Stocks To Watch: Cox & Kings, Den Networks, Infosys, IndusInd Bank, KPR Mill

Stocks in Asia traded mixed Friday as trade-tensions resurfaced and U.S. shares closed at a record.

Shares were little changed in Japan and South Korea, and slipped back in Australia. The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, fell 0.13 percent to 11,566.50 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 In Today’s Trade

• CARE Ratings downgraded Cox & King’s long-term debt facilities to CARE D. Instruments with this rating are in default or are expected to be in default soon.
• KPR Mill becomes the first company to cancel its buyback plan after Budget 2019 imposed a tax on repurchase of shares. (more details here)
• Himachal Futuristic won Rs 199 crore order from BEL for supply of Optical Fibre Cables.
• Gravita India started commercial production of aluminum cast alloys from its new plant in Tanzania, Africa. The facility has a total capacity of 6,000 MTPA and expects to generate Rs 20 crore in revenue along with gross margin of 15 percent from this plant in fiscal 2020.
• Salzer Electronics completed acquisition of 72.32 percent stake in Kaycee Industries.
• KSK Energy Ventures said NCLT admits insolvency resolution plea filed by Axis Bank for subsidiary Sai Lilagar Power Generation Ltd.
• Videocon will publish fourth quarter and full year fiscal 2019 results by July 20, 2019.
• Unitech will publish fourth quarter and full year fiscal 2019 results by July 12, 2019.

Data To Watch

• 5:30 p.m.: India June Consumer Price inflation YoY; estimate 3.13 percent (prior 3.05 percent)
• 5:30 p.m.: India May Industrial Production YoY; estimate 2.85 percent (prior 3.4 percent)

Nifty Earnings To Watch

• Infosys
• IndusInd Bank

Other Earnings To Watch

• Karnataka Bank
• Hathway Cable & Datacom
• 3i Infotech
• TRF

Earnings Reaction To Watch

Den Networks (Q1FY20, YoY)

• Revenue flat at Rs 313 crore.
• Net profit of Rs 11 crore.
• Ebitda down 11 percent at Rs 42 crore.
• Margin narrows to 13.4 percent from 15 percent.
• Other Income of Rs 51 crore.

Who’s Meeting Whom

• Adani Ports & SEZ to meet analysts/ institutional investors on July 12,13 and 22.

Money Market Update

• The rupee on Thursday strengthened marginally to 68.44/$ versus 68.57/$ on Wednesday.

F&O Cues

July Futures

• Nifty futures closed at 11,582, discount of 0.8 points versus 6.6 points.
• Nifty futures open interest down 5.5 percent, sheds 10 lakh shares in open interest.
• Bank Nifty futures closed at 30,717.
• Bank Nifty futures open interest down 3 percent, sheds 53,000 shares in open interest.

Options

• Nifty PCR at 1.24 versus 0.84(across all series).

Nifty Weekly Expiry 18-July

• Max open interest on call side at 11,700 (10.9 lakh shares).
• Max open interest on put side at 11,500 (11.6 lakh shares).
• Open interest addition seen in 11,500P (+8 lakh shares), 11,700C (+5 lakh shares).

Nifty Monthly Expiry 25-July

• Max open interest on call side at 12,000 (32.3 lakh shares).
• Max open interest on put side at 11,300 (21.4 lakh shares).

Stocks In F&O Ban

• DHFL
• IDBI Bank
• Reliance Capital
• Reliance Infra

Brokerage Radar

BofA Securities on Cement

• ACC: Upgrade to ‘Neutral’ from ‘Underperform’, raised price target to 1,695 from 1,586.
• Ambuja Cements: Upgraded to ‘Buy’ from ‘Neutral’, raised price target to 261 from 238.
• Expect continued roll-back of price hikes in the second quarter.
• Cement demand to moderate to 5.6 percent CAGR over FY19-22.

UBS on Lupin

• Maintained ‘Buy’ with a price target of 900.
• FY19 cash flow boosted by decreased working capital.
• Margin pressure in emerging markets business.