Stocks To Watch: Cochin Shipyard, Idea Cellular, Infosys, Fortis, Maruti Suzuki

Asian stocks slipped Friday after the Trump administration’s tariffs on imports from key allies sent U.S. and European stocks into a tailspin and stoked demand for bonds.

Shares in Australia dropped, while those in Japan and Korea pushed higher. The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, traded 0.1 percent higher at 10,725 as of 7:50 a.m.

Stocks To Watch In Friday’s Trade

• Infosys extends alliance with Microsoft for cloud-based digital transformation solutions.
• Idea Cellular completes sale of 9,900 standalone towers to ATC for Rs 4,000 crore.
• Cochin Shipyard signs agreement with Government of Kerala for procurement of marine ambulance for fisheries department.
• Maruti Suzuki targets to sell over two lakh automatic cars in 2018-19.
• Bayer CropScience to invest Rs 400 crore in Monsanto India
• Fortis Healthcare says unit sold off 1.8 crore units of RHT Health Trust for 13.65 million Singapore dollars.
• PNC Infratech declared L1 for Nagpur-Mumbai Expressway project worth Rs 2,100 crore.
• Bodal Chemicals to acquire additional 17 percent stake in Trion chemicals for Rs 3 crore.
• Cholamandalam Investment and Finance to invest Rs 50 crore in its subsidiary Cholamandalam Home Finance.
• Ashiana Housing has acquired 6.67 acres land in Rajasthan to develop a group housing project with 6.15 lakh square feet area.

F&O Setup

• Nifty June Futures closed trading at 10,702, discount of 33.9 points
• Nifty Rollover at 62.6 percent, Bank Nifty Rollover at 75 percent
• All series-Nifty open interest up 11 percent and Bank Nifty open interest up 28 percent
• India VIX ended 13.2, down 1.4 percent
• Max open interest for June series at 11,000 Call, open interest at 30.4 lakh, open interest up 3 percent
• Max open interest for June series at 10600 Put, open interest at 30.5 lakh, open interest up 46 percent

F&O Ban

In ban: None

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

• Avenue Supermarts: BlackRock India Equities Fund (Mauritius) Ltd. bought 56.62 lakh shares at Rs 1,575.55.
• InterGlobe Aviation: BlackRock Funds International Opportunities Portfolio bought 43.87 lakh shares or 1.14 percent equity at Rs 1,219.75.
• ACC: BlackRock India Equities Fund (Mauritius) Ltd. sold 12.8 lakh shares at Rs 1,354.38.
• Divis Labs: BlackRock India Equities Fund (Mauritius) Ltd. sold 14.5 lakh shares at Rs 1,047.17.
• Container Corp: BlackRock India Equities Fund (Mauritius) Ltd. bought 12.58 lakh shares or 0.52 percent equity at Rs 1,379.41.
• IDFC Bank: Blackrock Funds International Opportunities sold 4.31 crore shares or 1.27 percent equity at Rs 40.69.
• Maharashtra Seamless: Gagandeep Credit Capital Pvt. Ltd. bought 3.63 lakh shares or 0.54 percent equity at Rs 425.

NRB Bearings

• HDFC Mutual Fund Small and Mid Cap Fund brought 15 lakh shares at Rs 162.5.
• Ubs Principal Capital Asia Ltd. sold 17.1 lakh shares at Rs 162.5.
• Trilochan Sawhney Singh Trust 1 sold 9.4 lakh shares at Rs 162.63.

TATA Motor DVR

• Goldman Sachs Investments Mauritius I Ltd. bought 26.8 lakh shares at Rs 168.48.
• Integrated Core Strategies Asia Pte Ltd. bought 35 lakh shares at Rs 168.51.

Trading Tweaks

• Apex Frozen Foods, Bombay Dyeing, Dilip Buildcon, Graphite India, GVK Power, HEG, Radiko Khaitan, Rain Industries, Venky(S) placed under additional surveleince measure by BSE.
• Reliance Naval and Engineering Ltd circuit filter revised to 20 percent.

Who’s Meeting Whom

• Capacit’e Infra to meet Sundaram MF and Unilazer Ventures on June 1.
• Welspun India to meet Philip Capital on June 1.
• TVS Motors to meet Reliance MF, Kotak MF, Max Life, ICICI Prudential Life, DSP MF and others on June 5.

Insider Trades

• Anoop Moopen promoter of Aster DM Healthcare buys 20,000 shares from March 28 - 29.
• Laurus Labs Dr Satyanarayana chava acquired 6.33 lakh shares on May 25.

(As reported on May 31)

Brokerage Radar

Macquarie on Maruti Suzuki

• Maintained ‘Buy’ with a price target of Rs 11,500.
• Maruti Suzuki’s strength is its widest sales and service network.
• Roll-out of NEXA has been transformational for Maruti.
• Maruti now upgrading all existing channel outlets to ARENA.
• Digital integration of online and in-store experience is key differentiator.

HSBC on Cox and Kings

• Upgraded to ‘Buy’ from ‘Hold’; maintained price target at Rs 290.
• Outlook for hotel business remain strong.
• Company planning to improve business mix by increasing focus on retail segment.
• Inexpensive valuation outweighs deteriorating balance sheet concerns.
• Risk-reward looks favourable at current valuations.

Morgan Stanley on SAIL

• Maintained ‘Underweight’ with a price target of Rs 66.
• March quarter ahead of estimates driven by higher volumes and better EBITDA/ton.
• Management's focus remains on capacity ramp-up, cost efficiency and improvement in product mix.
• Expect volume ramp-up will be gradual and cost efficiency to still take time.

Macquarie on Jubilant Foodworks

• Maintained ‘Outperform’ with a price target of Rs 3,103.
• Very positive on the business fundamentals post meeting with CEO.
• Focus is to drive same store sales growth (SSSG); operating leverage story to continue on higher SSG.
• Top pick in India’s consumer space.

Brokerages On Dilip Buildcon

Citi

• Maintained ‘Buy’ with a price target of Rs 1,405.
• Stock fell on unconfirmed market rumors relating to resignation of statutory auditors.
• Exceptional losses booked to get reversed when remaining roads move out of books.
• Debt increased due to interest cost, capex and investment in SPVs.

Nomura

• Maintained ‘Buy’; cut price target to Rs 1,322 from Rs 1,347.
• March quarter witnessed a strong execution; stock down on speculation.
• Believe reported operating margin is credible in our view.
• Not concerned about the ability of Shrem Infraventures to fund the asset sale deal.