Stocks To Watch: Adani Green Energy, Bharti Airtel, Godrej Consumer, Hero MotoCorp, Wipro, Yes Bank

Asian stocks opened modestly lower Wednesday after a retreat in U.S. equities on concern the recent risk-asset rally had run too far. Treasuries kept an overnight advance. Japanese shares slipped along with equities in Australia and South Korea.

Here are the stocks to watch in trade today:

• Yes Bank: Madhu Kapur has withdrawn suit filed against the Bank, which has been allowed by the Bombay High Court. She and other plaintiffs had sought relief in the suit with respect to participation in the management and promoter classification issues. On May 30, the plaintiffs have consented reclassify their shareholding in the Bank as public shareholders.
• Bharti Airtel’s Singapore arm increased its stake in Bangladesh based Robi Axiata from 25% to 31.3%.
• Minda Corp’s German arm has filed for insolvency due to liquidity crisis. This move, is expected to enhance company’s Ebidta by 2% and ROCE by 5%.
• Equitas Holdings: Equitas Small Finance Bank is offering interest rate of 7% per annum on savings account having deposit between Rs 1 lakh to Rs 5 crore.
• Adani Green Energy: Gautam Adani stated in a conference call that there room to dilute 10-15% stake in the company with come companies are in talks to buy stake in Adani Green Energy. Company aims to win 10GW of projects in 6-8 months.
• Wipro announced an expansion of its global strategic relationship with Amazon Web Services in the area of DevOps.
• JM Financial has launched QIP issue on June 9, with issue price being at Rs 66.72 per share, which is at a discount of 6 percent to closing price on June 9.Bloomberg News had reported that the QIP issue to be raised will be around $100 million.
• Genral Insurance, Auto Stocks: IRDAI has withdrawn the long term package cover of three to five years for Motor Own Damage for new cars and new two wheelers with effect from August 1.
• L&T: L&T Heavy Engineering - manufactured 1250 MT-Cryostat base, the single largest section of the world’s largest nuclear fusion reactor, was successfully lifted and placed into a Reactor building in France recently. Company had delivered the cylinders for this project in March.
• Ceek Women's Health and Lupin announced an agreement to add the Nella women's health products to Lupin's promotional offering in the United States. Under the promotional arrangement, Lupin's sales representatives will detail and demonstrate Ceek products including the Nella NuSpec. (Bloomberg News)
• Godrej Consumer Products: Vivek Gambhir to resign from post of MD and CEO with effect from June 30. Nisaba Godrej appointed as the new MD and Chairperson till September 2022.
• Oil India stated on the news of blowout of a gas well in Assam, stating that the clearing operations were on at the well site, the well caught fire. There is no casualty reported. The situation demands arrangement of large quantities of water, installation of high discharge pumps and removal of debris. All the operations will take about 4 weeks.
• Karnataka Bank on Covid-19 impact: Demand for credit may be muted initially thus affecting the top line of the Bank’s profitability which has already been factored into while drawing the business plan for the current financial year. Additional provision of 10% to be maintained in respect of loan assets where asset classification benefits is taken is already frontloaded in the March quarter results for fiscal 2020.

Nifty Earnings

Hero MotoCorp Q4 (Standalone, YoY)

• Revenue down 20.8% at Rs 6,238.4 crore (Est Rs 6,130 crore)
• Net profit down 15% at Rs 620.7 crore (Est Rs 569 crore)
• Ebidta down 38% at Rs 659.9 crore (Est Rs 708 crore)
• Margins at 10.57% versus 13.56% (Est 11.6%)
• Operationally Inline, Net profit above estimates due to lower taxes
• Revenue and Ebitda for the quarter impacted due to lock-down and one-off items
• Lower raw material cost and taxes aid profit
• Realisation up 6% at Rs 46,747 per unit
• Realisation driven by BS VI transition

• Declared dividend at Rs 25 per share

Other Earnings

Teamlease Services Q4 (Consolidated, YoY)

• Revenue up 14.3% at Rs 1,330.3 crore (Est Rs 1,346 crore)
• Net loss at Rs 29.4 crore versus Net profit at Rs 26 crore (Est Net profit at Rs 16 crore)
• Ebidta down 22.2% at Rs 20 crore (Est Rs 29 crore)
• Margins at 1.5% versus 2.21%
• Change in taxation provisions where MAT credit was written off impacted bottom line numbers
• Employee/trainee head count increased by 4,000 to 220,000
• Average realization per associate in general staffing at Rs 748 per month versus Rs 714 per month
• Created provision of Rs 6.2 crore for Covid-19
• Minimum Alternate Tax credit of Rs 49.6 crores on account of the company adopting and moving to the new tax regime.

MRPL Q4 (Consolidated, QoQ)

• Revenue down 1.6% at Rs 13,870.3 crore
• Net loss at Rs 1,887.4 crore versus Net loss at Rs 150.8 crore
• Ebidta loss at Rs 2,418.4 crore versus Ebidta gain at Rs 251.3 crore
• Higher raw material costs and other expenses impact bottom line numbers
• Deferred Tax reversal of Rs 832.8 crore in current quarter
• Negative GRM of $ 4.52/bbl
• Lower demand for crude oil and petroleum products has impacted the prices and refining margin

Resumption Of Operations

• Indo Rama Synthetics
• Mirc Electronics
• Precot Meridien
• Hind Rectifiers

Earnings Today

• Shriram Transport Finance
• Mahanagar Gas
• Century Textiles & Industries
• Dhanuka Agritech
• Tata Metaliks
• Dwarikesh Sugar Industries
• Genus Power Infrastructures
• EIH
• HSIL
• Jamna Auto
• Indian Hotels
• Lyka Labs
• Orient Green Power
• Shankara Building Products
• Tanla Solutions
• Jindal Stainless Hisar
• Voltamp Transformers

Bulk Deals

• REC: UBS Principal Capital Asia acquired 2.2 crore shares (1.11%) at Rs 102.25 per share and Eastspring Investments sold 1.34 crore shares (0.68%) at Rs 102.25 per share.
• Varun Beverages: Promoter Ravi Kant Jaipuria and Sons sold 21 lakh shares (0.73%) at Rs 615 per share.

Pledged Share Details

• Forbes & Co. promoter Shapoorji Pallonji created pledge of 54.89 lakh shares on June 1
• GMR Infra promoter GMR Enterprises released pledge of 1.24 crore shares on June 9
• Adani Ports and SEZ promoters revoked pledge of 28.25 lakh shares from June 4-8
• Adani Transmission promoter SB Adani Family Trust revoked pledge of 9 lakh shares on June 8
• Adani Green Energy promoter Adani Trading Services revoked pledge of 1.6 crore shares on June 8

(As Reported On June 9)

Who’s Meeting Whom

• UPL to meet Axis AMC, Avendus and other investors from June 10-11
• Tata Chemicals to meet Stewart Investors and ICICI Pru MF from June 11-12
• Blue Star to meet Keyrock Capital Management, Enam AMC and other investors on June 11

Trading Tweaks

• Record Date For Share Buy-Back: Tanla Solutions
• Price Band Revised From 10% To 5%: Anant Raj, 63 Moons Technologies, Borosil Renewables, DHFL, HCL Infosystems, ITDC, KIOCL, Mukand Engineers, Religare Enterprises, Reliance Naval and Engineering, Sundaram Multi Pap, Suzlon Energy, Tejas Networks, Zee Media Corporation.
• Price Band Revised From 20% To 10%: Den Networks, Hindusthan National Glass & Industries, Signet Industries, Sundaram Brake Linings.
• Move Into ASM Framework: GMM Pfaudler, McDowell Holdings, Aban Offshore, Setco Automotive, Walchandnagar Industries, Goa Carbon, Reliance Naval and Engineering, Tejas Networks, Reliance Communications.
• Move Into Short-Term ASM Framework: Himatsingka Seide, Hubtown, Anant Raj, AGC Networks, Brigade Enterprises, Prism Johnson, PG Electroplast, Dalmia Bharat Sugar and Industries, Den Networks, Dishman Carbogen Amcis, DHFL, Reliance Infrastructure, Gabriel India, Godrej Industries. Shriram EPC.

Insider Trading

• V-Mart Retail promoters sold 1.25 lakh shares May 29-June 6
• Syngene International promoter Biocon Employee Welfare Trust sold 31,367 shares from June 4-5

(As Reported On June 9)

F&O Cues

• Nifty June futures closed at 10,034, discount of 12 points versus discount of 2 points
• Nifty June futures open interest down 0.3%, sheds 33,900 shares in open interest
• Nifty Bank June futures closed at 20,678, discount of 47 points versus premium 10 points
• Nifty Bank June futures open interest up 9.3%, adds 1.4 lakh shares in open interest
• India VIX up 1.9% at 30.2
• Nifty Put Call Ratio at 1.20 versus 1.37 across all series

Nifty Weekly Expiry: June 11

• Max open interest on call side at 10,500 strike (34.3 lakh shares)
• Max open interest on put side at 9,800 strike (22 lakh shares)
• Active options: 10,200 Call (+10.8 lakh shares), 10,100 Call (+11.9 lakh shares)

Nifty Monthly Expiry: June 25

• Max open interest on call side at 11,000 (19 lakh shares)
• Max open interest on put side at 9,000 (36 lakh shares)

Securities In Ban

• New In Ban: Jindal Steel
• In Ban: Idea, Jindal Steel, Just Dial, NCC
• Out of Ban: BHEL