Sensex, Nifty End Little Changed As Financial Drag

• Benchmark indices give up gains; end marginally lower
• Nifty ends 0.1 percent lower at 9,239
• Sensex ends 0.3 percent lower at 31,561
• Nifty Bank ends 2.1 percent lower at 18,950
• Nifty Midcap Index ends 0.6 percent higher
• Nifty Smallcap Index ends 0.1 percent lower
• India Volatility Index ends 0.8 percent lower at 38.08
• Nifty FMCG, Nifty Pharma and Nifty PSU Banks were the other sectoral laggards; ending 0.5-1 percent lower
• Nifty I.T., Nifty Media and Nifty Metal ended with gains between 1.3-2.7 percent
• Hero MotoCorp ends as the top Nifty gainer; up 6.1 percent
• ICICI Bank ends as the top Nifty laggard; down 4.6 percent
• 888 stocks on the NSE end with gains while 915 post losses

Indian equity markets failed to sustain gains to begin the new trading week on a sombre note. European markets turned negative after opening with gains as did futures on the Dow Jones which now trade lower by 100 points.

The S&P BSE Sensex fell 800 points from the day's high of 32,301 to end at 31,561, down 0.2 percent. The NSE Nifty 50 index too fell over 220 points from its peak of 9,439 to end little changed at 9,239. 30 out of the 50 index constituents ended the day with gains.

Among sectoral indices, the Nifty Bank was the underperformer, ending 2 percent lower. The index also fell over 800 points from the day's high of 19,733.

Nifty Auto was the top performing sector, ending with gains of 4 percent. Nifty I.T., Media and Metal indices were the other gainers.

888 stocks on the NSE ended with gains while 915 ended with losses.

The company has informed the exchanges that the Department of Investment and Public Asset Management (DIPAM) of the Ministry of Finance has appointed Yes Securities, Elara Capital and IDBI Capital as merchant bankers and selling brokers for divesting its stake.

The government intends to divest 15 percent of its 87.75 percent shareholding in the company through the Offer for Sale (OFS) route. It has also appointed L&L Partners as legal advisers for the same.

Shares recovered from the day's low to gain as much as 6.6 percent to Rs 232.75 on the National Stock Exchange.

• Worst performer on the Nifty 500 index
• Falls as much as 12.8 percent to Rs 600
• Trades at the lowest level in a month
• Down for the second straight day
• Today's volumes are 3.3 times higher than its 30-day average
• Breaks below its 50-Day Moving Average of Rs 666.88
• Has rebounded 51 percent from its 52-week low of Rs 455.8 on April 7, 2020
• 9 out of the 13 analysts tracking the stock have a buy recommendation; 0 sell calls
• Return potential of the stock as per Bloomberg data is 25.9 percent

• Nifty: Buy 9,200 Put and 9,400 Call of the May 14 expiry. Total premium paid will be Rs 150. Target of Rs 300 and stop loss of Rs 50
• Buy Bata India for target of Rs 1,410 and stop loss of Rs 1,280
• Sell Axis Bank on a bounce to Rs 385 for target of Rs 360 and stop loss of Rs 400

The tourism company reported a net loss of Rs 164.57 crore this quarter as compared to a net profit of Rs 46.15 crore last year. The net loss was due to a one-time impact of a change in tax rate which amounted to Rs 199.72 crore.

Operational parameters of the company were steady with Ebitda rising 38 percent year-on-year while margins expanded to 16.9 percent from 11.9 percent last year.

Shares gained as much as 11.85 percent to Rs 140.65. This was the biggest single-day surge for the stock since August 2016.

• Sell ICICI Bank at Rs 324 for target of Rs 312 and stop loss of Rs 330
• Buy Pidilite at Rs 1,377 for target of Rs 1,407 and stop loss of Rs 1,362

The pharma company returned to profitability in the fourth quarter, reporting a net profit of Rs 48 crore as compared to a net loss of Rs 15 crore in the corresponding quarter last year.

The company's Ebitda remained largely flat at Rs 37 crore as against Rs 34 crore in the fourth quarter last year. Ebitda margin expanded to 4.6 percent from 3.5 percent.

The company's R&D as a percentage of sales fell to 5.4 percent from 7 percent last year.

The company's India business saw a de-growth compared to last year, owing to lower sales in the Quality Generics division, the company said in an exchange filing.

The board has also approved raising funds up to Rs 1,500 crore via equity shares, equity linked securities, QIP or any other combination thereof.

Shares gained as much as 5.2 percent to Rs 266.6, post the announcement.

• Benchmark indices consolidate off the day's high
• Nifty up 0.66 percent at 9,312
• Sensex up 0.6 percent at 31,834
• Nifty Bank down 1 percent at 19,159
• Nifty Midcap Index up 1.1 percent
• Nifty Smallcap Index up 0.3 percent
• India Volatility Index down 2.73 percent to 37.35
• Nifty Auto remains top sectoral gainer; up 5.4 percent
• Nifty I.T., Nifty Media and Nifty Metal up 2 percent each
• Tata Motors remains top Nifty gainer; up 9.2 percent
• ICICI Bank remains the top Nifty laggard; down 3.4 percent
• 998 stocks on the NSE trade with gains while 768 trade with losses

The currency had a subdued start to the new trading week, ending nearly flat with a negative bias.

The rupee ended at 75.73 against the U.S. Dollar, as compared to Friday's close of 75.55.

Despite the flat session, the rupee underperformed most of its Emerging Market peers, that gained in comparison to the greenback. Only the Chinese Renminbi, Malaysian Ringgit and the Japanese Yen depreciated more than the local currency.

Yield on the 10-year government bond ended at 6.167 percent as compared to Friday's close of 5.97 percent. The weakness was due to the government's change in borrowing program for FY21.

• Top gainer on the Nifty 50 index
• Gains as much as 8.8 percent to Rs 88.2
• Snaps two-day losing streak
• Was down for 4 out of the 5 trading sessions last week
• Today's volumes are nearly double than its 30-day average
• Trades near its 50-Day Moving Average of Rs 88.93
• Has rebounded 40 percent from its 52-week low of Rs 63.5 on March 24, 2020
• 20 out of the 38 analysts tracking the stock have a buy recommendation; 4 sell calls
• Return potential of the stock as per Bloomberg data is 17.7 percent

• Trades at an all-time low
• Falls as much as 4.3 percent to Rs 66.55
• Down for the second straight day
• Declines for 5 out of the last 6 trading sessions
• Today's volumes are 1.8 times higher than its 30-day average
• Stock enters oversold territory with Relative Strength Index (RSI) at 25
• Has declined 67 percent from its 52-week high of Rs 202.4 on July 3, 2019
• 6 out of the 11 analysts tracking the stock have a buy recommendation; 1 sell call
• Return potential of the stock as per Bloomberg data is 157.4 percent

• The management has guided for FY21 volume de-growth to be around 30 percent
• Utilisation in April was in single digits while in May it currently is 40 percent
• Capex for cost optimisation to be on track
• Rs 9,000 crore capex for organic growth will be at least delayed by a year
• Labour utilisation is the key challenge for the industry

Shares currently trade 2.2 percent higher at Rs 19,138.

The Full Interaction With HM Bangur Of Shree Cement:

Benchmark indices in Europe have opened higher after posting back to back weekly gains. Most Asian Markets ended with gains while futures on the Dow Jones are trading higher by 70 points, albeit off the day's high.

The Stoxx 600 index has opene 0.4 percent higher with banking and travel stocks leading the gains. Chemicals is the only underperformer in early trade.

Brent crude trades 1.2 percent lower at $30.6 per barrel after a 17 percent advance last week.

Lets take a look at how benchmark indices have opened across Europe:

• Euro Stoxx 50 up 0.3 percent to 2,917
• DAX up 0.4 percent to 10,947
• CAC up 0.24 percent to 4,560
• FTSE 100 up 0.7 percent to 5,974
• IBEX 35 up 0.77 percent to 6,835

• Top performer on the Nifty Smallcap Index
• Snaps seven-day losing streak
• Gains as much as 10.1 percent to Rs 234.65
• Biggest one-day gain since April 5, 2018
• Today's volumes are 14.8 times higher than its 30-day average
• Rakesh Jhunjhunwala increased stake in the company to 5.31 percent as per March quarter shareholding pattern
• Jhunjhunwala currently holds 75,00,400 shares in the company as compared to 72,15,400 shares in the previous quarter.
• The company will report its fourth quarter earnings on Thursday, May 14
• 8 out of the 10 analysts tracking the stock have a buy recommendation
• Return potential for the stock as per Bloomberg data is 103.7 percent

• Second best performer on the Nifty Midcap Index
• Gains as much as 5.6 percent to Rs 498.8
• Up for the fourth straight day
• Biggest one-day gain in a month
• Today's volumes are 2.3 times higher than its 30-day average
• Up 75 percent from its 52-week low of Rs 284.05 on March 19, 2020
• 21 out of the 36 analysts tracking the stock have a buy recommendation; 8 sell calls
• The stock currently trades 3.2 percent higher than its 12-month Bloomberg consensus price target of Rs 481, implying a negative return potential

The company's Strategic Engineering Division signed a contract with the Ministry of Defence for modernisation of 37 airfields of the Indian Airforce, Navy and the Coast Guard.

The contract, with an estimated value of Rs 1,200 crore will have to be executed over the next 4 years, as per the company's exchange filing.

The contract involves supply, installation and commissioning of modern airfield equipment along with other navigation aids and Air Traffic Management Systems.

Shares are fluctuating between gains and losses, currently trading 0.4 percent lower at Rs 28.40.

• Benchmark indices cool off from day's high
• Nifty up 0.77 percent at 9,322
• Sensex up 0.73 percent at 31,873
• Nifty Bank down 0.5 percent at 19,255
• Nifty Midcap Index up 1 percent
• Nifty Smallcap Index up 0.25 percent
• India Volatility Index down 1.6 percent to 37.8
• Nifty PSU Banking Index is the only other sectoral laggard; down 0.5 percent
• Nifty I.T. and Nifty Media hold on to gains of over 2 percent
• Nifty Realty and Nifty Metal Index up 1 and 1.5 percent respectively
• Nifty Pharma Index gives up gains; turns negative
• Tata Motors remains top Nifty gainer; up 6.4 percent
• ICICI Bank is the top Nifty laggard; down 3 percent
• 928 stock on the NSE are advancing while 763 trade with losses

The company reported a 36 percent decline in its net profit compared to the previous year in the fourth quarter. The real estate player's net profit for the period stood at Rs 101 crore.

The impact on profitability was also due to a 17 percent year-on-year drop in other income, which fell to Rs 125 crore.

Revenue for the company rose 10 percent compared to last year to Rs 1,160 crore.

The company had shared its operational update in April where it reported a 10 percent rise in total bookings while selling over 3,000 homes.

The board has also approved raising funds up to Rs 1,000 crore by issue of Non-Convertible Debentures (NCDs). A committee of Directors will take a call on the quantum, timing and terms and condition of the same.

The company will hold its Annual General Meeting (AGM) on August 5, 2020.

Shares fluctuated after the earning announcement, cooling off from the day's high to fall as much as 0.9 percent before recovering again. They currently trade 2 percent higher at Rs 629.75.

The asset management company saw its revenue declining 2 percent in the current quarter compared to last year, while net profit saw a 10 percent drop.

The company's operating profit from the core asset management business fell 1 percent. It has incurred a fair value loss on its Essel group exposure of Rs 71.3 crore.

The board of the company has recommended a dividend of Rs 28 per share for FY20.

Shares fell as much as 4.5 percent to Rs 2,501 and are down for the second straight day.

• Reliance Industries' 1,600 Call: Premium rises 16.85 percent to Rs 53.4. The contract has added 1.41 lakh shares in Open Interest.
• ICICI Bank's 350 Call: Premium falls 31.4 percent to Rs 12. The contract has added 7.5 lakh shares in Open Interest.
• Infosys' 700 Call: Premium up 38 percent to Rs 19.05. The contract has added 2.6 lakh shares in Open Interest.

Shares of the Bengaluru-based real estate company are locked in an upper circuit of 5 percent at Rs 186.35 per share.

Anamudi Real Estates acquired 5.55 lakh shares of the company on Friday, amounting to a 0.59 percent stake at Rs 178.87 per share. Anamudi Real Estates is the promoter entity of the Godrej Group.

This is only the third instance in the last 10 trading sessions where the stock has gained. Today's volumes are 1.8 times higher than its 30-day average and it is also the top performer on the Nifty Realty index.

The company informed the exchanges over the weekend that its joint venture between its wholly-owned subsidiary Minda KSTN Plastic Solutions and Shandong Beiqi Hai Hua Automobile Parts to produce and sell automotive components and parts was called off.

The Joint Venture - named Minda China Plastic Solutions Company had not started any business or generated any revenue since the beginning, the exchange filing stated.

Shares snapped a six-day losing streak, gaining as much as 6.6 percent to Rs 61.65 on the National Stock Exchange.

• Nifty May futures add 7 percent in Open Interest and 5.6 lakh shares
• Nifty Bank May futures add 3 percent in Open Interest and 41,140 shares

Nifty: May 14 Expiry

• 9,500 Call: Premium up 36.7 percent to Rs 70.20. The contract has added 92,175 shares in Open Interest.
• 9,400 Call: Premium up 38.6 percent to Rs 111.6. The contract has added 1.88 lakh shares in Open Interest.
• 9,300 Put: Premium falls 51.3 percent to Rs 92.5. The contract has added 9.78 lakh shares in Open Interest.

Nifty Bank: May 14 Expiry

• 19,000 Put: Premium falls 21.7 percent to Rs 282. The contract has added 1.03 lakh shares in Open Interest.
• 20,000 Call: Premium falls 11.2 percent to Rs 206.65. The contract has added 2.06 lakh shares in Open Interest.
• 18,500 Put: Premium falls 27.91 percent to Rs 142.35. The contract has added 1.75 lakh shares in Open Interest.

The two-wheeler maker has informed the exchanges that it has reopened more than 1,500 touchpoints across the country, including authorised dealerships and service centres.

The concerned outlets contribute more than 30 percent of the company's total domestic retail sales.

The exchange filing further stated that the company has sold 10,000 units of motorcycles and scooters since the reopening of these touchpoints.

Shares gained as much as 4.25 percent to Rs 2,046 and are among the top performers on the Nifty 50 index.

• Benchmark indices holding on to gains
• Nifty up 1.55 percent at 9,394
• Sensex up 1.6 percent at 32,153
• Nifty Bank up 0.9 percent at 19,537
• Nity Midcap Index up 1.16 percent
• Nifty Smallcap Index up 0.8 percent
• India Volatility Index down 2.2 percent to 37.54
• Nifty Pharma and Nifty PSU Banking index give up gains and turn negative
• Nifty Auto is the top sectoral gainer; up 2.7 percent
• Nifty I.T. and Nifty Media are the other indices with gains of over 2 percent
• Nifty FMCG, Nifty Metal and Nifty Realty gain 1.5 percent each
• Tata Motors is the top Nifty gainer; up 4.5 percent
• Dr Reddy's Laboratories is the top Nifty loser; down 2.8 percent
• 1,068 stocks are trading with gains on the NSE while 561 are declining

The company has signed definitive agreements for a 250 MW turnkey contract with Continuum Power Trading.

As per the agreement, Inox Wind will supply, erect and commission a mix of 2 MW and 3 MW turbines. It has already begun execution of the first phase of the project, comprising of 126 MW and is scheduled for commissioning in Q3FY21.

Shares gained as much as 5.2 percent to Rs 25.30 post the announcement.

Shares of the e-ticketing company are locked in an upper circuit of 5 percent after the Ministry of Railways announced that it plans to gradually restart passenger train services from May 12.

Bookings for the same will only be available on the IRCTC website and no ticket booking counters will be open, the ministry added.

Only asymptomatic passengers will be allowed to board the train and it will be mandatory for them to wear masks, according to the railways.

Shares currently trade at Rs 1,303.55 and are up for the second straight day.

The Mumbai-based private lender reported a 26 percent rise in its net profit compared to the previous year in the fourth quarter.

The bank set aside Rs 5,967 crore in provisions in this quarter, nearly tripling from Rs 2,083 crore in the previous quarter.

The bank informed that slippages were higher this quarter led by the overseas book. A healthcare company in West Asia and a shipping company in Singapore were the downgrades.

The management also added that there can be no guidance on asset quality in these uncertain times. Over 30 percent of the bank's loan book has availed the moratorium for repayment on loans.

Shares fluctuated after falling as much as 2.1 percent to Rs 330.80 in early trade.

Bloomberg News reported on Friday that Saudi Arabia's sovereign wealth fund is exploring a potential investment in Jio Platforms, citing people with knowledge of the matter.

The last fortnight has seen Facebook, Silver Lake partners and Vista Equity Partners investing in Jio platforms for a minority stake.

Another news report suggested that General Atlantic too is in talks to invest in Jio platforms. The company has set May 14 as the record date for its rights issue.

Shares gained as much as 3.1 percent to Rs 1,609 and are the top point contributors to the Nifty upside. The stock is up for the fifth straight day, its longest winning streak in three months.

Indian equity markets began the new trading week on a positive note after declining over 6 percent last week. Asian markets are holding on to gains while futures on the Dow Jones are up over 150 points.

The S&P BSE Sensex opened 1.2 percent higher at 32,030 while the NSE Nifty 50 opened 1 percent higher at 9,348. 45 Nifty constituents opened with gains.

Both benchmarks consolidated for most of last week after falling over 6 percent on May 4.

Among sectoral indices, the Nifty Realty index was the top gainer; opening 2.1 percent higher while Nifty Bank, Nifty Auto and Nifty Metal opened with gains of over 1 percent.

1,108 stocks opened with gains while 298 were declining at the start of trade.

• Buy Torrent Pharma for target of Rs 2,540 and stop loss of Rs 2,340
• Sell L&T Finance Holdings for target of Rs 54 and stop loss of Rs 60
• Buy Nestle for target of Rs 18,300 and stop loss of Rs 17,300

• Buy Sun Pharma for target of Rs 495 and stop loss of Rs 450
• Buy Escorts for target of Rs 780 and stop loss of Rs 715

• ICICI Bank: Net profit rose 26 percent compared to last year while Net Interest Income grew 17 percent. Gross NPA improved to 5.53 percent from 5.95 percent while provisions rose 186 percent to Rs 5,967 crore sequentially. The management says 32 percent of their borrowers across retail and corporate segment have availed the moratorium.
• Shree Cement: Revenue falls 2 percent compared to last year while net profit jumps 83.2 percent, led by a 116 percent rise in Other Income compared to last year. Operating profit rose 27.3 percent to a multi-quarter high of Rs 1,078.9 crore.
• Sequent Scientific: Carlyle Group enters into binding agreement with promoters to acquire up to 74 percent equity stake. Promoters to sell up to 11.15 crore shares or 44.92 percent of their stake while Ascent India Fund to sell 1.41 crore shares or 5.69 percent of expanded voting share capital respectively at Rs 86 per share. The total sum aggregates to Rs 1,081.1 crore.
• Hero MotoCorp: Reopens more than 1,500 customer touchpoints including authorised dealerships and service centres. These outlets contribute around 30 percent of the company's total domestic retail sales. The company has sold 10,000 units of motorcycles and scooters since the reopening of these customer touchpoints.
• Lupin: Announced the closure of inspections carried out by the U.K. MHRA at its three manufacturing units in Pithampur. The inspection was carried out in January 2020.
• Cipla: Gets Establishment Inspection Report (EIR) for its API facility in Bengaluru from the U.S. FDA. The inspection took place between January 20-24, 2020.
• Minda Corp: Calls off Joint Venture with Shandong Beiqi Hai Hua Automobile Parts (China) for producing and selling automotive components. The JV had not commenced any business yet.
• Goa Carbon: Production in April fall 74 percent to 4,436 Million Tonnes
• Oracle Financial Services: Declares dividend of Rs 180 per share for FY20, sets record date at May 20.
• Non-Nifty Earnings Today: Piramal Enterprises, ADF Foods, Godrej Agrovet, Godrej Properties, Motilal Oswal Financial Services, Orient Abrasives, Sonata Software, Subex, Wockhardt

For all that you need to know going into today’s trade, click here.

• Benchmark indices gain for second day; post first weekly gain in three
• Nasdaq composite rose for the fifth straight day; gains 6 percent in the week
• Latest Jobs reports shows 20.5 million workers cut in April
• Jobless rate in the U.S. rises to 14.7 percent which was the highest since the great depression
• U.S. President Donald Trump cast doubt on the future of his phase one trade deal with China
• Bitcoin briefly climbed above the $10,000 mark before retreating over the weekend
• West Texas Intermediate crude rose 4.4 percent to $24.6 per barrel, the highest in two weeks. The commodity trades lower today.

For all the action in the global markets, click here.

Good Morning!

The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, rose 1.1 percent to 9,361 as of 7:30 a.m.

Asian markets edged higher albeit on thin volumes at the start of the new trading week. Benchmarks in Japan, South Korea and China are witnessing modest gains.

Major European economies have reported fewer Covid-19 deaths are investors begin to prepare for gradual reopening of the economies. South Korea however, has warned of a second wave of infections.

Yield on the 10-year treasury is at 0.7 percent while West Texas Intermediate Crude fell 3.2 percent to $23.95 per barrel.

Short on time? Well, then listen to this podcast for a quick summary of All You Need To Know before the opening bell.