Sensex, Nifty Close At Record Ahead Of MPC Decision
India's key equity benchmarks logged new highs for the third consecutive session ahead of RBI’s Monetary Policy Committee decision on Friday
The S&P BSE Sensex gained 0.23% to 54,492.84. The index touched a new peak of 54,717.24 in intraday trade. The NSE Nifty 50 Index rose 0.22% to 16,294.60. The 50-stock index touched a new high of 16,349.45 in intraday trade.
The broader markets underperformed their larger peers. The BSE MidCap remained almost unchanged while the BSE SmallCap declined nearly 0.5%. Ten out of the 19 sectoral indices compiled by the BSE Ltd. advanced, led by S&P BSE Telecom Index, up 3.5%
The market breadth was skewed in favour of bears. About 1,202 stocks advanced, 2,023 declined and 126 remained unchanged on the BSE.
"Benchmark indices maintained their strong momentum, as both Nifty/Sensex registered fresh all-time highs of 16,349.45/54,717.24, respectively. After a sharp sideways movement intra-day, indices trimmed some gains in the last hour of trade. Technically, the larger texture of the market is positive and is likely to continue in the medium term. However, some profit booking at higher levels is not ruled out near 16,350-16,375 resistance levels. Trade setup suggests that the ideal strategy would be to add long positions near crucial supports. For the swing traders, 16,200 and 16,160 would be the key support level to watch out, and below the same the index would be vulnerable at 16,160 level," Shrikant Chouhan, Executive Vice President, Equity Technical Research, Kotak Securities wrote in a note.
Birla Corporation Gains On June Quarter Beat
Shares of Birla Corporation Ltd. gained 4.36% to Rs 1,424 apiece after reporting net income for the June quarter that exceeded the average analyst estimate.
June Quarter Earnings (Consolidated)
Net income at Rs 141.51 crore vs estimate of Rs 133 crore (Bloomberg Consensus)
Revenue at Rs 1,749.11 crore vs estimate of Rs 1,738 crore
Total costs at Rs 1,567.83 crore vs Rs 1,908.49 crore QoQ
Other income at Rs. 9.30 crore vs Rs 13.51 crore QoQ
All the 22 analysts tracking the company maintained ‘buy’ recommendation. The overall consensus price of analysts tracked by Bloomberg implied an upside of 1.5%.
GAIL Pares Gains On Q1 Miss
Shares of GAIL Ltd. pared gains after reporting net income for the June quarter that missed the average analyst estimate.
First Quarter Results (Standalone)
Net profit at Rs 1,529.92 crore vs estimate of Rs 1,740 crore (Bloomberg Consensus)
Revenue at Rs 17,386.63 crore vs estimate of Rs 16,210 crore
Total expenses at Rs 15,530.48 crore vs 13,505.89 crore QoQ
Other income at Rs 197.58 crore vs Rs 568.41 crore QoQ
Of the 37 analysts tracking the company, 33 maintained ‘buy’ and 4 analysts maintained ‘hold’ recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 30.3%. Shares of GAIL India gained over 21% in 2021 so far.
Escorts Reverses Losses On Q1 Beat
Shares of Escorts Ltd. reversed losses and added 1.69% to Rs 1,255 apiece after reporting net income for the first quarter that beat the average analyst estimate.
June Quarter Results (Standalone)
Net income at Rs 185.20 crore vs estimate of Rs 170 crore (Bloomberg Consensus)
Revenue at Rs 1,671.49 crore vs estimate of Rs 1,620 crore
Total costs at Rs 1,472.57 crore vs Rs 1,898.83 crore QoQ
Ebitda at Rs 233.2 crore vs estimate of Rs 208 crore
Of the 25 analysts tracking the company,17 maintained ‘buy’, 5 maintained ‘hold’ and 3 analysts maintained ‘sell’ recommendations. The overall consensus price of analysts tracked by Bloomberg implied an upside of 10.7%.
Bharti Airtel Climbs To A 6-Month High
Shares of Bharti Airtel Ltd. climbed 7.76% to a six month high of Rs 619 apiece. The rise comes amid the uncertainty over rival Vodafone Idea’s future.
Analysts see the ongoing consolidation in telecom industry, recent tariff hikes, industry-leading ARPU, resilient Africa business as positive triggers for the telecommunications services provider.
Of the 33 analysts tracking the company, 32 maintained ‘buy’ and 1 analyst maintained ‘hold’ recommendation. The overall consensus price of analysts tracked by Bloomberg implied an upside of 18.6%.
Shares of Bharti Airtel gained 20% in 2021 so far. The Relative Strength Index is 74 suggesting that the stock may be overbought.