All You Need To Know Going Into Trade On Aug. 12

Asian stocks rose early Thursday after U.S. shares climbed on signs of moderating inflation that reduced concerns about an imminent paring back of Federal Reserve stimulus.

Equities edged up in Japan and Australia and were steady in South Korea. U.S. contracts were little changed after the S&P 500 hit a record and the tech-heavy Nasdaq 100 fell amid a rotation to cyclical shares.

The Singapore-traded SGX Nifty, an early indicator of India's Nifty 50 Index’s performance, climbed 0.13% to 16,298.50 as of 7:20 a.m.

Ten-year Treasuries pared gains spurred by a strong auction and a U.S. inflation report lending support to the view that price pressures are transitory.

China’s crackdown on private enterprise is again in focus, with a watchdog stepping up scrutiny of insurance technology platforms. The nation’s central bank is also facing mounting calls to cut interest rates as fresh coronavirus outbreaks threaten to hamper the economic recovery. Credit in China expanded last month at the slowest pace since February 2020.

Elsewhere, oil held a climb as a weaker dollar offset a government report that showed a smaller-than-expected decline in crude stockpiles. Palm oil posted its biggest daily advance since 2009 on contracting stockpiles. Bitcoin traded below $46,000 following a sharp rally since mid-July.

• 5:30pm: India June Industrial Production y/y; est. 13.8%, prior 29.3%

• 5:30pm: India July Consumer Price Inflation y/y; est. 5.72%, prior 6.26%

Earnings Post Market Hours

CESC Q1FY22 (Consolidated, QoQ)

• Revenue up 11% at Rs 3,216 crore Vs Rs 2,890 crore

• Net profit down 36% at Rs 271 crore Vs Rs 423 crore

• Ebitda down 9% at Rs 768 crore Vs Rs 840 crore

• Margin at 23.9% vs 29.1%

CreditAccess Grameen Q1FY22 (Standalone, YoY)

• Net Interest Income down 4% at Rs 313.77 crore Vs Rs 326.24 crore

• Net profit down 53% at Rs 29.59 crore Vs Rs 63.60 crore

• GNPA at 8.12% Vs 4.38% (QoQ)

HEG Q1FY22 (Consolidated, QoQ)

• Revenue up 9% at Rs 413.69 crore Vs Rs 380.48 crore

• Net profit of Rs 56.77 crore Vs Net loss of Rs 16.08 crore

• Ebitda gain of Rs 72.41 crore Vs Ebitda loss of Rs 4.69 crore

Cummins India Q1FY22 (Consolidated, QoQ)

• Revenue down 5% at Rs 1,194.91 crore Vs Rs 1,256.25 crore

• Net profit up 46% at Rs 246.94 crore Vs Rs 168.56 crore

• Ebitda down 13% at Rs 147.92 crore Vs Rs 169.41 crore

• Margin at 12.4% Vs 13.5%

Bata India Q1FY22 (Consolidated, QoQ)

• Revenue down 55% at Rs 267 crore Vs Rs 589.90 crore

• Net loss of Rs 69.40 crore Vs Net profit of Rs 29.40 crore

• Ebitda loss at Rs 31.70 crore Vs Ebitda gain of Rs 112 crore

• Appointed Gunjan Shah, whole-time director and CEO, as the Managing Director and CEO for a term of 5 years with effect from October 1.

Stocks To Watch

• ITC: The company continues to be bullish about the Indian consumer space. FMCG portfolio has been “revitalised to make it future ready,” Chairman Sanjiv Puri said. FMCG segment Ebitda margins improved 640 basis points during the last 4 years, while revenue increased to nearly Rs 15,000 crore ($2 billion) from about Rs 10,500 crore. ITC will continue to examine alternate structures in the hotels business. In the medium term, “asset-right strategy” is expected to double the number of properties in the hotel business, he said. ITC will also launch a super app during the year called ITC-MAARS for small farmers. Further, the company is investing in cutting-edge digital technologies; fast-tracked e-commerce, anticipating the surge in demand for ‘contactless shopping’ and home delivery.

• Heidelbergcement India: The company has entered into power purchase agreement, share subscription agreement and shareholders agreement with Lalganj Power. Heidelbergcement will procure around 22 GW hours/annum of solar power under captive arrangement for operating its plant located in Uttar Pradesh. It will also subscribe to 36.36 lakh equity shares of Rs 10 each of Lalganj Power, at a premium of Rs 3.2 per share, aggregating to Rs 4.8 crore

• Power Grid Corporation of India: To inject Rs 425 crore in Energy Efficiency Services, a joint venture company of POWERGRID, NTPC, PFC and REC.

• Indraprastha Gas: The company has entered into an agreement with Kinetic Green Energy & Power Solutions, for setting up battery swapping stations initially at Delhi/NCR and thereafter at mutually agreed locations. The two companies plan to setup 50 battery swapping chargers for two-wheelers and three-wheelers by the end of this financial Year. According to the agreement, IGL will be involved in creating the infrastructure whereas Kinetic will provide the technology part.

• Wipro: The company has partnered with IP Infusion to drive disaggregated network solutions and foster innovation. The solutions will simplify management across 5G networks, enhance network automation, and reduce CapEx and OpEx, the company said.

• Bajaj Finserv: To incorporate a wholly owned subsidiary for alternate investments. The subsidiary will focus on investing in start-ups and property. Bajaj Finserv will invest up to Rs 300 crore in one or more tranches either in the form of equity or any other security or loan in the subsidiary.

• Earnings: Tata Steel, Bharat Petroleum Corporation Ltd., Eicher Motors, Hero Motocorp, NMDC, Ashok Leyland, Aurobindo Pharma, IRCTC, Housing & Urban Development Corporation, Oil India, Power Finance Corporation, ITI, Natco Pharma, Page Industries, Avanti Feeds, Ashapura Minechem, Bharat Forge, Rashtriya Chemicals & Fertilizers, Clariant Chemicals (India), Dishman Carbogen Amcis, 3M India, Anjani Portland Cement, Dish Tv India, EID-Parry (India), Engineers India, ESAB India, FDC, Finolex Cables, Federal-Mogul Goetze (India), GMM Pfaudler, Gujarat Narmada Valley Fertilizers & Chemicals, GOCL Corporation, Goodyear India, Gujarat Pipavav Port, GR Infraprojects, Gulf Oil Lubricants India, Hindustan Construction Co., Hemisphere Properties India, Hester Biosciences, Indostar Capital Finance, INEOS Styrolution India, IRCON International, JB Chemicals & Pharmaceuticals, KNR Constructions, Matrimony.com, Mazagon Dock Shipbuilders, Mishra Dhatu Nigam, Minda Corporation, MSTC, National Fertilizers, RailTel Corporation of India, Redington (India), Religare Enterprises, Rites, Rail Vikas Nigam, Schneider Electric Infrastructure, Sundram Fasteners, Suryoday Small Finance Bank, Thyrocare Technologies, Trident, Ujjivan Financial Services, Varroc Engineering

Pledge Share Details

• Adani Ports and SEZ: Promoter group (Gautam Adani and Rajesh Adani) revoked pledge of 12,000 shares on August 10.

• Motherson Sumi Systems: Promoter Radha Rani Holdings Pte created a pledge of 34.42 lakh shares on August 6.

  As reported on August 11.

Bulk Deals

• JTL Infra: Promoter Jagan Industries sold 75,000 shares (0.71%) at Rs 675.01 per share.

Block Deals

• Timken India: HDFC Mutual Fund bought 5.95 lakh shares (0.79%) at Rs 1,535.6 per share. Tricot Investments sold 5.95 lakh shares (0.79%) at Rs 1,535.6 per share.

• Globus Spirits: 238 Plan Associates LLC bought 1.80 lakh shares (0.63%) at Rs 822.9 per share. Massachusetts Institute of Technology bought 9 lakh shares (3.13%) at Rs 822.9 per share. International Asset Reconstruction Company sold 10.80 lakh shares (3.75%) at Rs 822.9 per share.

Insider Trades

• Bhageria Industries: Promoter Rahul Bhageria bought 14,104 shares between August 9-10.

• Grindwell Norton: Promoter KM Narang sold 1,607 shares on August 10.

• Prince Pipes and Fittings: Promoter Jayant Chheda (HUF) sold 96,000 shares on August 10. Promoter Jayant Chheda bought 96,000 shares on August 10.

• Sandhar Technologies: Promoter Jayant Davar bought 3,653 shares on August 11.

IPO Watch

• Nuvoco Vistas Corp.'s initial public offering has become the second-least subscribed issue so far this year. The IPO was subscribed 1.71 times as of 5 pm on August 11.

• CarTrade Tech IPO subscribed 20.29 times on day 3.

• Chemplast Sanmar’s Rs 3,850-crore IPO was subscribed 0.26 times on the second day.

• Aptus Value Housing Finance IPO subscribed 0.37 times on day 2.

Who’s Meeting Whom

• Tata Chemicals: To meet Haitong Securities India on August 13.

• ISGEC Heavy Engineering: To meet Capital Research Global Investors, Nippon Mutual Fund, Bajaj Allianz Life Insurance and DSP Mutual Fund on August 13.

Trading Tweaks

• Ex-Date AGM: VA Tech Wabag, Greenply Industries, Hindalco Industries, JK Lakshmi Cement, JK Paper, Endurance Technologies, Munjal Showa, DFM Foods, Goldiam International, TTK Healthcare, Associated Alcohols & Breweries, Arvind Fashions, Grasim Industries

• Ex-Date Final Dividend: Associated Alcohols & Breweries, Endurance Technologies, Goldiam International, Grasim Industries, Greenply Industries, Hindalco Industries, Ion Exchange (India), JK Paper, Karda Constructions, TTK Healthcare

• Ex-Date Dividend: Avadh Sugar & Energy, Indian Hume Pipe Co, JK Lakshmi Cement, Munjal Showa, NGL Fine-Chem

• Ex-Date Interim Dividend: Balkrishna Industries, NACL Industries

• Ex-Date Special Dividend: Grasim Industries

• Ex-Date Bonus Issue: Karda Constructions

• Ex-Date Stock Split: Karda Constructions

• Record Date Interim Dividend: Castrol India, Varun Beverages

• Record Date Final Dividend: City Union Bank

• Record Date Income Distribution: IRB InvIT Fund

• Record Date Dividend: Kotak Mahindra Bank

• Price Band Revised From 10% To 5%: Jubilant Industries

• Move Into Short-Term ASM Framework: Quick Heal Technologies, BASF India

• Move Out Of Short-Term ASM Framework: The Investment Trust Of India

Money Market Update

• The rupee ended at 74.44 against the U.S. Dollar on Wednesday as compared to Tuesday's closing of 74.43.

F&O Cues

• Nifty August futures ended at 16,281.60, a discount of 0.65 points.

• Nifty August futures shed 4.08%, and 10,400 shares in Open Interest.

• Nifty Bank August futures ended at 35,903.20, a premium of 96.8 points.

• Nifty Bank August futures shed 4.51%, and 3,869 shares in Open Interest.

• Securities that continue to be on the ban list: Canara Bank, Indiabulls Housing Finance, Nalco, Punjab National Bank, RBL Bank, Sun TV.

• Securities removed from the ban list: SAIL.