Sensex, Nifty Log Losses For Third Day Dragged By Energy, I.T. Stocks
Catch all live updates on share prices, index moves, corporate announcements and more from the Sensex and Nifty, today.
KEY HIGHLIGHTS
AGS Transact Technologies IPO Subscription Status: Day 2 Live Updates
Just Dial Shares Surge As Analysts Expect Firm To Benefit From RIL's Resources, Expertise
Morgan Stanley Doubles Its Overweight Position On Financials
Tata Consumer Jumps 4% On Morgan Stanley Upgrade
Tata Elxsi Jumps 14% In Two Sessions
Closing Bell
India's stock benchmarks declined for the third session, dragged by losses in information technology and energy stocks.
Over the past three sessions, the S&P BSE Sensex and NSE Nifty 50 shed 3%.
On Thursday's session, Sensex fell 1.06% to 59,464.62. The 30-stock gauge shed over 1,000 points in intraday trade, for the first time in a month. This is also the first time the Sensex closed below 60,000 in nine sessions. The Nifty also declined by similar magnitude to 17,757. This is the second consecutive session that the 50-stock gauge closed below 18,000. The index dropped to the lowest closing level since Jan. 6. Bajaj Finserv Ltd. had the largest drop, falling 4.5%. Today, 35 of 50 shares fell, while 15 rose.
The broader indices outperformed their larger peers with both the S&P BSE MidCap and S&P BSE SmallCap closing little changed. Thirteen of the 19 sectoral indices compiled by BSE Ltd. declined, with S&P BSE Information Technology shedding 1.7%.
The market breadth was skewed neither in the favour of bulls nor bears. About 1,746 stocks advanced, 1,662 declined and 76 remained unchanged.
"Benchmark indices are showing corrections for the third day in a row on the back of FIIs' selling, rising US bond yields, and concerns of surge in cases of the Omicron variant", Mohit Nigam, Head - PMS, Hem Securities wrote in a note and added that the "correction might be seen as a buying opportunity to enjoy the post budget rally".
Broader Indices Outperform Sensex, Nifty
Hikal Shares Slips Over 30% In 11 Sessions
Shares of Hikal Ltd. fell for the 11th consecutive session, the longest losing streak in over five years.
The stock has shed over 30% during this period.
The company's name was mentioned in relation to a gas-leak incident that killed six people. Last week, Hikal informed bourses that it abided by all rules and regulations and is rendering all assistance to the police investigation in the matter.
Source: Bloomberg
Strides Pharma Partners With Medicines Patent Pool To Commercialise Molnupiravir In 105 Countries
Strides Pharma Science Ltd. announced partnership with Medicines Patent Pool to commercialise molnupiravir in the international markets.
The MPP covers 105 countries. Strides and its Kenyan subsidiary Universal Corporation Ltd. will manufacture molnupiravir at their WHO facilities in India and Nairobi.
Strides receives Emergency Use Authorization from India's drug regulator to launch molnupiravir 200 mg, under the name Stripiravir, on December
Source: Exchange Filing
Investo Vs Zee Entertainment: Bombay High Court Begins Hearing Arguments For Stay On EGM
Aspi Chinoy begins arguments on behalf of Zee Entertainment.
In Dec., Invesco had concluded its arguments against a single judge order granting stay on the EGM.
Source: Bombay HC proceedings
Sensex Sheds Over 1,000 Points In Intraday Trade.
This is the first time the 30-stock gauge had a 1,000-point decline in a month since Dec. 20, 2021.
Source: Bloomberg
Reliance Industries Logs Steepest Intraday Decline In A Month
Shares of Reliance Industries Ltd. fell 2.5%, the steepest intraday decline in a month since Dec. 20, 2021, to Rs 2,458.6 apiece.
The company is scheduled to announce earnings for the quarter-ended December on Friday.
Source: Bloomberg
S&P BSE Energy Sheds Nearly 2%; Reliance Industries Leads Decline
HCL Technologies Expands Strategic Transformation Partnership With ams Osram
HCL Technologies Ltd. expanded its strategic ties with optical solutions leader ams OSRAM to digitize its key business process.
HCL Technologies will develop and operate a modern digital foundation through data center, hybrid cloud and enhance end-user experience through increased use of AI, automation, among other tools.
Source: Exchange Filing
Indiabulls Housing Finance Has 3.5 Million Shares Change Hands In A Large Trade
Indiabulls Housing Finance Ltd. has 3.5 million shares change hands in a large trade.
Details of buyers, sellers are not known immediately.
Source: Bloomberg
Sensex, Nifty Decline
Sensex, Nifty at day's low. Energy, information technology, auto, banking stocks decline. Broader markets outperform.
European Markets Open Higher
Asian Paints Q3 Net Income Misses Estimates
Asian Paints Ltd Q3 FY22 (Consolidated, YoY)
Revenue up 26% at Rs 8,527.24 crore Vs Rs 6,788.47 crore (Bloomberg estimate: Rs 8,418.4 crore)
Net profit down 18% to Rs 1,015.69 crore from Rs 1,238.34 crore (Bloomberg estimate: Rs 1,138.9 crore)
EBITDA down 14% to Rs 1,542.31 crore Vs Rs 1,787.89 crore (Bloomberg estimate: Rs 1,650.42 crore)
Margins at 18% Vs 26.3% (Bloomberg estimate: 19.6%)
Source: Exchange Filing
Bajaj Finserv Falls After Reporting 2.6% YoY Decline In Net Profit In Q3
Shares of Bajaj Finserv Ltd. fell over 5%, the steepest intraday decline in nearly two months, to Rs 17,142.4 apiece, after the company reported a decline in net profit in its December quarter earnings.
Q3 Earnings (Consolidated, YoY)
Net profit down 2.6% at Rs 1,255.79 crore vs Rs 1,289.96 crore
Revenue up 10% at Rs 17,586.74 crore vs Rs 15,958.53 crore
Total costs at Rs 14,370.55 crore vs Rs 13,181.54 crore
Commentary
Company remains watchful of the covid situation, risk of that is expected to remain elevated in Q4FY2022.
Of the 11 analysts tracking the company, eight maintained 'buy' and three maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 0.1%.
Mastek Logs Steepest Intraday Decline In Three Months
Shares of Mastek Ltd. fell as much as 13.73% in intraday trade to Rs 2,776.75 apiece, after the company reported its Q3 earnings.
December Quarter Numbers (Consolidated, QoQ)
Net profit up 2.23% QoQ at Rs 83.45 crore vs Rs 81.63 crore
Revenue up 3.37% QoQ at Rs 551.91 crore vs Rs 533.93 crore
Total expenses at Rs 447.83 crore vs Rs 433.39 crore.
Other income at Rs 5.74 crore vs Rs 7.71 crore
All three analysts tracking the company maintained 'buy' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 19.1%.
Trading volume on the stock was nearly eight times the 30-day average volume, at this time of the day.
Share price crossed below 50-day simple moving average, indicating potential downward price momentum.
Source: Exchange Filing, Bloomberg
Mid-Day Market Update: Sensex, Nifty Decline; Bajaj Auto, HDFC, HUL, RIL Fall
India's stock benchmarks declined, dragged by losses in energy, information technology stocks.
The S&P BSE Sensex fell 0.75% to 59,650.34. The 30-stock gauge shed over 1% in intraday trade for the third day in a row. The NSE Nifty 50 also declined by similar magnitude to 17,819.75. Bajaj Auto Ltd. had the largest drop, falling 3.4%. In midday trading, 28 of 50 shares fell, while 22 rose
The broader indices outperformed their larger peers with S&P BSE MidCap gaining 0.24% and S&P BSE SmallCap adding 0.36%. Ten of the 19 sectoral indices compiled by BSE Ltd. declined with S&P BSE Information Technology and Energy shedding over 1%.
The market breadth was skewed in the favour of bulls. About 1,839 stocks advanced, 1,474 declined and 88 remained unchanged.
Ashok Leyland Has 1.19 Million Shares Change Hands In A Large Trade
Ashok Leyland Ltd. has 1.19 million shares change hands in a large trade.
Details of buyers, sellers are not known immediately.
Source: Bloomberg
PTC India Financial Shares Slip The Most In Nearly Seven Years
Shares of PTC India Financial Services Ltd. shed 19.10%, most since May 2015, after three independent director resignations.
The company said it received resignation from the three independent directors and the board will address the matter related to resignation.
PTC India Ltd. holds 64.99% stake in PTC India Financial as of September 30,2021.
Trading volume on the stock was nearly 28 times the 30-day average volume, at this time of the day.
Ramkrishna Forgings Approves Splitting Each Share Into Five
Ramkrishna Forgings Ltd. approved sub-division of equity shares of the company from face value of Rs 10 each to face value of Rs 2 each, subject to approval of the members.
Source: Exchange Filing
AGS Transact Technologies IPO Subscription Status: Day 2 Live Updates
AGS Transact Technologies Ltd.'s initial public offer got fully subscribed on the second day.
This year's first mainboard IPO—for companies with a minimum post-issue paid-up capital of Rs 10 crore—was subscribed 88% at the end of first day.
Subscription Details: Day 2
The IPO was subscribed 1.26 times as of 2 p.m. on Jan. 20.
Institutional investors: 0.47 times.
Non-institutional investors: 1.08 times.
Retail investors: 1.78 times.
Just Dial Shares Surge As Analysts Expect Firm To Benefit From RIL's Resources, Expertise
Shares of Just Dial Ltd. rose as much as 13.42%, the biggest intraday gain in over a month, to Rs 924.5 apiece after analysts at Kotak Institutional Equities and UBS upgraded the stock, as they expect the company to benefit from Reliance Industries Ltd.'s backing.
Trading volume on the stock was nine times the 30-day average volume, at this time of the day. Share price rose above 200-day simple moving average, indicating potential upward price momentum.
Of the 14 analysts tracking the company, nine maintained 'buy', one maintained 'hold' and four maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 10.2%.
Morgan Stanley Doubles Its Overweight Position On Financials
India Yield Curve Steady, Stocks Down
Maturities across the India sovereign yield curve were little changed in Thursday morning trading.
The 3-year yield was little changed at 5.328%
The 10-year yield was little changed at 6.605%
The 18-year yield remained unchanged at 7.133%
The 3-year-10-year yield spread was 127.7bps, vs previous close 127.4bps
Source: Bloomberg
Sensex, Nifty At Day's Low
Bank Of Baroda Has 1.3 Million Shares Change Hands In A Large Trade
Bank of Baroda Ltd. has 1.3 million shares change hands in a large trade.
Details of buyers, sellers are not known immediately.
Source: Bloomberg
Tata Consumer Jumps 4% On Morgan Stanley Upgrade
Shares of Tata Consumer Products Ltd. rose 4%, the biggest intraday gain in four sessions, to Rs 746.25 apiece after Morgan Stanley upgraded the stock to 'overweight' from 'under-weight'.
Morgan Stanley also raised the target price of the stock to Rs 886 from Rs 600, an implied upside of 23.46%.
Morgan Stanley, in a note on Wednesday, added that the growth levers are aligned for Tata Consumer and stock correction offered a good entry opportunity.
Of the 19 analysts tracking the company, 14 maintained 'buy', three maintained 'hold' and two maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 17.6%.
Trading volume on the stock was nearly five times the 30-day average volume, at this time of the day.
Source: Brokerage note, Bloomberg
ITC Has 1.81 Million Shares Change Hands In A Large Trade
ITC Ltd. has 1.81 million shares change hands in a large trade.
Details of buyers, sellers are not known immediately.
Source: Bloomberg
Ceat Logs Steepest Intraday Decline In Three Months On Q3 Miss
Shares of Ceat Ltd. fell 7.60%, the steepest intraday decline in nearly three months to Rs 1,048.95 apiece after the company reported a net loss for the third quarter.
The company's revenue and Ebitda also missed analyst estimates.
Of the 27 analysts tracking the company, 14 maintained 'buy', five maintained 'hold' and eight maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 28.2%.
Trading volume on the stock was nearly 15 times to 30-day average volume, at this time of the day.
Source: Exchange Filing, Bloomberg
ICICI Lombard Logs Steepest Intraday Decline In 20 Months On Q3 Miss
Shares of ICICI Lombard General Insurance Co Ltd. fell 7.37%, the steepest intraday decline in 20 months, to Rs 1,318.1 apiece, after the company's net profit fell 29% sequentially and missed analyst estimates.
Higher underwriting loss incurred by the company led to the decline in net profit.
Of the 26 analysts tracking the company, 18 maintained 'buy', three maintained 'hold' and five maintained 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 22.7%. Trading volume on the stock was 11.3 times the 30-day average volume at this time of the day.
Source: Bloomberg, Exchange Filing
NSE Nifty IT Index Sheds 1%
Tata Elxsi Jumps 14% In Two Sessions
Shares of Tata Elxsi Ltd. rose as much as 4.83% to Rs 7,314.1 apiece. The stock has risen nearly 14% over the last two sessions.
The company reported sequential growth in net profit and revenue in the quarter-ended December, post market hours Tuesday.
Of the five analysts tracking the company, one maintained 'buy', one 'hold' and three 'sell' recommendations. The overall consensus price of analysts tracked by Bloomberg implied a downside of 27%.
Trading volume on the stock was ten times the 30-day average volume at this time of the day. The relative strength index on the stock is at 78, suggesting it may be overbought.
Sharekhan
Retains 'buy', with the target price raised to Rs 8,160
Presence in fast-growing verticals, superior margin profile, strong digital engineering capabilities and robust demand are key growth driers.
Expects limited room for margin expansion in subsequent quarters.
Long-standing client relationships, rising focus on long-term deal contracts and huge addressable market augur well for the company's growth prospects.
Source: Bloomberg, Brokerage Note
Opening Bell: Sensex, Nifty Open Lower; PTC India Financial Tumbles 16%
India's stock benchmarks opened lower, dragged by losses in information technology stocks, amid a retreat in equities across the world.
The S&P BSE Sensex shed 0.21% to 59,970.44. The NSE Nifty 50 also declined by similar magnitude to 17,905.65. Infosys Ltd. had the largest drop, falling 1.5%. In early trading, 25 of 50 shares fell, while 25 rose
The broader indices outperformed their larger peers with S&P BSE MidCap little changed and S&P BSE SmallCap adding 0.3%. Ten of the 19 sectoral indices compiled by BSE Ltd. declined with S&P BSE Information Technology falling 1%.
The market breadth was skewed in the favour of bulls. About 1,529 stocks advanced, 1,086 declined and 89 remained unchanged.
Glenmark Pharma In Exclusive Licensing Pact With Lotus International For Ryaltris Nasal Spray
Glenmark Pharmaceuticals Ltd.'s Swiss subsidiary, Glenmark Specialty S.A. entered into an exclusive licensing agreement with Lotus Pharmaceutical's subsidiary, to commercialise nasal spray Ryaltris in Singapore, Hong Kong and Vietnam.
Glenmark will be responsible for the manufacture and supply of Ryaltris while Lotus will be responsible for the commercialisation of the nasal spray in these markets.
Source: Exchange Filing
Analyst Actions: SRF, Bajaj Auto, L&T Infotech
SRF cut to 'reduce' from 'add' at Axis Capital; price target set at Rs 2,550.
Bajaj Auto raised to 'buy' from 'accumulate' at Asian Markets; price target set at Rs 4,160.
L&T Infotech raised to 'accumulate' from 'sell' at Asian Markets; price target set at Rs 7,115.
Source: Bloomberg
Rupee Traders To Await PM Modi's Speech
Indian rupee traders will look forward to Prime Minister Narendra Modi’s speech on Thursday for cues on the economic recovery and impact of the ongoing third wave of Covid-19.
USD/INR fell 0.2% to 74.4313 on Wednesday.
10-year yields fell 3bps to 6.6%.
Global funds sell net Rs 2,705 crore of India stocks Wednesday: NSE.
They sold Rs 91 crore of sovereign bonds under limits available to foreign investors, and withdrew Rs 2 crore of corporate debt.
State-run banks sold Rs 410 crore of sovereign bonds on Jan. 19: CCIL data. Foreign banks sold Rs 585 crore of bonds.
Source: Bloomberg
PTC India Financial Acknowledges Receiving Resignations From Three Independent Directors
PTC India Financial Services Ltd. informed bourses' that it received resignations from three independent directors mentioning 'some reasons'.
The company said that the issue will be addressed at the board level.
Source: Exchange Filing
Trade Setup
Analyst Actions: Nestle India, Tata Consumer, L&T Infotech
Nestle India rating cut to 'underweight' from 'equal-weight' by Morgan Stanley; price target set at Rs 15,712.
Tata Consumer upgraded to 'overweight' from 'underweight' by Morgan Stanley; price target set at Rs 886.
L&T Infotech upgraded to 'overweight' from 'underweight' by JPMorgan; price target set at Rs 7,700.
Source: Bloomberg
In Focus: Vaccine Stocks After Study Shows Disappointing Results On Omicron Booster Shots
Vaccine stocks in India may follow their global peers lower after mRNA booster shots such as those made by Pfizer and BioNTech failed to block infection against the Omicron variant in a small study out of South Africa.
In Focus: Dr. Reddy's, Cadila Healthcare and Pfizer.
SGX Nifty Hints At Opening Losses; TVS Motor, HCL Tech, HUL, Asian Paints In Focus
Asian stocks declined on Thursday following a retreat in the U.S. equities.
Shares were volatile in Japan and fell in South Korean and Australia. U.S. contracts wavered after the S&P 500 swung between gains and losses before closing down 1%. An ongoing shift away from technology shares left the Nasdaq Composite in correction territory, more than 10% off a November high.
The Singapore-traded SGX Nifty, an early indicator of India's Nifty 50 Index's performance, fell 0.39% to 17,908 as of 8:00 a.m.
Elsewhere, crude oil fell and bitcoin hovered around $41,700
Post Market Hour Earnings
ICICI Lombard General Insurance- Q3FY2022 -Consolidated (QoQ)
Revenue up 1% at Rs 3,854 crore Vs 3,808 crore
Net profit down 29% to Rs 318 crore Vs Rs 447 crore (Bloomberg estimate : Rs 403 crore profit)
Ebitda at Rs 273 crore Vs Rs 457 crore, down 40%
Margin at 7.1% vs 12%
EPS at Rs 6.47 vs Rs 9.11 (Bloomberg estimate : 3.69)
Bajaj Auto - Q3FY2022 - Consolidated (QoQ)
Revenues up 3% at Rs 9,021 crore vs Rs 8762 crore (Bloomberg estimate estimate - Rs 9,027 crore)
Net profit falls 5% at Rs 1,214 crore vs Rs 1,275 crore (Bloomberg estimate estimate : Rs 1621 crore)
Ebitda down 2% at Rs1372 crore vs Rs 1,401 crore (Bloomberg estimate estimate: Rs 1,365 crore)
EBITDA margins at 15.1% vs 16%
L&T Infotech – Q3FY2022 – Consolidated (QoQ)
Revenue up 10% at Rs 4,137.6 crore Vs 3,767 crore
$ Revenue up 8.7% at $427.8 million
Net profit up 11% to Rs 612 crore Vs Rs 551.5 crore
Ebitda at Rs 742.6 Vs 648.2 crore, up 15%
Margins at 17.9% Vs 17.2%
EPS at Rs 34.95 Vs Rs 31.5
The company has approved a scheme of amalgamation for merger of its three wholly-owned subsidiary companies namely, PowerUpCloud Technologies, Lym bye Solutions and Cuelogic Technologies with itself.
Tata Communications – Q3FY2022 – Consolidated (QoQ)
Revenue up 2% at Rs 1,657.7 crore Vs 1,628.17 crore
Net profit down 10% to Rs 225.51 crore Vs Rs 251.57 crore
Ebitda at Rs 275.77 crore Vs 302.78 crore, down 9%
Margins at 16.6% Vs 18.6%
EPS at Rs 7.91 Vs Rs 8.83
Rallis India Q3FY22 (Consolidated, YoY)
Revenue up 10% at Rs 628.08 crore Vs Rs 570.47 crore
Net profit down 13% at Rs 39.56 crore Vs Rs 45.64 crore
Ebitda up 12% at Rs 67.40 crore Vs Rs 60.12 crore
Margin at 10.7% Vs 10.5%
CEAT Q3FY22 (Consolidated, YoY)
Revenue up 9% at Rs 2,413.27 crore Vs Rs 2,221.25 crore
Net loss at Rs 20.01 crore Vs Net profit of Rs 132.14 crore
Ebitda down 59% at Rs 134.12 crore Vs Rs 327.66 crore
Margin at 5.6% Vs 14.8%
Syngene International Q3FY22 (Consolidated, YoY)
Revenue up 10% at Rs 641.40 crore Vs Rs 584.50 crore
Net profit up 2% at Rs 104 crore Vs Rs 102.20 crore
Ebitda up 10% at Rs 183.5 crore Vs Rs 167.3 crore
Margin at 28.6%
Oracle Financial Services Software Q1FY22 (Consolidated, QoQ)
Revenue down 1% at Rs 1,266.33 crore Vs Rs 1,280.97 crore
Net profit down 3% at Rs 435.34 crore Vs Rs 447.55 crore
EBIT down 7% at Rs 561.03 crore Vs Rs 604.85 crore
Margin at 44.3% Vs 47.2%
Stocks To Watch
Power Finance: Has transferred its wholly owned subsidiaries Karur Transmission and Khavda-Bhuj Transmission to Adani Transmission.
IFCI: To consider preferential share issue to government on Jan. 25.
TVS Motor: Globally announced the launch of its motorcycle TVS Star HLX 150 Disc Variant in Egypt.
HCL Technologies: Appointed Prabhakar Appana as senior vice president and global head of its AWS Ecosystem Business unit.
TCI Express: Will consider declaration of second interim dividend on Jan. 28.
Earnings: Hindustan Unilever, Asian Paints, Bajaj Finserv, Bajaj Holdings & Investment, Havells India, Biocon, Mphasis, Persistent Systems, PNB Housing Finance, Hatsun Agro Product, Container Corporation Of India, Cyient, Reliance Industrial Infrastructure, Century Textiles & Industries, Datamatics Global Services, Agro Tech Foods, Bank of Maharashtra, Orient Electric, Dodla Dairy, Khaitan Chemicals & Fertilizers, PCBL, Sasken Technologies, Shoppers Stop, South Indian Bank, VST Industries