Stock Market Today: Sensex, Nifty End Nearly 1% Higher Led By FMCG, I.T., Banking Stocks
The S&P BSE Sensex was up 600 points or 0.99% at 61,032.26 while the NSE Nifty 50 was 159 points or 0.89% higher at 17,929.85.
KEY HIGHLIGHTS
FPIs Stay Net Buyers For The Third Straight Day
Overseas investors in Indian equities remained net buyers for the third day in a row on Tuesday.
Foreign portfolio investors mopped up equities worth Rs 1,305.03 crore, according to data from the National Stock Exchange.
Domestic institutional investors also bought stocks worth Rs 204.79 crore. They previously snapped a 13-day buying streak on Feb. 9.
Foreign institutions net bought Rs 14,398.8 crore worth of Indian equities in December, but have remained net sellers of Rs 44,251.21 crore worth of Indian stocks so far in 2023.
Yield On The 10-Year Bond Flat
The yield on the 10-year bond closed flat at 7.36% on Tuesday.
Source: Bloomberg
Rupee Weakens Against The U.S. Dollar
The local currency weakened by 3 paise against the greenback on Tuesday to 82.76 at close. It closed 82.73 on Monday.
Source: Bloomberg
Sensex, Nifty Rise 1% In Trade
Indian equity benchmarks held on to steady gains and advanced in trade on Tuesday.
Following the consumer price inflation that rose to 6.5% in January, the wholesale inflation, announced on Tuesday, fell to its lowest level since January 2021, led by a decline in inflation in manufactured products.
Asian markets climbed ahead of the key U.S. inflation data after a drop in wage-growth expectations eased some of the concern over rising prices.
European stocks advanced and Wall Street equity futures were little changed.
The S&P BSE Sensex was up 600 points or 0.99% at 61,032.26 while the NSE Nifty 50 was 159 points or 0.89% higher at 17,929.85.
ITC Ltd., Reliance Industries Ltd., Bajaj Finance Ltd., ICICI Bank Ltd., and Infosys Ltd. were the top gainers in the gauge.
Whereas, NTPC Ltd., Sun Pharmaceutial Industries Ltd., Larsen and Toubro Ltd., UltraTech Cement Ltd. and Titan Co. were the top losers amongst the NSE Nifty 50 constituents.
The broader market indices were trading lower and underperformed the larger peers; S&P BSE MidCap was down 0.44%, whereas S&P BSE SmallCap was lower by 0.%.61
Ten out of the 19 sectors compiled by BSE declined, while nine advanced in trade.
The market breadth was skewed in favour bears. About 1303 stocks rose, 2,194 declined, and 117 remained unchanged on the BSE.
Adani Group Stocks Decline
Shares of Adani Enterprises Ltd. rose nearly 4% in trade after the company reported its third-quarter earnings. The net profit was at Rs 820 crore as compared to a loss of Rs 11.6 crore in the same period of the previous fiscal.
Only, ACC Ltd., Adani Enterprises Ltd. and Adani Ports and SEZ Ltd. advanced in trade.
Source: Bloomberg, Exchange filing
Adani Enterprises Q3 Earnings (Consolidated, YoY)
Revenue up 41% at Rs 26,612.2 crore vs Rs 18,757.8 crore
Ebitda up 111% at Rs 1,629.1 crore vs Rs 771.7 crore
Margins at 6.1% vs 4.1%
Net profit at Rs 820 crore vs loss of Rs 11.6 crore
Source: Bloomberg, Exchange filing
Stocks Leading Advances On Sensex
Sensex, Nifty Rise Nearly 1% In Trade
Indian benchmark indices NSE Nifty 50 and S&P BSE Sensex rose nearly 1% in trade on Tuesday.
Source: Bloomberg
Eicher Motors Q3 Earnings (Consolidated, YoY)
Revenue rose 29% to Rs 3,721 crore Vs Rs 2,880.7 crore [BBG Estimate: Rs 3,706.6 crore]
Net Profit rose 62% to Rs 741 crore vs Rs 456 crore [BBG Estimate: Rs 721 crore]
EBITDA rose 47% to Rs 857 crore Vs Rs 582 crore [BBG Estimate: Rs 891 crore]
EBITDA margin stood at 23% Vs 20.2% [BBG Estimate: 19.4%]
Source: Bloomberg, Exchange filing
Bharat Forge Q3 Earnings (Consolidated, YoY)
Revenue rose 40% to Rs 3,353.4 crore Vs Rs 2394.7 crore [BBG Estimate: Rs 3,091.5 crore]
Net Profit fell 96% to Rs 78.72 crore vs Rs 422 crore [BBG Estimate: Rs 222crore]
EBITDA fell 6% to Rs 469.3 crore Vs Rs 502 crore [BBG Estimate: Rs 511.6 crore]
EBITDA margin stood at 14% Vs 21% [BBG Estimate: 16.5%]
Source: Bloomberg, Exchange filing
IPCA Laboratories Q3 Earnings (Consolidated, YoY)
Revenue up 8% at Rs 1,546 crore Vs Rs 1,430 crore (BBG estimate : Rs 1,525 crore)
Net profit down 45% to Rs 108 crore Vs Rs 197 crore (BBG estimate : Rs 165 crore Profit)
EBITDA down 30% to Rs 216 crore from Rs 308 crore (BBG estimate : Rs 273 crore Profit)
Margins at 14% Vs 21.5% (BBG estimate : 17.9%)
Source: Bloomberg, Exchange filing
National Fertilizer Shares Climb 18% As Q3 Revenue Zooms 99% YoY In Q3
Shares of National Fertilizers Ltd. rose 17.88%, as of 1:27 p.m., to Rs 65.6 apiece in trade on Tuesday after the company's third-quarter revenues jumped 99% on an annual basis.
Revenues were up 99% at Rs 10,137.34 crore compared with Rs 5,091.71 crore., in the same period a year back, the company said in a statement.
The rise in profitability was aided by higher revenue growth. The net profit stood at Rs 554.03 crore for the given period, as compared to a net loss of Rs 23.08 crore in the same period of the previous fiscal.
National Fertilizers Q3 Earnings (Consolidated, YoY)
Revenue from operations rose 99% to Rs 10,137.34 crore vs Rs 5,091.71 crore.
Net profit at Rs 554.03 crore vs net loss of Rs 23.08 crore.
Ebitda up 625% at Rs 936.92 crore vs Rs 69.21 crore.
Ebitda margin stood at 9.2% vs 1.4%
The stock rose as much as 18.60% intraday, rising the most two years since March 1, 2021.
Total traded volume stood at 4.5 times its 30-day average. The relative strength index was at 51.38.
Source: Bloomberg, Exchange filing
NTPC Declines As 10.46 Lakh Shares Change Hands
Shares of NTPC Ltd. fell 1.52%, as of 9:35 a.m., to Rs 165.3 apiece in trade on Tuesday after 10.46 lakh equity shares changed hands in a bunched trade.
The stock fell declined as much as 1.79% intraday, falling the most since Jan. 3, 2023.
Total traded volume stood at 1.5 times its 30-day average. The relative strength index was at 45.19.
Out of the 26 analysts tracking the stock, 25 maintain a 'buy' rating and one recommends a 'hold' on the stock.
The return potential as calculated by the consensus of analyst estimates, stand at an upside of 22.1% over the next 12 months.
Source: Bloomberg
WPI Inflation Falls To Lowest Since January 2021
WPI inflations falls to 4.73% in January 2023 compared to 4.95% in December 2022.
Source: Office of the Economic Adviser
Stocks In Focus: Infosys, Nykaa, Zee Entertainment And More
U.S. FDA Action On Aurobindo Pharma's Telangana API Facility
Aurobindo Pharma's Unit - IX, an API intermediate facility situated at Gundlamachnoor Village, Sangareddy District, Telangana was inspected by the United States Food and Drug Administration from Nov. 10-18, 2022.
This facility has now been classified as Voluntary Action Indicated".
Source: Exchange filing
Sensex, Nifty Hold On To Gains
Indian equity benchmarks held on to dteady gains and advanced in trade on Tuesday after the CPI inflation rose to 6.5% in January.
Asian markets climbed ahead of the key U.S. inflation data after a drop in wage-growth expectations eased some of the concern over rising prices.
Futures for the S&P 500 and tech-heavy Nasdaq 100 slipped after the indexes added more than 1% on Monday, when a survey showed Americans drastically reduced their expectations for household income growth amid tighter monetary policy.
In India, retail inflation rose to the highest since November at 6.52% in January, led by a pick-up in food prices, on Monday after market hours.
As of 12:17 p.m., the S&P BSE Sensex was up 504 points or 0.83% at 60,935.71 while the NSE Nifty 50 was 128 points or 0.72% higher at 17,898.60.
UPL Ltd., HCL Technologies Ltd., ITC Ltd., Tech Mahindra Ltd., and Reliance Industries Ltd. were the top gainers in the gauge.
Whereas, Adani Enterprises Ltd., NTPC Ltd., SBI Life Insurance Co., Power Grid Corp of India Ltd., and Apollo Hospitals Enterpise Ltd. were the top losers amongst the NSE Nifty 50 constituents.
The broader market indices were trading lower and underperformed the larger peers; S&P BSE MidCap was down 0.43%, whereas S&P BSE SmallCap was lower by 0.50%.
Nine out of the 19 sectors compiled by BSE declined, while ten advanced in trade.
The market breadth was skewed in favour bears. About 1,229 stocks rose, 2,076 declined, and 142 remained unchanged on the BSE.
Finolex Cables Shares Volatile After Brokerages Raise Target Price
Shares of Finolex Cables Ltd. were trading volatile after analysts raised target price following Q3 earnings beat.
Jefferies retains 'buy' and raises target price to Rs 710 from Rs 655, implying a potential upside of 26%. Phillip Capital maintains 'buy' and raises target price to Rs 865 from Rs 693, implying a potential upside of 54%.
The company posted better-than-expected earnings in the third quarter ended December, last week.
Finolex Cables Q3 Earnings (Consolidated, YoY)
Revenue from operations rose 18% to Rs 1,150.31 crore vs Rs 972.95 crore. (Bloomberg Estimate: Rs 1,100 crore)
Net profit gained 8% to Rs 154.31 crore vs Rs 143 crore. (Bloomberg Estimate: Rs 103.08 crore)
Ebitda stood at Rs 145.89 crore vs Rs 118.51 crore.
Ebitda margin stood at 12.7% vs 12.2%
The scrip was trading flat at Rs 565, compared with 0.45% gains in benchmark Nifty 50.
Source: Brokerage notes, Bloomberg
Adani Total Gas, Adani Green Energy And Adani Transmission Hit 52-Week Low
Three Adani group company stocks hit 52-week low as all the ten listed stocks decline, except Adani Ports and SEZ Ltd.
Source: Bloomberg
I.T. Stocks Advance
Shares of information technology services companies advanced in trade on Tuesday and the headline index NSE Nifty 50 was higher by 0.42% in trade.
The NSE IT Index was up 1.44% in trade. All 10 constituents compiled by the gauge advanced.
Coforge Ltd., Mphasis Ltd., TCS Ltd., Wipro Ltd., Infosys Ltd., Tech Mahindra Ltd., LTIMindtree Ltd., Persistent Sytems Ltd., HCL Technologies Ltd., and Larsen and Toubro Technology Services Ltd. advanced in trade.
Source: NSE
ABB India Rises In Trade
Shares of ABB India Ltd. rose on Tuesday after the company posted its earnings over the weekend. It reported a better-than-expected profit in the fourth-quarter ended December, while revenue lagged consensus view.
"ABB India reported unusually strong Ebitda margins despite revenue missing our estimates," said Nomura in its investor note dated Feb. 12.
ABB India Q4 Earnings Highlights (YoY)
Total revenue from operations rose 15% to Rs 2,426.9 crore versus Rs 2,101.5 crore last year.
Net profit for the period gained 62% to Rs 305.32 crore versus Rs 188.20 crore.
Ebitda at Rs 364.28 crore versus Rs 185.20 crore.
Ebitda margin was at 15% versus 8.8%.
Recommended a dividend of Rs 5.50 per share for financial ended Dec. 31, 2022.
Nomura expected the company to post a profit after tax of Rs 200.7 crore and an EBITDA margin of 10.5%. It predicted a revenue of Rs 2,497 crore.
Meanwhile, Macquarie pegged the "strong double-digit EBIT margins across segments" as the key standout of the quarter.
The scrip was trading up 1.96% higher at Rs 3,140 compared with a 0.39% advance in the benchmark Nifty 50. It rose as much as 2.97% intraday.
The total traded quantity stood at 3.3 times the 30-day average. The relative strength index was at 64.22.
Of the 34 analysts tracking the stock, 17 analysts maintained 'buy,' 11 suggested 'hold,' and six recommended 'sell.' The average 12-month consensus price target implied a potential upside of 1.4%, according to Bloomberg.
Talking Point: 2023- A Year To Be Patient For Equity Investors?
Realty Stocks Decline
Shares of real estate companies declined in trade on Tuesday and the headline index NSE Nifty 50 was higher by 0.38% in trade.
The NSE Realty Index was down 2.1% in trade. All 10 constituents compiled by the gauge declined.
Indiabulls Real Estate Ltd., Sobha Ltd., DLF Ltd., Godrej Properties Ltd., Macrotech Developers Ltd., Brigade Enterprises Ltd., Phoenix Mills Ltd., Sunteck Realty Ltd. and Prestige Estate Projects Ltd. declined in trade.
Source: NSE
Mirza International Surges On Strong Q3 Earnings
Shares of Mirza International Ltd. rose 12.16% to Rs 253.7 apiece in trade on Tuesday after the company reported higher profit on an annual basis in the third quarter of the current fiscal.
The stock gained as much as 14.90% intraday, rising the most in a year since Feb. 16, 2022.
Total traded volume stood at 15 times its 30-day average. The relative strength index was at 58.58. One analyst tracking the stock, maintains a 'buy' rating on the stock.
The return potential as calculated by the consensus of analyst estimates, stand at an upside of 45.3% over the next 12 months.
Source: Bloomberg, Exchange filing
Allcargo Logistics Slumps To 52-Week Low After Q3 Results
Shares of Allcargo Logistics Ltd. declined 12.04% to Rs 357 apiece in trade on Tuesday after the company reported a weak set of earnings with the profit and total income declining on an annual basis.
The stock declined as much as 12.70% intraday, falling the most in 52-weeks to Rs 354.3 apiece.
Total traded volume stood at 11.6 times its 30-day average. The relative strength index at 26, implies that the stock maybe oversold.
Out of the six analysts tracking the stock, four maintain a 'buy' rating, one recommend a 'hold' and one suggest to 'sell' the stock.
The return potential as calculated by the consensus of analyst estimates, stand at an upside of 42.1% over the next 12 months.
Source: Bloomberg, Exchange filing
Adani Group Stocks Decline
All Adani group company stocks declined in trade, except Adani Ports & SEZ Ltd. in early trade on Tuesday.
Source: Bloomberg
Sensex, Nifty Open Higher
Indian equity benchmarks rose on Tuesday following a rally on the wall street on Monday.
Asian markets were mixed, following a rally on Wall Street as traders position for the U.S. inflation data later in the day that might not be as bad as once feared.
The S&P 500 added 1.1% and the tech-heavy Nasdaq 100 climbed 1.6% after a survey showed Americans drastically reduced their expectations for household income growth amid tighter monetary policy.
In India, retail inflation rose to the highest since November, led by a pick-up in food prices, on Monday after market hours. The Consumer Price Index inflation was at 6.52% in January 2023, compared to 5.72% in December 2022, a Bloomberg poll of 35 economists had estimated a reading of 6%.
In pre-open, the S&P BSE Sensex opened up 118 points or 0.20% at 60,550.09 while the NSE Nifty 50 70 points or 0.39% higher at 17,840.35.
UPL Ltd., Infosys Ltd., Adani Ports and SEZ Ltd., HCL Technologies Ltd., and TCS Ltd. were the top gainers in the gauge.
Whereas, Apollo Hospitals Enterprise Ltd., Titan Co., Grasim Industries Ltd., Adani Enterprises Ltd., and Kotak Mahindra Bank Ltd. were the top losers amongst the NSE Nifty 50 constituents.
The broader market indices were trading lower and underperformed the larger peers; S&P BSE MidCap was down 0.34%, whereas S&P BSE SmallCap was lower by 0.07%.
Nine out of the 19 sectors compiled by BSE declined, while ten advanced in trade.
The market breadth was skewed in favour bulls. About 1,335 stocks rose, 1,160 declined, and 141 remained unchanged on the BSE.
Sensex, Nifty Higher In Pre-Open Trade
The S&P BSE Sensex opened up 118 points or 0.20% at 60,550.09 while the NSE Nifty 50 70 points or 0.39% higher at 17,840.35.
Yield On The 10-Year Bond Rises
The yield on the 10-year bond rose 3 bps to 7.40% at open on Tuesday. It closed at 7.37% on Monday.
Source: Bloomberg
Rupee Strengthens Against The U.S. Dollar
The local currency strengthened by 13 paise against the greenback on Tuesday to 82.60 at open. It closed 82.73 on Monday.
Source: Bloomberg
Higher CPI Data May Hurt Prospects Of NBFC Stocks In Near Term: Trade Setup
Global Cues
U.S. Dollar Index at 103.21
U.S. 10-year bond yield at 3.70%
Brent crude is down 0.85% to $85.87 per barrel.
Nymex crude at $79.16 per barrel
SGX Nifty is up 0.10% to 17,807.5 as of 7:42 a.m.
Bitcoin is up 0.47% to $21,733.59.
Pledge Shares Details
Gati: Promoter group TCI Finance invoked a pledge of 2.15 lakh shares on Feb. 9.
Ducon Infratechnologies: Promoter and director Arun Govil invoked a pledge of 1.76 crore shares on Jan. 16.
Adani Enterprises, Apollo Hospitals, Eicher Motors, Biocon Q3 Results Today — Earnings Estimates
Bulk Deals
Coforge: Nomura India Investment Fund Mother Fund bought 6.10 lakh shares (0.99%), Kuwait Investment Authority bought 3.90 lakh shares (0.64%), Aditya Birla Sun Life Mutual Fund bought 3.46 lakh shares (0.56%), and Hulst BV sold 60 lakh shares (9.82%) at Rs 4,050 apiece.
Dishman Carbogen Amcis: Anvil Wealth Management bought 11.96 lakh shares (0.76%) at Rs 99.44 apiece.
Q3 Earnings Results
Adani Enterprises, Apollo Hospitals Enterprise, Arvind Fashions, Aster DM Healthcare, Bata India, Bharat Forge, Biocon, Bosch, CESC, DB Realty, Eicher Motors, EID-Parry (India), Eureka Forbes, Gujarat Mineral Development Corporation, GMR Airports Infrastructure, Grasim Industries, Harsha Engineers International, HEG, Indiabulls Housing Finance, Ipca Laboratories, Jindal Poly Films, Jupiter Wagons, La Opala RG, Maithan Alloys, NBCC (India), National Highways Infra Trust, Nilkamal, NMDC, Oil And Natural Gas Corporation, PI Industries, Prestige Estates Projects, Radico Khaitan, Rajesh Exports, Raj Rayon Industries, Shyam Metalics And Energy, Siemens, SpiceJet, Swan Energy, TCNS Clothing Co., Techno Electric & Engineering Company, Torrent Power, and Uflex.
Earnings Fineprint
FSN E-Commerce Ventures Q3 FY23 (Consolidated, QoQ)
Revenue is up 19% at Rs 1,462.82 crore.
Ebitda up 28% at Rs 78.17 crore.
Ebitda margin at 5.3% vs. 5%
Net profit was up 99% at Rs 8.19 crore.
Vijaya Diagnostics Q3 FY23 (Consolidated, YoY)
Revenue was up 2% at Rs 113 crore (Bloomberg estimate: Rs 116 crore).
Ebitda down 7% at Rs 44 crore (Bloomberg estimate: Rs 45 crore).
Ebitda margin at 39.1% vs. 43.2% (Bloomberg estimate: 39%)
Net profit was down 35% at Rs 16 crore (Bloomberg estimate: Rs 20 crore).
Global Health Q3 FY23 (Consolidated, YoY)
Revenue up 19% at Rs 694 crore
Ebitda up 19% at Rs 163 crore
Ebitda margin at 23.4% vs. 23.6%
Net profit up 15% at Rs 81 crore
Sun Pharma Advanced Research Co. Q3 FY23 (YoY)
Revenue up 1.1 times at Rs 131 crore
Ebitda at Rs 16 crore vs. operating loss of Rs 11 crore
Ebitda margin at 12.3%
Net profit of Rs 10 crore vs. a net loss of Rs 16 crore
Steel Authority of India Q3 FY23 (Consolidated, YoY)
Revenues are down 1% at Rs 25,042.10 crore vs. Rs 25,246.99 crore.
EBITDA down 38.9% at Rs 2,078.51 crore vs Rs 3,401.91 crore
EBITDA margin is 8.3% vs. 13.5%.
Net profit down 64.5% at Rs 542.18 crore vs Rs 1,528.54 crore
IRB Infrastructure Developers Q3 FY23 (Consolidated, YoY)
Revenue is up 18% at Rs 1,514.14 crore.
Ebitda up 0.8% at Rs 744.58 crore
Ebitda margin is 49.2% vs. 57.7%.
Net profit up 94.5% at Rs 141.36 crore
Stocks To Watch
Shree Renuka Sugars: The company commenced commissioning activities of its expanded ethanol production capacity at Athani (from 300 KLPD to 450 KLPD) and Munoli (from 120 KLPD to 500 KLPD).
Maruti Suzuki India/South Indian Bank: The automobile major has signed an MoU with the bank to offer dealer finance options and customised auto retail financing solutions for customers.
HeidelbergCement India: The board approved the appointment of Joydeep Mukherjee as managing director of the company for a term of three years, effective April 1, 2023.
SGX Nifty Signals Higher Opening For Benchmarks
Asian markets advanced, following a rally on Wall Street, as traders positioned for U.S. inflation data later in the day that might not be as bad as once feared.
The S&P 500 added 1.1% and the tech-heavy Nasdaq 100 climbed 1.6% after a survey showed Americans drastically reduced their expectations for household income growth amid tighter monetary policy.
In India, retail inflation rose to its highest level since November, led by a pickup in food prices, on Monday after market hours. The Consumer Price Index inflation was at 6.52% in January 2023, compared to 5.72% in December 2022, according to data released by the Ministry of Statistics and Programme Implementation. A Bloomberg poll of 35 economists estimated a reading of 6%.
At 7:42 a.m., the Singapore-traded SGX Nifty, an early indicator of India's benchmark Nifty 50, was up 0.10% at 17,807.5.
Meanwhile, the yield on 10-year Treasuries declined to 3.70%. Crude oil prices were trading around the $85 mark, while Bitcoin was below the $22,000 level.
Indian equity benchmarks declined in the first session of the week as investors awaited inflation data.
The rupee dipped 22 paise against the U.S. dollar amid a downtrend in domestic equities.
Overseas investors in Indian equities remained net buyers for the second day in a row on Monday. Foreign portfolio investors bought equities worth Rs 1,322.39 crore, while domestic institutional investors also bought stocks worth Rs 521.69 crore, snapping a 13-day buying streak on Feb. 9.
