Stocks To Watch: ACC, Aurobindo Pharma, Coal India, Eicher Motors, ITC, Magma Fincorp, Power Grid
Indian equities had another volatile, rangebound session to end with modest losses for the second straight session. The S&P BSE Sensex ended 20 points lower at 51,309 while the NSE Nifty 50 ended little changed at 15,106.
Here are the stocks to watch in trade today:
- Magma Fincorp: Adar Poonawalla-controlled Rising Sun Holdings has agreed to take over majority shareholding in Magma Fincorp. The transaction will be concluded through a preferential share allotment worth Rs 3,456 crore. The lender would be renamed to Poonawalla Finance. Magma Fincorp proposes to allot 45.8 crore shares to Rising Sun Holdings, and 3.57 crore shares to Sanjay Chamria and Mayank Poddar, the existing promoters. Rinsing Sun Holdings will hold 60% stake in the non-bank lender after the transaction is completed, while the current promoter shareholding will come down to 13.3%. The net worth for the non-bank lender will rise to Rs 6,300 crore.
- AU Small Finance Bank: Has terminated the Corporate Agency Agreement with Acko General Insurance.
- Surya Roshni: CARE Ratings has upgraded the ratings of Short-term Bank Facilities of Rs 1,113.32 crore and Commercial Paper of Rs 200 crore to A1+. Further the rating agency has reaffirmed A+ rating to Long-term Bank Facilities of Rs 1,057.01 crore.
- Eicher Motors: Royal Enfield CEO Vinod Dasari said that it may have to hike prices again owing to higher commodity costs. Dasari said on the company's analyst call that Royal Enfield has already taken a price hike of 3-5% in the last six months to partially offset the impact of commodity pressure.
- Max India: Approves further investment of Rs 168 crore in its direct / step-down Wholly-owned subsidiary companies through acquisition of new equity / preference shares under the rights issue or through Inter-Corporate deposits in one or more tranches to meet their business and funding requirements.
- TCS: Announces further deepening of ties with Amazon Web Service (AWS). Launches AWS Business Unit to help customers accelerate innovation and unlock business value. The new unit will help enterprises leverage AWS to build resilience and enhance customer experience.
- Shriram City Union Finance: Banking and Securities Management Committee to consider the issue and allotment of Redeemable, Secured, NCDs of face value of Rs 10 lakh each for an amount of Rs 30 crore with a greenshoe option of Rs 95 crore, aggregating up to 1,250 SNCDs, amounting to Rs 125 crore in one or more tranches on February 15.
- Aster DM Healthcare: Aster Pharmacies Group and Aster Al Shafar Pharmacies Group - subsidiaries of the company, have consolidated pharmacies in the UAE after securing all regulatory approvals from the authorities. The merger of Al Raffah Medical Centre and Al Raffah Hospital has been carried out to consolidate the operations of the clinics in Oman. This is done as a part of the company's effort to reduce the number of subsidiaries and to consolidate pharmacies operating in the UAE.
- Suprajit Engineering: Has approved buyback of upto 15 lakh shares of Re 1 each for an aggregate amount not exceeding Rs 48 crore. The buyback price is Rs 320 per share and record date is February 22.
- Shree Renuka Sugars: Has approved the capacity expansion for ethanol production from 720 Kilo Litre Per Day to 970 KLPD. The proposed capacity addition of 250 KLPD is to be completed by October 22 at a cost of Rs 204 crore.
- Himadri Speciality Chemical: Has decided to permanently close the manufacturing unit, taken on lease situated at Vapi in Gujarat with effect from February 10, 2021. The tenure of the said lease expires on February 26, 2021.
- BPCL: Has finalised commercial terms in connection with the purchase of the 88.86 crore shares of Bharat Oman Refineries Limited, constituting 36.62% of the share capital of BORL from OQ S.A.0.C. for a consideration of approximately Rs 2,399.26 crore and is in the process of agreeing to definitive documentation with OQ. Upon completion of the purchase, BPCL will hold 100% of the share capital in BORL.
- KRBL: The custody of Joint Managing Director, Anoop Kumar Gupta, who was cooperating with the investigation in the Augusta Westland case has further been extended till February 12, 2021, pursuant to the order of Special Judge, Rouse Avenue Courts. Gupta was earlier sent to the custody of Enforcement Directorate till February 10, 2021.
- InterGlobe Aviation: The SEBI has accepted the company’s application for settlement of the adjudication proceeding initiated against it by the capital markets regulator pursuant to the show cause notice and issued the settlement order. The company has paid Rs 2.10 crore towards settlement of the adjudication proceeding.
- HCL Infosystems: Has approved, subject to shareholder’s approval and statutory authorities, sale of HCL Infotech, a wholly owned subsidiary to Novezo Consulting. The transaction is expected to be completed within five months of the date of execution of the share purchase agreement. The consideration to be received from the sale is Rs 147 crore.
- NLC India: Has decided to raise Rs 1,175 crore (with a base issue size of Rs. 250 crore and Green Shoe Option to retain oversubscription upto Rs. 925 crore) through private placement of Unsecured Taxable Bonds (Series | of 2021) in the nature of debentures at a coupon of 6.05% per annum.
- Raymond: Has allotted 2000 Secured NCDs of face value of Rs 10 lakh each, aggregating to Rs 200 crore on Private Placement basis. The coupon/interest offered is 9% per annum.
- Laurus Labs: Has purchased 10,483 equity shares of Rs 10 each from the promoters of Richcore Lifesciences. Further, 7,765 share warrants, which will be convertible into equal number of equity shares within a period of 3 years, have been issued by the Board of Directors of Richcore to the Promoters of Richcore in its meeting held on February 10. Pursuant to the above changes, the stake of the company in Richcore Lifesciences stands at 74.37% on fully diluted basis.
- Nifty Earnings Today: Coal India, ITC, Power Grid
- Non-Nifty Earnings Today: ACC, Allcargo Logistics, Ashok Leyland, Balaji Telefilms, Birla Tyres, Bosch, CAMS, Capacite Infra, CRISIL, Graphite India, Greenply Industries, HUDCO, Indian Hume Pipe, MRF, Natco Pharma, NCC, NHPC, Piramal Enterprises, Petronet LNG, Power Finance Corporation, Presicion Camshaft, Prestige Estates Projects, Repco Home Finance, Spencer Retail, TVS Srichakra, VA Tech Wabag, Waterbase
- Revenues up 17% at Rs 7,287 crore Vs Rs 6,202 crore (Bloomberg Estimate: Rs 7,233.9 crore)
- Net profit down 11% at Rs 419 crore Vs Rs 470 crore (Bloomberg Estimate: Rs 535.4 crore)
- EBITDA up 17% at Rs 858 crore Vs Rs 731 crore (Bloomberg Estimate: Rs 787.8 crore)
- Margins at 11.8% Vs 11.8% (Bloomberg Estimate: 10.9%)
- Jewellery business grew by 16%
- Watches and wearables witnessed a recovery rate of 88% for the quarter
- Eyewear recovery rate was at 93%
Earnings Post Market Hours
Indraprastha Gas Q3FY21 (Consolidated, YoY)
- Net sales down 13% at Rs 1,446.1 crore Vs Rs 1,664.2 crore
- Net profit up 28% at Rs 381.8 crore Vs Rs 297.4 crore
- Ebitda up 28% at Rs 500.6 crore Vs Rs 391.8 crore
- Ebitda margin at 31.4% Vs 21.3%
- Overall volumes down 6% at 6.26 mmscmd Vs 6.7 mmscmd
Metropolis Healthcare Q3FY21 (Consolidated, YoY)
- Revenue up 23% at Rs 274.8 crore Vs Rs 222.8 crore
- Net profit up 40% at Rs 58.6 crore Vs Rs 42 crore
- Ebitda up 37% at Rs 86.7 crore Vs Rs 63.5 crore
- Ebitda margin at 31.6% Vs 28.5%
- 61% revenue share of B2C in focus cities
- Strategy to increase B2C contribution in focus cities for both COVID and Non-Covid revenues is on track
- Declared payment of interim dividend of Rs 8 per share of face value of Rs 2 each for the financial year 2020- 21.
IOL Chemicals & Pharma Q3FY21 (Standalone, YoY)
- Revenue flat at Rs 513 crore Vs Rs 511.2 crore
- Net profit up 17% at Rs 114.8 crore Vs Rs 98 crore
- Ebitda flat at Rs 157.3 crore Vs Rs 159.6 crore
- Ebitda margin at 30.7% Vs 31.2%
- Chemicals business revenue up 13% at Rs 219.8 crore Vs Rs 193.9 crore
- Drugs segment revenue down 7% at Rs 303.7 crore Vs Rs 326.5 crore
Ujjivan Financial Services Q3FY21 (Consolidated, YoY)
- NII up 3% at Rs 457.95 crore Vs Rs 445.9 crore
- Net loss of Rs 408.8 crore Vs Net profit of Rs 71.99 crore
Bata India Q3FY21 (Standalone, YoY)
- Revenue down 26% at Rs 614.7 crore Vs Rs 829.6 crore
- Net profit down 78% at Rs 25.8 crore Vs Rs 117.2 crore
- Ebitda down 55% at Rs 117.1 crore Vs Rs 262.5 crore
- Ebitda margin at 19% Vs 31.6%
- Sales through digitally enabled platforms now make up 15% of the total sales, growing by 3 times in the last one year.
Aurobindo Pharma Q3FY21 (Consolidated, YoY)
- Revenue up 8% at Rs 6,364.9 crore Vs Rs 5,895 crore
- Net profit of Rs 2,946.3 crore Vs Rs 705.3 crore
- Ebitda up 9% at Rs 1,307.7 crore Vs Rs 1,199 crore
- Ebitda margin at 20.6% Vs 20.3%
- Exceptional gain of Rs 2,813.9 crore. This includes a gain of Rs 3,093.4 crore on disposal of business assets of a wholly-owned step-down subsidiary, Natrol in the U.S. It also includes gain of Rs 152.4 crore on account of remeasurement of equity interest in Eugia Pharma - a JV company. It also took impairment charge of Rs 431.9 crore due to the continued impact of Covid-19 in certain markets towards product-related intangibles and goodwill.
Pledge Share Details
- Adani Enterprises: Promoters (Gautam S. Adani and Rajesh S. Adani) revoked pledge of 1.07 crore shares between February 8-9.
- Adani Ports And Special Economic Zone: Promoters (Gautam S. Adani and Rajesh S. Adani) revoked pledge of 56.25 lakh shares on February 9.
- Adani Transmission: Promoters (Gautam S. Adani, Rajesh S. Adani and Adani Tradeline LLP) revoked pledge of 1.46 crore share between February 8-9.
- JSW Energy: Promoters (JSW Investments and Indusglobe Multiventures) created a pledge of 1.42 crore shares between February 5-8. As Reported On February 10.
- Apollo Tricoat Tubes: Promoter Saket Agarwal sold 1.60 lakh shares (0.53%) at Rs 880 per share.
- Indiabulls Housing Finance: Graviton Research Capital LLP bought 24.46 lakh shares (0.53%) at Rs 223.96 per share and sold 21.42 lakh shares (0.46%) at Rs 223.26 per share. Pole-Ads Advertising bought 27.74 lakh shares (0.60%) at Rs 222.66 per share and sold 25.91 lakh shares (0.56%) at Rs 222.46 per share.
Who’s Meeting Whom
- INOX Leisure: To meet Premji Invest on February 12.
- eClerx Services: To meet HDFC Asset Management Company on February 11.
- UTI AMC: To meet Pari Washington Co. Advisors on February 16.
- KCP: Promoter VL Indira Dutt acquired 1 lakh shares on February 9.
- Aarti Industries: Promoter Jaya Chandrakant Gogri sold 40,000 shares on February 9. As Reported On February 10.
- Ex-Date Interim Dividend: PNB Gilts, BLS International Services, Alkem Laboratories, Equitas Holdings, HIL, Gillette India, PI Industries, NTPC, Apcotex Industries, Carborundum Universal, Dhampur Sugar Mills, Bajaj Consumer Care, Balrampur Chini Mills, Control Print, IIFL Wealth Management, Indo Amines, Modison Metals, NTPC, PI Industries
- Record Date Interim Dividend: Coromandel International, Subex, Manappuram Finance, K.P.R. Mill, Transport Corporation of India, Procter & Gamble Hygiene and Health Care
- Move Into Short-term ASM Framework: Neuland Laboratories, TeamLease Services
- Move Into ASM Framework: Share India Securities, HIL