Investors watch the stock trading board, as the board is reflected on a counter top, at a securities exchange house in Shanghai, China (Photographer: Qilai Shen/Bloomberg)

Stocks To Watch: Axis Bank, HDFC Bank, PNB, L&T, SpiceJet

Summary
  • HDFC Bank selects arrangers for a planned share sale of around Rs 15,500 crore: Bloomberg.
  • SpiceJet says it is examining the CCI penalty and is considering appeal.
  • Filatex India starts commercial production of synthetic yarn at Dahej unit.
  • L&T hikes stake in L&T Finance to 66.1 percent from 64.1 percent earlier
  • Shree Renuka board signs restructuring agreement with banks.

Asian stocks rallied and the yen slumped on news of an agreement for an unprecedented summit between the leaders of the U.S. and North Korea, defusing geopolitical concerns tied to the nuclear-armed dictatorship in northeast Asia.

The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, rose 0.5 percent to 10,290 as of 7:05 a.m.

Here Are The Stocks To Watch Out For In Friday’s Trade

  • PNB may be given 1 year to provision against Rs 12,700 crore fraud.
  • HDFC Bank selects arrangers for a planned share sale of around Rs 15,500 crore. (Bloomberg).
  • India asks REC, PFC not to grant loan to discoms with heavy losses.
  • Axis Bank acquires 1.84 million shares in Fortis via invocation of pledge. It held 3.55 percent in Fortis as of Feb. 23.
  • InterGlobe Aviation says it is in the process of reviewing the CCI penalty and is considering an appeal.
  • SpiceJet says it is examining the CCI penalty and is considering appeal.
  • Gansu Bank, China goes live with TCS BaNCS for its fund and investment banking operations.
  • Global Offshore receives order worth Rs 10 crore for one of its vessels for three years, starting April 2018.
  • Filatex India starts commercial production of synthetic yarn at Dahej unit.
  • L&T hikes stake in L&T Finance to 66.1 percent from 64.1 percent earlier.
  • L&T Finance QIP opens today with a floor price of Rs 161.79 per share.
  • GTL Infra says Aircel has overdue outstanding of over Rs 384 crore towards infrastructure provisioning fees and past settlements.
  • Shree Renuka board signs restructuring agreement with banks.

F&O Setup

  • Nifty March futures closed trading at 10,242.9 premium of 0.3 points versus 17.3 points
  • March series: Nifty open interest down 3 percent, Bank Nifty open interest down 3 percent
  • India VIX ended at 14.5, down 7 percent
  • Max open interest for March series at 10,500 call strike (open interest at 52.4 lakh, up 6 percent)
  • Max open interest for March series at 10,000 Put (open interest at 51.5 lakh, up 26 percent)

F&O Ban

  • In ban: Balrampur Chini, Dewan Housing, HDIL, IDBI
  • New in ban: Balmrampur Chini
  • Out of ban: Oriental Bank

Only intraday positions can be taken in stocks which are in F&O ban. There is a penalty in case of a rollover of these intraday positions.

Active Stock Futures

Bulk Deals

  • Ashapura Intimates Fashion: Promoter Harshad Hirji Thakkar bought 1.31 lakh shares or 0.5 percent equity at Rs 455 each.

Mayur Uniquoters

  • Small Cap World Fund Inc bought 8.75 lakh shares or 1.9 percent equity at Rs 509 each
  • DBS Chola MF sold 4.37 lakh shares or 1 percent equity at Rs 509 each

Navin Fluorine

  • Small Cap World Fund Inc bought 24.36 lakh shares or 4.9 percent equity at Rs 814.98 each.
  • Atyant Capital India Fund I sold 4.03 lakh shares or 0.8 percent equity at Rs 815 each.
  • GHI LTP Ltd sold 6.75 lakh shares or 1.4 percent equity at Rs 815 each.
  • Vanderbilt University sold 2.7 lakh shares or 0.5 percent equity at Rs 815 each.

Brokerage Radar

CLSA on INOX

  • Maintained ‘Buy’ with price target of Rs 330.
  • Inox has seen strong rebound in ad revenue growth.
  • Footfall monetisation in terms of F&B spends to be next key focus area.
  • Expect screen addition to accelerate in the next fiscal.
  • Inox remains well placed to drive inorganic growth.
  • Sustainable improvement in footfall monetisation can close valuation gap with PVR.

Macquarie on Godrej Consumer

  • Maintained ‘Outperform’ with price target of Rs 1,285.
  • Confident on Godrej Consumer’s ability to revive household insecticides.
  • Addressing low rural penetration with more efficacious product at lower price point.
  • New Goodknight product to help achieve higher penetration and revive growth.
  • Top pick in consumer staples space.

Kotak Securities on Mahindra & Mahindra

  • Maintained ‘Buy’; raised price target to Rs 945 from Rs 915.
  • Tractor demand strong across most major states.
  • Signs of recovery in rural market in general.
  • M&M continues to gain market share in growing tractor market.
  • Remains our preferred pick in the sector.
  • Expect 10 percent compounded growth rate in volume over the fiscal 2018-2020.
  • Valuations are attractive.

Kotak Securities on Indraprastha Gas

  • Maintained ‘Sell’ with price target of Rs 250.
  • Expect moderation of CNG growth.
  • Quarterly pace of vehicle addition halved during during April-December compared to the corresponding period in 2017.
  • Double-digit growth in PNG may not be enough given smaller share and lower profitability.
  • Any disappointment on volumes to lead to de-rating of valuation multiple.

Kotak on Mahindra Holidays

  • Initiated ‘Buy’ with price target of Rs 388.
  • Positive outlook for domestic tourism with improving infrastructure and consumer spending.
  • Mahindra Holidays has a unique business model in tourism sector.
  • Vacation ownership model to grow manifold.
  • Multiple levers to drive future growth.
  • Strong cash flows to support future growth.
  • Expect revenue. Operating income and net profit to compound at 10 percent, 14 percent and 14 percent respectively over the fiscal 2017-2020.
  • Focus on quality members and higher share of resort income to boost earnings, cash flows and returns ratios.
BloombergQuint
Stay Updated With Stock Market News on BloombergQuint