Stocks To Watch: Glenmark Pharma, HDFC, IndiaBulls Housing Finance, LIC Housing Finance, Piramal Enterprises, Power Grid, RIL
An attendee uses a mobile phone whilst looking at his laptop computer screen. (Photographer: Luke MacGregor/Bloomberg)

Stocks To Watch: Glenmark Pharma, HDFC, IndiaBulls Housing Finance, LIC Housing Finance, Piramal Enterprises, Power Grid, RIL

Asian stocks kicked off the week with modest losses as investors mulled the impact of coronavirus outbreaks in countries from the U.S. to Australia, though U.S. futures recouped much of an early decline. S&P 500 contracts pared most of the slide of as much as 1% after Monday’s open. Shares in Japan, South Korea and Australia started lower.

Here are the stocks to watch in trade today:

  • HDFC: To raise Rs 14,000 crore through issuance of equity shares or Compulsory Convertible Debentures, non-convertible debentures along with warrants, foreign currency convertible bonds or any other security through QIP or any other permissible mode. Funds are being raised to augment the long-term resources of the company to finance organic or inorganic business opportunities that may arise in financial ervices including housing finance where the subsidiaries operate, to maintain sufficient liquidity and for general corporate purposes.
  • HDFC Bank: Board of Directors approve the issue of Perpetual Debt Instruments (part of additional tier-I capital), tier-II capital bonds and long-term bonds up to a total of Rs 50,000 crore over the next 12 months on a private placement basis subject to shareholder approval at the AGM.
  • Piramal Enterprises: Acquires solid oral dosage drug production facility from G&W Laboratories in Pennsylvania. It has acquired 100% of the total equity for $17.5 million or approximately Rs 123 crore. The acquisition enables the company to handle potent formulations in North America.
  • Info Edge: To consider raising funds via QIP at its board meeting on June 22.
  • Aarti Industries' Covid-19 Impact: Units currently operating at about 80% capacity. Challenges of supply chain, labour availability posses challenges to manufacturing operations. Over 60% of the revenue comes from end use applications like Agrochemicals, Pharma, Fertilisers and FMCG which is not impacted by the pandemic. See demand contraction in products like polymers and additives, dyes and pigments. Long-term contract execution remains on track. Exports business impacted due to challenges in movement of materials at ports. Suppliers of equipment have been impacted which would delay deliveries from their end. Meeting all financial obligations in time.
  • Glenmark: Gets manufacturing and marketing approval from India's drug regulator to launch the oral antiviral drug Favipiravir to treat mild to moderate Covid-19 patients in India.
  • Ashok Leyland: Approves issue of listed, secured, redeemable NCDs worth Rs 200 crore on a private placement basis in one or more tranches.
  • Spandana Sphoorty: Approves allottment of 1000 rated, listed, secured, redeemable NCDs of face value of Rs 10 lakh each to Bandhan Bank on a private placement basis.
  • PPAP Automotive: Manufacturing operations at the Tamil Nadu facility closed until June 30, 2020.
  • KNR Construction's Covid-19 Update: Work on project sites has commenced on sub-optimum levels. Seeing gradual improvement in availability of manpower and material. Unable to gauge with certainty the future impact of the pandemic on future operations.
  • Hindustan National Glass: Defaults on payment of interest and repayment of principal on loans from banks, financial institutions and unlisted debt securities. Amount of the default was Rs 1,000.98 crore.
  • Deepak Nitrite: ICRA re-affirms the long-term rating of the Line of Credit at AA- and short-term rating at A1+ assigned to the fund-based limits and non-fund based limits of the company. Outlook on the long-term rating has been revised to stable from positive. Re-affirms the rating at A1+ assigned to its commercial paper program.
  • HDFC Life: CRISIL assigns rating on 6,000 unsecured, redeemable NCDs worth up to Rs 600 crore as AAA with a stable outlook.
  • Dalmia Bharat: Buys back 32,350 shares from the open market. Total shares bought back as on June 19 stood at 53,98,434.
  • Non-Nifty Earnings Today: Aegis Logistics, Apollo Hospitals, Info Edge, Balaji Amine, Skipper, Morepen Labs, Dhanlaxmi Bank

Earnings Reported After Market Hours

LIC Housing Finance Q4FY20

  • Net Interest Income down 8.2% to Rs 1,155 crore
  • Net profit down 39.2% to Rs 421.4 crore
  • Board recommends a dividend of Rs 8 per equity share of Rs 2 each for FY20.
  • All numbers are standalone and compared on a year-on-year basis

DFM Foods Q4FY20

  • Revenue down 16.7% to Rs 109.7 crore
  • Net loss of Rs 1.2 crore from net profit of Rs 9.9 crore
  • Ebitda down 88.6% to Rs 2.1 crore
  • Ebitda margin down to 1.9% from 14%
  • All numbers are standalone and compared on a year-on-year basis

ENIL Q4FY20

  • Revenue down 13.6% to Rs 151.8 crore
  • Net loss of Rs 3.23 crore from net profit of Rs 19.3 crore
  • Ebitda down 46.7% to Rs 22.9 crore
  • Ebitda margin down to 15.1% from 24.5%
  • All numbers are consolidated and compared on a year-on-year basis

Bulk Deals

  • Bajaj Corp: Equity Intelligence India buys 8.6 lakh shares or 0.6% of the total equity at Rs 146.7 per share
  • Indiabulls Housing Finance: Morgan Stanley Asia buys 45.2 lakh shares or 1.1% of the total equity at Rs 184.8 per share
  • Mindtree: Integrated Core Strategies buys 10.5 lakh shares or 0.6% of the total equity at Rs 918.9 per share while Vanguard Group sold 17 lakh shares or 1% of the total equity at Rs 913.6 per share.

Pledged Share Details

  • Laurus Labs: Axis Finance releases pledge on 4.35% shares
  • DB Corp: ICICI Prudential Mutual Fund releases pledge on 2.17% of the total equity.
  • Tourism Finance Corporation of India: Beacon Trusteeship acquires 9.69% of the total equity by way of encumbrance by way of pledge.
  • Forbes & Company: Promoter Shapoorji Pallonji revoked pledge of 25.83 lakh shares on June 17.

Who’s Meeting Whom

  • Tata Motors: To meet Bernstein and BFAM Partners on June 22 and M&G Investments on June 26.
  • Dr Lal Pathlabs: To meet Aberdeen Standard Investments, Singapore and ICICI Prudential Life on June 22.
  • Manappuram Finance: To meet Ward Ferry on June 22.
  • Crompton Greaves Consumer Electricals: To meet investors via IIFL's first virtual conference between June 23-26.
  • Power Grid: To meet ICICI Securities on June 22.

Insider Trades

  • V-Mart Retail: Promoter Smriti Agarwal sold 19,440 shares on June 18
  • SBI Cards and Payment Services: Promoter SBI Life Insurance acquired 50,000 shares on June 19

Trading Tweaks

  • Exclusion from F&O Contracts: Century Texties, Equitas Holdings, Ujjivan Financial Services from August 28.
  • Price Band Revised From 10% To 5%: Ashima, Bombay Rayon Fashions, Ester Industries, Inox Wind, Shreyas Shipping & Logistics, Usha Martin.
  • Price Band Revised From 20% To 10%: BLB, Igarashi Motors
  • Move Into ASM Framework: Aarti Drugs, Ortin Laboratories, Orient Bell
  • Move Out of ASM Framework: Kaya , Ballarpur Industries, Khadim, Xelpmoc Design And Tech, Mohota Industries, Nagarjuna Fertilizers and Chemicals, Gyscoal Alloys , Andhra Cements, FCS Software Solutions, Hindusthan National Glass & Industries, Reliance Naval and Engineering, Tejas Networks, Jaypee Infratech, HCL Infosystems, MIRC Electronics, Zee Media Corporation, JBF Industries, Future Supply Chain Solutions, Future Retail, Varroc Engineering, Future Enterprises, CG Power and Industrial Solutions, 5Paisa Capital, PNB Housing Finance, Alok Industries.
  • Move Into Short-Term ASM Framework: Hathway Cable & Datacom, Globus Spirits, Shreyas Shipping & Logistics, Ester Industries, Uttam Galva Steels.
  • Move Out Of Short-Term ASM Framework: Shilpa Medicare, Avadh Sugar & Energy, TV18 Broadcast, Dwarikesh Sugar Industries, Sanghi Industries, KDDL.

F&O Cues

  • Nifty June futures end at 10,235; discount narrows to 9 points from 16 points
  • Nifty June futures add 0.1% and 13,000 shares in Open Interest
  • Nifty Bank June futures end at 21,309; discount widens to 62 points from 42 points
  • Nifty Bank June futures shed 8.7% and 1.7 lakh shares in Open Interest
  • Nifty Put-Call Ratio at 1.56 from 1.59 across all series
  • Enters F&O Ban: NCC
  • Exits F&O Ban: Vodafone Idea
  • Stocks In F&O Ban: Adani Enterprises, BHEL, Escorts, JSPL, Just Dial, NCC, PNB, SAIL

Nifty: June 25 Expiry

  • Maximum Open Interest on Call side at 10,500 Call (34.8 lakh shares)
  • Maximum Open Interest on Put side at 9,000 Put (51.8 lakh shares)
  • Active Options: 10,000 Put (7.7 lakh shares) and 10,600 Call (7.7 lakh shares)

F&O Buzzers & Fund Flows

Stocks To Watch: Glenmark Pharma, HDFC, IndiaBulls Housing Finance, LIC Housing Finance, Piramal Enterprises, Power Grid, RIL
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