Stock Market Today: All You Need To Know Going Into Trade On Oct. 17
Stocks in the news, big brokerage calls of the day, complete trade setup and much more!
Asian equities fell and major currencies appreciated against the dollar in a cautious open to the week after further weakness on Wall Street and a defiant message to the world from China’s Communist Party congress.
Stocks declined in Japan, Australia and South Korea while futures for Hong Kong fell. Contracts for the S&P 500 and Nasdaq 100 rose after tumbling Friday, when Treasury yields climbed as year-ahead inflation expectations increased. U.S. Yields fell slightly at the open in Asia.
At 6:35 a.m., the Singapore-traded SGX Nifty -- an early barometer of India's benchmark Nifty 50 -- fell 0.96% to 17,047.5.
Chinese President Xi Jinping said the country’s global power had increased while warning of “dangerous storms” ahead. There were few signs of any let up in the Covid-Zero campaign or housing market policies that are weighing on the economy. Xi also said China would prevail in its fight to develop strategically important technology amid rising tension with the US.
Elsewhere, oil clawed back some losses after a weekly slump as fears over an economic slowdown continue to weigh on the outlook for demand. Gold was little changed.
Earnings Post Market Hours
Bajaj Auto Q2 FY23 (Consolidated, YoY)
Revenue up 16% at Rs 10,202.77 crore Vs Rs 8,762 crore (Bloomberg estimate: Rs 9,839.5 crore)
EBITDA up 26% at Rs 1,758.74 crore Vs Rs 1401.12 crore (Bloomberg estimate: Rs 1,649.8 crore)
EBITDA margin 17% Vs 16% (Bloomberg estimate: 17%)
Net profit up 20% at Rs 1,530 crore Vs Rs 1,274.55 crore (Bloomberg estimate: Rs 1,437.9 crore)
Tata Elxsi Q2 FY23 (Consolidated, QoQ)
Revenue up 5% at Rs 763 crore Vs Rs 726 crore
EBITDA fell 5% at Rs 226.53 crore Vs Rs 238.14 crore
EBITDA margin 30% Vs 33%
Net profit fell 6% at Rs 174.27 crore Vs Rs 184.72 crore
Shree Cement Q2 FY23 (Consolidated, YoY)
Revenue up 20% at Rs 4,038 crore Vs Rs 3,373 crore
EBITDA fell 41% at Rs 542.76 crore Vs Rs 920.96 crore
EBITDA margin 13% Vs 27%
Net profit fell 67% at Rs 183
HDFC Bank (Consolidated, YoY)
Net Profit: 10,606 crore vs Rs 8,834 crore
NII: 21,012 crore vs 17,684 crore
GNPA: 1.28% vs 1.23%
NNPA: 0.33% vs 0.35%
Avenue Supermarts (Consolidated, YoY)
Revenue jumped 37% to Rs 10,638.33 crore
Operating profit rose 33% to Rs 892.02 crore
Margin came in at 8.4% against 8.6%
Net profit increased 64% to Rs 685.7 crore
Federal Bank (Consolidated, YoY)
Interest income jumped 19% to Rs 4,020 crore
Net interest margin at 3.3% vs 3.2%
Net interest income up 19% to Rs 1,762 crore
Net profit increased 53% to Rs 704 crore
Loan growth was broad based with corporate/SME outpacing retail
FY23 loan growth guidance is 18-20%
Oberoi Realty (Consolidated, YoY)
Revenue down 8.6% to Rs 689 crore
Net profit increased 19% to Rs 319 crore
Stocks To Watch
Axis Bank: Irdai has imposed Rs 3 crore penalty on Max Life Insurance Company for certain violations in a case pertaining to purchase and sale of shares by the Axis Bank and group companies, and a Rs 2 crore penalty on Axis Bank, a corporate agent of the insurer.
Tata Power: The company suffered a cyberattack on its IT infrastructure, impacting some of its systems. The company has taken steps to retrieve and restore the systems and all critical operational systems are functioning.
Tata Steel: Tata Steel said it is actively engaged with the U.K. government for financial support for its business there, amid reports of that the company is looking to divest their steel business in the country, PTI reported.
Adani Ports and Special Economic Zone: Adani Agri Logistics, a wholly-owned subsidiary of Adani Logistics, has received a letter of award from the Food Corporation of India, to develop and operate silo complexes at Kanpur, Gonda and Sandila in Uttar Pradesh and Katihar in Bihar.
Bharat Petroleum Corporation: The company has aimed to convert its 7,000 conventional retail outlets into energy stations providing multiple fueling options including EV charging facility.
Authum Investment & Infrastructure: The company acquired debt-ridden Reliance Commercial Finance, a wholly owned subsidiary of Reliance Capital, for Rs 1 crore.
State Bank of India: The bank has hiked MCLR by 25 basis points across tenors. The revised rates will come into effect from Oct. 15, 2022.
Zee Entertainment Enterprises: Shareholders of Zee Entertainment approved the proposed merger of the company with Sony. The proposed merger has already received approval from the stock exchanges and the Competition Commission of India.
Ujjivan Small Finance Bank/Ujjivan Financial Services: The boards of the two companies approved the merger of Ujjivan Financial Services into and with Ujjivan Small Finance Bank.
Shree Cement: The company’s board approved appointment of Hari Mohan Bangur as the Chairman, while Chairman Emeritus Benu Gopal Bangur resigned effective immediately. The board also named Prashant Bangur as Vice Chairman and Neeraj Akhoury as the Managing Director.
HDFC: NCLT has ordered the company to hold shareholders meeting on Nov. 25, 2022, to approve the merger deals of wholly owned subsidiaries HDFC Investments and HDFC Holdings with and into the company, and HDFC with and into HDFC Bank.
L&T Finance Holdings: Market regulator SEBI approved sale of L&T Investment Management and L&T Mutual Fund to HSBC Mutual Fund.
IRB Infrastructure Developers: The company will transfer Vadodara Kim Expressway Project to an InvIT arm, following which, it will receive Rs 342 crore as against sponsor contribution and debt of Rs 955 crore will reduce from its consolidated debt.
Narayana Hrudayalaya: The company executed a share purchase agreement by Health City Cayman Islands Ltd., its wholly owned subsidiary, to acquire ENT in Cayman Ltd.
Kirloskar Group companies: Kirloskar Pneumatic and Kirloskar Oil Engines' Atul and Rahul Kirloskar said Kirloskar Brothers Ltd. should justify why it spent Rs 274 crores towards legal expenses for Sanjay Kirloskar, following the Securities Appellate Tribunal’s decision to set aside the insider trading order passed against them by SEBI.
Electronics Mart India to debut on the bourses today. The offer was subscribed 71.93 times.
Morgan Stanley on Federal Bank
Overweight, target price raised to Rs 165.
NII growth should sustain/improve with LCR @ 140% & better loan mix.
Better loan mix would offset a potential faster rise in term deposit costs.
Raise earnings by 4-6% in F23-F25 owing to stronger PPoP growth.
PVR, Tata Metaliks, Tata Coffee, Spandana Sphoorty Financial, Oriental Hotels, Maharashtra Seamless, Bank of Maharashtra, IRB InvIT, Heidelberg Cement, Craftsman Automation, Choice International, Can Fin Homes, ACC
BLS International Services: Shankar Sharma bought 11.5 lakh shares (0.56%) at Rs 275 apiece.
National Highway Infra Trust: ASK Financial Holdings bought 54 lakh shares (0.74%) at Rs 109.73 apiece.
Rama Steel Tubes: Econo Trading & Investment bought 4.2 lakh shares (0.46%), E Trav Tech sold 4.25 lakh shares (0.47%) each at Rs 115 apiece.
Who’s Meeting Whom
Latent View Analytics: To meet investors and analysts on Oct. 27.
Indian Energy Exchange: To meet investors and analysts on Oct. 21.
Meghmani Organics: To meet investors and analysts on Oct. 21.
Birlasoft: To meet investors and analysts on Oct. 21.
Sagar Cements: To meet investors and analysts on Oct. 20.
DCM Shriram: To meet investors and analysts on Oct. 21.
Vaibhav Global: To meet investors and analysts on Oct. 28.
Syngene International: To meet investors and analysts on Oct. 20.
One 97 Communications: To meet investors and analysts on Nov. 8.
Torrent Pharmaceuticals: To meet investors and analysts on Oct. 21.
TeamLease Services: To meet investors and analysts on Nov. 10.
Inox Leisure: To meet investors and analysts on Oct. 19.
Nazara Technologies: To meet investors and analysts on Oct. 21.
Delhivery: To meet investors and analysts from Oct. 17 to Oct. 19.
Ex-Date Interim Dividend: Tata Consultancy
Ex-Date Rights: Suven Life Sciences
Move Out Of Short-Term ASM Framework: Ambuja Cements, Jai Corp, Venus Pipes & Tubes
Money Market Update
The rupee closed marginally higher at slightly over 82.33 against the U.S. dollar on Friday.
Nifty October futures ended at 17,209.75, a premium of 24.05 points.
Nifty October futures shed %9.1 and 25,868 shares in Open Interest.
Nifty Bank October futures ended at 39,440, a premium of 134.40 points.
Nifty Bank October futures shed 0.53%, 396 shares in Open Interest.
Securities in the ban list: Indiabulls Housing Finance, Delta Corp
Securities added to ban list: India Cements
Source: BSE, NSE, Bloomberg