Stock Market Today: Sensex, Nifty Snap Three-Day Losses; FPIs Remain Net Sellers
The S&P BSE Sensex was 845 points or 1.41% at 60,747.31 while the NSE Nifty 50 was 242 points or 1.35% higher at 18,101.20.
KEY HIGHLIGHTS
FPIs Remain Net Sellers
Overseas investors were net sellers of Indian equities for the 12th day in a row on Monday.
Foreign portfolio investors net sold Indian equities worth Rs 203.79 crore, according to National Stock Exchange data.
On the other hand, domestic institutional investors continued buying for the 2nd straight day with the purchase of Rs 1,723.79 crore worth of Indian stocks, after breaking a 21-day buying streak on Thursday.
Foreign institutions net bought Rs 14,398.8 crore worth of Indian equities in December, but have remained net sellers of Rs 8,016.57 crore of Indian stocks so far in 2023.
Yield On The 10-Year Bond Declines
The yield on the 10-year bond closed lower at 7.34% on Monday. It closed at 7.37% on Friday.
Source: Bloomberg
Rupee Gains Against The Greenback
The local currency closed 37 paise higher at 82.36 on Monday. It closed at 82.73 on Friday.
Source: Bloomberg
Closing Bell
Following the strong global cues and the move in Asian stocks, the Indian benchmark indices snapped its three-day losing run and closed more than 1% higher in trade on Monday.
The S&P BSE Sensex was 845 points or 1.41% at 60,747.31 while the NSE Nifty 50 was 242 points or 1.35% higher at 18,101.20.
Mahindra and Mahindra Ltd., TCS Ltd., HCL Technologies Ltd., IndusInd Bank Ltd. and Tech Mahindra Ltd. were the top gainers amongst the NSE Nifty 50 constituents.
Whereas, Titan Co., Bajaj Finserv Ltd., Grasim Industries Ltd., Bajaj Auto Ltd. and HDFC Life Insurance Co. were the top losers in the gauge.
The broader market indices underperformed their larger peer; S&P BSE MidCap was up 0.93%, whereas S&P BSE SmallCap was higher at 0.50%.
Eighteen out of the 19 sectoral indices compiled by the BSE advanced, while S&P BSE Consumer Durables declined.
The market breadth was skewed in favour of the bulls. About 2,047 rose, 1,582 declined, 170 remained unchanged on the BSE.
GHCL To Raise Soda Ash Capacity To 12 Lakhs Ton Per Annum
GHCL Ltd. receives regulatory approval to raise Soda Ash capacity to 12 lakhs from 11 lakh ton per annum.
Source: Exchange filing
Zydus Lifesciences Advances In Trade
Shares of Zydus Lifesciences rose 2.88% on Monday. It rose as much as 3.01%, the most since Dec. 21, 2022.
Total traded volume stood at two times its 30-day average.
Out of the 35 analysts tracking the company, 20 maintain a 'buy' rating, 10 suggest to 'hold' and five recommend to 'sell' the stock.
Source: Bloomberg, Exchange filing
IDBI Bank Trades Near 52-Week High
Shares of IDBI Bank hit 52-week high in trade on Monday at Rs 62. The stock was trading 0.51% higher on Monday.
Total traded volume stood at 2.4 times its 30-day average.
The one analyst tracking the company recommended to 'sell' the stock.
Source: Bloomberg, Exchange filing
Trending Stocks Of The Day
Mixed Opening For European Markets
Ajmera Realty And Infra India Rises After Selling Rs 128-Crore Worth Property In Q3
Shares of Ajmera Realty & Infra India Ltd. rose 2.78% in trade on Monday after it recorded sales value of Rs 128 crore in December quarter and Rs 694 crore in the nine-month period of the current financial year.
The company also sold 3.01 lakh square feet of space in the same period. While, the volume sold stood at 63,595 square feet for Q3.
The company's premium residences in Juhu received RERA approval and opened its sales book in the quarter. It recorded sales of over 10% of its sale potential.
Total traded volume stood at 2.6 times its 30-day average.
Source: Bloomberg, Exchange filing
PVR Gains After Opening 19 New Screens Across Indian Cities
Shares of PVR Ltd. rose 2.74% in trade on Monday as it opened three new multiplexes in Jaipur, Bengaluru and Gurugram with a total count of 19 screens.
The company achieved a 900-screen milestone after the new openings.
The stock gained as much as 2.94% in trade, the most since Dec. 27, 2022. Total traded volume stood at 2.8 times its 30-day average.
Out of the 31 analysts tracking the company, 27 maintain a 'buy' rating, two suggest to 'hold' and two recommend to 'sell' the stock.
Source: Bloomberg, Exchange filing
Stocks Aiding Sensex's Rally
Akash Bahnshali's Name Appears In Laurus Labs Q3 Shareholding
Akash Bhanshali of Enam Holdings becomes a 1.14% of stakeholder in Laurus Labs Ltd., according the companies shareholding pattern on BSE.
Source: BSE
M&M Gains Most In Nifty 50 Gauge
Shares of Mahindra and Mahindra Ltd. rose 3.38% in trade on Monday as the automaker introduced a new range of the Thar starting at Rs 9.99 lakh.
The stock gained as much as 3.87 % in trade, the most since Nov. 30, 2022. Total traded volume stood at 2.2 times its 30-day average.
Out of the 47 analysts tracking the company, 42 maintain a 'buy' rating, three suggest to 'hold' and two recommend to 'sell' the stock.
Source: Bloomberg, Exchange filing
Midday Market Update
Asian stocks followed the U.S. market rally from Friday to this week on Monday as key indicators signaled at signs of easing Fed rate hikes.
The Indian benchmark indices followed global cues and opened nearly half a percent higher in trade and the stocks continued their upward move through midday by rising nearly 1.5%.
As of 12:12 pm, S&P BSE Sensex was up 905 points or 1.51% at 60,805.24 while the NSE Nifty 50 was 255 points or 1.43% higher at 18,114.10.
Mahindra and Mahindra Ltd., Bharti Airtel Ltd., IndusInd Bank Ltd., Tech Mahindra Ltd., and TCS Ltd., were the top gainers amongst the NSE Nifty 50 constituents.
Whereas, Titan Co., HDFC Life Insurance Co., Bajaj Auto Ltd. and Britannia Industries Ltd. were the top losers in the gauge.
The broader market indices were trading higher; S&P BSE MidCap was up 0.80%, whereas S&P BSE SmallCap was higher at 0.78%.
Nineteen out of the 20 sectoral indices compiled by the BSE advanced, while S&P BSE Consumer Durables declined.
The market breadth was skewed in favour of the bulls. About 2,324 rose, 1,154 declined, 190 remained unchanged on the BSE.
Vodafone Idea Hits 52-Week Low As Lenders Led By SBI Decide To Stop Financing The Company
Shares of Vodafone Idea Ltd. hit a 52-week low at a lower circuit of Rs 7.4, down by 5.13% in trade on Monday.
This as BQPrime reported on Jan. 6, Friday that banks led by State Bank of India are not in favour of taking further credit exposures to Vodafone Idea Ltd.
According to two people with direct knowledge of the development, the lenders are awaiting further clarity on the status of the government's stake in Vodafone Idea and for the promoters of the company to bring in more equity capital. The promoters include Vodafone Plc and Aditya Birla Group.
Total traded volume stood at 2.9 times its 30-day average.
Out of the 21 analysts tracking the company, five recommend to 'hold' and 16 suggest to 'sell' the stock.
Source: Bloomberg, Exchange filing
Titan Shares Fall On Q3 Updates
Shares of Titan Company Ltd. declined in trade on Monday after the jewellery and watch-maker posted weaker-than-expected third quarter update.
The company, in a stock exchange filing on Friday evening, said it has seen 12% sales growth year-on-year in Q3 on healthy festive demand.
The scrip was trading 1.66% lower, as against a 1.35% gain in Nifty 50, as of 11:16 a.m. It lost as much as 2.77% intraday, the most since Dec. 15.
Total traded quantity was 3.6 times the 30-day average. The relative strength index stood at 41.
Out of the 33 analysts tracking the stock, 25 maintained 'buy' call, while four analysts suggested a 'hold' and four recommended 'sell'. The average of 12-month consensus price target implied a potential upside of 19.6%, according to data on Bloomberg.
Source: Bloomberg, Exchange filing
Delhivery Advances In Trade
Shares of Delhivery Ltd. rose 1.01% in trade on Monday after the Good Glamm Group strengthened its partnership with Delhivery to implement end-to-end supply chain solutions and increase customer satisfaction.
Out of the 16 analysts tracking the company, 11 maintain a 'buy' rating, three recommend to 'hold' and two suggest to 'sell' the stock.
Source: Bloomberg, Exchange filing
Paytm Gains On Positive Q3 Updates
Shares of One97 Communications Ltd. gained the most in nearly two weeks after the company released its December quarter business update, showing a rise in monthly transacting users and merchant payment volumes.
According to its exchange filing, average monthly transacting users rose to 8.5 crore, up nearly 6% QoQ in the December quarter.
The Vijay Shekhar Sharma-led company's merchant payment volumes for the quarter came in at Rs 3.46 lakh crore, up 8% sequentially.
The company's loan distribution business scales as 105 lakh loans worth Rs 9,958 crore were disbursed in the December quarter, nearly 27% sequential growth.
Shares of the company gained as much as 4.2% to Rs 574.5 apiece, still about 75% down from its IPO price of Rs 2,150. Of the 12 analysts tracking the company, eight maintain 'buy', three suggest 'hold' and one recommends 'sell'. The return potential of the stock implies an upside of 55.7%.
Source: Bloomberg, Exchange filing
L&T Advances As Heavy Engineering Business Wins Multiple Orders In Q3 FY23
Shares of Larsen and Toubro Ltd. rose 1.3% in trade on Monday after the company's heavy engineering vertical announced in a filing that it has won multiple "significant" orders worth Rs 1,000-2,500-crore in the October-December quarter of the current fiscal.
The stock was trading at 1.6 times its 30-day average volume. Out of the 44 analysts tracking the company, 43 maintain a 'buy' rating, and one recommends to 'sell' the stock.
Source: Bloomberg, Exchange filing
Shriram Finance Advances In Tarde
Shares of Shriram Finance Ltd. rose 1.4% in trade on Monday after the company announced in a filing that it aims to launch gold loans and double their loan book in U.P. in the next three years.
The stock was trading at 1.6 times its 30-day average volume. Out of the 46 analysts tracking the company, 27 maintain a 'buy' rating, 14 suggest to 'hold' and five recommend to 'sell' the stock.
Source: Bloomberg, Exchange filing
Laurus Labs Advances After 10 Lakh Shares Change Hands
Shares of Laurus Labs Ltd. rose 1.59% in trade on Monday after 10 lakh equity shares changed hands in a bunched trade.
The stock was trading at 1.8 times its 30-day average volume. Out of the 14 analysts tracking the company, 10 maintain a 'buy' rating, two suggest to 'hold' and two recommend to 'sell' the stock.
Source: Bloomberg, Exchange filing
I.T. Stocks Advance In Trade
Shares of I.T. companies reversed their Friday losses and surged in early trade on Monday.
The NSE Nifty IT Index was up 2.35% in trade and all the 10 constituents compiled by the gauge advanced.
Tech Mahindra Ltd., Coforge Ltd., TCS Ltd., Persistent Systems Ltd., HCL Technologies Ltd., LTIMindtree Ltd., L&T Technology Services Ltd and Wipro Ltd. advanced by more than 2% in trade.
Source: NSE
Ashoka Buildcon Advances After Winning Rs 807.6-Crore Worth Orders
Shares of Ashoka Buildcon Ltd. rose 4.71% in trade on Monday as the company received letters of intent from Dakshinanchal Vidyut Vitran Nigam for two projects worth Rs 807.6 crore.
The stock was trading at 2.4 times its 30-day average volume. The 15 analysts tracking the company, maintain a 'buy' rating on the stock.
Source: Bloomberg, Exchange filing
National Fertilizers Rises On Positive Business Updates
Shares of National Fertilizers Ltd. rose 2.94% in trade on Monday as the company in an exchange filing announced that they have posted a total fertilizer revenue growth of 27% in the first nine months of the current fiscal, as compared to the same period in the previous fiscal.
Its agrochemical business also registered 146% year-on-year growth during the same nine-month period.
The stock was trading at 0.8 times its 30-day average volume.
Source: Bloomberg, Exchange filing
Opening Bell
As U.S. key indicators signalled at signs of easing Fed rate hikes, the Asian markets oepened higher on Monday.
The Indian benchmark indices followed global cues and opened nearly half a percent higher in trade on Monday.
The S&P BSE Sensex opened up 247 points or 0.41% at 60,147.07 while the NSE Nifty 50 was 93 points or 0.52% higher at 17,952.55.
Tech Mahindra Ltd., Hindalco Industries Ltd., Tata Motors Ltd., Bharti Airtel Ltd., and UPL Ltd., were the top gainers amongst the NSE Nifty 50 constituents.
Whereas, Titan Co., Eicher Motors Ltd., ICICI Bank Ltd., HDFC Life Insurance Co. and Britannia Industries Ltd. were the top losers in the gauge.
The broader market indices were trading higher; S&P BSE MidCap was up 0.85%, whereas S&P BSE SmallCap was higher at 0.89%.
Eighteen out of the 19 sectoral indices compiled by the BSE advanced, while S&P BSE Consumer Durables declined.
The market breadth was skewed in favour of the bulls. About 2,197 rose, 499 declined, 122 remained unchanged on the BSE.
Yield On The 10-Year Bond Declines
The yield on the 10-year bond opened lower at 7.33% on Monday. It closed at 7.37% on Friday.
Source: Bloomberg
Rupee Gains Sharply Against The Greenback
The local currency opened 40 paise higher at 82.32 on Monday. It closed at 82.73 on Friday.
This is the most the rupee has gained since Dec. 1, 2022.
Source: Bloomberg
Paytm Releases December Quarter Business Update
Average monthly transacting users at 8.5 crore, up nearly 6% QoQ in Q3.
Merchant payment volumes for the quarter at Rs 3.46 lakh crore, up 8% QoQ.
Loan distribution business scales as 105 lakh loans worth Rs 9,958 crore were disbursed in the December quarter, nearly 27% sequential growth.
Source: Exchange filing
Upsides Today May Not Necessarily Get Sold Into | Trade Setup For Monday
Global Cues
U.S. Dollar Index at 103.82
U.S. 10-year bond yield at 3.56% on Friday
Brent crude up 0.89% to $79.34 per barrel
Nymex crude at $74.42 per barrel
SGX Nifty up 0.72% to 18,087.5 as of 8:15 a.m.
Bitcoin up 1.45% to $17,202.92
Block Deal
Bombay Burmah Trading Corporation: Macrofil Investments bought 13 lakh shares (1.86%), The Bombay Dyeing And Manufacturing Co. sold 13 lakh shares (1.86%) at Rs 928 apiece.
Bulk Deals
Landmark Cars: Girik Wealth Advisors bought 4.37 lakh shares (1.1%) at Rs 563.7 apiece, BofA Securities Europe sold 2.5 lakh shares (0.63%) at Rs 576.1 apiece.
Sigachi Industries: Dharm Prakash Tripathi sold 1.55 lakh shares (0.5%) at Rs 316.9 apiece.
Stocks To Watch
Lupin: The company received U.S. FDA approval for Abbreviated New Drug Application Fesoterodine Fumarate Extended-Release Tablets to market a generic equivalent of Toviaz Extended-Release Tablet of Pfizer Inc. The tablet has an estimated annual sale of $177 million in the U.S.
Gland Pharma: The company through its wholly owned subsidiary has entered into a share purchase agreement with FPCI Sino French Midcap Fund, as the controlling seller to acquire 100% stake in Cenexi and the Cenexi holding entities.
HCL Tech: The company has been selected as the primary I.T. partner for The ODP Corporation, a business-to-business distribution company. HCL Tech will be the I.T. partner for ODP for end-to-end I.T. operations and enterprise-wide digital transformation to support ODP’s business strategy in its Office Depot, ODP Business Solutions and Veyer business units.
Krishna Institute of Medical Sciences: The company has made a further investment of acquiring 5.53% stake in Sarvejana Healthcare at Rs 340 apiece, taking its total stake to 56.61%.
Tata Steel: Provisional production volumes rose to 7.52MT in Q3 Vs 7.5MT in Q2. Deliveries dipped to 6.98MT in Q3 Vs 7.08MT in Q2.
Tata Steel Long Products: The provisional production volumes of Direct Reduced Iron rose to 1.83 lakh tons in Q3 from 2.28 lakh tons. Production volumes for crude steel rose 2.28 lakh tons in Q3, compared to 1.61 lakh tons in the previous quarter.
Asian Paints: The board approved setting up a new water-based paint manufacturing facility with a capacity of 4 lakhs kilolitres per annum at an approximate investment of Rs 2,000 crore, to be commissioned within three years after acquisition of land.
Hi-Tech Pipes: The company signed an MoU with the Government of Uttar Pradesh to set up a mega manufacturing facility of steel tubes and pipes and flat steel with an investment of Rs 510 crore.
RPP Infra Projects: The board approved raising funds through the issue of three lakh equity shares and 1.15 crore warrants convertible into equity shares on preferential basis to non-promoters at a price of Rs 44.25.
Ashoka Buildcon: The company received letters of intent from Dakshinanchal Vidyut Vitran Nigam for two projects worth Rs 807.6 crore.
Keystone Realtors: The company has been selected to redevelop the plot and premises of Basant Park Co-operative Housing Society Limited on a plot spanning 16,896.4 square meters in Chembur, Mumbai. This redevelopment will lead to a sale potential of approximately 2.75 lakh square feet of RERA carpet area.
Mahindra and Mahindra Financial Services: CRISIL Ratings has upgraded its rating on the long-term bank facilities, subordinated debt and NCDs of the company to ‘CRISIL AAA/Stable’ from ‘CRISIL AA+/Stable’.
Titan Company: Business Update For December Quarter
-Jewellery business grew 11% year-on-year, while watches and wearables segment grew 14%.
-Eyecare vertical registered 10% growth.
-Fashion, fragrances and apparel businesses grew 75%.
-Subsidiaries TEAL and CaratLane grew 58% and 50%, respectively.
-On standalone basis, Titan Co. had 2,362 stores as of Dec. 31, 2022.
Kalyan Jewellers: Business Update For December Quarter
The company recorded sequential consolidated revenue growth of approximately 13%. Middle East business grew 24% growth sequentially on the back of improved customer sentiment.
Bandhan Bank: Business Updates For December Quarter (YoY): Loans and advances grew 14% to Rs 1.01 lakh crore. CASA deposits declined 3% to Rs 37,194 crore, with CASA ratio at 36.4% against 45.6%. Total deposits grew 21% to to Rs 1.02 lakh crore.
SGX Nifty Indicates Positive Opening for Indian stocks
Asian stocks rose in early trading after U.S. equities had their best day in more than a month on Friday. Australian stocks gained 1%, while US equity futures edged higher.
Contracts for Hong Kong equities climbed 1.5% on Friday. Japanese markets are closed Monday for a public holiday.
Indian stock markets will take cues from the earnings of information technology companies and the macro data during the week.
Investors will also look at crude prices and foreign inflows during the week when Tata Consultancy Services Ltd. kicks off the earnings season, and inflation and industrial output numbers are expected.
At 8:15 a.m., the Singapore-traded SGX Nifty, an early indicator of India's benchmark Nifty 50, was up 0.72% to 18,087.5.
On Friday, the U.S. stocks had the best day in more than a month as slowing wage growth and an unexpected contraction in services activity, increased expectations of the Federal Reserve easing the pace of rate hikes in its fight against inflation.
The S&P 500 rose 2.3%, while the Nasdaq 100 jumped 2.8%. The yield on 10-year Treasuries declined 16 basis points to 3.56%.
Back home, the S&P BSE Sensex closed 453 points or 0.75% lower at 59,900.37, while the NSE Nifty 50 declined 133 points or 0.74% lower to 17,859.45 on Friday. The Indian currency depreciated by 17 paise to 82.73 at the close against the greenback on Friday.
Overseas investors were net sellers of Indian equities for the eleventh day in a row on Friday. Foreign portfolio investors net sold Indian equities worth Rs 2,902.5 crore, while the domestic institutional investors bought Rs 1,083.2 crore worth of Indian stocks, after breaking a 21-day buying streak on Thursday.
