Sensex, Nifty Post Worst Week In Nearly Two Months
Indian equity benchmarks fell for fourth straight day as Indian companies reported weaker-than-estimated earnings for the January-March quarter.
The S&P BSE Sensex fell 0.86 percent or 300.82 points to 34,848 and the NSE Nifty 50 index declined 0.81 percent or 86.30 points to 10,596.
On weekly basis, the benchmarks posted their worst performance in nearly two months. The Sensex plunged 1.93 percent and Nifty tumbled 1.94 percent.
Earnings so far have been below expectations and that’s hurting sentiment, market expert Anand Tandon told BloombergQuint in an interview. He expects tougher times for market if earnings growth does not sustain.
“Autos and consumption companies have done well but valuation comfort is not there in consumption focused companies as they are expensive,” he said.
All sector gauges barring the S&P BSE Fast Moving Consumer Durables index ended lower led by the S&P BSE Capital Goods index's 3 percent drop.
Mid- and small-cap shares underperformed their larger peers as the S&P BSE MidCap index fell 1.47 percent and the S&P BSE SmallCap index plunged 1.62 percent.
Ashok Leyland Q4 Net Profit Rises 40%
Shares of the Chennai-based commercial vehicle maker fell 3.9 percent to Rs 148.30 after it reported March quarter earnings.
Key earnings highlights:
- Net profit up 40 percent at Rs 667 crore versus Bloomberg estimate of Rs 638 crore
- Revenue up 24 percent at Rs 8,772 crore versus Bloomberg estimate of Rs 8,850 crore
Dabur Holds Gains After Block Deal
Shares of the Ghaziabad-based FMCG company held on to gains after a block deal. Dabur had 18 lakh shares change hands in a block on BSE.
Buyers and sellers were not immediately known
Fab Four Stocks Of The Day
- JK Tyre: The Delhi-based tyre maker rose as much as 7.83 percent, the most in over three months, to Rs 155.70 after its net profit beat Bloomberg consensus estimates in March quarter.
- Britannia Industries: The Bengaluru-based packaged food maker rose as much as 3 percent to record high of Rs 5,640 after brokerage firm Edelweiss maintained buy on the stock and raised its target price to Rs 6,360 from Rs 5,600. New product launches, entry in new categories and geographies and enhancing distribution network will help Britannia outperform the industry, Edelweiss said in a note.
- Himatsingka Seide: The Bangalore-based home textile products maker rose as much as 8 percent, the most in over five months, to Rs 383 after acquired exclusive licensing rights for Tommy Hilfiger Home.
- Intellect Design Arena: The Chennai-based financial technology firm rose as much as 5.51 percent to Rs 225 on the back of heavy volumes. Trading volume was 2.5 times 20-day average.
European Stocks Slip
Stocks in Europe slipped, failing to follow Asian peers higher amid conflicting reports over progress on trade talks between the world’s largest economies. The dollar pared some of its gains for the week and the U.S. 10-year Treasury yield edged lower after reaching the highest level since 2011.