Stocks To Watch: Astra Microwave, IL&FS Transport, L&T, Lupin

The Singapore traded SGX Nifty, an early indicator of Nifty 50’s performance in India, gained 0.2 percent to 10,053.

Here are the stocks to watch out for in today’s session:

• Lupin: Pithampur unit cleared by U.S. FDA without any observations
• HDFC: To sell up to 19.12 crore shares or 9.57 percent stake in HDFC Standard Life through its IPO
• NTPC: Shareholders approve raising funds via bonds and NCDs worth up to Rs 15,000 crore
• IL&FS Transport: Bags contract for Zojila tunnel project in J&K
• Marico: Acquired South Africa-based leading hair styling brand ISOPLUS for 75 million rand
• Indian Hume Pipe: Secured a work order of Rs 163.5 crore from Raipur Municipal Corporation
• ONGC: Wins government nod to buy stake in GSPC worth Rs 7,738 crore (PTI)

Other Corporate Announcements

• HEG: Awarded patent for invention of a process for making high performance graphite nipple
• Technocraft: Shuts its unit in Thane to upgrade effluent treatment plant
• ITC: To enter into multi-speciality hospital business
• Reliance Capital: Elevates Sunil Singhania as global head of equities at the company. Manish Gunwani to join Reliance Mutual Fund as chief investment officer
• Inox Wind: NCLT closes insolvency proceedings against the company
• Hexaware: NCLT approves scheme of amalgamation with Risk Technology International Ltd.
• Reliance Industries: Clarifies that there is no demand from MMRDA for payment of any fine or an additional surcharge
• ICICI Prudential: IRDAI orders on taking over policyholders' liabilities and corresponding assets of Sahara Life Insurance Co. Ltd.
• Fortis Healthcare: Promoter transferred its complete shareholding in Hiranandani Healthcare Pvt. Ltd. to the company
• Jyoti Structures: Circuit filter revised to 5 percent

Today’s Nifty Call

F&O Setup

• Nifty futures premium shrinks to 28 points from 43 points
• Maximum open interest on put side at 9,800 put with 42 lakh shares
• Maximum open interest on call side at 10,500 call with 31.7 lakh shares
• Call writers active from 10,000-10,500 levels; write between 4-14 lakh shares
• Put writers active from 9,700-9,900 levels; write between 4-6 lakh shares
• Nifty Put-Call Ratio moves to 1.22 from 1.26

Active Stock Futures

• L&T: Sees open interest addition of 28 percent on short side
• LIC Housing Finance: Sees open interest addition of 25 percent on short side
• HDFC: Sees open interest addition of 22 percent on long side
• Dr. Reddy's Laboratories: Sees open interest addition of 18 percent on short side
• Reliance Capital: Sees open interest addition of 18 percent on long side
• JSW Energy: Sees open interest addition of 20 percent on long side
• Kaveri Seeds: Sees open interest addition of 18 percent on long side

Key Bulk Deals

• Eros International: Promoter Eros Worldwide sold 5 lakh shares or 0.5 percent stake at Rs 234.2 each. Had sold 0.5 percent stake on July 26 as well
• Suzlon: BNP Paribas Arbitrage sold 2.99 crore shares or 0.6 percent stake at Rs 19.47 each

Earnings Reaction To Watch

L&T (Q1, YoY)

• Net profit up 46.4 percent to Rs 893 crore
• EBITDA up 8.9 percent to Rs 2,056 crore
• EBITDA margin flat at 8.6 percent from 8.7 percent

Equitas Holdings (Q1, YoY)

• Net profit down 74.5 percent to Rs 156 crore
• EBITDA down 9.2 percent to Rs 201.5 crore
• EBITDA margin down to 44.5 percent from 63.8 percent

Alembic Pharma (Q1, YoY)

• Net profit up 139.3 percent to Rs 3.35 crore
• EBITDA up 38.1 percent to Rs 1.7 crore
• EBITDA margin expands to 5.9 percent from 3.8 percent

Coromandel International (Q1, YoY)

• Net profit up 900 percent to Rs 75 crore
• EBITDA up 94.1 percent to Rs 172 crore
• EBITDA margin expands to 7.7 percent from 4.4 percent

Oberoi Realty (Q1, YoY)

• Net profit down 15.8 percent to Rs 91.4 crore
• EBITDA down 18.6 percent to Rs 135.6 crore
• EBITDA margin flat at 52 percent from 52.1 percent

Kewal Kiran Clothing (Q1, YoY)

• Net profit down 47 percent to Rs 8.2 crore
• EBITDA down 62.6 percent to Rs 7.3 crore
• EBITDA margin contracts to 9.3 percent from 18.7 percent

Astra Microwave (Q1, YoY)

• Net profit of Rs 4.2 crore from loss of 6.7 crore
• EBITDA of Rs 8.5 crore from EBITDA loss of 1.5 crore
• EBITDA margin at 23.9 percent from negative 4.1 percent

NTPC (Q1, YoY)

• Net profit up 12 percent at Rs 2,618 crore
• EBITDA down 2.5 percent at Rs 5,040 crore
• EBITDA margin down to 25.4 percent from 27.1 percent

Dena Bank Q1

• Net loss of Rs 132 crore from loss of Rs 279 crore (YoY)
• Net interest income up 8.7 percent to Rs 675 crore (YoY)
• Gross NPA at 17.37 percent from 16.27 percent (QoQ)
• Net NPA at 11.22 percent from 10.66 percent (QoQ)

Central Bank of India Q1

• Net loss of Rs 576.7 crore from Rs 599.8 crore (YoY)
• Net Interest Income down 20 percent to Rs 1,330 crore
• Gross NPA at 18.23 percent from 17.81 percent (QoQ)
• Net NPA at 11.04 percent from 10.20 percent (QoQ)

Ramky Infrastructure (Q1, YoY)

• Net profit down 74 percent to Rs 12 crore
• EBITDA at Rs 118 crore versus loss of Rs 74 crore
• EBITDA margin at 6.8 percent from -3.6 percent

Brokerage Calls

Larsen & Toubro

• CLSA maintained 'Buy' with price target of Rs 1,400
• Citi maintained a 'Buy' rating with price target of Rs 1,341
• Edelweiss retained a 'Buy' rating on the stock with price target Rs 1,350
• Kotak maintained a 'Reduce' rating with price target cut to Rs 1,210 from Rs 1,230
• Axis Capital retained 'Hold' on the stock with price target of Rs 1,124
• Deutsche Bank maintained a 'buy' rating with price target set as Rs 1,350
• IDFC maintained a 'Neutral' stance with price target of Rs 1,194

Media Reports

• Reliance Communications: Merger deal with Aircel on sticky wicket. (Economic Times)
• IDFC: IDFC Infra fund to acquire First Solar’s India portfolio for Rs 1,950 crore. (Economic times)
• HSIL: Targets Rs 6,000 crore in revenue in five years. (PTI)
• Tata Motors: Focused on overhauling domestic business. (PTI)
• Sahara Life: To challenge order on life insurance business transfer to ICICI Prudential. (Financial Express)
• Infosys: Stepping up Europe investment. (DNA)