Stocks To Watch: Adani Enterprises, Coal India, ACC, Vodafone Idea, Reliance Industries

Asian markets were headed for gains after the U.S. shares ended January on a high note as signs of cooling inflation encouraged risk appetite ahead of the Federal Reserve’s Wednesday meeting.

Japanese, Australian and Hong Kong equity benchmarks edged higher. The S&P 500 rose 1.5% to close out its best month since October. The tech-heavy Nasdaq 100 index rallied 1.6% for its best month since July and strongest start to a year since 2001.

Adani Enterprises Ltd., a member of the Indian benchmarks, successfully raised $2.5 billion (Rs 20,000 crore) in a closely watched follow-on equity sale Tuesday. The transaction provides some relief for Gautam Adani after allegations by short seller Hindenburg Research.

At 5:30 a.m., the Singapore-traded SGX Nifty, an early indicator of India's benchmark Nifty 50, was up 0.73% at 17,882.

The yield on 10-year Treasuries declined one basis point to 3.53%. Crude price rose 1.3%, while gold was up 0.3%. Bitcoin rose 1.8% to trade around $23,100-level.

Indian benchmark indices closed marginally lower after a volatile session as traders waited for Finance Minister Nirmala Sitharaman to present the Union Budget for the next fiscal.

Rupee snapped its three-day rally against the U.S. dollar after the Economic Survey highlighted that the domestic currency might remain under pressure due to widening fiscal deficit resulting from headwinds on the exports front.

Overseas investors in Indian equities remained net sellers for the seventh day in a row on Tuesday. Foreign portfolio investors offloaded equities worth Rs 5,439.6 crore, while the domestic institutional investors mopped up stocks worth Rs 4,506.3, according to NSE data.

• Adani Enterprises: The Rs 20,000-crore FPO floated by the company was subscribed 1.12 times on its closing, with most of the demand coming from HNIs. The non-institutional investor portion was subscribed 3.32 times, while the QIB portion received bids 1.26 times its size. Retail investors bid for 12% of the portion reserved for them, while the employee portion was subscribed 55%.

• Adani Ports and Special Economic Zone: The Israel government handed over the Haifa port to the joint venture formed by the company and its local partner Gadot Group.

• Adani Power: The company and AdaniConnex mutually agreed to extend the validity of MoU for sale of Support Properties to the latter by March 31, 2023. The sale was originally to be completed by January 2023.

• Reliance Industries: Reliance Consumer Products, the FMCG arm of Reliance Retail Ventures, announced a strategic partnership with Sri Lanka-based Maliban Biscuit Manufactories to strengthen its portfolio in the biscuit segment.

• Vodafone Idea: The board approved preferential issue of 1,600 optionally convertible debentures of Rs 10 lakh each to ATC Telecom Infrastructure.

• Tata Motors: TPG subscribed to 3.75 crore compulsorily convertible preference shares of the face value of Rs 1,000 each in Tata Passenger Electric Mobility for an aggregate consideration of Rs 37.50 crore as the second tranche of securities subscription agreement dated Oct. 12, 2021.

• Punjab National Bank: The state-run lender hiked lending rates by 10 basis points across tenures with effect from Feb. 1, 2023.

• India Infrastructure Finance Co.: The board approved raising Rs 2,500 crore via issuance of non-convertible debentures on private placement basis.

• Valiant Organics: The board allowed material subsidiary of the company Valiant Laboratories to raise funds via the IPO route.

• Syngene International: The company will sell its Hyderabad operations to wholly owned subsidiary Syngene Scientific Solutions under slump sale arrangement for Rs 400 crore.

• Confidence Petroleum India: The company received an order worth Rs 40 crore from Bharat Petroleum Corporation for supply of 200 CNG mobile and stationary cascades.

• Sterlite Technologies: The company will sell its telecom product software business via business transfer agreement by way of slump sale as a going concern to Skyvera through its Indian subsidiary for $15 million.

• Coal India Q3 FY23 (Consolidated, YoY)

Revenue up 24% at Rs 35,169.3 crore (Bloomberg estimate: Rs 33,187.36 crore)

Ebitda up 52% at Rs 10,388.72 crore (Bloomberg estimate: Rs 9,546.30 crore)

Ebitda margin 29.5% vs 24% (Bloomberg estimate: 28.80%)

Net profit at Rs 7,755.6 crore (Bloomberg estimate: Rs 7,678.03 crore)

The company declared an interim dividend of Rs 5.25 per share.

• ACC Q3 FY23 (Consolidated, YoY)

Revenue up 7% at Rs 4,536.97 crore (Bloomberg estimate: Rs 4,509.62 crore)

Ebitda down 32% at Rs 379.14 crore (Bloomberg estimate: Rs 449 crore)

Ebitda margin 8.4% vs 13.3% (Bloomberg estimate: 10%)

Net profit down 60% at Rs 113.19 crore (Bloomberg estimate: Rs 149.46 crore)

• Power Grid Corporation Q3 FY23 (Consolidated, YoY)

Revenue up 8% at Rs 11,261.78 crore (Bloomberg estimate: Rs 10,946.38 crore)

Ebitda up 9% at Rs 9,893.44 crore (Bloomberg estimate: Rs 9,036.40 crore)

Ebitda margin 87.8% vs 87.3% (Bloomberg estimate: 82.6%)

Net profit up 11% at Rs 3,645.34 crore (Bloomberg estimate: Rs 3,519.33 crore)

The company declared an interim dividend of Rs 5 per share.

• P&G Hygiene and Health Care Q3 FY23 (YoY)

Revenue up 4% at Rs 1,134.24 crore

Ebitda down 3% at Rs 287.34 crore

Ebitda margin 25.3% vs 27%

Net profit down 2% at Rs 207.47 crore

The company has declared an interim dividend of Rs 80 per share.

• KEC International Q3 FY23 (Consolidated, YoY)

Revenues up 31% at Rs 4,374.62 crore (Bloomberg estimate: Rs 4,160.83 crore)

Ebitda down 16.36% at Rs 199.88 crore (Bloomberg estimate: Rs 255.98 crore)

Ebitda margin at 4.57% vs7.16% (Bloomberg estimate: 6.2%)

Net profit down 81.2% at Rs 17.6 crore (Bloomberg estimate: Rs 80.18 crore)

• KPIT Technologies Q3 FY23 (Consolidated, QoQ)

Revenues up 23.13% at Rs 917.12 crore (Bloomberg estimate: Rs 894.52 crore)

Ebit up 21.17% at Rs 158.66 crore (Bloomberg estimate: Rs 124.1 crore)

Ebit margins at 17.3% vs 17.58% (Bloomberg estimate: 13.87%)

Net profit up 20.38% at Rs 100.49 crore (Bloomberg estimate: Rs 96.27 crore)

The board approved interim dividend of Rs 1.45 per share.

• RailTel Corporation Of India Q3 FY23 (Consolidated, YoY)

Revenues up 8.77% at Rs 454.32 crore

Ebitda up 4.98% at Rs 74.37 crore

Ebitda margin at 16.37% vs 16.96%

Net profit down 51.6% at Rs 31.95 crore

The company declared interim dividend of Rs 1.50 per share.

• Great Eastern Shipping Co. Q3 FY23 (Consolidated, QoQ)

Revenue down 1.83% at Rs 1,421.03 crore

Ebitda up 0.43% at Rs 796.41 crore

Ebitda margin at 56.04% vs 54.79%

Net profit down 18.42% at Rs 627.2 crore

The company declared an interim dividend of Rs 7.20 per share.

• Cholamandalam Investment and Finance Co. Q3 FY23

Net interest income up 22% at Rs 1,832 crore (YoY)

Net profit up 31% at Rs 684 crore (YoY)

GNPA at 5.37% vs 5.84% (QoQ)

NNPA at 3.76% vs 4.07% (QoQ)

The company declared an interim dividend of Rs 1.30 per share. The board also approved issue of NCDs to raise up to Rs 5,000 crore.

• Indian Hotels Co. Q3 FY23 (Consolidated, QoQ)

Revenues up 36.77% at Rs 1,685.8 crore (Bloomberg estimate: Rs 1,561.11 crore)

Ebitda up 103.15% at Rs 597.21 crore (Bloomberg estimate: Rs 509.34 crore)

Ebitda margin at 35.43% vs 23.85% (Bloomberg estimate: 32.6%)

Net profit up 214.83% at Rs 382.71 crore (Bloomberg estimate: Rs 280.29 crore)

• Jindal Steel & Power Q3 FY23 (Consolidated, YoY)

Revenues down 0.58% at Rs 12,452.44 crore (Bloomberg estimate: Rs 13,105.93 crore)

Ebitda down 28.18% at Rs 2,377.49 crore (Bloomberg estimate: Rs 2,227.33 crore)

Ebitda margin at 19.09% vs 26.43% (Bloomberg estimate: 17%)

Net profit down 67.92% at Rs 518.67 crore (Bloomberg estimate: Rs 1003.99 crore)

• Blue Star Q3 FY23 (Consolidated, YoY)

Revenues up 18.72% at Rs 1,788.2 crore (Bloomberg estimate: Rs 1,692.03 crore)

Ebitda up 15.59% at Rs 104.71 crore (Bloomberg estimate: Rs 108.33 crore)

Ebitda margin at 5.86% vs 6.01% (Bloomberg estimate: 6.4%)

Net profit up 22.97% at Rs 58.41 crore (Bloomberg estimate: Rs 57.14 crore)

Redington, Britannia Industries, Tata Chemicals, Raymond, Prism Johnson, Whirlpool of India, Alembic Pharma, Lakshmi Machine Works, Jubilant FoodWorks, Mahindra Logistics, Sundram Fasteners, Ajanta Pharma, Timken India, UTI Asset Management, MAS Financial Services, Ashok Leyland, IDFC, Hindustan Copper, Gillette India, ZF Commercial Vehicle Control Systems India

• JTL Industries: Singla Ashok bought 5 lakh shares (0.16%), Mohinder Pal sold 5 lakh shares (0.16%) at Rs 325 apiece.

• Axita Cotton: Nakshatra Tradelink sold 10.92 lakh shares (0.55%) at Rs 58.65 apiece.

Polyplex: Sanjiv Sarita Consulting sold 2.60 lakh shares (0.83%), Utkarsh Trading & Holding bought 2.60 lakh shares (0.83%) at Rs 1,535 apiece.

Zensar Technologies: Promoter group Sofreal Mercantrade purchased 71,636 shares on Dec. 27.

• Ex-Date Interim Dividend: DCM Shriram, Mastek, Meghmani Finchem, Thangamayil Jewellery, DCM Shriram

• Record Date Interim Dividend: DCM Shriram, Mastek, Meghmani Finchem, Thangamayil Jewellery, DCM Shriram

• Move Into Short-Term ASM Framework: Adani Total Gas, Adani Green Energy, Adani Transmission

• Move Out of Short-Term ASM Framework: Sula Vineyards

• Nifty February futures ended at 17,795, a premium of 53.25 points.

• Nifty February futures rose 0.38% and 792 shares in Open Interest.

• Nifty Bank February futures ended at 41,141, a premium of 436.55 points.

• Nifty Bank February futures rose 1.11% and 1,169 shares in Open Interest.

• Securities added to the ban period: Ambuja Cements

• Securities removed from the ban period: Nil

Disclaimer: Adani Enterprises is in the process of acquiring a 49% stake in Quintillion Business Media Ltd., the owner of BQ Prime.