Sensex, Nifty Post Biggest Single Day Gain In A Month, Aided By HDFC

India's stock benchmarks logged the biggest single day gain in a month, advancing for the second consecutive session, aided by power, utility, information technology and oil and gas stocks.

The S&P BSE Sensex rose 1.35% to 58,461.29. The NSE Nifty 50 advanced by a similar magnitude to 17,401.65. This is the most the two indices have gained since November 1.

Housing Development Finance Corp. contributed the most to the index gain, increasing 3.9%. Adani Ports & Special Economic Zone Ltd. had the largest increase, rising 4.4%. Today, 47 of 50 shares rose, while 3 fell.

The broader indices almost mirrored their larger peers with both the S&P BSE MidCap and S&P BSE SmallCap rising over 1%. All the 19 sectoral indices compiled by BSE Ltd. advanced with S&P BSE Power, S&P BSE Utilities, S&P BSE Information Technology and S&P BSE Oil & Gas indexes leading the gains.

The market breadth was skewed in the favour of bulls. About 2,195 stocks advanced, 1,056 declined and 149 remained unchanged

"We expect the market to continue with its volatility given the uncertainty around the new Omicron variant and Fed tapering. However sharp sell-off have made valuations comfortable and the strong domestic economic data points continue to point towards economic recovery thus keeping long term fundamentals intact. We would hence advise investors to buy in this volatility in staggered fashion to build long term portfolio", Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd. wrote in a note

• Dish TV: Not aware of the transaction mentioned in news report

Source: Exchange filing

• Food delivery platform Swiggy will spend $700 million on growing its express grocery service Instamart, the startup said in a statement Thursday.

• Swiggy Instamart was launched in 2020 in Gurugram and Bengaluru and now operates in 18 cities.

• The service could reach an annual gross merchandise value run rate of $1 billion in the next three quarters.

Source: Swiggy Statement

• Kirloskar Oil has 4.7 million shares (constituting 3.25% equity) change hands in a bunched trade.

• Details of the buyers and sellers are not immediately known

Source: Bloomberg

Shares of Skipper Ltd. rose over 18%, the biggest intraday gain in nearly six months, to Rs 79.4 apiece, after the company secured order worth Rs 300 crore for supply of transmission and telecom towers.

Skipper received the orders from Power Grid Corp of India and from other export markets.

The company's engineering business bagged transmission tower export orders of Rs 185 crore for several T&D projects across Latin America, Middle East, West Asia and South Asia markets and telecom towers from Latin America and Africa.

Skipper also secured new order worth Rs 115 crore of transmission towers from Power Grid Corp of India.

For the year so far, the maker of telecom and railway structures won orders in excess of Rs 1,300 crore.

Trading volume on the stock was 6.1 times the 30-day average volume, for this time of the day.

Price rose above 200-day simple moving average, indicating potential upward price momentum.

Shares of Greaves Cotton Ltd. rose over 12.7%, the most in over nine months since February 17, to Rs 158.7 apiece after the CEO Nagesh Basavanhalli told CNBC-TV18 that the company is open for partnerships in its EV business.

Trading volume on the stock was 4.6 times the 30-day average volume, for this time of the day. Of the six analysts tracking the company, four maintained 'buy', one maintained 'hold' and one maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 6.7%.

India's stock benchmarks advanced, aided by gains in power, oil and gas and information technology stocks, despite concerns over omicron covid-19 strain and possibility of faster tapering of stimulus.

The S&P BSE Sensex rose 0.8% to 58,143.55. The NSE Nifty 50 advanced by similar magnitude to 17,304.30. Both the indices rose over 0.9% in intraday trade. Housing Development Finance Corp. contributed the most to the index gain and had the largest move, increasing 3.6%. In midday trading, 39 of 50 shares rose, while 11 fell.

The S&P BSE MidCap index underperformed its larger peers, adding 0.3% while S&P BSE SmallCap index almost mirrored Sensex and Nifty, gaining over 0.6%. Sixteen of the 19 sectoral indices compiled by BSE Ltd. advanced, with S&P BSE Oil & Gas, S&P BSE Utilities and S&P Information Technology index gaining over 1.25%.

The market breadth was skewed in the favour of bulls. About 2,004 stocks advanced, 1,131 declined and 153 remained unchanged.

State Bank of India Ltd. signed a master agreement with Adani Capital Pvt Ltd., the NBFC arm of Adani Group for co-lending to farmers to purchase tractor and farm implements to increase efficiency in farm operations and crop productivity.

Shares of BCPL Railway Infrastructure Ltd. rose nearly 3.5%, the biggest single day gain since October 27, to Rs 45.05 apiece after the company bagged an order from the East Coast Railway, Electrical, Construction, Bhubaneswar, Head Quarters.

In an exchange filing, the company said that the order was received for electrification of a new line in Sambalpur division of East Coast Railway. The total project cost is Rs 19 crore.

• Larsen & Toubro Ltd. will partner ReNew Power to jointly develop, own, execute and operate green hydrogen projects in India.

• In a statement to exchanges, L&T said that green hydrogen demand in India will rise to 2 MMTPA by 2030, for applications such as refineries, fertilisers and city gas grids.

• This is in-line with India's green hydrogen mission and would require investments of $60 billion.

Source: Exchange Filing

• Maruti Suzuki reiterated that cost of vehicles continue to be adversely impacted due to increase in various input costs. In an exchange filing, the company said that the additional costs have made it imperative for the company to pass on some impact to customers through a price hike.

• The price rise has been planned in January, 2022.

• The price rise shall vary for different models.

Shares of Adani Transmission Ltd. rose over 3.9% in intraday trade to Rs 1,867.8 apiece after the company appointed Lisa MacCallum, as an independent director.

Lisa MacCallum is the founder of Inspired Companies and is the first non-India national director of Adani Transmission. Besides, MacCallum is the second female director to join the board.

In an exchange filing, Adani Transmission said that the move to appoint Lisa MacCallum is part of company's strategic efforts to strengthen leadership and capacity to deliver on its ESG vision.

Bhavish Aggarwal Says

• Ola could go public in the first half of next year.

• Company is on track to meet its new Dec. 15 aim of scooter deliveries, after a delay due to chip shortage.

Source: Bloomberg citing Reuters Next conference

Demand for shares Star Health and Allied Insurance Co. continued to be muted on the third day of the Rs 7,247-crore initial public offering.

The issue was subscribed 20% at the end of the second day, with the retail portion subscribed 89%. Demand in other categories remained subdued.

Subscription Details: Day 3

The IPO was subscribed 0.69 times or 69% as of 3:15 p.m. on Dec. 2.

• Institutional investors: 0.86 times.

• Non-institutional investors: 0.16 times.

• Retail investors: 1.07 times.

• Employees: 0.07 times.

• Jet Airways is in talks to buy at least 100 narrowbody aircrafts, say new owners Murari Lal Jalan and Kalrock Capital.

• The group will invest around $200 million via equity and debt in the airline over the next six months.

Source: Bloomberg News

Shares of Transport Corp of India Ltd. rose nearly 4.2% in intraday trade to Rs 714.9 apiece after brokerage firm Motilal Oswal increased the target price on the company's stock to Rs 790 from Rs 730 earlier, while maintaining the 'buy' recommendation. Motilal Oswal identified the shift towards formalisation in the logistics sector as a key growth trigger for the company as it believed that there is more 'steam' left in the stock's upward price momentum.

Motilal Oswal

• Unique multimodal capabilities of TCI are likely to drive consistent growth in volume and earnings across sectors, over the next few years.

• Margins are likely to remain elevated, aided by easing of fuel prices, on account of tax cuts.

• Company has a well-blended portfolio, with presence across (i) high-volume frieght segment, (ii) value-added segments such as integrated supply chain solutions, (iii) niche high-margins segments like seaways.

• Expect company to clock a revenue/EBITDA/PAT CAGR of ~17%/25%/33% over FY21-24.

• Volumes have risen sharply over the past few months due to robust festive demand.

• Seaways segment led to the margins to grow to all-time high levels.

• Margins in freight services were driven by cost control and improved efficiency.

• Supply chain segment of the company is prepared to capitalise the early-mover advantage with wide service offerings and strong clientele.

• Expect growth momentum to pick up with recovery in economic activity, normalisation of transportation activity and government reforms driving more formalisation in the economy.

Of the 10 analysts tracking the company, six maintained 'buy' and four maintained 'hold' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 5.8%.

Maturities across the India sovereign yield curve were little changed in Thursday morning trading.

• The 5-year yield was little changed at 5.678%

• The 10-year yield fell 0.9bps to 6.344%

• The 30-year yield remained unchanged at 6.851%

• The 5-year-10-year yield spread was 66.6bps, vs previous close 67.2bps

• Shares of Lupin Ltd. jumped nearly 1.40% after the company's wholly-owned subsidiary Lupin Inc. entered into an agreement with TTP Plc to acquire exclusive, worldwide rights to develop, manufacture, commercialise products using TTP's soft-mist inhalation technology platform.

• Lupin expects to provide healthcare professionals with alternative solutions to deliver inhaled medicines to patients globally, by leverage the technology.

• Soft-mist inhalation technology aids targetted delivery of the drugs from an inhaler devices without using propellants. Lupin expects applications across respiratory care with this technology.

Source: Exchange Filing, Bloomberg

• 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 12.9%.

• Max Healthcare rated 'new buy' at HSBC; price target: Rs 440

• Dalmia Bharat cut to 'sell' from 'buy' at Ambit Capital; price target: Rs 1,500

Source: Bloomberg

Shares of Mahindra Logistics Ltd. rose over 9%, the biggest intraday gain in over three months, to Rs 729 apiece.

In an exchange filing post market hours Wednesday, the company announced long-term lease agreement for 1.4 million square feet of warehouse facilities at LOGOS Luhari Logistics Estate in Delhi-NCR. This transaction represents India's largest warehousing facility in a single part.

LOGOS will develope three Grade-A warehouses totaling 1.4 million square feet for Mahindra Logistics at its LOGOS Luhari Logistics Estate. The first 0.5 mmsf warehouse, completed in mid-2021 is completely operational now. The other two warehouses are currently under development with delivery in late 2021 and early 2022 respectively.

Of the 13 analysts tracking the company, eight maintained 'buy', three maintained 'hold' and two maintained 'sell' recommendations. The overall consensus price of analysts tracked by the company implied a downside of 6.1%.

Shares of JMC Projects India Ltd. rose nearly 17%, the biggest intraday gains in over two months, to Rs 106.9 apiece, after the company secured new orders worth Rs 1,795 crore in water supply projects and B&F projects in India.

JMC Projects' order inflows for the current fiscal year surpassed Rs 9,750 crore with the latest order.

All the five analysts tracking the company maintained 'buy' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 53.5%.

Shares of Dish TV India Ltd. rose over 4.8% in intraday trade to Rs 18.4 apiece amid reports that Bharti Airtel Ltd. is eyeing a majority stake in the company.

• According to a Mint report, Bharti Airtel held discussions with Essel Group Founder Subhash Chandra and offered Rs 20 per share for 5.93% stake of the promoter group. Subhash Chandra has not yet accepted the offer, said the report.

• If Subhash Chandra approved the offer, he would make a recommendation to Dish TV India's chairman, the report cited a person familiar with the matter.

• In early trade, 4.35 million shares of Dish TV India changed hands in a bunched trade. The details of buyers and sellers are not immediately known.

• Trading volume on the stock was 142.6 times the 30-day average volume, for this time of the day.

India's stock benchmarks rose, aided by gains in healthcare, energy and consumer durables stocks, amidst weak global cues after the first confirmed case of omicron covid-19 strain and Federal Reserve chair's reiteration of the need of faster tapering of stimulus sapped sentiment.

The S&P BSE Sensex rose 0.36% to 57,892.50. The NSE Nifty 50 also advanced by similar magnitude to 17,236.05. Housing Development Finance Corp. contributed the most to the index gain, increasing 1.9%. Mahindra & Mahindra Ltd. had the largest increase, rising 2.5%. In early trading, 37 of 50 shares rose, while 13 fell.

The broader indices almost mirrored their larger peers with both the S&P BSE MidCap and S&P BSE SmallCap adding over 0.4%. Barring S&P BSE Bankex, all the other 18 sectoral indices advanced with S&P BSE Healthcare, Power and Consumer Durables rising the most.

The market breadth was skewed in the favour of bulls. About 1,602 stocks advanced, 651 declined and 71 remained unchanged.

India’s rupee could gain as crude prices stay near a three-month low, reducing the import bill for the net oil importing nation. Bonds may gain as easing oil prices help ease inflation concern.

• USD/INR fell 0.4% to 74.9075 on Wednesday.

• 10-year yields rose 3bps to 6.35% on Wednesday.

• Global funds sell net Rs 2,770 crore of India Stocks Wednesday: NSE

  • They bought Rs 9 crore of sovereign bonds under limits available to foreign investors, and added Rs 19 crore of corporate debt.

  • State-run banks bought Rs 1,350 crore of sovereign bonds on Dec. 1: CCIL data. Foreign banks sold Rs 1,240 crore of bonds.

Source: Bloomberg

A consortium of the Hinduja Group and Abu Dhabi Investment Authority is in talks to acquire AXA's stake in Bharti-AXA Life Insurance joint venture, Moneycontrol reports.

• According to the report, AXA owns 49% stake in the JV, while Bharti Group holds 51%.

• A Hinduja Group spokesperson said the company does not respond to market speculation, while ADIA and Bharti AXA Life Insurance declined to comment.

Bharti Airtel is in early talks to acquire a majority stake in Dish TV India, Mint reported citing three people familiar with the matter.

• Bharti Airtel executives have had discussions with Essel Group founder Subhash Chandra for the transaction.

• Bharti Airtel has offer Rs 20 per share for 5.93% stake of Dish TV promoter group, Subhash Chandra has not yet accepted the offer, according to the Mint report. Bharti Airtel waited before contacting Yes Bank, the largest Dish TV shareholders, with a 25.6% stake.

• Mint, citing one person familiar with the matter, reported that if Chandra approves the offer, he will make a recommendation to Dish TV India's chairman, who will take an independent opinion.

• Dish TV spokesman declined to comment and Bharti Airtel has not responded to the request for comment by Mint.

Maruti Suzuki Ltd. is making a big shift from small and affordable cars to the sports utility vehicles segment, with a range of cars priced up to Rs 20 lakh in the next three years, Economic Times reported citing people aware of the plans.

• The company plans to launch four new SUVs at Rs 10 lakh, adding more options to the Vitara Brezza.

• The new range of SUVs will offer CNG and hybrid systems along with petrol powertrains. This is intended to improve fuel efficiency in large offerings as well.