Share Market Highlights 12 March 2024: Sensex gains 165 pts, Nifty ends flat, realty sheds over 3%

Benchmark equity indices Sensex and Nifty ended higher on Tuesday due to heavy buying in index heavyweights like HDFC Bank, TCS and Reliance Industries amid mixed cues from Asian markets.

Witnessing a volatile trade, the 30-share BSE Sensex closed 165.32 points or 0.22 per cent higher at 73,667.96. During the day, the barometer surged 501.52 points to 74,004.16.

The broader Nifty ended almost flat at 22,335.70, registering a marginal increase of 3.05 points or 0.01 per cent.

The rupee consolidated in a narrow range and settled for the day, 3 paise lower at 82.78 (provisional) against the US dollar on Tuesday, as market participants remained on the sidelines ahead of the release of key macroeconomic data.

Gulshan Polyols Limited has received an order against tender floated by Excise Department, Government of Madhya Pradesh, for supplying of Country Liquor for a approx. quantity of 66.2 lakh proof litre in three districts of Madhya Pradesh i.e. Chhindwara, Balaghat and Singrauli, for the financial year 2024-2025.

Aurobindo Pharma informed that Eugia Pharma Specialities Ltd. has started distribution of aseptic products manufactured at Unit III, which was stopped temporarily. The company is expected to start commercial production from the aseptic lines of the said facility in a phased manner beginning next week and to re-start all the lines by April 15, 2024.

Today, the benchmark indices witnessed range bound activity, the nifty ends 2.5 points lower while the Sensex was up by 165 points. Among Sectors, Reality index lost the most shed 3.7 percent whereas intraday buying were seen in selective IT stocks. Technically, after intraday technical bounce back the Nifty/Sensex took the resistance near 22450/74000 and corrected sharply. On intraday charts, it is still holding weak texture which indicating weak sentiment is likely to continue in the near future.

For the day traders now, 22450/74000 would act as a key resistance zone. Below the same, the weak texture is likely to continue. Below 22450/74000, the market could slip till 22250-22200/73400-73200. On the flip side, above 22450/74000 the sentiment could change. Above which, the market could bounce back up to 22500-22525/74600-74700.

Prime Minister Narendra Modi has virtually inaugurated Ramco Cements’ Gati Shakti Cargo Terminal project at Jayanthipuram village, Jaggaiahpet Mandal, NTR District, Andhra Pradesh. With the inauguration of the project, the company will be transporting crushed limestone from its mines in Budawada to its integrated cement plant in Jayanthipuram.

Ramco Cements stock closed at ₹808.20 on the BSE, down by 0.35%.

Major gainers:

HDFC Bank (2.18%), TCS (1.75%), LTIMindtree (1.63%), Maruti (1.12%), Infosys (0.83%)

Major losers:

Cipla (-2.61%), Grasim (-2.28%), Adani Enterprises (-2.06%), SBI (-1.72%), Bajaj Auto (-1.63%)

Stocks advanced on BSE at 3 pm on March 12, 2024, were 646 against 3,219 stocks that declined; 87 stocks remain unchanged. Total stocks traded were 3,952. 

The number of stocks that recorded a 52-week high was 120, and those that hit a 52-week low was 155.

Utkarsh Small Finance Bank has received an order from the Income Tax Department (CPC) Varanasi, raising demand of ₹51.97 crore for AY 2023-24.

Utkarsh Small Finance stock declines 2.51% on the BSE, trading at ₹49.30.

Lumax Industries informed that the board has approved setting up a new manufacturing facility at Sanand (Plant-3), Gujarat. The project is expected to be commissioned by QI of FY202425. 

The board has also approved expansion of Chakan Plant (Phase-II) at Pune. The project is expected to be commissioned by Q3 of FY2024- 25.

Lumax stock trades at ₹2,279.30 on the NSE, up by 0.91%.

Servotech EV Infra Pvt. Ltd., a subsidiary of Servotech Power Systems Ltd, has secured equity dilution of 6% at a pre-money valuation of ₹200 crore. 

Additionally, Servotech EV Infra will also establish Proof of Concept (POC) sites at 10 locations in North India within 100 days. Each EV charging station will cost around ₹15-25 lakh depending on the charger capacity and no. of chargers installed. 

In addition, the company has also announced the appointment of Prem Prakash as its Chief Executive Officer (CEO) and Neeraj Gupta as its AVP Operations.

Servotech Power Systems stock tumbles 4.99% on the NSE trading at ₹78.10.

Ion Exchange (India) Limited has received a contract from Maaden, Saudi Arabia, for setting up of Water Treatment Plant including demineralization plant at a contract value of ₹120 crore approx. The project is to be completed within 1 year from the date of letter of acceptance. 

Shares trade 2.63% higher on the BSE at ₹461.

Mahindra Lifespace Developers Ltd acquired land of 9.4 acres situated at Whitefield, Bengaluru. 

Shares trade at ₹557 on the NSE, down by 2.36%.

Mufin Green Finance board has approved raising of funds through issue of foreign currency denominated bonds under the framework External Commercial Borrowings (ECB) through private placement basis for amount upto $5 million.

Shares tumbles 4.99% on the BSE to trade at ₹177.25.

NSE to reduce transaction charges on cash and derivatives segment. The board of directors of NSE, in a meeting held on Monday, has considered and approved a reduction in overall transaction charges across the cash equity and equity derivatives segments / products by 1 per cent.

A study by Motilal Oswal Asset Management Company shows that the Nifty 500 has delivered impressive total returns of 16%. Notably, this positions the Nifty 500 as one of the top-performing global indexes over the past decade, second only to the Nasdaq 100, which recorded a total return of 21.5% as of December 31, 2023. In comparison, the S&P 500, MSCI Emerging Markets, and MSCI EAFE (Developed Markets ex-US) have demonstrated growth rates of 15.4%, 6.1%, and 7.9%, respectively, during the same period.

Speaking on the study, Pratik Oswal, Head of Passive Funds, Motilal Oswal Asset Management Company Ltd said, “Over the past decade, India has ascended from the 10th to the 5th position in the global economy. Projections from industry experts indicate a further climb in rankings by 2030. Investors keen on capitalizing on India’s robust growth narrative may find value in considering an investment in a comprehensive passive fund.” He further added “The Nifty 500 Index stands out as an optimal choice, providing extensive exposure to Indian equities with over 90% market capitalization coverage. Boasting a well-balanced representation across large-, mid-, and small-cap segments, this index demonstrates a robust diversification in both individual stocks and sectoral allocations. Notably, the Nifty 500 has demonstrated a tendency to outperform the Nifty 50 during bullish market phases, while also offering a degree of resilience against downturns, particularly in comparison to mid and small-caps.”

Aluminium futures on the Multi Commodity Exchange (MCX) has been on the rise since the final week of February. Back then, it bounced off the support at ₹198. For the past few sessions, the contract has been moving around ₹203; it closed at ₹203.2 on Monday. The 50-day moving average now lies at around ₹204, which is resisting the bulls.

The Current Account Deficit (CAD) for October-December quarter (Q3) of current fiscal 2023-24 is expected to have surged to 1.2 per cent of GDP (Gross Domestic Products), India Ratings & Research (Ind-Ra) estimated on Tuesday. One reason could be a fall in exports, while imports have not seen a sharp fall. 

Jubilant Ingrevia Ltd has partnered with O2 Renewable Energy XVIII Pvt Ltd (‘O2 Renewable’, a group company of O2 Power SG PTE. LTD, Singapore.

Jubilant Ingrevia stock trades at ₹443.20 on the BSE, down by 2.81%.

Lighthouse Portfolio

March 12, 2024, Mumbai: ASK Investment Managers (“ASK”) announced the launch of ASK Lighthouse Portfolio. This is ASK’s first satellite Portfolio Management Services (PMS) Investment Approach. This approach will predominantly invest in few focused themes or sectors at a time, where

structural transformation is underway, to capture the high-growth phase of sectors which present 

deep and large opportunities to investors. There is potential for dynamism over time, meaning flexibility to change the themes, keeping the broad investment philosophy intact. Themes may be conceived on a top-down or bottom-up basis, while selection of the businesses would be on a bottom-up basis. The benchmark for this product will be BSE 500-TRI. This portfolio is suitable for UHNIs (Ultra High Net Worth Individuals), HNIs (High Net Worth Individuals), Family Offices, Corporate Treasuries, and Private Family Trusts that are looking for diversification solutions for their portfolio. 

Sunil Rohokale, MD & CEO, ASK Asset & Wealth Management Group said, “As we continue to lead with differentiated offerings, we’re capitalizing on the robust growth of the PMS and AIF market. The PMS industry has nearly doubled in the past 5 years, rising from around INR 2.5 lakh crore to approximately INR 4.9 lakh crore. These trends align with India’s projected growth as an approximately $8 trillion economy in the next 8-9 years, and an expected four-fold increase in upper-income households to reach approximately 2.5 crore households from current ~60 lakh households. Our strategic expansion into Tier II and Tier III cities further exemplifies our commitment to growth and development of the industry.” 

Tata Power Solar Systems Ltd, a wholly-owned subsidiary of Tata Power Renewable Energy Ltd (TPREL), has commissioned the solar and battery energy storage systems project that comprises a 100 MW Solar PV Project coupled with 120 MWh utility scale battery energy storage system, at Rajnandgaon, Chhattisgarh.

Tata Power stock trades at ₹401.60 on the NSE, down by 2.80%.

Star Cement said commercial production has started at the newly set up 2 MTPA cement grinding unit of its subsidiary Star Cement North East Ltd.

Star Cement stock declines 2.65% on the BSE, trading at ₹198.50.

All sectoral indices trade in red, except Nifty IT trading at 37,240.10, up by 0.68%. Nifty realty, meda, PSU Bank stocks were hit heavily.

Allcargo Terminals’ CFS volumes for February 2024 stood at 50.5 ‘000 TEUs, recording an increase of 11% as compared to February 2023. ATL stock trades at ₹56.30 on the NSE, down by 4.74%.

Major gainers: HDFC Bank (2.02%), Eicher Motors (1.56%), TCS (1.52%), Infosys (1.13%), LTIMindtree (1.02%)

Major losers: Cipla (-2.52%), Adani Enterprises (-2.11%), ITC(-1.77%), Bajaj Auto (-1.55%), Tata Motors (-1.51%)

While 608 stocks advanced on the BSE at 12 noon on March 12, 2024, 3,129 declined; 106 stocks remain unchanged. Total stocks traded were 3,843. The number of stocks that recorded a 52-week high was 103, and those that hit a 52-week low was 142.

Zydus Lifesciences has received a Demand Order-In-Original for the financial year 2018-19 on the issue pertaining to excess claim of Input Tax Credit (ITC) and shortfall in liability.

The Company intends to challenge the order by filing an appeal against the said order. 

Shares decline by 1.11% on the NSE, trading at ₹983.45.

L&T Finance Holdings has received an order from the Additional Commissioner of State Tax (Appeal), Bihar, for imposing penalty of ₹12,596 under Section 73 of the Central Goods and Services Tax Act, 2017. 

Shares trade at ₹155.55 on the NSE, down by 1.27%.

Puravankara Ltd has issued a corporate guarantee on behalf of its wholly-owned subsidiary T-Hills Private Ltd), in favour of IDBI Trusteeship Services Ltd for up to 100% of the maturity value of the unlisted and guaranteed commercial papers being issued by T-Hills aggregating to ₹280 crore.

Puravankara stock declined 4.40% on the NSE, trading at ₹212.05.

The automotive sector experienced significant growth in February 2024, with a high-teens YoY volume increase in the domestic market. This growth was driven by a low base effect and strong performance in the 2W and PV segments, though partially offset by declines in tractors and commercial vehicles (CVs). 2W OEMs registered ~24% YoY growth, while PV OEMs grew by ~15%. 3W OEMs saw a growth of ~16%, whereas tractor and CV segments witnessed YoY declines of 18% and ~1%, respectively. The low base effect likely contributed to the faster pace of wholesale growth for 2Ws. Exports of two-wheelers grew strongly during the month.

Nifty bank stocks decline by 0.10% to trade at 47,278.65. Major losers include: PNB (-2.02%), Bank of Baroda (-1.64%), SBI(-1.40%), Bandhan Bank (-1.09%), IDFC First Bank (-1.06%)

Aurionpro Solutions Ltd receives order from State Bank of India (SBI), for license, implementation and support of iCashpro+, the cash management and transaction banking platform. Contract valued at close to ₹100 crore, includes license and implementation, to be delivered in phases over 12 months, followed by maintenance and support for 6 years.

Aurionpro Solutions stock trades at ₹2,009.95 on the NSE, down by 3.06%. Meanwhile, SBI shares trade at ₹762.05, down by 1.51%.

Azad Engineering Ltd has signed a 5-year strategic supply agreement (SSA) with Baker Hughes Oilfield Operations LLC, USA, to supply medium-high complex precision machined components for oil field services.

Azad Engineering stock declines 1.45% on the NSE, trading at ₹1,283.95.

DroneAcharya Aerial Innovations Ltd has been awarded a service order from Adani to provide DGCA certified drone pilot training. Droneacharya stock trades at ₹149.40 on the BSE, down by 1.61%.

RIR Power Electronics has received in-principal approval from BSE for issue of up to 10,00,000 warrants convertible into equity shares of ₹10 each to be issued at a price of ₹855 to non-promoter allottees on a preferential basis. 

Shares decline by 3.16% on the BSE, trading at ₹869.95.

Arihant Foundations & Housing Ltd, through its subsidiary Verge Realty Private Ltd, has secured a contract from Equitas Small Finance Bank for the development of its corporate headquarters at Anna Salai, Chennai.

Major gainers: Linde India (6.40%), Indiabulls (4.50%), India Mart (4.25%), AB Capital (4.12%), HEG (3.92%)

Major losers: Swan Energy (-14.73%), Paisalo (-7.50%), Kfin Tech (-6.09%), Kaynes (-5.57%), Infibeam Avenues (-5.20%)

Signpost India Limited announced partnership with Switch Mobility Automotive Limited, an integral part of the Hinduja Group. Switch has appointed Signpost as its partner for display of advertisements on its fleet of buses. 

Signpost stock rises by 2.86% on the NSE, trading at ₹424.

Swan Energy (-8.64%), Prestige (-3.48%), Godrej Properties (-2.47%), DLF (-2.43%)

Commenting on the amalgamation plan, analaysts of JM Financial said, “We believe that the scheme would offer key positives which include: a) simplified operations, b) elimination of Holdco discount since ABFL was mandated to be listed by Sep’25 as per NBFC-UL guidelines, and c) absence of separate listing costs of ABFL. This also increases CRAR by ~150bps as such postpones the potential need to raise growth capital versus earlier scenario. Our SOTP-based calculations now suggest a TP of INR 240 valuing: i) ABFL at 2.0x FY25E P/B, ii) housing sub at 2.0x FY25E P/B, iii) life insurance at 1.8x FY25E P/EV, iv) ABSL AMC at 25x FY25E P/E, and v) AB Money at CMP. Maintain BUY.”

Nifty 50 is recovering in its early trades after witnessing a fall on Monday. The index is currently trading at 22,433, up 0.44%. The advance/decline ratio is at 26:24. If the ratio turn-down then that could cap the upside in the Nifty. So, we will have to wait and see if the current bounce is gaining momentum or not.

RK Swamy Limited (RKSL), a prominent integrated marketing services company, witnessed a lackluster debut on the stock exchanges, listing at Rs. 251 per share. This translates to a concerning 13% decline from its issue price of Rs. 288, significantly lower than pre-listing expectations of even a flat listing. The pre-listing grey market premium (GMP) was around Rs. 0 thus this is a weaker-than-anticipated performance.

The muted pre-listing GMP and negative listing indicate a cautious investor approach, possibly due to volatile market conditions or concerns about competition and working capital requirements. This negative listing presents a challenge. Investors are advised to evaluate their risk tolerance before making any decisions.

The board of Manappuram Finance will consider a borrowing plan, at its meeting on March 19, including issuance of redeemable non-convertible debentures, notes, bonds in onshore/offshore market by way of private placement and/or public issue for FY 2024-25.

Manappuram Finance shares trade at ₹171.35 on the BSE, higher by 1.24%

The NSE Nifty was up by 0.38 per cent, or 84.30, to 22,416.95 points, while the BSE Sensex was at 73,917.72, up by 0.57 per cent, or 412.78 points. A total of 3,216 stocks were actively traded; 897 advanced, 2,238 declined, and 81 stocks remained unchanged. At 9.30 am on Tuesday, 51 stocks hit a 52-week high, and 99 stocks hit a 52-week low. Read more

India’s first automobile in-plant railway siding --- built at Hansalpur unit of Maruti Suzuki in Gujarat --- will help the automobile manufacturer transport three lakh “finished car dispatches” by train, thereby helping the company “eliminate 50,000 truck-trips every year”.

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

The dominant near-term trend in the market now is the correction in the broader market, particularly the small caps. The small cap index is 7.8% down from the peak and this correction is likely to continue since the valuations are excessive even now. The regulator SEBI has sent a clear message about the frothy valuations in the small cap segment and, therefore, regulatory actions are likely, going forward. There can be redemptions from small cap funds, adding to the downside. Quality large caps will bounce back after a correction, but small caps are unlikely to bounce back in the near-term. PSE stocks that have run up too much too fast also are likely to face selling pressure.”

USD-INR 

“The USD-INR 26 March futures contract has rebounded from its recent lows. According to the daily technical chart analysis, the pair is currently trading below its moving average trend-line support level of 82.82, with the RSI indicating levels below 40. The MACD is displaying negative divergence, signaling a bearish trend, and the pair has breached its support levels. Based on the daily technical chart, support for the pair is identified at 82.55-82.35, while resistance is noted at 82.94-83.05. Given the current technical setup, it is anticipated that the pair will continue trading below its support level of 82.82, with a projected trading range of 82.35-83.05 for the week ahead.”

Wipro stock trades at ₹515.90 on the NSE, up by 0.26% after the company announced expansion of partnership with Nutanix Inc. and announced the launch of a new Nutanix-focused business unit.

Sectoral indices are trading mixed. While Nifty realty declined by 1.59% to trade at 892.15, Nifty FMCG declined by 1.15% to trade at 53,466.55. Meanwhile, Nifty Bank is up by 0.80% at 47,705.50.

Aditya Birla Capital stock trades at ₹185.75, higher by 3.28%. The board of Aditya Birla Capital Ltd (the Company) and Aditya Birla Finance Ltd, its wholly-owned subsidiary, have approved the scheme of amalgamation of Aditya Birla Finance Ltd with Aditya Birla Capital Ltd.

Major gainers: TCS (2.26%), Tech Mahindra (0.93%), Infosys (0.84%), Wipro (0.60%), HCL Tech (0.56%)

Major losers: ITC (-2.11%), Coal India (-1.48%), NTPC (-1.35%), Hindalco (-1.29%), SBI (-1.18%)

Crude oil futures traded higher on Tuesday morning as the markets are awaiting the release of US inflation data later in the day. At 9.17 am on Tuesday, May Brent oil futures were at $82.47, up by 0.32 per cent, and April crude oil futures on WTI (West Texas Intermediate) were at $78.11, up by 0.23 per cent. March crude oil futures were trading at ₹6467 on the Multi Commodity Exchange (MCX) during the initial hour of trading on Tuesday morning, against the previous close of ₹6443, up by 0.37 per cent, and April futures were trading at ₹6359 against the previous close of ₹6433, up by 0.40 per cent.

Aditya Birla Capital: The board approved the amalgamation of the wholly owned unit Aditya Birla Finance with the company. The merger is subject to the sanction of the National Company Law Tribunal and other necessary approvals from the Reserve Bank of India and other shareholders.

* ITC:* British American Tobacco is preparing to kick off a sale of part of its stake in the company as soon as this week, Bloomberg reported. Amidst this, about 12 million equity shares (0.09% stake) changed hands in a large trade on Monday. It increased its stake in Sproutlife Foods to 44.74% for Rs 50 crore.

* SpiceJet:* Chief Operating Officer Arun Kashyap and Chief CommercialOfficer Shilpa Bhatia has resigned from the airline, PTI reported.

* Rail Vikas Nigam:* The company emerged as the lowest bidder from Central Railway for signalling and telecommunication work for the provision of automatic block signalling on Khapri-Sewagram section of Nagpur Division. It also received a construction order worth Rs 339 crore from Maharashtra Metro Rail Corp.

* Adani Enterprises:* The survey of Dharavi will commence on March 18 from Kamla Raman Nagar to digitally collect data from lakhs of informal tenement residents.

* H.G. Infra Engineering:* The company received a letter of award worth Rs 862.11 crore from the National Highways Authority of India.

* Jupiter Wagons:* The company received an order worth Rs 957 crore from the Ministry of Railways to manufacture and supply 2,237 units of BOSM wagons.

* Mahindra and Mahindra:* The company reported total production at 73,380 units vs. 58,203 units

YoY for the month of February.

* Pitti Engineering:* The company will buy Bagadia Chaitra Industries for an enterprise value of Rs 124.92 crore.

* Wipro:* The IT major has expanded its partnership with Nutanix to launch a new Nutanix-focused business unit.

* Imagicaaworld Entertainment:* The company announced its successful bid to establish a landmark concept at the iconic Sabarmati Riverfront in Ahmedabad for Rs 130 crore.

* Triveni Engineering and Industries:* The company acquired a 25.43% stake in Sir Shadi Lal Enterprises for Rs 35 crore with the objective of expanding its business operations in sugar and alcohol businesses.

* IRB Infrastructure Developers:* The company’s unit, IRB Lalitpur tollway, achieves financial closure for the NH-44 project with Rs 3,500 crore in project finance from the lender.

* HIL:* The board approved a 100% equity acquisition of Crestia Polytech for a total consideration of Rs 160 crore.

New Listings 

R K Swamy: The company’s shares will debut on the stock exchanges on Tuesday at an issue price of Rs 288 apiece. The Rs 423.56-crore IPO was subscribed 25.94 times on its third and final day. Bids were led by institutional investors (34.36 times), retail investors (34.03 times), non-institutional investors (20.58 times), and portion reserved for employees (2.52 times). 

Bharat Highways Infrastructure Investment Trust InvIT: The company’s shares will debut on the stock exchanges on Tuesday at an issue price of Rs 100 apiece. The Rs 2,500-crore IPO was subscribed 8.01 times on its third and final day. Bids were led by institutional investors (8.92 times) and other investors bid for 6.93 times.

IPO Offering 

Gopal Snacks: The public issue was subscribed to 9.02 times on day 3. The bids were led by institutional investors (17.5 times), non-institutional investors (9.5 times), and retail investors (4.01 times). 

Popular Vehicles and Services: The company will offer its shares for bidding on Tuesday. The price band is set from Rs 280 to Rs 295 per share. The Rs 601.55 crore IPO is a combination of a fresh issue and an offer for sale. The company has raised Rs 180 crore from anchor investors.

Bulk Deals 

InterGlobe Aviation: Rakesh Gangwal sold 2.25 crore shares (5.82%) at Rs 3.015.88 apiece, while Morgan Stanley Asia (Singapore) Pte. bought 21 lakh shares (0.54%) at Rs 3.015.1 apiece. 

Tilaknagar Industries: M and S Bottling Company sold 10 lakh shares (0.52%) at Rs 193.22 apiece. 

Dwarkesh Sugar: Goel Anil Kumar sold 14.39 lakh shares (0.76%) at Rs 83.66 apiece.

Insider Trades

Deccan Gold Mines: Promoter Rama Mines Mauritius sold 1.05 lakh shares between March 5 and 7. 

Usha Martin: Promoter Peterhouse Investments India sold 5 lakh shares on March 11. 

Yasho Industries: Promoter Parag Vinod Jhaveri sold 33,393 shares on March 5

Pledge Share Details 

Paisalo Digital: Promoter Equilibrated Venture CFlow, PRI CAF, and Pro FITCCH revoked a pledge of 3.37 lakh shares on March 7.

Trading Tweaks 

Price band changes from 20% to 10%: Sindhu Trade Links. 

Ex/record Rights Issue: IRB Infrastructure Trust. 

Moved into short-term ASM framework: Tata Chemicals. 

Moved out short-term ASM framework: Inox India, Sanghvi Movers, and Shaily Engineering Plastics.

F&O BAN

ABFRL

HINDCOPPER

MANAPPURAM

MGL

SAIL

TATACHEM

ZEEL

Indian benchmark indices, the Sensex and Nifty, began Tuesday’s session on a higher note, tracking gains in broader Asian markets, as investors awaited key inflation data from both India and the US.

The 30-share BSE Sensex rose by 53.94 points to 73,556.58 in early trading, while the NSE Nifty climbed 15.75 points to 22,348.40.

Asian markets opened higher, with the MSCI Asia ex-Japan index up by 0.23%. Most Wall Street stocks had declined overnight ahead of the release of US consumer price index (CPI) data, scheduled after the closing bell.

The CPI is expected to show a 0.4% rise in February, which could significantly impact the Federal Reserve’s future rate decisions.

Although a rate cut is unlikely at the Fed’s upcoming policy meeting on March 20, there is a 55.2% probability of a 25 basis points cut in June, according to CME’s FedWatch Tool.

Investors are also awaiting India’s CPI data, which is anticipated to have declined to a four-month low in February, primarily due to easing food prices, according to a Reuters poll.

On Monday, both the Nifty 50 and BSE Sensex fell by 0.7%, influenced by losses in banking and Tata Group stocks, as well as profit-taking near record high levels.

Small-cap stocks performed weaker than blue-chip stocks, dropping by 2%, with concerns raised by the markets regulator about excessive speculation in these segments.

Foreign portfolio investors and domestic institutional investors were net buyers of Indian equities on Monday, acquiring shares worth Rs 4,213 crore (~$509 million) and Rs 3,238 crore, respectively.

Deven Mehata Research Analyst Choice Broking

The benchmark Sensex and Nifty indices are likely to open on a positive note on March 12 as trends in the GIFT Nifty indicate a firm start for the broader index with a gain of 26.50 points.

Nifty can find support at 22,250 followed by 22,200 and 22,100. On the higher side, 22,400 can be an immediate resistance, followed by 22,450 and 22,500.

The charts of Bank Nifty indicate that it may get support at 47,100, followed by 47,000 and 46,900. If the index advances, 47,500 would be the initial key resistance, followed by 47,700 and 47,800.

Foreign institutional investors (FIIs) net bought shares worth Rs 4,212.76 crore, while domestic institutional investors (DIIs) purchased Rs 3,238.39 crore worth of stocks on March 11, provisional data from the NSE showed.

INDIAVIX was positive by 2.81 percent and is currently trading at 13.9950.

Yesterday witnessed a sharp market decline, with Nifty closing near its daily low after a sudden sell-off from higher levels. Traders are strongly advised to exercise caution and trade with a strict adherence to stop-loss levels. In the event of Nifty experiencing a further decline towards the robust support zone of 22000, investors may consider this as an opportune moment for fresh medium to long-term investments.

MS on Gas Sector

Expect gas market oversupply to reach multi-decade highs over coming yrs

It will inflect demand esp. in India & Southeast Asia & save $10bn in energy costs through 2030 with energy consumption rewiring back in favour of gas for region.

Gas accelerates renewable adoption and also partly solves policymaker trilemma of supporting AI adoption and decarbonisation at affordable prices.

GAIL – OW, TP Raised to Rs 213.

HSBC on Adani Ports

Buy, TP Raised to Rs 1560 from Rs 1370

Robust throughput growth continued in Feb 2024, implying co on track to beat its 400MMT target for FY24

Raise EBITDA forecasts by 1-4% for FY24-26e

Expect a 19% CAGR in EBITDA in FY23-26e & ROIC to rise to 16% in FY26e.

MOSL on Adani Ports

Buy, TP raised Rs 1600

Well positioned to surpass revised guidance of FY24

Logistics business continues to do well, with YTD rail volume up 21% YoY in FY24

Increase vol est. by 2-3% for FY24-26 & target multiple to 17x EV/EBITDA (earlier 16x)

Jefferies on AB Capital

Buy, TP Raised to Rs 225

AB Cap proposes to merge its wholly owned NBFC subsidiary, ABFL with itself, subject to regulatory approvals

If approved, scheme will simplify

1) corp. structure;

2) resolve issue of mandatory listing of ABFL 

3) lift CRAR by 150bps

MS on AB Capital

EW, TP Rs 196

ABCL, a non-operating holdco, announced a reverse merger of its NBFC subsidiary with itself

Tangible economic benefit is not material

However, can lower holdco disc if NBFC were to list by Sep-25

RBI approval is key

HSBC on Zomato

Buy, TP raised to Rs 200

Advt. rev will remain cornerstone of quickcommerce (Blinkit) biz in long term

Expect digital spend share to increase in India &, within that, platforms to gain share thereby helping Blinkit

Expect Blinkit ad rev to be c3% of total digital ad-spend of India in 5 years, which is around 5% EBITDA margins

Jefferies on IndiaMart

Buy, TP Rs 3400

Post-Initiation Investor Feeback

Investors indicate concerns around execution challenges, slowing subscriber additions, and SaaS investments.

However, investors agreed with Indiamart’s structural growth potential & moats

Expect paid subs additions to pick up from 3k/quarter in FY24E to 6k/ quarter in FY25E, which should support valuations

Expect Indiamart to deliver strong 19%/25% rev/EPS Cagr over FY24-26E

Kotak Inst Eqt on Tata Chem

Sell, TP Rs 780

Recent news reports that Tata Sons is evaluating options to avoid an IPO should deflate speculation around value-unlocking

Continue to expect EPS to fall by about 2/3 over FY2023-25E amid falling margins on soda ash

Jefferies on India Mart: Maintain Buy on Company, target price at Rs 3400/sh (Positive) 

Jefferies on AB Capital: Maintain Buy on Company, raise target price at Rs 225/sh (Positive) 

BofA on AB Capital: Maintain Buy on Company, target price at Rs 214/sh (Positive) 

MS on GAIL: Maintain Overweight on Company, raise target price at Rs 213/sh (Positive) 

MOSL on Adani Ports: Maintain Buy on Company, target price at Rs 1600/sh (Positive) 

HSBC on Adani Ports: Maintain Buy on Company, raise target price at Rs 1560/sh (Positive) 

HSBC on Zomato: Maintain Buy on Company, target price at Rs 200/sh (Positive) 

Citi on GAIL: Maintain Buy on Company, target price at Rs 200/sh (Positive) 

MOSL on GAIL: Maintain Buy on Company, target price at Rs 215/sh (Positive) 

Macquarie on Asian Paints: Maintain Outperform on Company, target price at Rs 4000/sh (Positive) 

Jefferies on Power utilities and capital goods: “Industrial/Power stocks have rallied in the last 1-3 years”. L&T, Power Grid and NTPC are further re-rating case (Positive) 

Citi on HDFC AMC: Maintain Sell on Company, target price at Rs 2350/sh (Neutral) 

JP Morgan on Westlife: Maintain Overweight on Company, cut target price at Rs 905/sh (Neutral) 

MS on AB Capital: Maintain Equal weight on Company, target price at Rs 196/sh (Neutral) 

Macquarie on Kansai: Maintain Neutral on Company, cut target price at Rs 320/sh (Neutral) 

Macquarie on Berger: Maintain Neutral on Company, cut target price at Rs 490/sh (Neutral)

Units of Bharat Highways InvIT will be listed on the bourses today. Bharat Highways InvIT is an infrastructure investment trust established to acquire, manage, and invest in a portfolio of infrastructure assets in India and carry on the activities of an infrastructure investment trust under SEBI’s InvIT rule.

Shares of Chennai-based integrated marketing services firm RK Swamy will be listed on the bourses today. The IPO has received an overwhelming response from investors. The ₹423.56-crore IPO received 25.94 times subscription securing bids for 21,35,31,650 shares against 82,32,946 shares on offer. Read more

The ANDA (Abbreviated New Drug Application) filing data suggests a moderation in the rate of ANDA filings as companies focus on select high value filings. The number of ANDA filings over Oct-23 to Jan-24 stood at 233 compared to 260 filed in the year ago period. Of these, complex filings were at 21% vs 15% last year. Furthermore, the rate of ANDA withdrawals has come down over the past 16 months from the high base in FY18-22, indicating that the portfolio rationalisation by companies is largely complete. During Oct-23 to Jan-24, the rate of final ANDA approvals at 217 was slightly lower than 226 recorded in the year ago period with ~17% first-cycle approvals, largely in line with the trend in the recent past.

Domestic markets are set to open higher on Tuesday, tracking gains in broader Asian peers, while investors await the domestic and US inflation prints.

The GIFT Nifty was trading at 22,452 as of 0752 a.m. IST, indicating that the Nifty 50 will open above Monday’s close of 22,332.65. Read more

Silver prices were steady as investors took a wait-and-see stance ahead of the US inflation report tomorrow. The reading is expected to provide additional information on the probable timing of the Fed’s monetary easing effort. Previously, the jobs report confirmed expectations for the first Fed rate cut in June. The February payrolls total exceeded expectations, but job increases in January and December were revised slightly lower, and the unemployment rate climbed to a two-year high, signalling a softening labour market. Fed Chair Powell and numerous ECB members also suggested that rate cuts would likely begin in 2024, offering support to non-yielding assets.

Key economic data slated for release includes German Final CPI m/m from Euro Zone and Core CPI m/m, CPI m/m, CPI y/y from US Zone.

Gold traded flat as traders waited for US inflation data, which could shed further light on the Federal Reserve’s interest rate trajectory. The February payrolls total exceeded expectations, but job increases in January and December were drastically revised lower, the unemployment rate unexpectedly rose, and wage growth slowed significantly more than expected. COMEX gold speculators increased their net long positions by 63,018 contracts to 131,060 in the week ending March 5, indicating optimistic optimism. Central bank purchases have also been supportive of gold. According to the CME FedWatch tool, traders are pricing in a more than 70% possibility of interest rate cuts by June.

Key economic data slated for release includes German Final CPI m/m from Euro Zone and Core CPI m/m, CPI m/m, CPI y/y from US Zone.

ICICI Lombard: Gross Direct Premium up 38.6%, April-February market share up 35 bps 

Auro Pharma: Company says acceptance of compliance with WHO GMP by who prequalification unit inspection services team

Pitti Engineering: Company signs definitive agreement to acquire Bagadia Chaitra Industries at ₹124.92 crore 

Astrazeneca Pharma: Company and mankind pharma partner to accelerate access to asthma medicine for patients in India

Venus Remedies: Company secured good manufacturing practices approval from UNICEF. 

Wipro: Company expands partnership with Nutanix to launch new Nutanix business unit

RVNL: Company emerges lowest bidder for Maharashtra Metro Project worth ₹339.23 crore 

Vardhman Poly: Board meeting on March 28 to consider and approve sub-division/ split of shares 

Suven Pharma: Company has announced a proposed merger with Cohance life sciences 

HG Infra: Company gets letter of intent worth Rs 862 crore from NHAI for project in Andhra Pradesh 

JWL: Company gets order worth Rs 957 crore from the Ministry Of Railways for manufacturing and supply of BOSM Wagons

HIL: Company has signed an agreement with Crestia Polytech for the acquisition of Topline at an enterprise value of ₹265 crore. 

ITC: British American Tobacco (BAT) is planning to sell up to $2-3 billion of ITC in block trades this week. 

ITC: Company acquires share of Sproutlife Foods for Rs 50 cr 

AB Capital: Company approved scheme of amalgamation of unit aditya birla finance with co. 

Canara Bank: Revises one year MCLR to 8.9% from 8.85%. 

Info Edge: IT & BPO hiring trends down YoY & but decline less than Jan 2024 

PFC: Board declares third interim dividend of Rs 3/share.

ESAF Small: The board approved the proposal to raise funds upto Rs 135 crore by Bonds. 

M&M: February production up 26.1% at 73,380 units vs 58,203 units

Adani Ent: Subsidiary will begin the survey to collect data from lakhs of informal tenement residents of dharavi to determine eligibility criteria on 18 Mar 2024

KEI Industries: Board approves interim dividend of Rs 3.5/share

Star Health: Company’s revenue grows 19% year-on-year in February. 

NIACL: Company’s revenue grows 4% year-on-year in February.

KFin Tech: Kotak Bank to sell 2% stake in co via block deals, Kotak Bank looking to sell upto 34.7 lac shares worth Rs 218 crs 

Indigo: Rakesh Gangwal pares stake in company for Rs 6,785 crore through open market transactions.

Arunjyoti Bio Ventures Ltd

Right Issue of Equity Shares

Ex-date : 12 Mar 2024

Canopy Finance Ltd

Amalgamation

Ex-date : 15 Mar 2024

GUJARAT AMBUJA EXPORTS LTD

Bonus issue 1:1

Ex-date : 15 Mar 2024

M. K. Proteins Ltd

Bonus issue 2:1

Ex-date : 15 Mar 2024

Waaree Renewable Technologies Ltd

Stock Split From Rs.10/- to Rs.2/-

Ex-date : 15 Mar 2024

Colab Cloud Platforms Ltd

Bonus issue 1:1

Stock Split From Rs.10/- to Rs.2/-

Ex-date : 19 Mar 2024

Kesar India Ltd

Bonus issue 6:1

Ex-date : 19 Mar 2024

Rama Steel Tubes Ltd

Bonus issue 2:1

Ex-date : 19 Mar 2024

Mishtann Foods Ltd

Right Issue of Equity Shares

Ex-date : 20 Mar 2024

Paisalo Digital Ltd

Bonus issue 1:1

Ex-date : 20 Mar 2024

Refex Industries Limited

Stock Split From Rs.10/- to Rs.2/-

Ex-date : 22 Mar 2024

Garware Technical Fibres Ltd

Buy Back of Shares

Ex-date : 26 Mar 2024

UNITED VAN DER HORST LTD

Stock Split From Rs.10/- to Rs.5/-

Ex-date : 26 Mar 2024

Emkay Global Research

TARGET PRICE (Rs) : 145

We recently visited GAIL’s Vijaipur site – the company’s central region hub. Major pipeline networks like HVJ-DVPL pass through it, while originating lines include GREP, VDPL, NFL and VAPL. The Complex houses compressor stations, 2 LPG production plants and a C2-C3 recovery plant (liquid feed goes to Pata via HVJ); new units like green H₂ (to commission in May-24) as well as small-scale LNG (ssLNG; already started) have also been set up. GAIL is expanding its C2-C3/LHC capacity by 192/100tpd. Mgmt stated that rich gas supplies are getting tighter, hence GAIL may look at ethane sourcing from USA for Pata via VLECs, imported through various terminals. The ADNOC LNG contracted is, however, rich. Vijaipur’s ongoing net-zero initiatives include conversion of gas turbines to electric, 5% H₂ blending at C2-C3, and control of fugitive emissions.

Flat steel prices continue to remain under pressure;

Tier-I mills may roll over prices for Mar’24 deliveries

 Domestic prices for long steel on the IF route, which accounts for around

65-70% of the overall long steel market, witnessed a price improvement of

INR600/t WoW to INR49,500/t. This increase was driven by higher demand

and rising raw material costs.

 In line with the improvement observed in IF route long steel prices, prices in

for primary rebar the project segment appear to have bottomed out, with

an increase of INR200/t WoW to INR51,800/t.

 We believe, multiple public holidays in Mar-Apr’24 along with the financial

year-end liquidity crunch and slowdown in the project segment will keep

the overall demand for long steel under pressure with only need-based

buying.

 Flat steel prices continue to remain under pressure with prices further

declining INR400/t WoW at INR52,700/t. Considering the subdued demand,

higher imports and narrow spreads between flat-long steel prices, Tier-I

mills are expected to roll over the list prices for Mar’24 deliveries.

 Higher imports continue to post near-term challenges for domestic mills

with HRC and plates import in Feb’24 at 0.64mt (up 40% MoM) and imports

in Mar’24 already crossing 0.2mt.

 Indian mills’ offerings to the export market have remained subdued due to

stiff competition from producers in China and Vietnam.

Motilal Oswal

CMP: INR911 TP: INR850 (-7%) Neutral

Poised for a healthy performance in the near term…

…but valuations already factor in growth and a strong price CAGR

Launch pipeline provides good visibility

 During 9MFY24, DLF achieved bookings of INR133b, surpassing the company’s

full-year guidance of INR130b. The company has largely exhausted the new

project pipeline for the current year, and the performance in the fourth

quarter will be driven by INR44b worth of inventory at the existing projects.

Hence, we expect bookings to remain flat in FY24 at INR155b.

Motilal Oswal Financial

- APSEZ clocked a cargo volume of 382 MMT in 11 months of FY24, recording 24% YoY growth on YTD basis. With a monthly cargo run rate of ~35 MMT (APSEZ handled 35.4 MMT of cargo in Feb’24), we expect APSEZ to surpass even its revised cargo volume guidance of 400 MMT during FY24. The logistics business continues to do well, with YTD rail volume up 21% YoY in FY24.

- APSEZ is well on track to cross its revised cargo volume guidance of 400 MMT during FY24. It continues to gain market share while generating strong cash flows and maintaining its leverage position, with a net debt-to-EBITDA ratio of 2.5x as of Dec’23. We increase our volume estimates by 2-3% for FY24-26.

- Over FY24-26, we expect APSEZ to register 10% volume growth and a CAGR of 15%/16%/18% in revenue/EBITDA/PAT. With consistent outperformance in cargo volumes, we increase the target multiple to 17x EV/EBITDA (earlier 16x) and reiterate our BUY rating with a revised TP of INR1,600

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

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Researchbytes Events Update

As of 08:02 AM Tuesday 12 March 2024

Can set alert for them at www.researchbytes.com 

3:30 PM Jubilant Food

Dial: 02262801818

Entero Health : (replay)

https://www.researchbytes.com/webcast.aspx?WID=297426

MPS : (replay)

https://www.researchbytes.com/webcast.aspx?WID=297329

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https://www.researchbytes.com/webcast.aspx?WID=297233

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Results today …

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Fitch Ratings has affirmed India-based Adani Energy Solutions Limited’s (AESL, formerly known as Adani Transmission Limited) Long-Term Foreign- and Local-Currency Issuer Default Ratings (IDRs) at ‘BBB-’ with a Stable Outlook. Fitch has also affirmed the AESL-guaranteed 4.0% USD500 million senior secured notes due 2026 and 4.25% USD500 million senior secured notes due 2036 at ‘BBB-’. The notes were issued by AESL’s subsidiary, Adani Transmission Step-One Limited

[7:55 am, 12/03/2024] KS BadriNarayanan: Dhanaraj T has taken charge as the Executive Director of Indian Overseas Bank for a three-year term, effective March 10. Prior to this role, he served as the Chief General Manager at Indian Bank and commenced his career as a Rural Development Officer in 1994.

Dhanaraj holds an Agricultural Engineering Degree from Tamil Nadu Agricultural University, accompanied by additional qualifications such as CAlIB and completion of a ‘Leadership Development Program’ for PSU bank leaders conducted by IIM-Bangalore. Moreover, he has undertaken an ‘Executive program in HR Analytics’ (EPHRA) from IIM, Lucknow.

Nifty March futures down 0.66% at a premium of 88.7 points. OI down by 4.3%.

Nifty Bank March futures down by 1.05% at a premium of 162 points. OI down by 1.7%.

Nifty Options March 14 Expiry: Maximum Call OI at 23,000 and Maximum Put OI at 21,500.

Bank Nifty Options March 13 Expiry: Maximum Call OI at 48,000 and Maximum Put OI at 45,500.

ABFRL

HINDCOPPER

MANAPPURAM

MGL

SAIL

TATACHEM

ZEEL

Archer-Daniels-Midland Company (Pre market) (Sector- FMCG)

On Holding AG (Pre market) (Sector- Textile)

International Game Technology (Pre market) (Sector- Entertainment)

12:30 U.K. Claimant Count Change (Expected: 20.3k versus Previous: 14.1K)

17.30 INDIA Industrial Production y/y (Expected: 4.1% versus Previous: 3.8%)

17.30 INDIA Inflation Rate y/y (Expected: 5.02% versus Previous: 5.10%)

18.00 U.S. CPI y/y (Expected: 0.3% versus Previous: 0.4%)

Today’s Stock Recommendation: March 12, 2024

The outlook is bullish for APL Apollo Tubes. The stock has been in a strong uptrend since mid-February this year. The rise over the las two trading days has taken the share price well above the 100-Day Moving Average resistance at ₹1,555. Read more

Pitti Engineering has signed an agreement to acquire Bagadia Chaitra Industries for an enterprise value of ₹125 crore. As part of the overall consideration, PEL will infuse up to ₹40 crore as funding into BCIPL, on Closing Date, to repay the existing debt in BCIPL.