Stocks To Watch: Amtek Auto, Coffee Day, Ujjivan Financial, Sun Pharma, Spandana Sphoorty 

Stocks in Asia gained along with U.S. futures early Monday as traders kicked off a busy week for economic data and awaited commentary from the Federal Reserve Chief Jerome Powell.

Shares in Tokyo, Seoul and Sydney were higher and S&P 500 contracts rose. he Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, rose 0.15 percent to 11,070 as of 7 a.m.

Short on time? Well, then listen to this podcast for a quick summary of All You Need To Know before the opening bell.

Here Are The Stocks To Watch Out For

• Ujjivan Financial Services: Unit Ujjivan Small Finance Bank filed DRHP with SEBI for proposed initial public offering, comprising fresh issue of equity shares aggregating to Rs 1,200 crore.
• Sun Pharma and China Medical System Holdings entered into a licensing agreement for generic products to develop and commercialise seven generic products in mainland China.
• Bosch: VK Viswanathan resigned from post of Chairman and Non-Executive Director with effect from Aug. 23 as part of succession planning.
• J&K Bank: Anti-corruption bureau registered a fresh case in the loan fraud worth over Rs 350 crore in Jammu & Kashmir Bank on Friday and conducted searches at different places in Bengaluru. (PTI)
• DHFL stated that it is not in a position release quarterly results in time due to full time engagement of accounts and finance teams in various non-routine audits and the due diligence by various parties. Company to ensure submitting the quarterly results by Sept. 14.
• Himatsingka Seide clarified that concerned authorities in Karnataka have audited company’s manufacturing facilities and have not found any non-compliance with regulations. All wage related and statutory requirements have been duly acknowledged by the Labour Department.
• Amtek Auto: The National Company Law Appellate Tribunal declined to extend resolution period in the company’s insolvency case. NCLAT stated that since 270 days have already passed, National Company Law Tribunal should pass orders on liquidation.
• DCM: Crisil downgraded bank loan facilities worth Rs 375.88 crore to ‘CRISIL D’ (Default) from ‘CRISIL BB+’, due to delays in repaying the interest and principal obligation on the term loan.
• NACL Industries said that a new facility is being built at the Srikakulam site to meet the expected growth in demand for technicals as well as intermediates and at Ethakota Plant manufacturing of new product "SMASH” has commenced.
• Kridhan Infra arm secured orders worth Rs 145 crore for various works at Hyderabad International Airport.

• Simplex Infra: CARE Ratings downgraded long term short loan facilities worth Rs 1195 crore to ‘BBB’ from ‘A-’, with outlook remaining Negative.
• Info Edge increased its stake in Shopkirana to 25.36 percent for Rs 47 crore.
• BEML: Order Book position at Rs 8,917 crore on June 30.
• TVS Motors to invest $3.2 million in U.S.-based Predictronics Corporation, which specialises in providing end-to-end predictive maintenance analytics solutions.
• Cupid bagged Rs 14 crore order from Uganda for supply of male condoms
• Coffee Day Enterprises says total debt of group at Rs 4970 crore. Debt of group will reduce by Rs 2400 crore post Global Village Tech Park deal. The company expected to have a comfortable position to service the reduced debt obligations.

New Offering

• Spandana Sphoorty Financial shares to start trading after IPO gets 1.05 times demand at Rs 856 each.
• Ujjivan Financial seeks SEBI approval to raise Rs 1,200 crore before filling DRHP

Bulk Deals

Balaji Telefilms

• Gothic Corporation acquired 18.42 lakh shares (1.81 percent) at Rs 50.5 each.
• India Capital Fund sold 25.6 lakh shares (2.54 percent) at Rs 50.5 each.

Cox & Kings

• State Street Bank & Trust acquired 11.62 lakh shares (0.66 percent) at Rs 7.1 each.

Reliance Capital

• Jupiter India Fund sold 14.46 lakh shares (0.57 percent) at Rs 48.43 each.

Trading Tweaks

• Spandana Spoorthy Financial to be listed on bourses.
• HSIL ex-date for spinoff.
• Seshasayee Paper & Boards ex-date for stock split from Rs 10 to Rs 2.
• Omax Autos to move into short term ASM Framework.
• Jagran Prakashan to move out of short term ASM Framework.
• Godfrey Phillips, Omax Autos, Tourism Finance Corporation of India price band revised to 10 percent.
• Mcleod Russel to move out of ASM Framework.

Who’s Meeting Whom

• Supreme Industries to meet HDFC Life Insurance and Fidelity International on Aug. 19.
• TVS Motor to meet CGS-CIMB Securities on Aug. 19.
• Hindalco to meet Fidelity International on Aug. 20.
• Inox Leisure to meet Haitong Securities and B&K Securities on Aug. 19.

Insider Trading

• Tourism Finance Corporation of India promoters sold 4 lakh shares on Aug. 13.
• Jindal Stainless promoter Ratan Jindal acquired 1.43 lakh shares from Aug. 9-13.
• Max Ventures and Industries promoter Siva Enterprises acquired 1.8 lakh shares from Aug. 13-14.

Money Market Update

• The rupee closed at 71.16/$ versus 71.27/$ on Wednesday.

Brokerage Radar

Nomura on Ujjivan Financial

• Maintained ‘Reduce’ with a target price of Rs 270.
• Separate listing would lead to a 50 percent holding company discount.
• Arrive at Rs 37-39 per share fair value for the bank if listed.
• Continue to prefer Equitas over Ujjivan within the small finance bank space.

Credit Suisse on financial stocks

• Credit growth now slowing at private banks along with non-banking finance companies.
• Non-corporate slippages inch up, recoveries remain low. ICICI Bank, Axis Bank and HDFC Bank are preferred picks. HDFC, LIC Housing, MM Financial are preferred NBFC picks.

JP Morgan on Indian Hotels

• Maintained ‘Overweight’; price target Rs 175.
• Sufficient margin levers to deliver double-digit earnings growth.
• Significant focus on cost improvement to drive margin improvement.
• Expect the hotel cycle to improve in second half of financial year 2020 onwards.
• Focus on growing the network in an asset light manner

JP Morgan on Lemon Tree Hotels

• Maintained ‘Neutral’; cut target price to Rs 62 from Rs 78.
• Cautious of a potentially soft second quarter and new asset commissioning impact.
• Time for another long-term visit maybe some time away.
• Expect ARRs to improve in the seasonally strong second half of financial year 2020.

CLSA on Maruti Suzuki

• Maintained ‘Buy’; cut target to Rs 7,200 from Rs 7,400.
• Cut financial year 2020-21 EPS by 8-10 percent on lower volumes.
• Demand weak but passenger vehicles better placed for a recovery.
• Demand recovery should lift margins; commodity prices tailwind.
• Maruti is best way to play Indian auto recovery.

F&O Cues

August Futures

• Nifty futures closed at 11,064.6, premium of 16.8 points versus discount of 1.2 points.
• Nifty futures OI up 4.5 percent, adds 7.7 lakh shares in OI.
• Bank Nifty futures closed at 28,260, premium of 43.5 points versus discount of 25 points.
• Bank Nifty futures OI up 1 percent, adds 13,000 shares in open interest.

Options

Nifty PCR at 1.20 versus 1.19 (across all series)

Nifty Weekly Expiry 22-Aug

• Max OI on call side at 11,100 (13.4 lakh shares)
• Max OI on put side at 10,900 (18 lakh shares)
• Max OI addition seen in 10,900P (+8.4 lakh shares), 11,000P (+7.5 lakh shares), 11,100C (+5.4 lakh shares)

Nifty Monthly Expiry 29 -Aug

• Max OI on call side at 11,000 (24.8 lakh shares)
• Max OI on put side at 11,000 (38.8 lakh shares)

Stocks in Ban

• DHFL