, TV Today Network and Century Plyboards

Axis Securities has picked nine stocks for Samvat 2080 - HDFC Bank, TVS Motors, Bharti Airtel, SBI Life, APL Apollo Tubes, Astral Ltd, KPIT Technology, Ahluwalia Contracts, and Jyothy Labs. The stocks chosen meet the following criteria and themes

• Companies with higher growth potential with reasonable valuations

• Higher earnings visibility

• Companies with proven track record with improving return ratios

• Leadership position in the respective business

• Balanced Approach of Large, Mid, and Smallcaps

• Right mix of domestic focus and export-oriented themes

(Nirmal Bang Securities)

Outlook: Neutral in near term; Positive in long term

• Post the induction of Mr. Srikrishnan as MD 5 months back and Mr. Sekhar Rao as ED 10 months back; the implementation of their strategies has been completed half way through.

• Bank has tied up with 2 partners for co-lending and with one BC for providing gold loans at doorstep. Bank will collaborate with more co-lending partners/fintechs which will open a new growth avenue for the bank.

• Also bank has recruited 600 sales staff recently and expects their count to rise to 1,000 by March 2024 as it intends to generate business faster, which has not been the bank’s traditional culture.

• Bank will be rolling out a variable pay plan in Q3 for above sales employees.

• With these efforts, the bank aims at growing its advances at 18-20% over next 3.5 years and reach Rs. 1 Lac Cr mark.

• Advnances are at Rs. 65422 Cr (+9% YoY, +5.8% QoQ). Bank aims at exiting the year with 17-18% loan growth.

• NIM came at 3.58% vs QoQ 3.68%. Bank has stuck with its earlier guided range of 3.5-3.7%.

• Cost to income will be in the 48-50% range over next year or so as bank focusses on higher investments to drive growth.

• Credit cost will be at around 0.5% on steady state basis.

• Bank expects NNPA to reduce to 1.2% by year end (currently 1.36%).

• Bank expects ROA to be maintained in the range of 1.2-1.4%.

Stock is trading at 0.9x trailing P/Adj. BV

(Nirmal Bang Securities)

Outlook: Positive

Financial Performance:

•Overall revenue came at Rs. 105128.2 Cr (2.8% QoQ, 32.1% YoY) with an EBITDA of 13.7%

•It was noted that there was a temporary blip in Q2 due to summer shutdowns at JLR.

•Saw significant growth, driven by a combination of volume, mix, and price. Profitability was strong across all business verticals, contributing to overall growth.

•Positive impact on margins due to the softening of commodities, particularly steel and precious metals.

•Implemented a price increase on October 1, reflecting the anticipation of commodity headwinds, especially from steel, expected to impact Q3FY24. This pricing strategy aims to offset potential cost increases.

JLR

•EBIT came at 7.3% as there was a small one-off favorable item in the previous quarter

•H1 EBIT was 8%, indicating strong operational performance.

•Wholesale units were up 4% in the quarter, totaling 97,000 units, and up 29% for the half-year.

•The performance was driven by strong demand for Defender and Range Rover, with Range Rover still production-constrained.

•Anticipates further developments in electrified vehicles, with the launch of the Range Rover Bev planned for the end of the next year.

•Range Rover, Range Rover Sport, and Defender are highlighted as the key vehicle models, making up a significant 77% of current orders.

•To introduce an additional body shop for MLA (Modular Longitudinal Architecture) vehicles. This expansion is expected to increase production numbers in coming quarters.

•It has changed its EBIT guidance from the previous 6% plus to around 8%, reflecting confidence in its ability to maintain high operational and financial performance.

Order book came at 168k vs qoq 185k due to higher despatch

CV

•Significant boost in revenue, with a 22% increase to 20,000 crores due to volume, mix, and an increase in realization.

•EBITDA margin is at 10.4% with profit of Rs 1,500 crores showcasing strong financial performance.

PV

•Its domestic market share in the PV segment was at 13.4%, despite the initial challenges in Q1FY24 when their products were launched later than the competition.

•EBITDA at 9.2%, which is close to the target of a double-digit EBITDA.

EV

•Represents 13% of the total portfolio, indicating the company’s presence and growth in the electric vehicle market.

•EBITDA of -5%, resulting in a 100 crore loss. However, this loss is attributed to product development expenses. It is well in control of these numbers and is in the affordability zone.

•EBITDA in the EV business is expected to increase further as battery prices decrease and new contracts are established. Improvement is anticipated in Q3 and a significant improvement in Q4.

Future Guidance

•Anticipates sustained momentum in Q3FY24, with strong retail activity during the festive period. Supply concerns, especially related to semiconductors, appear to be easing.

Stock is trading at P/E of 14.1x FY24E EPS

Nirmal Bang Retail Research

Outlook: Neutral

• Consolidated total revenue from operations were Rs 55,681Cr, vs Rs 59,877Cr YoY. Consolidated net loss of Rs 6,511Cr in Q2FY24 vs YoY net profit of Rs 1,297Cr as the company was faced impairment charges and shrinking margins in Europe.

• The quarter saw a downturn in steel prices across all areas due to the EU and the US raising interest rates to control inflation, which had a negative impact on demand. In Europe, steel deliveries were around 1.8MnT in the Q2FY24 on subdued demand. The Revenue/Ton was down about GBP 50/t to 60/t in UK and Netherlands on a QoQ basis.

• The ongoing relining of one of the blast furnaces at Netherlands, which accounts for 40% of production there, has also impacted the Tata Steel Netherlands realizations because of the adverse product mix and other expenses. The relining is expected to complete in Q3FY24.

• The company is to setup a 3MTPA Electric Arc Furnace at its Port Talbot steel making facility for capex of GBP 1.2bn. The proposed project will get GBP500mn grant (40% of the project cost) from UK government and adequate policy support for smooth transition to green steel making in UK at competitive landscape.

• In UK the company is in discussion and consultation with the union and the employee representatives’ w.r.t. the structure of the business. The restructuring and the transition would commence after this consultation is over. Subsequently, there was an impairment charge of Rs 12,961 crore in standalone financial statements and Rs 3,255 crore in consolidated financial statements which is an exceptional item.

• The strong demand in India aided to contain the worldwide sentiment that affected steel prices; the country’s quarterly price decline of 3% was less than that of the other major markets. Net realization in India decreased to Rs 2,400/t on QoQ basis. It was marginally better than the Rs 3,000/t guided by management.

• Management guidance:

o Improvement in net realizations for indian operations by about Rs 2,200/t QoQ.

o Coking coal cost to increase by about $10/t QoQ. With the current inventories at UK and Netherlands, improvement in cost is likely to offset the drop in NRs and drive an improvement in the performance on a QoQ basis.

• Volumes:

o Standalone sales volume stood at 4.55 mnt vs QoQ 4.45 mnt (+2.3%), YoY 4.75 mnt (-4.2%).

o Tata Steel Europe sales volume stood at 1.99 mnt vs QoQ 1.97 mnt (+1%), YoY 1.88 mnt (+5.9%).

o Tata Steel Long Products sales volume stood at 272 kt vs QoQ 354 kt (-23.2%), YoY 157 kt (+73.2%).

• The automotive segment had the best second quarter sales which is a positive indicator for steel sector. As for Tata Steel, the Kalinganagar cold-rolling mill began manufacturing cold-rolled coils. The car OEMs already began to approve the use of Kalinganagar’s crude steel.

• Tata Steel Aashiyana, the e-commerce platform for individual home builders, witnessed an increase of more than 70% on QoQ basis and in the last 12 months, the revenues have exceeded Rs 1,700Cr.

• The downstream portfolio, which consists of tubes business, wires business, packaging, tin plate business, and DI pipes business is expected to grow from about 2MT to 7MT, which enables better product mix enrichment.

• The company is going ahead with the merger process for two entities (Tata Steel Long Products & Tata Steel Mining) which is almost completed, and another five entities are in progress. This portfolio simplification process will drive efficiencies and prevent value leakages.

• Net debt has increased by about Rs 5,600Cr.

Stock is trading at EV/EBITDA of 5.5x FY25E EBITDA

Company: Suven Pharmaceuticals Ltd (SUVENPHAR)

Type of Offer: Acquisition

Acquirer: Advent Group

Issue of Public Announcement: 26-December-22

Offer price Rs: 495

CMP: Rs 576.70

(%Prem.)/Disc.: -16.50 %

Offer Size : Rs 3276 Cr

Proposed Acq. No. of shares: 6.62 cr

Proposed Acq. : 26.00%

SCHEDULE OF ACTIVITY

Start Date: 20 October 2023

End Date: 3 November 2023 (Today)

Obligation Date: 17 November 2023

Settlement Date: 20 November 2023

Crompton Greaves Consumer Electricals has received an order issued by the Joint Commissioner (Appeals) CGST, Patna, for the period July, 2017, to March, 2018, upholding the order passed by The Assistant Commissioner, CGST & CX, Patna (Central) Division, Patna imposing tax demand of ₹11,85,327, interest as applicable and penalty of ₹11,95,327. The stock trades at ₹283.70 on the NSE, up by 0.21%.

We expect the largest PSB - SBI to report a healthy set of numbers in Q2FY24. We believe that just like in Q1FY24, the bank’s net interest income will likely see a marginal decline, with NIMs remaining stable primarily due to the imposition of I-CRR by the central bank and the high cost of funds. However, the net profit will be in mid-double digit, mainly driven by treasury gains and fee income, which will help the bank have the RoA of its targeted 1% plus mark. The deposit side is expected to show robust growth for the bank due to the withdrawal of Rs. 2,000 notes compared to advance growth, which will have stable growth due to high yields. There will be no concerns concerning the asset quality of the bank as it has improved significantly over the past few quarters, and we believe that the bank has made enough space for ECL provisioning, which will not lead to additional provisioning. - Shreyansh Shah, Research Analyst, StoxBox

Major gainers on the BSE at 11 am:

​Voltamp​ (8.16%), ​Network 18​ (7.55%), ​Vakrangee​ (7.33%), ​MRPL​ (7.15%), ​Greenlam​ (6.72%)

Major losers:

​Hindware​ (-6.11%); ​Kirloskar Oil​ (-6.10%); ​Kirloskar Ferrous​ (-4.39%); ​360 One​ (-3.38%); SFL (-2.84%)

IndusInd Bank has launched the ‘NRI Homecoming’ festival, commemorating the return of Non-Resident Indians (NRIs) to the country. The stock inched up by 0.44% on the NSE, trading at ₹1,467.65.

Marksans Pharma informed the exchange that its wholly owned subsidiary, Time-Cap Laboratories, Inc., has received an Establishment Inspection Report (EIR) from USFDA. The stock rose 3.21% on the NSE, trading at ₹112.70.

ICICI Prudential Multi-Asset Fund has completed 21 years. The Scheme has an AUM of Rs. 24,060.99 cr which accounts for nearly 57% of the total AUM in the multi-asset allocation category, data as of September 30 shows.

A lump sum investment of Rs. 10 lakh, at the time of inception (October 31, 2002), would be approximately worth approx Rs. 5.49 crore i.e. a CAGR of 21%, as of September 30, 2023. A similar investment in Scheme benchmark --- Nifty 200 TRI (65%) + Nifty Composite Debt Index (25%) + Domestic Price of Gold (6%) + Domestic Price of Silver (1%) + iCOMDEX Composite Index (3%) – would have yielded about Rs 2.57 cr i.e. CAGR of 16%.

In terms of SIP performance, a monthly investment of Rs 10,000 via SIP since the inception, which would amount to a total investment of Rs 25.2 lakh, would have grown to Rs 2.1cr as of September 30 i.e. a CAGR of 17.5%. A similar investment in the Scheme’s benchmark would have yielded a CAGR of 13.7%.

JK Lakshmi Cement stock rose by 4.95% on the NSE, trading at ₹707.60. The company’s board had approved the capacity addition of the existing split location grinding unit at Surat.

Crude oil futures traded higher on Friday morning as China’s services activities increased slightly in October.

At 9.52 am on Friday, January Brent oil futures were at $87.06, up by 0.24 per cent; and December crude oil futures on WTI (West Texas Intermediate) were at $82.76, up by 0.36 per cent.

November crude oil futures were trading at ₹6,898 on the Multi Commodity Exchange (MCX) in the initial trading hour of Friday morning against the previous close of ₹6,892, up by 0.09 per cent; and December futures were trading at ₹6,882 as against the previous close of ₹6,880, up by 0.03 per cent.

The Caixin/S&P Global services purchasing managers’ index (PMI) increased to 50.4 in October from 50.2 in September. In fact, September’s PMI was the lowest in the nine months. According to market reports, the services sector provides around 48 per cent of jobs in China.

Major Nifty Realty stocks: Prestige Estate (3.47%); Brigade (2.35%); Godrej Properties (2.04%); Sobha (1.79%); DLF (1.69%)

ESAF Small Finance Bank IPO has been subscribed 0.03 times as of 10:09 am on the opening day, November 3, 2023. The NII portion has been subscribed 0.01 times, retail 0.05 times, and those reserved for employees 0.01 times. The issue closes on November 7, 2023.

Shilpa Medicare shares rise by 0.97% on the NSE, trading at ₹353, following the acquisition of Pilnova Pharma Inc.

TVS Srichakra informed the exchange that the company has made an investment in SG Acquisition Corporation, USA. Investment involves the subscription of 300 common shares at a price of $10,000 per Share, aggregating to a total amount of $3 million in SG Acquisition Corporation, USA.

Sheela Foam stock falls by 1.98% on the NSE, trading at ₹1,078.85 following the financial results for the period ended September 2023.

Tata Motors (TTMT IN) - Himanshu K Singh - Research Analyst, Prabhudas Lilladher Pvt Ltd.

Rating: BUY | CMP: Rs636 | TP: Rs785

Q2FY24 Result Update – Strong performance to continue

We maintain our positive stance on TTMT given (1) JLR’s volume ramp-up resulting in strong revenue, profitability and FCF, 2) Domestic CV benefitting from underlying economic strength, operating leverage, benign input costs and lower discounts and (3) focus on market share in PV segment (13.4% in 1HFY24 vs 8% in FY21) led by model launches and rising EV penetration. Retain ‘BUY’ with SoTP based TP of Rs 785 (earlier Rs 760).

Tata Motors stock is up by 1.82% on the NSE, trading at ₹648.05 after Tata Passenger Electric Mobility Ltd (TPEM) and Jaguar Land Rover Plc (JLR) entered into an MoU for the licensing of JLR’s Electrified Modular Architecture (EMA) platform.

Apollo Hospitals (4.18%); Adani Enterprises (2.43%); Adani Ports (2.36%); Tata Motors (2.02%); Tech Mahindra (1.74%)

Major losers:

SBI Life (-0.39%); Tata Steel (-0.34%); Nestle India (-0.19%); IndusInd (-0.14%); Dr Reddy (-0.08%)

Deep Ind net profit up at Rs 29 crore against Rs 16 crore while EBITDA up at Rs 39 cr vs Rs 19 cr (YoY)

IEX net profit up 21 per cent to Rs 87 cr Vs Rs 71 cr, Revenue up 14 per cent at Rs 109 cr Vs 95.2 cr (YoY)

Indian Energy Exchange (IEX) stock rises by 1.22% on the NSE, trading at ₹128.20 after the company reported its financial results for the period ended September 30, 2023.

JK Lakshmi Cement net profit up 55 per cent at Rs 96 crore against Rs 62 crore while revenue increased 15 per cent to Rs 1,574.5 cr against Rs 1,373.6 cr (YoY)

IRFC profit down 10 per cent at Rs 1,550 crore against Rs 1,714 crore while revenue was up 16 per cent at Rs 6,767 crore against Rs 5,810 crore YoY. The company also declared an interim dividend of ₹0.8 per equity share of ₹10. The record date has been finalised as November 10.

Kaya Middle East FZE has entered into a joint venture with Khimjis Ramdas LLC, whereby FZE will hold 51% and Khimjis Ramdas LLC will hold 49% in Khimjis Health Care LLC, in Oman.

Tata Motors posted a healthy result in Q2FY24 with a 32% growth in topline driven by higher wholesales in JLR unit and the CV segment along with higher ASPs. CV revenues improved by 22.3% and subsequent EBITDA margin improved to 10.4% (+540bps YoY), benefiting from higher realizations, a richer mix, and favorable commodity prices. PV revenues were marginally down 3.0%, impacted by the transition to new launches while subsequent EBITDA margins improved by 110 bps to 6.5% due to savings in commodity costs. JLR also continued its strong performance as supply constraints continued to ease, enabling more vehicles to be delivered to clients. The higher profitability annually reflects favorable mix, pricing, and foreign exchange revaluation offset partially by higher fixed marketing and selling costs. In the upcoming quarters, despite a moderate inflationary environment and other external challenges, Tata Motors is expected to continue on its growth trajectory owing to a healthy order book at JLR, strong demand for heavy trucks in CVs, and new product launches and strengthening electrification trend in PVs. The company’s profitability is also expected to improve further owing to a richer mix, continued low-break-even in JLR, execution of demand-pull strategy in CVs, and the focus on margin improvement in PV/EV space.

Dhruv Mudaraddi, Research Analyst, StoxBox.

The market is likely to extend yesterday’s gain today on the back of firm global cues. Asia-Pacific markets rose at the end of the week, with investors awaiting a fresh round of data for more clues on the health of services activity through the region. Services purchasing managers’ index data from major economies including China, India

and Hong Kong are set to be released throughout the day. Stocks soared on Thursday as investors bet the Federal Reserve is close to wrapping up its rate-hiking campaign and assessed a fresh stream of corporate results. Oil gained 1 percent on Thursday to snap its three-day decline, as risk appetite returned to financial markets after the US Federal Reserve kept benchmark interest rates on hold. Back at home, Titan Company, InterGlobe Aviation, Aditya Birla Capital, Chambal Fertilisers and Chemicals Ltd, Crompton Greaves Consumer Electricals, Escorts Kubota, MRF, Zomato and a slew of other companies will announce their second quarter results today. As per provisional figures, Foreign Institutional Investors (FIIs)/ Foreign Portfolio Investors (FPIs) sold shares worth net Rs. 1261.19 crore and Domestic institutional investors bought shares worth net Rs.1380.15 Crore on 2nd November 2023.

Indian benchmark indices, the Sensex and Nifty, kicked off the day with strong gains, reflecting improved global risk appetite amid optimism that the U.S. Federal Reserve might avoid further rate hikes.

In early trading, the BSE Sensex surged by 364 points to reach 64,444.90, while the NSE Nifty added 107.60 points, reaching 19,240.85. Notable gainers in the Nifty included Tata Motors, Apollo Hospitals, LTIMindtree, Adani Ports and Hero MotoCorp, while Nestle India, ONGC and Tata Steel lagged. These gains were supported by Asian markets and Wall Street’s overnight rally, with global stocks benefiting from the Federal Reserve’s unexpectedly dovish stance on monetary policy, maintaining rates between 5.25% and 5.50%.

The Nifty 50 and Sensex have gained approximately 0.5% each this week, marking a positive shift after a two-week losing streak.

On the investment front, foreign institutional investors were net sellers on Thursday, selling shares worth Rs 1,261 crore, while domestic institutional investors purchased shares valued at Rs 1,380 crore.

Vijayakumar, Chief Investment Strategist at Geojit Financial Services, highlights that the unexpected positive turn in global markets, influenced by the Fed’s rate decision and strong earnings, may boost Indian stocks. Short-covering by foreign institutional investors is possible, and the “buy on dips” strategy remains effective, especially for high-quality large-caps in financials, automobiles, and capital goods, with mid-cap IT showing promise.

Srikanth Chouhan, Head of Equity Research at Kotak Securities, reports that benchmark indices Nifty and Sensex surged, propelled by positive global sentiment. The Realty sector stood out with a 2% rise. Technical analysis suggests a strong market opening, forming higher lows, while Nifty’s best-case scenario targets 19370-19420. Bank Nifty faces immediate resistance at 43350 and may rally to 43550 and 43750. Weakness may emerge below 42800 levels.

According to Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, Indian indices set for a strong start thanks to robust global cues. Caution needed as Gift Nifty may give back early gains, introducing volatility. Markets are focused on Fed Chairman Jerome Powell’s dovish stance, with expectations of no further rate hikes. Falling oil prices and declining US treasury yields boost sentiment.

The global market extended its previous day gains wherein it rekindled its relationship back with the bulls after the dovish comments from the US Fed Chief indicated pause on future policy rates. The latest economic data release added to the optimism about rates, with the Labour Department showing an unexpected uptick in first-time claims for U.S. unemployment benefits in the week ended October 28th to 217,000, an increase of 5,000 from the previous week’s revised level of 212,000. Along with this, the Gift Nifty also indicates a positive start for the domestic markets today. On the commodity front, oil prices edged 1% higher after the US Federal Reserve kept benchmark interest rates on hold. In other global news, the Bank of England has kept its main interest rate unchanged at the 15-year high of 5.25 per cent, as inflation across the UK is expected to fall further over the coming months. On the domestic front, markets would keep an eye on Tata Motors Ltd. today after it swung to a profit following robust India operations and JLR performance. Looking forward today, we would focus on Titan Ltd. as it release its September quarter results today.

The benchmark index gapped 50 points and traded in a narrow range of 111 points. The index closed at the brim of the previous gap-down area acting as immediate support on an indecision note. The trading session saw relatively higher volume and an improving market breadth. The zone of 19235-19330 is anticipated to continue to act as an overhead supply zone and sustenance above this resistance will bail out the buyers and attract bullish strength.

Supp: 19120-19025-18970

Res: 19235-19330-19400

Avdhut Bagkar Technical and Derivatives Analyst, StoxBox

BANK NIFTY tested the 200 day average and witnessed minor pullback on intraday basis, filled the gap levels and closed in a doji candle.

The higher bottom structure indicates a higher bottom and the 20 day average at 43,600 will act as resistance followed by 44,200 levels.

RSI has crossed the average line and key technical indicators are reversing from the oversold levels on multiple time frames.

Bank Nifty 44,000 CE has the highest OI while on the downside it has moved lower to 43,000 for the put options OI. - Vikas Jain, Senior Research Analyst at Reliance Securities.

NIFTY-50 has made higher bottoms and higher top formation and crossover of 19,400 levels will trigger fresh up move in broader markets.

On the downside the round number of 19,000 will act as support followed by 18,900 being the current week low while on the higher side the resistance range is near to 19,400 levels.

RSI is piercing upwards from its lower range trending above the average line and other key technical indicators are positively poised.

Highest call OI is at 19,200 strike while on the downside the highest put OI is at 19,000 for the weekly expiry. - Vikas Jain, Senior Research Analyst at Reliance Securities.

Expects market to open on a strong note on account of rally in the global market after the US 10-year and 30- year bond yield fell to 1-month low and declined 10% from the recent peak along with the US Dollar Index fell to below 106 level. Gift Nifty is up 100 points or 0.5%. On the domestic front, impressive Q2 quarterly results, stable oil price, second highest GST collection to above Rs1.70 lakh cr and strong growth in October auto monthly sales data will be positive for the market sentiment.

Among the global markets, Easing US inflation and a slowing labor market, adding to investor confidence that the Federal Reserve may not hike interest rate this year. On Wednesday, the Federal Reserve hinted it may be finished with its most aggressive tightening cycle in four decades. The S & P 500 advanced 1.9%, its biggest one-day gain since the last 6-month followed by Dow Jones and Nasdaq Composite gaining nearly 2% each. European markets gained 1.5% after the Bank of England kept the interest rate at 5.25%. - Vikas Jain, Senior Research Analyst at Reliance Securities.

Apple Inc. announced impressive quarterly results but poor earning guidance pulled down the US Index future. Traders focus on metal stocks on account of rising base metal price on LME and positive for all in US Dollar Index.

“The USDINR 28 November futures contract traded in a tight range. As per the daily technical chart, we observed that the pair is trading above its moving average trend-line support level of 83.18 and RSI is fetching above 50 levels. Looking at the technical set-up, MACD is showing positive divergence but the pair is facing steep resistance above 83.30 levels. As per the daily technical chart the pair is having support at 83.18-83.05 while resistance is placed at 83.45-83.66. If the pair sustains above 83.30 levels it could show further strength towards 83.50-83.66 while support is placed at 83.18-83.05. We expect the pair to trade in the range of 83.05-83.55 in today’s session.” - Rahul Kalantri, VP Commodities, Mehta Equities Ltd

“Crude oil witnessed high volatility and recovered from 1-month lows in the international markets as gains in both US dollar index and bond yields were capped. Doubts over further interest rate hikes from the U.S. Fed pushed the dollar index and the U.S. 10-year bond yields lower. The dollar index slipped below 106 marks and the U.S. 10-year bond yields also slipped below 4.70%. The Bank of England also kept interest rates unchanged which supported crude oil prices. However, demand concerns from the European Union and China are restricting gains. We expect crude oil prices remain volatile in today’s session. Crude oil is having support at $81.30–80.50 and resistance is at $82.70-83.40 in today’s session. In INR crude oil has support at Rs6,810-6,740 while resistance at Rs 6,955-7040.” - Rahul Kalantri, VP Commodities, Mehta Equities Ltd

“Gold and silver prices consolidated and closed on a flat note on Friday. A fall in the US Treasury bond yield and softer US Dollar aided sentiment. However, market players might turn cautious ahead of the highly anticipated US Nonfarm Payrolls (NFP) on Friday, which are expected to show an increase of 180,000 jobs in October. Meanwhile, the US Dollar Index hovered around 106.17 after bouncing off the weekly low of 105.81. The US Treasury bond yields edged lower, with the 10-year Treasury yield at 4.663%, the lowest level since October 13. On the other hand, the downbeat Chinese data might cap the precious metal’s upside as it is the world’s largest gold producer and consumer. We expect gold and silver prices to remain volatile in today’s session. Gold has support at $1965-1951, while resistance is at $1998-2011. Silver has support at $22.48-22.30, while resistance is at $22.88-23.15. In INR gold has support at Rs60,620-60,450, while resistance is at Rs 61,050, 61,230. Sliver has support at Rs70,750-70,180, while resistance at Rs 71,950, 72,630.” - Rahul Kalantri, VP Commodities, Mehta Equities Ltd

V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

“Market history tells us that sharp up moves in the market happen at unexpected times. It appears that this truism is turning out to be true. The Fed decision to hold rates and refrain from making hawkish indications has emboldened the bulls to make a strong comeback in the mother market US with S&P rising 1.9% yesterday. Good earnings numbers and expectations that the interest rate will remain stable for now and will decline in H2 of CY2024 have facilitated market recovery.

The positive global sentiments can embolden the bulls in India to stage a comeback. Since FIIs are short in the market, short covering is a possibility.

Investors should remember that the buy on dips strategy has worked in this market. It is likely to work again. High quality large-caps in financials, automobiles and capital goods are on strong wicket. Mid-cap IT is doing well.”

Strong global equity market cues are likely to see key local benchmark indices start on a firm note, but Gift Nifty index giving away all its early gains could fuel volatility. The trading theme revolves around the Fed Chairman Jerome Powell’s dovish comments on which the street is now betting that the Fed, which has raised rates 11 times over the past two years to the highest levels in more than two decades, is unlikely to agree on another increase. Also, falling crude oil prices and the US treasury yields plunging for a third consecutive day would boost the sentiment. -- Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd

Benchmark indices rose sharply on the backdrop of positive global sentiment, with Nifty closing 144 points higher while Sensex up 489 points. Among sectors, all major sector indices were trading in positive territory, but the Realty index outperformed, rising over 2 per cent. Technically, the market opened with a gap up after a short-term correction and maintained a positive momentum after a strong start. On daily and intraday charts, the index has formed higher lows, supporting the uptrend from current levels. Now for positional traders, 19050/63800 will act as a key support level. Above 19175 it may retest 19235-19270/64450-64600 levels. In the best-case scenario, the Nifty could move up to 19370-19420 levels. On the other hand, an uptrend below 19050/63800 would be vulnerable. For the bank nifty 43350 could be an immediate resistance, above that it can rally up to 43550 and 43750. Expect weakness below the level of 42800 levels. - Shrikant Chouhan, Head – Equity Research, Kotak Securities

The Rs 463-crore of Kerala-based ESAF Small Finance Bank opens for public subscription today at a price band of Rs 57-60. The issue will close on Tuesday (November 7).

The public issue comprises a fresh issue of Rs 390.7 crore worth shares and an offer-for-sale of Rs 72.3 crore shares by ESAF Financial Holding, PNB Metlife India Insurance Company and Bajaj Allianz Life Insurance Company. The offer has also reserved Rs 12.5 crore worth of shares for its employees. They will get a discount of Rs 5 each on the final issue price.

Indraprastha Gas (IGL)’s 2QFY24 EBITDA, at INR6.6b, came in line with our estimate. However, its PAT, at INR5.3b, delivered 24% beat. Volumes rose 3% YoY to 8.3mmscmd during the quarter.

- Management expects that ~15% of IGL’s volume may be hit due to the implementation of the recently approved Delhi Motor Vehicle Aggregator and Delivery Service Provider Scheme. Although management has kept its volume guidance unchanged at 9mmscmd as of end-FY24, the outlook for FY25 remains uncertain due to the implementation of the aforementioned scheme.

- Lack of adequate infrastructure and paucity of credible EV options (Tata Tiago being the only credible option in sub-INR1m category) remain the key challenges in implementation of the scheme. However, given the upcoming elections in Delhi in 2025, we believe the policy noise around EVs will remain high in Delhi, thereby capping the valuation upside.

- Owing to stronger-than-expected margins in 1HFY24, we raise our EBITDA/scm assumption to INR8 from 2HFY24 onwards. Subsequently, we raise our EBITDA/PAT estimates by 3%/7% for FY24 and by 13%/14% for FY25.

- We expect IGL’s volumes to grow at 5%/8% in FY24/FY25, as against an 11% CAGR during FY16-23, owing to multiple headwinds. We value the stock at 12x FY25E adj. EPS of INR25.1 and add value of JV at 25% holding company discount to arrive at our TP of INR350. We reiterate our Sell rating.

DABUR achieved steady revenue and double-digit operating profit growth, with improvement in gross margins led by moderating inflation despite 43% increase in Ad-spends. While there has been a sequential improvement noted in urban markets, the rural market is still lagging behind. However, there are promising signs of recovery in rural sentiments.

- Digestive and home care portfolio saw strong double-digit growth, while beverages witnessed a decline due to uneven distribution of rainfall and a shift in the festive season. Leveraging synergies within the healthcare portfolio, the company expects to achieve double-digit consolidated sales growth in FY24. The success of Badshah masala (grew 16.4%) is contributing significantly to the growth momentum of the food portfolio and food business including Badshah is on track to achieve ~INR5b annual revenue.

- Legal proceedings related to the hair relaxer industry resulted in a legal charge of ~INR360m for Dabur’s US-based step-down subsidiary, Namaste LLC, during the quarter. Going forward, the anticipated legal expenses are expected to range between INR200m and INR220mn per quarter.

DABUR has demonstrated a faster rural recovery compared to the industry, with nearly half of its domestic sales originating from rural markets. Strengthening distribution infrastructure and fostering innovation are expected to further boost the company’s growth momentum. We reiterate our BUY rating on the stock with a TP of INR660 at 50x FY25E EPS.

JLR raises FY24 EBIT margin target to ~8% from 6%

- TATA Motors (TTMT)’s 2QFY24 results significantly beat our estimates as consol. EBITDA/PAT came in at INR137.2b/INR38.6b (est. INR130.2b/ INR28.9b). The 2Q performance was driven by better-than-expect PAT in JLR/PV businesses. Its CV business was in line. Consol. net debt (auto) declined further by INR30b QoQ to INR387b.

- We upgrade our FY24E/FY25E consol. EPS by 6%/3.5% to factor in higher-than-estimated capitalization of R&D at JLR, partially offset by volume/margin cuts in both CV/PV businesses. Reiterate BUY with a Dec’25E SOTP-based TP of INR750.

Jefferies on Tata Motors: Maintain Buy, target price at Rs 800

CLSA on Tata Motors: Maintain Buy, target price at Rs 803

Nomura on Tata Motors: Maintain Buy, target price at Rs 786

MS on Tata Motors: Maintain Overweigh, target price at Rs 711

MS on Apollo Hospitals: Maintain Overweight on Company, target price at Rs 6101

Jefferies on Cholamandalam: Maintain Buy, target price at Rs 1350/sh

HSBC on Sun Pharma: Maintain Buy, target price at Rs 1315/sh.

Jefferies on LIC Housing: Maintain Buy on Company, raise target price at Rs 505

MS on Dabur: Maintain Overweight on Company, target price at Rs 608

CLSA on Dabur: Maintain Outperform but cut target price at Rs 609

Jefferies on * Dabur:* Maintain Hold and cut target price at Rs 600

Macquarie on * Dabur:* Maintain Neutral; cut target price at Rs 590

MS on Berger Paints: Maintain Underweight, target price at Rs 479

Macquarie on Berger Paints: Maintain Underperform, target price at Rs 505

HSBC on Berger Paints: Maintain Buy, target price at Rs 650

HSBC on Britannia: Maintain Hold with a target price at Rs 4700

Macquarie on Britannia: Maintain Neutral with a target price at Rs 4350

CLSA on Godrej Prop: Maintain Sell but raise target price at Rs 1520

Citi on Tata Steel: Downgrade to Sell, cut target price at Rs 100

Citi on Lal Pathlabs: Maintain Sell, target price at Rs 2290

Gold prices were largely flat in early Asian hours on Friday, as investors looked forward to the U.S. October non-farm payrolls report later in the day for more clues on the Federal Reserve’s interest rate path.

Spot gold was almost flat at $1,985.09 per ounce and U.S. gold futures were little changed at $1,992.40.

* Bullion has declined 1% so far in the week after three consecutive weekly gains. Prices rose above the key $2,000-per-ounce level last week on safe-haven demand amid growing unrest in the Middle East.

* Spot silver slipped 0.3% to $22.68 per ounce, platinum rose 0.1% to $921.02 and palladium climbed 1.5% to $1,116.57. - Reuters

Price Band Revised From 20% To 10%: Jaiprakash Associates.

Ex-date Interim Dividend: Asian Paints, NTPC, RailTel, Route Mobile, Symphony.

Record-date Interim Dividend: Asian Paints, Symphony.

Move Out Of Short-Term ASM Framework: Apollo Micro Systems, Jaiprakash Associates.

Orient Green Power: Apex Ventures sold 51.59 lakh shares (0.52%) at Rs 15 apiece.

Minda Corp: Kotak Mahindra Life Insurance bought 13.78 lakh shares (0.57%) at Rs 330.94 apiece.

Tata Motors: The company’s EV subsidiary signed an agreement with JLR to develop premium EVs. Tata Motors’ third-generation EVs based on the Avinya concept are to be developed on JLR’s Electrified Modular Architecture platform. Tata Passenger Electric Mobility will pay a royalty fee to JLR.

Dixon Technologies: The company incorporated Dixtel Infocom for electronic manufacturing and wholesale trad

Lupin: The company announced the launch of Diazepam Rectal Gel after its wholly owned subsidiary, Novel Laboratories, received approval for its ANDA from the USFDA. Diazepam Rectal Gel had estimated annual sales of $37 million in the U.S.

Bharti Airtel: The company launched ‘Airtel Advantage’—a first-of-its-kind, fully automated digital platform for global interconnect solutions.

Larsen and Toubro: The company issued and allotted 1.5 lakh, 7.58% rated, listed, unsecured, and redeemable NCDs of Rs 1 lakh each, aggregating to Rs 1,500 crore, maturing on May 2, 2025.

JK Lakshmi Cement: The board approved capacity expansion of the existing split location grinding unit at Surat by putting up an additional grinding unit of 13.50 lakh metric tonnes per annum. The expansion willrequire an investment of Rs 225 crore and will be added over a period of two years.

EIH Associated Hotels: The board approved developing a 125-room, five-star Trident Hotel at Vishakhapatnam, Andhra Pradesh, with an investment of Rs 160 crore.

Container Corp.: The Board declared a second interim dividend for FY24 of 60%, i.e., Rs 3 per equity share with a face value of Rs 5 each, amounting to Rs 182.79 crore. The record date fixed is Nov. 16

Dream Folks: The company announced the launch of its new service, Travel SIM (E-SIM and Physical SIM), for international travellers to enjoy immediate connectivity while travelling abroad by getting a pre-activated SIM card while in their country of origin.

Bajaj Finance: The company approved raising up to Rs 1,188 crore via preferential allotment of warrants. It will allot 15.5 lakh warrants to the promoter at an issue price of Rs 7,670 per warrant.

Indian Railway Finance Corp.: The board declared an interim dividend of Rs 0.8 per equity share of Rs 10 each and approved the insertion of a new clause in the lease agreement of the company for rolling stock for the years 2022–23.

Thomas Cook (India): Tropiculture, a JV in Sri Lanka, allotted TCI 4,00,000 equity shares of LKR 10 each at par, which represents a 40% stake in the joint venture.

Mahindra & Mahindra Finance: In October, the company estimated overall disbursement at approximately Rs 5,250 crore. Year-to-date disbursements are at Rs 30,700 crore, up 16% Y-o-Y.

NBCC India: The company bagged two orders worth Rs 212 crore from the Haryana government for the supply of equipment to medical colleges.

KPI Energy: The company’s unit Sun Energia received order for executing wind-solar hybrid power project for 2.10 MW capacity comprising of 2.10 MW wind and 1 MW solar capacity from CTX Life Sciences.

Avenue Supermart: The company has opened a new store in Katargam, Gujarat, taking its total count to 338.

360 One Wam: The board declared a third interim dividend for FY24 of Rs 4 per equity share of face value Rs 1. The record date is Nov. 10.

Shilpa Medicare: The company acquired U.S.-based Pilnova Pharma as a wholly owned subsidiary.

Maruti Suzuki India: Total output for October was 1.76 lakh units, up 13% YoY. Mini and compact sub-segment output was 1.05 lakh units, down 11.2% YoY. Total passenger vehicle output was 1.73 lakh units, up 12.8% YoY.

Borosil: NCLT sanctioned a scheme of arrangement amongst Borosil, Klass Pack and Borosil Technologies.

Praveg: The company opened a new hotel under the brand name ‘Praveg’s Grand Eulogia’ in Ahmedabad. Operations at resorts in Kutch and Dholavira have started.

Ugar Sugar Works: NCLT-approved scheme of amalgamation between Ugar Theatres and Ugar Sugar Works It was informed that sugar crushing for the season 2022–23 at Jewargi Unit has started and will pick up to its full capacity in due course.

Tata Motors Q2 FY24 (Consolidated, YoY)

Revenue up 32.1% at Rs 1,05,128 crore vs. Rs 79,611 crore (Bloomberg estimate: Rs 1,08,109.59 crore).

Ebitda up 147.1% at Rs 13,767 crore vs. Rs 5,572 crore (Bloomberg estimate: Rs 13,766.26 crore).

Margin at 13.1% vs. 6.99% (Bloomberg estimate: 12.70%).

Reported profit at Rs 3,832 crore vs. loss of Rs 898 crore (Bloomberg estimate: Rs 4,519.61 crore).

Tatva Chintan Pharma Chem Q2 FY24 (Consolidated, YoY)

Revenue up 7.3% at Rs 96.7 crore vs. Rs 90.1 crore (Bloomberg estimate: Rs 118.75 crore).

Ebitda up 81.3% at Rs 20 crore vs. Rs 11.2 crore (Bloomberg estimate: Rs 22.4 crore).

Margin at 20.9% vs. 12.38% (Bloomberg estimate: 18.90%).

Profit up 9.4% at Rs 7.8 crore vs. Rs 7 crore (Bloomberg estimate net: Rs 11.45 crore).

Indian Energy Exchange Q2 FY24 (Consolidated, YoY)

Revenue up 14% at Rs 109 crore vs. Rs 95.2 crore (Bloomberg estimate: Rs 109.5 crore)

Ebitda up 16.5% at Rs 91.9 crore vs. Rs 78.9 crore (Bloomberg estimate: Rs 90.95 crore).

Margin at 84.72% vs. 82.91% (Bloomberg estimate: 83.10%).

Reported profit up 21.4% at Rs 86.5 crore vs. Rs 71.2 crore (Bloomberg estimate: Rs 79 crore).

Kalpataru Projects International Q2 FY24 (Consolidated, YoY)

Revenue up 18.9% at Rs 4,518 crore vs. Rs 3,798 crore.

Ebitda up 6% at Rs 370 crore vs. Rs 349 crore. Margin at 8.18% vs. 9.18%.

Reported profit down 8.2% at Rs 90 crore vs. Rs 98 crore.

JK Lakshmi Cement Q2 FY24 (Consolidated, YoY)

Revenue up 14.6% at Rs 1,574.5 crore vs. Rs 1,373.6 crore.

Ebitda up 32.5% at Rs 217.3 crore vs. Rs 164 crore.

Margin at 13.8% vs. 11.9%.

Reported profit up 43% at Rs 45 crore vs. Rs 31.5 crore.

Kirloskar Oil Engines Q2 FY24 (Consolidated, YoY)

Revenue up 6.24% at Rs 1,305 crore vs. Rs 1,228 crore.

Ebitda up 11.8% at Rs 202 crore vs. Rs 181 crore.

Margin at 15.5% vs. 14.7%.

Reported profit down 5.5% at Rs 77.9 crore vs. Rs 82.5 crore.

EIH Associated Hotels Q2 FY24 (YoY)

Revenue up 0.41% at Rs 58.77 crore vs. Rs 58.53 crore.

Ebitda down 93.17% at Rs 45 lakh vs. Rs 6.58 crore.

Margin at 0.76% vs. 11.24%.

Reported loss at Rs 91 lakh vs. profit of Rs 2.6 crore.

KSB Q2 FY24 (Consolidated, YoY)

Revenue up 30.7% at Rs 563.7 crore vs. Rs 431.3 crore (Bloomberg estimate: Rs 504 crore).

Ebitda up 29.9% at Rs 70.3 crore vs. Rs 54.1 crore.

Margin at 12.47% vs. 12.54%.

Reported profit up 28.5% at Rs 50.1 crore vs. Rs 39 crore (Bloomberg estimate net: Rs 56 crore).

Indian Railway Finance Corp. Q2 FY24 (YoY)

Total income up 16.5% at Rs 6,767.5 crore vs. Rs 5,810.4 crore.

Reported profit down 9.6% at Rs 1,549.9 crore vs. Rs 1,714.3 crore.

Ratnamani Metals and Tubes Q2 FY24 (Consolidated, YoY)

Revenue up 25.7% at Rs 1,131.2 crore vs. Rs 899.8 crore (Bloomberg estimate: Rs 618.15 crore).

Ebitda up 30.7% at Rs 244.8 crore vs. Rs 187.4 crore.

Margin at 21.6% vs. 20.8%

Net profit up 66.4% at Rs 164.3 crore vs Rs 98.8 crore (Bloomberg estimate: Rs 62.45 crore).

Container Corp. Of India Q2 FY24 (Consolidated, YoY)

Revenue up 10.5% at Rs 2,194.9 crore vs. Rs 1,986 crore.

Ebitda up 7.8% at Rs 546.5 crore vs. Rs 506.8 crore.

Margin at 24.9% vs. 25.5%.

Net profit up 21.3% at Rs 368.5 crore vs. Rs 303.8 crore.

360 One Wam Q2 FY24 (Standalone, YoY)

Total income down 6.9% at Rs 284.8 crore vs. Rs 305.8 crore.

Reported profit down 16.9% at Rs 219.4 crore vs. Rs 263.9 crore (Bloomberg estimate: Rs 183.3 crore).

Chaman Lal Setia Exports Q2 FY24 (YoY)

Revenue up 15.8% at Rs 308.7 crore vs. Rs 266.5 crore.

Ebitda up 36.6% at Rs 35.6 crore vs. Rs 26.1 crore.

Margin at 11.5% vs. 9.8%.

Reported profit up 29.9% at Rs 26.2 crore vs. Rs 20.2 crore.

NOCIL Q2 FY24 (Consolidated, YoY)

Revenue down 9.9% at Rs 350.9 crore vs. Rs 389 crore (Bloomberg estimate: Rs 423.5 crore).

Ebitda down 28.3% at Rs 44 crore vs. Rs 61.5 crore.

Margin at 12.6% vs. 15.8%.

Reported profit down 25.2% at Rs 26.9 crore vs. Rs 35.9 crore.

Linc Q2 FY24 (YoY) Revenue up 3.3% at Rs 131.21 crore vs. Rs 126.9 crore.

Ebitda down 19.2% at Rs 12.6 crore vs. Rs 15.6 crore.

Margin at 9.6% vs. 12.25%.

Net profit down 19.4% at Rs 7.7 crore vs. Rs 9.5 crore.

Sheela Foam Q2 FY24 (Consolidated, YoY)

Revenue down 10.2% at Rs 613 crore vs. Rs 683 crore.

Ebitda down 15.4% at Rs 66.2 crore vs. Rs 78.3 crore.

Margin at 10.79% vs. 11.46%.

Net profit down 17.3% at Rs 44.3 crore vs. Rs 53.6 crore.

Prataap Snacks Q2 FY24 (YoY)

Revenue down 5.2% at Rs 433.7 crore vs. Rs 457.3 crore (Bloomberg estimate: Rs 384 crore).

Ebitda up 71.7% at Rs 37.9 crore vs. Rs 22.1 crore (Bloomberg estimate: Rs 30 crore).

Margin at 8.7% vs. 4.8% (Bloomberg estimate: 7.80%).

Net profit at Rs 16.5 crore vs. Rs 3.26 crore (Bloomberg estimate: Rs 10.5 crore).

Bombay Dyeing Q2 FY24 (Consolidated, YoY)

Revenue down 40.9% at Rs 440.6 crore vs. Rs 745.2 crore.

Ebitda up 90.3% at Rs 15.5 crore vs. Rs 8.14 crore.

Margin at 3.5% vs. 1%.

Reported loss at Rs 51.9 crore vs. loss of Rs 93 crore.

Gujarat Gas Q2 FY24 (Consolidated, QoQ)

Revenue up 1.7% at Rs 3,845.4 crore vs. Rs 3,781.5 crore (Bloomberg estimate: Rs 3,868.2 crore).

Ebitda up 28% at Rs 496.6 crore vs. Rs 388 crore (Bloomberg estimate: Rs 457.9 crore).

Margin at 12.9% vs. 10.3% (Bloomberg estimate: 11.80%).

Reported profit up 37.2% at Rs 296.3 crore vs. Rs 216 crore (Bloomberg estimate: Rs 246.4 crore).

Chemplast Sanmar Q2 FY24 (Consolidated, YoY)

Revenue down 17.3% at Rs 987.7 crore vs. Rs 1,194.4 crore (Bloomberg estimate: Rs 962.73 crore).

Ebitda down 53.3% at Rs 45.95 crore vs. Rs 98.42 crore (Bloomberg estimate: Rs 36 crore).

Margin at 4.7% vs. 8.2% (Bloomberg estimate: 3.70%.)

Reported profit down 32.4% at Rs 26.05 crore vs. Rs 38.5 crore (Bloomberg estimate: Loss of Rs 17.83 crore).

Domestic PV and 2W wholesale volumes witnessed double-digit yoy growth, driven by channel filling ahead of Diwali. However, the CV and tractor segments’ volumes came in below our expectations. The tractor segment’s volumes witnessed mid-single digit decline yoy and the CV segment’s volumes also declined sequentially in October 2023. The export segment’s recovery remains muted, especially in the 2W segment

In Q2 FY24, Indraprastha Gas Limited (IGL) reported a sales volume growth of 3% on a YoY basis. Due to the normalization of gas prices, the Company had passed on the cost to customers, leading to a de-growth in topline by 3% on a YoY basis. Despite a decline of 5% in Revenue per SCM on a YoY basis, the Company was able to see a significant improvement in EBITDA per SCM, which surged by 21% on a YoY basis, reaching to ~Rs. 8.6. We believe, the Delhi Government’s EV transition policy related to aggregators’ mandate for transitioning to EV will have an adverse effect on the Company’s business as it accountsfor 15% of CNG volumes.

Ayana Renewable Power, India’s leading Independent Power Producer (IPP) backed by NIIF (National Investment and Infrastructure Fund), BII (British International Investment), and GGEF (Green Growth Equity Fund), has been ranked 1st in Asia and among the top 3 companies globally in the renewable energy sector by ISS ESG, setting a new benchmark for ESG (Environmental, Social, Governance) standards in the sector.

9:00 AM Kalpataru Power

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10:00 AM cholamandalam investment & finance company

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11:00 AM Chamanlal Setia

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11:00 AM Sheela Foam

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11:00 AM Kansai Nerolac

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11:00 AM Deep Industries

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11:00 AM Solar Ind

(Investor/Analyst Presentation)

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11:00 AM MACFOS

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11:30 AM Tilaknagar

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11:30 AM Cont Corp

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12:00 PM NOCIL

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12:15 PM Morepen Lab

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1:00 PM Jindal Drilling

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2:30 PM Indian Energy Exchange

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2:30 PM Insecticides

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3:00 PM Prataap Snacks

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3:30 PM Linc PenandPlas

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3:30 PM Deepak Fert

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4:00 PM Akzo Nobel

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5:30 PM Aegis Chemicals Inds. .

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We revise our FY24/25E by -14.8%/-9%, factoring in higher interest cost amid higher interest rates and higher debt levels. KEC International (KEC) reported healthy performance with consolidated revenue growth of 10.7% YoY despite slippages and EBITDA margins expansion of 1728bps YoY to 6.1% (to further improve from H2FY23 onwards) with completion of low margin legacy orders, stabilizing supply chain constraints and healthy SAE brazil performance. Interest cost as % of sales was at higher level at ~4% due to higher interest rates and increase in net debt (Rs44.9bn vs Rs35.5bn in Q2FY23). Management maintained its FY24 guidance of ~Rs200bn revenue with EBITDA margins of ~7% (with downside risk 20-30bps). Management is confident to meets its order inflow guidance of Rs250bn (~Rs90bn orders received YTD), driven by strong domestic as well as international pipeline.

Our channel checks suggest that pan-India average cement prices increased to Rs393/bag (+Rs14/bag MoM) in Oct-23. An uptick was witnessed across all regions (except the East and central India), with prices increasing by Rs15-30/bag. The South accounted for a larger part of the hike, with prices in TN increasing by Rs35-40/bag. Our channel checks indicate that demand in Oct-23 may have grown in the high-teens YoY (at a high single-digit MoM), mainly owing to the low base effect and a late Diwali this year (vs in Oct-22 last year). Accordingly, the Oct-Nov-23 combined volume growth will provide a better picture, in our view. Companies are likely to announce price hikes of Rs10-15/bag across regions, for Nov-23. Absorption of such hikes will be limited as we believe that the announcement is mainly to support current price levels. Sustenance of price hikes post the festive season will be a key monitorable. Our top-picks: UltraTech Cement, Ambuja Cement.

HMCL’s Q2 performance was healthy and broadly along expected lines, highlighted by underlying ICE margin at 15% (implying a ~90bps hit from EVs with reported EBITDA at 14.1%, up 260bps YoY/30bps QoQ). The festive season has started well for 2Ws, with HMCL witnessing ~15% YoY growth during the festive season so far. Valuations at ~12.8x its FY26 P/E and ~5.9% dividend yield are attractive amid the return of the rural-demand cycle (post 3-4 years of elongated challenges) and multiple initiatives being undertaken for addressing strategic portfolio gaps (particularly in premium motorcycles). We have marginally tweaked our FY24E/FY25E/FY26E EPS by 1%. We maintain BUY with a TP of Rs4,020/share (unchanged 16x P/E on FY26E Core EPS and value of investments/cash at ~Rs500/share)

In line with peers, Sapphire reported weak SSG print at 0%/-20% for KFC/PH that drove a 7% EBITDA miss on estimates. Near-term commentary was muted, on shift of veg-consumption days to Q3 and sporting events in the base as well—a negative read-through for peers, in our view. Sapphire remains confident of 20-25% EBITDA CAGR in KFC over FY23-26 and revival efforts are under way for PH, with product innovation, store refurbishments and import of kitchen management solution Dragon Tail from Yum! Brands (USA). Company also expects gradual normalization of the spike in competitive intensity with low RoIs for smaller pizza-franchisees. Sri-Lanka is seeing encouraging recovery from the macro-led trough. We clip FY24-26E EBITDA by 7-11%, on subdued demand trend. Stock has seen a 1M correction of ~10%. We maintain BUY, with TP pruned to Rs1,550/share, on significant valuation gap of 30-35% with peers, despite similar performance and improving growth prospects in Sri-Lanka.

TTMT’s consol. 2Q results missed our estimates due to weakness in JLR (on temporary production constraints for RR driving the poor mix/lower margin). Guidance for JLR EBIT margin, though, has been raised to 8% for FY24 (6% earlier; 8% in 1H), as the production run-rate is likely to gradually improve in 3Q/4Q with normalizing mix and FCF of GBP1.25bn in 2H. We believe domestic CV volume will peak in FY24, but our margin outlook stays resilient, given pricing discipline/benign commodity prices. Also, two new SUV launches are expected to drive performance in the India PV business 1QFY25 onwards. TTMT reiterated guidance for deleveraging the balance sheet (BS), to be net-debt-free for India business by FY24-end and for JLR by FY25-end. We maintain BUY, with new SOTP-based TP of Rs760 (Rs750 earlier) and unchanged estimates.

We maintain our positive stance on Dabur India, encouraged by its diversified portfolio, which management is geared to leverage better, with improvement in the demand scenario. Q2FY24 topline grew 7%, with 3%/10% growth in the India/international business. Gross margin expansion of 295bps YoY absorbs the higher A&P spends (up 43% YoY) and litigation costs in USA (of Rs360mn), resulting in ~50bps expansion in EBITDA margin to 20.6%. Given the margin recovery, we forecast higher spend on brands; this would enhance brands’ growth prospects. Recent innovations have fared well, set to aid incremental growth. H2 performance is likely to be better vs H1, on a low base and clustering of festivals—expected to be a better season. We cut FY24E earnings by 2%, based on the H1 show; maintain BUY with Sep-24E TP of Rs650/sh (46x P/E).

Zee’s stock rallied over 12% last week, after a decline of ~15% from Aug (post NCLT merger approval) to Oct, when the market also took a fall. A major portion of this rally has come post SAT’s order, setting aside SEBI’s ruling, which had restricted Punit Goenka from holding Directorial position or KMP in any listed company, including Zee. After an uncertain period regarding top management of the merged entity, the market believes Punit Goenka’s return is positive owing to perception of his superior execution skills. This order paves the way for his appointment as MD of the merged entity and minimizes the risk of further delay of the merger. We now expect re-listing of the merged entity in Jan-24. The stock trades at 8.4x Sep-25 broadcasting EV/EBITDA, which is reasonable. We maintain BUY, with TP of Rs335/sh (9.5x Sep-25E broadcasting EV/EBITDA), with a comprehensive review under way, owing to the merger

The Rs 463-crore of Kerala-based ESAF Small Finance Bank opens for public subscription today at a price band of Rs 57-60. The issue will close on Tuesday (November 7).

The public issue comprises a fresh issue of Rs 390.7 crore worth shares and an offer-for-sale of Rs 72.3 crore shares by ESAF Financial Holding, PNB Metlife India Insurance Company and Bajaj Allianz Life Insurance Company. The offer has also reserved Rs 12.5 crore worth of shares for its employees. They will get a discount of Rs 5 each on the final issue price.

Bondada Engineering Limited has received Rs 1.375 crore work orders from Bharti Airtel for Hot Dipped Galvanised without Base PR raise for GI pole, and Supply of hot Dipped Galvanised without Base.

NBCC India said that HSCC (India) Limited, Wholly-Owned Subsidiary, has received word order worth Rs 212 crore from the Directorate General, Medical and Education Research, Haryana.

Aditya Birla Capital, Aegis Logistics, Amarjothi, Spinning, Bayer Cropscience, Bharat Dynamics, Bharat Gear, Chambal Fertilizers, Cigniti, CL Educate, Cochin Minerals, Crompton Greaves Consumer, EIH Hotel, Escorts, GIC Housing Finance, GMR Power, Godfrey Phillips, Godrej Agro, IDFC, IFB Agro, India Glycols, Indigo Paints, Interglobe Aviation(Indigo), JSW Infrastructure, JM Financial, Krsnaa MRF, MSTC, Navkar Corp, Orient Electric, Ponni Erode, Patel Engineering, Prime Focus, Shipping Corporation, Titan Company, Thermax, TTK Healthcare, UCO Bank, Whirlpool of India and Zomato,

Larsen & Toubro (L&T) has announced the divestment of its 100 per cent stake in L&T Infrastructure Engineering Limited, a provider of standalone engineering consultancy services for the infrastructure sector in India. The stake has been acquired by STUP Consultants Private Limited, a subsidiary of Assystem SA of France. The transaction is currently pending completion of customary closing conditions and is expected to be concluded before January 15, 2024.

The Board of directors of the Tuticorin Alkali Chemicals has considered and approved capacity expansion for the production of Soda Ash from 100000 MTPA to 225000 MTPA & Ammonium Chloride 85000 MTPA to 210000 MTPA at an investment cost of Rs 300 crore, which will be met through Borrowing and Internal accruals partially

Binny Ltd said that Saranga Investments and Consultancy Private Limited has acquired 41.25 lakh shares belongs to Mohan Breweries and Distilleries Limited in Binny Limited through the invocation of the Pledge of shares from November 1.

Despite noise in the social media, the initial public offering of Honasa Consumer saw a strong response and subscribed 7.61 times on Thursday, the final day of bidding. The ₹1,701-crore initial public offering from the owners of famous Mamaearth outlets, received bids for 22 crore shares against an offer of about 2.9 crore shares. Retail investors and non-institutions, who remained on the sidelines during the first two days of offer, participated on the last day. The quota for retail investors was subscribed 1.35 times and that of non-institutions 4.02 times.

Buzzing Stocks: Titan, Zomato, Bharat Dynamics, GMR Power, Escorts, Indigo, JSW Infra, L&T, Vedanta, Shilpa Medicare, Dilip Buildcon, M&M Finance, Paisalo, Benny, Britannia, Tuticorin Alkali, SJS Enterprises, NBCC India, Bondada, KPI Green Energy

GNFC

Jindal Steel announced its results late on Tuesday with a miss on estimates and a slip in indicative timeline for its upcoming capex projects. Considering that volume growth as well as earnings growth assumptions baked in so far have moved further away due to the capex being pushed, the stock lost 7.8 per cent on Wednesday. This apart, the fact that costs could go up in the coming quarter too, could have played spoilsport. Read more

Japan @ Market Holiday

10:30 INDIA S&P Global Service PMI (Expected: 60.2 vs 61.0)

17:30 U.S. FOMC Member Barr Speaks

18:00 U.S. Unemployment Rate (Expected: 3.8% vs 3.8%)

18:00 U.S. Non- Farm Employment Change (Expected: 179K vs 336K)

18:00 U.S. Average Hourly Earnings m/m (Expected: 0.3% vs 0.2%)

19:30 U.S. ISM Services PMI (Expected: 53.0 vs 53.6)

Enbridge Inc (Pre market) (Sector- Energy)

Sempra (Pre market) (Sector- Energy)

Dominion Energy, Inc. (Pre market) (Sector- Power)

Gartner, Inc. (Pre market) (Sector- Technology)

TELUS Corporation (Pre market) (Sector- Technology)

Cardinal Health, Inc. (Pre market) (Sector- Healthcare)

Church & Dwight Company, Inc. (Pre market) (Sector- Consumer Staples)

Restaurant Brands International Inc. (Pre market) (Sector- FMCG)

Liberty Media Corporation (Pre market) (Sector- Media)

Magna International, Inc. (Pre market) (Sector- Automobile)

Corebridge Financial Inc. (Pre market) (Sector- Financial)

Here are the intraday supports and resistances for widely traded stocks such as Reliance Industries, ITC, ONGC, Infosys, HDFC Bank, TCS and SBI

REC’s stock crossed over the resistance at ₹296 on Thursday. It also closed above ₹300-mark. The stock, which faced selling pressure in the second half of October, took support at ₹260 last week and rebounded. The rally is strengthened by the breakout which happened on Thursday. Read more

On Thursday, both U.S. and global stock markets experienced a robust rally, driven by investor optimism that the global central banks are nearing the conclusion of their interest rate hike cycle. This positive momentum sets the stage for a promising finish to the week in the Asian markets on Friday. Investors are now eagerly anticipating the commencement and extent of the forthcoming easing cycles.

South Korea’s KOSPI experienced a 0.74% increase, adding 17.32 points to reach 2,360.44. In Australia, the S&P/ASX 200 index is trading steadily with a gain of 1.25%, equal to 86.40 points, at 6,986.10.

Wall Street’s three main stock indexes rallied nearly 2% on Thursday on hopes that the U.S. Federal Reserve has reached the end of its interest rate hiking campaign and a batch of upbeat quarterly financial updates added to the bullish mood.

The Fed held interest rates steady on Wednesday as expected, and while Chair Jerome Powell left the door open to further tightening he also acknowledged the impact of a recent surge in bond yields on the economy.

The comments, viewed as hints that the central bank is done with its rate hikes, sent longer-dated U.S. Treasury yields tumbling, which supported stocks.

The Dow Jones Industrial Average rose 564.5 points, or 1.7%, to 33,839.08, the S&P 500 gained 79.92 points, or 1.89%, at 4,317.78 and the Nasdaq Composite added 232.72 points, or 1.78%, at 13,294.19. - Reuters