Stocks Radar: Coffee Day, HDFC Bank, Mindtree, Welspun India

Indian equity benchmarks opened higher, extending their gains for the third straight session, driven by auto stocks. The S&P BSE Sensex and NSE Nifty 50 Index rose nearly 0.3 percent at 39,667.50 and 11,867, respectively, as of 9:55 a.m.

The market breadth was tilted in favour of buyers. Seven of the 11 sectoral gauges compiled by the National Stock Exchange advanced, led by a 2 percent rise in the NSE Nifty Realty Index. The NSE Nifty Pharma Index was the top loser, down 0.71 percent.

Here Are The Stocks Moving The Market This Morning

Mindtree Falls On Reports Of CEO Quitting

Shares of the IT company fell as much as 2.5 percent to Rs 912.40 apiece.

This came after PTI reported that the company’s Chief Executive Officer Rostow Ravanan is likely to resign in the wake of Larsen & Toubro Ltd. becoming a majority shareholder in Mindtree.

The stock’s trading volume was more than five times its 20-day average for this time of the day, Bloomberg data showed.

Greaves Cotton Rises After Fixing Record Date For Buyback

Shares of the engineering equipment maker rose nearly 2.2 percent to Rs 145 a share.

Greaves Cotton’s board fixed July 12 as the record date for share buyback, according to an exchange filing. The company had announced a buyback of more than 1.37 crore shares, or 5.6 percent equity, at Rs 175 apiece.

The stock traded 9 percent below the Bloomberg consensus one-year target price.

Coffee Day Enterprises Jumps Most In Over A Year

Shares of Coffee Day Enterprises rose as much as 12 percent—the most since June 11, 2018—to Rs 249.95 apiece.

Beverage maker Coca-Cola is in talks to pick up a significant stake in the country’s largest coffee chain Café Coffee Day, Economic Times reported quoting two officials it didn’t name. Coca-Cola India in a statement, however, said it doesn’t want to comment at this point as the news is absolutely speculative in nature.

Coffee Day stock’s trading volume was more than 350 times its 20-day average, Bloomberg data showed.

Welspun India Gains After Forming Joint Venture With German Firm

Shares of the home textile maker rose as much as 2.7 percent to Rs 58 apiece—the highest in a month.

The company formed a joint venture with Germany’s Sense Organics and has acquired a 51 percent stake in its Myanmar arm, according to its exchange filing.

Welspun India stock trades 23 percent below Bloomberg consensus one-year target price.

HDFC Bank Snaps Three-Day Winning Streak

Shares of the private lender snapped a three-day rally and fell close to 0.5 percent to Rs 2,456.15 apiece.

The bank plans to sell shares in HDB Financial Services Ltd. before March 31, in a deal that may raise about Rs 10,000 crore, Bloomberg reported quoting people aware of the development. Also, the bank has chosen Bank of America Corp. and Morgan Stanley to manage the initial public offering of its non-bank lending unit, the report said.

The stock traded at 25 times its estimated earnings per share, according to Bloomberg data.