Share Market Today: Sensex, Nifty At All-Time High, Auto, Realty, FMCG Advance; FPIs Stay Net Buyers

Overseas investors net bought the highest worth of Indian equities so far in 2022, on Wednesday. They have been net buyers for the past four days.

As per data from the National Stock Exchange, they net bought equities worth Rs 9,010 crore today.

On the other hand, domestic institutional investors remained net sellers for the second day in a row and net sold the highest worth of Indian equities so far in 2022 too.

As per data from the National Stock Exchange, DIIs net sold equities worth Rs 4,056.40 crore today.

Institutions have net bought Rs 16,245.02 crore worth of equities so far in November, and net sold Rs 15,451.89 crore worth of Indian equities till date in 2022.

The yield on the 10-year bond closed flat at 7.28% on Wednesday.

Source: Bloomberg

Indian currency appreciated by nearly 30 paise to 81.42 at the close against the greenback on Wednesday. It closed at 81.72 on Tuesday.

Source: Bloomberg

Closing Bell Indian stock benchmarks clocked fresh all-time highs on Wednesday, extending gains for seventh straight session.

The S&P BSE Sensex closed at 0.67% higher at 63,099.65, while the Nifty 50 gained 0.75% to end at 18,758.

Just before closing at their all time closing highs, the index benchmarks S&P BSE Sensex, Nifty 50 touched new all-time highs of 63,303.01 and 18,816.05, respectively.

Among the Nifty 50 stocks, 45 advanced, while just four declined and one remained unchanged. Mahindra and Mahindra, Hindalco Industries, Grasim, SBI Life and Ultratech Cement were the top Nifty gainers.

On the other hand, IndusInd Bank, SBI, Coal India, Power Grip Corp and Maruti Suzuki, HCL Tech and ITC were the top losers.

The broader market indices outperformed their larger peers, with the mid-caps and small-caps gaining 1.06% and 0.61% respectively. Large-cap index also outperformed its larger peers, gaining 0.86%.

All of the 20 sectoral indices compiled by BSE advanced, with S&P BSE Utilities gaining the most, 2.52%.

The market breadth is skewed in favour of the bulls. About 2,062 stocks rose, 1,438 declined and 103 remained unchanged.

Source: Bloomberg, Exchanges

• Benchmark S&P BSE Sensex & Nifty 50 hit fresh record highs of 63,023.17 and 18,808.50.

Source: BSE, NSE

Commercial-vehicle manufacturer, Ashok Leyland has come under Enforcement Directorate's scanner for its alleged role in the Rs 38 crore BS-IV vehicle scam.

The case pertains to the illegal sale and registration of vehicles non-compliant to BS-IV emission norms. 

"This matter reported seems to be pertaining to an old investigation from the year 2020 -2021. The investigation is not against Ashok Leyland, but against a third party scrap customer," the company said.

The shares of Ashok Leyland decline by 0.13%. The scrip saw a spurt in volumes by more than 2.30 times today.

The stock trades at 2 times its 30-day average and has a return potential of 18%. Out of the 46 analysts tracking the stock, 40 maintain 'buy,' five suggest 'hold' and 1 recommends to "sell" the stock.

Source: Bloomberg, Exchange Filings

Gland Pharma declines as much as 5.3% after agreeing to acquire contract drugmaker Cenexi Group, as analysts say the deal will be margin-dilutive.

The scrip saw spurt in volumes by more than 3.35 times.

Trading at 2.7 times the 30-day average. The stock slumped as much as 5.32%, the most since Nov. 10.

About 23% of the analysts have changed their price targets on Gland Pharma over the past month. Of the 20 analysts tracking the company, 13 maintain 'buy', three suggest 'hold' and four recommend 'sell'. The return potential of the stock is 30.8%.

Alankar Garude of Kotak Institutional Equities said, "The deal is in sync with the view that acquisitions in India will not be easy for Gland and the company will have to look at margin-dilutive international acquisition opportunities."

"Consolidation of Cenexi may dent Gland’s FY24 margin to 30% vs about 32% for Gland’s standalone margin for FY23E," said Abdulkader Puranwala of Elara Capital.

Source: Bloomberg, Exchange filings

The IPO was subscribed 16.61 times as of 1:54 p.m. on Nov. 30.

• Institutional investors: 5.97 times

• Non-institutional investors: 32.34 times

• Retail investors: 15.98 times

• Employee Reserved: 5.39 times

Shares of most automobile and auto parts makers went up on Wednesday, ahead of the release of their November sales data, with Bajaj Auto leading the pack.

The stock of the two-wheeler maker gained as much as 2.95%, with total traded volume 3.1 times the 30-day average, according to Bloomberg.

India's auto sector could see the festive sales momentum sustain longer, while rural sales are likely to recover.

While there will be some moderation on a month-on-month basis, dispatches for the month of November will be higher on a year-on-year basis.

The street cheered the real estate stocks in trade today, with the Nifty Realty index trading above 1.31% and S&P BSE Realty index logging gains of 1.4%.

Out of the ten realty stocks that comprise the Nifty Realty index, seven advanced, while three declined.

Oberoi Realty, Prestige Estates, Godrej Properties, DLF and Sunteck were among the top gainers in the index.

Source: Exchanges

Indian benchmarks S&P BSE Sensex and Nifty 50 continued trading with marginal gains ahead of the GDP data, to be released later today.

At 12:50 p.m., the Sensex traded flat with 0.09% gains at 62,738.94 on the BSE, while the Nifty 50 advanced by 0.15% to 18,645.24 on the NSE.

Among Nifty 50 stocks, 32 stocks advanced and 17 stocks declined, while one remained unchanged.

Hindalco Industries, Bajaj Auto, Grasim Industries, JSW Steel and Asian Paints are the top Nifty 50 gainers. Whereas, Apollo Hospitals, State Bank of India, IndusInd Bank, HCL Technologies and Axis Bank were the laggards.

The broader indices outperformed their larger peers, with the mid-cap gaining 0.35% and the small-caps logging 0.38% in trade.

Fourteen out of the 20 sectoral measures complied by BSE advanced, while six declined with metal and realty stocks leading the advance on the benchmark indices.

The market breadth is skewed in favour of the bulls. About 1,928 stocks rose, 1,395 declined and 136 remained unchanged, as per the BSE data.

The National Mineral Development Corporation rose as much as 1.49% since Nov. 23 after it has raised its list prices of iron ore by Rs 360/tonne today.

The old prices for lumps of iron ore stood at Rs 4,100/tonne; whereas prices for fines stands at Rs 2,910/tonne

Source: Bloomberg

Inox Wind Energy and Inox Green Energy Services logged gains of 3.32% and 1.4% respectively, as the companies initiate strategic action to deleverage their balance sheet.

The companies together aim to reduce a total debt of Rs 411 crore.

Inox Wind Energy trades at 1.7 times the 30-day moving average.

On the other hand, Inox Green Energy Services rose as much as 3.72%, the most since it's listing on Nov. 23, 2022.

Source: Bloomberg, Exchange Filings

Ashoka Buildcon Ltd. shares rose as much as 3.5% after the company emerged as the lowest bidder for a road development project.

Total traded volume stood at 6 times the 30-day average.

The company was named the lowest bidder at a bid value of Rs.1,668.50 crore by the National Highway Authority of India.

The project includes construction of six-lane elevated corridor along with development of existing four-lane road at ground level from Aroor to Thuravoor Thekku section of NH – 66 in the southern Indian state of Kerala on engineering, procurement and construction mode.

Of the 15 analysts tracking the company, all maintain 'buy'. The return potential of the stock is 56.8%.

Source: Bloomberg, Exchange filing

Shares of Gland Pharma Ltd. declined after it inked a deal to buy France-based Phixen SAS.

The stock fell as much as 4.8%- the most since Nov. 10. Total traded volume stood at 4.7 times the 30-day average.

The company entered into a put option agreement to acquire 100% stake in Phixen SAS, doing business under the brand name Cenexi, for 210 million euros (Rs 1,775.37 crore).

Of the 20 analysts tracking the company, 13 maintain 'buy', three suggest 'hold' and four recommend 'sell'. The return potential of the stock is 29.6%.

Source: Bloomberg, Exchange filing

Shares of New Delhi Television Ltd. hit 5% upper circuit on Wednesday, following the resignation founders Prannoy Roy and Radhika Roy from the board of promoter entity RRPR Holding.

The stock gained 5% to trade at Rs 446.3 per piece. Total traded quantity stood at 0.6 times the 30-day average.

The development underlines the acquisition of the media firm's promoter entity by Adani Group-controlled Vishvapradhan Commercial Pvt. On Monday, RRPR Holding issued equity shares constituting 99.5% of its equity share capital to VCPL.

The board of RRPR Holding also approved the appointment of Sudipta Bhattacharya, Sanjay Pugalia and Senthil Sinniah Chengalvarayan as directors with immediate effect, according to the media company's exchange filing on Tuesday.

Source: Bloomberg, Exchange filings

Shares of Zomato Ltd. swung between gains and losses following two large trades.

As many as 26.6 crore shares, or roughly 3.4% equity, of the Gurugram-based food delivery platform changed hands in thirteen bunches, according to Bloomberg data.

As per media reports, Chinese conglomerate Alibaba was looking to offload a similar stake in the company for around $200 million (Rs 1,630 crore). Alibaba Group may offer the shares at a 5-6% discount to Tuesday’s close price of Rs 63.55, according to reports.

As per BSE shareholding data as of Sept. 30, Alibaba held a 12.98% stake in Deepinder Goyal-led Zomato through Antfin Singapore Holding Pte. and Alipay Singapore Holding Pte.

Zomato's stock was volatile in opening trade, opening around 0.9% lower. It then fell 2.6% before gaining as much as 5.1%.

Source: Bloomberg, BSE

– Benchmark NSE Nifty 50 has hit a fresh record high of 18,679.55.

– The 50-stock gauge rose as much as 0.33% to hit a fresh high.

Source: NSE

Indian stock benchmarks opened largely flat on Wednesday, with slim gains, led by automobiles, power and metal stocks even as rising Covid-19 cases in China and U.S. Fed Chair's speech later on Wednesday weighed on global equities.

The S&P BSE Sensex opened 0.10% higher at 62,743.47. Whereas, Nifty 50 rose 0.04% at 18,625.70.

The benchmarks, however quickly gained and hovered around their respective all-time highs.

Out of the 50 stocks compiled by the Nifty 50 index, 39 stocks advanced and 10 stocks declined, while one remained unchanged. Bajaj Auto, Hindalco Industries, Mahindra & Mahindra, Dr Reddy's Laboratories and Tata Motors were the top gainers of the gauge.

While, Infosys, Power Grid Corp of India, BPCL, HCL Technologies, Maruti Suzuki India were the top laggards.

The broader indices outperformed their larger peers, with the mid-cap and small-cap gauges gaining 0.39% and 0.38%, respectively.

Sixteen of the 19 indices compiled by BSE advanced with power and utilities indices gaining the most.

The market breadth is skewed in favour of the bulls. About 1,737 stocks rose, 632 fell and 126 stocks remained unchanged.

Yield on the 10-year bond opened flat at 7.29% on Wednesday.

Source: Bloomberg

Indian currency appreciated by 9 paise to 81.63 at the open against the greenback on Wednesday. It closed at 81.72 on Tuesday.

Source: Bloomberg

• China’s PMI fell to 48 in November, the lowest reading since April.

• It also missed the consensus analyst estimate of 49.

Source: Bloomberg

• U.S. Dollar Index at 106.73

• U.S. 10-year bond yield at 3.73% on Tuesday

• Brent crude down 0.19% to $83.03 per barrel

• Nymex crude at $78.85 per barrel

• SGX Nifty eased 0.05% to 18,749.5 as of 8:10 a.m.

• Bitcoin up 2.78% to $16,917.86

• Wipro: Societe Generale bought 18 lakh shares (0.03%) and BNP Paribas Arbitrage sold 18 lakh shares (0.03%) at Rs 405 apiece.

• Dharmaj Crop Guard: The issue was subscribed 5.97 times on its second day of subscription. The QIB portion was subscribed 76%, whereas the HNI basket received bids for 8.74 times its size. The retail portion was subscribed 7.75 times, and employees placed bids for 3.75 times the portion reserved for them.

• Uniparts India: The Rs 835-crore IPO will open on Nov. 30 and continue till Dec. 2. The price band for the issue has been pegged at Rs 548-577 per share. The company has already raised Rs 250.68 crore from anchor investors, including Nomura, Morgan Stanley, BNP Paribas, IMCO, Carmignac, Abakkus, Nippon Life, and HDFC Mutual Fund among others.

• New Delhi Television: Founders Prannoy Roy and Radhika Roy resigned from the board of the company’s promoter group RRPR Holding.

• Gland Pharma: The company entered into a put option agreement to acquire 100% stake in France-based Phixen SAS, doing business under the brand name Cenexi, for 210 million euros (Rs 1,775.37 crore).

• Biocon: The company’s subsidiary Biocon Biologics completed the acquisition of the biosimilar businesses and assets of Viatris.

• SBI/ HDFC Bank/ICICI Bank/Yes Bank/IDFC First Bank/Bank of Baroda/Union Bank of India/Kotak Mahindra Bank: The Reserve Bank of India will start the pilot of for retail digital rupee on Dec. 01 through these eight banks.

• IDFC: SEBI has approved handing over control of IDFC Mutual Fund to a consortium led by Bandhan Financial Holdings.

• Inox Wind/Inox Green Energy Services: The companies have started the process of deleveraging their balance sheets, reducing a total debt of Rs 411 crore.

• Krishna Institute of Medical Sciences: The company raised its shareholding in subsidiary Arunodaya Hospitals to 65.62% by acquiring additional 7.79% stake.

Indian benchmarks are likely to open with losses on Wednesday, following the decline in global equities as investors remained wary of Covid-19 cases in China while awaiting a speech from Federal Reserve Chair Jerome Powell later in the day.

At 8:10 a.m., the Singapore-traded SGX Nifty -- an early barometer of India's benchmark Nifty 50 -- eased 0.05% to 18,749.5.

Asian stocks followed U.S. equities lower. Shares fell in Japan, South Korea and Australia while futures contracts for Hong Kong slid, indicating a pause in the optimism that drove a gauge of the region’s shares higher on Tuesday. The weakness in Japan followed data showing a sharper-than-expected decrease in industrial production.

U.S. stocks dropped, with largest technology companies in the world leading losses. S&P 500 declined 0.4%, while the tech-heavy Nasdaq fell 0.7%. Yield on 10-year Treasury notes rose four basis points to 3.72%.

Oil was up 1.2% after shedding gains on reports that OPEC+ will maintain its output. Gold futures rose 0.5%, while Bitcoin increased 1.1% to trade near the $16,400-level.

On Tuesday, Indian benchmark indices Sensex and Nifty continued their journey upwards for the sixth session in a row and closed at fresh new highs. Gains in FMCG stocks led the rally as domestic markets favoured the bulls.

The rupee reversed its gains from the day to close lower against the U.S. dollar as rising oil prices took a toll on the forex market.