Share Market Highlights 11 January 2024: Sensex, Nifty end marginally in green; Oil and Gas stocks shine

Benchmark equity indices ended marginally higher on Thursday, trimming most of their intra-day gains, as investors turned cautious ahead of the quarterly results of IT behemoths TCS and Infosys later in the day.

Announcement of the US inflation data and domestic macroeconomic numbers also forced investors to remain on the sidelines.

The 30-share BSE Sensex climbed 63.47 points or 0.09 per cent to settle at 71,721.18. During the day, it jumped 341.76 points or 0.47 per cent to 71,999.47.

The Nifty gained 28.50 points or 0.13 per cent to 21,647.20.

Among the Sensex firms, Reliance Industries, UltraTech Cement, Axis Bank, IndusInd Bank, Power Grid, Tata Motors, Tech Mahindra and Tata Consultancy Services were the major gainers.

Infosys, Hindustan Unilever, Wipro, Larsen & Toubro and Nestle were among the laggards.

The rupee settled on a flat note with a loss of just 1 paisa at 83.04 (provisional) against the dollar on Thursday on the back of strengthening American currency and sharp rise in crude oil prices.

The domestic currency broke its six-day gaining streak despite positive equity market sentiment, as foreign funds outflow dented sentiments.

At the interbank foreign exchange market, the local unit opened at 83.05 and traded between the peak of 82.93 and the lowest level of 83.08 against the greenback during the intra-day deals.

It finally settled at 83.04 (provisional) against the dollar, down by just 1 paisa over its previous closing level.

The BSE Sensex gained 63.47 pts or 0.09% to 71,721.18. The NSE Nifty rose 28.50 pts or 0.13% to 21,647.20.

Essar Energy Transition (EET) on Thursday said that its plans for setting up a low carbon hydrogen production facility in the UK has been given the green light.

Wipro is set to announce its Q3 FY24 financial results on January 12 amidst macro-economic headwinds. The IT major has been lagging its peers for the last couple of quarters.

Wipro’s share declined ₹5.70 or 1.26 per cent to ₹447.90 at 3:20 pm on NSE.

Research report from Kotak Institutional Equities:

Unrelenting slowdown; earnings downgrades continue

The weakness in demand that hit the QSR industry in November 2022 has continued unabated. SSSGs remained subdued in 3QFY24E despite a weak base, late festive season and cricket world cup—we estimate ~3%/1%/0-1%/10-15% SSS decline for JUBI/WLDL/KFC/PH and low-to-mid single-digit SSSG for BK India. This continued weakness in demand calls for moderation in store addition for select QSRs (especially pizza QSRs) with an eye on profitability. We cut our FY2024-26 EBITDA estimates by 5-13%, roll over and revise FVs. We prefer Sapphire Foods as it offers good growth at reasonable valuations.

India QSR— demand weakness for five quarters in a row

The weakness in demand (initially perceived as transient weakness) that hit the QSR industry in November 2022 has continued beyond four quarters. SSSGs were subdued in 3QFY24E despite a weak base, late festive season and cricket world cup—we estimate 3%/1%/1%/10-15% SSS decline for JUBI/WESTLIFE/KFC/PH and low-to-mid single-digit SSSG for BK India. Google search trends and similarweb data indicate that searches/website visits have failed to see any meaningful pickup during the peak festive season (2nd week of November). This weakness in QSR demand is attributable to the broader slowdown in discretionary consumption (particularly at mass/economy end). 

Continued weakness in demand calls for some moderation in store addition

We note that all QSRs have largely kept their store addition plans unchanged so far hoping for gradual pickup in demand and in view of the long-term promise that QSR offers. A combination of aggressive store additions and demand weakness has weighed on profitability in FY2024E. The continued weakness in SSSG notwithstanding a weak base calls for some moderation in store additions (especially for PH/Domino’s) with an eye on profitability. It remains to be seen if Devyani/Sapphire moderate store addition given milestone-based incentives per development agreement with Yum. WLDL needs to tighten leash on costs and focus on extracting operating leverage gains commensurate with the 25-30% increase in ADS witnessed over the past three years. We believe that the QSR industry needs to step up focus on profitability so that EBITDA growth catches up with store growth.

We cut EBITDA estimates by 5-11%, roll over and revise FVs

We moderate our ADS/margin forecasts and cut FY2024-26 EBITDA estimates across companies—JUBI (5-8%), WLDL (5-11%), Sapphire (7-10%), Devyani (7-11%), and RBA (6-10%). We roll over, incorporate recent acquisitions (DPEU by JUBI and KFC Thailand by DIL) in our valuations and revise FVs: (1) JUBI’s FV kept unchanged at Rs500 largely due to upside from consolidation of DPEU (see Exhibit 9, SoTP), (2) Devyani’s FV maintained at Rs195 (33X FY2026E EV/EBITDA) owing to upside from KFC Thailand acquisition, (3) Sapphire Foods’ FV revised to Rs1,640 (from Rs1,700) valuing it at 24X FY2026E EV/EBITDA, (4) WLDL’s FV revised to Rs800 (from Rs845) valuing it at 29X FY2026E EV/EBITDA, and (5) RBA’s FV maintained at Rs110, valuing BK India at Rs95/share (22X FY2026E EV/EBITDA) and BK Indonesia at Rs15/share.

EY’s Energy Transition & Decarbonisation practice scored a big win in the Solar Energy Corporation of India Limited’s (SECI) Green Hydrogen Production tender (tranche 1) under the Strategic Interventions for Green Hydrogen Transition (SIGHT) programme. 

This success underscores EY’s expertise and leadership in advancing sustainable energy solutions. The success in securing the tender positions EY as a key player in driving the green hydrogen transition in India, aligning with the nation’s strategic initiatives for a sustainable future.

Introduced in 2023 under the National Green Hydrogen Mission of India, the SIGHT programme allocated an impressive INR 17,490 crores to incentivize domestic manufacturing of electrolysers and drive Green Hydrogen production within the country.

Out of 14 participants, EY played a pivotal role in supporting 4 successful bidders through the competitive tender process. These four bidders secured a cumulative capacity of 200+ KTPA (Kilo Tonnes Per Annum) and were awarded INR 1,350 crores worth of incentives over a span of three years.

Pharmaceutical industry Q3 preview - InCred Capital

■ The recovery in the industry’s sales growth (~9.7% growth in Oct and Nov 2023 combined) should drive strong India growth for most companies in the sector.

■ Margins should be flat QoQ, with most drivers largely sustaining (gRevlimid, lower API/logistic costs and a benign US pricing environment).

■ Strong numbers likely from Aurobindo Pharma & Gland Pharma while Laurus and Divi’s Labs may disappoint due to high street hopes on margin recovery.

India growth to recover after a dull 1HFY24 performance

From a 4% average growth in 1HFY24, IPM’s (Indian pharmaceutical market) growth has recovered smartly and posted an average of 9.7% growth for Oct/Nov 2023 combined. This should reflect in strong India growth in 3QFY24F for the companies in our coverage universe. Barring Ajanta Pharma and Dr. Reddy’s Laboratories, we expect double-digit growth for all domestic market-focused companies under our coverage.

Expect US growth to be largely flattish sequentially

Barring Aurobindo Pharma, which will benefit from gRevlimid launch in Oct 2023, and Sun Pharmaceutical Industries or Sun Pharma, which is likely to see better US generics sales QoQ led by gVynanse contribution, we expect most companies to report a flattish growth in the US market. gRevlimid will continue to be an important driver, but its contribution will keep fluctuating QoQ. For Dr. Reddy’s Laboratories, we expect ex-gRevlimid US sales to decline QoQ by 3%, led by lower sales of gCiprodex (seasonality effect) and gSuboxone (price erosion).

Key things to watch out for

We expect Aurobindo Pharma to surprise positively led by gRevlimid contribution as well as the strong base business momentum. Commentary on FY25F margins will also be important; our margin expectations for FY25F are 150bp above street estimate and we expect an upgrade here. We believe margin expectations for Divi’s Laboratories are elevated and expect the street to tone down its expectations; we will watch out for management commentary here. Other companies to watch out for are Cipla (comments on the warning letter), Laurus Labs (ramp-up/contribution from the animal health project), Sun Pharma (ramp-up of its specialty portfolio), Alkem Laboratories (margin trajectory under the new CEO), Ipca Labs (progress on its Unichem portfolio) and Gland Pharmaceuticals (Cenexi ramp-up).

Outlook

We expect the sector’s outperformance to continue, led by a benign US pricing environment, recovery in India growth and margin tailwinds (lower API/logistic costs). Aurobindo Pharma (a play on US generics), Ajanta Pharma and Torrent Pharmaceuticals (branded generic plays) are our top picks. Any marked reversal in the US pricing environment remains a key downside risk to our call

Electronics manufacturing services (EMS) sector by InCred Capital 

3QFY24 preview: Growth engine rages on

Overweight - Maintained

■ We expect a healthy 3QFY24F revenue growth of ~25%+ YoY in the case of six out of nine companies in our coverage universe.

■ PCBA companies like Cyient DLM & Kaynes Technology to post a good topline growth. Avalon Technologies to face issues due to exposure to the US market.

■ We retain our Overweight stance on the sector, with our preferred stocks being Cyient DLM, Kaynes Technology and Dixon Technologies.

Strong topline growth likely in 3QFY24F

We expect healthy sales growth in 3QFY24F, led by strong execution and pricing action along with an improved opening order book position. We expect overall aggregate revenue growth of 40% YoY for all companies in our coverage universe. For PCB assemblers, Cyient DLM & Kaynes Technology may post the strongest topline growth at 34% and 55%, respectively. Cyient DLM may see a QoQ margin growth of 179bp owing to a higher export share in its topline in 3QFY24F. Syrma SGS Technology may face margin contraction owing to a higher share of consumer electronics in its topline while in the case of Avalon Technologies, its higher exposure to the US market may lead to growth slowdown.

Dixon to remain growth leader in consumer durable EMS space

India’s consumption story is in full swing, as Dixon Technologies, Amber Enterprises and PG Electroplast (PGEL) are all expected to post strong numbers. Although this is an off season as far as the sales of air-conditioners or ACs are concerned, a lot of it will be balanced by increased sales of washing machines. PGEL is likely to post a 35% topline growth along with Dixon Technologies (61%) and Amber Enterprises (18%). However, sustaining this growth appears tricky for PGEL owing to increased insourcing in the AC EMS space. However, IKIO Lighting may disappoint as it is likely to post a 5% fall in revenue and a 35% decline in EBITDA. This is because its commercial refrigeration segment is unlikely to post strong numbers due to the off season. On the exports front, there is still some time before the company starts getting sizable orders from Forest River, its US-based RV client. The grim macroeconomic situation in the US also doesn’t help, with RV sales at a yearly low level. Elin Electronics is expected to post a 35% topline growth due to a low base in 3QFY23. However, margin contraction will lead to a PAT growth of only 5% YoY.

Retain ADD rating on 7 stocks, HOLD on PGEL & REDUCE on IKIO

We remain Overweight on the electronics manufacturing services or EMS sector as the valuations currently factor in a strong capex recovery for all companies under our coverage. All the companies, except Cyient DLM, are incurring a healthy capex. A lot of it should get translated into its topline, with consumer demand clearly visible. We have an ADD rating on Cyient DLM (also our top pick), Syrma SGS Technology, Avalon Technologies and Kaynes Technology because their order backlog provides revenue visibility. On the electronics side, Dixon Technologies remains our top pick because of its well-diversified client base and manufacturing at scale. We have a HOLD rating on PGEL due to increased insourcing. Retain our REDUCE rating on IKIO Lighting due to its unsustainable margins.

Anand Rathi Report : Q3 FY24 Preview - Modest deceleration, but earnings growth yet respectable

On balance, tailwinds for Indian companies in Q3 likely to have been stronger than headwinds. A late monsoon, wedding and festival seasons split, weak foreign demand and de-stocking/ losses at certain sector levels are likely to have impacted Q3 corporate earnings. Simultaneously, softer raw material prices for most sectors and turnaround in revenue/profitability for IT and certain chemicals segments would have exerted positive influences on earnings growth and lowered credit cost for most financials. 

Modest volume growth, but healthy margins. Q3 FY24 volume growth for chemicals and auto may have dipped. Most financials segments are likely to report continued net interest margin pressure. Yet, on balance, we expect margin expansion for most sectors, especially domestically oriented agrochemicals, two-wheelers, capital goods, wires and cables, retail, FMCG and infra. 

Better-than-expected macro fundamentals. Earlier, expectation of FY24 GDP growth was ~6-6.5%, but the government now expects 7.3%. In line with this, on balance, corporate earnings surprised positively in H1 FY24, a trend we expect to have continued in Q3 FY24. In the forthcoming Q3 FY24 results season, we reckon agriculture-related sectors are likely to disappoint, but industry-related sectors would continue to report buoyant performances; service-related industries are likely to post better performances than in Q2.

The introduction of a Bitcoin ETF marks a significant milestone, bridging the traditional financial markets with the innovative realm of digital assets. This landmark development not only validates the growing importance of crypto but also opens new avenues for institutional investors to participate in the transformative potential of blockchain technology. We have seen that approx 5% to 10% of Gold ownership is through ETFs. With the Bitcoin ETFs, people are expecting a good % of Bitcoin ownership to be routed through the ETFs. This makes Bitcoin more accessible to those who have been comfortable trading in the traditional financial markets. If Bitcoin ETFs reach similar figures as gold, then at the current market cap that’s potentially $50B to $80B in new liquidity. Embracing this evolution, we are witnessing the convergence of two worlds, where the decentralized ethos of crypto meets the regulatory framework of traditional finance, paving the way for a more inclusive and resilient financial ecosystem. This is the first digital asset ETF but it won’t be the last, says Nischal Shetty, CoFounder, Shardeum.

The approval by US SEC to trade Bitcoin ETFs is an encouraging step towards gradual acceptance of digital assets as a mainstream asset class by the global financial ecosystem. This is indeed a historic moment for all the digital asset enthusiasts as it will pave way for further adoption of the world’s largest cryptocurrency through large financial institutions. Digital assets are indeed the flagbearer of alternative asset classes that all modern-day investors should consider taking an exposure on to fulfil their financial goals. The optimism brought about by this move will augur well for the global crypto industry and I believe more Indian investors will make the most of this decision and start including digital assets in their portfolio. I am equally hopeful that this will also facilitate more discussions among the Indian ecosystem and very soon India will have its own crypto ETF: Avinash Shekhar, Chief Executive Officer, Pi42, India’s first Crypto-INR Perpetual Futures Exchange.

“The much-anticipated Bitcoin ETF is finally here. The approval from SEC will allow trading of the world’s largest crypto currency from today itself and thus opens opportunities for all the crypto enthusiasts across the globe. For Indian investors, the Bitcoin ETF will provide an opportunity to include crypto in their portfolio via the LRS route. Like any other asset class, Bitcoin ETFs also come with their own sets of advantages and disadvantages. An Indian investor taking exposure on Bitcoin ETF will get easy exposure through regulated entities without worrying about the storage of the cryptocurrency. Besides, 1% TDS on transactions will not be applicable since there is no actual crypto being purchased and capital gains tax will also be lower. On other hand, the 20% TCS introduced in 2023 will be applicable on deposits above INR 7 Lakhs via LRS. Although, unlike TDS, it can be used to offset other tax liabilities but may lead to liquidity getting stuck. In addition, management fees for the ETF is an additional cost. BlackRock plans to charge 0.3%, while ARK has announced a fee of 0.25% which seem like reasonable given the average ETF management fee in the US is about 0.5%,” says Viram Shah, CEO, Vested Finance.

Mahindra & Mahindra launched its electric XUV400 Pro Range at an introductory price of ₹15.49 lakh. 

Mahindra and Mahindra’s share was trading flat at ₹1,632.30 at 2.18 pm on NSE.

“Gold prices have been on an upward trajectory during 2023 and this momentum is expected to continue in 2024. Internationally, the volatility of the yellow metal prices will continue and will be triggered by various factors including the on-going geo-political scenario, strengthening of USD against INR and a pessimistic approach towards the growth of global economy. 

Domestically, the demand for the yellow metal is expected to outgrow and is expected to touch the 70k mark on a domestic level. This rally will be driven by robust demand in the domestic market owing to the rising income levels and the inclination towards yellow metal. On the global level, we expect the prices to hover in the range of USD 1850-2050. Irrespective of the price movement, the consumer demand will continue to grow during the year backed by strengthened purchasing power, and the change in perspective towards gold as lifestyle statement, thus driving sales across along all ticket-sizes.”

Lead futures (January contract) on the Multi Commodity Exchange (MCX) has been charting a horizontal trend for the past three weeks. It has been fluctuating within ₹182.50 and ₹183.50.

Before getting into the consolidation phase, lead futures’ price dropped. However, the bears have lost traction, which has led to the sideways crawl.

BMW Group India on Thursday said it has continued its record-breaking success in 2023 by posting the best-ever annual sales (January – December) of 22,940 units (including two-wheelers), a growth of 19 per cent year-on-year (Y-o-Y) as compared to 19,263 units in 2022.

Reserve Bank of India Governor Shaktikanta Das on Thursday said the central bank will not emulate others on crypto currency regulations and asserted that “what is good for another market need not be good for us”.

His remarks come against the backdrop of the US Securities and Exchange Commission approving changes to allow the creation of bitcoin exchange-traded funds in the US.

Indian equities attracted good foreign portfolio inflows in 2023 at over $20 billion, but capex by companies is not keeping pace.

Private capital expenditure has been sluggish over the last ten years and disruptions such as the Covid pandemic, high inflation rates, supply chain problems have only contributed to an uncertain macro environment. 

“Despite all the efforts on the part of the government to promote manufacturing and private capex, we haven’t seen that sort of a positive response yet given that the corporates are also dealing with a lot of uncertainties globally,” Saion Mukherjee, Managing Director & Head of Equity Research, India, Nomura, told businessline in an interaction.

Polycab India said that the Income Tax Department searched its premises last month. However, the electric goods company refuted reports of tax evasion. 

The company has issued the clarification as the tax authorities issued a statement saying it initiated search and seizure operations in the case of a group which is engaged in the manufacturing of wires and cables and other electrical items on December 22.

The Polycab India share declined ₹979.90 or 19.95 per cent to ₹3,931.95 at 12.20 pm on BSE.

QIB – 0.72x

NII – 15.24x - {(NII 10L+) – 15.11x, (NII 2L-10L) – 15.48x}, 

Retail – 19.56x

Employee - 9.32x

Total – 8.12x

Issue to close today, Thursday, January 11, 2024

The BSE Sensex gained 116.96 pts or 0.16% to 71,774.67. The NSE Nifty rose 46.70 pts or 0.22% to 21,665.40.

Centrum Group today announced the appointment of Manish Jain as Head of the Fund Management businesses. He will lead and manage Centrum’s Portfolio Management Services (PMS) and Non-discretionary Equity Advisory verticals. 

Manish comes with a proven track record of over 20 years in the Indian equities market, managing equity funds, driving high quality equity research and with expertise both on the buy and sell sides. He has held senior positions with leading financial institutions such as Nomura / Lehman Brothers, ICICI Securities, and most recently with Ambit Investment Advisors, where he was managing their Coffee Can Portfolio having an AUM of approx. Rs 1,150 crores. Manish is a Chartered Financial Analyst (CFA) and a MBA in Finance from Symbiosis, Pune.

ICRA has analysed the performance of 29 prominent brokerage companies in H1 FY2024. Supported by improved market activity, ICRA’s sample set of companies reported a sharp 20% annualised growth in the net operating income. Given the benefits of economies of scale, the aggregate profitability of this sample set also improved, with a 24% annualised increase in the net profit and a return on equity of 27% in H1 FY2024 compared to 25% in FY2023. ICRA expects the industry to report all-time high revenues and net profits with a year-on-year (YoY) expansion of 18-22% and 22-25%, respectively, in FY2024. 

After reporting a flattish trajectory in FY2023, the aggregate industry-wide MTF exposure grew by 98% from March 2023 to ~Rs. 51,000 crore on December 28, 2023. 

The participation of retail investors also remained strong in the futures & options segment, driven by the launch of new index options, miniaturisation of contracts/lot sizes, and separate weekly expiries for each index option. During FY2020 to FY2023, the number of contracts traded increased by about nine times. Moreover, the number of contracts traded expanded by 2.4 times, on a YoY basis, in H1 FY2024. 

Given the substantial new client additions in the past few fiscals, discount brokerage houses continue to hold a leadership position, in terms of market share of active NSE clients, at 65% in November 2023 compared to 18% in March 2019. The market share of non-bank full-service brokers and bank-based brokers stood at ~21% and 14%, respectively, in November 2023.

Although the borrowings by brokerage entities were historically low, financial leverage has increased considerably in recent fiscals with the material scale-up of the MTF and increased working capital requirements due to regulatory changes for the securities broking industry. 

The aggregate leverage of bank brokers, which dominate the MTF segment, increased to 1.9 times as of September 30, 2023, from 0.4 times as of March 31, 2020. During this period, the aggregate gearing of non-bank full-service brokers increased to 1.1 times from 0.4 times. Discount brokers, with a limited presence in MTF, reported marginal dependence on borrowings.

Ajmera Realty & Infra India Ltd reported robust growth in Q3 FY24 with a significant 63% YoY increase in sales area, at 1,03,573 sq.ft, and an equivalent sales value of Rs 253 crores. Despite limited inventory, growth in sales value came on the back of sustained interest in key projects, Ajmera Manhattan and Ajmera Eden in Mumbai, as well as projects in Bengaluru.

● From Price Action Perspective:

Led by a strong move in Reliance & ICICIBANK, Nifty took support at 21450 zone & witnessed a strong rebound towards 21620 zone, gaining 0.34% while Banknifty gained 0.25 % yesterday rebounding from crucial support zone of 47000

● Decoding Asset Relationships:

The US Dollar Index is currently trading around 102.50 levels while US 10-year yields are quoting at 4%, signaling a probable delay in the Interest Rate Cuts by the Fed.

Brent Crude remains steady between $75-78 a barrel.

Below 75$, crude prices could weaken upto $70-71 a barrel, which would be a positive factor from a Macro-economic standpoint.

● Quick Check on Global Markets:

The S&P 500 has taken support around its 20-EMA around 4680-4700 and is now trending towards its life highs. Looking ahead, till the 20-day EMA holds, the index can continue its positive momentum towards 4840-4890.

On the downside, 4680-4700 zone could act as important support.

● Key Nifty levels:

Going forward, support is likely to be seen at 21470-21500 level from which the index has bounced five times in the last fortnight while, on the upside, immediate resistance is at 21710-21730.

On a close above 21730, Index would inch towards a fresh life high of 21900-21950.

In case 21480 is breached, Index could slide towards 21370-21380 zone where 20 Day EMA is placed.

Upcoming Quarterly Results by the IT Companies would act as a key trigger going forward.

However, outperformance by Reliance is a big positive for the markets & would provide support to Nifty on dips.

● OI data Interpretation for weekly series,

Significant call Writing buildup is witnessed in 21650 and 21700 strikes, while on the puts front, 21600-21500 witnessed considerable Open Interest additions.

Overall, the range for the index could be 21450 on the downside & 21750 on the upside.

● Key Bank Nifty Levels:

Going forward, the zone of 47000-47130 is likely to act as a support while, on the upside, resistance is seen at 47600-47700 zone.

Above 47700, Bank Nifty could witness sharp short-covering upto 47950-48000.

In case 47000 breaks, Index can retest its next support placed at 46800-46650.

For the next weekly Expiry, significant Open Interest buildup is witnessed in 47500-47700 calls and 47000 puts, implying a near-term range of 47700 and 47000 for the Banking Index.

● Sectors & stocks in Momentum:

The most influential stocks whose results are to be released today are Tcs, Infosys & Hdfcamc.

Railway stocks such as IRFC, IRCTC, RVNL, and Rites experienced buying with heavy volumes yesterday.

From the broader market, bullish setups were observed in Reliance, Adaniports, ApolloHosp, Delhivery, Tiindia, Crompton, Maxhealth, Jswenergy, Prestige, Bhel, Voltas, Trent, Ltts, Abbotindia, Poonawalla, Persistent, Tv18brdcst, Tanla, Mazdock, Centurytex, Amber, Bsoft, Nbcc, Gnfc.

The Government has decided to sell enemy shares of 20 companies that are being held by the Custodian of Enemy Property of India (CEPI).

According to a notice by the Finance Ministry, the list of companies includes, Anand Projects Limted, Bharat Nidhi Limited, Delhi Flour Mills, Mohan Meakin, Spencer & Co, the Peerless General Finance & Investment, the Bengal Dooars National Tea Limited, and Woodbriar Estate beside others. SBI Caps is the merchant banker and selling broker for the transaction.

Bank Nifty opened today’s session with a gap-up at 47,538.60 versus yesterday’s close of 47,360.85. The index is now at 47,500, up 0.3 per cent.

The advance/decline ratio stands at 9/3. Bandhan Bank, up 2 per cent, is the top gainer whereas Federal Bank, down 0.3 per cent, is the top loser.

Nifty 50 began today’s session with a gap-up at 21,688 versus yesterday’s close of 21,618.70. The index is now at 21,660, up 0.2 per cent.

Supporting the bullish bias, the advance/decline ratio of Nifty 50 stands at 33/17. However, the index remains within the range it has been trading for the past couple of weeks.

Reserve Bank of India Governor Shaktikanta Das has stated that all key indicators of scheduled commercial banks have demonstrated improvement over the past four years. Governor Das further noted the enhanced financial indicators of Non-Banking Financial Companies (NBFCs) during this period. 

Highlighting the central bank’s proactive measures, Das mentioned that since 2020, the RBI has undertaken a comprehensive overhaul of the regulatory architecture, incorporating significant changes such as the large exposure framework and scale-based regulation for NBFCs. 

Flow of Investments in fintech space, especially digital lending, has gone up. Regulatory architecture gives confidence to all stakeholders, including foreign investors.

Despite a surprise increase in crude oil inventories in the US, crude oil futures traded higher on Thursday morning as the Houthis continued their attacks on merchant vessels in the Red Sea region on Tuesday.

At 9.54 am on Thursday, March Brent oil futures were at $77.09, up by 0.38 per cent, and February crude oil futures on WTI (West Texas Intermediate) were at $71.63, up by 0.36 per cent.

The stock price of Infosys declined 1.44 per cent or ₹21.95 to trade at ₹1,497.70 at 10 am on BSE. The IT major was the major laggard within the 30-stock Sensex pack in early trade.

Infosys’ stock is under pressure as the company is set to announce the financial results for Q3 FY24 post the market hours later today.

Benchmark equity indices climbed in early trade on Thursday amid a rally in global markets and buying in Reliance Industries.

The 30-share BSE Sensex jumped 341.76 points to 71,999.47 in early trade. The Nifty climbed 107.8 points to 21,726.50.

The rupee stayed firm for the seventh consecutive session and gained 2 paise to 83.01 against the US dollar in early trade on Thursday boosted by a weak American currency and softening crude oil prices.

Sustained buying in the domestic equity markets also supported the Indian currency even as investors were awaiting US inflation data to be released later in the day, forex traders said.

The trend of newer companies tapping the bond market to raise funds directly from retail investors has been a prominent development over the past year. Interest rates are peaking globally, and yields have stabilised after surging to record levels. The Reserve Bank of India (RBI) and the US Federal Reserve have hit the pause button for a while now.

SBI concludes issue of $600 million fixed rate 5-year notes at coupon of 5%. The instrument is being listed at SGX and India International Exchange

Bulk Deals

*Ncc Limited : Smallcap World Fund Inc Buy 3615365 Shares @ Rs. 185.23 

*Vl E Gov And It Sol Ltd : Ag Dynamic Funds Limited Buy 600000 Shares @ Rs. 69.93

*Goyal Salt Limited : Tryrock Capital Trust I Sell 192000 Shares @ Rs. 

Insider Trade

Acquisition

* Anshuman Kedia Revised Promoter & Director Acquisition 24200 shares of Associated Alcohols & Breweries Ltd. on 28-Sep-23

* Vedant Kedia Revised Promoter Group Acquisition 24200 shares of Associated Alcohols & Breweries Ltd. on 28-Sep-23

Pledge 

* PENNAR HOLDINGS PRIVATE LIMITED Revised Promoter Pledge 1500000 shares of Pennar Industries Ltd.-$ on 18-Sep-23

Dividend Update

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Result Today

Tata Consultancy Services Ltd.

Infosys Ltd.

HDFC Asset Management Company Ltd.

GTPL Hathway Ltd.

5Paisa Capital Ltd.

Rajoo Engineers Ltd.

AGI Infra Ltd.

Plastiblends India Ltd.

Crude oil futures traded higher on Thursday morning as the Houthis continued their attacks on merchant vessels in the Red Sea region on Wednesday. At 9.13 am on Thursday, March Brent oil futures were at $77.12, up by 0.42 per cent; and February crude oil futures on WTI (West Texas Intermediate) were at $71.64, up by 0.38 per cent. January crude oil futures were trading at ₹5962 on Multi Commodity Exchange (MCX) in the initial trading hour of Thursday morning against the previous close of ₹5931, up by 0.52 per cent; and February futures were trading at ₹5991 as against the previous close of ₹5957, up by 0.57 per cent.

Artisanal bakery brand, the Baker’s Dozen has secured ₹33 crore in a pre-series A funding round led by Wipro Consumer Care-Ventures. Fireside Ventures, Mirabilis Investment Trust and She Capital also participated in this round.

Sneh Jain, Co-Founder & Managing Director, The Baker’s Dozen told businessline, “ Nearly 70-80 per cent of our sales come from the online channel and almost 75 per cent of our sales come from the three cities of Delhi, Mumbai and Bengaluru. The funds will help us deepen our presence in other metros as well as widen our geographical expansion to tier-1 cities. We are also looking to strengthen our offline presence and will also focus on ramping up strategic marketing and brand-building initiatives.”

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

“There is no consistency in FII and DII behaviour so far this month. They are doing alternative bouts of buying and selling which is restricting the market in a range. The market needs triggers to break out or breakdown from this range. A probable negative trigger can be a slightly hawkish statement from the Fed postponing the rate cuts which the market expects to begin by March 2023. The US CPI inflation data due tonight will provide cues regarding this.

The Q3 results season starting today with the results of TCS and Infy will provide indications of the Nifty earnings for FY24. Financials, capital goods, telecom, automobiles and hotels will post good numbers. IT results will be tepid and FMCG will be a mixed bag.

More than broad market action, market responses will be stock-specific in response to results and management commentary.”

The market is expected to open on a flat note today. Investors await the release of Q3 results from major IT companies TCS and Infosys later today, marking the beginning of the earnings season for the December quarter. Asian stock markets saw an uptick, following the trend in US stocks as investors awaited inflation data set to be released on Thursday. Bitcoin surged following the U.S. regulators’ approval of exchange-traded funds linked to the cryptocurrency. U.S. stocks closed higher on Wednesday as megacaps rallied, but gains were limited ahead of inflation reports and major bank earnings later in the week. Oil steadied on Wednesday, giving up most of its earlier gains, as Middle East supply concerns arising from the Israel-Hamas war and the shutdown of a top Libyan oilfield balanced rising U.S. output and worries about weak economic growth. As per provisional figures,

Foreign Institutional Investors (FIIs)/ Foreign Portfolio Investors (FPIs) sold shares worth net Rs.1721.35 crore and Domestic institutional investors bought shares worth net Rs.2080.01 Crore on 10th January 2024.

Indian markets could open flat, despite mildly higher Asian markets today and positive US markets on Jan 10

U.S. stocks finished higher on Wednesday, a day ahead of a widely anticipated December inflation report, though the S&P 500 fell short of an all-time high after remarks from a key Federal Reserve policymaker.

Inflation, along with its impact on bond markets and the Federal Reserve’s monetary policy trajectory, is the primary issue at hand this week as investors await Thursday’s consumer-price index reading for December. Economists expect annual headline CPI inflation to inch up to 3.2% last month from 3.1% in November. The core reading, which strips out more volatile items like food and energy, is expected to fall to 3.8% year-over-year, from 4% previously. In U.S. economic data, wholesale inventories declined 0.2% in November, according to the Commerce Department. The Securities and Exchange Commission greenlighted several spot bitcoin exchange-traded funds for the first time on Wednesday, according to a filing posted on the U.S. regulatory agency’s website.

The move paves the way for a new class of investors to gain exposure to the virtual currency and could serve as a tailwind for the price of the world’s most popular digital asset. Bitcoin was mostly flat at around $46,742 following the SEC news, according to CoinDesk data. Asian stocks and US and European equity futures rose ahead of inflation data due later Thursday that will help clarify the path ahead for Federal Reserve policy. Nifty extended gains from Tuesday and ended higher on Jan 10 after a volatile session as Reliance Industries rose to hit its lifetime high level. At close, Nifty was up 0.34% or 73.9 points at 21618.7. The short-term trend of Nifty seems to have reversed after the recent minor decline. The Nifty is now expected to retest the upper trajectory around 21765-21834 levels in the next few sessions. Immediate support is placed at 21449 levels.

Shrikant Chouhan, Head – Equity Research, Kotak Securities

The benchmark indices witnessed a bullish move on Wednesday, with Nifty closing 74 points higher while Sensex was up 272 points. The media index rose over 3%, while intraday profit booking was seen in select PSU banks and FMCG stocks. Technically, after morning intraday correction, Nifty took support near the 20-day SMA (Simple Moving Average) and made a bullish comeback. From the day’s lowest point, the market came up by more than 190/660 points. Traders should consider the 20-day SMA or 21500/71250 as a crucial support level. Above this, the pullback formation is likely to continue. The market has prospects of reaching 21680-21725/71900-72050. However, selling pressure is likely to increase below the 20-day SMA or 21500/71250. If the market slips below that, it may fall to 21400-21355/71000-70800.

Traders should take profit on long positions or reduce weak long positions between 21680/21720 levels. For the bank nifty, 47000-46900 would be the ultimate support zone and if it falls below that, it could reach 46500 levels. On the higher side, 47550 is the biggest hurdle, so traders should consider reducing positions around the same level.

-- Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd

“In the current volatile market of 2024, marked by conflicting trends, uncertainties around US interest rates and India Inc.’s corporate earnings drive disagreement. Key factors today include the eagerly awaited US CPI release and the commencement of Q3 earnings by TCS and INFY. The Federal Reserve’s interest rate decisions remain central, with upcoming CPI and PPI indicators influencing their stance. INFY or TCS profit guidance could sway sentiments. Technically, Nifty finds vulnerability below 21307, confirming strength above 21836. Nifty options suggest a 21300-22000 trading range. Preferred trades for Nifty and Bank Nifty are provided. The chart of the day is bullish on select stocks, with a standout recommendation to buy ITD Cementation at an entry price of 300.75, targeting 600, with a stop loss at 189, for a holding period of 0-365 days.”

“Crude oil exhibited significant volatility, experiencing a sharp decline amid the increase in U.S. oil inventories and in anticipation of the U.S. inflation data. U.S. crude oil inventories surged by 1.3 million barrels for the week ending on January 5, contrary to expectations of a 0.7 million barrel decline. The struggle in crude oil prices is attributed to the upsurge in U.S. oil stocks and a stable dollar index. Key U.S. inflation data, set to be released later today, could provide further guidance for oil prices. We anticipate that crude oil prices will continue to be volatile in today’s trading session. Support for crude oil is expected at $70.80–70.10, with resistance at $72.20-73.00 during today’s session. In Indian Rupees (INR), crude oil has support at Rs 5,850-5,770 and resistance at Rs 6,010-6,090.” -- Rahul Kalantri, VP Commodities, Mehta Equities Ltd

“Gold and silver traded within a narrow range, displaying some vulnerability ahead of the impending U.S. inflation data. The dollar index maintains stability above the 102 marks following the release of minutes from the U.S. Federal Reserve monetary policy meeting and encouraging U.S. job data. The uncertainty surrounding the timing of potential Fed rate cuts exerted downward pressure on gold and silver prices in the global markets, reinforcing the strength of the dollar index. However, ongoing tensions in the Red Sea and the Middle East are providing some support at lower price levels. Anticipating today’s session, we forecast continued volatility in gold and silver prices. Gold finds support at $2016-2002, with resistance at $2041-2055. Meanwhile, silver’s support is identified at $22.72-22.55, and resistance is positioned at $23.20-23.38. In Indian Rupees, gold is anticipated to find support at Rs61,750-61,510, with resistance at Rs62,290 and Rs62,510. Silver’s support in INR is projected at Rs71,550-71,080, with resistance at Rs72,650 and Rs73,180.” -- Rahul Kalantri, VP Commodities, Mehta Equities Ltd

The US market closed higher on Wednesday as megacaps rallied, but gains were limited ahead of inflation reports and significant bank earnings later in the week. The Labor Department’s reports on consumer and producer price inflation, which are due to be released on Thursday and Friday, respectively, could significantly impact the outlook for interest rates. Asian markets experienced a notable upswing on Thursday, following the positive momentum in US stocks ahead of the release of inflation data. Japan’s Nikkei extended its record-breaking rally on dovish BOJ bets. Indian market is seen opening flat to slightly higher on Thursday as investors await earnings from IT majors as well as the latest readings on industrial output and retail inflation for directional cues. Tata Consultancy Services and Infosys are set to kickstart Q3 FY2024 earnings on January 11. We expect TCS revenue to be flat sequentially as growth was tepid due to ongoing weaknesses in discretionary spending and layoffs during the quarter. At the same time, Infosys revenue marginally declined QoQ owing to a challenging quarter primarily influenced by sustained weak demand, the absence of certain one-time sales and the impact of layoffs.

The 50 index witnessed a volatile opening and traded with a negative bias until the mid-trading session and marked the day’s low at 21468. However, the index saw a quick short recovery from the support zone near 21500-21450 allowing the index to close in its upper quartile of the trading range. On the derivative front, 21500PE added the highest open interest indicating a strong support zone and sustenance above this zone will bolster the price action to garner bullish strength.

While all eyes are on the stock indices scaling new lifetime highs, the bond market also offers attractive opportunities. Yields on commercial paper and bonds from highly rated corporates are ruling at near 8 per cent levels, with credit offtake picking up. Conservative Hybrid Funds make for a good investment for investors who are bullish about bonds but wary of equity risks.

Tembo Global Industries Limited has reveald its outstanding achievement of surpassing a turnover of over Rs. 300 crores in the third quarter ending on 31st December 2023, for the financial year 2023-24. 

They recorded a turnover of Rs. 249 crores for the year ending on 31st March 2023 and aim to achieve more than Rs. 375 crores in the current year, representing an approximate 50% increment in revenue.

Global crude steel production up ~3% YoY in November

The World Steel Association (WSA) data shows global crude steel production sustained growth for the second consecutive month, expanding ~3% YoY to 145.5mn tonne in November. This growth primarily was propelled by ~7% YoY rise in production for the rest of the world (ROW) while China’s showed a steady trend with no significant YoY change. However, on a MoM basis, production failed to show any upward movement for another month and contracted ~3%, dragged by a MoM fall of ~4% and ~3% in China and ROW, respectively. In November, India’s crude steel production rose ~11% YoY but dropped ~4% MoM. As per provisional data, India’s crude steel production rose ~8% YoY and ~2% MoM in December.

Power generation remained buoyant in Q3FY24, led by surging demand amidst festive season. Generation rose 13% YoY to 416BUs in Q3FY24, albeit on a high base of last fiscal (up 10% in FY23). Generation rose a substantial 25% YoY to 150BUs in October, which was characterized by high humidity. November saw an 11% YoY increase in generation to 130BUs, aided by uptick in economic activity amidst festival season. Generation moderated in December, up just 4.5% YoY to 134BU. Peak demand moderated to 222GW in Q3FY24 from a record high of 243GW in H1FY24 due to reduced cooling demand.

Bharat Petroleum Corporation (BPCL) stock has rallied ~35% and has outperformed the Sensex by ~26% over the last 3M, driven by improving auto fuel marketing margins as Brent crude price declined by ~20% to USD 76/bbl over the same period and strong refining margins as diesel and jet fuel crack spreads averaged USD 23-24/bbl. We downgrade BPCL to a REDUCE from a BUY, with a target price of INR 475/sh, owing to the risk of (1) lower auto-fuel marketing margins because of either a bounce-back in crude oil price or retail price cuts ahead of general elections and (2) moderation in refining margins.

After going through a challenging period marked by (1) an unfavourable rural cycle, (2) deteriorating unit economics, and (3) stumbling in assortment pricing and capital allocation, VMART’s KPIs are bottoming out. Notable improvements include (a) gradual recovery in footfall/sales densities, (b) downward recalibration of rental bills, and (c) alleviation of working capital challenges. We recently interacted with V-MART’s management to better understand the levers to normalcy. Key takeaways include (1) a healthy festive season with 4/10% SSSG/revenue growth in Q3; (2) streamlining of the buying/merchandising process that will aid sourcing margins which could be passed on to the end-consumer to earn higher sales/sq ft and improve WC efficiency; (3) successful performance of new ‘Unlimited’ stores at >INR8,000/sq. ft; and (4) a significant paring of Limeroad losses expected in FY25. Rising competitive intensity concerns seem a false positive as store overlap of major value retailers remains low. Against this backdrop, V-MART resembles a momentarily under-earning asset (awaiting a turn in the rural cycle) more than a melting ice cube. Risk-reward seems favourable @ <20x FY26 EV/EBITDA. Our base case for core VMART bakes in ample margin of safety (FY23-26 sales/sq ft CAGR: 3%; @ INR7.4k and 5.5/6.7% EBITDAM for FY25/26 vs 9.3% in FY19). We upgrade the stock to a BUY with a DCF-based TP of INR2,550/sh (earlier 1,850/sh); implying 23x FY26 EV/EBITDA (FY25/26 EBITDA changes by +21/+7% respectively).

The IT sector (coverage universe) is expected to post a weak quarter with a sequential decline. This is due to increased furloughs, Q3 seasonality, a prolonged deal conversion cycle, and compression in discretionary and renewals. Positive factors for the quarter include the ramp-up of mega deals (BSNL/Verizon for TCS/HCLT) and consistent deal activity. However, most of the supply-side indicators, such as tech job postings, remain soft and do not signal any recovery ‘yet’. Although the recent trajectory of rates can support valuation multiples (high inverse correlation), it’s unlikely that tech budgets will improve materially. This is because a ‘slowdown’ in economic growth remains a baseline scenario, leading enterprises to prioritise cost optimization over transformation initiatives. In the Indian IT landscape, we expect three developments: (1) growth divergence within the sector in the near term, (2) margin recovery with favourable supply-side factors, and (3) mid-tier IT sustaining its relative outperformance. However, the margin of safety is low on aggregate, as valuations have approached +2 SD (rerated higher by >20% in the last six months) with limited immediate upside triggers. We maintain our preference for LTIMindtree, Persistent, and Birlasoft.

India’s heterogenous unsecured retail credit market (US$160bn; 3-year CAGR at ~23%) has been in the headlines ever since the RBI clamped down on select categories of consumer credit. Our discussions with experts suggest that the RBI’s note of caution is largely centred on small-ticket personal loans (STPL) (ticket size <INR100k), which account for a high incidence of systemic blind spots, dominant share of incremental disbursements, and elevated early-stage delinquencies, especially across static pools. The RBI’s risk-weight measures are likely to increase the hurdle rate for banks and NBFCs towards unsecured consumer loans, resulting in a material growth deceleration. We continue to hold our below-consensus growth forecasts (1-2 percentage points across our coverage universe) and remain conservative on incremental spreads (blended FY24 NIMs at 15-20bps below FY23 levels), considering the impact on incremental asset mix. Our top picks are ICICIBC (TP: INR1,200) and SBIN (TP: INR780) among large banks; and BAF (TP: INR8650) and SBICARD (TP: INR955) among NBFCs

Larger-ticket segments lead growth; AVL, Senco, GO key outliers

Discretionary trends remain mixed, with muted growth in low-ticket categories like QSR/Apparel and strong growth in high-ticket categories like Jewelry /Durables/Luxury. Within Jewelry, Senco (Buy) has delivered 24% top-line growth (vs. our expectation of 15% growth), driving 5-8% increase in our estimate/TP. For TTAN, domestic jewelry growth at 21% is 4-5% above expectations, but a likely lower studded mix limits the EPS upgrade. We expect durables retailer AVL (Buy) to log the best topline growth among our Retail universe, at ~35%, aided by strong positioning in the fast-growing Hindi-Heartland. Valuations are also supportive, at ~40x FY25 EPS. Go Fashion (Buy) will continue outperforming, with 15% topline growth vs. flattish organic growth for ABFRL/PAG. WC optimization/closure of pledge are added triggers. Within QSRs, we favor Westlife on better SSG confidence and Sapphire on potential re-rating. Compelled either by muted trends or recent run-ups, we have a Reduce or Sell on TTAN, ABFRL, PAG, JUBI, DEVYANI, VBL and ETHOS.

Jefferies on Bharti Airtel: Maintain Buy on Company, raise target price at Rs 1300/sh 

MS on Bank India: Maintain Overweight on Bank, target price at Rs 135/sh 

MS on Coforge: Initiate Overweight on Company, target price at Rs 7200/sh 

MS on Manappuram: Maintain Overweight on Company, target price at Rs 210/sh 

HSBC on Zomato: Maintain Buy on Company, raise target price at Rs 150/sh 

Nuvama on Vedanta: Upgrade to Buy on Company, raise target price at Rs 362/sh 

Emkay on Ultratech: Maintain Buy on Company, target price at Rs 11400/sh 

Emkay on JK Cement: Maintain Add on Company, target price at Rs 310/sh 

Emkay on Sagar Cement: Maintain Add on Company, target price at Rs 4260/sh 

MOSL on Metro Brands: Maintain Buy on Company, target price at Rs 1530/sh 

Jefferies on Indus Tower: Maintain Neutral on Company, raise target price at Rs 160/sh 

Kotak on Jubilant Food: Maintain Reduce on Company, target price at Rs 500/sh 

Kotak on Devyani: Maintain Add on Company, target price at Rs 110/sh 

Kotak on Restaurants Brand: Maintain Reduce on Company, target price at Rs 110/sh 

Kotak on Sapphire: Maintain Buy on Company, cut target price at Rs 1640/sh 

Kotak on Westlife: Maintain Reduce on Company, cut target price at Rs 800/sh 

Investec on HCL Tech: Initiate Sell on Company, target price at Rs 1335/sh 

Emkay on Shree Cement: Maintain Reduce on Company, target price at Rs 29650/sh 

Emkay on Ramco Cement: Maintain Reduce on Company, target price at Rs 1080/sh 

HSBC on Bharti Airtel: Maintain Hold on Company, target price at Rs 1125/sh 

Citi on Titan: Maintain Neutral on Company, target price at Rs 3900/sh 

Key takeaways from the cement expert meeting include: 1) Industry demand is expected to grow 9-10% in FY24 and will likely clock in a 7-8% CAGR (200-250bps higher than the last decade) over the next few years with increased infra spends; 2) Consolidation theme is expected to be at the forefront over the next few years with two groups (UltraTech and Adani) expected to be more aggressive; 3) Organic capacity addition of more than 30mt p.a. would likely be challenging due to limited suppliers for equipment manufacturing and erection works; and 4) East and South regions should continue to see more volatility in pricing because of higher capacity additions and irrational behavior by a few players. Top picks: UltraTech and Ambuja.

BANKINDIA: Morgan Stanley gives overweight call on Bank Of India, says gross loan growth was strong at 4% QoQ mainly driven by domestic loan growth at 5% QoQ.

.

BHARTIARTL: HSBC downgrades Bharti Airtel to hold, says ARPU to rise, see market share gains in mobile. Growth in non-mobile & capex intensity to decline.

COFORGE: Morgan Stanley initiates overweight call on Coforge, says co is preferred Midcap IT pick. A focused & transformed Coforge has shown scalability attributes that can keep its revenue growth profile higher for longer vs peers.

The New India Assurance Company Ltd (NIACL) has received an Order from the Office of the Commissioner of CSGT and Central Excise, Thane, confirming an earlier GST demand of Rs 2379.13 crore along with interest and penalty of Rs 237.91 crore.

“On receipt of the Order we have intimated the same to the Board in its meeting held on 10.01.2024. Based on the developments in the Industry, the company would be deciding further course of action,” the public sector general insurer said in a regulatory filing.

The public sector general insurer said it has received the Order in respect of the late-September 2023 SCN (show cause notice) confirming GST demand along with the interest and penalty. 

NIACL said it had received a SCN cum demand notice in late September 2023 from the Directorate General of GST Intelligence, Pune Zonal Unit, under the Central Goods and Services Tax Act, 2017, alleging a tax demand of 2379.13 crore (excluding interest and penalty).

The SCN cum demand notice was against: 1)non-payment of GST on the Co-insurance premium accepted as Follower in the co-insurance transaction from July 2017 to March 2022 amounting to Rs 1930.12 crore and 2) non-payment of GST on re-insurance commission booked/accepted on the reinsurance services ceded to various Indian and Foreign Re-Insurance Companies amounting to Rs 449 crore.

The non-life insurer emphasised that the alleged SCN pertains to matters relating to industry wide issues.

ends

(METROBRA IN, Mkt Cap USD4.1b, CMP INR1260, TP INR1530, 21% Upside, Buy)

The discretionary category has seen weak demand trends in the last few quarters, but METRO has continued to post industry-leading growth, led by steady footprint expansion. Although it could face moderation in SSSG and margin rebase in the near term, we expect the company to deliver secular 20% growth over the next five years, driven by its strong execution prowess evident from superlative store economics, a huge runway of footprint addition, excellent cashflow and ROIC profile, and new brand additions.

Buzzing Stocks: TCS, Infosys, HDFC Asset Management, 5Paisa, Sundram Fasteners, Bank of India, Kalyani Steel, New India Assurance, Heranba Industries, NBCC, CESC, Dhunseri Ventures, Phoenix Mills, Polycab India, Honda India Power, Metro Brands, Angel One, Safari Industries

• BALRAMCHIN 

• BANDHANBNK 

• CHAMBLFERT 

• ESCORTS 

• HINDCOPPER 

• IEX 

• INDUSTOWER

• INDIACEM 

• NATIONALUM 

• PEL

• PVRINOX

• SAIL

• ZEEL

Copper futures on the Multi Commodity Exchange (MCX) have been on a decline since the beginning of this month. It started to fall after facing resistance at ₹740.

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

The short-term outlook is bullish for PNC Infratech surge 6 per cent on Wednesday. The stock well above the key intermediate resistance level of ₹362. The region around ₹360 will be a very strong resistance. 

Goldman Sachs Upgrade Shriram Finance to Buy from Neutral; raise earnings estimates by 10%/13% for FY25E/FY26E; Increase 12-m TP by 43% to Rs2,758 (from Rs 1,926)

Goldman Sachs reiterate Neutral rating on MMFS; Cut EPS estimate by 22% in FY24, and by 8% in FY25E (to also reflect 2QFY24 earnings). Consequently, lower our TP by 9% to Rs 264 (from Rs 291)

Turnover: (NSE + BSE)

Cash Volume: 96184.51 + 8210.2 Total: 104394.71

F&O Volume: 368993.72 + 292741.95 Total: 661735.67

Provisional Cash Rs. In Crs.

FII/FPI: NET SELL: -1721.35

(9621.87 - 11343.22) 

DII: NET BUY: +2080.01

(10461.84 - 8381.83)

https://play.google.com/store/apps/details?id=com.intelegain.rb

BLS International Services : Shikhar Aggarwal, Joint Managing Director

Realisations Have Increased In Q3: BLS International Svcs

https://www.youtube.com/watch?v=XPGdoS9Og5g

Cupid: Aditya Halwasiya, MD

Cupid Limited: Fund Raise On The Anvil?

https://www.youtube.com/watch?v=_-v03k_RfcU

DLF: Ashok Tyagi, Whole Time Director

DLF Privana South Sold Out Within 72 Hours; Ashok Tyagi In Conversation With Nikunj Dalmia

https://www.youtube.com/watch?v=NFKDgXHh5fc

Delta Corp: Anil Malani, CFO

Slump In Revenue As Customers Had To Pay 28% GST Upfront On Chips: Delta Corp

https://www.youtube.com/watch?v=gD4zjli1kco

*Nuvama Wealth M: Prateek Parekh, *

Expect Moderation In Returns In 2024 Versus What Was Seen In 2023: Nuvama Group

https://www.youtube.com/watch?v=n9dYEM9QFBM

SBI: SK Ghosh, Group Chief Economic Advisor

K-shape Recovery Post-Pandemic Seems Best Flawed And Incomplete: SK Ghosh, SBI

https://www.youtube.com/watch?v=K2tNd_8sfww

Yatra.com: Dhruv Shringi, CEO

Lakshadweep Has Seen As 30x Increase In Searches Over The Last 4 Days: Yatra Online

https://www.youtube.com/watch?v=qURcS4m5QyY

Bajaj Auto: Dinesh Thapar, CFO

Buyback Decision Reflects Co’s Strong Business Performance: Bajaj Auto

https://www.youtube.com/watch?v=DSW8RXQkcNE

Brigade Ent: Pradyumna Krishna Kumar, Executive Director

Will Complete New Projects In Chennai Over Next 3-4 Years: Brigade Group

https://www.youtube.com/watch?v=xvP_-WFaQm4

Chambal Fert: Abhay Baijal, MD

If Red Sea Issue Flares Up Till March, This Will Be A Long-Term Impact: Chambal Fertilsers

https://www.youtube.com/watch?v=AAmzZYikeUw

Events today…

https://www.researchbytes.com/Default.aspx?cc=event

Results today…

https://www.researchbytes.com/Default.aspx?cc=result

Replays available at www.researchbytes.com

Taiwan Semiconductor Manufacturing Company (Tentative) (Sector- Technology)

19.00 U.S. CPI y/y (Expected: 3.2% versus Previous: 3.1%)

19.00 U.S. Unemployment Claims (Expected: 211K versus Previous: 202K)

On Thursday, Asian stocks experienced an upswing, mirroring the positive momentum seen in US stocks ahead of the impending release of inflation data on Thursday. Japanese equities, particularly blue-chip stocks, opened higher on Thursday, riding on the surge in US tech shares and reaching their highest levels in over three decades. This increase in stock values can be attributed in part to the depreciation of the yen, which hit its lowest against the dollar in a month on Wednesday. 

In early trade, the Japanese Nikkei 225 index surged by 1.40%, or 483.27 points, reaching 34,924.99, while the broader Topix index rose by 1.47%, or 36.05 points, to 2,480.53. South Korea’s KOSPI also experienced a gain of 0.28%, or 7.15 points, reaching 2,549.13. Hong Kong’s Hang Seng index climbed by 0.35%, or 56.89 points, to 16,154.17, and Australia’s S&P/ASX 200 saw an increase of 35.80 points, or 0.48%, reaching 7,504.30.

Earlier on Wednesday, the Dow Jones Industrial Average rose by 170.57 points, or 0.45%, to 37,695.73. The S&P 500 recorded a gain of 26.95 points, or 0.57%, closing at 4,783.45, while the Nasdaq Composite advanced by 111.94 points, or 0.75%, reaching 14,969.65.