Men look up at an electronic ticker board that indicates stock figures at the Bombay Stock Exchange (BSE) in Mumbai. (Photographer: Dhiraj Singh/Bloomberg)

Stocks Radar: TCS, Bank of India, Sundaram Clayton

Indian equity indices rebounded, recouping a year-to-date advance, as some investors judged Thursday’s sell-off as excessive.

The S&P BSE Sensex gained as much as percent to 1.8 percent to 34,616 and the NSE Nifty 50 Index rose 1.8 percent to 10,422 as of 10:05 a.m.

The market breadth was tilted in favour of buyers. Ten of the 11 sectoral gauges compiled by the National Stock Exchange advanced, led by a 3.2 percent gain in the NSE Nifty Auto Index. The NSE Nifty IT Index was the only loser, down 1.5 percent.

Here Are The Stocks Moving The Market This Morning

TCS Declines After Q2 Earnings Meet Estimates

Shares of the country’s largest software company fell 3.7 percent to Rs 1,906 apiece, its fourth decline this week.

TCS posted second-quarter profit that met analyst estimates and projected a double-digit growth for the rest of the financial year as it won customers for its digital offerings and benefited from a dramatic slide in the rupee.

The stock has gained 41.5 percent so far this year, making it the best performer on the Sensex index.

Also read: Q2 Results: TCS’ Profit Rises After Margin Hits Seven-Quarter High

Tech Stocks Slide As Rupee Recovers

Technology shares were the top losers on the Nifty and Sensex as the rupee gained 0.52 percent, the most since Sept. 21, against the U.S. dollar.

  • Infosys fell as much as 1.2 percent to Rs 670.65 per share.
  • HCL Technologies fell nearly 2.3 percent to RS 985.90 per share.
  • Wipro fell as much as 1 percent to Rs 333 per share.

The tech trio were the top three losers on NSE Nifty 50 Index.

Sundaram Clayton Gains After Opening New Foundry

Shares of the auto-parts maker snapped its three-day fall and rose as much as 3.7 percent to Rs 3,880 each.

The company inaugurated its new foundry in Chennai with an investment of Rs 150 crore to significantly expand its capacity. The expansion will primarily serve to Hyundai Motor India Ltd, it said in an exchange filing.

The stock traded 22.9 times trailing its 12-month earnings per share, Bloomberg data showed.

Bank Of India Gains After Hiking Lending Rates

The state-run lender’s shares gained 4.3 percent to Rs 78.65 per share.

Bank of India raised MCLR by five basis points across the overnight and one-month tenors to 8.05 percent and 8.15 percent respectively, according to a notification to the bourses. These rates were effective from Oct. 10.

The stock trades 8 percent below the Bloomberg consensus one-year target price.

Corporation Bank Surges After Government Ups Stake

Shares of the Mangalore-based lender rose nearly 10 percent to Rs 25 per share.

Government of India increased its stake in in the bank to 86.77 percent from 79.87 percent earlier, according to an exchange notification. As much as 86.9 crore equity shares were allotted to the government on a preferential basis.

The stock declined 39 percent so far this year, Bloomberg data showed.

Hindustan Unilever Gains Ahead Of Earnings

Shares of the country's largest FMCG rose as much as 1.3 percent to Rs 1,546.45, ahead of the results announcement.

Q2 Preview (YoY):

  • Revenue seen up 13 percent at Rs 9,383 crore.
  • Net profit seen up 15 percent at Rs 1,418 crore.
  • Ebitda see up 18 percent at Rs 1,990 crore.
  • Margins seen at 21.2 percent versus 20.2 percent.
  • Volume growth expected to be 8-10 percent on base of 4 percent.

Block Deals Alert

  • Firstsource Solutions: About 32 lakh shares changed hands in a block deal.
  • South Indian Bank: About 10.4 lakh shares changed hands in a block deal on BSE.
  • SITI Networks: about 18 lakh shares changed hands in a block deal.
  • SAIL: About 40 lakh shares changed hands in a block deal.

Buyers and sellers were not known immediately.

Source: Bloomberg