Market At Close
- Market Begins Expiry Week On A Weak Note With Sensex & Nifty Slipping 1% Each
- Midcap Index Falls In-line With Benchmarks While Nifty Bank Posts Minor Gains
- Reliance Is The Biggest Nifty Loser While Grasim Gains The Most
- Market Breadth Firmly In Favour Of Declines; Advance-Decline Ratio At 1:3
- Nifty Slips 133 Points To 14,239 & Sensex 531 Points To 48,348
- Midcap Index Falls 204 Points To 21,455 While Nifty Bank Gains 31 Points To 31,198
- HDFC Bank Lifts Nifty Bank By 140 Points While Kotak Mah Bank Drags By 102 Points
- Energy & IT Fall The Most Amongst Indices, Down Up To 3%
- 33 Nifty Stocks Close In The Red; Reliance, IndusInd, HCL Tech, Tata Motors Top Losers
- Reliance Ind Drops Over 5% & Kotak Mah Bank Over 2% After Q3 Earnings
- Grasim’s Entry Into Paints Business Helps Stock Gain Over 6%
- JSW Steel Rises Nearly 2% While UltraTech Sees Profit Booking After Q3 Results
- Axis Bank & United Spirits End Higher While Marico Slips Ahead Of Earnings On Jan 27
Closing Bell | Indian equity indices benchmark indices, Sensex and Nifty ended 1 percent lower dragged by selling in IT, auto and FMCG stocks. The Sensex plunged 530.95 points, or 1.09 percent, to end at 48,347.59, while the Nifty closed at 14,238.90, down 133.00 points, or 0.93 percent. Selling in index heavyweights such as Reliance Industries, IndusInd Bank, Tata Motors, among others pulled Nifty below 14,250 level. Broader markets also succumbed to selling pressure with Nifty Midcap100 and Nifty Smallcap100 ending 0.94 percent and 1.18 percent lower, respectively.
Among sectoral indices, Nifty IT, Nifty Realty, Nifty Auto, Nifty PSU Bank and Nifty FMCG saw the most decline, while Nifty Pharma and Nifty Metal ended in the green. On the Nifty, Reliance Industries, IndusInd Bank, HCL Technologies, Tata Motors and Eicher Motors were the top losers, while Grasim Industries, UPL, Cipla, Hero MotorCorp and Axis Bank were the top gainers,
Market Watch: Dilip Bhat Prabhudas Lilladher
On Pharma Sector
Pharma sector will still continue to find its flavour and it will still continue to be one of the sectors which would be most preferred amongst the investors. The Indian pharmaceuticals particularly the big ones possibly will be able to make good inroad in the non-US markets world-over.
On Reliance Industries
We have a target of Rs 2,350 on Reliance Industries. I think the demerger of the business will happen sooner than later than what all of us think and that also will unlock a lot of value. So from the current levels one should look for an opportunity to buy Reliance at some level.
Aarti Drugs Q3FY21 | The company’s net profit rose to Rs 68 crore from Rs 27.8 crore and revenue increased 12 percent to Rs 530.3 crore from Rs 473.5 crore, YoY. EBITDA was up 56.7 percent at Rs 105.8 crore versus Rs 67.5 crore and margin at 20 percent versus 14.3 percent, YoY.
TCS beats Accenture to become most-valued IT company worldwide
Indian software services major Tata Consultancy Services (TCS) became the most valued IT company worldwide on Monday (January 25), surpassing Accenture. The market valuation of TCS had crossed $169.9 billion on BSE, ahead of American-Irish multinational Accenture, on Monday morning. Accenture has a $168 billion market cap on the New York Stock Exchange (NYSE).
Before this, TCS has raced ahead of Accenture twice — once in 2018, and then again last year, in October. However, last October when TCS zoomed past Accenture, it was the first time that it had claimed the title of the most valuable IT services company in the world. In 2018, though TCS had gone ahead of Accenture, IBM was at the top of the market then with 300 percent more revenue than TCS.
The TCS share price went up significantly over the course of the past two weeks led by the company’s better-than-expected earnings for the quarter ending December 2020. Read more here.
Stove Kraft IPO subscribed 49% on the first day of bidding; retail portion fully subscribed
Stove Kraft's Rs 412.62-crore initial public offer (IPO) was 49 percent on the first day of bidding. The issue received bids for 28.54 lakh equity shares against an offer size of 58.94 lakh shares.
As of 1 PM, the reserved portion of retail investors was subscribed 2.6 times while non-institutional investors were subscribed 1.26 percent. However, the bids of qualified institutional buyers were at 0 percent.
The IPO will close on January 28 and has set a price band at Rs 384-385 per share. The public issue comprises a fresh issue of Rs 95 crore by the company and a Rs 317.6 crore offer for sale by promoters and investors. The OFS consists of 82.50 lakh shares by promoters and investors.
The company received a good response for its anchor book last Friday as it raised a little over Rs 185 crore from anchor investors ahead of its initial public offer.
Aurobindo Pharma shares jump 8% on reports firm qualified for PLI scheme
The share price of Aurobindo Pharma jumped 8 percent to hit its 52-week high on Monday on reports that the firm has qualified for financial support under the production linked incentive (PLI) scheme. The PLI scheme aims at the promotion of manufacturing of critical key starting materials (KSM)/drug intermediates and APIs in the country.
The stock rose as much as 8 percent to its 52-week high of Rs 998 on BSE.
Aurobindo Pharma (through Lyfius Pharma) received government approval for setting up plants for the production of Penicillin-G and 7-ACA, with a committed production capacity of 15,000 MT and 2,000 MT, respectively under the PLI scheme. Continue reading.
APL Apollo Tubes Q3FY21 | The company's net profit rises 77.8 percent to Rs 132 crore from Rs 74.3 crore, YoY. Topline increased 23 percent YoY to Rs 2,601 crore. EBITDA rose 44.6 percent to Rs 232.1 crore versus Rs 160.5 crore, while EBITDA margin comes in at 8.9 percent as against 7.6 percent, YoY.
Bannari Amman Spinning Mills | The company's board has fixed February 15, 2021 as record date to ascertain the name of the shareholders entitled for sub-division of 1 equity share of face value of Rs 10 each fully paid up into equity shares of Rs 5 each fully paid up, resulting in issuance of 2 equity shares of Rs 5 each fully paid up, thereby keeping the paid up capital intact.
Aadhar Housing Finance set to file Rs 7,300-crore IPO
Aadhar Housing Finance is set to file for a Rs 7,300-crore IPO as soon as this month, according to multiple media reports. This could the largest public offer by a financial services firm after SBI Cards.
Blackstone acquired Aadhar Housing in 2019 from the Wadhawan Group for around Rs 2,200 crore. Blackstone currently owns 98.7 percent of the firm. Continue reading here.
PNC Infratech | The company has received letter of Award for six EPC projects in six districts of Uttar Pradesh for an approximate aggregate value of Rs 2,475 crore.
Home First Finance IPO subscribed 4.1 times on final day so far
The Rs 1,153 crore-initial public offering (IPO) of mortgage lender Home First Finance Company India Limited was subscribed 4.18 times on Monday, the last day of bidding. The issue has received bids for 6.52 crore equity shares against an offer size of more than 1.56 crore shares, according to data available on the exchanges.
UCO Bank Q3FY21 | The bank reported a net profit of Rs 35.4 crore as against a loss of Rs 960.2 crore while net interest income (NII) was up 13.8 per cent to Rs 1,407.2 crore versus Rs 1,236.6 crore, YoY.
Lupin | The drug major has received approval for its Sevelamer Carbonate Tablets, 800 mg, from the United States Food and Drug Administration, to market a generic equivalent of Renvela Tablets, 800 mg, of Genzyme Corporation. Sevelamer Carbonate Tablets, 800 mg, are indicated for the control of serum phosphorus in adults and children 6 years of age and older with chronic kidney disease on dialysis.
Strides Pharma Science | The company's step-down wholly-owned subsidiary, Strides Pharma Global Pte., Singapore, has received approval for Ursodiol Capsules USP, 300 mg from the United States Food & Drug Administration (USFDA). The product is bioequivalent and therapeutically equivalent to the Reference Listed Drug (RLD), Actigall Capsules, 300 mg, of Allergan Sales, LLC.
Yash Gupta Equity Research Associate, Angel Broking
Oberoi realty reported a very good set of numbers as multiple positive points trigger in this quarter like stage government cutting off duty and a strong recovery in residential demand after Covid. We expect residential to continue to do well while commercial business will take time to recover.
Grasim stock price jumps over 7% to record high on foray into paint business
Shares of Grasim Industries Ltd rallied over 7 percent to hit a fresh record high of Rs 1,082.45 apiece on the BSE after the company announced its plan to foray into paint business.
In a regulatory filing on Friday, the Aditya Birla Group flagship company said that its board had approved initial capital expenditure of Rs 5,000 crore over the next 3 years. The company’s ambition is to be a strong number 2 player in terms of both market share and profitability over a ‘reasonable’ period and targets 20 percent IRR. Read more here.
Gold rate today: Yellow metal trades flat near Rs 49,100 per 10 grams
Gold prices in India traded flat on the Multi Commodity Exchange (MCX) Monday tracking a muted trend in international spot prices while silver gained. At 11:05 am, gold futures for February delivery eased 0.08 percent to Rs 49,100 per 10 grams as against the previous close of Rs 49,140 and opening price of Rs 49,155 on the MCX. Silver futures traded 0.32 percent higher at Rs 66,855 per kg. The prices opened at Rs 66,896 as compared to the previous close of Rs 66,642 per kg. “Gold prices recovered from last week’s fall amid a weak US dollar. Hopes of an economic stimulus package in the US is supporting gold prices and the trend in the precious metals is expected to remain positive,” said Amit Sajeja, VP Research - Commodities & Currencies at Motilal Oswal.
More here
Home First Fin IPO: Total Subscription: 2.7x, QIB: 1.59x, NII: 0.74x & Retail 4.19x till 11 am
Market Watch: Pritesh Mehta of Yes Securities
“Short ICICI Prudential. Since November 2019 the stock is facing hurdle around Rs 530. On several occasions the stock has come off from this level. So I am expecting this bearish pattern to continue. We can see level of Rs 470 on the downside.”
“Short Petronet LNG. The stock has multiple overhead hurdles in place. Rs 240-250 turns out to be a big resistance. On the downside, if it breaks below the short term trend line, we can see a sharp fall coming in. So I am expecting level of Rs 210 on the downside.”
Stove Kraft mobilises over Rs 185 crore from anchor investors ahead of IPO
Stove Kraft Ltd, the manufacturer of kitchen appliances, has raised a little over Rs 185 crore from anchor investors ahead of its initial public offer, which will open for subscription on Monday. A total of 48,22,290 shares have been allotted to 32 anchor investors at Rs 385 apiece, which is the upper end of the price band. At this price, the company raised Rs 185.68 crore, according to a BSE circular issued late evening on Friday. Among the anchor investors are Goldman Sachs India, Nippon Life India Trustee, Bajaj Allianz Life Insurance Company, IIFL Special Opportunities Fund, Integrated Core Strategies Asia Pte Ltd and Sundaram Mutual Fund. Stove Kraft's initial share-sale offer comprises a fresh issue of equity shares aggregating up to Rs 95 crore and an offer for sale of up to 82.50 lakh equity shares.
RIL shares fall nearly 5% as EBIDTA misses analysts estimates: Should you buy now?
Shares of Reliance Industries fell nearly 5 percent on Monday after the firm didn't perform at par with analyst estimates for the December quarter. Reliance Industries’ Q3FY21 consolidated business EBITDA was down 5 percent year-on-year YoY, missing estimates. The miss on consolidated numbers was largely on the back of a miss on standalone EBIDTA, Motilal Oswal noted in a results review note. However, the company's profit of Rs 13,100 crore, up 13 percent YoY beat the estimate driven by investment income and near-zero tax liability. Despite signs of weakness across categories, analysts remained bullish on the stock. Goldman Sachs maintained a 'buy' call on the stock, with a target at Rs 2,390 a share. IIFL Securities also maintained a ‘buy’ rating, with a price target of Rs 2,055 per share.
