Stocks Radar: Dewan Housing, NMDC, TCS, Yes Bank
Here are the stocks moving the market in today’s trade.
Indian equity benchmarks opened lower, dragged down by losses in Yes Bank Ltd. and and auto stocks.
The Nifty traded 0.40 percent lower at 11,860.65 and Sensex declined 0.39 percent to 39,598, as of 10:35 a.m. The market breadth was tilted in favour of sellers in the ratio of 3:1.
10 of the 11 sectoral gauges compiled by the National Stock Exchange declined, led by a 2.2 percent fall in the NSE Nifty PSU Bank Index. The NSE Nifty Realty Index was the top sectoral gainer, up 0.44 percent.
Yes Bank Plunges After UBS Cuts Price Target By A Third
Shares of the private lender declined as much as 10.4 percent to Rs 120.70, becoming the worst performer on the Nifty Index.
UBS lowered its rating on the stock to ‘Sell’ from ‘Neutral’. It also downgraded the bank’s price target by nearly half to Rs 90—indicating a downside of about 33 percent from the last close.
Here’s what the brokerage had to say on the stock:
- Expectation of sharp turnaround less likely to fructify.
- NPL risks seem higher than current expectations.
- Metrics to deteriorate significantly in 2019-20.
The trading volume was nearly four times the 20-day average for this time of the day, according to Bloomberg data.
Tata Motors Skids After Group’s Global Sales Fall
Shares of the carmaker declined for the second day in a row after it fell nearly 1.8 percent to Rs 166 apiece.
Jaguar Land Rover total wholesales declined 18 percent year-on-year to 39,895 units in May, according to its exchange filing. Also, its total global wholesales was down 23 percent on a yearly basis to 82,374 units in the month, the filing said.
The stock traded 26 percent below the Bloomberg one-year consensus target price.
TCS Hits All-Time High
Shares of the country’s largest information technology firm rose for the fifth straight day after advancing as much as 1.1 percent to Rs 2,285 each. It has gained nearly 5 percent in the last five days.
The stock traded at 25 times its estimated earnings per share, according to Bloomberg data. The stock has gained 25 percent in the past 12 months compared to a 11 percent gain in the Sensex.
DHFL Slumps After Report Of Promoters Stake Sale Plan
Shares of the housing finance company halted its three-day gaining run and declined close to 11.4 percent to Rs 82.65.
The promoters Wadhawan family may sell half of its stake to a strategic investor and Kapil Wadawan could give up managing director's post, reported Business Standard, citing unnamed sources.
The stock has declined 87 percent so far this year compared to a 11 percent gain in the Sensex.
NMDC Falls Nearly 7% On Report Of Production Halt
Shares of NMDC Ltd. fell as much as 6.8 percent, the most in nearly three months, to Rs 100.15.
Barring Kumaraswamy mines in Karnataka, production of iron ore by NMDC came to a standstill as the state-owned company halted production at Bailadilla Range in Dantewada in Chhattisgarh due to protest by tribals, according to a PTI report. “The miner is losing 70,000 tonnes of iron ore production from Chhattisgarh and 0.5 million tonnes per month from Donimalai mines in Karnataka since November last year,” official sources told the news agency.