Stocks Radar: Eicher Motors, Emami, Hindustan Petroleum, Marico
The S&P BSE Sensex and NSE Nifty 50 hit record highs in opening trade, led by Yes Bank and metal stocks. The Sensex gained as much as 0.4 percent to 39,225 and the Nifty advanced nearly 0.25 percent to 11,743.15, as of 9:45 am.
The market breadth was tilted in favour of buyers. Eight of the 11 sectoral gauges compiled by the National Stock Exchange rose, led by a 0.91 percent advance in the NSE Nifty Realty Index. The NSE Nifty Media Index was the top sectoral loser, down 0.60 percent.
Here Are The Stocks Moving The Markets This Morning:
Marico Surges After Q4 Outlook
Shares of the world’s largest coconut oil maker rose nearly 4 percent, the most in three weeks, to Rs 360 per share.
Marico said that during the fourth quarter they have witnessed stable demand conditions and healthy offtake growth on the back of the competitive strength of franchise, according to its exchange fling.
Value-added hair oils had a weak quarter and domestic business delivered volume growth in line with near-term outlook, the filing said. The company also expects its operating margin to improve moderately as pressure from input costs eased and operating leverage benefits kicked in. (More details here)
The trading volume was 13 times the 20-day average for this time of the day, Bloomberg data showed.
Wipro Declines After Update On Divestment Plan
Shares of the IT firm pared opening gains and fell as much as 1.3 percent to Rs 258.20 apiece.
Wipro completed the divestment of its workday and cornerstone-on-demand business to Alright Solutions in all markets except Portugal, France and Sweden, according to its exchange notification. The company said it received $95.27 million out of the total $100 million and impact of this divestment will be reflected in the March quarter results.
The stock gained 22 percent in the past 12 months compared with an 18 percent gain in the Sensex.
Emami Rises After Winning Legal Battle Against HUL
Shares of the consumer goods manufacturer rose for the fourth session in a row and gained 1.6 percent to Rs 416.40 per share.
Emami won case against HUL for the third time in the last one year on unfair disparagement. Delhi High Court rejected HUL’s plea who claimed Fair and Handsome’s TV commercial to be disparaging to its own brand—Fair & Lovely. The court upheld the right of Fair and Handsome to run the advertisement that shows how women’s fairness creams aren't designed for use on men’s tough skin.
Twenty two of the 32 analysts tracked by Bloomberg had a ‘Buy’ rating on the stock, while eight had recommended ‘Hold’ and two had a ‘Sell’ rating.
Oil Marketers Fall As Brent Approaches $70/Barrel
Shares of the oil retailers declined after Brent crude extended gains for the fourth straight day after it rose 0.7 percent intraday to $69.87 per barrel.
- BPCL fell over 3 percent intraday to Rs 369.05 apiece.
- HPCL declined 4.2 percent to Rs 262.45 per share.
- Indian Oil fell nearly 2 percent to Rs 155.10 apiece.
Eicher Motors Falls After Nomura Downgrade
Shares of the Royal-Enfield parent declined nearly 1.7 percent to Rs 20,240.20 apiece.
Brokerage firm Nomura downgraded its recommendation on the stock to ‘Reduce’ and also lowered its price target to Rs 18,335 per share, indicating a potential downside of 11 percent from last close.
The stock traded at 24 times the estimated earnings per share for the coming year, according to Bloomberg data.
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