Stocks To Watch: KEC International, Laurus Labs, L&T, Suzlon

The Singapore traded SGX Nifty, an early indicator of Nifty’s performance in India, gained 0.4 percent to 9,486.

Here are some of the stocks to watch out for in today’s session:

Defence Policy

• Defence Acquisition Council finalizes plan for private companies to invest in defence manufacturing
• Plan to create strategic partnership in four segments - platform, weapons, network and critical material
• Initial implementation for fighter aircrafts, submarines and armoured vehicles

Index Rejig

• S&P BSE Sensex to have 31 companies from June 19
• Kotak Mahindra Bank, Tata Motors DVR to be part of the Sensex
• GAIL (India) has been excluded from the index

KEC International (PTI)

• Bags new orders worth Rs 945 crore
• Transmission and distribution business won orders worth Rs 560 crore
• Civil business won orders worth Rs 227 crore
• Cable business secured various supply orders worth Rs 158 crore

Endurance Technologies

• Completes acquisition of a leasehold plot of land measuring about 7.4 acre in Halol Industrial Estate of Gujarat Industrial Development Corporation
• To set up a plant to manufacture forks and shock absorbers on the acquired plot
• Plant to cater to the requirements of one of its leading OEM customers in Halol
• Plans to commence manufacturing during the last quarter of the current financial year

Zuari Agro Chem

• Board of Directors approve the integrated revamp of Ammonia-Urea plants at a cost of Rs 1,300 crore
• Urea capacity will now increase to 1,800 metric tons per day and Energy per tonne of Urea will be 5.39 Gigacalorine from 6.67 Gigacalorine

Gokaldas Exports

• Board approves small strategic investment in Yepme U.K. subject to regulatory approvals
• Investment expected to provide exposure to digital sales channels, fast fashion designs and procurement

Neuland Labs

• Enters into Joint Development Agreement with Phoenix Embassy Techno Zone Pvt. Ltd.
• Agreement to develop the land owned by the company at Nanakramguda
• Also entered into a Supplementary Development Agreement with the developer to define, identify, demarcate, allot and allocate leasable or saleable area

• Mahindra & Mahindra: To invest in subsidiaries for high-end electric powertrain technology and electrification of some projects
• Laurus Labs: U.S. FDA completed inspection of Unit 2 of its API Facility without any 483 observations
• Bajaj Finance: Issue NCDs worth Rs 250 crore on Private Placement Basis
• Mahindra Holidays & Resorts: Announces bonus share in the ratio of 1:2 subject to shareholder approval
• IFCI: As part of divesting its non-core assets, the board has approved divesting its entire stake in TFCI comprising of 2.1 crore shares or 26.09 percent stake
• Suzlon: To issue securities worth Rs 2,000 crore, subject to shareholder approval
• Goa Carbon: Resumed operations at its Goa unit from May 18
• Bhushan Steel: Won auction for Iron Ore mine in Kalmong West Block in Sundergarh district of West Bengal. The mine has reserves of 92 million tonnes
• Ujjivan Financial Services: Cinnamon Capital Ltd. buys 27.5 lakh shares or 2.3 percent stake at Rs 360 each
• Sangam India: Albula Investment Fund bought 5.5 lakh shares or 1.4 percent stake at Rs 260 each

Today’s Nifty Quote

Brokerage Calls

• Bajaj Auto: Raised to ‘Outperform’ at LKP Shares & Securities
• JK Lakshmi Cement: Cut to ‘Hold’ at Anand Rathi Securities
• JK Tyre: Cut to ‘Reduce’ at Quantum Securities with price target of Rs 211
• Jyothy Lab: Raised to ‘Buy’ at Reliance Securities with price target of Rs 431
• KEC International: Raised to ‘Buy’ at Sharekhan with price target of Rs 290
• Minda Industries: Cut to ‘Hold’ at Sunidhi Securities & Finance

Stocks In F&O Ban

• Bharat Financial Inclusion
• Capital First
• CEAT
• CESC
• HDIL
• IDBI Bank
• Infibeam Incorporation
• Jindal Steel and Power
• Jain Irrigation
• JP Associates
• JSW Energy
• Oriental Bank of Commerce
• TV 18 Broadcast

Media Reports

• Future Group: AION in talks to buy into Future Group's holding company with an infusion plan of $125-150 million. (Economic Times)
• Motherson Sumi: Lines up capex worth Rs 2,000 crore for nine new plants in FY18. (Economic Times)
• Fortis Healthcare: IHH leads the race to acquire the healthcare operations from SIngh brothers. TPG-GA also looks for a stake in assets including Fortis Healthcare and SRL Diagnostics. (Economic Times)
• United Bank of India: RBI likely to impose curbs on branch expansion, analysts say. (Economic Times)
• Shree Cement: Plans expansion in the eastern part of the country. (Business Standard)
• Adani Enterprises: To make final investment decision on Carmichael on May 29. (Bloomberg)
• Gufic Biosciences: SBI Mutual Fund buys more than 5 percent of total equity. (Bloomberg)
• Consumer Durable Firms: Expect sales drop in July-August on account of GST. (PTI)

Earnings Reaction To Watch

VRL Logistics (Q4, YoY)

• Net profit down 30 percent to Rs 8.4 crore
• EBITDA down 14 percent to Rs 41.75 crore
• EBITDA Margin down to 9.4 percent from 11.7 percent

Mahindra Holidays & Resorts (Q4, YoY)

• Net profit up 4.5 percent to Rs 31.8 crore
• EBITDA flat at Rs 59.16 crore
• EBITDA Margin down to 19 percent from 24 percent

Globus Spirits (Q4, YoY)

• Net profit down 86.6 percent to Rs 60 lakh
• EBITDA down 23 percent to Rs 81.6 crore
• EBITDA Margin down to 38.7 percent from 55.5 percent

Suzlon (Q4, YoY)

• Net profit of Rs 579 crore from loss of Rs 333.9 crore
• EBITDA up 185 percent to Rs 1,032.8 crore
• EBITDA Margins up to 21 percent from 11 percent

Rashtriya Chemicals and Fertilizers (Q4, YoY)

• Net profit up 36 percent to Rs 55.1 crore
• EBITDA up 7 percent to Rs 109.3 crore
• EBITDA Margin down to 49 percent from 51 percent

Titagarh Wagons (Q4, YoY)

• Net profit of Rs 12 crore from loss of Rs 7 crore
• EBITDA up 79 percent to Rs 35.8 crore
• EBITDA Margin down to 5 percent from 6 percent

V-Guard Industries (Q4, YoY)

• Net profit flat at Rs 41.85 crore
• EBITDA up 2 percent at Rs 69.2 crore
• EBITDA Margin down to 11 percent from 13 percent

Earnings To Watch Today

Bank Of India Q4FY17 (Bloomberg Estimates, YoY)

• Net Interest Income seen 3.3 percent higher at Rs 3,082 crore
• Net loss seen narrowing to Rs 45.9 crore from a loss of Rs 3,587 crore

GAIL (India) Q4FY17 (Bloomberg Estimates, YoY)

• Net profit seen 45.15 percent higher at Rs 1,117.65 crore
• EBITDA Margin seen at 14.37 percent
• EBITDA seen 55.35 percent higher at Rs 1,901.09 crore

Engineers India Q4FY17 (Bloomberg Estimates, YoY)

• Net profit seen 32.63 percent higher at Rs 92.74 crore
• EBITDA seen 80.68 percent higher at Rs 71.19 crore
• EBITDA Margin seen at 19.93 percent