Sensex, Nifty Clock Longest Weekly Losing Streak In Six Months

Indian equity benchmarks extended declines for the third consecutive week, their longest weekly losing since the end of January.

The S&P BSE Sensex ended 1 percent lower this week to close at 37,882.79 and the NSE Nifty 50 ended at 11,284.30, down 1.1 percent. The broader market represented by the NSE Nifty 500 Index ended 1.2 percent lower.

The benchmark indices halted their six-day losing streak. The 31-share index and the 50-stock index closed 0.14 percent and 0.29 percent higher respectively today. The 500-share index closed 0.37 percent higher.

The market breadth was tilted in favour of buyers. About 974 stocks advanced and 776 shares declined on National Stock Exchange.

Ten out of 11 sectoral gauges compiled by NSE ended higher, led by the NSE Nifty Private Bank Index’s 1.24 percent gain. On the flipside, the NSE Nifty IT Index was the top sectoral loser, down 0.82 percent.

Shares of JSW Steel fluctuated between gains and losses to trade little changed at Rs 248.60 after the company announced its quarterly results.

Key Earnings Highlights (Q1, YoY)

• Revenue down 3 percent to Rs 19,812 crore.
• Net profit down 56 percent to Rs 1,028 crore.
• Ebitda down 27 percent to Rs 3,716 crore.
• Margin at 18.7 percent versus 24.9 percent.
• Board approved raising upto $1 billion via bonds in overseas market.
• Board approved raising upto Rs 10,000 crore via NCDs in domestic market.

Indoco Remedies

• Stock hits upper circuit of 20 percent at Rs 183.10.
• The company received EIR for two facilities in Goa by the U.S. FDA

Punjab National Bank

• Stock rose as much as 5.5 percent to Rs 69.65.
• The bank reported a surprise profit in June quarter.

Eicher Motors

• Stock rose as much as 6.3 percent to Rs 17,476.90.
• Trading volume was double its 20-day average.

Suzlon Energy

• Stock hits upper circuit of 20 percent at Rs 4.80.
• This after speculation that it may have found a new investor, according to a Bloomberg report.

Indian equity benchmarks extended declines for the third consecutive week, the losing streak since the end of January.

The S&P BSE Sensex and the NSE Nifty 50 are currently trading little changed at 37,850 and 11,275.

About 17.2 lakh shares of UPL changed hands in a block deal, Bloomberg data showed. Buyers and sellers were not known immediately.

European equities opened little changed Friday as investors continued to analyse earnings.

GE T&D India

• Stock fell as much as 7.2 percent to Rs 183.
• Trading volume was 17 times its 20-day average.

PVR

• Stock fell as much as 6.9 percent to Rs 1,662.
• Trading volume was more than eight times its 20-day average.

Atul

• Stock fell as much as 2.1 percent to Rs 3,602.05.
• Trading volume was more than seven times its 20-day average.

Maharashtra Scooters

• Stock rose as much as 6.5 percent to Rs 4,058.
• Trading volume was more than five times its 20-day average.

The investors are currently assessing the corporate earnings, which are struggling to recover over the budget announcements, according to Joindre Capital Services’ Research Head Avinash Gorakshakar said.

“The budget is now something that the investors are not weighing much because the street does not expect any major changes in the reforms immediately,” Gorakshakar told BloombergQuint over the phone. “The earnings recovery may take longer if the results are same in September quarter.”

“Besides, the markets were volatile since it was F&O expiry week,” he said.

Gorakshakar does not see changes in the markets sentiment immediately. “There could be very less investments after the markets declined for over a week. However, the markets conditions will only improve rally when the foreign investors turn buyers and if the corporate earnings turn positive,” he said.

Indian equity benchmarks erased gains, led by the declines in Reliance Industries Ltd. And HDFC Ltd.

The S&P BSE Sensex and the NSE Nifty traded little changed at 37,840 and 11,270 respectively.

The market breadth was tilted in favour of buyers. About 918 stocks advanced and 778 shares declined on National Stock Exchange

Shares of the country’s largest carmaker rose 2.3 percent intraday to Rs 5,888 apiece.

Key Highlights (YoY):

• Revenue fell 12 percent to Rs 19,720 crore.
• Net profit declined 27 percent to Rs 1,436 crore.
• Ebitda fell 38 percent to Rs 2,049 crore.
• Margin at 10.4 percent versus 14.9 percent.

The shares fell 40 percent in the last 12 months compared with a 2.3 percent gain in the Sensex.

Shares of Punjab National Bank rose 4.3 percent to Rs 68.90 after the lender reported its June quarter results.

Key Earnings Highlights (Q1, YoY)

• Net profit at Rs 1,018.63 versus net loss of Rs 940.01 crore.
• Net interest income down 33 percent to Rs 3,141.36 crore.
• Provisions fell 79.9 percent to Rs 2,023.31 crore (QoQ).
• Gross NPA at 16.49 percent versus 15.5 percent (QoQ).
• Net NPA at 7.17 percent versus 6.56 percent (QoQ)

Shares of the two-wheeler makers advanced after Bajaj Auto’s June quarter results met street expectations.

• Shares of Bajaj Auto rose as much as 4.8 percent to Rs 2,669.30
• Shares of Eicher Motors rose as much as 6.3 percent to Rs 17,476.
• Shares of Hero MotoCorp rose as much as 4.2 percent to Rs 2,487.
• Shares of TVS Motor rose as much as 3.9 percent to Rs 377.80.

Indian equity benchmarks traded higher after reversing their opening losses.

The S&P BSE Sensex rose 0.13 percent to 37,879 a of 1 p.m. and the NSE Nifty 50 rose 0.25 percent to 11,280. The broader market represented by the NSE Nifty 500 Index rose 0.3 percent.

About 13.1 lakh shares of Essel Propack changed hands in a block deal, Bloomberg data showed. Buyers and sellers were not known immediately.

Yes Bank Says:

• Acquired 32,750,139 equity shares having nominal value of Rs 5 per share, constituting 18.55% of the post-issue paid-up share capital of Cox & Kings.
• Acquired 34,080 equity shares having nominal value of Rs 10 per share, constituting 30% of the post-issue paid-up share capital, of an unlisted company - Ezeego One Travel & Tours.

Source: Exchange Filing

Shares of Bajaj Auto rose as much as 3.9 percent to Rs 2,647 after the company announced its quarterly results for the three months ended June.

Key Earnings Highlights (Q1, YoY)

• Net profit up 0.93 percent to 1,125 crore.
• Revenue up 3.9 percent to Rs 7,755.8 crore.
• Ebitda down 10.5 percent to Rs 1,198.2 crore.
• Margin at 15.4 percent versus 17.9 percent.

The Supreme Court agreed to hear appeal against Bombay High Court order halting Brihanmumbai Municipal Corporation's coastal road project.

Indian equity benchmarks pared opening losses and traded at day’s high.

The S&P BSE Sensex jumped over 300 points from day’s low to 37,974 and the NSE Nifty 50 reclaimed 11,300.

Shares of Bharti Airtel fell 1.2 percent to Rs 335.05 after Airtel Africa announced its quarterly results.

Key Earnings Highlights (Q1, YoY)

• Net profit down 0.4 percent to $125.3 million.
• Revenue up 6.9 percent to $795 million.
• Ebitda up 9.7 percent to $347.5 million.
• Margin at 43.7 percent versus 42.6 percent.
• ARPU flat at $2.7.

About 11.1 lakh shares of Crompton Greaves Consumer Electricals changed hands in a block deal, Bloomberg data showed. Buyers and sellers were not known immediately.

Nine out of 11 sectoral gauges compiled by National Stock Exchange traded higher, led by the NSE Nifty PSU Bank Index’s 1.9 percent gain. On the flipside, the NSE Nifty IT Index was the worst sectoral performer, down 1 percent.

Indian equity benchmarks pared losses and were trading marginally higher.

The S&P BSE Sensex rose 0.1 percent to 37,870 as of 11:15 a.m. and the NSE Nifty 50 rose 0.2 percent to 11,274.

Bank of Baroda (Q1, YoY)

• Stock rose as much as 4.2 percent to Rs 114.20.
• Net interest income up 2.61 percent to Rs 6,496 crore (estimate Rs 6,393 crore).
• Net profit at Rs 710 crore versus net loss of Rs 49 crore.
• Provisions at Rs 3,168.4 crore.
• GNPA at 10.28 percent versus 10.02 percent (QoQ)
• NNPA at 3.95 percent versus 3.65 percent (QoQ)

*Adjusted figures after aggregating numbers of Dena Bank, Vijaya Bank and Bank of Baroda.

Persistent Systems (Q1, QoQ)

• Stock fell as much as 4.7 percent to Rs 535.50.
• Revenues flat at Rs 832.1 crore.
• Net profit down 2.4 percent to Rs 82.5 crore.
• EBIT down 3.7 percent to Rs 79.8 crore.
• Margin at 9.6 percent versus 10 percent.

Mphasis (Q1, QoQ)

• Stock fell as much as 3.4 percent to Rs 890.20.
• Revenue up 1.9 percent to Rs 2,062.6 crore.
• Net profit down 0.5 percent to Rs 264.7 crore versus Rs 266.1 crore.
• EBIT down 4.8 percent to Rs 299.5 crore.
• Margin at 14.5 percent versus 15.5 percent.

Westlife Development (Q1, YoY)

• Stock fell as much as 6.6 percent to Rs 272.
• Revenue up 11.7 percent to Rs 382 crore.
• Net loss of Rs 1.1 crore versus profit of Rs 9 crore.
• Ebitda up 47 percent to Rs 49 crore.
• Margin at 12.8 percent versus 9.7 percent.
• Same store sales growth at 6.7 percent.

Biocon (Q1, YoY)

• Stock rose as much as 5.5 percent to Rs 251.60.
• Revenue up 30.4 percent to Rs 1,465.9 crore.
• Net profit up 72.3 percent to Rs 206.3 crore.
• Ebitda up 84 percent to Rs 437.5 crore.
• Margin at 29.8 percent versus 21.2 percent
• Raw material as percent of revenue at 29 percent.

Gruh Finance (Q1, YoY)

• Stock rose as much as 3.1 percnet to Rs 259.75.
• Net interest income down 1.9 percent to Rs 171.6 crore versus Rs 175 crore.
• Net profit flat at Rs 115.6 crore versus Rs 115.1 crore.

Tata Coffee (Q1, YoY)

• Revenue up 10.5 percent to Rs 466.7 crore.
• Net profit up 2.3 percent to Rs 22.1 crore.
• Ebitda up 18.9 percent to Rs 78.8 crore.
• Margin at 16.9 percent versus 15.7 percent.

South Indian Bank (Q1, YoY)

• Stock rose as much as 1.3 percent to Rs 75.50.
• Net interest income up 8.4 percent to Rs 535.7 crore.
• Net profit up 3.2 times to Rs 73.3 crore.
• Provisions at Rs 205 crore versus Rs 231.5 crore. (Rs 219.2 crore QoQ)
• GNPA at 4.96 percent versus 4.92 percent. (QoQ)
• NNPA at 3.41 percent versus 3.45 percent. (QoQ)
• Other income up 25 percent.

AU Small Finance Bank (Q1, YoY)

• Stock rose as much as 6.8 percent to Rs 677.
• Net interest income up 38.1 percent to Rs 395.6 crore.
• Net profit up 2.5 times to Rs 190.3 crore.
• Provisions at Rs 31.5 crore versus Rs 35.1 crore. (Rs 39.2 crore QoQ)
• GNPA at 2.08 percent versus 2.04 percent. (QoQ)
• NNPA at 1.25 percent versus 1.29 percent. (QoQ)

Recent corporate governance scandals in India have prompted the government to consider measures to strengthen board independence. One way of doing that is to ensure independent directors are truly independent.

Hence, the government is mulling giving more powers to minority shareholders for appointment of independent directors on company boards. (Read the full story here)

Shares of Vodafone Idea rose as much as 3.1 percent to Rs 10.

About 2.27 crore shares or 0.8 percent equity changed hands in multiple block deals, according to Bloomberg data. Buyers and sellers were not known immediately.

Trading volume was more than double its 20-day average, Bloomberg data showed. The Relative Strength Index on the stock was below 30, indicating that the stock may be overbought.

Nifty’s 11,300 call option contract was among the most active Nifty option contracts on National Stock Exchange.

Premium on the weekly contract which is set to expire on Aug. 1, fell 25.74 percent to Rs 43.70. Over 8.92 lakh shares were added to the open interest which stood at over 20.53 lakh shares.

Indian equity benchmarks traded lower, flowing the declines in their Asian peers.

The S&P BSE Sensex fell 0.27 percent to 37,726 as of 10 a.m. and the NSE Nifty 50 fell 0.2 percent to 11,217. The broader market index represented by the NSE Nifty 500 Index fell 0.25 percent.

India’s benchmark bond drops for the second consecutive trading session. The yield on the 10-year note rose as much as 5 basis points to 6.55 percent.

Shares of PVR fell as much as 6.1 percent, the most in over a week, to Rs 1,678 after the company announced its quarterly results for the three months ended June.

Key Earnings Highlights (Q1, YoY)

• Revenue up 26.4 percent to Rs 880.4 crore.
• Net profit down 69 percent to Rs 16.2 crore.
• Ebitda up two times to Rs 278.6 crore.
• Margin at 31.6 percent versus 19.7 percent.

Shares of Tata Motors fell as much as 4.3 percent to Rs 138.10 after the company announced its quarterly results.

Key Earnings Takeaways (Q1, YoY)

• Consolidated loss widens to Rs 3,680 crore from Rs 1,862.7 crore.
• JLR margin came in at 4.2 percent below estimate of 5.2 percent.
• Management confident of 3-4 percent margins for JLR.
• High fixed costs on plant shutdowns behind JLR's loss.
• Net debt higher by Rs 6,000 crore due to change in accounting standard.

JLR Earnings Highlights

• Revenue down 3 percent to GBP 5.07 billion.
• JLR margin at 4.2 percent versus 6.2 percent.
• JLR wholesales down 10 percent to 1.18 lakh units.

Indian equity benchmarks opened lower, following their Asian peers.

The S&P BSE Sensex fell as much as 0.2 percent to 37,751 and the NSE Nifty 50 fell as much as 0.22 percent to 11,227.35. The broader market index represented by the NSE Nifty 500 Index fell as much as 0.24 percent.

“A bounce back in the Nifty aiming 11,460 would be in play if the 200-day moving average of 11,133 supports,” Geojit Financial Services said in a report. “A failure of this scenario and a dip below 11,133 would hint at sharp falls towards 10,600,” the research firm said.

The market breadth was tilted in favour of sellers. About 912 stocks declined and 539 shares advanced on National Stock Exchange.

Ten out of 11 sectoral gauges compiled by NSE traded lower, led by the NSE Nifty Media Index’s 0.96 percent fall. On the flipside, the NSE Nifty PSU Bank Index was the only sectoral gainer, up 0.34 percent.

The Indian rupee opened lower against the U.S. dollar. The home currency depreciated as 0.13 percent to 69.13 against the greenback.

Asian indexes are deep in the red while south Korean won too is down 0.2 percent. Dealers see the pair in a range of 68-68.50 a dollar in the day.

Indian equity benchmarks are set for a muted start.

The S&P BSE Sensex traded marginally higher at 37,897 during the pre-market and the NSE Nifty 50 traded little changed at 11,245.95.

Futures

• Nifty August futures closed at 11,301, premium of 49 points.
• Nifty futures open interest across series up 11 percent, adds 23.8 lakh shares in open interest.
• Bank Nifty August futures closed at 29,201, premium of 158 points.
• Bank Nifty futures open interest across series down 7 percent, sheds 1,400 shares in open interest.
• Nifty Rollover at 73.7 percent, Nifty Bank Rollover at 76.5 percent.

Nifty Weekly Expiry

• Max open interest on call side at 11,400 (14.7 lakh shares).
• Max open interest on put side at 11,200 (11.9 lakh shares).
• Max open interest addition seen in 11,200P (+5 lakh shares), 11,250P (+4.9 lakh shares), 11,500C (+4.7 lakh shares).

Nifty Earnings To Watch

• Bajaj Auto
• Maruti Suzuki India
• JSW Steel
• Vedanta

Other Earnings To Watch

• Vodafone Idea
• ABB India
• Atul
• Bajaj Holdings & Investment
• Balaji Amines
• DIC India
• Elecon Engineering Company
• Empire industries
• Gic Housing Finance
• KPIT Technologies
• Mahindra Lifespace Developers
• Oriental Carbon & Chemicals
• Plastiblends India
• VST Industries
• Indraprastha Medical Corporation
• Aarti Drugs
• Astec LifeSciences
• Confidence Petroleum
• Force Motors
• Jubilant Life Sciences
• Kalyani Forge
• Mangalam Drugs And Organics
• Music Broadcast
• Polycab
• Punjab National Bank
• Puravankara
• Supreme Petrochem
• Teamlease Services
• Usha Martin

Earnings Reaction To Watch

Tata Motors (Q1, YoY)

• Consolidated loss widens to Rs 3,680 crore from Rs 1,862.7 crore.
• JLR margin came in at 4.2 percent below estimate of 5.2 percent.
• Management confident of 3-4 percent margins for JLR.
• High fixed costs on plant shutdowns behind JLR's loss.
• Net debt higher by Rs 6,000 crore due to change in accounting standard.

JLR

• Revenue down 3 percent to GBP 5.07 billion.
• JLR margin at 4.2 percent versus 6.2 percent.
• JLR wholesales down 10 percent to 1.18 lakh units.

Bajaj Finance (Q1, YoY)

• Marginal rise in gross and net NPA (QoQ).
• Loan loss and provisions rise 35 percent sequentially.
• Under-writing practices strengthened in some segments.
• 15-18 percent drop in disbursements in digital product financing, SME & B2C business.
• Long-term AUM growth guidance of 25-27 percent.

Bank of Baroda (Q1, YoY)

• Net interest income up 2.61 percent to Rs 6,496 crore (estimate Rs 6,393 crore).
• Net profit at Rs 710 crore versus net loss of Rs 49 crore.
• Provisions at Rs 3,168.4 crore.
• GNPA at 10.28 percent versus 10.02 percent (QoQ)
• NNPA at 3.95 percent versus 3.65 percent (QoQ)

*Adjusted figures after aggregating numbers of Dena Bank, Vijaya Bank and Bank of Baroda.

PVR (Q1, YoY)

• Revenue up 26.4 percent to Rs 880.4 crore.
• Net profit down 69 percent to Rs 16.2 crore.
• Ebitda up two times to Rs 278.6 crore.
• Margin at 31.6 percent versus 19.7 percent.

Persistent Systems (Q1, QoQ)

• Revenues flat at Rs 832.1 crore.
• Net profit down 2.4 percent to Rs 82.5 crore.
• EBIT down 3.7 percent to Rs 79.8 crore.
• Margin at 9.6 percent versus 10 percent.

Mphasis (Q1, QoQ)

• Revenue up 1.9 percent to Rs 2,062.6 crore.
• Net profit down 0.5 percent to Rs 264.7 crore versus Rs 266.1 crore.
• EBIT down 4.8 percent to Rs 299.5 crore.
• Margin at 14.5 percent versus 15.5 percent.

Westlife Development (Q1, YoY)

• Revenues up 11.7 percent to Rs 382 crore.
• Net loss of Rs 1.1 crore versus profit of Rs 9 crore.
• Ebitda up 47 percent to Rs 49 crore.
• Margin at 12.8 percent versus 9.7 percent.
• Same store sales growth at 6.7 percent.

Biocon (Q1, YoY)

• Revenue up 30.4 percent to Rs 1,465.9 crore.
• Net profit up 72.3 percent to Rs 206.3 crore.
• Ebitda up 84 percent to Rs 437.5 crore.
• Margin at 29.8 percent versus 21.2 percent
• Raw material as percent of revenue at 29 percent.

Gruh Finance (Q1, YoY)

• Net interest income down 1.9 percent to Rs 171.6 crore versus Rs 175 crore.
• Net profit flat at Rs 115.6 crore versus Rs 115.1 crore.

Tata Coffee (Q1, YoY)

• Revenue up 10.5 percent to Rs 466.7 crore.
• Net profit up 2.3 percent to Rs 22.1 crore.
• Ebitda up 18.9 percent to Rs 78.8 crore.
• Margin at 16.9 percent versus 15.7 percent.

South Indian Bank (Q1, YoY)

• Net interest income up 8.4 percent to Rs 535.7 crore.
• Net profit up 3.2 times to Rs 73.3 crore.
• Provisions at Rs 205 crore versus Rs 231.5 crore. (Rs 219.2 crore QoQ)
• GNPA at 4.96 percent versus 4.92 percent. (QoQ)
• NNPA at 3.41 percent versus 3.45 percent. (QoQ)
• Other income up 25 percent.

AU Small Finance Bank (Q1, YoY)

• Net interest income up 38.1 percent to Rs 395.6 crore.
• Net profit up 2.5 times to Rs 190.3 crore.
• Provisions at Rs 31.5 crore versus Rs 35.1 crore. (Rs 39.2 crore QoQ)
• GNPA at 2.08 percent versus 2.04 percent. (QoQ)
• NNPA at 1.25 percent versus 1.29 percent. (QoQ)

• Vedanta: Anil Agarwal, once the biggest shareholder in Anglo American Plc, plans to exit his stake in the diversified mining company.
• Tata Motors clarified that it has no formal engagement with Fitch Rating. The ratings downgrade has been unsolicited and hence the company has no comments to offer.
• Tata Steel acquired 2.6 crore shares of Tata Sponge Iron at Rs 500 each via the rights issue aggregating to Rs 1,292.2 crore. The company increased its stake from 54.5 percent to 75.91 percent in Tata Sponge Iron.
• Bajaj Hindusthan Sugar: CARE Ratings downgraded long-term and short-term loan facilities worth Rs 7,556.2 crore to default. Ratings revised to ‘CARE D’ (issuer not co-operating).
• Cox & Kings clarified that Bombay High Court has allowed the company to withdraw petition filed by company itself against IATA.
• Punjab National Bank board approved raising capital up to Rs 5,000 crore via QIP/FPO/rights issue.
• Indiabulls Housing Finance board proposed Sameer Gehlaut to become the Non-Executive Chairman of the amalgamated bank. Gagan Banga shall continue to be the managing director and chief executive officer in the amalgamated bank.
• Future Enterprises’ Chief Financial Officer Dinesh Maheshwari has been released on bail on July 24. The Directorate of Revenue Intelligence had arrested Maheshwari on July 13 for allegedly being the “main person responsible” for customs duty evasion to the tune of Rs 14.58 crore by the company.
• Amara Raja Batteries Nalanda India Equity Fund increased its stake from 7.23 percent to 9.3 percent in the company.
• Shriram Transport Finance World Bank’s arm IFC to infuse $200 million in the company to primarily fund purchases of commercial vehicles and support micro, small, and medium enterprises.
• Techno Electric & Engineering secured order worth Rs 369 crore from Damodar Valley Corporation to set up a gas system.
• Speciality Restaurant entered into JV with Homage Ventures to setup and operate a restaurant in London.
• TRF Board approved to sell 100 percent stake in its Singapore arm for GBP 3.6 million to England based company Ensco.
• Trident: Dun & Bradstreet assigned 5A1 (strong) rating to the company.

Asian stocks retreated Friday after their U.S. counterparts fell from record highs amid a torrent of corporate results. Treasury yields held overnight gains.

Stocks fell in Japan and South Korea, and China and Hong Kong opened lower, after the S&P 500 retreated from an all-time high. The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, fell 0.17 percent to 11,282 as of 8:05 a.m.

Short on time? Well, then listen to this podcast for a quick summary of All You Need To Know before the opening bell.