Stocks To Watch: Cipla, Dr. Reddy’s Labs, LT Foods, Shilpi Cable

The Singapore traded SGX Nifty, an early indicator of Nifty’s performance in India, was little changed at 9,499.

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

Index Changes

• Grasim to be excluded from Nifty 50 index
• Vedanta to be Included in the Nifty 50 index

New F&O Additions

• HCC
• Kajaria Ceramics
• NALCO
• RBL Bank
• Ramco Cement
• New changes to be effective from today

• Dr. Reddy's Laboratories: U.S. FDA completes audit of Srikakulam plant with zero observations
• Tata Teleservices: Competition Commission of India approves Tata companies purchasing Tata Tele's stake from Docomo.
• Jubilant Life Sciences: Announces price increase of up to 15 percent for Vitamin B3 (Niacin and Niacinamide) with immediate effect
• Fortis Healthcare: Board approves increase in foreign institutional investor (FII) limit up to 74 percent
• Shilpi Cable: Corporate insolvency resolution process initiated on application filed by Macquarie Bank
• MEP Infra: Approves raising equity funds via various options
• Tata Power: Subsidiary Tata Power Renewable Energy successfully issues guaranteed, unsecured, Non-cumulative, redeemable, taxable, rated non-convertible debentures of Rs 500 crore on private placement basis.

NALCO

• Inks memorandum of understanding with Government of India setting higher target
• Target for revenue from operations set at Rs 8,100 crore

Bharat Forge

• Allotted 1.7 crore shares through subscribed rights issue of Khed Economic Infra Pvt. Ltd.
• Shareholding in Khed Economic Infra increases to 8.54 percent from 5 percent

• Infosys: Enters into a strategic alliance with HP to launch retail POS and Enterprise DaaS solutions
• Maruti Suzuki: To start 15 automobile skill enhancement centres by August 2017
• IDBI Bank: Turnaround strategy planned by bank to take steps to shore up capital

Also Read: Moody’s Flags Off ‘Heightened Risk’ To IDBI Solvency Position As Bank Plans Austerity Measures

• Cipla: GST to take one quarter of growth out of India, CEO says
• IDFC: UTI Mutual Fund sells 99.7 lakh shares at Rs 57.56 each
• Kaveri Seed: Copthall Mauritius Investment buys 4.7 lakh shares at Rs 525.35 each
• Shilpi Cable: Bakul Kalabhai Kabira buys 21 lakh shares at Rs 42.8 each

Today’s Nifty Quote

Brokerage Calls

• Bharat Forge: Cut to 'Accumulate' at KR Choksey with price target of Rs 1,177
• Cipla: Cut to ‘Neutral’ at IDFC Securities with price target of Rs 516
• Lupin: Cut to ‘Market perform’ at Khambatta Securities
• Lupin: Cut to ‘Hold’ at Karvy Stock Broking with price target of Rs 1,251
• Thomas Cook India: Cut to ‘Hold’ at Sharekhan with price target of Rs 229
• Voltas: Cut to ‘Hold’ at CIMB with price target of Rs 505

Media Reports

• MCX: GMEX to buy 5 percent stake in Metropolitan Exchange - MCX SX (Economic Times)
• Telecom Companies: Banks send Rs 8 lakh crore alert on telecom debt in a presentation to telecom secretary. (Economic Times)
• Idea Cellular: Raises $125 million from Canada's EDC. (Economic Times)
• Fertiliser Companies: Prices set to rise after GST rollout (Mint)
• JSPL: To be debt-free in 4-5 years, says Naveen Jindal (PTI)
• Glenmark: S&P revises outlook to 'Negative' on weaker cash flow (PTI)
• UPL: Unit buys additional 9 percent stake in Sinagro group. (Bloomberg)
• TTK Prestige: To consider buyback of equity shares on May 30. (Bloomberg)

Earnings Reaction To Watch

Cipla (Q4, YoY)

• Net Loss down to Rs 62 crore from Rs 93 crore
• EBITDA up 191.1 percent to Rs 506 crore
• EBITDA margins expanded to 14.1 percent from 5.3 percent

Britannia Industries (Q4, YoY)

• Net profit up 6 percent to Rs 211 crore
• EBITDA up 5.9 percent to Rs 307.5 crore
• EBITDA margins remained flat at 13.7 percent

MEP Infra (Q4, YoY)

• Net profit at Rs 12 crore from loss of Rs 8.2 crore
• EBITDA down 24 percent to Rs 301.6 crore
• EBITDA Margin contracts to 69.9 percent from 77.7 percent

GSPL (Q4, YoY)

• Net Profit up 28 percent to Rs 127 crore
• EBITDA down 2 percent to Rs 201.3 crore
• EBITDA margin down to 82.3 percent from 88.2 percent

Thomas Cook (Q4, YoY)

• Net loss narrows to Rs 6.3 crore from Rs 87.5 crore
• EBITDA down 18 percent to Rs 51.9 crore
• EBITDA Margin contracts to 2.5 percent from 3.4 percent

Music Broadcast (Q4, YoY)

• Net profit down 62 percent to Rs 4.5 crore
• EBITDA down 27 percent to Rs 16.55 crore
• EBITDA Margin contracts to 24.9 percent from 35.2 percent

Dhampur Sugar (Q4, YoY)

• Net profit down 4 percent to Rs 107.3 crore
• EBITDA up 12 percent to Rs 201.4 crore
• EBITDA Margin contracts to 25.7 percent from 31 percent

Manappuram Finance Q4

• Net profit up 53.3 percent to Rs 200.6 crore year-on-year
• Provisions rise to Rs 40.6 crore from Rs 35.2 crore (QoQ)

LT Foods (Q4, YoY)

• Net profit of Rs 38 crore from loss of Rs 40 lakh
• EBITDA margins flat at 7.5 percent from 7.6 percent
• Revenue up 20.1 percent to Rs 968 crore

Container Corporation of India (Q4, YoY)

• Net profit up 8.19 percent to Rs 331.64 crore
• EBITDA up 3.69 percent to Rs 554.3 crore
• EBITDA Margin at 34.27 percent from 32.12 percent

Earnings To Watch Today

Sun Pharma Q4FY17 (Bloomberg Estimates, YoY)

• Net Profit may fall 12.1 percent to Rs 1,506 crore
• Revenue seen 9.2 percent higher at Rs 7,800 crore
• EBITDA may rise 2.3 percent to Rs 2,353 crore

ITC Q4FY17 (Bloomberg Estimates, YoY)

• Revenue seen 5.3 percent higher at Rs 10,708 crore
• Net profit may rise 7.5 percent to Rs 2,682 crore
• EBITDA margins seen at 36.7 percent from 36.3 percent

Tech Mahindra Q4FY17 (Bloomberg Estimates, QoQ)

• Revenue seen 0.4 percent lower at Rs 7,526 crore
• EBIT margins seen at 12.3 percent from 12.4%
• Net Profit may decline 8.9 percent to Rs 770 crore

Other Key Earnings

• Crompton Greaves
• Divi's Labs
• DLF
• Hindustan Petroleum Corporation
• Indian Hotels
• Mahanagar Gas
• ITC
• ONGC
• Torrent Pharma
• Tata Chemicals