Sensex, Nifty Log Gains For Third Day Aided By I.T., Banking, Metal Stocks

India's stock benchmarks advanced, aided by gains in information technology, metal, banking and power stocks, after the RBI's rate-setting committee kept the policy rates unchanged and maintained the accommodative stance.

This is the third consecutive session in which the S&P BSE Sensex and NSE Nifty 50 have risen.

The Sensex added 0.79% to 58,926.03. The 30-stock gauge rose over 1% to an intraday high of 59,060.24. This is the first time the Sensex rose above 59,000 in intraday trade in a week. The Nifty 50 advanced by similar magnitude to 17,605.85.

The broader indices underperformed their larger peers with S&P BSE MidCap rising 0.30% and S&P BSE SmallCap little changed. Barring S&P BSE Capital Goods, all the other 18 sectoral indices compiled by BSE Ltd. advanced with S&P BSE Power, Finance, Information Technology, Utilities, Bankex, Metal and Teck adding over 1%.

The market breadth was skewed in the favour of bears. About 1,568 stocks advanced, 1,769 declined and 111 remained unchanged.

Adani Enterprises has acquired 10% shareholding of Unyde Systems for Rs 3.75 crore.

USPL is a start-up engaged in software development and information technology enabled services. The annual turnover of USPL for FY2020-2021 was 0.86 crore.

Source: Exchange Filing

SpiceJet Ltd. offered to pay Rs 600 crore ($80 million) to settle a long-standing dispute with the budget airline's former owner Kalanithi Maran and his firm KAL Airways.

• Supreme Court advised Maran to consider SpiceJet's proposal and listed the matter for Feb. 14, according to the statement.

• Shares of SpiceJet rise over 5.6%, the biggest intraday gain in nearly two weeks.

Source: Bloomberg

Shares of Dr Lal Pathlabs Ltd. fell over 2% after the company reported net income for the quarter-ended December below the average analyst estimate.

Third quarter results (Consolidated, YoY)

• Net profit down 39% at Rs 57.3 crore vs Bloomberg consensus estimate of Rs 91.68 crore

• Revenue up 10% at Rs 496.9 crore vs estimate of Rs 463 crore

• Total costs up 27% at Rs 427.5 crore

Of the 20 analysts tracking the company, four maintain 'buy', six suggest 'hold' and 10 recommend 'sell'. The overall consensus price of analysts tracked by Bloomberg imply an upside of 9.7%.

Source: Exchange Filing, Bloomberg

Shares of Alembic Pharma rose 2.5% after the company reported net income for the third quarter that beat the average analyst estimate

December quarter results (Consolidated, YoY)

• Net profit down 40% at Rs 176.42 crore vs Bloomberg consensus estimate of Rs 159 crore

• Revenue down 3.1% at Rs 1,271.70 crore vs estimate of Rs 1,256 crore

• Total costs up 8.1% at Rs 1,076.32 crore

• Ebitda down 33% at Rs 269 crore vs estimate of Rs 244 crore

• Other income at Rs 1.34 crore

Of the 18 analysts tracking the company, seven maintain 'buy', seven 'suggest' hold and four recommend 'sell'. The overall consensus price of analysts tracked by Bloomberg imply an upside of 13.6%.

Trading volume on the stock was 1.5 times the 30-day average volume at this time of the day.

Source: Exchange Filing, Bloomberg

Hindalco Q3FY22 ( Consolidated, QoQ)

• Net profit up 7.5% at Rs 3,675 crore vs Rs 3,417 crore (Bloomberg estimate of Rs 3,334.05 cr)

• Revenues up 5.5% at Rs 50,272 crore vs Rs 47,665 crore (Bloomberg estimate of Rs 50,272 cr)

• EBITDA down 3.2% at Rs 7,312 crore vs Rs 7,555 crore (Estimate of 7328.5)

• Margins at 14.5% vs 15.8% (Estimate of 15.5%)

• JK Lakshmi Cement raised to 'accumulate' from 'hold' at NMV Securities; price target set at Rs 639.

• TVS Motor raised to 'accumulate' from 'hold' at Arihant Capital; price target set at Rs 735.

Source: Bloomberg

BLOOMBERG EXCLUSIVE

• The government plans to offer 31.6 crore shares of the 632 crore shares it owns in LIC.

• No fresh stock will be issued.

Source: People familiar with the matter

• Laurus Labs received purchase orders from a leading global life sciences company.

• The supplies will commence from March 2022.

• The company has not shared the size of the order.

Source: Exchange Filing

• Adani Power Ltd. has 4 million shares change hands in a large trade.

• Details of buyers, sellers are not immediately known.

Source: Bloomberg

Shares of Bharat Forge Ltd. were volatile after the company reported net income for the December quarter above the average analyst estimate.

Third quarter numbers (Standalone, YoY)

• Net profit at Rs 337.40 crore vs Bloomberg consensus estimate o Rs 264 crore

• Revenue up 54% at Rs 1,602.09 crore vs estimate of 1,570 crore

• Total costs up 39% at Rs 1,309.18 crore

• Other income up 1.7% at Rs 35.82 crore

• The company approved raising up to Rs 500 crore via bonds

Of the 31 analysts tracking the company, 24 maintain 'buy', two suggest 'hold' and five recommend 'sell' The overall consensus price of analysts tracked by Bloomberg imply an upside of 23.6%.

Trading volume was nearly four times the 30-day average volume at this time of the day.

Source: Exchange Filing, Bloomberg

India's stock benchmarks rose after RBI's rate setting committee voted to keep the repo rate unchanged. The MPC also maintained status quo on the reverse repo rate and the monetary policy stance remains accommodative. Banking, utilities, metal, power and reality stocks led the rally.

The Sensex rose 0.82% to 58,942.63. The 30-stock gauge rose to an intraday high of 59,008.98. This is the first time the Sensex rose above 59,000 in intraday trade in a week. The NSE Nifty 50 also advanced by similar magnitude to 17,609.95.

The broader indices underperformed their larger peers with S&P BSE MidCap rising 0.5% and S&P BSE SmallCap adding 0.1%. Barring S&P BSE Fast Moving Consumer Goods and Consumer Durables, all the other 17 sectoral indices compiled by BSE Ltd. advanced with S&P BSE Bankex rising 1.5%.

The market breadth was neither skewed in the favour of bulls nor bears. About 1,584 stocks advanced, 1,665 declined, 114 remained unchanged.

• ACC emerges as the successful bidder for Kannur, Wadi Area, Limestone Block in Karnataka.

• ACC has secured estimated limestone resources in excess of 250 million tonnes, through this mining block.

Source: Exchange Filing

• Nykaa raised to 'reduce' from 'sell' at IIFL; price target set at Rs 1,650.

• Endurance Technologies raised to 'buy' from 'add' at Centrum Broking; price target set at Rs 1,715.

Source: Bloomberg

Shares of Solara Active Pharma Sciences tumbled after the company reported a net loss in quarter-ended December, post market hours Wednesday.

• Relative Strength Index on the stock was at 22, suggesting that the stock may be oversold.

• ICICI Securities initiated coverage of the stock with a 'reduce' recommendation. Motilal Oswal Securities and Antique Stock Broking reduced their price targets.

Source: Bloomberg

Shares of Larsen & Toubro rose after the company's hydrocarbon business secured two offshore projects from prestigious overseas client.

• The company classified it as a 'significant' contract, meaning that the order value is between Rs 1,000 crore and Rs 2,500 crore

• The scope of work comprises engineering, procurement, construction, installation and commissioning for the expansion of a marine terminal

Source: Exchange Filing, Bloomberg

Yields fell across the India sovereign yield curve in Thursday morning trading.

• The 2-year yield fell 11.9bps to 4.966%

• The 10-year yield fell 4.8bps to 6.75%

• The 14-year yield fell 5.3bps to 7.104%

• The 2-year-10-year yield spread was 178.4bps, vs previous close 171.3bps

Source: Bloomberg

• Steel Authority raised to 'hold' at ICICI Securities; price target set at Rs 99.

• Endurance Technologies raised to 'buy' from 'neutral' at Phillip Securities; price target set at Rs 1,720

Source: Bloomberg

• GAIL India has 5.06 million shares change hands in a large trade.

• Details of buyers, sellers are not known immediately.

Source: Bloomberg

• Rites cut to 'accumulate' at Elara Securities India; price target set at Rs 310.

• Godrej Agrovet raised to 'buy' at Equirus Securities; price target set at Rs 600.

• Abbott India raised to 'add' at ICICI Securities; price target set at Rs 19,156.

Source: Bloomberg

India's stock benchmarks opened higher ahead of the RBI's Monetary Policy Committee's rate decision, aided by gains in information technology, auto and banking stocks.

The S&P BSE Sensex rose 0.40% to 58,698.26. The NSE Nifty 50 advanced by similar magnitude to 17,526.85.

The broader indices almost mirrored their larger peers with both the S&P BSE MidCap and S&P BSE SmallCap gaining 0.25%. Fifteen of the 19 sectoral indices compiled by BSE Ltd. advanced with S&P BSE Information Technology rising 0.7%.

The market breadth was skewed in the favour of bulls. About 1,263 stocks advanced, 1,028 declined and 100 remained unchanged.

• Mahanagar Gas raised to 'buy' from 'accumulate' at Nirmal Bang; price target set at Rs 947.

• DCB Bank raised to 'buy' from 'accumulate' at Nirmal Bang; price target set at Rs 102.

Source: Bloomberg

Reliance New Energy enters into an agreement with Altigreen Propulsion Labs for subscription of 34,000 Series A Compulsorily Convertible Preference Shares of face value Rs 100 each for Rs 50.16 crore.

• The transition is expected to be completed before March 2022.

• Bengaluru-based Altigreen is an EV technology and solutions company and has developed Electric three wheeler vehicles built-in house.

• The company's patent portfolio spans 60 countries with 26 global patents.

• Reliance New Energy is a wholly-owned subsidiary of Reliance Industries.

Source: Exchange Filing

Indian bond traders will await the central bank’s rate decision and any comments from Governor Shaktikanta Das on how RBI plans to facilitate the government’s record borrowing plan.

• 10-year yields were little changed at 6.81% on Wednesday

• USD/INR rose 0.1% to 74.8075

• Global funds sell net Rs 893 crore of India stocks Wednesday: NSE

• They bought Rs 195 crore of sovereign bonds under limits available to foreign investors and withdrew Rs 392 crore of corporate debt.

• State-run banks bought Rs 1,060 crore of sovereign bonds on Feb. 8: CCIL data. Foreign banks sold Rs 4,420 crore of bonds

Source: Bloomberg

Persistent Systems entered into an agreement to acquire the business of New Jersey-based Data Glove.

• The total purchase consideration payable for the acquisition is $90.50 million.

• The acquisition is expected to be completed within 4-5 weeks.

• The acquisition of Data Glove is likely to aid Persistent Systems in enhancing its partnership with Microsoft and strengthening expertise in Azure-based digital transformation.

• Data Glove is a global leader in transformative consulting services with annual revenue for CY21 at $48.96 million.

• Data Glove is a Microsoft Cloud Modernization Services Partner with competencies in Azure Cloud platform, data center, application development and data analytics

Source: Exchange Filing

• Astec Lifesciences cut to 'hold' by Asian Markets; price target set at Rs 1,710.

• Bharti Airtel cut to 'hold' by Deutsche Bank; price target set at Rs 770.

• Tata Power raised to 'outperform' by DAM Capital; price target set at Rs 288.

• Endurance Tech raised to 'reduce' by Spark Capital Advisors.

Source: Bloomberg

• Mahindra & Mahindra

• Hindalco Industries

• Hero MotoCorp

• Hindustan Aeronautics

• Zomato

• Bharat Forge

• Tata Chemicals

• ABB India

• Amara Raja Batteries

• Page Industries

• Cummins India

• Computer Age Management Services

• General Insurance Corporation of India

• Krishna Institute of Medical Sciences

• IRB Infrastructure Developers

• Indian Railway Finance Corporation

• Gujarat State Petronet

• Dr Lal PathLabs

• Piramal Enterprises

• Quess Corp

• Carborundum Universal

• Alembic Pharmaceuticals

• Gujarat Pipavav Port

• Mindspace Business Parks Reit

• MRF

• Rashtriya Chemicals & Fertilizers

• Aegis Logistics

• BEML

• ESAB India

• Bombay Dyeing & Mfg. Co

• Cochin Shipyard

• Elgi Equipments

• GR Infraprojects

• HealthCare Global Enterprises

• Honda India Power Products

• India Nippon Electricals

• Indo Rama Synthetics (India)

• Insecticides (India)

• MTAR Technologies

• Jindal Worldwide

• JMC Projects (India)

• Jtekt India

• KCP

• Kingfa Science & Technology (India)

• Kirloskar Brothers

• Lemon Tree Hotels

• Manali Petrochemical

• Matrimony

• Mishra Dhatu Nigam

• Nilkamal

• Novartis India

• Rhi Magnesita India

• Reliance Power

• Schneider Electric Infrastructure

• Somany Home Innovation

• SJVN

• Strides Pharma Science

• Sundram Fasteners

• Sunteck Realty

• Sun TV Network

• Trent

• V-Mart RETAIL

• Welspun Corp

• Whirlpool Of India

• Zee Media Corporation

SAIL Q3FY22 (Standalone, QoQ)

• Revenue down 6% at Rs 25,245.92 crore Vs Rs 26,826.92 crore

• Net profit down 66% at Rs 1,443.10 crore Vs Rs 4,303.62 crore

• Ebitda down 51% at Rs 3,410.44 crore Vs Rs 7,016.92 crore

• Margin at 13.5% Vs 26.2%

Tata Power Q3FY22 (Consolidated, YoY)

• Revenue up 44% at Rs 10,913.14 crore Vs Rs 7,597.91 crore

• Net profit up 72% at Rs 425.81 crore Vs Rs 248.21 crore

• Ebitda down 6% at Rs 1,633.76 crore Vs Rs 1,734.26 crore

• Margin at 15% Vs 22.83%

• To set up 4GW solar cell and module manufacturing capacity with an investment of Rs 3,400 crore

• Solar EPC order book has crossed Rs 10,000 crore

Power Grid Corporation of India Q3FY22 (Consolidated, YoY)

• Revenue up 3% at Rs 10,446.88 crore Vs Rs 10,142.48 crore

• Net profit down 2% at Rs 3,292.97 crore Vs Rs 3,367.71 crore

• Ebitda up 2% at Rs 9,117.27 crore Vs Rs 8,914.54 crore

• Margin at 87.3% Vs 87.9%

• Approved interim dividend of Rs 5.50 per share

Rail Vikas Nigam Q3FY22 (Consolidated, YoY)

• Revenue up 35% at Rs 5,049.24 crore Vs Rs 3,732.44 crore

• Net profit up 4% at Rs 293.01 crore Vs Rs 281.02 crore

• Ebitda up 45% at Rs 319.17 crore Vs Rs 219.8 crore

• Margin at 6.3% Vs 5.9%

Aurobindo Pharma Q3FY22 (Consolidated,YoY)

• Revenue down 6% at Rs 6,002 crore Vs Rs 6,365 crore (Bloomberg estimate: Rs 6,125 crore)

• Net profit down 79% at Rs 605 crore Vs Rs 2,948 crore (Bloomberg estimate: Rs 768 crore)

• Ebitda down 26% at Rs 1,016 crore Vs Rs 1,369 crore (Bloomberg estimate: Rs 1,247 crore)

• Margin at 16.9% Vs 21.5% (Bloomberg estimate: 20.4%)

• EPS at Rs 10.32 per share Vs Rs 50.31 per share (Bloomberg estimate: Rs 13.56)

• Declared dividend of Rs 1.50 per share

ACC Q3FY22 (Consolidated, YoY)

• Revenue up 2% at Rs 4,225.76 crore Vs Rs 4,144.72 crore

• Net profit down 41% at Rs 280.85 crore Vs Rs 472.44 crore

• Ebitda down 3% at Rs 556.25 crore Vs Rs 571.85 crore

• Margin 13.2% Vs 13.8%

• Recommended payment of dividend of Rs 58 per share

SKF India Q3FY22 (Consolidated, YoY)

• Revenue up 18% at Rs 966.98 crore Vs Rs 818.72 crore

• Net profit down 31% at Rs 88.79 crore Vs Rs 128.11 crore

• Ebitda down 32% at Rs 123.18 crore Vs Rs 180.39 crore

• Margin at 12.7% Vs 22%

Nykaa Q3FY22 (Consolidated, QoQ)

• Revenue up 24% at Rs 1,098 crore Vs Rs 885.27 crore (Bloomberg estimate: Rs 1,074.57 crore)

• Net profit up 24 times at Rs 27.93 crore Vs Rs 1.2 crore (Bloomberg estimate: Rs 36.15 crore)

• Ebitda up 2.4 times at Rs 68.98 crore Vs Rs 28.83 crore (Bloomberg estimate: Rs 72.15 crore)

• Margin at 6.3% Vs 3.3% (Bloomberg estimate: 6.7%)

Petronet LNG Q3FY22 (Consolidated, YoY)

• Revenue up 72% at Rs 12,597.22 crore Vs Rs 7,328.23 crore

• Net profit up 31% at Rs 1,159.46 crore Vs Rs 882.05 crore

• Ebitda up 30% at Rs 1,731.83 crore Vs Rs 1,335.29 crore

• Margin at 13.7% Vs 18.2%

Berger Paints Q3FY22 (Consolidated, YoY)

• Revenue up 20% at Rs 2,550.77 crore Vs Rs 2,118.19 crore

• Net profit down 8% at Rs 252.97 crore Vs Rs 274.98 crore

• Ebitda down 6% at Rs 392.11 crore Vs Rs 414.99 crore

• Margin at 15.4% Vs 19.6%

GMR Infrastructure Q3FY22 (Consolidated, YoY)

• Revenue up 63% at Rs 1,364.13 crore Vs Rs 836.31 crore

• Net loss at Rs 626.30 crore Vs Rs 896.72 crore

• Ebitda at Rs 715.47 crore Vs Rs 86.08 crore

• Margin at 52.4% Vs 10.3%

HEG Q3FY22 (Consolidated, YoY)

• Revenue up 87% at Rs 597.30 crore Vs Rs 319.59 crore

• Net profit of Rs 113.48 crore Vs Net loss of Rs 0.80 crore

• Ebitda gain of Rs 155.98 crore Vs Ebitda loss of Rs 1.27 crore