Sensex, Nifty End Near Three-Month Highs Led By IT Stocks
Indian equity benchmarks rose for third straight day led by private sector lenders, IT and FMCG shares, to their highest level in nearly three months.
Earnings from the country's largest mortgage lender beat Bloomberg consensus estimates while the second largest private sector lender by market cap reported stable asset quality in March quarter.
The S&P BSE Sensex rose 0.55 percent or 190.66 points to 35,160 and the NSE Nifty 50 index climbed 0.44 percent or 47 points to 10.739.
Sixteen out of 19 sector gauges compiled by BSE ended higher led by the S&P BSE Realty index’s 1.5 percent gain. On the flipside, the S&P BSE Energy index was the top sectoral loser dragged by Reliance Industries after it missed estimates in March quarter.
The mid- and small-cap shares outperformed their larger counterparts as the S&P BSE MidCap index rose 0.56 percent and the S&P BSE SmallCap index gained 0.89 percent.
Fab Four Stocks Of The Day
- Merck: The Mumbai-based drug maker rose as much as 11.51 percent to record high of Rs 2,122 after it reported March quarter earnings. Its net profit rose 53 percent to Rs 22.7 crore.
- Kalpataru Power: The Mumbai-based transmission tower maker rose as much as 4.15 percent to Rs 489.90 after it won orders worth Rs 1,463 crore from Power Grid, GAIL, IOC and others.
- Indiabulls Ventures: The Delhi-based stock broking firm rose as much as 8.89 percent to record high of Rs 489.80. The company's board will meet on May 4 to consider and approve preferential issue of equity shares to certain foreign investors, Indiabulls Ventures said in an exchange filing.
- KPIT Tech: The Pune-based software developer rose as much as 4.8 percent to record high of Rs 259.80. Trading volume was 1.8 times its 20-day average.
HDFC Shares Rise On Profit Beat In Q4
Shares of the country's largest mortgage lender rose as much as 2 percent to Rs 1,891.55 after its nrt profit beat Bloomberg consensus estimates in March quarter.
Key earnings highlights:
- Net profit up 39 percent at Rs 2,846.22 crore versus Rs 2,044.20 crore (YoY)
- Net profit at Rs 2,846.22 crore versus Bloomberg estimate of Rs 2,550 crore
- Net interest income up 12 percent at Rs 3,617 crore versus Rs 3,215.5 crore (YoY)
- Revenue up 10.3 percent at Rs 9,327.8 crore versus Rs 8,453.4 crore (YoY)
- HDFC Q4 provisions for bad loans at Rs 180 crore versus Rs 148 crore (YoY); Rs 95 crore (QoQ)
- Board approves raising up to Rs 85,000 crore via NCDs on private placement basis
- Announces final dividend of Rs 16.5 per share
Nifty Bank Off Day's High; Axis Bank Falls Over 4%
Gauge of banking shares on the National Stock Exchange came off day's high as Axis Bank, ICICI Bank and RBL Bank shares edged lower.
India Not On Top Priority List Of Foreign Investors: Jonathan Schiesssl
Jonathan Schiesssl, chief investment officer at Ashburton Investment in conversation with BloombergQuint said Indian markets are not on the top priority list of foreign investors.
Key highlights from the conversation:
- Indian valuations are concerning, awaiting earnings growth
- Potential of money coming back to India in the second half of this year
- Have been underweight on the technology space
- Invested in the industrial space, trying to put money in sectors which are not overvalued
- Expect 17-18 percent earnings growth for next year