RIL, Kotak Mahindra Bank Help Sensex, Nifty Resume Gains After One-Day Blip

Indian stocks resume gains after a one day blip, led by the gains Reliance Industries Ltd. and Kotak Mahindra Bank Ltd.

The S&P BSE Sensex rose 0.14 percent to end at 41.932.56 and the NSE Nifty 50 rose 0.09 percent to close at 12,355.50. The broader markets represented by the NSE Nifty 500 Index rose 0.23 percent.

The 30-share index crossed a new milestone in the opening trade—surpassing 42,000 for the first time. The 50-stock gauge had hit an all-time high at 12,389.05.

The market breadth was tilted in favour of buyers. About 1,058 stocks advanced and 729 shares declined on National Stock Exchange.

Ten out of 11 sectoral gauges compiled by NSE ended higher, led by the NSE Nifty Media Index’s 1.44 percent gain. On the flipside, the NSE Nifty Metal Index was the only sectoral loser, down 1.25 percent.

Den Networks

• Stock rose as much as 4.9 percent to Rs 58.15.
• Revenue rose 3.1 percent to Rs 318.1 crore.
• Net profit was at Rs 19.4 crore versus net loss of Rs 32.4 crore.
• Ebitda rose 21.2 percent to Rs 58.4 crore.
• Margin was at 18.4 percent versus 15.6 percent.

Alphageo

• Stock rose as much s 10 percent to Rs 199.90.
• Received contract worth Rs 112 crore from ONGC.

Max Financial Services

• Stock rose as much as 4.9 percent to Rs 535.80.
• Fresh longs seen with high open interest of 15 percent.

MSTC

• Stock rose as much as 7.1 percent to Rs 152.80.
• Appointed as selling agent for Engineers India
• For sale of items and scrap via the company’s auction website

Wockhardt

• Stock rose as much as 14 percent to Rs 295.70.
• Trading volume was more than 13 times its 20-day average.

Cochin Shipyard

• Stock rose as much as 7.1 percent to Rs 434.90.
• Trading volume was more than 13 times its 20-day average.

Shoppers Stop

• Stock fell as much as 2.3 percent to Rs 397.25.
• Trading volume was more than eight times its 20-day average.

Emami

• Stock rose as much as 5.1 percent to Rs 327.30.
• Trading volume was more than 12 times its 20-day average.

BASF India

• Stock rose as much as 7.3 percent to Rs 1,057.75.
• Trading volume was more than 11 times its 20-day average.

Shares of IRCTC extended gains for the sixth consecutive trading session. The stock rose as much as 2 percent to cross Rs 1,000 apiece-mark.

The Relative Strength Index was above 70, indicating that the stock may be overbought.

American equity futures edged higher and European shares fluctuated in the wake of the signing of the U.S.-China trade deal, expectations for which had driven global stocks to record highs.

• Futures on the S&P 500 Index increased 0.2 percent.
• The Stoxx Europe 600 Index climbed 0.2 percent.
• The MSCI Asia Pacific Index advanced 0.2 percent.

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Source: Bloomberg

Indian stocks fluctuated between gains and losses.

The S&P BSE Sensex rose 0.14 percent to 41,932 and the NSE Nifty 50 rose 0.1 percent to 12,356. The broader markets represented by the NSE Nifty 500 index rose 0.24 percent.

Shares of DLF extended gains for the eighth consecutive trading session and are set for their longest gaining streak in over six months.

The stock rose as much s 0.8 percent to Rs 257.85, the highest since Jan. 24, 2018.

The Relative Strength Index was above 70, indicating that the stock may be overbought, according to Bloomberg data. The scrip returned 8 percent in the past five days and 12 percent in the past 30 days.

Seven out of 11 sectoral gauges compiled by NSE traded lower, led by the NSE Nifty Metal Index’s 1.5 percent gain. On the flipside, the NSE Nifty Media Index was the top sectoral gainer, up 0.66 percent.

Sterlite Tech (Q3, QoQ)

• Stock fell as much as 6.6 percent to Rs 122.75.
• Revenue fell 11.5 percent to Rs 1,202.7 crore.
• Net profit fell 68.3 percent to Rs 50 crore.
• Ebitda fell 16.3 percent to Rs 241.4 crore.
• Margin was at 20.1 percent versus 21.2 percent.

Den Networks (Q3, YoY)

• Stock rose as much as 4.9 percent to Rs 58.15.
• Revenue rose 3.1 percent to Rs 318.1 crore.
• Net profit was at Rs 19.4 crore versus net loss of Rs 32.4 crore.
• Ebitda rose 21.2 percent to Rs 58.4 crore.
• Margin was at 18.4 percent versus 15.6 percent.

Plastiblends (Q3, YoY)

• Stock rose as much as 7 percent to Rs 225.
• Revenue fell 4.4 percent to Rs 144.7 crore.
• Net profit rose 2 times to Rs 11.4 crore.
• Ebitda rose 66.1 percent to Rs 21.1 crore.
• Margin was at 14.6 percent versus 8.4 percent.

Reliance Industrial Infrastructure (Q3, YoY)

• Stock rose as much as 2.1 percent to Rs 451.80.
• Revenue fell 5.7 percent to Rs 20 crore.
• Net profit rose 13.6 percent to Rs 2.5 crore.
• Ebitda fell 48.1 percent to Rs 1.4 crore.
• Margin was at 7 percent versus 12.7 percent.

Tinplate Company of India (Q3, YoY)

• Stock rose as much as 6 percent to Rs 163.95.
• Revenue fell 15.3 percent to Rs 533.6 crore.
• Net profit rose 27.9 percent to Rs 55 crore.
• Ebitda rose 4.6 percent to Rs 40.9 crore.
• Margin was at 7.7 percent versus 6.2 percent.

Nifty’s 12,400 put option contract was among the most active Nifty option contracts on National Stock Exchange.

Premium on the contract, which is set to expire today, fell 81.48 percent to Rs 2.25. About 29.69 lakh shares were added to the open interest which stood at over 50.17 lakh shares.

Indian stocks erase gains after crossing new milestones in the opening trade.

The S&P BSE Sensex and the NSE Nifty traded little changed at 41,858 and 12,329 respectively. The broader markets represented by the NSE Nifty 500 Index, too, traded little changed.

Shares of GMR Infrastructure rose as much as 3.8 percent to Rs 24.85.

The company has planned to divest 49 percent in airports business compared to 44.4 percent planned earlier, according to its statement on the exchanges, adding that it will raise transaction with Tata Group and GIC.

Besides, about 10 lakhs shares of the company changed hands in a large trade, Bloomberg data showed. Buyers and sellers were not known immediately.

Shares of the aviation companies advanced, led by the gains in InterGlobe Aviation.

Qatar Airways chief executive officer said the company will buy as much stake of InterGlobe Aviation as possible, according to Bloomberg report.

Shares of Oil & Natural Gas Corporation swung from a gain of as much as 0.4 percent to fall as much as 0.3 percent.

About 10 lakh shares of the company changed hands in a large trade, Bloomberg data showed. Buyers and sellers were not known immediately.

The markets anticipated the signing and one of the key issues is that the amount of tariffs did not change, Glassratner Advisory & Capital Group’s Seth Freeman

“The administration is holding off removing tariffs after they see compliance with the terms in Phase 1,” The senior managing director told BloombergQUint in an interaction.

Watch the full interaction here:

Shares of Adani Green Energy hit their lower circuit of 5 percent for the fifth consecutive trading session. Prior to Jan. 10, the stock had risen for nine consecutive trading sessions.

The stock declined 23 percent in the past five days and advanced 34 percent in the past 30 days, according to Bloomberg data.

Shares of Asian Paints extended gains for the eight consecutive trading session and are set for their longest gaining streak since April 2017.

The stock rose as much as 0.3 percent to hit an all-time high at Rs 1,848.

The company said that it is examining Competition Commission of India’s order and will take appropriate legal recourse. The company added that it will extend full cooperation to CCI. The CCI had directed investigation against the paintmaker on a complaint made by JSW Paints.

The shares traded at 60 times its estimated earnings per share for the coming year according to Bloomberg data.

Shares of VA Tech Wabag extended gains for the second consecutive trading session. The stock rose as much as 11.3 percent, the most since Jan. 3, to Rs 237.75.

Of the shares traded, 41 percent were at the ask price and 39 percent were at the bid, according to Bloomberg data. The stock traded at 13 times its estimated earnings per share for the coming year, according to Bloomberg data.

Indian stocks opened marginally higher, resuming gains after a one-day blip.

The S&P BSE Sensex rose 0.3 percent to cross 42,000 and the NSE Nifty 50 rose 0.25 percent to 12,373. The broader markets represented by the NSE Nifty 500 Index rose 0.28 percent.

The market breadth was tilted in favour of buyers. About 1,033 stocks advanced and 449 shares declined on National Stock Exchange.

Ten out of 11 sectoral gauges compiled by NSE traded higher, led by the NSE Nifty Realty Index’s 0.75 percent gain. On the flipside, the NSE Nifty Media Index was the only sectoral loser, down 0.21 percent.

Index Futures

• Nifty January futures closed at 12,378, premium of 34.7 points.
• Nifty January futures open interest down 3.5 percent, sheds 4.8 lakh shares in open interest.
• Nifty Bank January futures closed at 31,943.8, premium of 118.9 points versus 97.4 points.
• Nifty Bank January futures open interest down 1 percent, sheds 61,000 shares in open interest.

Options

• Nifty PCR at 1.56 versus 1.67 (across all series).

Nifty Weekly Expiry: Jan. 16

• Max open interest on call side at 12,400 (20.4 lakh shares).
• Max open interest on put side at 12,300 (26.1 lakh shares).
• Open interest addition seen at 12,450C (+3.6 lakh shares), 12,400C (+3.3 lakh shares), 12,250P (+2.8 lakh shares).
• Open interest shedding seen in 12,300P (-5.5 lakh shares).

Nifty Monthly Expiry: Jan. 30

• Max open interest on call side at 12,500 (27.7 lakh shares).
• Max open interest on put side at 12,000 (42 lakh shares).

• Great Eastern Shipping to meet Edelweiss AMC, Valentis Advisers and Philip Capital from Jan. 16-20
• Mahindra & Mahindra to meet Bajaj Allianz Life Insurance on Jan. 16

• Security & Intelligence Services record date for share split at 2:1.
• Vikas Proppant & Granite to move into ASM Framework.
• Madhav Marbles and Granites, Man Infraconstruction, Jaiprakash Power Ventures, Sadhana Nitrochem to move into short term ASM Framework.
• GSS Infotech, Shankara Building Product, Jiya Eco-Products, RattanIndia Power to move out of short term ASM Framework.

• Kotak Mahindra Bank’s arm Kotak Mahindra Prime sold its entire stake of 5.56 percent for Rs 50.6 crore.
• Bank of India sold its entire stake of 3.5 percent stake for Rs 31.9 crore.
• State Bank of India sold its entire stake of 7.41 percent stake for Rs 67.43 crore.
• Union Bank sold its entire stake of 4.17 percent stake for Rs 37.93 crore.

All the transactions are subject to regulatory approvals and are expected to be completed by the fourth quarter of fiscal year 2020.

The Indian rupee opened marginally higher against the U.S. dollar. The home currency appreciated as much as 0.03 percent to 70.79 against the greenback.

Indian stocks are set to open higher.

The S&P BSE Sensex rose 0.08 percent to 41,905.83 during the pre-market trade and the NSE Nifty 50 rose 0.05 percent to 12,348.55.

• Asian Paints said that it is examining Competition Commission of India’s order and will take appropriate legal recourse. The company added that it will extend full cooperation to CCI. The CCI had directed investigation against the paintmaker on a complaint made by JSW Paints.
• DFM Foods said that its promoters and other shareholders have executed the transfer of their shareholding to AI Global Investments. In a separate filing, the company said that AI Global Investments (Cypus) PCC stake has increased to 73.94 percent from 4.63 percent between Jan. 13-15.
• Jet Airways: South American conglomerate Synergy Group and New Delhi-based Prudent Asset Reconstruction Company submitted an expression of interest for the company. The creditors will assess EoIs to establish bidder quality.
• Mangalam Cements said that it’s Waste Heat Recovery Plant has commissioned 5.15 megawatt of capacity on Jan. 15 and the remaining capacity of 5.85MW is expected to be commissioned in the current quarter.
• InterGlobe Aviation: Qatar Airways chief executive officer said the company will buy as much stake of the company, as possible, according to Bloomberg report.
• ICICI Bank said that post the proposed capital raise by Kisan Finance, ICICI Bank’s shareholding in Kisan Finance will reduce to 7.4 percent from 9.9 percent.
• PI Industries received certifications from the British Standards Institute for implementation of information security for its plants.
• MSTC: Engineers India appointed the company as a selling agent for disposal of items and all surplus scrap through the company’s auction website.
• Punjab & Sind Bank revised marginal cost of funds-based lending rate across various tenors. One-year MCLR was at 8.45 percent and Base Rate remained unchanged at 9.7 percent.
• Torrent Pharma will consider raising funds via QIP on Jan. 27.
• Yes Bank, Sical Logistics: Yes Bank acquired 10.25% stake in Sical Logistics by way of invocation of pledge
• Indian Oil Corporation raised Rs 2,000 crore via debentures on Jan. 14.

Earnings To Watch

• Tata Metaliks
• Karnataka Bank
• South Indian Bank
• Rallis India
• Hathway Cable & Datacom
• Cyient
• Asahi Industries
• Aditya Birla Money
• 5Paisa Capital.

Earnings Reaction To Watch

Sterlite Tech (Q3, QoQ)

• Revenue fell 11.5 percent to Rs 1,202.7 crore.
• Net profit fell 68.3 percent to Rs 50 crore.
• Ebitda fell 16.3 percent to Rs 241.4 crore.
• Margin was at 20.1 percent versus 21.2 percent.

Den Networks (Q3, YoY)

• Revenue rose 3.1 percent to Rs 318.1 crore.
• Net profit was at Rs 19.4 crore versus net loss of Rs 32.4 crore.
• Ebitda rose 21.2 percent to Rs 58.4 crore.
• Margin was at 18.4 percent versus 15.6 percent.

Plastiblends (Q3, YoY)

• Revenue fell 4.4 percent to Rs 144.7 crore.
• Net profit rose 2 times to Rs 11.4 crore.
• Ebitda rose 66.1 percent to Rs 21.1 crore.
• Margin was at 14.6 percent versus 8.4 percent.

Reliance Industrial Infrastructure (Q3, YoY)

• Revenues fell 5.7 percent to Rs 20 crore.
• Net profit rose 13.6 percent to Rs 2.5 crore.
• Ebitda fell 48.1 percent to Rs 1.4 crore.
• Margin was at 7 percent versus 12.7 percent.

Tinplate Company of India (Q3, YoY)

• Revenues fell 15.3 percent to Rs 533.6 crore.
• Net profit rose 27.9 percent to Rs 55 crore.
• Ebitda rose 4.6 percent to Rs 40.9 crore.
• Margin was at 7.7 percent versus 6.2 percent.

• Supreme Court to consider the review of its order asking telecom companies to pay up $13 billion worth of past dues.

• The benchmark S&P 500 finished short of an earlier all-time intraday high after President Donald Trump presided over a signing ceremony with Chinese officials. The Nasdaq Composite and Dow Jones Industrial Average indexes also set fresh highs.
• U.S. markets received an added boost earlier after White House economic adviser Larry Kudlow promoted more tax cuts.
• Oil erased some of the losses that followed the U.S. inventory report after the U.S. and China inked the first phase of a broader trade pact on Wednesday.

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Good Morning!

The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, traded little changed at 12,355 as of 8:30 a.m.

Stocks in Asia were mixed Thursday in wake of the signing of the U.S.-China trade deal, expectations for which had driven global equities to record highs and propelled a recovery in the yuan.

Shares in Japan and South Korea were largely flat, while Australian equities were modestly higher. Hong Kong and Shanghai saw a muted open. U.S. futures were little changed.

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