Sensex, Nifty Close Penultimate Week of 2021 Higher
Catch all live updates on share prices, index moves, corporate announcements and more from the Sensex and Nifty, today.
KEY HIGHLIGHTS
United Breweries Jumps After NCLAT Stays CCI's Order On The Firm Penalising Rs 750 Crore For Alleged Cartelisation
Data Patterns' Shares List At 46.33% Premium To Its IPO Price On Market Debut
Lupin Gets Tentative U.S. FDA Nod For Drug To Treat High Blood Pressure
L&T Finance Holdings' Shares Shed Over 5%
HCL Tech Climbs Over 4.5%, About 2.6 Million Shares Change Hands In Large Trade
Closing Bell
India's stock benchmarks logged gains in the penultimate week of 2021, aided by information technology and pharma stocks.
It was a volatile week with the benchmarks recovering for three consecutive sessions after the sharp decline on Monday, only to close the week snapping that winning streak.
On Friday's session, the S&P BSE Sensex fell 0.33% to 57,124.31. The 30-stock gauge shed nearly 1% or over 500 points in intraday trade to slip below 57,000, before paring some of the losses. The NSE Nifty 50 index also fell by similar magnitude to 17,003.75.
The broader indices underperformed their larger peers with S&P BSE MidCap shedding over 1% and S&P BSE SmallCap slipping 0.6%. Barring S&P BSE Information Technology & S&P BSE Teck, all the other 17 sectoral indices compiled by BSE Ltd. declined with S&P BSE Realty falling over 2%.
The market breadth was skewed in the favour of bears. About 1,576 stocks advanced, 1,752 declined and 98 remained unchanged.
S&P BSE Utilities Index Down Nearly 2%
NSE Nifty Pharma Slips Nearly 1%; Seventeen Of The 20 Constituents Decline
Infosys Hits A Record; Becomes The Fourth Indian Firm To Cross Rs 8 Lakh Crore Market Capitalisation
Shares of Infosys Ltd. rose 0.98% to a record Rs 1,875.75 apiece, on the NSE. This is the four consecutive session in which the stock has gained.
The stock rose over 3% in intraday trade on the Bombay Stock Exchange and the company's market capitalisation rose above Rs 8 lakh crore in intraday trade, making it the second information technology firm and fourth overall to cross the milestone mark.
Central Bank Of India Rises The Most In A Month
Shares of Central Bank of India Ltd. rose 10.17%, the biggest intraday gain in a month, to Rs 23.3 apiece.
Trading volume was 35% above the 20-day average for this time of the day.
The lender announced strategic co-lending partnership with Ugro Capital Ltd. to offer loans to MSME borrowers under priority sector, on Tuesday.
Ugro Capital will originate and process loans to MSME borrowers in consonance with credit parameters and eligibility criteria and Central Bank will take 80% of loans into its book. In an exchange filing on December 21, Central Bank said the co-lending arranged will help both the entities to enhance the customer experience.
Shares of Central Bank of India have risen over the last three sessions.
Sigachi Industries Receives LoI From Grasim To Operate & Manage Chlorine Product Plans
Sigachi Industries Ltd. received a letter of intent from Grasim Industries Ltd. for the operations and management of the three Chlorine Product Plans.
In an exchange filing, Sigachi said that the agreement shall be for an amount of Rs 20 crore and will be valid for 3 years.
Source: Exchange Filing
SBI Cards Raises Rs 650 Crore Through Bond Issue
SBI Cards & Payment Services Ltd. has approved the allotment of 6,500 fixed rate, unsecured, rated, taxable, redeemable, senior, listed NCDs of face value of Rs 10 lakh each, totaling to Rs 650 crore on private placement basis.
According to an exchange filing by the company, the bonds bearing an interest of 5.82% per annum, have a tenure of 3 years. The final interest payment is set for December 24, 2024, when the debentures shall be redeemed.
Source: Exchange Filing
Thirteen Of The 15 Constituents In NSE Nifty Metal Index Decline
European Markets Open Mixed On Christmas Eve; Markets In Germany, Italy & Spain Are Closed
Analyst Actions: Ashok Leyland, Mahindra & Mahindra
Ashok Leyland raised to 'hold' from 'sell' at BOB Capital Markets; price target set at Rs 121.
Mahindra & Mahindra raised to 'buy' from 'sell' at BOB Capital Markets; price target set at Rs 1,011
Source: Bloomberg
Rally In Indian Equities Losing Momentum?
India's stock benchmarks have approached technical correction since hitting the record high on October 19.
Foreign investors have pulled out over $4 billion, since the end of September.
India's key equity gauges are trading at 20-21 times their estimated forward 12-month profits compared with 12 times for the MSCI Emerging Markets Index.
Source: Bloomberg
Surya Roshni Gains On Rs 124.35 Crore Order Win
Shares of Surya Roshni Ltd. rose over 6% in intraday trade to Rs 668.9 apiece, after the company received an order worth Rs 124.35 crore for the supply of API 3LPE coated pipes for LPG pipeline project to IHB Ltd., a joint venture of Indian Oil, Hindustan Petroleum and Bharat Petroleum.
In an exchange filing post market hours Thursday, the company said that orders are to be executed with 8 months.
Source: Bloomberg
Mid-Day Market Update: Sensex Below 57,000, Nifty Below 17,000; Grasim Industries Declines
India's stock benchmarks declined, dragged by losses in banking, auto, metal, oil & gas, healthcare, power and realty stocks.
The S&P BSE Sensex shed 0.63% (over 350 points) to 56,955.47. The 30-stock gauge previously slipped below 57,000 on Wednesday. The NSE Nifty 50 index also declined by similar magnitude to 16,957.30, slipping below 17,000 mark after two sessions. Grasim Industries Ltd. had the largest drop, falling 3.5%. In midday trading, 41 of 50 shares fell, while 9 rose.
The broader indices almost mirrored their larger peers. The S&P BSE MidCap underperformed its larger peers, shedding over 1% while S&P BSE SmallCap almost mirrored the benchmarks. Sixteen of the 19 sectoral indices compiled by BSE Ltd. decline with S&P BSE Realty index slipping the most.
The market breadth was skewed in the favour of bears. About 1,384 stocks advanced, 1,834 declined and 107 remained unchanged.
Anant Raj To Consider Fund Raising Proposal On Dec. 25
Anant Raj Ltd. will consider the fund raising proposal by way of issuance of listed/unlisted, secured/unsecured, convertible/non-convertible/redeemable/non-redeemable debt securities on private placement basis in one or more tranches on December 25, the company said in an exchange filing.
Source: Exchange Filing
MRPL Seeks 1 Million Barrels Of Crude Oil To New Mangalore
Mangalore Refinery & Petrochemicals Ltd. is seeking to buy 1 million barrels of crude oil for delivery to New Managore on the country's west coast, according to a tender document.
Offers are due on 9:30 a.m. IST on Jan. 4, to be valid till 8 p.m. on Jan. 8.
Source: Bloomberg
Bajaj Consumer Launches New Product; Shares Gain The Most In Two Weeks
Shares of Bajaj Consumer Care Ltd. rose over 3%, the biggest intraday gain in two weeks, to Rs 204.75 apiece, after the company announced the launch of a new product "Bajaj Sarso Amla Oil"
Of the 16 analysts tracking the company, 13 maintained 'buy', one maintained 'hold' and two maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upsdie of 50.4%
Ipca Laboratories Sets Jan. 11 Record Rate For Stock Split
Ipca Laboratories Ltd. has fixed January 11 as the 'record date' for the members entitlement of sub-divided shares. Each fully paid-up equity share of Rs 2 each of the company is being divided into two shares of Rs 1 each.
Source: Exchange Filing
Sensex, Nifty Near Day's Low; Auto, Banking Stocks Lead Decline
Broader Indices Almost Mirror Their Larger Peers
Power Stocks Slip; 11 Of The 12 Constituents Of S&P BSE Power Decline
Rupee Is Headed For Best Weekly Gain In Eight Months
The Indian rupee is headed for its biggest weekly gain in eight months amid suspected central bank intervention and weakness in the dollar. Benchmark bond yields are near the key psychological level of 6.5%, last seen in April 2020.
USD/INR down 0.1% to 75.1623, down 1.2% so far this week, most since April 30 week
Source: Bloomberg
Yes Bank Set To Vote In Dish TV AGM On December 30; Bombay High Court Refuses Interim Relief To Promoter Entity World Crest Advisors
Dish TV’s promoter group entity had moved Bombay High Court against Yes Bank’s shareholding in the company.
World Crest had filed a suit against Catalyst Trusteeship and Yes Bank for a declaration that it is the owner of 44,00,54,852 equity shares of Dish TV currently held by the bank.
Outcome of the AGM will be subject to World Crest suit, high court said.
NCLT Mumbai refuses to stay Dish TV's AGM.
NCLT says blanket stay on the AGM is not possible
Allcargo Logistics Jumps Over 6.5% As Firm Approves Demerger Of CFS/ICD & Real Estate Business
Shares of Allcargo Logistics Ltd. rose nearly 6.6% in intraday trade to Rs 398.8 apiece after the company approved the demerger of container freight stations/inland container depots business into Allcargo Terminals Ltd.
All engineering and equipment leasing and hiring solutions, logistics park, warehousing, real estate development and leasing activities and other related businesses will be demerged into Translndia Realty & Logistics Parks Ltd.
In an exchange filing post market hours Thursday, Allcargo Logistics said that the move will help the company accelerate growth. The scheme is yet to be approved by NCLT.
Of the six analysts tracking the company, three maintained 'buy', two maintained 'hold' and one maintained 'sell' recommendations. The overall consensus price of analysts tracking the company implies a downside of 6.2%.
Source: Exchange Filing, Bloomberg
NSE Nifty Auto Index Down Over 1%
Shorter-Term Indian Bonds Decline
Shorter-term India sovereign securities declined in Friday morning trading.
The 4-year yield rose 3.8bps to 5.565%.
The 10-year yield rose 1bp to 6.47%.
The 20-year yield remained unchanged at 6.914%.
The 4-year-10-year yield spread was 90.5bps, vs previous close 93.3bps.
Source: Bloomberg
United Breweries Jumps After NCLAT Stays CCI's Order On The Firm Penalising Rs 750 Crore For Alleged Cartelisation
Shares of United Breweries Ltd. rose as much as 4% to Rs 1,654 apiece after the NCLAT stayed the order passed by Competition Commission of India. The company shared the development with the bourses post market hours Thursday.
CCI had imposed a penalty of Rs 750 crore on United Breweries and Rs 120 crore on Carlsberg India Pvt. Ltd. for alleged cartelisation. The two firms and SABMiller India Ltd. were engaged in price co-ordination, supply restrictions and market shares in different states, according to CCI.
NCLAT stayed the order on the condition that United Breweries paid a pre-deposit of 10% of the penalty amount imposed.
Of the 17 analysts tracking the company, 13 maintained 'buy', three maintained 'hold' and one maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 7.7%.
Source: Exchange Filing, Bloomberg
TCS Climbs After Winning Contract From Oldest Private Non-Life Insurer In Swiss Market, la Mobiliere
Shares of Tata Consultancy Services Ltd. rose nearly 1.2% to Rs 3,705 apiece after the company was selected by la Mobiliere, the oldest private non-life insurer in the Swiss market, to drive its digital transformation agenda.
In an exchange filing post market hours Thursday, TCS said that it will help modernise the insurer's I.T. estate with core system simplification, cloud adoption and application transformation. It will also help harness data and analytics, as wel as automation to enhance customer experiences.
TCS currently partners with over 85 leading Swiss corporations in their growth and digital transformation journeys.
Of the 49 analysts tracking the company, 30 maintained 'buy', 11 maintained 'hold' and eight maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 11.1%.
Source: Exchange Filing, Bloomberg
Ajanta Pharma To Consider Proposal To Buyback Shares On December 28; Shares Advance
Shares of Ajanta Pharma Ltd. climbed 5%, the biggest intraday gain in seven weeks, to Rs 2,159.9 apiece after the company said it will consider the proposal to buy-back equity shares of face value of Rs 2 each, on December 28.
All 12 analysts tracking the company maintained 'buy' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 22.7%.
Source: Exchange Filing, Bloomberg
Data Patterns' Shares List At 46.33% Premium To Its IPO Price On Market Debut
Shares of Data Patterns (India) listed at Rs 856.05, a 46.33% premium to its IPO price of Rs 585, on the National Stock Exchange.
Lupin Gets Tentative U.S. FDA Nod For Drug To Treat High Blood Pressure
Shares of Lupin Ltd. rose nearly 1.5% in intraday trade to Rs 925.7 apiece after the company received tentative approval from U.S. FDA for Azilsartan Medoxomil Tablets, 40 mg and 80 mg, before erasing the gains
The drug is used to treat high blood pressure.
According to IQVIA, Azilsartan Medoxomil tablets had an estimated annual sales of $103.4 million in the U.S.
Of the 42 analysts tracking the company, 21 maintained 'buy', 11 maintained 'hold' and 10 maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 7.8%
Source: Exchange Filing, Bloomberg
All Constituents Of NSE Nifty Bank Decline
L&T Finance Holdings' Shares Shed Over 5%
Shares of L&T Finance Holdings Ltd. fell 5.33% in intraday trade to Rs 78.2 apiece, after the company approved the proposal to sell its mutual fund business L&T Investment Management to HSBC Asset Management Pvt Ltd.
L&T Finance Holdings and HSBC AMC have entered into a definitive agreement in which HSBC AMC will acquire 100% shares of L&T Investment Management Ltd., a subsidiary of L&T Finance Holdings for $425 million.
The divestment of mutual fund business in line with the objective of L&T Finance Holdings to unlock value from its subsidiaries in its bid to strengthen the balance sheet.
Of the 10 analysts tracking the company, nine maintained 'buy' and one maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 33.8%.
Brokerage fire Motilal Oswal Securities Ltd. reiterated its 'buy' recommendation on the stock with the target price unchanged at Rs 110, an implied return of 39.95%. Motilal Oswal believes that the divestment of the asset management business will further strengthen the balance sheet.
Motilal Oswal
Reiterates 'buy' with a target price of Rs 110; an implied return of 39.95%.
Divestment of the mutual fund business will result in an extraordinary EPS of Rs 7.6 in FY23E.
Divestment in line with L&T Finance Holdings' objective of unlocking value from its subsidiaries.
Firm is now in a position to aggressively push forward towards retailisation of its lending portfolio.
Expects pickup in infra disbursements and retail housing.
Realty Stocks Decline; Nine Out Of 10 Constituents In NSE Nifty Realty Index Slip
HCL Tech Climbs Over 4.5%, About 2.6 Million Shares Change Hands In Large Trade
Shares of HCL Technologies Ltd. rose as much as 4.59% in intraday trade to Rs 1,283.8 apiece. Trading volume on the stock was 68 times the average volume, for this time of the day.
About 2.6 million shares of HCL Technologies changed hands in a large trade, according to Bloomberg data. The details of buyers and sellers are not immediately known.
CNBC Awaaz had reported that the founders of HCL Tech sought to buy 4.5 million shares in the company from the market, citing people it did not identify.
Motilal Oswal
Reiterates 'buy' with price target unchanged at Rs 1,430.
Expects robust performance in HCL Tech's services business, especially ER&D vertical as the demand environment remains favourable.
Management commentary on continued growth momentum in the IT services business is a positive.
Strong headcount additions and deal wins reflect the company's confidence on sustainable growth momentum.
Expects HCL Tech to deliver dollar revenue growth of 13.1% over FY21-23E.
Expects EBIT margin to stabilise at 20% in FY23E.
Company's recent revision in payout policy over FY22-26 is a positive.
Expects traction in the services business driven by higher IMS/cloud-focused deals.
Of the 49 analysts tracking the company, 39 maintained 'buy', seven maintained 'hold' and three maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 10.2%.
Opening Bell: Sensex, Nifty Open Higher; Information Technology Stocks Advance
India's stock benchmarks opened higher, aided by information technology stocks, amid a sustained rally in global markets as concerns over omicron variant ease a bit.
The S&P BSE Sensex rose 0.11% to 57,379.45. The NSE Nifty 50 also advanced by similar magnitude to 17,087.20.
The broader indices underperformed their larger peers with S&P BSE MidCap shedding 0.3% and S&P BSE SmallCap little changed. Sixteen of the 19 sectoral indices compiled by BSE Ltd. declined with S&P BSE Realty, Power leading the losses.
The market breadth was skewed in the favour of bulls. About 1,236 stocks advanced, 1,030 declined and 86 remained unchanged.
Vedanta To Invest $15 Billion To Make Chips, Displays In India, Reports Mint
Anil Agarwal’s Vedanta Group is planning to invest $15 billion over the next 5-10 years to make displays and semiconductor chips in India, the Mint newspaper reported citing Akarsh Hebbar, managing director of its unit Avanstrate Inc.
Avanstrate, a Tokyo-based maker of the special glass used in LCD panels, will make the investment in a phased manner on an integrated display fabrication facility and a separate semiconductor plant
In the first phase, the company will invest $5 billion-$10 billion
Rupee Is Headed For Best Weekly Gain In Eight Months
The Indian rupee is headed for its best weekly gain in eight months amid weakness in the dollar and a rebound in stocks. Benchmark bond yields may test the key psychological level of 6.5%, last seen in April 2020.
Traders will await demand for debt at a Rs 24,000 crore auction on Friday amid rising yields.
USD/INR fell 0.4% to 75.2450 on Thursday, down 1.1% so far this week, most since April 30 week.
10-year yields down 1bp at 6.46% on Thursday; up 5bps so far this week after RBI surprised markets by withdrawing cash via a 3-day reverse repo on Monday.
Global funds sell net Rs 272 crore of India Stocks Thursday: NSE.
They sold Rs 920 crore of sovereign bonds under limits available to foreign investors, and withdrew Rs 125 crore of corporate debt.
State-run banks sold Rs 578 crore of sovereign bonds on Dec. 22: CCIL data. Foreign banks sold Rs 170 crore of bonds.
Source: Bloomberg
Australia, India Direct Officials To Speed Up Trade Talks
Australia and India seek to accelerate the bilateral Comprehensive Economic Cooperation Agreement negotiations, according to a joint statement by Indian Commerce and Industry Minister Piyush Goyal and Australian Trade Minister Dan Tehan.
Bilateral trade talks have been progression. The two countries have decided to deepen the engagement and direct officials to speed up negotiations to set the stage for a comprehensive agreement: Joint Statement.
Source: Bloomberg
L&T Finance Holdings In Focus
SGX Nifty Hints At Opening Gains; Data Patterns Debut, Allcargo, Biocon, TCS In Focus
Stocks rose on Friday as concerns over the Omicron strain eased a bit after a U.K. study suggested that the infections are less likely to lead to hospitalisation.
Shares climbed in Japan, South Korea and Australia. The S&P 500 hit a record Thursday.
The Singapore-traded SGX Nifty, an early indicator of India's Nifty 50 Index's performance, rose 0.45% to 17,149.50, as of 8:00 a.m.
Crude oil inched toward $74 a barrel. Bitcoin held above $50,000 after breaching that level for the first time in almost two weeks.
Stocks In Focus
Adani Enterprises: Incorporates wholly-owned subsidiary names Adani Data Networks Ltd.
Allcargo Logistics: Board has approved a scheme of demerger wherein all container freight stations, inland container depots and any other related logistics businesses of the company will be demerged into Allcargo Terminals Pvt. All engineering and equipment leasing and hiring solutions, logistics park, warehousing, real estate development and leasing activities and other related businesses will be demerged into Translndia Realty & Logistics Parks Ltd. Scheme yet to be approved by the NCLT. The company would continue to run and operate remaining businesses. Scheme could take effect from April 1, 2022.
L&T Finance Holdings: Company to sell its mutual fund business L&T Investment Management to HSBC AMC for $425 million.
United Breweries: The NCLAT stays the CCI order imposing a penalty of Rs 751.8 crore upon a condition of pre-deposit of 10% of the penalty amount.
Biocon: Clinical study for Itolizumab in Lupus Nephritis initiated in India, post DCGI approval.
Tega Industries: Approves setting up a larger, additional plant in Chile at a cost of Rs 175 crore to cater to growing Latin American demand.
Motherson Sumi Systems: The NCLT approves scheme of arrangement and amalgamation between the company, Samvardhana Motherson International Ltd., Motherson Sumi Wiring India Ltd. and their respective shareholders and creditors.
TCS: Gets contract from the oldest private non-life insurer in the Swiss market, La Mobiliere to drive its digital transformation agenda.
Glenmark Pharma: Crisil revises outlook to 'positive' from 'stable'; long term rating of AA- reaffirmed.
Data Patterns (India): to list on the bourses on Friday. The issue was subscribed 119.62 times.