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moneycontrol.com

https://www.moneycontrol.com/news/business/markets/trade-setup-for-wednesday-top-15-things-to-know-before-the-opening-bell-62-12813796.html

Trade setup for Wednesday: Top 15 things to know before the opening bell

Trade Setup for Nifty, Bank Nifty.Related stories.

The benchmark indices closed a rangebound session on a flat note, with the Nifty 50 continuing its upward journey for the 14th consecutive day on September 3. The index recorded a new closing high with a small gain of 1.2 points. The consolidation is expected to continue; if the index gives a decisive close above 25,300, the 25,500–25,600 zone cannot be ruled out, with immediate support at 25,200, followed by 25,000 being a crucial support, experts said. Below are 15 data points we have collated to help you spot profitable trades: Here are 15 data points we have collated to help you spot profitable trades: 1)Key Levels For TheNifty 50 Resistance based on pivot points: 25,312, 25,332, and 25,365 Support based on pivot points: 25,246, 25,226, and 25,193 Special Formation: The Nifty 50 reported a red candle on the daily charts for another session after trading within the previous day's range. The momentum indicators RSI (Relative Strength Index) and MACD (Moving Average Convergence Divergence) maintained a negative bias on the hourly charts but showed a positive trend on the daily timeframe, indicating a possible continuation of consolidation. 2)Key Levels For TheBank Nifty Resistance based on pivot points: 51,755, 51,875, and 52,070 Support based on pivot points: 51,365, 51,245, and 51,050 Resistance based on Fibonacci retracement: 51,961, 52,575 Support based on Fibonacci retracement: 50,606, 49,738 Special Formation: The Bank Nifty outperformed the benchmark Nifty 50 and maintained a higher highs formation for the fourth consecutive session, rising 250 points to 51,689, the highest closing level since July 23. The index recorded a bullish candlestick pattern formation with a lower shadow on the daily timeframe, indicating buying interest at lower levels, with a positive bias in momentum indicators. 3)Nifty Call Options Data According to the weekly options data, the 26,000 strike holds the maximum open interest (with 83.16 lakh contracts). This level can act as a key resistance level for the Nifty in the short term. It was followed by the 25,300 strike (70.95 lakh contracts) and the 25,600 strike (67 lakh contracts). Maximum Call writing was seen at the 25,600 strike, which saw an addition of 16.28 lakh contracts, followed by the 25,300 and 25,500 strikes, which added 7.19 lakh and 3.84 lakh contracts, respectively. The maximum Call unwinding was seen at the 25,700 strike, which shed 3.77 lakh contracts, followed by the 25,800 and 25,200 strikes, which shed 3.46 lakh and 2.91 lakh contracts, respectively. 4)Nifty Put Options Data On the Put side, the maximum open interest was seen at the 25,000 strike (with 64.41 lakh contracts), which can act as a key support level for the Nifty. It was followed by the 24,500 strike (57.75 lakh contracts) and the 24,000 strike (53.47 lakh contracts). The maximum Put writing was observed at the 25,200 strike, which saw an addition of 7.49 lakh contracts, followed by the 25,300 and 24,900 strikes, with 7.46 lakh and 6.37 lakh contracts added, respectively, while the Put unwinding was seen at the 24,600 strike, which shed 6.67 lakh contracts, followed by the 24,000 and 24,100 strikes, which shed 5.16 lakh and 4.05 lakh contracts, respectively. 5)Bank Nifty Call Options Data According to the weekly options data, the 53,000 strike holds the maximum open interest, with 38.99 lakh contracts. This can act as a key resistance level for the index in the short term. It was followed by the 52,000 strike (35.87 lakh contracts) and the 51,500 strike (24.17 lakh contracts). Maximum Call writing was visible at the 53,000 strike (with the addition of 14.71 lakh contracts), followed by the 52,000 strike (8.6 lakh contracts) and the 52,500 strike (6.81 lakh contracts), while the maximum Call unwinding was seen at the 51,500 strike, which shed 14.05 lakh contracts, followed by the 51,400 and 51,300 strikes, which shed 10.78 lakh and 6.95 lakh contracts respectively. 6)Bank Nifty Put Options Data On the Put side, the maximum open interest was seen at the 51,000 strike (with 31 lakh contracts), which can act as a key support level for the index. This was followed by the 51,500 strike (28.6 lakh contracts) and the 51,200 strike (25.39 lakh contracts). The maximum Put writing was observed at the 51,600 strike (which added 10.44 lakh contracts), followed by the 51,200 strike (9.45 lakh contracts) and the 50,500 strike (8.26 lakh contracts), while the maximum Put unwinding was seen at the 53,000 strike, which shed 5,820 contracts, followed by the 52,400 strike, which shed 3,360 contracts. 7)Funds Flow (Rs crore) 8)Put-Call Ratio The Nifty Put-Call ratio (PCR), which indicates the mood of the market, rose to 1.2 on September 3, from 1.18 levels in the previous session. The increasing PCR, or being higher than 0.7 or surpassing 1, means traders are selling more Put options than Call options, which generally indicates the firming up of a bullish sentiment in the market. If the ratio falls below 0.7 or moves towards 0.5, then it indicates selling in Calls is higher than selling in Puts, reflecting a bearish mood in the market. 9)India VIX The volatility dropped after a day of rally, falling below the 14 mark, which maintained comfort at the bulls' desk. As long as it sustains below the 15 mark, the bulls may remain in a better position, experts said. The India VIX, the fear gauge, declined by 1.55 percent to 13.84 from 14.06 levels. 10)Long Build-up (45 Stocks) A long build-up was seen in 45 stocks. An increase in open interest (OI) and price indicates a build-up of long positions. 11)Long Unwinding (27 Stocks) 27 stocks saw a decline in open interest (OI) along with a fall in price, indicating long unwinding. 12)Short Build-up (51 Stocks) 51 stocks saw an increase in OI along with a fall in price, indicating a build-up of short positions. 13)Short-Covering (62 Stocks) 62 stocks saw short-covering, meaning a decrease in OI, along with a price increase. 14)High Delivery Trades Here are the stocks that saw a high share of delivery trades. A high share of delivery reflects investing (as opposed to trading) interest in a stock. 15)Stocks Under F&O Ban Securities banned under the F&O segment include companies where derivative contracts cross 95 percent of the market-wide position limit. Stocks added to F&O ban: Aditya Birla Fashion and Retail Stocks retained in F&O ban: Balrampur Chini Mills, Hindustan Copper Stocks removed from F&O ban: Nil Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

2024-09-03 22:44

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/investment-banker-dam-capital-advisors-files-draft-papers-to-raise-funds-via-ipo-rbl-bank-to-exit-12813777.html

DAM Capital Advisors files draft papers to raise funds via IPO, RBL Bank to exit

Investment banker DAM Capital Advisors IPO.Related stories.

Investment banker DAM Capital Advisors has filed preliminary papers with capital market regulator SEBI on September 3, to raise funds via initial public offering. The IPO comprises solely an offer-for-sale (OFS) of 3.2 crore equity shares, with no fresh issue component. Four investors, namely, Multiples Alternate Asset Management, Narotam Satyanarayan Sekhsaria, RBL Bank, and Easyaccess Financial Services, and promoter Dharmesh Anil Mehta will be selling shares in the OFS. Moneycontrol was the first to report that veteran dealmaker Dharmesh Mehta-led DAM Capital Advisors, which has managed initial public offerings of 26 companies,is set to file draft share sale papers with SEBI shortly for its own IPO. Multiples Alternate Asset Management will be offloading 88 lakh shares via OFF, Narotam Satyanarayan Sekhsaria 70.68 lakh shares, and Easyaccess Financial Services 51.23 lakh shares, while RBL Bank will be exiting the company by selling its entire shareholding of 68.31 lakh shares. Promoter Dharmesh Anil Mehta will be selling 42.41 lakh shares in the OFS. Mehta, his wife, and their company Boombucket Advisors, hold 45.88 percent stake in the company. And the remaining 54.12 percent shares are owned by above four investors. Since it is entirely an offer-for-sale issue, all the IPO funds will go to selling shareholders, and the company will not receive any money from the IPO. DAM Capital claimed to be one of the leading investment banks in India with a market share of 12.1 percent based on the number of initial public offerings and qualified institutional placements undertaken by it as the book running lead manager in fiscal 2024. The company offers investment banking services (equity capital markets, mergers and acquisitions, private equity), structured finance advisory, and institutional equities (comprising broking and research). Under veteran investment banker Dharmesh Mehta, the company has executed 67 equity capital markets transactions comprising 26 initial public offerings, 15 qualified institutions placements, five offers-for-sale, and one initial public offer of a real estate investment trust (REIT) by July 2024. It has advised on 20 advisory transactions including M&A advisory, private equity advisory and structured finance advisory. DAM Capital has recorded total income growth at a CAGR of 38.77 percent during FY22-FY24, to Rs 182 crore, while profit during the same period grew at a CAGR of 79.46 percent to Rs 70.5 crore. Nuvama Wealth Management is the merchant banker for the issue, while Link Intime India is acting as the registrar.

2024-09-03 21:45

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/block-deals-bessemer-india-capital-holdings-ii-sells-13-stake-in-medi-assist-healthcare-services-12813710.html

Block Deals: Bessemer India Capital Holdings II sells 13% stake in Medi Assist Healthcare Services

Representational image.

On September 3, 1.61 crore shares were traded via block deals. Medi Assist Healthcare Services Promoter Bessemer India Capital Holdings II Limited sold 94.90 lakh shares (13 percent) at Rs 611.7 each while Novo Holdings A/S sold 5 lakh shares (0.71 percent) at Rs 611.7 each. The stock was trading 1 percent lower at Rs 611.70. Buyers included HDFC Mutual Fund, ICICI Prudential Mutual Fund, Invesco Mutual Fund,Mediolanum Best Brands - Mediolanum India Opportunities, Societe Generale, Sundaram Mutual Fund, and Aditya Birla Sun Life Mutual Fund. RBL BankMorgan Stanley Asia (Singapore) Pte sold 9.28 lakh shares (0.15 percent) at Rs 227.79 each. Citigroup Global Markets Mauritius Pvt Ltd was the buyer. At close, the stock was trading 0.87 percent at Rs 225.80. Sula VineyardAround 2.28 lakh shares (0.15 percent stake) of Sula Vineyards Limited was sold by Morgan Stanley Asia (Singapore) Pte - ODI at Rs 487.9 each. Citigroup Global Markets Mauritius Pvt Ltd was the buyer. At close, the stock was trading 0.2 percent lower at Rs 486.90. Tourism Finance Corporation of India Ltd Connecor Investment Enterprise Limited sold 11 lakh shares (1.19 percent) of the company at Rs 178.4 per share. Legends Global Opportunities (Singapore) Pte Ltd was the buyer.At close, the stock was trading around 1 percent lower at Rs 177.48.

2024-09-03 20:19

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/stocks-stumble-as-growth-worries-resurface-tech-shine-dims-12813875.html

Stocks stumble as growth worries resurface, tech shine dims

September has historically being a bad month for stocks, though analysts pointed to a confluence of factors, including tepid U.S. manufacturing data, behind the latest market rout..Related stories.

Asian shares and global stock futures fell on Wednesday in the wake of a tech selloff, while the dollar and yen rose on safety bids and U.S. Treasury yields edged lower as investors fretted over the outlook for the world's largest economy. Oil prices struggled near their lowest level in months, on signs of a deal to resolve a dispute that has halted Libyan crude production and exports. Brent crude futures were last 0.05% lower at $73.71 a barrel, while U.S. crude futures dipped 0.13% to $70.25 per barrel, after both fell to their weakest since December in the previous session. Wall Street closed sharply lower overnight after the U.S. returned from a holiday at the start of the week, with AI darling Nvidia tumbling nearly 10% as investors softened their optimism about artificial intelligence. That set up for a negative lead in Asia, with MSCI's broadest index of Asia-Pacific shares outside Japan falling 0.44% in early trade, while U.S. stock futures extended their decline. S&P 500 futures were off 0.1%. Nasdaq futures eased 0.15%. Japan's Nikkei slid more than 3%. September has historically being a bad month for stocks, though analysts pointed to a confluence of factors, including tepid U.S. manufacturing data, behind the latest market rout. "September got off to a lively start and the air of portfolio de-risking as the U.S. cranked back up after the Labor Day holiday was seen across all areas within the capital markets," said Chris Weston, head of research at Pepperstone. "Growth concerns were the key theme on the day, with cyclical-sensitive assets smacked and hedges laid down aggressively." A slew of U.S. economic data is due throughout the week, including figures on job openings, jobless claims and the closely watched nonfarm payrolls report out on Friday. Given the Federal Reserve's focus on the health of the U.S. labour market, Friday's release could decide whether a rate cut expected this month will be regular or super-sized. Safe-haven currencies like the dollar and the yen meanwhile rose on safety bids, with the Japanese currency last a touch higher at 145.36 per dollar. The euro retreated further from a 13-month high and was little changed at $1.1048, while sterling fell 0.04% to $1.311. Elsewhere, spot gold rose 0.05% to $2,494.23 an ounce.

2024-09-04 06:30

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/trade-spotlight-how-should-you-trade-titan-chalet-hotels-cholamandalam-finance-ipca-labs-tilaknagar-and-others-on-wednesday-12813758.html

Trade Spotlight: How should you trade Titan, Chalet Hotels, Cholamandalam Finance, Ipca Labs, Tilaknagar , and others on Wednesday?

Stocks to Pick.Related stories.

The benchmark Nifty 50 achieved a new record closing high for the sixth consecutive session on September 3, despite ending range-bound with a modest gain of just 1.2 points. About 1,224 shares advanced while 1,208 shares declined on the NSE. Overall, the trend is expected to remain positive despite occasional consolidation. Below are some trading ideas for the near term: Om Mehra, Technical Analyst at Samco Securities Ipca Laboratories| CMP: Rs 1,399.4 Ipca Laboratories has shown strong upward momentum after a brief consolidation. The previous resistance level has turned into support, and the stock is trading above its short-term DMAs (Day Moving Averages). The weekly chart further highlights the stock's strength. The positive performance of the pharma sector adds to the positive outlook for the stock. It can be accumulated in the Rs 1,370–1,400 zone. Strategy: Buy Target: Rs 1,500 Stop-Loss: Rs 1,360 Aegis Logistics| CMP: Rs 836.35 Aegis Logistics has broken its declining trendline after establishing a strong base around the Rs 750 level, signaling upward momentum with robust volume participation. The stock is currently trading above its 20 and 50 DMAs. Notably, the previous day's delivery volume surged by 53.94 percent compared to the 5-day average, indicating growing investor interest. With the daily RSI (Relative Strength Index) holding steady at 60, a move above Rs 845 could trigger strong traction on the higher side. Based on this technical structure, one can initiate a long position at the current market price (CMP) of Rs 836.35. Strategy: Buy Target: Rs 910 Stop-Loss: Rs 790 Prism Johnson| CMP: Rs 175.7 Prism Johnson formed a strong bullish candle with higher volumes on the daily chart, indicating strong momentum. The formation of a triple bottom pattern and sustaining above the previous resistance of Rs 173 further highlights the sustained trend. The stock is trading above its 20 DMA, and a bullish crossover in the daily MACD (Moving Average Convergence Divergence) further supports the positive outlook. One can initiate a long position at the current market price of Rs 175.7. Strategy: Buy Target: Rs 195 Stop-Loss: Rs 165 Ashish Kyal, CMT, Founder and CEO of Waves Strategy Advisors Chalet Hotels| CMP: Rs 876 Chalet Hotels witnessed a rally of more than 2 percent in the previous session despite muted market performance. Since August 21, not a single candle has closed below the previous day’s low. The stock is currently trading at the resistance of the trendline. A breakout above this resistance could result in a fresh rise. The stock has also broken out of the upper Bollinger Bands, which is a positive sign. However, follow-up buying is needed to confirm a bullish stance. The ADX (Average Directional Index) is currently trading above 25, around 30 levels, indicating that good momentum is expected to continue. In summary, the trend for Chalet Hotels is bullish. A breach above Rs 880 can lift the price higher towards Rs 960, provided Rs 840 remains protected on the downside. Strategy: Buy Target: Rs 960 Stop-Loss: Rs 840 Titan Company| CMP: Rs 3,621 Titan has been closing above its previous high and has gained more than 2 percent in the last three days. The stock has been consolidating in a broader range since May, and a breakout is now expected. Prices are currently at an important resistance area near Rs 3,660. A decisive breakout above this level could result in fresh buying. In the previous session, prices were trading near the upper band of the Bollinger Band; a close above it would accelerate buying pressure. Additionally, the KST (Know Sure Thing) is trading above the zero line, suggesting good momentum is likely. In summary, Titan looks positive. A break above Rs 3,660 can lift prices towards Rs 3,960, as long as Rs 3,510 holds on the downside. Strategy: Buy Target: Rs 3,960 Stop-Loss: Rs 3,510 Tilaknagar Industries| CMP: Rs 301.75 Tilaknagar Industries experienced a sharp rally of more than 6.70 percent in the previous session. The stock has formed a Cup and Handle pattern and closed above Rs 289, confirming the breakout of this pattern. The daily ADX suggests that strong momentum can continue, with a reading of 26.53, which is above 25. For now, a buy-on-dips approach is advisable. Use dips towards Rs 295–298 as a buying opportunity for a move towards Rs 330–335, as long as Rs 285 holds on the downside. Strategy: Buy Target: Rs 330, Rs 335 Stop-Loss: Rs 285 Riyank Arora, Technical Analyst at Mehta Equities Oracle Financial Services Software| CMP: Rs 11,455 OFSS recently achieved a decisive breakout above the critical Rs 11,443 resistance level, signaling a strong bullish trend. The RSI (14) on the daily chart is positioned near 65, reflecting solid upward momentum. This technical configuration suggests that the stock is well-positioned for further gains in the near term. The stop-loss should be placed just below the recent support to manage risk effectively, offering an attractive risk-reward profile. With the current momentum, a target of Rs 12,000+ is both realistic and attainable.Strategy: Buy Target: Rs 12,000+ Stop-Loss: Rs 11,300 JK Cement| CMP: Rs 4,647.8 JK Cement confirmed a robust uptrend by breaking out above the pivotal Rs 4,600 level, reinforcing its bullish trajectory. The RSI (14) is nearing 68, underscoring strong momentum that supports further upward movement on the daily charts. This breakout, coupled with solid technical indicators, enhances the stock's potential for continued appreciation. The stop-loss should be set strategically below the breakout point to mitigate downside risks and ensure a favourable risk-reward balance. Given the strength of the momentum, the stock is expected to reach Rs 4,800+ in the near future. Strategy: Buy Target: Rs 4,800+ Stop-Loss: Rs 4,555 Dixon Technologies India| CMP: Rs 12,991.8 Dixon has demonstrated a strong recovery from the significant support level at Rs 12,500, signaling renewed buying interest and potential for further upside. The RSI (14), currently around 58.87, indicates that the stock has regained positive momentum, which is crucial for sustaining an upward trajectory. The sharp rebound observed on the hourly charts further substantiates the bullish outlook. The stop-loss should be placed below the key support level to manage risk effectively. With these factors in play, a target of Rs 13,600 appears well within reach as the stock continues to gain momentum. Strategy: Buy Target: Rs 13,600 Stop-Loss: Rs 12,450 Cholamandalam Investment and Finance Company| CMP: Rs 1,500 Cholamandalam Finance recently broke out above the significant Rs 1,476 resistance level, marking the onset of a strong bullish phase. The RSI (14) on the daily charts is near 66, indicating sustained momentum and further upside potential. This technical breakout, combined with robust momentum indicators, positions the stock favourably for continued gains. The stop-loss should be carefully set just below recent support to ensure that risk is well-managed while maintaining a positive risk-reward ratio. With the current bullish sentiment, the stock is poised to reach Rs 1,625+ in the near term. Strategy: Buy Target: Rs 1,625+ Stop-Loss: Rs 1,450

2024-09-03 20:55

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/first-tick-top-10-global-cues-for-todays-trade-29-12813433.html

First Tick: Top 10 global cues for today’s trade

Nifty traded flat-to-positive ahead of US Economic data.Related stories.

Indian benchmark indices Sensex and Nifty 50 are likely to open gap-down on September 4, tracking cues from GIFT Nifty trading near 25,172.5, a short while ago this morning. Track the latest updates onÂGIFT Nifty right here on Moneycontrol. In the rangebound trading session, the benchmark indices ended with little change on September 3. At close, the Sensex was down 4.40 points or 0.01 percent at 82,555.44, and the Nifty was up 1.10 points at 25,279.80. Here is how financial markets across the globe fared overnight: GIFT Nifty (Down) The GIFT Nifty is trading weak, indicating a gap-down start for the day. Nifty futures were trading at 25,172.5 at 07:10 am IST. Asian Equities (Fall) Asian markets were trading weak on Wednesday in the wake of a tech selloff, with Nikkei down 3.5 percent and Kospi index shed 2.5 percent.CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)Topix -2.98 -1.48 9.79Nikkei -3.54 -2.688.27Hang Seng-1 -2.74 3.63Taiwan -4.39 -5.6513.19Kospi -2.54 -3-5.02US Equities (Down) US stocks slumped on Tuesday, at the start of one of the market's historically worst months, ahead of data likely to influence how much the Federal Reserve will lower interest rates. The benchmark S&P 500 index, Nasdaq Composite Index and the Dow Jones Industrial Average recorded their biggest daily percentage declines since early August. Nine out of 11 S&P 500 sectors fell, led by declines in technology, energy, communication services and materials. Market sentiment weakened as Institute for Supply Management data on Tuesday showed U.S. manufacturing remained subdued despite a modest improvement in August from an eight-month low in July. The Dow fell 626.15 points, or 1.51 percent, to 40,936.93, the S&P 500 dropped 119.47 points, or 2.12 percent, to 5,528.93 and the Nasdaq Composite slid 577.33 points, or 3.26 percent, to 17,136.30. CHANGE FROM PREVIOUS CLOSE (%) MTD (%) YTD (%)Dow Jones -1.51 -1.39 9.61S&P500-2.12 -216.97Nasdaq-3.26 -3.1515.20US Bond Yield (Down) The US 10-year Treasury yields down marginally at 3.82 percent and US 2-year bond yield was down 11 bps to 3.85 percent. CURRENT PRICEMTDYTDUS 10-Year Treasury 3.82 3.784.17US 2-Year Treasury 3.85 3.924.87Dollar Index (Down) The dollar index, which measures the US currency’s strength against major currencies, was trading at 101.71, down 0.11 percent from its previous close of 101.82.CURRENT PRICEMTDYTDDollar Index 101.71 102.68104.23Asian currencies (Mixed) Asian currencies were trading mixed against the US dollar in early trade on Wednesday, with the Japanese Yen, Philippines Peso, Malaysian Ringgit were trading higher. On year on basis, except Malaysian Ringgit and Singapore Dollar, all other currencies were trading in the red.  CHANGE FROM PREVIOUS CLOSE (%) MTD (%) YTD (%)Indonesian Rupiah -0.006 4.27 -0.818South Korean Won-0.1062.08-3.77Japanese Yen0.151-0.737-2.69Philippines Peso0.037 2.28-2.12Thai Baht-0.0933.42-0.73Taiwan Dollar-0.1901.56-4.86China Renminbi-0.056 0.333-0.299Malaysian Ringgit0.2691.605.43Singapore Dollar0.0001.381.01Gold (Flat) Gold prices were trading flat around USD 2492.77, while Silver prices gained 0.28 percent at USD 27.94. CHANGE FROM PREVIOUS CLOSE (%) MTD (%) YTD (%)Gold 0.01 -0.46 20.84Silver0.28 -3.3117.53Crude (Down) Oil prices fell on Wednesday, extending the previous day's more than 4 percent plunge, on expectations the political dispute that has halted Libyan exports may be resolved and concerns over lower global demand growth.CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)US West Texas -0.65 -4.96 -2.44Brent Crude-0.54-0.92-4.79LME Commodities (Down) LME commodities prices slipped the early trade on Wednesday with Copper prices down 2.5 percent, and Nickel prices down fell 1 percent. CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)Aluminium -0.68 -1.61 0.99Copper -2.49 -3.044.62Nickel -0.98 -1.81-0.28Lead -0.49 -0.17 -0.92Zinc0.18-1.767.07Fund Flow Action The foreign institutional investors (FIIs) continued their buying on the fourth consecutive session on September 3 as they bought equities worth Rs 1029 crore, while domestic institutional investors also extended their support and bought equities worth Rs 1986 crore on the same day.September 3MTDYTDFII Net Flows 1,029.252,764.711,38,915.69DII Net Flows 1,896.212,252.583,07,856.29Hope you're all set for today's trade, we wish you a profitable day ahead.

2024-09-04 08:03

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/bulk-deals-rare-enterprise-sells-15-85-lakh-shares-in-exicom-tele-systems-12813782.html

Bulk deals: RARE Enterprise sells 15.85 lakh shares in Exicom Tele Systems

representative image.

RARE Enterprise, a Rakesh Jhunjhunwala entity sold 15.85 lakh shares in Exicom Tele Systems for an average price of Rs 348.6. Lotus Global Investments Limited sold 51.33 lakh shares in Jindal Stainless for an average price of Rs 730.05. Goldman Sachs Funds - Goldman Sachs India Equity Portfolio bought 11.56 lakh shares in Medi Assist Healthcare Services for an average price of Rs 611.7. HDFC Mutual Fund bought 31.06 lakh shares in Medi Assist Healthcare Services for an average price of Rs 611.7. ICICI Prudential Mutual Fund bought 8.2 lakh shares, Smallcap World Fund Inc bought 20.59 lakh shares, and Aditya Birla Sun Life Mutual Fund bought 13.11 lakh shares in Medi Assist Healthcare Services. On the seller side, Novo Holdings A/S sold 5 lakh shares in Medi Assist Healthcare Services for an average price of Rs 611.7. Bessemer India Capital Holdings II Limited sold 94.9 lakh shares in Medi Assist Healthcare Services for an average price of Rs 611.7. Legends Global Opportunities (Singapore) Pte. Ltd. sold 11 lakh shares in Tourism Finance Corporation of India for an average price of Rs 178.4. Connecor Investment Enterprise Limited sold 11 lakh shares in Tourism Finance Corporation of India for an average price of Rs 178.4. Mathew Cyriac sold 16.6 lakh shares in Zim Laboratories for an average price of Rs 119.35. Elimath Advisors Private Limited bought 16.6 lakh shares in Zim Laboratories for an average price of Rs 119.35.

2024-09-03 21:33

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/intels-dow-status-under-threat-as-struggling-chipmakers-shares-plunge-12813737.html

Intel's Dow status under threat as struggling chipmaker's shares plunge

Intel's Dow status under threat as struggling chipmaker's shares plunge.Related stories.

Intel was one of the first two tech companies to join the Dow Jones Industrial Average during the late-'90s dot-com boom, along with Microsoft. Now, a slump in Intel's share price could cost the American chipmaker its place in the blue-chip index. Analysts and investors said Intel was likely to be removed from the Dow, pointing to a near 60% decline in the company's shares this year that has made it the worst performer on the index and left it with the lowest stock price on the price-weighted Dow. A removal will hurt Intel's already bruised reputation. The company has missed out on the artificial intelligence boom after passing on an OpenAI investment and losses are mounting at the contract manufacturing unit that the chipmaker has been building out in hopes of challenging TSMC. To fund a turnaround, Intel suspended dividend and announced layoffs affecting 15% of its workforce during its earnings report last month. But some analysts and a former board member believe the moves might be too little, too late for the chipmaker. "Intel being removed was likely a long time coming," said Ryan Detrick, chief market strategist at the Carson Group. The latest results may be the final push needed to finally see the company removed from the Dow, Detrick added. S&P Dow Jones Indices, which manages the Dow, declined to comment on whether Intel could be removed from the index. Changes to the index are made as needed and the last update happened in February when struggling pharmacy chain Walgreens Boots Alliance was replaced by Amazon.com. Stock price is a key element for inclusion in the Dow, unlike the S&P 500 index which takes into account market value. The Dow's selection committee monitors whether the highest-priced stock in the index has a price more than 10 times that of the lowest. Currently, the highest weighted stock – UnitedHealth Group – is priced about 29 times higher than Intel. The chipmaker is also the least influential member of the index with a meager 0.32% weightage based on its closing price of $20.13 on Aug. 29. While the larger impact would be to Intel's reputation, the exclusion would further hit its shares, which are down more than 70% from a record high in August 2000, leaving the chipmaker with a market value below $100 billion for the first time in 30 years. Intel's shares were down 3.6% to $21.25 on Tuesday. WHO WOULD REPLACE INTEL? Nvidia could replace Intel on the Dow, according to Ryuta Makino, research analyst at Intel investor Gabelli Funds. With shares up more than 160% this year, Nvidia has become one of the world's most valuable firms thanks to the essential role its chips play in powering generative AI. A stock split in May also increased the odds of its inclusion. But some investors said Nvidia might be too volatile a stock for the Dow, which usually prefers more stable stocks. Texas Instruments, a nearly century-old chipmaker with significant production capacity within the United States, is another option to replace Intel in the index, said Daniel Morgan, senior portfolio manager at Synovus Trust, which owns shares in Intel. Texas Instruments' shares have risen more than 20% this year to $211.09 as of Thursday, which is closer to the Dow constituents' average price of about $209. In the event of a removal, a stock with a price closer to the average price of the current list might be preferred as a replacement, said David Blitzer, who chaired the S&P Dow Jones Indices' Index Committee for more than two decades until 2019.

2024-09-03 19:53

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https://www.moneycontrol.com/news/business/nvidia-suffers-record-279-billion-loss-in-market-value-as-wall-street-drops-12813879.html

Nvidia suffers record $279 billion loss in market value as Wall Street drops

Nvidia plunges 9.5%, losing $279 billion in market value amid AI concerns.Related stories.

Shares of AI heavyweight Nvidia (NVDA.O), opens new tab tumbled 9.5% on Tuesday in the deepest ever single-day decline in market value for a U.S. company, as investors softened their optimism about artificial intelligence in a broad market selloff following tepid economic data. Nvidia lost $279 billion in market capitalization, a major indication that investors are becoming more cautious about emerging AI technology that has fueled much of this year's stock market gains. The PHLX chip index (.SOX), opens new tab plummeted 7.75%, its biggest one-day drop since 2020.The latest jitters about AI come after Nvidia last Wednesday gave a quarterly forecast that failed to meet the lofty expectations of investors who have driven a dizzying rally in its stock. "Such a massive amount of money has gone to tech and semiconductors in the last 12 months that the trade is completely skewed," said Todd Sohn, an ETF strategist at Strategas Securities. Intel (INTC.O), opens new tab dropped nearly 9% after Reuters reported CEO Pat Gelsinger and key executives are expected to present a plan to the company’s board of directors to slice off unnecessary businesses and revamp capital spending at the struggling chipmaker. Worries about slow payoffs from hefty AI investments have dogged Wall Street's most valuable companies in recent weeks, with shares of Microsoft (MSFT.O), opens new tab and Alphabet (GOOGL.O), opens new tab trading lower following their quarterly reports in July. "Some recent research has questioned if the revenues from AI alone will eventually justify this wave of capital spending on it. When assessing AI capex by individual companies, investors must consider if they are making the best use of their balance sheets and capital," BlackRock strategists wrote in a client note on Tuesday. At its July record high close, Nvidia had almost tripled in 2024. Its recent losses leave it up 118% year to date. Tuesday's weakness in chip stocks accompanied wide declines on Wall Street, with the Nasdaq (.IXIC), opens new tab dropping 3.3% and the S&P 500 (.SPX), opens new tab down 2.1%. Investors mostly expect the Federal Reserve to cut interest rates by 25 basis points in its Sept. 18 policy announcement, according to CME's FedWatch Tool, opens new tab. However, minority expectations of a 50 basis point cut rose to 37% from 30% after data on Tuesday signaled activity in the manufacturing sector remains soft. Investors will get a host of data on the labor market this week, culminating in Friday's key government payrolls report."There’s concern about what the job numbers are going to show, about seasonality," warned Steve Sosnick, a market strategist at Interactive Brokers. The chip index is now up 14% in 2024, just under the S&P 500's 16% gain. Nvidia's record one-session loss in stock market value was greater than the $232 billion decline suffered by Facebook-owner Meta Platforms (META.O), opens new tab on Feb. 3, 2022, when the social media company issued a dismal forecast, according to LSEG data. Following Nvidia's quarterly report last week, the mean analyst estimate for annual net income through January 2025 has climbed to $70.35 billion from about $68 billion ahead of last week's report. Those increased earnings estimates, combined with Nvidia's share losses, have the chipmaker now trading at 34 times expected earnings, down from over 40 in June and in line with its two-year average. Broadcom (AVGO.O), opens new tab, another chipmaker that has benefited from the boom in AI computing, fell 6.2% ahead of its quarterly report on Thursday.

2024-09-04 08:51

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https://www.moneycontrol.com/news/business/markets/kross-sets-price-band-of-rs-228-240-for-its-rs-500-cr-ipo-12813872.html

Kross sets price band of Rs 228-240 for its Rs 500 cr IPO

Equirus Capital is the sole merchant banker to the issue, while KFin Technologies is acting as the registrar to the issue..

Kross Ltd has set a price band of Rs 228-240 a share for its Rs500 crore initial public offering that will start for subscription on September 9. The anchor bidding will start on 6 September and the issue will close on September 11. Allotment will be on September 12, refunds will be on September 13 and the stock will list on exchanges on September 16. The issue comprises of a fresh issue of Rs 250 crore and an offer for sale of upto Rs250 crore by its existing shareholders and promoters. Promoters Sudhir Rai, and Anita Rai will be offloading shares worth Rs 168 crore and Rs 82 crore, respectively via IPO. On the upper price band, the total mcap of the firm stood at around Rs 1550 crore. The Jharkhand-based company that also manufactures forged and precision machined high performance safety critical parts for medium and heavy commercial vehicles (M&HCV) and farm equipment segments, will spend Rs 70 crore out of the net fresh issue proceeds for purchase of machinery and equipment, and Rs 30 crore for working capital requirements going ahead. In addition, Rs 90 crore IPO money will be utilised for repaying debt, and the remaining funds for general corporate purposes. According to the RHP filed with the Registrar of Companies (RoC, the total debt (excluding vehicle loans) on its books amounted to Rs 128.63 crore as of June 2024. This means more than half of its debt burden seems to be reduced post issue. The Rai family-owned firm, which competes with listed peers like Automotive Axles, GNA Axles, Ramkrishna Forgings, Jamna Auto Industries, and Talbros Automotive Components earned nearly 89 percent business from M&HCV segment, 9 percent from farm equipment division, and the remaining from other component or services segment. The financial performance of the past years was strong with the net profit for the fiscal 2024 growing 45.1 percent to Rs 44.9 crore and revenue increased by 27 percent to Rs 620.3 crore compared to previous year. EBITDA (earnings before interest, tax, depreciation, and amortisation) for the year ended March 2024 jumped 40.4 percent to Rs 80.8 crore and margin expanded by 120 bps to 13 percent compared to the fiscal 2023. Equirus Capital is the sole merchant banker to the issue, while KFin Technologies is acting as the registrar to the issue.

2024-09-04 08:43

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/dac-greenlights-rs-1-44-lakh-crore-procurements-hal-mazagon-dock-other-defence-stocks-in-focus-12813893.html

Mazagon Dock, GRSE, other defence stocks gain as DAC greenlights procurements worth Rs 1.44 lakh cr

The Defence Acquisition Council (DAC) is one of the highest authorities for approving major capital purchases for the Armed Forces. In its latest meeting, it granted Acceptance of Necessity (AoN) for 10 capital acquisition proposals..Related stories.

Defence stocks Hindustan Aeronautics, Bharat Dynamics, and Mazagon Dock are in focus on September 4 after the Defence Acquisition Council (DAC) approved major procurements worth Rs1,44,716 crore for the Armed Forces. The approved projects include Future Ready Combat Vehicles (FRCVs) and Air Defence Fire Control Radars for the Army, along with Dornier 228 aircraft, Next Generation Fast Patrol Vessels, and Offshore Patrol Vessels for the Indian Coast Guard. Mazagon Dockand Garden Reach Shipbuilders (GRSE) gained up to 1.5 percent.HAL andÂBharat Dynamics shares were trading flat.Mishra Dhatu Nigamand Bharat Electronics (BEL) were also trading in the green. Also Read |ÂStock Radar: AU SFB, GIC, GSK Pharma, Godfrey Phillips, Exicom, Ecos India Mobility in focus on Wednesday Antique Broking has maintained a 'buy' call on HAL, BEL, Bharat Dynamics, Mazagon Dock, and Garden Reach Shipbuilders. The firm views the recent approval of defence proposals worth Rs 1.44 lakh crore as feasible, noting that most of these projects will be sourced from the domestic industry. This development presents a significant opportunity for Indian defence manufacturers. Chaired by Defence Minister Rajnath Singh, the Defence Acquisition Council (DAC) is one of the highest authorities for approving major capital purchases for the Armed Forces. In its latest meeting, the DAC granted Acceptance of Necessity (AoN) for 10 capital acquisition proposals, according to the Defence Ministry. An AoN marks the initial step in the lengthy defence procurement process, but it doesn't guarantee a final order. Notably, of the total cost of AoNs, 99 percent is from Indigenous sources under the Buy (Indian) and Buy (Indian-Indigenously Designed Developed and Manufactured) categories. Proposals to acquire three major capabilities of the Indian Coast Guard were also approved. This includes more Dornier 228 aircraft, Next Generation Fast Patrol Vessels having high operational features in rough weather conditions and Next Generation Offshore Patrol Vessels with advanced technology and enhanced long-range operations. The long-awaited procurement of Future Ready Combat Vehicles (FRCVs) is set to modernize the Indian Army's tank fleet. These advanced Main Battle Tanks will offer superior mobility, all-terrain capability, multi-layered protection, precision targeting, lethal firepower, and real-time situational awareness, the Ministry said in a statement. Additionally, the Air Defence Fire Control Radars will enhance the detection and tracking of aerial targets, providing accurate firing solutions. The proposal has been approved for the Forward Repair Team (Tracked), which has suitable cross-country mobility for carrying out in situ repair during mechanised operations, the Defence Ministry said.

2024-09-04 11:46

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https://www.moneycontrol.com/news/business/markets/bajaj-finance-can-re-rate-if-subsidiary-bajaj-housing-finance-delivers-bumper-listing-macquarie-12813895.html

Bajaj Finance can re-rate if subsidiary Bajaj Housing Finance delivers bumper listing: Macquarie

Bajaj Housing Finance, a diversified NBFC based in Pune, serves over 76.5 million customers nationwide.Related stories.

Macquarie analysts believe that a strong listing (with a 50 percent premium) of Bajaj Housing Finance could drive a 5 percent upside for its parent company, Bajaj Finance. They also suggest that this could lead to a re-rating of other housing finance companies. "Currently, the grey market premium indicates a price of around Rs 56, suggesting a 50 percent listing premium based on the sum-of-the-parts valuation. This could result in an additional 5 percent upside for Bajaj Finance from current levels," they noted. Despite this potential upside, the brokerage has maintained an 'underperform' rating for Bajaj Finance, with a target price of Rs 6,300 per share—lower than the current market price, implying a potential downside of 14 percent. This lower target is driven by expectations of a decline in return on equity (RoE) due to equity dilution in Bajaj Housing Finance, which is set to launch its IPO on September 9. "We expect RoE to decrease from the current 15 percent to 12 percent as a result of the fresh capital raised through the IPO," the firm added. ALSO READ:ÂBajaj Housing Finance sets price band of Rs 66-70 a share for its IPO Furthermore, analysts questioned whether Bajaj Housing Finance has the potential to become as significant as the former HDFC Ltd. Post-IPO, Bajaj Housing Finance's valuation is anticipated to be 2.6 times its projected book value for the fiscal year 2026. Bajaj Housing Finance, set to open its IPO on September 9, has established a price band of Rs 66-70 per share. The issue includes a fresh issue of up to Rs 3,560 crore and an offer for sale of up to Rs 3,000 crore by Bajaj Finance. At the upper price band, the total market capitalisation of the firm will be approximately Rs 58,300 crore. The anchor bidding will commence on September 6, with the issue closing on September 11. This move by Bajaj Housing Finance aligns with the RBI's mandatory requirement for "upper layer" NBFCs to list within three years of being notified, by September 2025. Bajaj Housing Finance, a diversified NBFC based in Pune, serves over 76.5 million customers nationwide, providing financing to both individuals and corporate entities for the purchase and renovation of homes or commercial spaces.

2024-09-04 08:27

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/stock-radar-au-sfb-gic-gsk-pharma-godfrey-phillips-exicom-ecos-india-mobility-in-focus-on-wednesday-12813861.html

Stock Radar: AU SFB, GIC, GSK Pharma, Godfrey Phillips, Exicom, Ecos India Mobility in focus on Wednesday

Stocks in News.Related stories.

Let's catch up on the latest news from the stock market. From significant investments to major deals, order wins, and appointments, here’s a quick look at which stocks will be in focus in today's trade: Stocks To Watch AU Small Finance Bank The bank has submitted an application to the Reserve Bank of India (RBI) seeking approval for a voluntary transition from a small finance bank to a universal bank. General Insurance Corporation of India The Government of India will be selling a 6.78% stake (including a greenshoe option of 3.39%) in GIC Re via an offer-for-sale (OFS) on September 4-5. The OFS will open for non-retail investors on September 4, while retail investors and employees can participate on September 5. The floor price has been set at Rs 395 per share. Godfrey Phillips India The company has signed a term sheet for the sale of its retail business 24Seven to retail startup New Shop, reports CNBC-TV18 quoting sources The deal is expected to close by the end of September. Under the term sheet, the process to transfer shops to New Shop, which operates 160 stores across 35 cities round the clock, has already begun. Sudarshan Chemical Industries Sudarshan Chemical is in the race to acquire its German competitor, Heubach GmbH, which filed for insolvency in Germany on April 23, 2024, due to a high debt burden, reports CNBC-TV18 quoting sources. Sudarshan Chemical is likely to have submitted a bid to the insolvency administrator. Mankind Pharma The company has executed a Business Transfer Agreement to transfer its over-the-counter (OTC) business undertaking on a slump sale basis to its subsidiary, Mankind Consumer Products (MCPPL). Cipla M K Hamied has resigned from his position as Vice Chairman and Non-Executive Director of the pharma company, effective October 29, due to age and health reasons. The Board has appointed Adil Zainulbhai and Abhijit Joshi as additional non-executive directors of the company, effective September 3. Indian Energy Exchange The electricity exchange recorded a total volume (including certificates) of 12,040 MU in August 2024, a 35.8% increase from the year-ago period. The electricity volume rose by 17.1% YoY to 9,914 MU, while renewable energy certificates (REC) surged 737.4% to 2,116 MU. The Day-Ahead Market (DAM) volume soared to 4,666 MU in August, up 22.5% YoY, while the Real-Time Electricity Market (RTM) reported its highest-ever monthly volume of 3,485 MU, a 27.3% increase YoY. NHPC The company has signed a Memorandum of Understanding (MoU) with the Department of Water Resources (WRD), Maharashtra Government, for the establishment of energy storage systems (pumped storage systems) along with other renewable energy sources (such as solar/wind/hybrid) with a total capacity of 7,350 MW. BGR Energy Systems The company has received two orders from the GST Department in Tiruvallur, demanding a tax of Rs 480.25 crore (including interest and penalty) for FY20. It is in the process of filing an appeal before the said authority. GlaxoSmithKline Pharmaceuticals The company has received an order from the Income Tax Department for an income tax refund of Rs 222.23 crore for the Assessment Year 2022-23. PDS The company's facilities in Bangladesh have resumed normal operations, and normalcy has returned across its partner factories in the region. The company remains positive about medium-term business prospects in Bangladesh. Bulk Deals Exicom Tele Systems RARE Enterprise sold a 1.31% stake in Exicom at an average price of Rs 348.6 per share, totaling Rs 55.25 crore. Jindal Stainless Lotus Global Investments sold a 0.62% stake in the stainless steel company at an average price of Rs 730.05 per share, valued at Rs 374.8 crore. Medi Assist Healthcare Services Goldman Sachs Funds (Goldman Sachs India Equity Portfolio), HDFC Mutual Fund, ICICI Prudential Mutual Fund, Smallcap World Fund Inc, and Aditya Birla Sun Life Mutual Fund purchased a 12.02% stake in Medi Assist at an average price of Rs 611.7 per share. Meanwhile, foreign company Novo Holdings A/S sold a 0.71% stake in the company at the same price. Promoter Bessemer India Capital Holdings II offloaded 13.5% of its shares at the same price, valued at Rs 580.5 crore. AU Small Finance Bank Westbridge AIF I sold a 1.46% stake in the small finance bank at an average price of Rs 676.06 per share, amounting to Rs 736.6 crore. Mainboard Listing on September 4 Ecos India Mobility & Hospitality SME Listing on September 4 Paramatrix Technologies, Aeron Composite Stocks Turn Ex-Dividend Hikal, MAS Financial Services, Parag Milk Foods, GeeCee Ventures, Prince Pipes and Fittings, RACL Geartech, Reliance Chemotex Industries, SP Capital Financing, Uni Abex Alloy Products Stock Trades Ex-Date for Buyback Transport Corporation of India F&O Ban Aditya Birla Fashion and Retail, Balrampur Chini Mills, Hindustan Copper

2024-09-04 01:37

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/short-call-midcap-mirage-unpacking-a-rally-fueled-by-liquidity-and-hype-kaynes-tech-gmr-power-in-focus-12813892.html

Short Call | Midcap mirage: unpacking a rally fueled by liquidity and hype; Kaynes Tech, GMR Power in focus

Much of the mid-cap surge has been driven by stocks in investment-related sectors, such as capital goods, electricity, NBFCs, railways, and real estate, which are categorized as 'narrative' stocks by Kotak..Related stories.

The mid-cap rally has been nothing short of intriguing over the past 18 months. But is this surge built on solid fundamentals or merely a flash in the pan? VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, flagged a crucial concern - small-cap funds are halting bulk investments. A stark red flag. "Mutual funds would typically welcome more money for the commission income, but if they are saying no to investors, it means the valuations don't make sense for bulk investments." Currently, valuations in the BSE Midcap index have a price-to-earnings (P/E) of over 33. Normally, a P/E above 25 is considered bubble territory. In parallel, Ajit Mishra, SVP of Research at Religare Broking, in a chat with Moneycontrol advised a cautious approach towards midcap and smallcap stocks. Mishra’s tone reflected the potential pitfalls of high valuations in these segments. Follow our live blog for all the market action Kotak's Note A recent Kotak Securities report uncovered a noteworthy trend. "The top-25 stocks in the Nifty Midcap 150 Index have contributed almost 50 percent of the returns in the past 12 months. As many as 36 stocks (many traditional favorites) have delivered less than 10 percent return over the same time," the report reveals. Much of the mid-cap surge has been driven by stocks in investment-related sectors, such as capital goods, electricity, NBFCs, railways, and real estate, which are categorized as 'narrative' stocks by Kotak. Meanwhile, traditional market darlings like building materials, apparel, and specialty chemicals have struggled, delivering minimal or even negative returns. This scenario raises two key questions: a) What’s driving this odd dichotomy? b) How long will these 'narrative' stocks continue to lead before they fizzle out? Nevertheless, significant capital from new investors has flowed into mid-cap and small-cap funds over the past two years, as noted by Kotak. In a landscape where liquidity and hype drive valuations and traditional metrics falter, investors wonder whether this party can continue.  However, it's hard to tell when. Garden Reach Shipbuilders and Engineers (Rs 1,917, +4.7%) Stock surged on anticipation of an announcement of sizeable naval defence orders Bull Case:Garden Reach Shipbuilders is well-positioned for future growth with a diverse order book of Rs 25,231 crore, driven by major projects like P17 Alpha and Anti-Submarine Shallow Watercraft. Its expansion into autonomous platforms, green energy, and co-production of marine engines, coupled with anticipated high-value RFPs from the Indian Navy and Coast Guard, is expected to drive revenue over the next few years. Bear Case:The deferment of a significant order in the Next-Generation Corvette (NGC) to FY26 could delay revenue growth beyond FY26. Coupled with 105 percent stock outperformance versus the Nifty in the last six months, future returns may be constrained. Also Read |ÂDAC greenlights Rs 1.44 lakh crore procurements; HAL, Mazagon Dock, other defence stocks in focus GMR Power & Urban Infra (Rs 141, +5%) Authum Investment & Infra's 1.2% stake purchase Bull case:As the EV market in India is growing rapidly, the company has significant potential for growth in this domain, especially by establishing these facilities at airports operated by its group companies. Expansion in green energy, tendering for upcoming smart metering project will also drive re-rating of the stock. Bear case:Any mechanical or technical issue or issues related to coal availability that may lead to lower generation can be a key risk for the earnings. There remains some uncertainty regarding the gas-based power plants, specifically about restarting the facilities or monetising the assets. Kaynes Technology India (Rs 4,848, +4%) The Cabinet has approved a Rs 3,300 crore proposal by electronics maker Kaynes Tech to build a semiconductor packaging plant. Bull Case:As a result, the firm's management said it expects revenue from the segment to begin from Q4FY26, and by FY28, the segment will contribute revenue of Rs 1,500 crore. By FY30, the revenue from the semiconductor unit can clock in at Rs 3,500 crore. The high-margin segment will boost the bottom line. Bear Case:Any countries adding an import duty on semiconductor chips from India could affect the revenue. Additionally, any delays in government approval for the process in setting up the OSAT will impact timelines. (With inputs from Harshita, Lovisha, and Zoya)

2024-09-04 08:02

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/trading-plan-will-nifty-see-breakout-at-25300-bank-nifty-sustain-above-51500-12813728.html

Trading Plan: Will Nifty see breakout at 25,300, Bank Nifty sustain above 51,500?

Market Trading Plan.Related stories.

The market closed flat with a positive bias after trading within the previous day's range on September 3, maintaining its northward journey for the 14th consecutive session. Most experts do not foresee any change in the trend reversal, expecting the ongoing consolidation to break out on the higher side. According to them, 25,400 is the immediate target if the index manages to close above 25,300. On the downside, immediate support lies at 25,200, followed by 25,000 as the crucial support level. For the Bank Nifty, if it holds 51,500, then 52,000 is the level to watch on the upside, with key support at 51,000. On Tuesday, the Nifty 50 ended at a fresh record closing high of 25,280, up 1.15 points, while the Bank Nifty climbed 250 points to 51,689. On the NSE, 1,224 shares advanced, while 1,208 shares declined. Nifty Outlook and Strategy Ashish Kyal, CMT, Founder and CEO of Waves Strategy Advisors The Nifty has lost its momentum over the past 3 days. In the previous session, prices showed sideways action for yet another day. The index is consolidating at the higher end. For now, a breach below 25,180 would be a cause for concern! Overall, the trend remains positive as the Nifty protected the previous day’s low. One can continue to use a buy-on-dips approach to ride the trend with a target of 25,361 (Gann). Key Resistance: 25,650 (September Futures) Key Support: 25,180 (September Futures) Strategy: Long positions can be created on a break above 25,420 (September Futures) with a stop-loss at 25,340 and a target of 25,550, followed by 25,650 levels. Apurva Sheth, Head of Market Perspectives & Research at SAMCO Securities The remarkable winning streak for the last 14 trading sessions has happened for the first time in 30 years. September is historically a negative month for the Nifty; in six out of the last 10 years, September has closed on a negative note. Thus, we expect the Nifty to trade with a flat to negative bias in the near term. Key Resistance: 25,395, 25,500, 26,000 Key Support: 25,000, 24,800, 24,500 Strategy: Traders should employ a Call Ratio Spread strategy by buying 1 lot of the 25,300 strike Call with a September 12th expiry and selling two lots of the 25,400 strike Call. In case of a stop-loss, one should exit the trade if the total loss on the strategy exceeds Rs 2,000. On the target front, one can hold till expiry or book profits when the total profit on the position reaches Rs 3,500. Riyank Arora, Technical Analyst at Mehta Equities The Nifty has immediate support at 25,200 and major support at 25,000. The index is likely to move upwards towards the 25,500 and 25,600 levels, with potential to reach 26,000 eventually. The overall trend suggests buying on every dip. Key Resistance: 25,500, 25,600 Key Support: 25,200, 25,000 Strategy: Traders are advised to buy at the current market price (CMP) of 25,280, with a stop-loss at 25,200 for a target of 25,500 and 25,600. Bank Nifty - Outlook and Positioning Ashish Kyal, CMT, Founder and CEO of Waves Strategy Advisors In the last session, the Bank Nifty finally closed above the previous day’s high, which is a positive sign. It has protected the previous day’s low on a closing basis since August 14. In summary, the overall trend for the Bank Nifty remains positive. Key Resistance: 52,100 (September Futures) Key Support: 51,300 (September Futures) Strategy: Long positions can be created above 51,900 (September Futures) with a target of 52,100 (September Futures), followed by 52,390 (September Futures), as long as 51,500 (September Futures) holds on the downside. Apurva Sheth, Head of Market Perspectives & Research at Samco Securities The Nifty Bank has underperformed the Nifty and several other indices. However, it seems that bulls are finally catching up. It broke out of the last month’s trading range on Tuesday and ended near the day’s high. It has closed above the resistance level of 51,500, indicating a firm hold by the bulls. Private sector banks are gaining momentum and may lead the rally in the Nifty Bank. The daily RSI (Relative Strength Index) is also gaining momentum. Key Resistance: 52,000, 53,000 Key Support: 51,500, 51,133 Strategy: Traders can execute a Bull Call Spread in the Nifty Bank by buying a 51,800 strike Call and selling a 52,500 strike Call for the September 11 expiry. One should place a stop-loss at Rs 3,300. On the target front, one can book profits once the index trades at 52,500 levels or when the total profit on the strategy exceeds Rs 6,000. Riyank Arora, Technical Analyst at Mehta Equities The Bank Nifty has shown a strong breakout above the 51,500 mark, indicating targets of 52,000 and 52,500. Traders should buy on every dip and consider buying at the current market price (CMP) for a substantial upside move. Strong charts and buying momentum in banking stocks are driving this bullish trend. Immediate support is at 51,400, with major support at 51,000, making these levels crucial for maintaining the upward trajectory. Key Resistance: 52,000, 52,200 Key Support: 51,400, 51,000 Strategy: Buy the Bank Nifty at CMP of 51,689, with a stop-loss of 51,400 and a target of 52,000 and 52,500.

2024-09-03 20:01

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/world-street-nvidias-slump-asian-markets-selloff-us-pmi-data-and-more-12813894.html

World Street | Nvidia's slump, Asian markets selloff, US PMI data and more

World Street offers a sneak peek into the world of business and economy..Related stories.

Nvidia shares tank nearly 10 percent in the overnight session amid an overall market decline. Market across Asia sank in losses, with technology and chipmaker stocks witnessing a selloff on the back of weak cues from US counterparts. US PMI data for August witnessed a slowdown sparking worries over an economic slowdown in the world's largest economy. All this and much more on World Street. Taking a break US factories continued to witness a slowdown in August, sparking fears over the future of the economy and thereby triggering a selloff in the equity market. The Institute for Supply Management's (ISM) monthly survey revealed that only 47.2 percent of purchasing managers reported expansion, falling short of the 50 percent threshold that indicates growth. While this figure was a slight improvement from July's 46.8 percent, it still came in below the Dow Jones consensus estimate of 47.9 percent. Stair fall Nvidia's shares plunged 9.5 percent on Tuesday, marking the steepest single-day drop in market value ever recorded by a US company, as investor optimism for artificial intelligence cooled amid a broader market selloff triggered by lukewarm economic data. The plunge wiped out $279 billion from Nvidia's market capitalisation, hinting towards growing investor caution towards the AI technology that has driven significant stock market gains this year. I see Red! Asia-Pacific markets took a dive on Wednesday, with Japan's Nikkei 225 leading the fall, tracking a selloff in US tech stocks and rising recession fears triggered by weak US economic data. The Nikkei 225 dropped 3.19 percent, while the broader Topix index fell 2.79 percent. Semiconductor-related stocks were hit particularly hard, with Renesas Electronics plummeting 8 percent, making it the biggest loser on the index. Tokyo Electron slid 7 percent, and Advantest tumbled almost 8percent. SoftBank Group, which owns chip designer Arm—a key supplier for Nvidia—saw its shares fall over 5.9 percent.  South Korea's Kospi index dropped 2.17 percent, with chip giants Samsung Electronics and SK Hynix, both key suppliers to Nvidia, slipping 2.62 percent and 6.36 percent, respectively. Taiwan's Weighted Index also recorded a significant fall of over 3 percent before trimming some losses. Major players like Taiwan Semiconductor Manufacturing Company (TSMC) fell 3.5 percent, while Hon Hai Precision Industry, known globally as Foxconn, slid over 3.5 percent. Bracing for a fight German automotive giant Volkswagen is gearing up for a potential clash with trade unions after announcing that it may not be able to avoid shutting down factories in its home country—a first in the company’s nearly 90-year history. Volkswagen’s management is set to present its plans to around 18,000 workers during a town hall meeting in Wolfsburg on Wednesday amid rumors that the company might consider closing its Osnabrueck and Dresden sites. This development highlights the growing challenges faced by Europe’s legacy carmakers as Volkswagen cautioned that it could no longer rule out plant closures in Germany. Sliding down Oil prices plunged nearly 5 percent overnight, falling to their lowest levels in almost nine months, amid signs of a potential resolution to the dispute that has halted Libyan crude production and exports. Brent crude futures dropped $3.77, or 4.9 percent, closing at $73.75 per barrel—their lowest since December 12. The correction follows last week's weak performance, where Brent prices slipped from $80 per barrel to below $75 per barrel.  The drop in oil prices came at a time when news surfaced that Libya's legislative bodies have agreed to appoint a new central bank governor within 30 days, following UN-sponsored talks. This development comes amid a halt in  major Libyan oil exports and reduced production due to an ongoing standoff between rival political factions over control of the central bank and oil revenue. Bad omen Artificial intelligence (AI) could hurt oil prices over the next decade by improving supply through cost reductions in logistics and increasing the volume of profitably recoverable resources, analysts at Goldman Sachs believe. While much of the focus on AI's impact has been on the anticipated rise in power demand, its potential to lower oil prices could significantly affect the incomes of producers, including members of the Organization of the Petroleum Exporting Countries and allies (OPEC+). Goldman Sachs estimates that AI could potentially reduce the costs of drilling a new shale well by around 30 percent. Moreover, AI-driven improvements in the low recovery factors of US shale could lead to a 10 percent to 20 percent increase in oil reserves, adding an estimated 10 to 30 billion barrels.

2024-09-04 07:51

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https://www.moneycontrol.com/news/business/ipo/baazar-style-retail-ipo-allotment-likely-today-a-step-by-step-guide-to-check-your-allotment-status-gmp-and-other-key-details-12813619.html

Baazar Style Retail IPO allotment likely today: A step-by-step guide to check your allotment status; GMP and other key details

Baazar Style Retail IPO allotment likely today: Bidders can check their allotment status on the official website of the registrar..Related stories.

Baazar Style Retail initial public offering (IPO) subscription status soared to 40.63 times on the last day of bidding on September 3. The Rs 835-crore maiden share sale of Rekha Jhunjhunwala-backed value fashion retailer Baazar Style Retail received bids for 61.07 crore against 1.5 crore shares on offer, as per NSE data on the final day of the IPO. The shares of the company are likely to be allotted to successful bidders today. Those who subscribed to the issue can check their Baazar Style Retail IPO allotment status on the official website of the registrar, Link Intime. Baazar Style Retail IPO allotment status check on Link Intime Step 1: You can check your allotment status directly from the official website of the registrar by clickingÂhere. Step 2:Select the company from the dropdown menu. Step 3:You check your allotment status by filling in details like PAN, Application number or DP client ID. Step 4:Press the Submit button Step 5:Your allotment status will be shown in the window. Baazar Style Retail IPO GMP today price Ahead of the listing, the shares of Baazar Style Retail are commanding a price in the range of Rs 60 in the unregulated market, as per multiple websites that track the grey market premium activities. The shares of the mainboard issue will be listed on the bourses on Friday, September 6. The company is one of the leading players in the value retail market in West Bengal and Odisha. Additionally, its other core and focus markets include Assam, Bihar, Jharkhand, Andhra Pradesh, Tripura, Uttar Pradesh and Chhattisgarh.

2024-09-04 07:26

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https://www.moneycontrol.com/news/business/markets/oil-drops-more-than-3-after-media-report-of-potential-end-to-libya-dispute-12813740.html

Oil drops more than 3% after media report of potential end to Libya dispute

Oil drops more than 3% after media report of potential end to Libya dispute.Related stories.

Oil prices dropped more than 3% on Tuesday after Bloomberg News reported that a deal was imminent to resolve a dispute that has halted Libyan production and exports, pushing prices to their lowest since around the beginning of the year. The news of more crude supply possibly returning to the market came as prices had already fallen on the belief that demand was being undercut because of sluggish economic growth in China, the world's biggest crude importer. Brent crude futures were down $3.08, or 4%, to $74.44 a barrel at 1333 GMT, the lowest level since December. West Texas Intermediate crude futures, which did not settle on Monday because of the U.S. Labour Day holiday, were down $2.55, or 3.5%, at $71.00 - their lowest since January. UBS analyst Giovanni Staunovo said the sell-off was tied to Bloomberg's report, which quoted the Libyan central banker at the centre of the controversy as saying there were "strong" indications that the political factions involved were nearing an agreement. Libyan oil exports at major ports were halted on Monday and production curtailed across the country, six engineers told Reuters, continuing a standoff between rival political factions over control of the central bank and oil revenue. Libya's National Oil Corp (NOC) declared force majeure on its El Feel oilfield from Sept. 2. Total production had plunged to little more than 591,000 barrels per day (bpd) as of Aug. 28 from nearly 959,000 bpd on Aug. 26, NOC said. Production was at about 1.28 million bpd on July 20, the company said. The Libya news compounded an earlier fall in prices tied to weak Chinese economic data. "The weaker than expected Chinese manufacturing PMI over the weekend likely exacerbated concerns about the Chinese economy's performance," said Charalampos Pissouros, senior investment analyst at brokerage XM On Monday China reported new export orders fell for first time in eight months in July and that prices of new homes rose in August at their weakest pace this year. Some supply is set to return to the market as eight members of OPEC and affiliates, together known as OPEC+, are scheduled to boost output by 180,000 bpd in October. The plan is likely to go ahead regardless of demand worries, industry sources said. "It remains to be seen how low prices can go before OPEC+ reacts, as most cartel members need prices above current levels to come close to balancingbudgets," said Panmure Liberum analyst Ashley Kelty. Disruptions to supply flows from the Middle East after two oil tankers were attacked on Monday in the Red Sea off Yemen were not enough to buoy prices. The tankers did not sustain major damage.

2024-09-03 20:00

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https://www.moneycontrol.com/news/business/markets/kaynes-tech-stock-soars-8-as-cabinet-approves-rs-3300-crore-chip-proposal-12812893.html

Kaynes Tech stock soars 8% as Cabinet approves Rs 3,300 crore chip proposal

The unit will be set up in Sanand where two other chipmaking proposals have been approved under the India Semiconductor Mission..Related stories.

Kaynes Technology shares surged over eight percent in early trade on September 3 after the Central government approved a chip proposal by the firm under the semiconductor scheme. The Cabinet has approved a Rs 3,300 crore proposal by electronics maker Kaynes Tech to build a semiconductor packaging plant with a capacity to produce 60 lakh chips a day, Union minister Ashwini Vaishnaw said on September 2. At 9.55 am,Kaynes Technologyshares were quoting Rs 4,920 on the NSE, up 5.5 percent compared to the previous close. Follow our market blog to catch all the live updates The proposed unit will be set up in Sanand, Gujarat where two other chipmaking proposals have been approved under the Rs 76,000 crore India Semiconductor Mission. "The Cabinet has approved Kaynes' plant, with a capacity of 6.3 million chips per day. The plant will come up in 46 acres, it is a big plant and large portion of the production will go for Kaynes Industries, it has already been booked," the minister said. The chips produced in the Kaynes unit will cater to a wide variety of applications which include segments such as industrial, automotive, electric vehicles, consumer electronics, telecom, mobile phones, etc. Over the past 12 months, Kaynes Technology shares have galloped 150 percent, more than doubling investors' wealth. The stock price has also outperformed the benchmark Nifty 50 index, which has risen around 30 percent during the same period.

2024-09-03 10:15

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/gensol-engineering-rallies-3-as-it-bags-order-for-indias-first-bio-hydrogen-project-12812886.html

Gensol Engineering rallies 3% as it bags order for India's first bio-hydrogen project

So far this year, shares of Gensol Engineering have surged 11 percent.Related stories.

Shares of Gensol Engineering surged 3 percent to Rs 971 apiece on September 3 after the company emerged as the lowest bidder for developing India's first bio-hydrogen project for a leading power generation company, in collaboration with Matrix Gas & Renewables. So far this year, shares of Gensol Engineering have surged 11 percent, underperforming benchmark Nifty 50's 16 percent rise. Catch all the market action on our LIVE blog The landmark project, to be established by the Gensol – Matrix consortium, will convert 25 tonnes of bio-waste into 1 tonne of hydrogen per day. The project valued at Rs 164 Crore, scheduled for completion within 18 months, marks a significant milestone on aligning with the National Green Hydrogen Mission for biomass to green hydrogen generation. The scope of work involves establishing a facility for processing 25 tons of bio-waste per day and producing 1 ton of green hydrogen daily using the Pre-Gasification Plasma Induced Radiant Energy-Based Gasification System (GH2-PREGS) technology. "Gensol and Matrix consortium highlights our unwavering commitment to innovation and excellence within the renewable energy sector, aligning with India’s National Green Hydrogen Mission and aiming to become an EPC turnkey solution provider. By converting bio-waste into hydrogen, we are addressing critical environmental challenges and making a significant contribution to the nation’s energy transition. We are committed to executing this project with the highest standards of quality and efficiency that define Gensol," said Anmol Singh Jaggi, Chairman and Managing Director, Gensol Engineering. Gensol and Matrix, both companies promoted by common promoters, will continue to collaborate in the Green Hydrogen sector and its derivatives, including Green Steel and Green Ammonia, leveraging the unique skill sets of each entity. Established in 2012, Gensol Engineering Limited, is a leading player in the renewable energy sector specialising in solar power engineering, procurement, and construction (EPC) services, along with electric mobility solutions.

2024-09-03 10:16

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https://www.moneycontrol.com/news/business/markets/gift-city-focused-on-tapping-nri-segment-k-rajaraman-of-ifsca-12813187.html

GIFT City focused on tapping NRI segment: K Rajaraman of IFSCA

GIFT City focused on tapping NRI segment: K Rajaraman of IFSCA.Related stories.

The GIFT City regulator is looking at tapping the Non-Resident Indian (NRI) segment, which presents a big opportunity for India's growth story, said K Rajaraman, chairman of the International Financial Services Centres Authority(IFSCA). To give a perspective of how big the segment is, Rajaraman said that there is a growing retail segment of 4,000 NRIs who have almost $800 million in savings accounts. Rajaraman was speaking at the CII Financing 3.0 Summit in Mumbai. In April, the Securities and Exchange Board of India (Sebi) allowed funds set up in GIFT City to take 100 percent investment from NRIs, which was not the case earlier. Rajaraman also said that the NSE IX Nifty 50 has a higher market value than the NSE Nifty 50 index, adding that the NSE IX Nifty 50's turnover in August crossed over $100 billion. Rajaraman highlighted that over the past five years, the IFSCA has issued 35 regulations across various sectors. Each of these regulations have been crafted by benchmarking against global best practices, he added. He also mentioned that GIFT City has a very active bond market. Out of the total outstanding bond issuances of $50 billion, $14 billion are green and sustainable bonds.

2024-09-03 12:52

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https://www.moneycontrol.com/news/business/ipo/premier-energies-listing-bonanza-ipo-investors-money-more-than-doubles-share-price-beats-gmp-estimate-12812781.html

Premier Energies listing bonanza: IPO investors’ money more than doubles; share price beats GMP estimate

A day before the issue opened on August 26, the company garnered Rs 846.12 crore through its anchor book..Related stories.

Shares of Premier Energies were off to a roaring start on its stock market debut on September 3 after listing at Rs 991, a massive premium of 120 percent over the IPO issue price of Rs 450 per share. The listing gains are above the grey market estimates where shares were trading at a premium of 108 percent. The grey market is an unofficial platform for IPO share trading before the official listing. Follow our LIVE blog for all the latest market updates The Rs 2,830-crore public offer -- a mix of a fresh issue and an offer-for-sale, was keenly watched by investors after the IPO was subscribed 74.14 times over three days. Qualified institutional buyers led the subscription, taking up 216.67 times their allotted portion. Retail investors subscribed 7.33 times their quota, while employees subscribed 10.84 times their reserved portion. Non-institutional investors subscribed 49.81 times their reserved portion. Also read:ÂBajaj Housing Finance sets price band of Rs 66-70 a share for its IPO Founded in April 1995, Premier Energies specializes in solar solutions, manufacturing solar cells, monofacial and bifacial modules, and providing EPC and O&M services. The company runs five production units in Hyderabad, Telangana. Funds raised from the fresh issue, after deducting expenses, will be invested in Premier Energies Global Environment Private Limited, a subsidiary, to develop a 4 GW Solar PV TOPCon Cell and Module plant in Hyderabad, along with meeting general corporate needs. Read more:ÂUpcoming IPOs in September 2024: Markets to remain abuzz with new issues set to hit D-Street A day before the issue opened on August 26, the company garnered Rs 846.12 crore through its anchor book. Global marquee investors Nomura Funds, Blackrock Institutional Trust Company, PGGM World Equity, Government Pension Fund Global, Abu Dhabi Investment Authority, Neuberger Berman Investment Funds, Morgan Stanley, BNP Paribas, Pioneer Investment Fund, Eastspring Investments, Carmignac Portfolio, and Allianz Global Investors Fund participated in the anchor book.

2024-09-03 10:07

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https://www.moneycontrol.com/news/business/ipo/indian-phosphate-shares-debut-with-90-premium-over-ipo-price-on-nse-sme-12812810.html

Indian Phosphate shares debut with 90% premium over IPO price on NSE SME

The proceeds from the fresh issue will be utilized to set up a new manufacturing facility at SIPCOT Industrial Park.Related stories.

Shares of Indian Phosphate Limited made a lightning start on its stock market debut on September 3 after listing at Rs 188, commanding a premium of 90 percent over the price of Rs 99 on the NSE SME platform. Prior to listing, shares of the company were trading with over 100 percent premium in the grey market. The grey market is an unofficial ecosystem where shares start trading much before the offer opens for subscription and continue to trade till the listing day. Follow our LIVE blog for all the latest market updates The Rs 67.36-crore public offer, purely a fresh issue of 68 lakh shares, received robust investor interest after the IPO was subscribed over 266 times. Out of that, non-institutional investors led the surge, buying 440 times their allotted quota. Retail investors and qualified institutional buyers (QIBs) followed thereafter buying 240 and 181 times, respectively. Also read:ÂBajaj Housing Finance sets price band of Rs 66-70 a share for its IPO Established in 1998, it produces Linear Alkyl Benzene Sulfonic Acid (LABSA), an anionic surfactant widely used in washing powders, soaps, toilet cleaners, and liquid detergents. The company also manufactures Single Super Phosphate (SSP) and Granules Single Super Phosphate (GSSP), available in powder and granule form. Read more:ÂHAL stock gets buy call from Antique on securing Rs 26,000 cr engine contract for IAF's Su-30MKI fleet The proceeds from the fresh issue will be utilized to set up a new manufacturing facility at SIPCOT Industrial Park, Tamil Nadu for the production of Sulphuric Acid, LABSA and Magnesium Sulphate. Additionally, the funds will be used to meet working capital requirements and for general corporate purposes.

2024-09-03 10:02

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/samvardhana-motherson-likely-to-raise-1-billion-via-qip-cnbc-tv18-12813110.html

Samvardhana Motherson likely to raise $1 billion via QIP: CNBC-TV18

Samvardhana Motherson likely to raise $1 billion via QIP..Related stories.

Samvardhana Mothersonis likely to raise $1 billion through a Qualified Institutional Placement (QIP), reported CNBC TV18, citing unidentified sources. The QIP by the auto components maker is likely to be launched soon, and the proceeds may be utilised either for an acquisition or to reduce its existing debt, the report said. At the time of publishing, the stock was trading at Rs 192.93 apiece on the NSE, down marginally by 0.15 percent. The company has appointed bankers for the likely QIP and the roadshow may begin soon. As per report, Samvardhana Motherson is looking to reduced debut to 1x EBITDA against 1.5X at present. The company's gross debt stood at Rs 20,114 crore and net debt at Rs 13,370 crore, as of the first quarter in the current fiscal. It's gross debt increased by 16 percent and net debt by 29 percent on a sequential basis in June quarter. The company has also been looking at acquisitions. The company in August gave a final dividend to its shareholders. The large cap company has a market cap of Rs 1,31,256.63 crore. As per the data available on the BSE, the stock is up 83.26 percent in 2024 so far. The counter delivered multibagger returns in the last two years rising 131.04 percent. As many as 4.92 lakh shares changed hands generating a total turnover of Rs 9.46 crore till 12 PM.

2024-09-03 12:14

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/welspun-corp-shares-gain-as-company-to-invest-100-mn-to-upgrade-pipes-manufacturing-12812672.html

Welspun Corp shares gain as company to invest $100 mn to upgrade pipes manufacturing

Rising gas consumption has led to a shortage of APM gas allocation for the priority sector..Related stories.

Welspun Corp's share price gained in the early trade on September 3 after the company board approved investment by its subsidiary for upgradation of pipes manufacturing. At 09:42 am, Welspun Corp was quoting at Rs 697.95, up  0.35 percent, on the BSE. ".... board has approved an investment of approximately USD 100 million by wholly owned subsidiary Welspun Pipes Inc. for the strategic upgradation of the HFIW (High Frequency Induction Welding) pipes manufacturing and coating capability in the USA for enriching its product portfolio, company said. The investment, which will be financed through local debt and internal accruals over 18 months. It will enable the company to offer pipes with sizes up to 24 inches in outside diameter and 0.750 inches in wall thickness, with grades up to X80, and a capacity of 350 KMTPA. Catch all the market action on our live blog For the June quarter, Welspun Corp reported a 47 percent increase in net profit, reaching Rs 247.94 crore, despite a decline in total income to Rs 3,179.67 crore. Welspun Corp, the flagship firm of Welspun Group, is one of the largest manufacturers of large-diameter pipes globally and has established a global footprint across six continents and 50 countries.

2024-09-03 09:46

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/godrej-industries-records-fresh-all-time-high-jumps-7-on-heavy-volumes-12813263.html

Godrej Industries records fresh all-time high, jumps 7% on heavy volumes

Over 12 lakh shares exchanged hands in trade on the bourses, over 300 percent higher than the one-month daily traded average of four lakh shares..Related stories.

Godrej Industries surged seven percent in trade on September 3, as heavy trading volumes caused the counter to record a fresh all-time high. Over 12 lakh shares exchanged hands in trade on the bourses, over 300 percent higher than the one-month daily traded average of four lakh shares. At 2 pm,Godrej Industriesshares were quoting Rs 1,138 per share on the NSE, higher by 7.2 percent compared to the previous session's closing price. Follow our live blog to catch all the updates Godrej Industries generates major value from its listed subsidiaries and associates viz. Godrej Consumer, Godrej Properties and Godrej Agrovet, said ICICI Securities. As per the brokerage's target prices for Godrej Consumer, Godrej Properties and Godrej Agrovet and 55 percent holdco discount, Godrej Industries’ value works out to Rs 1,260 per share. "At present, the stock trades at a discount of 62% to the combined market value of subsidiaries and associates. We believe, the subsidiaries as well as associates of Godrej Industries, shall be the net beneficiaries of recovery in end-user industries," said ICICI Securities. "Godrej Industries is bullish but also extremely overbought on the daily charts. The next resistance is at Rs 1,196. Investors should keep booking profits as a daily close below support of Rs 1,067 could lead to target of Rs 859 in the near term," said A R Ramachandran, Independent Research Analyst. Over the past year, Godrej Industries shares surged over 100 percent, more than doubling investors' wealth. In comparison, the benchmark Nifty 50 has gained around 30 percent during the same time.

2024-09-03 14:00

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/sensex-nifty-break-winning-streak-amid-lack-of-triggers-12813389.html

Sensex, Nifty break their winning streaks, experience lackluster session amid lack of triggers

The broader market outperformed the benchmark indices. While the BSE Midcap index gained 0.2 percent, the Smallcap index gained 0.6 percent..Related stories.

The Nifty and Sensex ended marginally lower on September 3, snapping a 10-day winning streak. Both benchmarks experienced a choppy and mostly flat session due to a lack of fresh catalysts from domestic and global markets. The Sensex ended its 10-day winning streak, while the Nifty snapped its 13-day rally. "After 13 days of uninterrupted rise in the market, the market has to consolidate. Consolidation is good. The important thing is there are no triggers for a big breakdown in the market now. Also, there are no triggers for a breakout. The rate cut awaited by the Federal Reserve has been discounted by the market already," V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services told Moneycontrol. Follow our live blog for all the market action At close, the Sensex was down 4.4 points or 0.01 percent at 82,555, and the Nifty was up 1.1 points at 25,279. About 1,909 shares advanced, 1,857 shares declined, and 113 shares were unchanged. When it came to sectoral indices, Nifty Bank reversed its initial downtrend to close 0.5 percent higher. Meanwhile, Nifty IT continued to weigh down the Nifty. Shares of shipyard companies like Mazagon Dock and Cochin Shipyard were in focus on September 3, in anticipation of an announcement of sizeable naval defence orders. Also Read |ÂMazagon Dock, GRSE, others rally on hopes of DAC's nod for new naval warships on September 3, shares of SBI Life, HDFC Life, Shriram Finance, ICICI Bank, and Bajaj Finserv were the top gainers on Nifty 50 while ONGC, Infosys, Bajaj Finance, JSW Steel, and Adani Ports were the biggest losers. The broader market outshined the benchmarks, with the BSE Midcap index rising 0.3 percent and the Smallcap index gaining 0.7 percent. The U.S. ISM manufacturing survey data is due later in the day. Apart from that, U.S. payrolls report on September 6 will influence the magnitude of interest rate cut by the Federal Reserve. The job openings data on September 4 and the jobless claims report on September 5 will also be closely monitored.

2024-09-03 15:53

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https://www.moneycontrol.com/news/business/markets/fiem-industries-kotak-securities-buy-coverage-12813317.html

FIEM Industries shares rise 5% as Kotak initiates coverage with a 'Buy'

Kotak Securities anticipates that FIEM’s robust balance sheet, strong returns, and expansion into smart meters and EV charging will ensure continued financial strength..Related stories.

Shares of FIEM Industries - makers of automotive lighting - soared around 5 percent after Kotak Securities initiated coverage on with a 'Buy' call and a price target of Rs 2,140 on the stock, nearly 40 percent higher from previous close. FIEM's product portfolio is versatile across different technologies, Kotak's note said, implying the rise in electric vehicle adoption may not disrupt the auto components maker's business. FIEM Industries' top clients include Honda Motorcycle and Scooter India, TVS Motors Co., Yamaha Motor India, and Suzuki Motorcycle. The company makes automotive lighting and rear-view mirrors among other components. Kotak Securities note said FIEM has a strong market position with a potential to capitalize on the reviving two-wheeler demand, which has seen an uptrend after the pandemic. The brokerage anticipates healthy volume growth in the two-wheeler industry from FY25-27, driven by rising demand and higher government spending. Follow our market blog to catch all the live action FIEM's expansion into four-wheeler LED lighting offers new growth prospects, further diversifying revenue streams. The company has outperformed the industry average, achieving an 11 percent compound annual growth rate (CAGR) in revenue over the past decade, exceeding that of the two-wheeler sector for the same period, Kotak said. FIEM’s push to increase vehicle content, particularly with rising LED adoption in the automotive sector, is set to drive earnings and revenue growth. It has established partnerships with major players like Honda, TVS Motors, Yamaha, and Suzuki to solidify market position. At 1:16 pm, FIEM Industries shares were trading 5.5 percent higher at Rs 1,616.50 on the National Stock Exchange (NSE). The stock has gained around 57 percent so far this year, outperforming Nifty's returns of 16 percent. In the past 1 month, the counter has risen 25 percent. In comparison, Nifty rose 5 percent during this period.

2024-09-03 16:57

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/adani-green-energy-stock-dips-despite-444-mn-jv-with-totalenergies-12812901.html

Adani Green Energy stock dips despite $444 mn JV with TotalEnergies

In the past 12 months, Adani Green Energy stock has risen 100 percent, doubling investors' capital. In comparison, Nifty rose 29 percent during this period..Related stories.

Shares of Adani Green Energy fell over 1.5 percent on September 2 amid weak markets. This is despite the company announcing that it has signed a binding agreement for a JV with TotalEnergies Renewables Singapore, involving an investment of $444 million into a new entity. This comes after the company and the French oil major had inked a $300 million deal to build renewable capacity in India, where the bulk of energy requirements are still met by coal. The joint venture will house a 1,150 MWac (Mega-Watt Alternating Current) solar power portfolio in a mix of operational and under execution assets, with a blend of both merchant-based as well as PPA-based projects.Adani Greenand TotalEnergies will each own 50 percent stake in the resultant entity, Adani Green Energy said in a release. Follow our market blog to catch all the live action The transaction details are under discussion and subject to customary approvals and conditions, the company added. TotalEnergies, through its affiliate entities, holds a nearly 20 percent stake in Adani Green. For the quarter ended June, Adani Green Energy reported 95 percent jump in consolidated net profit at Rs 629 crore, compared to a net profit of Rs 323 crore in the year-ago period. Jefferies recently initiated coverage on the Adani Group firm with a 'Buy' rating, saying strong industry tailwinds are poised to boost the outlook for the green energy player. At 9:59 am, Adani Green Energy shares were trading 1.3 percent lower at Rs 1,920.10 on the National Stock Exchange (NSE). The stock has gained around 20 percent so far this year, outperforming Nifty's returns of 16 percent. In the past 12 months, the counter has risen 100 percent, doubling investors' capital. In comparison, Nifty rose 29 percent during this period.

2024-09-03 10:06

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/matrimony-com-shares-soar-13-5-on-plans-to-mull-buyback-on-september-5-12812880.html

Matrimony.com shares soar 13.5% on plans to mull buyback

The plans for a buyback also tipped off a spike in volumes in the counter as six lakh shares changed hands on the exchanges so far..Related stories.

Matrimony.com shares surged 13.5 percent in early trade and hit a 52-week high of Rs 846.95 after the company announced plans to consider a buyback proposal. The company stated that its board will approve the buyback plan at its upcoming meeting on September 5. Buoyed by this, at 09.35 am, shares ofMatrimony.comwere trading at Rs 813.65, though sharply off its 52-week highs but still up over 9 percent on the NSE. The plans for a buyback also tipped off a spike in volumes in the counter as six lakh shares changed hands on the exchanges so far, sharply higher than the one-month daily traded average of one lakh shares. Catch all the market action on our LIVE blog If approved, this will mark the second buyback by Matrimony.com. The company previously executed a buyback of equity shares back in July 2022. Then, the company had approved a buyback plan with a final price of Rs 1,150 per share and a total offer size of Rs 75 crore. The company aimed to repurchase up to 6.52 lakh equity shares, which represent 2.85 percent of the company’s total paid-up equity share capital. A buyback of shares is when a company purchases its own outstanding shares from the market using its accumulated profits or reserves. This process reduces the number of shares outstanding in the open market and also acts as a tool to return cash to investors.

2024-09-03 11:00

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/jhunjhunwala-stock-geojit-financial-zooms-14-to-fresh-record-high-on-heavy-volumes-12813437.html

This Jhunjhunwala stock soared 14% to fresh record high on heavy volumes

Geojit Financial Services Ltd.Related stories.

Geojit Financial Services'shares soared 14 percent to a record high of Rs 155.73 apiece on September 3, driven by heavy trading volumes. This marks the third consecutive session of gains, with the Jhunjhunwala portfolio stock having surged 20 percent over this period. As of the end of the June 2024 quarter, investor Rekha Jhunjhunwala held 7.2 percent stake in Geojit Financial Services, equivalent to 17.21 million shares, according to the company's shareholding pattern data. Other significant shareholders include BNP Paribas, C.J. George, Founder and Managing Director of Geojit, and the Kerala State Industrial Development Corporation (KSIDC). Follow our live blog for all the market action Geojit Financial is engaged in the business of retail and institutional broking and distribution of financial products. The company's board recently approved a proposal to raise an amount aggregating up to Rs 200 crore by way of issue of equity shares on rights issue basis to the eligible equity shareholders of the company. The record date for the fundraise will be disclosed later, the company said in an exchange filing. At 2:29 pm on September 3, Geojit Financial's shares were trading 12.8 percent higher at Rs 153.39 on the National Stock Exchange (NSE). The stock has gained around 92 percent so far this year, outperforming Nifty's returns of 16 percent. In the past 12 months, the counter has risen 165 percent, more than doubling investors' capital. In comparison, Nifty rose 29 percent during this period. Geojit Financial reported a 107 percent year-on-year increase in net profit at Rs 45.81 crore for Q1FY25. Its consolidated revenue also grew 56 percent YoY to Rs 181.18 crore. The company attributed its growth to a hybrid model and a comprehensive offline platform across tier II and III cities, enhancing convenience and accessibility for its clients.

2024-09-03 14:47

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/baazar-style-retail-ipo-gmp-today-price-issue-subscribed-8x-on-day-3-so-far-check-allotment-listing-date-and-other-key-details-12813068.html

Baazar Style Retail IPO GMP today: Issue subscribed 40.66x on Day 3; check allotment, listing date and other key details

Baazar Style Retail IPO gets 8.25 times subscription on Day 3 of offer..Related stories.

The maiden share sale of Rekha Jhunjhunwala-backed value fashion retailerBaazar Style Retailreceived bids for 61.11 crore shares, higher by 40.66 times against 1.5 crore shares on offer on September 3, the final day of bidding, according to NSE data. Qualified institutional buyers were the biggest contributors, subscribing almost 81.83 times their allocated quota. Non-institutional investors, or high net-worth individuals followed with subscriptions amounting to 59.43 times the reserved portion. The retail investors portion was subscribed by 9.12 times, while the employees' portion saw a subscription of 35.36 times. The issue had received 4.64 times subscription on Monday, the day two of bidding. Under the OFS, Rekha Jhunjhunwala, Intensive Softshare Pvt Ltd and Intensive Finance Pvt Ltd, among others, will divest their part stakes. Baazar Style Retail IPO GMP today price The shares of Baazar Style Retail are trading at a premium of Rs 60 over the issue price in the unlisted market, as per multiple websites that track the grey market premium activities. The price band for Rs 835-crore IPO has been fixed at Rs 370-389 per share. Baazar Style Retail IPO allotment status will be declared by the company on Wednesday, September 4. The bidders may check their status on the official website of the registrar. The shares of the mainboard issue will be listed on September 6. The company is one of the leading players in the value retail market in West Bengal and Odisha. Additionally, its other core and focus markets include Assam, Bihar, Jharkhand, Andhra Pradesh, Tripura, Uttar Pradesh and Chhattisgarh.

2024-09-03 19:03

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/hindustan-composites-shares-surge-on-swiggy-stake-acquisition-announcement-12812934.html

Hindustan Composites shares surge on Swiggy stake acquisition announcement

The acquisition is expected to be completed on or before November 30..Related stories.

Shares ofHindustan Composites Ltdrose over 9 percent in early trade after the company announced its acquisition of a stake in Swiggy Ltd, an Indian online food ordering and delivery platform. At 10.45 am, shares of Hindustan Composites traded over 6 percent higher at Rs 618. The stock has gained 45 percent in the past six months, outperforming the Nifty 50 index which rose 12 percent during the same period. Hindustan Composites, on September 2 informed the exchanges that it has entered into a Share Purchase Agreement to acquire 1.50 lakh equity shares of Swiggy, each with a face value of Rs 1, for a total investment of Rs 5.18 crore. This investment represents a 0.01 percent stake in Swiggy on a fully diluted basis. Follow our live blog for all the market action Hindustan Composites' acquisition of Swiggy does not constitute a related party transaction. The equity shares acquired are intended to be part of Hindustan Composites' investment portfolio, aimed at achieving both short-term and long-term benefits. The acquisition is expected to be completed on or before November 30. Hindustan Composites has submitted the necessary disclosures in compliance with the SEBI regulations. Swiggy, incorporated on December 26, 2013, operates in the food delivery and quick commerce sector, providing services such as online grocery delivery and same-day package deliveries across India. For the financial year ending March 31, 2023, Swiggy reported a turnover of Rs 4,653 crore, a net loss of Rs 3,758 crore, and a net worth of Rs 9,810 crore.

2024-09-03 11:14

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/gala-precision-engineering-ipo-subscription-update-12813091.html

Gala Precision Engineering IPO update: Issue subscribed over 52x on Day 2

On August 30, the IPO had already secured Rs 50.3 crore from anchor investors..Related stories.

Precision component makerGala Precision Engineering's initial public offering (IPO)has received a robust demand from investors, entering into its second day of bidding on September 3. The IPO was subscribed 52.21 times, with investors placing bids for 11.61 crore equity shares against the total offer size of 22.2 lakh, data from exchanges showed. Non-institutional investors, or high net-worth individuals, were the biggest contributors, subscribing almost 132.93 times their allocated quota. Retail investors followed with subscriptions amounting to 44.21 times the reserved portion. The qualified institutional buyers (QIBs) portion was subscribed by 5.06 times, while the employees' portion saw a subscription of 117.89 times. Follow our live blog for the latest market updates. About The Issue Gala Precision Engineering, specializing in precision components, has come out with a public offer worth Rs 167.9 crore through the book-building route. The IPO consists of fresh issue of 26 lakh shares totalling Rs 135.3 crore and an offer for sale (OFS) of 6 lakh shares amounting to Rs 32.6 crore. The subscription window for Gala Precision Engineering IPO will close on September 4 and the allotment of shares is expected to be finalized on September 5.  The company is slated to list both the BSE and NSE on September 9. Also read:ÂHow brokerages value Reliance Industries' business segments The price band for the IPO has been set at Rs 503-529 per share. PL Capital Markets Pvt Ltd is acting as the book-running lead manager for the issue, with Link Intime India Pvt Ltd serving as the registrar. Read more:ÂAnalysts advise caution as Nifty extends record rally to 13th session On August 30, the IPO had already secured Rs 50.3 crore from anchor investors. About The Company Established in February 2009, Gala Precision Engineering manufactures disc and strip springs (DSS), coil and spiral springs (CSS), and special fastening solutions (SFS). The company’s products are utilized by Original Equipment Manufacturers (OEMs) in sectors such as electrical, off-highway equipment, infrastructure, general engineering, automotive, and railways. Gala Precision supplies to markets including Germany, Denmark, China, Italy, Brazil, the USA, Sweden, and Switzerland. For the financial year ending March 31, 2024, the company posted a 22 percent increase in revenue, reaching Rs 204 crore, though its profit after tax (PAT) declined by 8 percent to Rs 22 crore compared to the previous year.

2024-09-03 17:27

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/jsw-cements-ipo-hits-sebi-wall-over-show-cause-notice-to-promoter-jindal-family-12813520.html

JSW Cement’s IPO hits Sebi wall over show cause notice to promoter Jindal family

JSW Cement’s IPO hits Sebi wall over show cause notice to promoter Jindal family.Related stories.

JSW Cement Ltd’s Rs 4,000-crore initial public offering has hit a roadblock, as the Securities and Board of Exchange of India (SEBI) has put the approval process on hold due to an old case involving Sajjan Jindal, who controls the cement maker, and his siblings, people familiar with the development said. SEBI is examining an alleged regulatory violation involving the inter-se transfer of investments held by Hexa Securities and Finance Co., in which several Jindal family members, including JSW Group chairman Sajjan Jindal, were holding director positions, the people said, requesting anonymity. The IPO approval process of thecement-making arm of the JSW Groupmay remain on hold till a settlement application, filed by Sajjan Jindal and other members of the Jindal family in response to the show cause notice, is resolved by the regulator, people cited above added. One of the people cited above said that JSW Cement could have waited for a resolution and then filed the share sale documents with Sebi or do both in parallel, adding that the company chose to go ahead with the second option. Sebi puts share sale offer documents on hold when there are pending proceedings against the company or its promoter. Moneycontrol could not ascertain when the alleged transfer of investments occurred. The transfer came under regulatory scrutiny when Hexa Securities’ parent, Hexa Tradex Ltd (HTL), filed for voluntary delisting, and some shareholders complained to Sebi about the terms of the delisting. An email sent to the JSW group spokesperson did not elicit a response till the time of publication. SEBI did not immediately respond to an email seeking comment. According to its policy stated on its website, the regulator does not disclose reasons for delaying IPO approvals. This article will be updated if a response is received later. According to the draft offer document of JSW Cement, a show cause notice dated March 18, 2024, was issued to Hexa Tradex, a member of JSW Cement’s promoter group, and its directors as well as Sajjan Jindal, and certain other members of the Jindal family, including Prithvi Raj Jindal, Naveen Jindal and Ratan Jindal. “Such show cause notice was issued for transactions involving Hexa Tradex, including the transfer of investments held by Hexa Securities and Finance Co. Ltd (a subsidiary of Hexa Tradex) to certain Promoter Group entities, for the purpose of realignment and reorganisation within the group. One of our Promoters, Sajjan Jindal and Prithvi Raj Jindal, a member of our Promoter Group on account of being a director on the board of HTL have been named in the show cause notice for allegedly aiding and facilitating such transactions and violating, among others, the provisions of the SEBI Act, 1992, and the SEBI (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations, 2003,” the JSW Cement DRHP noted. Sajjan Jindal and certain members of the promoter group have submitted their replies dated June 24 to SEBI, contesting the show cause notice, and they have also filed settlement applications dated May 16 to bring an “expeditious closure” to the matter. “While the matter is currently pending with SEBI, any unfavourable outcome could adversely impact our reputation or ability to undertake capital market transactions,” the DRHP noted. Additionally, a show cause notice dated October 17, 2023 was issued to Hexa Tradex and other JSW Cement promoter group entities for violating delisting regulations. “The Promoter Group Entities had made an initial public announcement for voluntary delisting of equity shares of HTL. The show cause notice alleged inter alia that HTL passed an incorrect board resolution and the Promoter Group Entities had made incorrect disclosure in the detailed public announcement, by failing to disclose the details of a proceeding initiated by SEBI against HTL and some of its promoters, for inadvertent classification of a promoter entity of HTL as a public shareholder in the past. In a June 18 order, SEBI imposed a penalty of Rs 5 lakh each on Hexa Tradex and other promoter group entities. “HTL and the Promoter Group Entities have paid the penalty and are in the process of filing appeal(s) against the Order before Securities Appellate Tribunal,” the DRHP noted.

2024-09-03 15:43

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/why-is-sebi-facing-flak-over-icici-bank-icici-securities-merger-case-explained-12813136.html

Why is SEBI facing flak over ICICI Bank-ICICI Securities merger case? | Explained

SEBI gave an exemption to ICICI Bank to bypass its own price discovery rule back..Related stories.

The controversy surrounding ICICI Bank and the Securities and Exchange Board of India (SEBI) chairperson Madhabi Puri Buch is not limited only to the allegations related to payouts even though the bank has issued a clarification. There is another matter in which the regulatory watchdog and the bank are connected and, interestingly, it has also seen its fair share of controversy with SEBI’s action being questioned in the courts as well. The matter is related to the merger of ICICI Securities – which she headed for two years – with ICICI Bank and SEBI giving a controversial exemption to ease the merger process for the bank where she has worked for more than a decade. So, what’s the big deal about ICICI Bank's plans to merge with its affiliate ICICI Securities, and why is SEBI receiving flak for it? We break it down for you in this edition of MC Explains: What's the fuss about ICICI Bank and ICICI Securities merger? ICICI Bank, which owns around 75 percent of ICICI Securities, announced plans to acquire the remaining ownership in the brokerage in June last year, offering 67 shares of the bank for every 100 shares of the affiliate. Typically, when a listed company is bought out and subsequently delisted from stock exchanges, the regulator’s guidelines require a bidding process to determine the fair price. However, there is one exemption, specified in the market regulator's 2021 rules, which ICICI Bank chose to use for its transaction – it sought SEBI’s approval and the watchdog gave it.Interestingly, this exemption allows companies to bypass the price discovery process but can be used only if the target company is a subsidiary of the acquirer but, more importantly, both entities should operate in the same line of business. In such cases, shareholders of both companies are informed of the share swap ratio and asked to vote on the proposal instead of going through the lengthy bidding process. But are ICICI Bank and ICICI Securities in the same line of business? ICICI Bank is a lender, while ICICI Securities is a brokerage firm, which clearly means they operate in different lines of business. Despite this, ICICI Bank requested an exemption from the market regulator, which it received last June, allowing it to conduct a vote for the merger. SEBI's approval for an exemption was the first red flag raised by minority shareholders, who questioned the decision to bypass the price discovery process, arguing it contradicted the market regulator's own guidelines. Additionally, SEBI chief’s previous connection with ICICI Securities – she has served as the chief executive of the brokerage firm before joining SEBI -- came under scrutiny. To be fair, Buch recused herself from any proceedings involving ICICI Bank to avoid any conflict of interest scenario. However, questions have still been raised about the validity of the exemption and those remain unanswered till date. Why was there further controversy around the vote for the merger? The tale doesn't end here. While minority investors were already irked with SEBI giving its approval for the exemption that, in turn, helped the bank bypass the price process discovery for shareholders of ICICI Securities, more concerns were raised over how the merger vote was handled. Althoughthe merger was approved in March this yearwith 72 percent of shareholders voting in favour, the process faced criticism due to ICICI Securities sharing the personal data of its minority investors with ICICI Bank. Thereafter, bank employees reached out to these investors, claiming the purpose was to explain the transaction andencourage participation in e-voting. How did SEBI tackle the concerns? SEBI deemed this data sharing “inappropriate,” pointing out that the bank had a“clear conflict of interest” given its stake in the outcome.But, it merely issued an administrative warning to both the acquirer and the target. Not surprising, minority shareholders considered the market regulator's response to the privacy breach as 'lenient'. What happened next? An unprecedented event in the Indian equity market followed: over 100 public, non-institutional investors of ICICI Securities joined hands to file a class-action lawsuit challenging the merger. Led by Bengaluru-based fund manager Manu Rishi Guptha, the contingent of shareholders contended that an unfair swap ratio had cost their group of investors over $200 million. In the midst of a booming bull market, Guptha claimed that the bank was taking advantage of the brokerage’s Rs 11,600 crore ($1.4 billion) reserve of cash and short-term investments at a bargain, at the cost of minority shareholders. In their defence, both ICICI Securities and ICICI Bank clarified that the merger terms were determined by independent valuation experts, and the pricing was deemed fair by several proxy advisory firms as well. Did it manage to assuage the concerns of the minority shareholders? Embroiled in a legal battle, the merger of ICICI Bank and ICICI Securities has become a daily soap for investors. This has sparked high volatility in shares of ICICI Securities, which have seen erratic movements in recent months as investors bet on varying outcomes of the case.But more importantly, the entire fiasco has cast doubts on the market regulator's fair treatment of M&As within the securities market. Adding fuel to the fire, concerns have been raised over Buch's prior association with the firm. On Monday, a Congress spokesperson alleged that Buch received an income of Rs 16.80 crore from ICICI Bank between 2017 and 2024, even after she assumed the role of a whole-time member of the market regulator in 2017, further complicating the situation. The situation grows even murkier when considering the still-unanswered questions about why the market regulator allegedly went against its own rules to give an exemption to ICICI Bank, worsening the matter. To clear things up, the Bombay High Court directed SEBI to share its June 2023 approval letter with the advocate of Aruna Modi, a shareholder of the brokerage firm who has contested the exemption. However, the letter's contents will remain confidential until the court decides otherwise. Regardless, it will serve a key purpose: creating a framework for similar transactions in the future. Can any large company secure a regulatory waiver to absorb its listed subsidiary? What would define “similar line of businesses”? That is an important question that currently looms large, awaiting resolution.

2024-09-03 14:49

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/quess-corp-demerger-update-manpower-addition-12813253.html

Quess Corp snaps four-day fall to hit 52-week high on demerger update, staff addition

Quess Corp Ltd.Related stories.

Shares of staffing companyÂQuess Corphave snapped a four-day losing streak to rise nearly 7 percent and test the 52-week high of Rs 824 on September 3, on the back of higher manpower addition and the likelihood of completion of demerger by this fiscal. At 1:25 pm, Quess Corp shares were trading 6 percent higher at Rs 818. Over the past six months, the company's shares have gained 61 percent, significantly outperforming Nifty 50, which has gained 12 percent in the same period. Kamal Pal Hoda, Group CFO of Quess Corp had recently mentioned onCNBC-TV18that the company expects the demerger to be completed by the end of this financial year, with the three separate entities likely to be listed by Q1FY26. In February 2024, the company had announced plans to demerge into three separate entities. Both NSE and BSE have issued a no adverse observation or no objection certificate for the demerger plan. Following this approval, Quess Corp has applied to the NCLT. Follow our live blog for all the market action Quess Corp also said that its headcount has surpassed six lakhs, placing it among the global league of staffing companies. "This puts us on to a global map in terms of the large employers globally. And of course, in India, we continue to lead by far," Quess Corp's management toldET Nowin a recent interview. Â"We have been adding anywhere between 60,000-70,000 headcount net adds per year. We are happy to be where we are, and look to take this forward at an aggressive growth rate." In Q1FY25, Quess Corp's consolidated net profit jumped 14 percent on quarter to Rs 111.7 crore and revenue from operations increased 8.8 percent QoQ to Rs 5,003 crore. On a YoY basis, the company's consolidated net profit and revenue jumped 132 percent and 9 percent respectively.

2024-09-03 14:12

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/rallis-india-stock-slips-as-hsbc-issues-reduce-rating-due-to-industry-headwinds-12812896.html

Rallis India stock slips as HSBC issues reduce rating due to industry headwinds

Elara Capital remains optimistic on Rallis India stock with a target price of Rs 380, highlighting potential growth if new management meets expectations..Related stories.

Rallis India shares fell on September 3 as HSBC issued a "Reduce" call on the stock with a target price of Rs 251 per share. The bearish call on the chemical, crop care & seed company's stock is due to industry headwinds that could impact its performance. Rallis Indiais focused on adjusting its business model to leverage its strengths and execute a well-planned strategy to enhance its competitive position, HSBC noted. The company aims to double its share in the domestic crop protection (CP) market and plans to focus on increasing revenue over the next 4-5 years. However, it is becoming more selective regarding its export activities, the brokerage said. Follow our market blog to catch all the live action Elara Capital, however, has a more optimistic view of Rallis India, acknowledging the company's history of promising turnarounds that have sometimes fallen short despite strong intentions. Monitoring the execution of current guidance and its impact will be crucial, the brokerage said. If the new management delivers on its promises, a significant stock price re-rating is expected. Elara forecasts a compound annual growth rate (CAGR) of 12.5 percent for the topline, 24 percent for EBITDA, and 34 percent for profit after tax (PAT) through FY24-26. The firm maintains an "Accumulate" rating with a target price of Rs 380, based on a 28x FY26E EPS of Rs 13.7. At 9:39 am, Rallis India shares were in the red at Rs 341.75 on the National Stock Exchange (NSE), down 1.6 percent from the previous close. The stock has gained nearly 36 percent so far this year. In the past 12 months, the stock has rallied 46 percent. In comparison, benchmark Nifty rallied 30 percent during this period.

2024-09-03 09:49

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/rils-sotp-valuation-how-brokerages-value-reliance-industries-business-segments-12812131.html

How brokerages value Reliance Industries' business segments

Brokerages believe that Reliance Industries' peak capex/net-debt is behind it..Related stories.

Reliance Industries Ltd has unveiled an ambitious roadmap to double its earnings by 2030, driven by expansion in its core oil-to-chemicals business, an aggressive push into digital and retail segments, and a renewed focus on new energy ventures. After evaluating the plans outlined at RIL’s 47th annual general meeting, brokerages have maintained a positive outlook on India’s largest conglomerate, assigning new valuations to each segment. Here’s how they determined their target prices. Motilal Oswal Reliance Retail has been valued at Rs 1,797 per share by Motilal Oswal. Since Reliance Industries holds 87.9 percent of Reliance retail, its value in RIL's share price comes to Rs 1,579 per share. "Our premium valuation multiples capture the opportunity for a rapid expansion in its retail business and the aggressive rollout of digital platforms," said the brokerage. After factoring in the various stake sales in Reliance Jio, Motilal Oswal arrived at a price of Rs 940 per share for Jio. The higher multiple captures Reliance Jio's market leadership and market share gains, growth in the wireline (JioFiber and JioAirFiber) business, and its recently announced AI-based opportunities. These valuations combined led to a total target price of Rs 3,669 per share. However, the brokerage valued Reliance Industries' debt, which is largely capex-driven, at Rs 234 per share. When this is removed from the base target price, Motilal Oswal is left with a final fair value target of Rs 3,435 per share. Kotak Institutional Equities Kotak Institutional Equities gave the energy arm a valuation of Rs 920 per share, of which, New Energy contributes Rs 103. The brokerage has given Reliance Industries' Disney-Viacom JV a valuation of around Rs 50/51 per share. Overall, Kotak Institutional Equities sees Reliance Industries' fair value rating at Rs 3,200 per share. "We are optimistic on the earnings outlook and estimate ~13 percent earnings CAGR over FY24-27," it said. JM Financial JM Financial has valued Reliance Industries' digital business, including its telecom arm, at Rs 1,249 per share, with Jio contributing Rs 1,107 of that value. The brokerage assessed RIL's New Energy arm at Rs 1.12 lakh crore, which is 1.5 times the announced capital expenditure of Rs 75,000 crore, translating to Rs 166 per share. "We believe Reliance Industries' peak capex/net-debt is behind it, and also because the company has industry-leading capabilities across businesses to drive robust 16-17 percent EPS CAGR over the next 3-5 years," said the brokerage. Emkay Global According to Emkay Global, after adjusting for net debt, the equity value per share is Rs 3,335. The organized retail segment contributes the highest value per share at Rs 1,302, followed by the telecom segment or Reliance Jio at Rs 1,004. Based on its sum of the parts (SoTP) analysis, Emkay sees RIL's price-to earnings (PE) ratio at 24.8x by September 2026. "We retain our estimates and target price, though there is upside risk to the tune of 15-20 percent in valuation, based on the AGM commentary if execution is flawless, and timelines are met," wrote Emkay Global.

2024-09-03 11:04

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/mid-day-mood-sensex-nifty-mildly-lower-ahead-of-us-economic-data-broader-markets-outperform-benchmarks-12813057.html

Mid-day Mood | Sensex, Nifty mildly lower ahead of US economic data; broader markets outperform benchmarks

The broader market outperformed the benchmark indices. While BSE Midcap gained 0.3 percent, BSE Smallcap was up 0.6 percent..Related stories.

The Sensex and Nifty experienced volatile trading in negative territory on September 3, weighed down by losses in the banking and IT sectors. This decline comes after both benchmarks had recorded gains for the past 10 sessions. All eyes are now on US economic data, including US ISM manufacturing survey due later on September 3 and particularly jobs data on September 6, which could provide cues on the extent of Federal Reserve rate cuts. At 11.30 am, the Sensex was down 96 points or 0.1 percent at 82,463 and the Nifty 50 was down 23 points at 25,255. About 1,801 shares advanced, 1,461 shares declined, and 90 shares were unchanged. "The Nifty is expected to consolidate around current levels, with the potential for limited upside due to aggressive call writing across multiple strike prices. On the downside, the 25,200 level is anticipated to provide key support," said Shrey Jain, Founder and CEO of SAS Online. Jain advised investors to exercise caution in stock selection and maintain light carry-forward positions to navigate current uncertainties. Follow our live blog for all the market action The broader market outperformed the benchmark indices. While BSE Midcap gained 0.3 percent, BSE Smallcap was up 0.6 percent. Analysts said that the focus will now be on global market trends amid a lack of any major domestic triggers. Sectoral Trend Nine of 13 major sectoral indices were in the red. Nifty Media and Nifty Metal fell the most while Nifty Pharma and Nifty Healthcare gained 0.5 percent each. Fundamental View V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said that there are two distinct trends that are being observed in the secondary and primary markets. He said that in the secondary market, high-quality stocks such as Bajaj Finance, ITC, Bajaj Auto and Maruti Suzuki are being accumulated. "At the same time there is froth in segments of mid and small caps where valuations are hard to justify," he said. The other trend pointed out by Vijaykumar was the irrational moves in the SME IPO market where many SMEs of doubtful credentials are getting their IPOs oversubscribed many times and the stocks on listing are manipulated and driven to upper circuits for days. "This will end in tears for the newbies who have no understanding of market fundamentals," he said. Also Read |ÂHow brokerages value Reliance Industries' business segments Technical View Hardik Matalia, Derivative Analyst at Choice Broking expects Nifty 50 to find support at 25,200 followed by 24,150 and 25,050. "On the higher side, 25,350 can be an immediate resistance, followed by 25,450 and 25,500," he said. Key Nifty gainers Hero MotoCorp, Nestle, HUL, Sun Pharma, Wipro Key Nifty losers Bajaj Finance, BPCL, JSW Steel, Britannia, Axis Bank Key Sensex gainers Nestle, HUL, Wipro, Sun Pharma, ITC Key Sensex losers Bajaj Finance, JSW Steel, Axis Bank, Bharti Airtel, Bajaj Finserv Stock moves Rallis India: Shares fell nearly two percent as HSBC issued a "Reduce" call on the stock with a target price of Rs 251 per share. The bearish call on the chemical, crop care & seed company's stock is due to industry headwinds that could impact its performance. Kaynes Technology : Shares surged over eight percent in early trade after the Central government approved a chip proposal by the firm under the semiconductor scheme.

2024-09-03 12:16

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/mazagon-dock-grse-shipyard-defense-order-buzz-12813053.html

Mazagon Dock, GRSE, others rally on hopes of DAC's nod for new naval warships

Defence Acquisitions Council (DAC), led by the Defence Minister, is expected to approve defense deals worth Rs 1.3 lakh crore..Related stories.

Shares of major shipyard companies like Mazagon Dock and Cochin Shipyard are higher by up to 6 percent on September 3, in anticipation of an announcement of sizeable naval defence orders. CNBC-Awaaz reported citing sources that the Defence Acquisition Council (DAC) - the apex body on defence-related procurements - is expected to approve deals worth Rs 1.3 lakh crore, including orders for seven naval warships. The order for new warships is expected to be to the tune of Rs 70,000 crore, sources told the TV channel. This anticipated approval is generating optimism in shares of defence-related companies, as it signals increased government spending and further strategic investment, which are likely to benefit major players in the shipbuilding sector. The increase in shipping stocks reflects a broader surge in interest for defence stocks, fueled by Hindustan Aeronautics (HAL) securing a Rs 26,000 crore order. Follow our market blog to catch all the live action At 11:23 am,Cochin Shipyardshares were trading 3.84 percent higher at Rs 1,922.40 on National Stock Exchange (NSE).Mazagon Dockwas up 7 percent, Garden Reach Shipbuilders & Engineers (GRSE) was trading 6 percent higher. Shipping Corporation of India was also trading higher. It is worth mentioning that in the coming three months the capability of Indian armed forces, particularly the Indian Navy will get a big boost as the deal indigenous construction of three additional Kalvari class submarines will be approved by the end of the year. Even though the Indian Navy was expected to be a 200 warship force by 2027 as per long-term prospective plans, there is a time lag on the count of resources and procedures. Given the deteriorating strategic environment in the Indo-Pacific, the Indian Navy is likely to approach DAC soon to build 10-12000-ton destroyers of advanced Project 15 class equipped with anti-ballistic missile systems and drone launch capability.

2024-09-03 11:28

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https://www.moneycontrol.com/news/business/markets/technical-view-nifty-needs-to-sustain-above-25300-in-order-to-extend-the-record-rally-12812555.html

Technical View: Nifty needs to sustain above 25,300 in order to extend the record rally

Nifty Uptrend.Related stories.

Bulls maintained their hold over the market for the 13th consecutive session, with the Nifty 50 sustaining its record high streak for four days in a row on September 2. The index continued the formation of higher highs for the sixth straight day, maintaining a positive bias in the momentum indicators RSI and MACD. Thus, if the index manages to close and sustain above 25,300, then 25,500 cannot be ruled out in the coming sessions, while support lies at 25,000, according to experts. The Nifty 50 opened at a fresh record high of 25,333.60 and remained higher throughout the session amid rangebound trading. The index rose by 43 points to end at a new closing high of 25,279, forming a bearish candlestick pattern on the daily charts as the closing was below the opening levels. "The Nifty failed to surpass the opening high after a positive start. Heavy Call writing was observed at the 25,300 strike, and overall, Call writers significantly outnumbered Put writers throughout the day," Rupak De, Senior Technical Analyst at LKP Securities, said. In the near term, according to him, the trend might remain sideways to negative as long as it stays below 25,300. On the lower end, however, the correction may be limited to 25,000, where significant Put writing has been observed, he added. On the Call side, the maximum open interest was observed at the 26,000 strike, followed by the 25,300 and 25,700 strikes, with maximum writing at the 25,300 strike, and then the 25,500 and 25,400 strikes. On the Put side, the 25,000 strike holds the maximum open interest, followed by the 24,000 and 24,500 strikes, with maximum writing at the 24,500 strike, and then the 25,300 and 24,000 strikes. The above weekly options data indicated that 25,300 is likely to be a hurdle for further upward movement towards the 25,400-25,500 zone, with 25,000 as support. Bank Nifty The Bank Nifty fared slightly better than the benchmark Nifty 50, rising by 89 points to 51,440 after a consolidative session. The index formed a bearish candlestick pattern on the daily charts as it failed to surpass its opening high, but buying was visible at lower levels. The index remained consolidative in a narrow range of 200 points for most of the session. Now, it needs to continue holding above the 51,250 zone for an up move towards 51,750 and then 52,000 levels, while on the downside, support is seen at 51,250 and then 51,000 zones, according to Chandan Taparia, Senior Vice President and Analyst-Derivatives at Motilal Oswal Financial Services. Volatility spiked after a couple of days of decline, but as long as it stays below the 15 mark, bulls may remain in a comfort zone. The India VIX rose by 4.98 percent to 14.06, up from 13.39 levels.

2024-09-02 16:41

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https://www.moneycontrol.com/news/business/markets/diis-net-buy-shares-worth-rs-356-crore-fiis-net-buy-shares-worth-rs-1735-crore-12812602.html

DIIs net buy shares worth Rs 356 crore, FIIs net buy shares worth Rs 1735 crore

At close, the Sensex was up 194.07 points or 0.24 percent at 82,559.84, and the Nifty was up 42.80 points or 0.17 percent at 25,278.70..Related stories.

Domestic institutional investors (DII) net bought shares worth Rs 356 crore while Foreign investors (FII) were net buyers of shares worth Rs 1735 crore, provisional data from NSE showed on September 2. DIIs bought Rs 12,539 crore worth of shares and sold shares worth Rs 12,182 crore. Meanwhile, FIIs purchased Rs 13,773 crore in shares and offloaded equities worth Rs 12,037 crore during the trading session. In the year so far, FIIs have net sold shares worth Rs 1.38 lakh crore, while DIIs have bought shares worth Rs 3.09 lakh crore. Market view At close, the Sensex was up 194.07 points or 0.24 percent at 82,559.84, and the Nifty was up 42.80 points or 0.17 percent at 25,278.70. Bajaj Finserv, Bajaj Finance, HCL Technologies, Bajaj Auto, and Hero MotoCorp were among the top gainers on the Nifty, while losers were Grasim Industries, Kotak Mahindra Bank, Adani Enterprises, Coal India, and Nestle India. Except bank, FMCG and IT, all other sectoral indices ended in the red. Deepak Jasani, Head of Research at HDFC Securities, said, "Asian shares were mixed in cautious trading on Monday after Chinese factory activity contracted for a fourth straight month and a residential property slump worsened in the world’s second-biggest economy. European stocks retreated from a record high as sentiment was hit by disappointing regional activity data as well as renewed political uncertainty in Germany." The seasonally adjusted HSBC India Manufacturing PMI, he added, stood at 57.5 in August, below July's reading of 58.1, but above its long-run average of 54.0, signalling a substantial improvement in operating conditions.

2024-09-02 20:16

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https://www.moneycontrol.com/news/business/markets/vijay-kedia-do-not-be-adventurous-there-is-euphoria-12812622.html

Don't be adventurous, there is euphoria in this market: Vijay Kedia

There is froth in SME space, and it can get a bit tricky for a new investors to navigate: Vijay Kedia.Related stories.

Veteran market investor Vijay Kedia is finding the SME space frothy, and has said that he is not ready to invest in such a market for IPOs or pre-IPOs, preferring the comfort of his earlier investments. "In this kind of market, I will not invest. I am just sticking to my old investments, and I am comfortable. When there is a typhoon, the best thing would be to stay calm," Kedia told CNBC-TV18 during a conversation on September 2, referring to the frenzy in the unlisted or SME space and the pre-IPO placement. "This is clear euphoria, and I would like to stay away," he added, in response to a question regarding the unlisted space and the rush for public issues. Also Read:ÂSEBI probes into insider trading, front running matters jump in FY24 Kedia said that a market correction has been on the horizon, but the flow of money has not been allowing any meaningful pullback. "A market correction has been coming in the market, but it appears that this liquidity will not allow the market to collapse, on the whole. So, may be sectors in the market will rise on rotation, which could continue as long as the US market is holding the fort," said Vijay Kedia. Also Read:ÂWhat is Sebi's latest move to curb IPO price manipulation? Kedia added that the market is in the midst of significant froth right now. "I would not say that the entire market is either expensive or cheap, but you will find froth in 9 out of 10 spaces. So, I am sitting tight, holding on to my investments. Don't be adventurous in this market." Back in March 2024, the capital regulator too had noticed stock-price manipulation in the SME segment - in IPOs as well as listed space — and hadintroduced measures to curb it. Vijay Kedia echoed the concerns, and said he too sees froth, and that the space is getting trickier for a new investor to navigate. "I feel there is froth in SME space, and it can get a bit tricky for a new investors to identify the space." Referring to instances when SME issues got many-fold bids for shares on offer, Kedia feared some of these may have been 'pre-structured' IPOs, without taking any names. "It did not happen on its own, to an extent it is pre-decided, I am 100% sure."

2024-09-02 18:23

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https://www.moneycontrol.com/news/business/markets/block-deals-copthall-mauritius-investment-sells-0-01-stake-in-hdfc-bank-12812686.html

Block deals: Copthall Mauritius Investment sells 0.01% stake in HDFC Bank

representative image.Related stories.

On September 2, 70.7 lakh shares were traded via block deals on both exchanges. HDFC Bank Copthall Mauritius Investment Limited sold 1,020,085 shares (0.01 percent) of HDFC Bank Ltd. At Rs 1,636.9 per share. Buyers included The Bureau of Labor Funds - Labor Pension Fund (68,547 shares), State Street Global Advisors Luxembourg SICAV Strategic Global Emerging Markets Indian Equity Fund (28,000 shares), the MTBJ Ltd. (8.46 lakh shares), The Hospital Authority Provident Fund Scheme (10,550 shares) amongst others. Shares of HDFC Bank closed 0.67 percent lower at Rs 1,626.00. Trent Siddhartha Yog purchased 10.09 lakh shares of Trent (0.28 percent) at a price of Rs 7115 per share, while Dodona Holdings Limited were sellers. The stock closed 0.10 percent lower at Rs 7,151.95. Mangalam Organics Kamalkumar Ramgopal Dujodwala bought 3.2 lakh at Rs 557 per share, whereas Devita Rajkumar Saraf was the seller. The stock closed 0.19 percent lower at Rs 545. Shanti Educational Initiatives Albula Investment Fund Ltd purchased 47.2 lakh shares (2.93 percent) at a price of Rs 122.85 per share, while LTS Investment Fund Ltd was the seller. The stock closed 0.10 percent higher at Rs123.25

2024-09-02 20:36

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https://www.moneycontrol.com/news/business/markets/adani-green-energy-totalenergies-jv-12812637.html

Adani Green plans new JV with TotalEnergies involving $444 million investment

The joint venture will house a 1,150 MWac (Mega-Watt Alternating Current) solar power portfolio in a mix of operational and under execution assets, which will have a blend of both merchant-based as well as PPA based projects..Related stories.

Adani Green Energy has signed a binding agreement for a JV with TotalEnergies Renewables Singapore, involving an investment of $444 million into a new entity, an exchange filing on September 2 said. The joint venture will house a 1,150 MWac (Mega-Watt Alternating Current) solar power portfolio in a mix of operational and under execution assets, with a blend of both merchant-based as well as PPA-based projects, the company said. "Both, the Company and TotalEnergies will hold 50:50% of the paid-up equity share capital of the new Joint Venture Company i.e. ARE64L," Adani Green Energy said in the press statement. "The transaction details are under discussion and subject to customary approvals and conditions." Adani Greensays that its capacity to generate renewable energy has seen robust growth so far, but much more is needed to match the demand growth. The company recently laid out a target of 35 GW for solar capacity addition, and wind capacity addition of 9 GW per annum, to reach 2030 forecasts. India has been aiming to reach 500 GW in non-fossil power capacity, by the year 2030. Read More:ÂAdani Group increases stakes in Adani Enterprises, Adani Green TotalEnergies, through its affiliate entities, holds ~19.75% shareholding in Adani Green. Adani Green Energy (AGEL)reported 95 percent jump in consolidated net profitat Rs 629 crore for the June quarter, compared to a net profit of Rs 323 crore in the year-ago period. Jefferies recently initiated coverage on Adani Green with a Buy rating, saying strong industry tailwinds are poised toboost the outlookfor the green energy player. Earlier this year, Adani Green Energy toldMoneycontrol that itplans to invest Rs 1.5 lakh croreto boost capacity to 30 gigawatts (GW) at its Khavda renewable energy project site in Kutch, Gujarat, over the next five years.

2024-09-02 18:58

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https://www.moneycontrol.com/news/business/markets/bessemer-india-likely-to-sell-medi-assist-shares-worth-up-to-rs-540-cr-via-block-deal-cnbc-awaaz-12812644.html

Bessemer India likely to sell Medi Assist shares worth up to Rs 540 cr via block deal: CNBC-Awaaz

Bessemer India likely to sell Medi Assist shares worth up to Rs 540 cr via block deal: CNBC-Awaaz.

Promoter Bessemer India Capital Holdings II Ltd is likely to sellMedi Assist Healthcare Services'shares worth Rs 540 crore through block deal, CNBC-Awaaz reported on September 2 citing sources. The shares are likely to be sold at Rs 570 apiece, which implies nearly 7 percent discount to current market price. On September 2, Medi Assist's shares on NSE closed trading 3.6 percent higher at Rs 611.4 apiece. As of June 30, 2024, Bessemer India had 29.22 percent stake in the company, showed exchange data. Up to 94 lakh shares might be sold through the block deal, the channel reported, which represents 13.5 percent of the total shares outstanding (TSO). The Bengaluru-based company is promoted by Dr Vikram Jit Singh Chhatwal, Medimatter Health Management, and Bessemer Health Capital LLC. Medi Assist Healthcare Services, which got listed earlier this year, provides third-party administration (TPA) services to insurance companies through its three wholly owned subsidiaries, Medi Assist TPA, Medvantage TPA and Raksha TPA.

2024-09-02 18:53

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https://www.moneycontrol.com/news/business/markets/psu-defence-stocks-mazagon-dock-cochin-shipyard-drop-nearly-30-in-30-days-amid-profit-booking-12812406.html

PSU defence stocks Mazagon Dock, Cochin Shipyard fall nearly 30% in 1 month amid profit booking; how should you trade?

Many PSU defence stocks are witnessing profit taking..Related stories.

Shares of defence companies have witnessed mega rally amid government's focus on self-reliance (Atmanirbhar Bharat) in the defence sector. Import curbs, push for defence exports and increasing FDI in the sector further drove the sector's meteoric rise. However, of late, many PSU defence stocks have witnessed profit taking. PSU defence stockCochin Shipyardshare price has declined 26.80 percent in the last 1 month. In Monday's trade, it declined over 1.62 percent to quote at Rs 1,856 per share on the NSE. It dropped 13.81 in just two weeks alone. Cochin Shipyard's stock has been losing for the four days and has fallen 10.32 percent in the period. Mazagon Dock Shipbuilderswas no different to the larger profit booking in the pack with stock slipping 17.52 percent in the last one month over profit booking by the investors. It dropped 11.01 percent in the last two weeks. Another PSU defence stockBharat Dynamicsalso joined the pack to extend losses of over eight percent in the last one month. The shares of Mazdock and Cochin Ship among the PSU Defence basket have offered multi-bagger returns from the last year. As a result, the stocks have now succumbed to profit booking leading to a deteriorating price strength compared to the market indicating potential signs of exhaustion. What investors should do? Kushal Gandhi, Technical Analyst at StoxBox explained that the relative strength index across daily and higher timeframes has observed a negative slope indicating waning momentum. "We do not anticipate the continuance of the primary uptrend, however, a short recovery can be on the cards," he added. Shares ofPremier Explosives, which manufactures solid propellants for India's prestigious missile programmes like Akash, Astra, and LRSAM too dropped 17.15 percent in the last 30 days. In fact, not just the defence segment, larger profit taking was witnessed in the PSU sector. IREDA share price declined over 6 percent in the last one month while HUDCO declined over 10 percent in the period.

2024-09-02 17:07

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https://www.moneycontrol.com/news/business/markets/trade-spotlight-how-should-you-trade-hero-motocorp-sbi-card-ioc-kalyan-jewellers-doms-and-others-on-tuesday-12812697.html

Trade Spotlight: How should you trade Hero MotoCorp, SBI Card, IOC, Kalyan Jewellers, DOMS, and others on Tuesday?

Stock Ideas.Related stories.

The bulls seem unstoppable, driving benchmark indices to new all-time closing highs despite rangebound trading on September 2, with 1,225 shares advancing and 1,264 shares declining on the NSE. The market is likely to maintain its upward rally, albeit with consolidation and volatility in the coming sessions. Below are some trading ideas for the near term: Jay Thakkar, Vice President & Head of Derivatives and Quant Research at ICICI Securities Hero MotoCorp| CMP: Rs 5,578.2 Hero MotoCorp has broken out from a falling channel, signaling a reversal of the trend from up to down. This breakout suggests the completion of a zigzag corrective pattern. Since the previous fall was not an impulse wave, the probability of an upside is high. The momentum indicator MACD (Moving Average Convergence Divergence) has entered buy mode on the daily charts, indicating a potential reversal from down to up. From a derivatives perspective, the stock is trading well above its maximum pain and modified maximum pain levels of Rs 5,500 and Rs 5,544, respectively. The PCR (Put Call Ratio) is at 0.63, suggesting heavy call writing at higher levels, mainly at the Rs 5,600 strike. Once this resistance is cleared, it will further strengthen the upward momentum. The stock has seen significant long buildup recently and has generally witnessed long positions since the July series, indicating a bullish short- to medium-term trend. Strategy: Buy Target: Rs 5,745, Rs 5,900 Stop-Loss: Rs 5,445 SRF| CMP: Rs 2,590.3 SRF has been trending higher within an upward-sloping parallel channel. It recently broke out from a symmetrical triangular pattern, indicating continued upward movement. The MACD has provided a bullish crossover on the daily charts, and the weekly momentum is already bullish. From a derivatives perspective, the stock has seen significant short-covering; initially in August, there were heavy short positions, which have now been covered, and some long buildup is evident. A range breakout is anticipated, potentially leading to a sharp short-term upmove. Options data suggests that once the Rs 2,600 strike level is surpassed, there is no major hurdle from Call writers. Strategy: Buy Target: Rs 2,700, Rs 2,800 Stop-Loss: Rs 2,500 SBI Cards and Payment Services| CMP: Rs 744.35 SBI Card has formed a double bottom pattern on the weekly charts. After breaking out from a falling trendline, the stock entered consolidation mode before signaling a potential trend reversal from down to up. The MACD is in buy mode on both the daily and weekly charts, with significant positive divergence indicating a likely reversal. From a derivatives viewpoint, the stock is trading well above its maximum pain and modified maximum pain levels of Rs 730 and Rs 734, respectively. The PCR is 0.64, mainly due to heavy Call writing at Rs 750 and Rs 800 strikes. However, above Rs 750, there is no major resistance until Rs 800. Strategy: Buy Target: Rs 800, Rs 825 Stop-Loss: Rs 721 Anshul Jain, Head of Research at Lakshmishree Investment & Securities Radico Khaitan| CMP: Rs 2,010.5 Radico Khaitan has given a bullish breakout from a 38-week-long flat base, signaling a strong upward move. The stock surged above the crucial Rs 2,000 level with significant volume, indicating strong buying interest. During the base formation, volumes were subdued, but the breakout saw a noticeable increase in trading activity, highlighting the stock's momentum. Radico Khaitan has consistently respected its 10-week or 50-day moving average, reflecting a robust technical setup. Investors can consider buying around Rs 2,010 with a closing stop-loss below Rs 1,940, targeting an immediate upside towards Rs 2,200. The stock's technical indicators suggest further gains, making it a promising opportunity for short-term traders. Strategy: Buy Target: Rs 2,100, Rs 2,200 Stop-Loss: Rs 1,940 Indian Oil Corporation| CMP: Rs 178.73 IOC is currently displaying a bullish Cup-and-Handle pattern on its daily chart, which has been forming over the past 145 days. This well-known technical pattern often signals the potential for a strong upward breakout. While the overall volume during the pattern's formation has been low, significant up days have seen heavy trading volumes, indicating a clear accumulation phase. This suggests that institutional investors or large traders are gradually building positions in anticipation of a breakout. For traders, IOC presents a compelling opportunity. It is a preemptive buy at the current market price of Rs 179, with the option to add more on a confirmed breakout above Rs 184. The stock has the potential to rally towards Rs 220, offering a promising upside. To manage risk, a closing stop-loss should be placed below Rs 164. The combination of the Cup-and-Handle pattern with strong volume on up days highlights a favourable setup for bullish traders, making IOC a stock to watch closely in the coming days. Strategy: Buy Target: Rs 184, Rs 220 Stop-Loss: Rs 164 Aditya Birla Capital| CMP: Rs 227 Aditya Birla Capital has recently broken out of a 21-day-long Cup-and-Handle pattern on its daily chart, signaling a potential bullish move. Notably, this Cup-and-Handle formation is positioned at the right end of a double bottom pattern, providing additional strength and credibility to the breakout. Double bottom patterns are often seen as powerful reversal signals, and their confluence with the Cup-and-Handle formation suggests a robust technical setup for the stock. Investors might consider buying ABCL at the current market price of Rs 227. To manage risk, a closing stop-loss below Rs 218 is advisable. The immediate target is Rs 245, representing the neckline of the double bottom. A breakout above Rs 245 could propel the stock towards Rs 275, offering significant upside potential in the short term. The combination of these bullish patterns, supported by the recent breakout, makes ABCL an attractive opportunity for traders and investors looking to capitalize on technical strength. With a well-defined risk-reward ratio, ABCL is poised to capture attention in the market. Strategy: Buy Target: Rs 245, Rs 275 Stop-Loss: Rs 218 Pravesh Gour, Senior Technical Analyst at Swastika Investmart Kalyan Jewellers India| CMP: Rs 640 Kalyan Jewellers is in a classical uptrend and has witnessed a breakout of an ascending triangle formation, resuming its uptrend. The breakout coincides with rising volume, and the stock has managed to sustain above the breakout level. It is trading above its key moving averages with positive momentum indicators. On the downside, Rs 590 will act as strong support, while on the upside, Rs 700 is a psychological hurdle. Above this level, Rs 740 will be the next target in the near term. The stock is respecting its key moving averages, reflecting strong trend strength. Strategy: Buy Target: Rs 700, Rs 740 Stop-Loss: Rs 590 Piramal Pharma| CMP: Rs 195 Piramal Pharma has seen a strong multi-month breakout above Rs 182 and a breakout from a long consolidation above Rs 193.50 with strong volume. On the upside, Rs 200 acts as a psychological level; above this, we can expect a move towards Rs 220+ in the shorter to longer term. On the downside, Rs 180 serves as important support during any correction. The MACD supports the current strength, while the RSI (Relative Strength Index) is also positively poised. Strategy: Buy Target: Rs 200, Rs 220 Stop-Loss: Rs 180 DOMS Industries| CMP: Rs 2,658 DOMS has experienced a strong volume breakout of an ascending triangle formation, retested its previous breakout level of around Rs 2,470, and begun a new rally. The overall structure is in a classical uptrend, as the stock is trading above all important moving averages. On the upside, the Rs 2,800 level operates as a key resistance; above this, we can anticipate a move towards Rs 2,900+ in the shorter to longer term. On the downside, Rs 2,450 acts as crucial support during any pullback. Most momentum indicators are positively poised. Strategy: Buy Target: Rs 2,800, Rs 2,900 Stop-Loss: Rs 2,450

2024-09-02 20:51

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/sebi-study-retail-sold-ipo-12812542.html

SEBI study finds 54% of IPO shares allotted to retail were sold within a week

Individual investors sold 50% of shares allotted to them by within a week of listing, finds Sebi report.Related stories.

More than half of the investors in IPOs between April 2021 and December 2023 sold the shares within a week of listing, a study by capital market regulator Sebi revealed on September 2. This number rose to 70 percent of shares by value, within a year of listing, the study found. Flipping Behaviour A strong pattern of disposition was evident among investors, Sebi said, implying selling of assets that have increased in value while holding on to those that have decreased. Sebi's study was based on investor behaviour in 144 Main Board public issues, and found that "flipping" was highly prevalent among individual investors. Returns heavily influenced the investor behaviour, Sebi found, as investors sold 67.6 percent of shares by value within a week, when IPO returns exceeded 20 percent. In contrast, only 23.3 percent of shares by value were sold on instances when the returns were negative. This rush for public issues also stems from a trend of rise in demat accounts that were created after Covid-19. In terms of the demat accounts that were used to bid for shares in the IPOs, the study found that almost half of the total allotted demat accounts for IPOs during April 2021- December 2023, were opened in the post-COVID period - between CY21 and CY23. Furthermore, 85 percent of the total allotted demat accounts (for the IPOs under study) were opened in the last eight years between 2016 and 2023. Also Read:ÂNine out of 10 equity F&O traders lose money, 84% of them are men, 75% under 40: SEBI study The period between April 2021 and December 2023 saw a total of 144 new companies making their debut on the in the stock market through main board IPOs with as many as 26 of such offerings seeing their the stock price surge more than 50 percent on the day of listing. Further, there were more than 90 IPOs — 92, to be precise — that saw subscription in excess of 10 times with a mere two IPO remaining undersubscribed. Although, there were some laggards post listing, it did not deterred enthusiasm in new IPOs, stated the Sebi paper. In terms of the geographical spread of investors, the study found that about 70 per cent of the IPO investors were from the top four states — Gujarat, Maharashtra, Rajasthan and Uttar Pradesh. Interestingly, Gujarat cornered the maximum allotment in IPOs with retail investors from Gujarat receiving 39.3 per cent of the cumulative allotment in the retail category, followed by Maharashtra (13.5 percent), Rajasthan (10.5 percent). In the NII category as well, Gujarat occupied the top position with getting about 42.3 per cent of the total allotment in NII Category, followed by Maharashtra (20.4 percent) and Rajasthan (15.5 percent). Not surprisingly, a clear positive correlation was found between the first week listing gain and percentage of shares exited within a week by retail and NII category investors. According to the Sebi study, the IPOs which witnessed a gain of more than 20 per cent within a week witnessed NIIs exiting 79.1 percent of their shares within a week - compared to average exit of 63.3 per cent - while retail investors exited 61.9 per cent shares, when returns were very high (compared to average exit of 42.7 per cent). Also Read:Â70% individual investors in equity cash segment incurred losses in FY23: Sebi study A similar positive correlation was observed between IPO subscription, listing day returns, and exit of investors in terms of percentage of shares sold in value terms. Higher subscription was associated with higher listing day returns and in turn higher exit by investors. “For individuals, the exit from IPOs roughly doubled from the oversubscribed IPOs in the range 5x-10x, compared to those in the range 1x-5x,” stated the Sebi study. Regulatory Effect Soon after RBI’s guidelines on IPO financing by NBFCs, Sebi noted that over-subscription in the NII category halved, from 38 times to 17 times. The average application from Non-Institutional Investor (NII) category seeking over Rs 1 crore in IPOs fell from approximately 626 per IPO to around 20 per IPO, after Sebi's policy interventions in the NII share allotment process.

2024-09-02 17:25

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/sebi-places-jsw-cements-rs-4000-crore-ipo-on-hold-12812621.html

Sebi keeps JSW Cement's Rs 4,000-cr IPO in 'abeyance'

JSW Cement, part of the diversified JSW Group, filed the preliminary IPO papers with Sebi on August 16.Related stories.

Capital markets regulator Sebi has put on hold the proposed Rs 4,000-crore initial public offering (IPO) of JSW Cement. Without specifying reasons, Sebi stated that the ”issuance of observations (has been) kept in abeyance,” according to an update on its website on Monday. JSW Cement, part of the diversified JSW Group, filed the preliminary IPO papers with Sebi on August 16. The proposed issue involves a new issue of equity shares worth Rs 2,000 crore and an offer-for-sale (OFS) of Rs 2,000 crore by investor shareholders, according to the draft red herring prospectus (DRHP) filed with the regulator. Under the OFS, AP Asia Opportunistic Holdings Pte. Ltd and Synergy Metals Investments Holding Ltd will offload shares worth Rs 937.5 crore each and State Bank of India (SBI) will divest shares valued at Rs 125 crore. Proceeds from the fresh issue to the tune of Rs 800 crore will be used for partially financing the establishment of a new integrated cement unit in Nagaur, Rajasthan, while Rs 720 crore will be allocated for payment of debt and the remaining funds will be allocated for general corporate purposes. JSW Cement, which has a manufacturing capacity of 19 MT annually, aims to achieve the capacity of 60 MTPA. It currently has manufacturing units at Vijayanagar in Karnataka, Nandyal in Andhra Pradesh, Salboni in West Bengal, Jajpur in Odisha and Dolvi in Maharashtra. Besides, JSW Cement through its subsidiary Shiva Cement operates a clinker unit in Odisha. JSW Group has business interests in sectors such as steel, energy, maritime infrastructure, defence, B2B e-commerce, realty, paints, sports and venture capital. JM Financial Ltd, Axis Capital Ltd, Citigroup Global Markets India Private Ltd, DAM Capital Advisors Ltd, Goldman Sachs (India) Securities Private Ltd, Jefferies India Private Ltd, Kotak Mahindra Capital Company Ltd and SBI Capital Markets Ltd are responsible for managing the company’s IPO process.

2024-09-02 22:02

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/vfx-firm-identical-brains-studios-files-drhp-with-nse-emerge-check-the-details-12812174.html

Mumbai VFX firm Identical Brains Studios files DRHP with NSE Emerge; Check the details

The VFX firm Identical Brains Studios' IPO will be conducted through a book-building process with Socradamus Capital Private Limited serving as the sole book-running lead manager..Related stories.

Mumbai-headquartered Identical Brains Studios (IBS or The Company), a leading VFX company renowned for its innovative and high-quality work in the film and entertainment industry, announced the filing of its Draft Red Herring Prospectus (DRHP) with NSE Emerge. The company’s initial public offering comprises a fresh issuance of up to 36,94,000 Equity Shares with a face value of Rs 10.00, through the book-building route. The company shared in a press release that the IPO (Initial Public Offering) will be conducted through a book-building process, with Socradamus Capital Private Limited serving as the sole book-running lead manager. Bigshare Services Private Limited will act as the registrar to the offer. According to the DRHP, Identical Brains Studios Limited intends to utilise the net proceeds from the IPO to fund capital expenditure towards the renovation of the existing office and studio in Andheri; to fund capital expenditure to establish Colour Grading Digital Intermediate (DI) and Sound Studio set up at new branch office in Andheri; to fund capital expenditure towards establishment of the new branch office in Lucknow; to fund capital expenditure for the purchase of computers, storage systems and software to further strengthen the existing facilities/offices of the company; to fund company’s incremental working capital requirements and for general corporate purposes. Revenue share IBS has posted Rs 20.08 crore revenue from operations in FY 2024, compared to Rs 8.04 crore revenue from operations in FY23. It has recorded a profit (PAT) of Rs 5.34 crore in FY24 as against Rs 1.61 crore in FY23, registering over three-fold growth in profit. According to a D&B report, the Indian VFX industry has grown exponentially, from US$ 107.7 million in CY 2020 to US$ 647.2 million in CY 2023 at a CAGR of approximately 81.8 per cent and is projected to nearly triple in size, jumping from US$ 647 million in CY 2023 to US$ 1,823 million by CY 2030. About the company The IBS has carved out a reputation for delivering cutting-edge VFX solutions, collaborating with top-tier streaming giants and leading film and content producers, including major Bollywood Studios. Founded in 2019 by Raghvendra Rai, a first-generation entrepreneur from Lucknow, the Mumbai-based company offers a comprehensive suite of VFX services in a diverse range of projects such as films, web series, TV series, documentaries, and commercials. The company has won two Filmfare OTT Awards for Best Visual Effects forScam 1992: The Harshad Mehta Story(2020) andRocket Boys(2022) in association with Variate Studios LLP. The portfolio of IBS includes upcoming projectCriminal Justice 4, and completed projects includeKhel Khel Mein, Murder in Mahim, Bad Cop, The Crew, Article 370, Mission Raniganj, Dream Girl 2, Indian 2, Rocket Boys, Bob Biswas, Kutch Express, Ek Villian Returns, Night Manager, Criminal Justice 3, Phone Bhoot, Satyamev Jayate 2, Angrezi Medium, Scam 1992: The Harshad Mehta Story, Good Newwz, Panipatand many more. As a “Trusted Partner Network” (TPN)-audited VFX studio, the company is poised to deliver exceptional VFX solutions tailored to meet the standards of the US and European markets. Currently, IBS has received approval for projects from Disney+ Hotstar and Amazon.

2024-09-02 17:06

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/shree-tirupati-balajee-agro-trading-company-files-rhp-rs-170-cr-ipo-to-open-on-sept-5-12812389.html

Shree Tirupati Balajee Agro Trading Company files RHP, Rs 170 cr IPO to open on Sept 5

Shree Tirupati Balajee Agro Trading Company IPO.Related stories.

Madhya Pradesh-based Shree Tirupati Balajee Agro Trading Company has filed red herring prospectus (RHP) with the market regulator SEBI. It intends to raise Rs 169.65 crore through its initial public offering at the upper price band. The public issue will open for subscription on September 5 and close on September 9, while the anchor book of the offer will be opened for a day on September 4. The 2.04 crore equity shares' IPO is a combination of fresh issue of 1.47 crore equity shares worth Rs 122.42 crore and an offer-for-sale of 56.9 lakh shares worth Rs 47.23 crore by promoter Binod Kumar Agarwal. Binod Kumar Agarwal owns 88.38 percent stake in the company, and the remaining 11.62 percent stake is held by public shareholders. The price band for the book-built issue has been fixed at Rs 78-83 per share. Half of the public issue has been reserved for qualified institutional buyers (QIB), 35 percent for retail investors and the remaining 15 percent for non-institutional investors. Investors can bid for a minimum of 180 equity shares and in multiples of 180 shares thereafter. Also read:ÂECOS Mobility IPO allotment status: Here's step-by-step guide to check your bidding status and what GMP indicates Shree Tirupati Balajee Agro Trading Company manufactures flexible intermediate bulk containers (FIBCs) i.e. large flexible bags and other industrial packaging products. Its products are used by several industries such as chemicals, agrochemicals, food mining, waste disposal, agriculture, lubricants and edible oil. With five manufacturing units, it operates business through subsidiaries Honourable Packaging (HPPL), Shree Tirupati Balajee FIBC (STBFL), and Jagannath Plastics (JPPL). The flexible intermediate bulk containers maker will utilise Rs 52.27 crore out of the net fresh issue proceeds for repaying debt. Its total debt on consolidated basis was Rs 245.33 crore as of May 2024. Also read:ÂGala Precision Engineering IPO: Is this precision parts maker worth your attention? Further, Rs 13.5 crore funds will be spent for incremental working capital requirements, Rs 10.74 crore for working capital requirements of its subsidiaries, and the remaining fresh issue money for general corporate purposes. According to its RHP, FIBC segment contributed more than 51 percent to its revenue in the fiscal 2024, woven fabrics & narrow fabric business 21.3 percent to topline, while little more than 4 percent business come from woven sacks and tape divisions. Other products including liner, container liner, thread, multi-filament yarn, and filler cord etc accounted 18.5 percent of revenue. Shree Tirupati Balajee Agro that compares with listed peers like Commercial Syn Bags, Emmbi Industries, and Rishi Techtex recorded net profit at Rs 36.1 crore for the fiscal 2024, growing 74.1 percent over the previous fiscal, backed by healthy operating performance and higher other income. Other expenses were also lowered to Rs 70.34 crore, from Rs 85.3 crore during the same period. Revenue from operations in FY24 increased by 13.5 percent to Rs 539.7 crore compared to Rs 475.4 crore in the previous year FY23. On the operating front, EBITDA (earnings before interest, tax, depreciation and amortisation) grew by 29 percent on-year to Rs 61.9 crore with margin expanding by 137 bps to 11.47 percent for the year ended March 2024. PNB Investment Services, and Unistone Capital are the book running lead managers to the issue, while Link Intime India is acting as the registrar to the offer.

2024-09-02 17:02

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https://www.moneycontrol.com/news/business/ipo/belstar-microfinance-transrail-lighting-tpg-sk-finance-get-sebi-go-ahead-for-ipo-12812619.html

Belstar Microfinance, Transrail Lighting, TPG-backed SK Finance get SEBI go-ahead for IPO

SK Finance, Belstar Microfinance, and Transrail Lighting IPOs.Related stories.

Three companiesSK Finance, Belstar Microfinance, and Transrail Lightinghave received approval from the capital markets regulator Securities and Exchange Board of India (SEBI) to go ahead with their IPO plans. The regulator has issued observation letters to all three companies on August 30. In SEBI parlance, the issuance of observation letter means the company can launch its IPO for fund raising within the next one year from receiving the said letter. Amongst them, TPG and Norwest Venture Partners-backed SK Finance is the biggest public issue. It had filed preliminary papers with the SEBI in May this year, to raise Rs 2,200 crore via initial public offering. According to the DRHP, the IPO is a combination of fresh issuance of equity shares worth Rs 500 crore, and an offer-for-sale of Rs 1,700 crore worth shares by the existing shareholders. Promoters Rajendra Kumar Setia and Rajendra Kumar Setia HUF along with investors Evolvence Coinvest I, Evolvence India Fund III Ltd, Norwest Venture Partners X - Mauritius, and TPG Growth IV SF Pte Ltd will be the selling shareholders in the offer-for-sale. Also read:ÂTolins Tyres' Rs 230-crore IPO to open for subscription on September 9 Kotak Mahindra Capital Company, Jefferies India, Motilal Oswal Investment Advisors, and Nomura Financial Advisory and Securities India are the book running lead managers to the issue. In addition, engineering and construction company Transrail Lighting had filed draft red herring prospectus with the regulator in March this year, planning to raise funds via IPO. The offer is a mix of a fresh issue of Rs 450 crore by the company, and an offer-for-sale of 1.01 crore shares by promoter Ajanma Holdings. The engineering, procurement and construction (EPC) company primarily focusses on power transmission and distribution business, and integrated manufacturing facilities for lattice structures, conductors, and monopoles. Also read:ÂSEBI study finds 54% of IPO shares allotted to retail were sold within a week In July, promoter Ajanma Holdings sold more than a percent stake to nine investors including Ashish Kacholia, Shubham Bansal, Vinod Sethi, and Volrado Venture ahead of its IPO launch. The transaction price was Rs 484 per share. Belstar Microfinance, the microfinance subsidiary of Muthoot Finance, which had filed draft papers in May, intends to mobilise Rs 1,300 crore through IPO, The Chennai-based entity’s IPO is a combination of fresh issue of equity shares worth Rs 1,000 crore and an offer-for-sale of Rs 300 crore by investors. MAJ Invest Financial Inclusion Fund II K/S, Arum Holdings, and Augusta Investments Zero Pte Ltd will be the selling shareholders. The merchant bankers appointed for Belstar are ICICI Securities, Axis Capital, HDFC Bank, and SBI Capital Markets.

2024-09-02 19:07

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https://www.moneycontrol.com/news/business/markets/daily-voice-few-pure-play-defence-stocks-still-investible-from-valuation-perspective-says-omniscience-capitals-vikas-gupta-12811742.html

Daily Voice: Few pure-play defence stocks still investible from valuation perspective, says OmniScience Capital's Vikas Gupta

Vikas Gupta of OmniScience Capital.Related stories.

Vikas Gupta, CEO and Chief Investment Strategist at OmniScience Capital, believes that the fundamentals of defence stocks remain extremely strong in terms of revenue, profits, growth visibility, and order books extending 5-10 years. According to him, a few pure-play defence stocks are still investible from a valuation perspective, but many others appear overvalued. Much like the defence sector, railway stocks are fundamentally strong with large order books providing growth visibility, but valuations remain a concern, said Gupta who has nearly 20 years of experience in capital markets and holds a BTech degree from IIT Bombay and an MS & Doctorate from Columbia University, New York. While a few exceptions are available at reasonable valuations, investors might consider ancillary or related sectors that could benefit from growth in the railway sector, where valuations might still be reasonable, he said. Do you confidently see a Fed funds rate cut in the September policy meeting? With recent data clearly showing that inflation is being tamed and trending towards the 2 percent target, coupled with unemployment rising to 4.3 percent and the labour market moving toward a better supply-demand balance, the Fed faces a real challenge in keeping rates unchanged in the September meeting. Although there are still only 0.8 unemployed people for each job opening, the Fed may find it difficult to justify maintaining the current rates. In fact, statements from individual FOMC members suggest increasing concern about the risks of keeping rates too high for too long, which could push the economy into a recession. This would jeopardise their ability to fulfill their other two mandates: maximum employment and moderate long-term interest rates, alongside the well-known goal of controlling inflation. Considering all three mandates, a rate cut seems increasingly necessary. There is even a reasonable probability of a 50 basis point cut in the September meeting, though there is a near-consensus on a 25 basis point cut. What’s your take on the Q1FY25 GDP growth numbers? Do you see growth surpassing the 7 percent mark for FY25? While the Q1FY25 GDP numbers were slightly lower than expected, this could be due to the fact that it was an election quarter, leading to relatively low government investments—33 percent lower compared to last year. These investments are likely to recover in future quarters. Therefore, a 7 percent+ GDP growth rate for FY25 is quite plausible. The dip observed appears to be an anomaly in the broader trend and pace of GDP growth. The focus should now shift to infrastructure, roads, railways, logistics, PM GatiShakti, digital banking & fintech, power, renewables and clean tech, and digital transformation/AI. Is it time to add defence stocks to the portfolio given the recent correction and consolidation? The fundamentals of defence stocks remain extremely strong in terms of revenue, profits, growth visibility, and order books extending 5-10 years. However, extreme valuations pose a risk to investor returns. A few pure-play defence stocks are still investible from a valuation perspective, but many others appear overvalued. For defence investors, this requires creativity and a broader understanding of the various dimensions of defence in modern geo-strategy. One might consider investing in other dimensions of defence, such as energy security, rare and strategic materials, logistics and supply chains supporting defence forces, and financial and other support for strategic global locations like ports. By broadening one’s understanding of defence, it’s still possible to gain exposure to the sector in non-traditional ways. However, the portfolio may not look like a typical defence portfolio to those unfamiliar with this approach. Do you foresee a significant increase in private capex given the recent placements, QIPs, and IPOs? Capacity utilisation in the private sector is quite high, and to cater to future demand, significant capex will be required if companies want to avoid losing market share to new entrants. While the private sector is indeed raising equity capital from primary markets, their borrowing capacity is also high due to clean balance sheets and strong cash flows. Additionally, the lending capacity of banks is also robust, supported by clean bank balance sheets, low NPAs, and high CRARs. This twin balance sheet opportunity should drive strong growth in the medium term for the Indian economy. Is it time to stay away from railway stocks? Much like the defence sector, railway stocks are fundamentally strong with large order books providing growth visibility, but valuations remain a concern. While a few exceptions are available at reasonable valuations, investors might consider ancillary or related sectors that could benefit from growth in the railway sector, where valuations might still be reasonable. For example, railways are central to the logistics mission and the GatiShakti program, providing core connectivity for multi-modal logistics hubs. One might also look at logistics or infrastructure companies which would benefit from these large-scale projects. Should one still accumulate technology stocks? With a potential Fed rate cut on the horizon, prospects for the US economy are positive. Furthermore, large capex driven by cloud players investing in AI chips signals that these companies believe Fortune 500 firms will utilise their infrastructure for AI-driven projects in the medium term. It is logical to conclude that these companies will need consulting firms to help train, build, and implement AI models, which is where Indian tech companies are likely to excel over the next several years.

2024-09-02 21:01

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https://www.moneycontrol.com/news/business/markets/taking-stock-market-at-fresh-all-time-high-mid-smallcap-underperform-12812350.html

Taking Stock: Market at fresh all-time high; mid, smallcap underperform

Market Today.Related stories.

The record run continued on Dalal Street with Nifty ending higher for 13th consecutive sessions on September 2, supported by bank, FMCG and Information Technology names. At close, the Sensex was up 194.07 points or 0.24 percent at 82,559.84, and the Nifty was up 42.80 points or 0.17 percent at 25,278.70. BSE Sensex and Nifty touched fresh all-time high of 82,725.28 and 25,333.65, respectively. Bajaj Finserv, Bajaj Finance, HCL Technologies, Bajaj Auto and Hero MotoCorp were among the top gainers on the Nifty, while losers were Grasim Industries, Kotak Mahindra Bank, Adani Enterprises, Coal India and Nestle India. Except bank, FMCG and IT, all other sectoral indices ended in the red with capital goods, metal, healthcare, telecom and media down 0.4-1.6 percent. The BSE midcap index also hit fresh record high but ended on a flat note, while smallcap index was down 0.5 percent. More than 300 stocks touched their 52-high on the BSE, including, Bajaj Finserv, Bajaj Holdings, Bharti Airtel, Colgate Palmolive, Godrej Industries, Gujarat State Petronet, Gujarat Gas, HCL Technologies, HPCL, Indraprasta Gas, Infosys, ITC, Kalyan Jewellers, Lupin, M&M Financial, Persistent Systems, Pfizer, PI Industries, Piramal Pharma, Radico Khaitan, Sun Pharma, TCS, TVS Motor, UNO Minda, among others.Click to view full list Outlook for September 3 Rupak De, Senior Technical Analyst, LKP Securities The Nifty failed to surpass the opening high after a positive start. Heavy call writing was observed at the 25,300 strike, and overall, call writers significantly outnumbered put writers throughout the day.

2024-09-02 16:01

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https://www.moneycontrol.com/news/business/ipo/upcoming-ipos-in-september-2024-markets-to-remain-abuzz-with-new-issues-set-to-hit-d-street-12812626.html

Upcoming IPOs in September 2024: Markets to remain abuzz with new issues set to hit D-Street

Bajaj Housing Finance IPO will open for public subscription on September 9..Related stories.

The primary market will remain abuzz in September with multiple new initial public offerings (IPOs) in both the mainboard and the SME segment. The action-packed month will see the much-awaited Rs 6,500-crore mega Bajaj Housing Finance IPO, and the Shree Tirupati Balajee Agro Trading Company IPO, among others. Upcoming IPOs in September 2024 Bajaj Housing Finance:The initial share sale for public subscription will begin on September 9 and will conclude on September 11 and the bidding for anchor investors will open for a day on September 6. Bajaj Finance has a 100 percent stake in Bajaj Housing, while Bajaj Finserv holds a 51.34 percent stake in Bajaj Finance. Shree Tirupati Balajee Agro Trading Company:The maiden share sale of the Madhya Pradesh-based company will open for subscription on September 5 and close on September 9. The company intends to raise Rs 169.65 crore through the IPO. The anchor book of the offer will be opened for a day on September 4. Tolins Tyres IPO:The Rs 230-crore IPO by the Kerala-based tyre manufacturing company will hit the primary market on September 9. Mach Conferences and Events IPO:The subscription will take place between September 4 and 6 for a price ranging between Rs 214 and Rs 225 per share to raise Rs 125.28 crore. Solar91 Cleantech Limited:Turnkey Solar Energy Solutions provider, Solar91 will debut in the BSE SME platform. The issue intends to raise about Rs 100 crore through the issuance of 54.36 lakh fresh equity shares with a face value of Rs 10 each on September 2. Namo eWaste Management:New Delhi-based Namo eWaste, a company offering e-waste collection, disposal, and recycling services, is set to launch its Rs 51.2 crore initial public offering (IPO) on September 4. The price range for the book-built issue, closing on September 6, has been set at Rs 80-85 per share. My Mudra Fincorp:New Delhi-based My Mudra Fincorp specialises in the distribution and sales of financial products. It will open its IPO on September 5 with a price band of Rs 104-110 per share. Naturewings Holidays:The issue of the Kolkata-based company will open for subscription on September 3 and will conclude on September 5. These companies have submitted their Draft Red Herring Prospectus (DRHP) to the market regulator SEBI, but more companies may file their documents for an initial public offering (IPO) in the remaining month of September. Ongoing IPOs in September 2024 Baazar Style Retail:The IPO will remain available for bidding until September 3 and shares will be listed on September 6. Gala Precision Engineering:The issue will end for subscription on September 4 and listing will take place on September 9. Jeyyam Global Foods:Bidding will conclude on September 4 and shares will be listed on September 9. Boss Packaging Solutions:Bidding will conclude on September 3 and shares will be listed on 6th September.

2024-09-03 10:47

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https://www.moneycontrol.com/news/business/markets/trading-plan-will-nifty-sustain-25200-bank-nifty-manage-to-close-above-51500-12812656.html

Trading Plan: Will Nifty sustain 25,200, Bank Nifty manage to close above 51,500?

Nifty Trading Plan.Related stories.

The market reached a new closing high after a rangebound session on September 2, continuing its upward trend for 13 consecutive days. While the momentum indicators RSI and MACD showed a negative bias on hourly charts, they maintained a positive bias on daily charts. This suggests that consolidation is likely to continue, with 25,300 being a key resistance level. A strong close above this could drive the index toward 25,500, with crucial support at 25,000. For the Bank Nifty, the crucial hurdle remains at 51,500. A breakout above this level could lead to the 52,000 mark, with support at 51,000, according to experts. On Monday, the Nifty 50 climbed 43 points to 25,279, and the Bank Nifty was up 89 points at 51,440. On the NSE, 1,264 shares declined while 1,225 shares advanced. Nifty Outlook and Strategy Jay Thakkar, Vice President & Head of Derivatives and Quant Research at ICICI Securities Technically, the Nifty has been forming higher tops and higher bottoms on the daily charts. The MACD (Moving Average Convergence Divergence) is in buy mode on the daily charts but in sell mode on the hourly charts, indicating a sideways to positive momentum. On the downside, 25,200 is an immediate support, and below that, 25,000. A break below 25,200 could lead to a further 200-point correction. On the upside, 25,300 and 25,340 are immediate resistances, above which the index could continue its upward journey toward the next short-term target of 25,500. Thus, the immediate range for the Nifty is between 25,000 and 25,500 levels. From a derivatives perspective, the 25,300 strike has the highest Call open interest among nearby strikes, while the 25,000 strike has the highest Put open interest. This implies that the immediate range is 25,000 to 25,300 levels. There has been heavy Call writing from 25,300 to 25,500 and above, extending to 26,000 levels. Consequently, the PCR (Put-Call Ratio) has dropped below 1, now trading at 0.96, indicating that the short-term uptrend might be exhausting, and profit booking could lead to sideways momentum. Key Resistance: 25,340, 25,500 Key Support: 25,200, 25,000 Strategy: Sell below 25,200, with a target of 25,000 and a stop-loss at 25,310. Anshul Jain, Head of Research at Lakshmishree Investment & Securities The Nifty index has experienced an impressive rally over the last 13 trading sessions, surging by approximately 5 percent. However, this sharp upward move has occurred with limited breadth, raising concerns that a pullback might be imminent. Rapid advances, especially when not widely supported, often suggest a cooling-off period could be approaching. Despite these concerns, foreign institutional investors (FIIs) data presents a more optimistic view. Currently, FIIs hold 2.43 lakh long positions in index futures. While this is below the previous peak of around 4 lakh contracts, it still indicates a significant bullish stance. Additionally, net long positions by FIIs stand at 1.43 lakh contracts, down from a previous high of 5 lakh contracts. This data suggests that there is still room for further upside in the index before a potential correction occurs. Given the upside potential in Nifty's long positions, we anticipate that the market may first attempt to test the 25,500 level. However, this could be followed by a sharp pullback as the index digests its recent gains. Immediate support levels to watch are 25,200, with a more critical support zone around 25,000. If these levels hold, the market could consolidate before making its next move. Key Resistance: 25,500 Key Support: 25,000 Strategy: Traders should remain cautious and consider these key support levels when positioning themselves. The Nifty's current technical setup hints at both opportunity and risk. Buy on dips with a stop-loss at 25,150. Pravesh Gour, Senior Technical Analyst at Swastika Investmart Technically, the Nifty has entered a fresh expansion phase after surpassing the psychological barrier of 25,000. The next target levels to watch are 25,281, 25,600, and 25,921. The zone between 25,000 and 24,850 has now become an immediate and strong demand area, while the 20-DMA (Days Moving Average) support is positioned at the 24,600 level. Key Resistance: 25,281, 25,600, 25,921 Key Support: 25,000, 24,850, 24,600 Strategy: Consider buying on dips near 25,000, with a stop-loss at 24,600 and a target of 25,600. Bank Nifty - Outlook and Positioning Jay Thakkar, Vice President & Head of Derivatives and Quant Research at ICICI Securities The Bank Nifty has been gradually forming higher tops and higher bottoms, which is bullish in the short term. However, the slope of the uptrend indicates a lack of momentum. The positive aspect is that the index has been holding the 51,000 level, which was a crucial hurdle before it broke out. The MACD indicator is in buy mode on both daily and hourly charts, thus the short-term trend is positive. Resistances on the upside are at 51,850, 51,900, 52,000, and 52,300 levels. Therefore, the immediate range is 51,000 to 52,300 levels. From a derivatives perspective, the 51,500 strike has the highest open interest on the Call side, indicating that the index is trading near the upper end of the range. If it manages to surpass this level, it could trigger sharp short-covering on the way up. The 51,000 strike Put has the highest open interest, so the immediate range is narrow, between 51,000 and 51,500 levels. The PCR is trading at 0.85, which is bearish, hence only above 51,500 will there be a meaningful upward move in the near term. Key Resistance: 51,500 Key Support: 51,000 Strategy: Buy above 51,500, targeting 52,000 and 52,300, with a stop-loss at 51,200. Anshul Jain, Head of Research at Lakshmishree Investment & Securities The Bank Nifty has been underperforming relative to the Nifty, largely due to the muted performance of HDFC Bank, one of its key constituents. The index is currently facing significant resistance on the daily chart, particularly at the 45-degree downward-inclined quarterly VWAP (volume weighted average price) in the 51,500-51,600 range. For the Bank Nifty to regain relative strength and push higher, it needs to decisively break above the 51,600 level. If this happens, the index could quickly rally toward its all-time high, above the 53,000 mark. On the downside, the index has immediate support at 51,000, with a more critical support zone at 50,800. If these levels hold, the Bank Nifty could consolidate before making a decisive move. For traders, the key level to watch is 51,600. A sustained move above this resistance could signal a strong bullish phase, while failure to do so may keep the index in its current range-bound state. As the market awaits a clear direction, these support and resistance levels will be crucial in determining the next move for the Bank Nifty. Key Resistance: 51,600 Key Support: 51,000, 50,800 Strategy: Buy on dips with a stop-loss of 51,250. Pravesh Gour, Senior Technical Analyst at Swastika Investmart The Bank Nifty needs to break above its 50-DMA at 51,550 to gain momentum. If it succeeds in crossing this key level, a significant short-covering rally could push it toward the 52,000–52,300 zone. On the downside, 50,950 serves as immediate support, with 50,000 being a crucial support level. Key Resistance: 51,550, 52,000, 52,300 Key Support: 50,950, 50,000 Strategy: Consider buying on dips near 50,950-51,000, with a stop-loss at 50,000 and a target of 52,000.

2024-09-02 20:00

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/auto-ancillary-firm-hindustan-composites-announces-stake-acquisition-in-swiggy-12812538.html

Auto ancillary firm Hindustan Composites announces stake acquisition in Swiggy

Hindustan Composites announces stake acquisition in Swiggy.

Hindustan Compositeshas announced to buy stake in the online food delivery company Swiggy at about Rs 5 crore to acquire 1.5 lakh shares. The auto ancillary company informed the shareholders through an exchange filing that the company has entered into a share purchase agreement with Swiggy to "acquire 1,50,000 (One Lakh Fifty Thousand) Equity Shares of Re. 1/- (Rupee One only) each by making an investment of Rs. 5.175 Crore." The announcement comes as the auto ancillary firm seeks to expand to consumer convenience segment. Swiggy is a major player in the online food ordering and delivery business operating as a marketplace for ordering and delivering food, providing online grocery delivery services and same-day package deliveries. The stock had delivered 32.25 percent returns in 2024 so far. In the last three years, it rose 95.86 percent, as per BSE data.

2024-09-02 17:02

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/bulk-deals-hdfc-mf-sells-20-lakh-shares-in-sadbhav-engineering-12812680.html

Bulk deals: HDFC MF sells 20 lakh shares in Sadbhav Engineering

representative image.

HDFC Mutual Fund sold 20 lakh shares in Sadbhav Engineering for an average price of Rs 33.13 via a bulk deal on September 2. Ovata Equity Strategies Master Fund sold 2.08 lakh shares in Manglam Infra and Engineering for an average price of Rs 71.97. Baroda BNP Paribas Mutual Fund bought 6.24 lakh shares in TCNS Clothing Company for an average price of Rs 576.14, while Morgan Stanley Asia Singapore Pte sold 3.38 lakh shares for an average price of Rs 574.64. Siddhartha Bhaiya sold 1.39 lakh shares in Vibrant Global Capital for an average price of Rs 78.02.

2024-09-02 20:23

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/sme-ipo-frenzy-sebis-ashwani-bhatia-says-rigor-lacking-venture-capital-a-better-start-12812577.html

SME IPO frenzy: Sebi's Ashwani Bhatia says rigor lacking, venture capital a better start

In order to unlock the true potential of MSMEs, Bhatia noted that there is a need for more partnerships.Related stories.

Currently, there are 600 SME companies listed on both exchanges, with the market capitalization of these companies exceeding Rs 2 lakh crore. But SEBI’s whole-time member Ashwini Bhatia, who was speaking at CII’s Financing 3.0 Summit, believes that there needs to be some caution. On SME IPO’s Bhatia said, "Nobody is actually saying no. I am a banker, and we were taught to say no when necessary." Bhatia added that unfortunately, this rigorous approach is sometimes lacking in the current ecosystem, including among chartered accountants, merchant bankers, and exchanges. Bhatia added, "Be good doctors to these companies. Don’t give them steroids when they can survive on paracetamol." Instead, Bhatia highlighted that there are many alternatives available including crowdfunding, angel investors, venture capitalists, peer-to-peer lending, and microfinance. ALSO READ:Moneycontrol Pro Panorama | SEBI cautions on SME IPOs, will the party continue Among the three main categories of AIFs, category 1 includes funds that invest in socially or economically beneficial sectors. Currently, Bhatia noted that commitments in Category 1 AIF SME funds amount to Rs 1,169 crore as of March 31, 2024. "Instead of going straight to an IPO, a better route might be to approach an angel fund or a venture fund first," he suggested. Bhatia explained that the expectations of some of the SMEs are very high. “You can’t have a parabolic growth. The role of the CAs and bankers is to temper these expectations. These opportunities are there but one needs to go slow,” he explained. In order to unlock the true potential of MSMEs, Bhatia noted that there is a need for more partnerships. "MSME sector financing depends on a mix of traditional banking, equity financing, and alternative credit mechanisms, hence a detailed and joint approach is needed to tackle issues such as high interest rates and collateral requirements, ultimately creating a more supportive environment for MSMEs," he said.

2024-09-02 17:20

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/focus-is-on-creating-inclusive-efficient-and-dynamic-market-says-sebi-chief-buch-12812340.html

Focus is on creating inclusive, efficient, and dynamic market, says Sebi chief Buch

Buch also spoke about creating a regulatory framework focused on speed, affordability, focus and inclusivity.Related stories.

As India progresses, the focus remains on creating a market that is inclusive, efficient, and dynamic wherein all citizens can participate in the wealth creation of the nation, said Madhabi Puri Buch, chairperson, Securities and Exchange Board of India (Sebi). "Inclusion remains a critical aspect of Viksit Bharat, encompassing not just economic and gender inclusion but also language and cultural inclusion. To achieve this inclusive growth, we must focus on creating products that are accessible and viable, such as the Rs 250 micro SIPs," Buch said while speaking at the CII Financing 3.0 Summit. "This involves ensuring that costs are kept low and that the benefits of economies of scale are passed on to investors. Ultimately, our goal is to facilitate capital formation and wealth creation in a seamless, efficient, low-cost, and highly inclusive way," she added. Further, while elaborating on the role of the capital market watchdog, she said that the view within Sebi is that capital formation has two sides -- creating capital for industry growth and generating wealth for citizens. "... initiatives like the Rs 250 micro SIPs are designed to allow even the smallest investors to participate in wealth creation. Technology and low costs make this possible, enabling people to invest even with just a few dollars a month," she said. "Looking ahead, our market ecosystem will be driven by technology and a diverse range of products and participants. This increasing complexity requires a collaborative approach to regulation, involving co-creation with industry stakeholders," she added. She further said that the regulator cannot operate in isolation and must consult and work with the ecosystem to develop sensible rules, regulations, products, and services that meet diverse needs. This co-creation is not just a preference, it's a necessity, she said. According to Buch, there are two data points that highlight India’s growth trajectory. The first is taxes. Buch cited the example of tax collections, including GST. The rising tax collections, Buch believes, suggests that India's economy is on a solid growth path. Energy consumption is also a key metric, she said. Buch also spoke about creating a regulatory framework focused on speed, affordability, focus and inclusivity. She said that the development of technology allows for the creation of scale as they push for creating new products and asset classes tailored to different segments of the population and highlighted that there was a need to move away from a one size fits all mindset. She further said that at SEBI, they have worked towards restructuring so that their decision making can be focused and efficient.

2024-09-02 14:49

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/vedanta-announces-third-interim-dividend-of-rs-20-per-share-for-fy25-total-payout-worth-rs-7821-cr-12812564.html

Vedanta announces third interim dividend of Rs 20 per share for FY25, total payout worth Rs 7,821 cr

Vedanta announces third interim dividend of Rs 20 per share for FY25, total payout worth Rs 7,821 cr.Related stories.

Mining majorVedanta Ltdon September 2 said its board approved third interim dividend of Rs 20 per share for FY25. "The Board of Directors of Vedanta Limited, at its meeting held today i.e. Monday, September 2, 2024, has considered and approved the third Interim Dividend of Rs 20 per equity share on face value of Re 1 per equity share for the Financial Year 2024-25 amounting to Rs 7,821 crore," said Vedanta in a stock exchange filing. The record date for the purpose of payment of dividend shall be September 10, 2024. On September 2, Vedanta's shares on BSE closed nearly 1 percent lower at Rs 464 apiece. Vedanta had announced a second interim dividend of Rs 4 per share for the current fiscal year in July at a total payout worth Rs 1,564 crore. In May, Vedanta board approved its first interim dividend of FY25 at Rs 11 per share amounting to a payout of Rs 4,089 crore. In July, Anil Agarwal-led Vedanta raised Rs 8,500 crore through Qualified Institution Placement (QIP) at Rs 440 per share. Some of the marquee investors that have been allotted equity shares through the QIP include Abu Dhabi Investment Authority (ADIA), Goldman Sachs AMC, Nippon Mutual Fund, SBI Mutual Fund, UTI Mutual Fund, ICICI Mutual Fund, Aditya Birla Mutual Fund and Mirae Mutual Fund. Various funds run by Nippon Mutual Fund were allotted 9.11 percent of the total issue size, while funds managed by Morgan Stanley and SBI Mutual Fund received 8.62 percent and 7.88 percent, respectively. The mining major has various projects under execution, having high potential for increasing volume, business integration, and enhancing the range of value-added products across its businesses. These growth projects will be the key drivers to Vedanta's near-term EBITDA target of $10 billion. The mining major announced a plan to demerge its business units into independent pure-play companies in September last year. The demerger will help unlock value and attract large-scale investment into the expansion and growth of its businesses. It will create independent companies housing the aluminium, oil & gas, power, steel and ferrous materials, and base metals businesses, while the existing zinc and new incubated businesses will remain under Vedanta Limited.

2024-09-02 17:51

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/nifty-sensex-post-record-close-as-fmcg-banks-shine-metal-pharma-slide-12812331.html

Nifty, Sensex hit new record closing high for 5th session as FMCG, banks shine

Benchmark indices Nifty and Sensex closed on a positive note, reaching another record closing high but ended off their highs after a rally in FMCG and bank stocks boosted sentiment amid a volatile session. Metal and Pharma stocks edged lower, dampening the overall mood slightly. At close, the Sensex was up 194 points or 0.2 percent at 82,559 and the Nifty was up 37 points at 25,273. About 1,684 shares advanced, 2,191 shares declined, and 133 shares were unchanged..Related stories.

Benchmark indices Nifty and Sensex ended on a positive note, notching another record closing high and extending their winning streak to 13 consecutive sessions. Gains in FMCG and bank stocks lifted market sentiment despite a volatile session, while declines in metal and pharma stocks slightly dampened the overall mood. At close, the Sensex was up 194.07 points or 0.24 percent at 82,559.84, and the Nifty was up 37.40 points or 0.15 percent at 25,273.30. About 1684 shares advanced, 2191 shares declined, and 133 shares unchanged. The broader market sentiment weakened in the afternoon, leading to a mixed performance as indices slipped 0.1 percent and 0.5 percent, respectively. Despite concerns about high valuations, particularly with some stocks showing exponential growth, the broader market continues to outperform the Nifty’s year-to-date gains. Also read:ÂGala Precision Engineering IPO sees strong start with 4X subscription on day 1 The volatility was high today as indicated by the India VIX, which surged over 5 percent to be just over the 14 levels. Four-wheeler major Tata Motors was buzzing in trade after shares fell 2 percent, bogged down by a fall in the company's monthly auto sales for August. Despite the fall, however, shares of Tata Motors are still sitting on over 50 percent gains made in the past month. Sales for the automobile major fell 8 percent on year in August to 71,693 units as against 78,010 units sold in the same month last fiscal. The market is experiencing steady but modest gains, fueled by the accumulation of quality large-cap stocks. Market sentiment has been further boosted by Foreign Institutional Investors (FIIs) turning net buyers last week, driven largely by significant bulk deals. A positive close today could extend Nifty’s winning streak to 13 consecutive sessions, setting a new record for the Indian stock market, noted V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services. He added that IT stocks have rebounded on hopes of increased tech spending in the US, underpinned by expectations of a soft landing for the US economy. Read more:ÂBaazar Style Retail IPO subscribed over 3x so far on day 2, NIIs lead Among sectors, except bank, FMCG, and IT, all other sectoral indices ended in the red, with capital goods, metal, healthcare, telecom, and media down 0.4 percent. Bajaj Finserv, Bajaj Finance, HCL Technologies, Bajaj Auto, and Hero MotoCorp were among the top gainers on the Nifty, while losers were Grasim Industries, Kotak Mahindra Bank, Adani Enterprises, Coal India, and Nestle India.

2024-09-02 15:51

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/tolins-tyres-rs-230-crore-ipo-to-open-for-subscription-on-september-9-12812571.html

Tolins Tyres' Rs 230-crore IPO to open for subscription on September 9

Tolins Tyres IPO.Related stories.

Kerala-basedTolins Tyreshas decided to hit Dalal Street with its Rs 230-crore initial public offering (IPO) next week on September 9. The firm will announce price band for the issue in coming couple of days. The tyre manufacturing company intends to raise Rs 200 crore via fresh issue component and the remaining Rs 30 crore will be mobilised through offer-for-sale (OFS) route. Promoters Kalamparambil Varkey Tolin, and his wife Jerin Tolin, who together hold 83.31 percent stake in the company, will be offloading Rs 15 crore worth shares each via the OFS. Promoters own 92.64 percent stake in the company including 8.47 percent shareholding of Jose Thomas (the father of Jerin Tolin), and the balance 7.36 percent shares are held by public shareholders. The offer will close for bidding on September 11, while the anchor book of the issue will be opened for a day on September 6. Also read:ÂMumbai VFX firm Identical Brains Studios files DRHP with NSE Emerge; Check the details The tyre retreading solutions provider will pay Rs 70 crore (out of the net fresh issue proceeds) towards its debt as its outstanding borrowings was Rs 101.33 crore on consolidated basis as of August 23, 2024. Further, Rs 75 crore will be utilised for long-term working capital requirements, Rs 46.3 crore will be invested in its wholly-owned subsidiary, Tolin Rubbers, and the remaining fresh issue funds will be used for general corporate purposes. The company has reserved half of its IPO size for qualified institutional buyers, 35 percent for retail investors, and the remainder 15 percent for non-institutional investors. Also read:ÂShree Tirupati Balajee Agro Trading Company files RHP, Rs 170 cr IPO to open on Sept 5 Its major products include two-wheeler, three- wheeler, light commercial vehicle and agricultural tyres, as well as precured tread rubber and other accessoriesincluding bonding gum, tyre flap, and vulcanizing solutions. It also exports products to 40 countries, including the Middle East, East Africa, Jordan, Kenya and Egypt. Tolins Tyres that competes with listed peers like Indag Rubber, Vamshi Rubber, TVS Srichakra, GRP, and Elgi Rubber Company earned more than 75 percent of business from tread rubber segment, while tyres division contributed the remaining portion of topline. The company recorded significant growth in net profit at Rs 26 crore for the year ended March 2024, growing more than five-fold over Rs 4.99 crore profit in the previous year despite sharp increase in finance cost, driven by healthy operating numbers and topline. Revenue during the year gone by was Rs 227.2 crore, increasing by 92.2 percent from Rs 118.2 crore in the previous financial year 2022-23. EBITDA (earnings before interest, tax, depreciation and amortisation) surged nearly 4 times to Rs 46.4 crore in FY24, compared to Rs 12.3 crore in FY23, with margin nearly doubling to 20.4 percent from 10.4 percent during the same period. Saffron Capital Advisors is acting as the merchant banker to the issue, while Cameo Corporate Services is the registrar to the IPO.

2024-09-02 17:46

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/moneycontrol-pro-weekender-q1-gdp-numbers-provide-comfort-on-both-consumption-private-capex-12810895.html

Moneycontrol Pro Weekender: Q1 GDP numbers provide comfort on both consumption, private capex

The official numbers show that consumption is finally trickling down to the masses and is becoming more broad-based..Related stories.

Dear Reader, GDP data releases are non-events for the market, unless they presage policy action that could affect interest rates and corporate earnings. Since the real GDP growth of 6.7 percent in Q1, FY25 is lower than the 7.1 percent pencilled in by the Monetary Policy Committee, or the 7.4 percent estimated by the RBI researchers in their State of the Economy report, or even the 7 percent median estimate of RBIŌĆÖs professional forecastersŌĆÖ panel, does it mean that the RBI may reconsider its obsession with getting inflation down to 4 percent and focus more on growth? Not really, because growth in real Gross Value Added (GVA) in Q1 is much higher, at 6.8 percent, than the median estimate of 6.4 percent by RBIŌĆÖs professional forecasters. WhatŌĆÖs more, private consumption has shown year-on-year growth of 7.5 percent, a welcome change from the tepid growth in earlier quarters. ThatŌĆÖs a big improvement from the 4 percent growth in Q4, FY24 and it shows that consumption is finally trickling down to the masses and is becoming more broad-based. ThatŌĆÖs not all. Despite widespread fears of a slowdown in capex due to the elections, gross fixed capital formation growth was 7.5 percent in Q1 FY25, compared to 6.5 percent in the previous quarter. Private capex therefore must have picked up. GDP has been pulled down in Q1 as a result of the drag from net exports of goods and services on the one hand, and lower government consumption expenditure on the other. GVA growth in the agriculture and allied sectors is 2 percent in Q1, compared to 0.6 percent in the previous quarter. Growth in construction is very strong, at 10.5 percent y-o-y. Growth in the trade, transportation, communications sector has also picked up. Both agriculture as well as construction and trade and transport are sectors that provide a lot of jobs for the masses. Stronger growth in these sectors therefore augur well for the growth of consumer demand. The growth in construction and trade and transport is particularly commendable because they have come on top of high growth in the year ago quarter. Growth in manufacturing slowed down in Q1, FY 25, but that is mainly on account of higher growth in the year ago quarterŌĆöan unfavourable base effect. We had pointed outherethat if consumption growth is strong, it will lead to further corporate capex, while the central government has already in itsbudgetannounced its intention of pushing its capex.Fitch Ratings too has pointed out┬Āthat the key risk to growth is if the private investment cycle does not pick up as a result of subdued consumption, which would weigh on job creation. The Q1, FY 25 GDP/GVA data have provided much comfort on that front. Also, as ourMonsoon Watch┬Ācolumn said, the monsoons so far have been relatively good, which should keep inflation in check, thereby aiding consumption demand. US GDP growth too has been good, coming in at an annual rate of 3 percent in the June quarter, beating estimates and well ahead of a tepid 1.4 percent growth in Q1. Consumption spending rose at a 2.9 percent annual rate. That indicates the US economy is far from weak. That should reinforce thesoft landing narrative. PerhapsJerome PowellŌĆÖs well-telegraphed September rate cut┬Āis a pre-emptive measure, rather than a reaction. The regime change at the Fed, from tightening to loosening, will be accompanied by a regime change in the US markets, seen from the topping out of the Nvidia share and the abating of some of the AI frenzy. Asthis FT story, free to read for Moneycontrol Pro shareholders, said, ŌĆśŌĆÖThe regime change has been under way since Nvidia peaked on June 18. Since then, tech has been a drag on the broader market, while falling interest rate plays like real estate, utilities and financials, as well as defensives such as healthcare and consumer staples, have stood out.ŌĆÖŌĆÖThis story┬Āput it succinctlyŌĆöNvidiaŌĆÖs Wow factor might be fading. Rate cuts in the US could also be the catalyst for emerging markets. After all, there are strong fundamental reasons for it.Ruchir Joshi, writing in the FT, says, ŌĆśŌĆÖAfter weakening sharply in the past decade, emerging economies are rebuilding their growth lead over developed economies, including even the strongest one, the US, to levels not seen in 15 years. The proportion of emerging economies in which per capita GDP is likely to grow faster than the US is on course to surge from 48 per cent over the past five years to 88 per cent in the next five.ŌĆÖŌĆÖ And with IndiaŌĆÖs strong growth, itŌĆÖs little wonder that the question being asked is:Will a dovish US Fed trigger a sustained bull run? Fund-tracker EPFR said of the week ending August 21, ŌĆśŌĆÖ While fund groups with emerging Asian mandates continue to be the major driver of overall flows, the latest week saw the diversified Global Emerging Markets (GEM) Equity Funds post their biggest inflow since mid-May.ŌĆÖŌĆÖ If foreign portfolio inflows into India turn net positive, it will further add to the huge amount of domestic liquidity already sloshing around in the markets. One example of that liquidity is the Premier Energies IPOŌĆöthis Rs 2830 crore IPO received bids worth more than Rs 1.48 lakh crore. Moneycontrol ProŌĆÖsSachin Pal, writing about the IPO, had recommended, "Considering the euphoria surrounding recent public listings, investors could look to subscribe into the IPO for listing gains.ŌĆÖŌĆÖ Investors seem to have taken his advice to heart. The hysteria in SME IPOs about which we wrotehereandhere, is another indication of irrational exuberance.FT columnist Gillian Tett┬Āsays that markets should beware of becoming too complacent. No wonder then that some investors are asking, asLarissa Fernand writes: ŌĆśŌĆÖSell or hold? Buy or wait?ŌĆØ She says those questions should be followed by another one: ŌĆ£If I end up making a mistake, which mistake will I regret less?ŌĆÖŌĆÖ Cheers, Manas Chakravarty Here, in case you missed them, are some of the stories and insights we published this week, apart from our technical picks in the equity, commodity and forex markets: ┬Ā Stocks SAMHI Hotels, What makes us cautious onCreditAccess Grameen┬Ādespite strong return ratios,LIC Housing Finance,PVR INOX, ECOS India Mobility┬ĀIPO,Control Print,RILŌĆÖs bonus issue,Fertiliser stocks,Power Grid,RIL,Baazar Style IPO,Weekly tactical pick,Rainbow ChildrenŌĆÖs Medicare, Markets The disconnect between the reaction ofFed Funds market and US equities after PowellŌĆÖs speech Korean giants┬Ātarget Indian investors Financial Times Thisgold rush┬Āhas staying power ChinaŌĆÖs debt divide┬Āis hurting its economy What politicians forget in theimmigration balancing┬Āact Companies and sectors WhatBHPŌĆÖs commodity outlook┬Āsays about copper, iron ore KiranaŌĆÖs FMCG channel┬Āshare is steady in 2024, so whereŌĆÖs the threat? Cementmakers firm up capacity addition plans DLF Deteriorating farm incomes in US can pose freshchallenges to agriculture inputs exporters AreMFIs pushing too much credit┬Āto the borrower? Large companies are getting stronger in Indian pharma┬Āmarket High attrition┬Āmay cool off for banks Growth potential sees competition hotting up inQuick Commerce RILŌĆÖs bonus bonanza More Indians are becoming credit aware┬Āto be credit worthy Economy and policy Government dilutes NPS┬Āas political compulsions gain the upper hand Unified Pension Scheme┬ĀŌĆō Two birds with one stone, or a step back in time? What the income tax data tell us┬Āabout the premiumisation trend ULI can make the credit process quicker; the tricky part is recovery The red herring┬Āof bank deposits being diverted to mutual funds Rules key to success ofpersonal data law Decoding Economics:Who uses Generative AI and for what? Pro Economic Tracker Ensuringresponsible AI in finance: A suggested regulatory framework for India Sporadic banswonŌĆÖt fix the ŌĆśŌĆÖirrational drugsŌĆÖŌĆÖ problem Geopolitics Growinganti-India sentiment in Bangladesh Does India have any real influence┬Āon todayŌĆÖs geopolitical rivalries? What dostronger ties with Singapore┬Āmean for India? Personal Finance How togive your SIP a booster dose Why areaggressive hybrid funds┬Āa good bet in volatile markets? IsNet SIP a misnomer? Niche, narrow mutual fund themesmay get messy for investors: Jitendra Sriram, Baroda BNP Paribas MF

2024-08-31 10:01

moneycontrol.com

https://www.moneycontrol.com/news/business/commodities/commodity-investors-to-focus-on-us-jobs-report-next-week-for-clues-on-fed-rate-cut-path-12811347.html

Commodity investors to focus on US jobs report next week for clues on Fed rate cut path

Commodities in focus.Related stories.

By Kaynat Chainwala, AVP Commodity Research at Kotak Securities Markets struggled for direction in the volatile week ended August 30 as investors digested US data releases which added to conviction of a 25 bps rate cut in September. Dollar swung between gains and losses last week but managed to close with a 1 percent upside near 101.8 levels as moderating inflation in the US reinforced the view that Fed is likely to implement a modest 25 bps rate cut in September. US Personal Consumption Expenditures (PCE) held steady at 2.5 percent year-over-year in July in line with estimates, Core gauge was slightly lower than expected at 2.6 percent. Also, consumer spending, key driver of the US economic growth, grew by 0.5 percent in July, hinting towards continued resilience early in the third quarter following a 3 percent annualized growth rate in the second quarter. Still, dollar closed August down 2.2 percent, marking its biggest monthly decline of the year. Meanwhile, the S&P 500 and Dow Jones both posted their fourth consecutive monthly gain, supported by easing concerns of a US recession. Comex gold closed the week 0.5 percent lower at $2536 per troy ounce retreating sharply from $2560 per troy ounce on Friday as resilient consumer spending, cooling inflation and better-than-expected GDP growth reduced likelihood of a more aggressive easing. Gold prices had surged to $2564 per troy ounce earlier in the week buoyed by weaker dollar and safe haven bids. Comex silver closed the week 2 percent lower pulling back from $30 per troy ounce owing to sharp rebound in dollar and weakness in gold prices. LME base metals too erased all the gains made earlier and closed the week lower weighed down further by growing concerns that China might not meet its 5 percent growth target for 2024. Despite this, metals closed August on a positive buoyed by hopes of soft landing in the US and rising expectations of a Fed Pivot. WTI crude tumbled below $74 per barrel and closed the second consecutive month on a weaker note, as reports of OPEC+ planned output hike from October and demand concerns from China, world’s top importer, far outweighed supply disruptions from Libya and planned output cuts by Iraq. Libya’s National Oil Corporation reported a drop of 1.5 million barrels in output and a $120 million revenue loss from August 26 to 28 due to force majeure. Oil prices may continue to be volatile as markets weigh the potential impact of further drop in Libyan output against OPEC+ supply adjustments. On the daily chart, MCX Crude Oil (September Futures) witnessed resistance near its 200 period ‘Simple Moving Average’ hovering around Rs 6,496 (dynamic resistance). Also, price has breached below its ‘Bollinger Band Mean’ confirming weakness. Next support for the counter is placed at Rs 6,000, below which major support is placed at Rs 5,850. Next week starting from September 2, investors will be keenly focused on the US labour report, which is expected to be a critical indicator for assessing recession risks. A weaker-than-expected jobs report could dampen market sentiment and intensify calls for the Federal Reserve to implement a 50 basis point rate cut. While a better-than-expected report might not provoke a significant reaction as it doesn’t alter current rate cut expectations. Metals and crude oil may face a challenging start, as China’s manufacturing PMI contracted for the fourth consecutive month in August, indicating weak economic momentum and fuelling calls for fresh stimulus.

2024-08-31 18:36

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/gujarat-gas-board-approves-merger-demerger-plan-involving-gspc-and-gspl-12811485.html

Gujarat Gas board approves merger, demerger plan involving GSPC and GSPL

Gujarat Gas shares have tanked over 10 percent in the past month..Related stories.

The board of Gujarat Gas Limited (GGL) approved a scheme of arrangement and amalgamation on August 30, involving Gujarat State Petroleum Corporation Limited (GSPC), GSPC Energy Limited, and Gujarat State Petronet Limited (GSPL) merging into GGL. The arrangement outlines the integration of GSPC, GSPL, and GEL with GGL. Additionally, the scheme involves the demerger of GGL's Gas Transmission Business, which will be carved out and listed separately as GSPL Transmission Limited (GTL) on stock exchanges. The proposal specifies the shareholding arrangements for the existing shareholders of GSPL and GSPC. Read:ÂDalal Street Week Ahead: Manufacturing, services PMI, US economic data among 10 key factors to watch According to GGL’s exchange filing, the merger aims to foster business synergies and growth, simplify the GSPC Group Holding Structure, unlock shareholder value, enhance operational efficiency, expand business scale, and ensure optimal resource utilization. GSPC is primarily involved in natural gas trading and exploration and production activities, while GSPL operates in the natural gas transmission sector through its pipeline network. GGL focuses on city gas distribution and managing the delivery of gas from supply points to end-users. Read more:ÂBajaj Housing Finance IPO to open between September 9-11; to raise Rs 6,560 crore The scheme is subject to regulatory approvals, including those from the Ministry of Corporate Affairs, National Stock Exchange of India, BSE, SEBI, shareholders, and creditors. On August 30, shares of GGL closed at Rs 605.50, up 0.36 percent. Shareholding arrangements under the scheme include the issuance of 10 equity shares of Rs 2 each in GGL for every 305 equity shares of Rs 1 each held in GSPC. Similarly, GSPL shareholders will receive 10 equity shares of Rs 2 each in GGL for every 13 equity shares of Rs 10 held in GSPL. GSPL shares ended at Rs 442.35, gaining 5.50 percent on the same day. Regarding the new transmission entity, GGL shareholders will receive 1 equity share of Rs 10 each in GSPL Transmission Limited (GTL) for every 3 equity shares of Rs 2 held in GGL. Gujarat Gas shares have tanked over 10 percent in the past month.

2024-09-01 10:39

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/trade-spotlight-how-should-you-trade-upl-glenmark-pharma-gspl-radico-khaitan-rvnl-and-others-on-monday-12811400.html

Trade Spotlight: How should you trade UPL, Glenmark Pharma, GSPL, Radico Khaitan, RVNL, and others on Monday?

Stocks Picks for Short Term.Related stories.

The benchmark indices continued their record-high streak despite volatility on August 30, with 1,366 shares advancing and 985 shares declining on the NSE. The market may consolidate before showing further upward movement in the coming sessions. Below are some trading ideas for the near term: Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities Rail Vikas Nigam| CMP: Rs 607.4 The weekly timeframe chart of RVNL indicates an attempt at an upside breakout from its weekly range movement. The stock price is currently trying to break out decisively from a down-sloping trendline and a narrow range on the daily chart around Rs 600-610 levels. Volume has started to expand during this upside breakout, and the daily RSI (Relative Strength Index) shows a positive indication. Strategy: Buy Target: Rs 665 Stop-Loss: Rs 570 Radico Khaitan: Rs 1,942 After moving into a larger high-low range over the last 4-5 months, Radico Khaitan's price is now attempting a decisive breakout of this range at Rs 1,880-1,900 levels. Following a sustainable upmove in the previous week, the stock has continued its upward momentum and closed above the hurdle. Volume has started to expand during this breakout, and the weekly RSI has moved above the crucial upper 60 level. Strategy: Buy Target: Rs 2,155 Stop-Loss: Rs 1,870 Oberoi Realty| CMP: Rs 1,772 The consolidation movement of the past month in Oberoi Realty seems to be ending soon. The stock price is now on the verge of breaking above the upper band around Rs 1,800. It has been trading above the key lower support of the 20-week EMA (Exponential Moving Average) and has moved above the immediate resistance of the 10-week EMA for the past week. Volume and RSI patterns are indicating a positive bias for the stock price ahead. Strategy: Buy Target: Rs 1,960 Stop-Loss: Rs 1,685 Rajesh Palviya, Senior Vice President Research (Head Technical Derivatives) at Axis Securities Gujarat State Petronet| CMP: Rs 442.6 Since August 2021, Gujarat State Petronet (GSPL) has been consolidating within a "Cup & Handle" formation. With this month's 30 percent price hike, the stock has decisively broken out of the pattern at Rs 395 on a monthly closing basis. This breakout is accompanied by high volumes, indicating increased momentum. The stock has recently recaptured its 20, 50, 100, and 200-day SMA (Simple Moving Average) and rebounded sharply, reconfirming a bullish trend. The daily, weekly, and monthly "Band Bollinger" buy signals show increased momentum. The RSI across all time frames is in positive territory, justifying rising strength. Investors should buy, hold, and accumulate this stock with an expected upside of Rs 485-585, with a downside support zone of Rs 410-390 levels. Strategy: Buy Target: Rs 485, Rs 585 Stop-Loss: Rs 410 Glenmark Pharmaceuticals| CMP: Rs 1,731.75 Glenmark is in a strong uptrend across all time frames, showing bullish sentiment. The stock is well above its 20, 50, 100, and 200-day SMA, which are also rising along with the price, reaffirming the bullish trend. The daily, weekly, and monthly RSI indicators are in positive territory, reflecting rising strength. The stock is trending higher in an "up-sloping Channel," which supports sustained strength and trend. Investors should buy, hold, and accumulate this stock with an expected upside of Rs 1,800-1,885, with a downside support zone of Rs 1,675-1,575 levels. Strategy: Buy Target: Rs 1,800, Rs 1,885 Stop-Loss: Rs 1,675 Rajesh Bhosale, Technical Analyst at Angel One UPL| CMP: Rs 598.35 On the weekly chart, UPL has confirmed a bullish reversal pattern known as the ‘Inverse Head and Shoulders.’ This pattern was validated on Friday with strong volumes and a bullish candle, marking a breakaway gap. Additionally, the stock closed above the 89-week EMA, which had previously acted as significant resistance but now suggests a shift in polarity. The RSI on the weekly chart has also moved past the 60 mark, a level it has struggled to surpass for over 18 months, indicating a potential shift in momentum to the upside. Hence, we recommend buying UPL around Rs 598 - Rs 595. Strategy: Buy Target: Rs 650 Stop-Loss: Rs 571 Home First Finance Company India| CMP: Rs 1,153 Following a sharp rise from Rs 770 to Rs 1,100 in June, prices entered a period of time-wise correction. However, they have now resumed their primary uptrend by breaking out of this congestion zone. Volume activity, which was subdued during the correction, has picked up, confirming the validity of the breakout. With the highest weekly closing recorded, we anticipate that the positive momentum will continue in the near term. Hence, we recommend buying Home First Finance Company around Rs 1,153 - Rs 1,145. Strategy: Buy Target: Rs 1,250 Stop-Loss: Rs 1,098 Jigar S Patel, Senior Manager - Equity Research at Anand Rathi Som Distilleries and Breweries| CMP: Rs 112.2 Som Distilleries reached a peak of approximately Rs 149 in May 2024. Since then, the stock has experienced a significant decline, losing about 29 percent in price. This sharp drop brought the stock down to a critical support level, forming a triple bottom pattern within the range of Rs 105-108. The triple bottom pattern, occurring at a previous demand zone, is often considered a bullish signal, suggesting that the stock has found strong support at these levels and may be poised for a reversal. In the most recent trading session, the stock saw a surge in trading volume, indicating renewed investor interest. The price action in this session was strong enough to break through a 3-4 month-long bearish trendline, signaling a potential shift from a downtrend to an uptrend. Additionally, a similar trendline violation has been observed in the RSI on the daily chart, further confirming the bullish momentum. These technical developments make the stock an attractive buy candidate at current levels. Based on this analysis, we recommend going long in the price range of Rs 110-114, targeting Rs 128. To manage risk, a stop-loss should be placed at Rs 104 on a daily closing basis, ensuring protection against any further downside. Strategy: Buy Target: Rs 128 Stop-Loss: Rs 104 Hikal| CMP: Rs 329.3 Between March 2023 and June 2024, Hikal was in a consolidation phase, trading within a relatively narrow range of Rs 260 to Rs 320. This prolonged consolidation period suggests that the stock was in a phase of accumulation, where neither buyers nor sellers had the upper hand. However, the stock eventually broke out of this range, supported by significant trading volume, which is often a strong indicator of a shift in market sentiment towards bullishness.Following this breakout, Hikal rallied by nearly Rs 40, underscoring the strength of the breakout. Despite this rally, the recent correction in the stock price presents a renewed buying opportunity. From a technical perspective, the weekly Ichimoku base line is now acting as a crucial support level, aligning closely with the breakout range. This confluence of support levels suggests that the stock is well-positioned for further upside, making it a compelling buy. Given these technical indicators, it is advisable to buy Hikal within the price range of Rs 325 to Rs 335. The stock shows potential for an upside target of Rs 400, which represents a significant gain from current levels. To manage downside risk, a stop-loss should be placed at Rs 295 on a daily closing basis, ensuring that any potential losses are limited if the stock fails to hold its support levels. Strategy: Buy Target: Rs 400 Stop-Loss: Rs 295 Patel Engineering| CMP: Rs 57.21 After reaching a peak around the Rs 70 mark in July 2024, Patel Engineering experienced a notable correction, losing 27 percent from its recent high. This sharp pullback brought the stock down to a critical support level, located within the demand zone of Rs 50-53, a level that previously acted as a strong support during its prior uptrend. At this crucial support level, a bullish BAT pattern has emerged—a harmonic pattern known for signaling potential bullish reversals. The bullish bat pattern is typically formed when the price action retraces to specific Fibonacci levels, indicating that the stock is poised for a reversal from its recent decline. The emergence of this pattern, combined with the stock finding support at a key demand zone, creates a strong confluence of technical indicators pointing towards a potential upward move. Given these favourable technical signals, the current price levels are considered attractive for buying. Therefore, it is recommended to buy the stock within the Rs 55-58 range, with a target of Rs 68. To manage risk and protect against further downside, a stop-loss should be placed near Rs 51 on a daily closing basis. Strategy: Buy Target: Rs 68 Stop-Loss: Rs 51

2024-09-01 15:42

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/new-sebi-f-23-stocks-at-risk-of-exclusion-12811138.html

New SEBI F&O criteria implemented; 23 stocks at risk of exclusion

According to the new guidelines, stocks in the F&O segment that fail to meet the criteria for three consecutive months on a rolling basis will be removed. The guidelines also state that no new contracts will be issued for these stocks once they exit the F&O segment..Related stories.

SEBI has implemented new eligibility criteria for stocks in the Futures and Options (F&O) segment. The criteria, according to a note from IIFL is largely unchanged from the proposal released on June 28, 2024, and requires stock exchanges to adjust their rules and regulations accordingly. The circular is effective immediately, with a six-month gestation period for existing stocks to meet the new norms. According to the new guidelines, stocks in the F&O segment that fail to meet the criteria for three consecutive months on a rolling basis will be removed. The guidelines also state that no new contracts will be issued for these stocks once they exit the F&O segment. Also read:ÂKal Ho Na Ho: Sebi Chairperson open to taking some derivative products off the market, says market understands "regulatory risk" According to SEBI's circular, the stock's Median Quarter Sigma Order Size (MQSOS) must now be at least Rs 75 lakh, up from the previous Rs 25 lakh. Additionally, the Market Wide Position Limit (MWPL) has been increased to at least Rs 1,500 crore from Rs 500 crore. The stock's Average Daily Delivery Value in the cash market must now be at least Rs 35 crore, up from Rs 10 crore, due to a significant increase in average daily delivery value. A total of 23 stocks are potential candidates for exclusion from the F&O segment based on the new criteria, according to the IIFL Alternative's note. These include Laurus Labs (open interest of Rs 1,166 crore), Ramco Cements (Rs 910 crore), Deepak Nitrite (Rs 695 crore), Atul Ltd (Rs 656 crore), Torrent Pharmaceuticals (Rs 652 crore), and Chambal Fertilizers (Rs 640 crore). Other potential exclusions are Gujarat Gas, Coromandel International, Granules India, Sun TV Network, Syngene International, City Union Bank, Gujarat Narmada Valley Fertilizers & Chemicals (GNFC), Can Fin Homes, Bata India, Dr. Lal PathLabs, Abbott India, United Breweries (UBL), IPCA Laboratories, Metropolis Healthcare, Indiamart Intermesh, Mahanagar Gas (MGL), and JK Cement. Analysts at Nuvama estimate that around 18 stocks could be at risk for exclusion. This includes Abbott India, Sun TV Network, Metropolis Healthcare, Ipca Labs, Gujarat Gas, Granules India, Can Fin Homes, Mahanagar Gas, Atul, GNFC, Indiamart Intermesh, Bata India, United Breweries, Syngene, City Union Bank, IDFC, Coromandel International, and Dr. Lal Pathlabs. On the other hand, stocks such as Zomato, Adani Green, Jio Financial, DMart, and Tata Technologies could be included.

2024-09-02 07:34

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/primary-market-action-keep-an-eye-on-6-ipos-launch-10-listings-lined-up-next-week-12811599.html

Primary Market Action: Keep an eye on 6 IPOs launch, 10 listings lined up this week

IPOs lined up next week.Related stories.

The flow of IPOs seems to be unstoppable given the healthy equity market conditions and consistently increasing domestic inflow as well as the amount pumped in by foreign institutional investors in the primary market. In the week ahead starting from September 2, investors will get the opportunity to invest in six IPOs including one from the mainboard segment. Gala Precision Engineering IPO The Maharashtra-based precision components manufacturer will open its Rs 168-crore initial public offering on September 2, with a price band of Rs 503-529 per share. The IPO comprises fresh issuance of equity shares worth Rs 135.34 crore and an offer-for-sale of 6.16 lakh shares worth Rs 32.59 crore by existing shareholders including promoters. The final day of subscription would be September 4. Jeyyam Global Foods IPO The remainder five public issues are from the SME segment with Jeyyam Global Foods being the first to hit Dalal Street on September 2. The food company targets toraise Rs 81.94 crorethrough IPO at the upper end of the price band of Rs 59-61 per share, during three days till September 4. The IPO is a combination of a fresh issue of 1.2 crore equity shares worth Rs 73.74 crore and an offer-for-sale of 13.43 lakh shares worth Rs 8.19 crore. Naturewings Holidays IPO The Kolkata-based company that offers holiday packages will be the second IPO from the SME section, opening for subscription for three days from September 3 till September 5. It is a fixed-price issue. The company aims to raise Rs 7.03 crore via public issue of 9.5 lakh equity shares at a price of Rs 74 per share. Mach Conferences and Events IPO The company that specialises in conference management, exhibition management and global event planning will launch itsRs 125.3-crore maiden public issue on September 4, with a price band at Rs 214-225 per share. It targets to mobilise Rs 50.15 crore via the fresh issue of 22.29 lakh equity shares, and Rs 75.13 crore through the offer-for-sale route. The offer will close on September 6. Namo eWaste Management IPO New Delhi-based Namo eWaste, which offers collection, disposal, and recycling of e-waste services will come out with itsRs 51.2-crore initial public offeringon September 4. The price band for the book-built issue, which closes on September 6, has been fixed at Rs 80-85 per share. It is a sole fresh issue by the company. My Mudra Fincorp IPO This will be the last public issue from the SME segment this week. The IPO of New Delhi-based My Mudra Fincorp that specialises in the distribution and sales of financial products as channel partner will open on September 5, with price band at Rs 104-110 per share. It targets to mop up Rs 33.26 crore at the upper price band. In addition,Travels & Rentalswill close its public issue on September 2, andBoss Packaging Solutionson September 3, while the bidding for fashion retailerBaazar Style Retail's IPOwill continue till September 3. Listing Solar cell and solar panel manufacturer Premier Energies will be the first to debut on the BSE and NSE this week on September 3. The participants will get shares in their demat accounts by September 2, while the final issue price has been fixed at Rs 450 per share. Chauffeur-driven car rental service provider Ecos India Mobility and Hospitality will finalise the basis of allotment of IPO shares by September 2 and its shares will list on the bourses on September 4. Also read:ÂEcos Mobility IPO trades at over 40% premium in grey market; share allotment on Sept 2, here's how to check status online In addition, trading in Baazar Style Retail shares will also commence on the bourses this week, effective September 6. In the grey market, an unofficial market for trading in IPO shares till the listing, Premier Energies shares traded at double the issue price of Rs 450 per share, while Ecos India Mobility shares were available at around 45 percent premium over the upper price band and Style Baazar shares attracted around 25-30 percent premium, the market observers said. From the SME segment, Indian Phosphate, Vdeal System, and Jay Bee Laminations will be listed on the NSE Emerge on September 3, while the trading in Paramatrix Technologies, and Aeron Composite shares will commence on the NSE Emerge, effective September 4. Travels & Rentals will debut on the BSE SME on September 5, followed by Boss Packaging Solutions shares on the NSE Emerge on September 6.

2024-09-02 06:33

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/dow-notches-record-high-close-after-upbeat-economic-data-12811150.html

Dow notches record high close after upbeat economic data

Wall Street.Related stories.

Wall Street stocks rose and the Dow scored a second consecutive all-time closing high on Friday, with Tesla and Amazon climbing after fresh U.S. economic data raised expectations that the Federal Reserve will cut interest rates modestly in September. US consumer spending increased solidly in July, suggesting the economy remained strong while prices rose moderately. "Investors are seeing another sign of being in a soft landing," said Cameron Dawson, chief investment officer at Newedge Wealth. "It's another one of those Goldilocks kind of reports really threading a needle right down the center. The market is really getting exactly what it wanted." A "just-right" Goldilocks economy has steady growth, but not too much that it fuels excessive inflation. Amazon.com and Tesla each jumped over 3%. Broadcom rallied nearly 4%, while Marvell Technology surged 9% after the chipmaker forecast quarterly results above estimates. The personal consumption expenditures report came on Friday after Fed Chair Jerome Powell last week expressed support for an imminent policy adjustment.Economic data next week includes the Labor Department's August jobs report, due on Friday. Money markets suggest traders mostly expect the Fed to cut rates by 25 basis points in September, with odds of a 50 basis point cut dimming further after Friday's data, according to CME Group's FedWatch Tool. Friday ended a tumultuous month on Wall Street after signs of a sudden moderation in the labor market in early August sparked fears of a U.S. recession. The influence of the Japanese yen carry trade worsened the rout. Shares have rebounded since then, with the S&P 500 trading near record highs. Ahead of Monday's U.S. stock market holiday for Labor Day, volume on U.S. exchanges was relatively light, with 11.2 billion shares traded, compared to an average of 11.4 billion shares over the previous 20 sessions. The S&P 500 climbed 1.01% to end at 5,648.40 points. The Nasdaq Composite Index climbed 1.13% to 17,713.62 points, while the Dow Jones Industrial Average rose 0.55% to 41,563.08 points. All 11 S&P 500 sector indexes rose, led by consumer discretionary, up 1.9%, followed by a 1.1% gain in industrials. For the month, the S&P 500 rose 2.3%, the Dow added 1.8% and the Nasdaq climbed 0.6%. Nvidia rose 1.5%, rebounding from a 6.4% drop on Thursday after the artificial intelligence-chip bellwether failed to match sky-high investor expectations, despite upbeat results and a broadly in-line forecast. Novavax surged 8.6% after the U.S. Food and Drug Administration granted emergency use authorization for an updated version of its COVID shot. Ulta Beauty slid 4% after it trimmed its annual results forecasts, citing slowing demand for higher-priced cosmetics and fragrances at its stores. Intel jumped almost 10% following a report it was exploring options that could include a merger. Dell Technologies, another AI-related stock, advanced 4.3% after lifting its annual revenue and profit forecasts, opens new tab. Shares of Trump Media & Technology Group, majority owned by former U.S. President Donald Trump, dipped 1.7% to a record low, leaving its stock market value at $3.9 billion. Advancing issues outnumbered falling ones within the S&P 500 by a 6.6-to-one ratio. The S&P 500 posted 79 new highs and two new lows; the Nasdaq recorded 84 new highs and 77 new lows.

2024-08-31 09:59

moneycontrol.com

https://www.moneycontrol.com/news/trends/expert-columns/trading-options-with-ratio-combinations-a-convenience-yet-a-responsibility-shubham-agarwal-12811151.html

Trading options with ratio combinations, a convenience yet a responsibility: Shubham Agarwal

F&O Cues.Related stories.

Shubham Agarwal Options trading time again shows us how convenient it is to accentuate the benefit of a favorable situation or many times how convenient it is to minimize the impact of an unfavorable situation. One such window of opportunity in Options trading is presented by trading Option Combinations comprising of Ratios. Ratios are not so widely used and discussed due to its incremental legs, in other words requirement of execution of 3 trades to take position in one underlying. Still they have a specific time and place where nothing else would work as effectively as Ratios. We will understand what are these ratios and the correct time and place to get the most Convenience out of them Responsibly one by one. #1 Ratio Spreads:Let us first discuss the Ratio Spreads with one Buy position coupled with multiple Sell positions in Option. Typically, a Call Ratio Spread would involve Buying a Call Option with strike close to the current market price and Selling 2 Lots of at least 2 steps higher Strike Call Options. Similarly, a Put Ratio spread would involve buying near CMP Put strike and selling 2 lots of at least 2 steps lower Put options. The obvious threat here is the additional selling which is done. It brings in a threat of losing out on super performance in our favor due to the additional option sold. But as I said there is a time and place that would require a solution like this. Meaning, that the last 5-7 sessions of the expiry are when the time value decay is at its highest and that is where the single options bought might actually be outdone in terms of stock price sensitivity by the time value decay. Here’s where we should deploy Ratios starting from last Friday of the expiry. Quite possibly even if it takes a couple of sessions a two-strike-apart ratio would let one have profits when the stock reaches the sold strike. Convenience: This trade would give a lot of advantage against the peril of Time Value Decay. The stop loss would be minuscule and given time would outperform single Call. Responsibility: The exit strategy should be tightly executed especially the Booking of Profits or it could turn ugly. #2 Back Ratio Spreads:This is actually the other way around where one would Sell the Call or Put close to the current market price of the underlying and Buy 2 Lots of Higher Call/ Lower Put. This is the trade that comes into play when we have a long month ahead of us and the premiums are fat. The situation requires us to have movement of large proportions in a few days. The issue with these movements is a Single Option with Fat premium would impose a large loss, while the Back Ratio would have a compounding impact of 2 Options doing the one Short Option. The best execution of this trade is when we have some sort of event-led excitement expected in the underlying in the Beginning of the expiry Convenience: If there is a big move in favor we make money while if things do not work out and no matter how lethal is unfavorable move the losses are super small or at times there could be a profit from a huge unfavorable move. Responsibility: With two Options long we are heavily negative on time value decay impact so need to make sure we execute the trade with at least 3 weeks to expiry and get rid of the trade within at the most 5 days of execution. Thus, Ratios can help us get over the peculiar pain points of the Options trading with a Responsible deployment in the aforementioned use cases.

2024-08-31 11:02

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/trade-setup-for-monday-top-15-things-to-know-before-the-opening-bell-70-12811110.html

Trade setup for Monday: Top 15 things to know before the opening bell

Nifty Uptrend.Related stories.

The market started off the September series on a positive note, with the Nifty 50 recording a new closing high of 25,236 on August 30, up 84 points, and continuing its uptrend for 12 consecutive days. The index sustained higher highs, a key driver, for the fifth consecutive session. Going forward, the 25,400-25,500 range is crucial to watch on the upside, as long as the index holds the 25,000 level, which is considered a sacrosanct support, on a closing basis, according to experts. Below are 15 data points we have collated to help you spot profitable trades: Here are 15 data points we have collated to help you spot profitable trades: 1)Key Levels For TheNifty 50 Resistance based on pivot points: 25,261, 25,277, and 25,303 Support based on pivot points: 25,208, 25,192, and 25,166 Special Formation: The Nifty 50 formed a small-bodied bearish candlestick pattern on the daily charts. However, the momentum indicators, RSI (Relative Strength Index) and MACD (Moving Average Convergence Divergence), maintained a positive bias. On the weekly timeframe, there was a long bullish candlestick pattern with above-average volumes. The index continued to record higher tops and higher bottoms for the third consecutive week, which is a positive sign. 2)Key Levels For TheBank Nifty Resistance based on pivot points: 51,438, 51,488, and 51,569 Support based on pivot points: 51,277, 51,228, and 51,147 Resistance based on Fibonacci retracement: 51,523, 51,953 Support based on Fibonacci retracement: 50,597, 49,736 Special Formation: The Bank Nifty reported a bearish candlestick pattern with significantly higher volumes but remained above the downward-sloping resistance trendline for the fourth straight session and above all key moving averages, gaining 198 points to close at 51,351. On the weekly scale, it was up 0.82 percent, continuing its uptrend for the third consecutive session, especially after a Tweezer Bottom pattern formation in the week ending August 16. 3)Nifty Call Options Data According to the weekly options data, the 26,000 strike holds the maximum open interest (with 65.26 lakh contracts). This level can act as a key resistance level for the Nifty in the short term. It was followed by the 26,500 strike (47.76 lakh contracts) and the 25,700 strike (44.03 lakh contracts). Maximum Call writing was seen at the 25,800 strike, which saw an addition of 24.28 lakh contracts, followed by the 26,500 and 25,700 strikes, which added 21.63 lakh and 21.45 lakh contracts, respectively. The maximum Call unwinding was seen at the 25,100 strike, which shed 2.94 lakh contracts, followed by the 25,000 and 25,200 strikes, which shed 2.86 lakh and 1.69 lakh contracts, respectively. 4)Nifty Put Options Data On the Put side, the maximum open interest was seen at the 25,000 strike (with 58.78 lakh contracts), which can act as a key support level for the Nifty. It was followed by the 25,200 strike (54.62 lakh contracts) and the 24,000 strike (49.71 lakh contracts). The maximum Put writing was observed at the 25,200 strike, which saw an addition of 32.23 lakh contracts, followed by the 25,000 and 25,300 strikes, with 18.55 lakh and 17.81 lakh contracts added, respectively, while there was hardly any Put unwinding seen. 5)Bank Nifty Call Options Data According to the weekly options data, the 51,500 strike holds the maximum open interest, with 25.89 lakh contracts. This can act as a key resistance level for the index in the short term. It was followed by the 52,000 strike (24.74 lakh contracts) and the 51,400 strike (14.98 lakh contracts). Maximum Call writing was visible at the 51,400 strike (with the addition of 5.76 lakh contracts), followed by the 52,000 strike (5.47 lakh contracts) and the 52,200 strike (5.23 lakh contracts), while the maximum Call unwinding was seen at the 51,200 strike, which shed 5.79 lakh contracts, followed by the 51,000 and 51,100 strikes, which shed 3.09 lakh and 2.2 lakh contracts respectively. 6)Bank Nifty Put Options Data On the Put side, the maximum open interest was seen at the 51,000 strike (with 20.66 lakh contracts), which can act as a key support level for the index. This was followed by the 50,000 strike (17.61 lakh contracts) and the 50,800 strike (14.06 lakh contracts). The maximum Put writing was observed at the 51,400 strike (which added 8.58 lakh contracts), followed by the 50,800 strike (7.85 lakh contracts) and the 50,000 strike (6.21 lakh contracts), while the maximum Put unwinding was seen at the 50,300 strike, which shed 1.14 lakh contracts, followed by the 50,400 strike, which shed 14,220 contracts. 7)Funds Flow (Rs crore) 8)Put-Call Ratio The Nifty Put-Call ratio (PCR), which indicates the mood of the market, fell to 1.41 on August 30, from 1.42 levels in the previous session. The increasing PCR, or being higher than 0.7 or surpassing 1, means traders are selling more Put options than Call options, which generally indicates the firming up of a bullish sentiment in the market. If the ratio falls below 0.7 or moves towards 0.5, then it indicates selling in Calls is higher than selling in Puts, reflecting a bearish mood in the market. 9)India VIX The volatility index sustained below the 14 mark and all key moving averages on a closing basis, although it tested the 10-day EMA intraday for four days in a row, making the trend favourable for bulls. The India VIX, the fear gauge, declined by 2.86 percent to 13.39, continuing its downtrend for another session. For the week, it was down 1.18 percent. 10)Long Build-up (75 Stocks) A long build-up was seen in 75 stocks. An increase in open interest (OI) and price indicates a build-up of long positions. 11)Long Unwinding (9 Stocks) 9 stocks saw a decline in open interest (OI) along with a fall in price, indicating long unwinding. 12)Short Build-up (40 Stocks) 40 stocks saw an increase in OI along with a fall in price, indicating a build-up of short positions. 13)Short-Covering (60 Stocks) 60 stocks saw short-covering, meaning a decrease in OI, along with a price increase. 14)High Delivery Trades Here are the stocks that saw a high share of delivery trades. A high share of delivery reflects investing (as opposed to trading) interest in a stock. 15)Stocks Under F&O Ban Securities banned under the F&O segment include companies where derivative contracts cross 95 percent of the market-wide position limit. Stocks added to F&O ban: Balrampur Chini Mills Stocks retained in F&O ban: Nil Stocks removed from F&O ban: Nil Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

2024-09-01 17:24

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/broader-indices-hit-record-high-40-smallcaps-give-double-digit-return-12811153.html

Broader indices hit record high; 40 smallcaps give double digit return

Related stories.

The broader indices reached new record highs in the week ending August 30, though they underperformed compared to the main indices, which also surged to fresh all-time highs. This rally was fueled by positive global sentiment following the latest Jackson Hole meeting, where the outcome suggested a potential rate cut by the Federal Reserve in the upcoming September meeting. During the week, the BSE Midcap index, BSE Largecap index and BSE Smallcap index added 1.5 percent, 1.3 percent, and 0.6 percent, respectively. In this week, BSE Sensex hit a new high of 82,637.03 and ended 1.57 percent or 1279.56 points higher at 82,365.77. The Nifty50 index also touched a new high of 25,268.35 and closed 412.75 points or 1.66 percent higher at 25,235.9. Also Read -Small-, mid-caps outperform Nifty 50 in 2024 so far, Jefferies bullish on Amber Ent, V-Guard, Blue Star Foreign institutional investors (FIIs) sold equities worth Rs 19,139.76 crore, however, Domestic Institutional Investors (DII) bought equities worth Rs 20,871.10 crore. "The Nifty-50 Index and Sensex gained around 1.7% each in the past week, while the mid-cap index gained around 1.7% and small-cap index gained just 0.6% underperforming large-caps. Markets followed the bullish cues of global markets. US Fed Chair Jerome Powell’s statement in Jackson Hole signaling imminent rate cuts, as well as greater confidence in soft landing, helped prop up emerging markets, including India," said Shrikant Chouhan, Head of Equity Research, Kotak Securities. The BSE Small-cap index rose 0.6 percent with Bhageria Industries, NIIT, Gujarat State Petronet, Goodluck India, Datamatics Global Services, Godfrey Phillips India, Globus Spirits, Tata Investment Corp, RPSG Ventures, Geojit Financial Services, Ram Ratna Wires, Kamdhenu, Vimta Labs, JM Financial, Quick Heal Technologies rose between 16-33. On the other hand, losers were Nahar Poly Films, Cosmo First, Jindal Poly Films, Reliance Power, TruCap Finance, Ester Industries, Minda Corp, ION Exchange India, Rane Madras, Quint Digital, Uflex, Cressanda Solutions, Cochin Shipyard, RACL Geartech, among others. Where is Nifty50 headed? Rupak De, Senior Technical Analyst, LKP Securities The market strength is likely to persist as long as the index stays above 25,000. A drop below this level could trigger a significant correction. On the upside, the current optimism could drive the index towards 25,500 in the near term. Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas We shall continue to ride the upmove. On the upside, we expect the Nifty to target levels of 25500. On the downside, the crucial support base is placed at 25000 – 24900. We shall continue to ride the upmove with a trailing stop loss mechanism. Siddhartha Khemka, Head - Research, Wealth Management, Motilal Oswal Financial Services We expect the market to continue its northbound journey with stock-specific action. Global macro data which will be released during the week will continue to provide cues to domestic equities. Sector-wise, Auto will remain in focus as OEMs will announce their monthly sales numbers.

2024-08-31 11:25

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/nbcc-approves-bonus-shares-in-12-ratio-record-date-set-as-oct-7-12811350.html

NBCC approves bonus shares in 1:2 ratio; record date set as Oct 7

NBCC further stated that the bonus shares are expected to be credited or dispatched within two months from the Board’s approval, by October 31, 2024..Related stories.

NBCC, a Navratna Central Public Sector Enterprise, informed exchanges on August 31 that the Board of Directors has recommended issuing Bonus Shares to shareholders at a 1:2 ratio, i.e., one new fully paid-up equity share of Rs 1 each will be issued for every two existing fully paid-up equity shares of Rs 1 each, to the eligible members of the Company as on Record Date. The record date to determine the eligibility of shareholders for the bonus shares has been set for October 7, 2024. "The Board of Directors has recommended the issuance of Bonus Shares to the Shareholders of the Company in the ratio of 1:2 i.e. 1 (One) new fully paid-up Equity Share of Rs 1/- (Rupee One Only) each for every 2 (Two) existing fully paid up Equity Share of Rs 1/- (Rupee One Only) each to the eligible members of the Company as on Record Date, subject to the approval of the Shareholders in the forthcoming Annual General Meeting," NBCC said in an exchange filing. "Board has fixed Monday, October 7, 2024 as Record date to determine the eligibility of members to receive bonus shares," it stated. The company plans to issue a total of 90 crore equity shares, each with a face value of Rs 1. The state-owned construction firm said bonus shares will be issued out of free reserves created from profits, as per the audited financial statements dated March 31, 2024. It stated the required free reserves for this bonus issue amount to Rs 90 crore, with the company holding a balance of Rs 1,959 crore in reserves and surplus. NBCC further stated that the bonus shares are expected to be credited or dispatched within two months from the Board’s approval, by October 31, 2024. The company earlier fixed the record date as September 6, 2024, for determining the eligibility of shareholders to receive final dividend of Rs 0.63 per equity share of Re 1 for FY 2023-24. NBCC sold 100 percent of the office and retail inventory worth approximately Rs 14,800 crore at its World Trade Centre (WTC) in Nauroji Nagar and Downtown in Sarojini Nagar in New Delhi. In recent developments, on August 14, NBCC’s subsidiary HSCC (India) secured a work order worth Rs 528.21 crore from the Directorate of Medical Education & Research, Haryana. This order is for procuring biomedical equipment and hospital furniture for the Pt. Deen Dayal Upadhyaya University of Health Sciences in Kutail, Karnal. Additionally, on August 9, the company received a significant Rs 15,000-crore order from the Srinagar Development Authority for developing a Satellite Township spanning 406 acres at Rakh-e-Gund Akshah, Bemina, Srinagar (J&K). On August 30, NBCC shares settled at Rs 186.37 apiece on the NSE, which was down Rs 8.45 or 4.34 percent lower than the previous day's close.

2024-08-31 19:22

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/mcap-of-8-of-top-10-most-valued-firms-surge-rs-1-53-lakh-cr-airtel-infosys-biggest-gainers-12811514.html

Mcap of 8 of top-10 most valued firms surge Rs 1.53 lakh cr; Airtel, Infosys biggest gainers

Last week, the BSE benchmark jumped 1,279.56 points or 1.57 percent..

The combined market valuation of eight of the top-10 most valued firms surged Rs 1,53,019.32 crore last week, with Bharti Airtel and IT majors Infosys, Tata Consultancy Services emerging as the biggest gainers, in line with a record rally in equities. Last week, the BSE benchmark jumped 1,279.56 points or 1.57  percent. Rallying for the ninth straight session on Friday, the 30-share BSE Sensex climbed 231.16 points or 0.28  percent to settle at an all-time closing high of 82,365.77. During the day, it jumped 502.42 points or 0.61  percent to hit a record intra-day peak of 82,637.03. The market valuation of Bharti Airtel soared Rs 47,194.86 crore to Rs 9,04,587.12 crore. Infosys added Rs 33,611.37 crore taking its valuation to Rs 8,06,880.50 crore. The valuation of Tata Consultancy Services (TCS) jumped Rs 31,784.9 crore to Rs 16,46,899.17 crore and that of ICICI Bank surged Rs 18,734.3 crore to Rs 8,66,374.41 crore. The market capitalisation (mcap) of Reliance Industries climbed Rs 13,396.42 crore to Rs 20,43,107.10 crore and that of HDFC Bank rallied Rs 5,600.24 crore to Rs 12,44,206.43 crore. The valuation of Life Insurance Corporation of India (LICI) went up by Rs 2,340.25 crore to Rs 6,73,390.88 crore and that of State Bank of India advanced Rs 356.98 crore to Rs 7,27,935.97 crore. However, the mcap of Hindustan Unilever slumped Rs 8,411.54 crore to Rs 6,52,739.95 crore and that of ITC declined by Rs 4,776.48 crore to Rs 6,27,587.76 crore. Reliance Industries continued to retain the title of the most valued firm followed by TCS, HDFC Bank, Bharti Airtel, ICICI Bank, Infosys, State Bank, LIC, Hindustan Unilever and ITC.

2024-09-01 11:34

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/daily-voice-this-fund-manager-explains-why-he-is-bullish-on-consumer-discretionary-domestic-cyclicals-segments-12811125.html

Daily Voice: This fund manager explains why he is bullish on consumer discretionary, domestic cyclicals segments

Anirudh Garg is the Partner and Fund Manager at Invasset.Related stories.

"We view consumer discretionary category as a major driver of growth and keep a bullish stance on stocks of consumer discretionary companies," Anirudh Garg, Partner and Fund Manager at Invasset, said in an interview toMoneycontrol. "The growth in incomes, the acceleration of urbanization, and an increase in the middle class, all contribute to the tremendous growth of the discretionary spending on such products like cars, electronic goods, travel, and leisure," he said, explaining one of reasons behind bullish stance on discretionary space. With more than 17 years of research experience in the stock market, Anirudh Garg, who leads the Quant team, also remains bullish on the domestic cyclical sectors, including power, capital expenditure (capex), and manufacturing, viewing the recent market trends as part of a broader "old economy" resurgence. Do you see the risk of NIM compression for the banking names given the possibility of beginning of interest rate cuts? Despite this, are you bullish on the space? The chance of interest rate cuts can firstly give rise to a case of net interest margin (NIM) compression in the banks, because lower rates may cut the spread between the interest revenue generated from the loans and the interest paid on the deposits. However, the impact is not uniform across all banking names. Those banks having strong CASA (Current Account Savings Account) balances and low-cost structures are the ones who can better endure this compression. Further, the sequences of rate punches are the major causes of triggering the interaction of credit activities and demand for increased credit which counterbalances some of the NIM pressure; thus, the influence on the economy of India could be one of the main causes. With the current quest for India's economic growth and digital financial inclusion in progress, we are still positive about certain banking names with outstanding fundamentals, high-quality asset portfolio, and diversified product offering. These factors, as part of a comprehensive approach that includes the efficient management of costs and the embrace of digital banking technologies, are likely to provide support to their profit and growth, although NIM compression is inevitable. Will India’s share in the global manufacturing space more than double in the next decade? The Indian market is expected to have an important spot in manufacturing on a global scale soon. Many factors are cited as reasons for such an upbeat outlook, such as government campaigns like Make in India, Production-Linked Incentive (PLI) schemes, and infrastructure investments. What is more desirable is the fact that India benefits from its demographic dividend: the country has a young and skilled workforce. The change in global supply chains, driven by the complex of geopolitical factors and the drive to reduce the China embracement also aids India's manufacturing quest. However, the difficulties including the infrastructure deficiencies, regulation issues, and the lack of high-tech progress must be resolved. If India effectively overcomes these obstacles, the country's production scale in the global market will greatly increase, thus making it possible for India to become a $ 5-trillion economy as it aspires. Will India maintain 6 percent economic growth in the coming years? India showing 6 percent economic growth in the coming years is a sustainable scenario as the best macroeconomic parameters include both, democratic dividend plus the reforms the government does. The country's growth is built on diverse economic sectors like the increased services, industrial, and economic parts. However, this growth will demand prolonged structural reforms, investments in infrastructure, and policies that stimulate innovation and entrepreneurship. Though there is a high degree of uncertainty concerning global scenarios of geopolitical conflicts, commodity price instability due to potential external interventions, India shows a strong domestic demand, is digitized, as well as is in the process of becoming a global manufacturing center, which gives a sound base for sustainable growth. A realistic goal of 6 percent is feasible with prudent fiscal care and wise policy decisions. Are you overweight on the consumer discretionary space? Due to the consumer space's favourable macroeconomic conditions and transforming customer buying patterns in India with the premiumization trends we are optimistic. The growth in incomes, the acceleration of urbanization, and an increase in the middle class, all contribute to the tremendous growth of discretionary spending on such products like cars, electronic goods, travel, and leisure. Moreover, the digital revolution has driven the e-commerce sector to flourish and it has given all the consumer discretionary companies new challenges thus supporting them. Although the threat of inflation and economic slowdown is there, the narrative of India's consumption is strong, due to its young population and improvement in consumer confidence. Companies that will stand out through the force of branding and novelty, alongside potent and well-organized distribution networks, predictably are going to capitalize the most. Therefore, we view this category as a major driver of growth and keep a bullish stance on stocks of consumer discretionary companies. Are you positive on the domestic cyclicals including power, capex, and manufacturing? We remain positive on the domestic cyclical sectors, including power, capital expenditure (capex), and manufacturing, viewing the recent market trends as part of a broader "old economy" resurgence. This resurgence is primarily driven by sectors sensitive to interest rates and focused on capital expenditure, which are pivotal in the current economic environment. While some stocks in the capex sector have experienced price corrections, we see this as a natural phase in market cycles, reflecting a period of consolidation and adjustment. These corrections may extend into a time correction phase, where prices stabilize over a period, preparing for the next growth leg. Despite these short-term fluctuations, the long-term outlook for these sectors remains robust. The government's emphasis on infrastructure development, energy transition, and "Make in India" initiatives provide a strong foundation for sustained growth. In the power sector, particularly renewables, substantial investments are expected to drive future expansion. Similarly, increased public and private sector spending on infrastructure, industrial projects, and smart cities indicates a promising capex cycle ahead. Manufacturing is also positioned to benefit from this momentum, supported by favourable government policies and a shift in global supply chains. Therefore, we maintain a bullish stance on domestic cyclicals, anticipating solid growth opportunities in the long term.

2024-08-31 07:22

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/asia-shares-steady-dollar-firm-before-jobs-test-12811775.html

Asia shares steady, dollar firm before jobs test

Brent fell 41 cents to $76.50 a barrel, while U.S. crude lost 38 cents to $73.17 per barrel..

Asian share markets got off to a quiet start on Monday as investors braced for a data-packed week culminating in a U.S. jobs report that could decide whether a rate cut expected this month will be regular or super-sized. A holiday in the United States and Canada made for thin liquidity, while wins for far-right parties in German state elections added a fresh layer of political uncertainty. The dollar was hanging on to gains made on Friday after upbeat spending figures led markets to trim the chance of a half-point easing from the Federal Reserve. Futures are 100% priced for a cut of 25 basis points on Sept. 18, and imply a 33% probability of 50 basis points. They also have 100 basis points of cuts priced in by December, and 120 basis points for 2025. The Bank of Canada is expected to cut again on Wednesday, with markets implying a 22% chance of 50 basis points. Crucial for the Fed will be the payrolls report on Friday where analysts look for a rise of 165,000 in jobs and a dip in the unemployment rate to 4.2%. ”The risks going into this crucial release seem highly asymmetric as a solid report is very unlikely to derail the September cut,” said Barclays economist Christian Keller. ”In contrast, a weak report would likely validate the popular narrative that the U.S. economy and labour market are on the precipice, necessitating a fast and deep cutting cycle, leading to another sharp repricing.” Fed Governor Christopher Waller and NY Fed President John Williams happen to be speaking after the job data, giving the market a near-instant reaction. Also important this week will be the ISM surveys, JOLTS job openings and ADP employment, trade and the Fed’s Beige Book. Those risks kept investors cautious and S&P 500 futures dipped 0.1%, while Nasdaq futures eased 0.2%. DOLLAR FINDS SUPPORT Asian markets mostly followed Friday’s rally on Wall Street, with Japan’s Nikkei up 1.0% and adding to last week’s 8.7% bounce. [.N] MSCI’s broadest index of Asia-Pacific shares outside Japan edged down 0.1%, while South Korean stocks were flat. Cash Treasuries were untraded for the holidays, while Treasury futures were little moved. Ten-year yields stood at 3.914% after rising in the wake of Friday’s inflation and spending data. [US/] That rise underpinned the U.S. dollar at 146.55 yen, having rallied 1.2% last week and it now faces chart resistance around 148.54. The euro was stuck at $1.1046, after losing 1.3% last week, with political uncertainty in Germany not helping. The European Central Bank (ECB) is considered certain to cut its rates by a quarter point next week following benign EU inflation figures. ”However, the path after is less clear with financial markets currently pricing around 1-1/2 cuts over the remaining two meetings of the year,” said Joseph Capurso, head of international economics at CBA. ”We have one more cut in 2024 after September, but acknowledge that it will be a close call between one or two more cuts.” The firmer dollar combined with higher bond yields to pressure gold prices at $2,502 an ounce, short of its recent all-time top of $2,531.60. Oil prices lost more ground as the market pondered the prospect of increased supply from OPEC+ in October. Brent fell 41 cents to $76.50 a barrel, while U.S. crude lost 38 cents to $73.17 per barrel.

2024-09-02 06:49

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/daily-voice-market-hopeful-for-robust-rebound-in-q2-earnings-but-this-cio-maintains-a-cautious-stance-12811442.html

Daily Voice: Market hopeful for robust rebound in Q2 earnings, but this CIO maintains a cautious stance

Shailendra Kumar is the Chief Investment Officer at Narnolia Financial Services.Related stories.

After the first quarter of fiscal 2025 signaling a deceleration in earnings growth, "the market is hopeful for a robust rebound in the second quarter, but we maintain a cautious stance," Shailendra Kumar, Chief Investment Officer at Narnolia Financial Services said in an interview toMoneycontrol. According to him, some price or time correction in the short term can't be ruled out, but he maintains a positive long-term view of investments. On the sectors front, he prefers banks, power sector capital expenditure stocks, automotive and automotive components, select new-age businesses, electronics manufacturing, data center opportunities, and circular economy-related stocks, said Shailendra with more than two decades of experience in fund management and investment advisory. Do you think the market will not see major correction in the rest of financial year? Whether the market will experience a price correction or remain in a period of consolidation will hinge on forthcoming news developments. The Nifty index is currently trading at a price-to-earnings ratio of 23.5, which is at the upper bound of its typical trading range of 20-24. Simultaneously, corporate earnings during the recently concluded quarterly results season were lacklustre. In contrast to the previous two financial years, where Nifty earnings per share grew by more than 20 percent, expectations for FY25 now have been revised downwards to around 10 percent. Therefore, while the Indian market maintains a bullish trajectory in the long term, prudence dictates some caution in the short term. Do you see any big trigger for the market, apart from Fed? The outcome of the US election is significant as it will have a wider impact on most of the financial markets, currency, commodities, bonds, and equities. Another key factor to consider in the near term is the US employment data scheduled for September 6th. The sharp market drop in early August was a direct result of the surprisingly poor employment figures released last month. FED policy measures remain a big trigger for the short-term movement. While the July policy minutes maintained a bit of a hawkish tone, the market is expecting a cut of 25 to more hopeful 50bps cuts. Is it the time to add big exposure to banks? Where do you see the strong opportunity of investment - private banks or PSU banks? Over the past four years, bank stocks have lagged behind the overall market as other sectors have experienced stronger growth. However, banks remain solid investments, and their valuations are currently attractive. It's advisable to gradually accumulate banking stocks, with a preference for private banks. We prefer private banks as the valuation differential with PSU banks has narrowed. Also, a sharp fall in provisioning and write-backs for PSU banks is behind, and net profit growth now will be more in line with the business growth where Private banks continue to do better. Are you bullish on the power financing space as well as other segments in the power space? Capacity addition in the power sector till 2031-32 is expected to be around 4.4 lakh MWH resulting in a capex requirement of around Rs 26.66 lakh crore. This is highly positive for power financing companies. Power demand in India has continuously grown at 7 percent per annum and now demand almost matches the supply in the market requiring urgent capex both for the coal-based power plants as well as renewables. This means good business for equipment manufacturers for power plants and transmission networks too. Do you see moderation in earnings growth in the current financial year? The first quarter of fiscal year 2025 has signaled a deceleration in earnings growth. While the market is hopeful for a robust rebound in the second quarter, we maintain a cautious stance. Do you see any possibility of a slowdown in domestic liquidity? If not, then where do you want to bet on? Domestic liquidity remains healthy, and we foresee no major shifts. In addition, foreign institutional investors' interest in recent block deals suggests a possible return following a market correction. Although we expect some price or time correction, we maintain a positive long-term view of investments. Our current investment preferences include banks, power sector capital expenditure stocks, automotive and automotive components, select new-age businesses, electronics manufacturing, data center opportunities, and circular economy-related stocks.

2024-09-01 07:04

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/dalal-street-week-ahead-manufacturing-services-pmi-us-economic-data-among-10-key-factors-to-watch-next-week-12811439.html

Dalal Street Week Ahead: Manufacturing, services PMI, US economic data among 10 key factors to watch next week

Dalal Street Week Ahead.Related stories.

The benchmark indices as well as broader markets recorded fresh all-time closing highs in the week ended August 30, with the Nifty 50 finishing the week above the psychological 25,000 mark for the first time, backed majorly by IT stocks on hope of fed funds rate cut expectations from the September policy meeting, and renewed FIIs' buying interest. Despite major correction in the beginning, the August month, too, closed higher with over a percent gains, continuing uptrend for third consecutive month. Moody's upgradedIndia’s GDP rating forecast(to 7.2 percent for 2024 and 6.6 percent for 2025 from earlier estimates of 6.8 percent and 6.4 percent, respectively), citing strong broad-based growth and healthy MSCI inflow, which also boosted market sentiment. On Monday, the market will first react to Q1 GDP numbers announced last Friday and auto sales data from some companies over the weekend. Overall, according to experts, the sentiment may remain positive despite likely intermittent consolidation and fresh highs can't be ruled out next week, with a focus on the global macro data and PMI numbers. During the last week, the BSE Sensex rallied 1.58 percent or 1,280 points to 82,366, and the Nifty 50 climbed 1.66 percent or 413 points to 25,236, while the Nifty Midcap 100 and Smallcap 100 indices gained 1.25 percent, and 1.19 percent, respectively. "We expect the market to continue its northbound journey with stock-specific action," Siddhartha Khemka, Head - Research, Wealth Management at Motilal Oswal Financial Services said. According to him, global macro data released during the week will continue to provide cues to domestic equities. Here are 10 key factors to watch: US Unemployment Rate Globally investors will focus majorly on several economic data points from the US including the unemployment rate, non-farm payrolls, monthly vehicle sales for August; weekly jobs data; and JOLTs job openings & quits, and factory orders for July, which will influence the market sentiment. All these data will be important especially ahead of the Federal Reserve's September policy meeting, wherein as per most experts, the central bank may announce a first rate cut. In July, the unemployment rate jumped to 4.3 percent, from 4.1 percent in the previous month. Global Economic Data Apart from the US economic data, the manufacturing and services PMI numbers from several developed and developing nations, as well as the third estimates for Europe's June quarter GDP will be watched. Domestic Economic Data On the domestic front, the market participants will keep an eye on the final HSBC Manufacturing and Services PMI numbers for August, releasing on September 2, and September 4, respectively. As per the Flash data, Manufacturing PMI dropped to 57.9 in August, from 58.1 in the previous month, while Services PMI increased to 60.4, from 60.3 during the same period In addition, bank loan & deposit growth for the fortnight ended August 23, and foreign exchange reserves for week ended August 30 will also be announced next week on September 6. Auto Stocks Auto stocks will be in focus in the initial part of the next week as automobile companies started releasing their August sales numbers from September 1. FII & DII Flow The activity at the FIIs and DIIs' desks is another factor to watch in the coming week. Finally, foreign institutional investors turned net buyers in the equity cash segment (as per provisional data) after being sellers in the previous several weeks, which may have provided good support to the market to hit fresh record highs, although domestic institutional investors preferred to book some profits at highs. FIIs net bought Rs 9,217 crore worth of shares during the passing week, which resulted into a reduction in their net selling for August month to Rs 21,369 crore. DIIs remained buyers, pumping in Rs 1,198 crore in the week (although the inflow was low compared to previous weeks) and Rs 48,279 crore in August. IPO In the primary market, the mainboard segment will not see major action as Gala Precision Engineering is the only IPO from the segment, opening next week on September 2 to raise Rs 168 crore, while Premier Energies will be the first listing on the bourses next week on September 3, followed by Ecos India Mobility & Hospitality on September 4. In addition, Baazar Style Retail's 835-crore public issue will close on September 3 and the trading in its equity shares will commence effective 6. Also read:ÂBajaj Housing Finance IPO to open between September 9-11; to raise Rs 6,560 crore Meanwhile, there will be a busy schedule in the SME section. Jeyyam Global Foods will be the first IPO, opening for subscription on September 2, followed by Mach Conferences and Events, and Namo eWaste Management's IPOs on September 4. My Mudra Fincorp's maiden public issue will hit the street on September 5, while the public issue of Travels & Rentals will be closing on September 2, and Boss Packaging Solutions on September 3. Further, Indian Phosphate, Vdeal System, and Jay Bee Laminations will be listed on the NSE Emerge on September 3, while the trading in Paramatrix Technologies, and Aeron Composite shares will commence on the NSE Emerge, effective September 4. Travels & Rentals will debut on the BSE SME on September 5, followed by Boss Packaging Solutions shares on the NSE Emerge on September 6. Technical View Technically, the Nifty 50 formed a Doji-like pattern on the daily charts, and on the weekly timeframe, the index recorded a long bullish candlestick pattern, with the continuation of higher highs-higher lows formation, and positive bias in momentum indicators. Hence, the upward journey is likely to continue with a focus on the 25,400-25,500 levels next week but the intermittent consolidation can't be ruled out with immediate support of 25,000, with 24,800 being crucial support, according to experts. F&O Cues The weekly options data indicated that the 25,700-25,800 are the next levels to watch on the higher side, with support at 25,000 in coming sessions. On the Call side, the maximum open interest was seen at 26,000 strikes, followed by the 26,500 and 25,700 strikes, with maximum writing at the 25,800 strikes, and then the 26,500 and 25,700 strikes. On the Put site, the 25,000 strike holds the maximum open interest, followed by the 25,200 and 24,000 strikes, with the maximum writing at the 25,200 strikes, and then the 25,000 and 25,300 strikes. India VIX The volatility remained on the lower side for the third consecutive week and sustained below all key moving averages during the week, which is favourable for bulls to hold the fort. Until it stays below the 15 mark, the charge may remain at the bull's desk, experts feel. The India VIX, the fear index, dropped 1.18 percent to 13.39, from 13.55 levels on a week-on-week basis. Corporate Action Here are key corporate actions taking place next week:

2024-09-01 06:44

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/chartist-talks-sudeep-shah-of-sbi-securities-expects-these-3-sectors-2-stocks-to-fly-north-12811330.html

Chartist Talks: Sudeep Shah of SBI Securities expects these 3 sectors & 2 stocks to fly north

Sudeep Shah is the Head of Technical and Derivative Research at SBI Securities.Related stories.

Sudeep Shah of SBI Securities believes that Nifty IT, Pharma, and Healthcare, which have strongly outperformed frontline indices in August, are likely to continue their northward journey in the next couple of trading sessions. The rollover of Nifty Index futures was higher at 77.49 percent in August, compared to the previous month's 69.69 percent and the three-month average of 74.50 percent, indicating that long positions are being rolled over given the confidence in the bullish momentum, according to Shah. Shah is bullish on two Nifty 50 stocks — LTIMindtree and Bajaj Finserv. "The former has recently broken out of a consolidation phase, and the latter has displayed a Symmetrical Triangle breakout on the weekly chart. This breakout is backed by volumes," said the Head of Technical and Derivative Research at SBI Securities with over 17 years of experience. Will Nifty hit 26,000 in the September series? What is your take on the rollover data? In August, the Nifty experienced significant volatility, with 12 trading sessions opening either with a major gap up or gap down. Throughout the month, it fluctuated within a 1,300-point range, underscoring heightened market volatility. Despite this, the index reached new all-time highs and closed the month above the  psychological level of 25,200. Notably, the index ended on a positive note for the third consecutive month. On a monthly scale, it has formed a bullish candle with a long lower shadow, indicating buying interest at lower levels. The rollover of Nifty Index futures was higher at 77.49 percent in August, compared to the previous month's 69.69 percent and the three-month average of 74.50 percent, indicating that long positions are being rolled over given the confidence in the bullish momentum. Steady sector rotation has played a crucial role in supporting the market and maintaining these elevated levels. During the month, Nifty IT, Nifty Pharma, and Nifty Healthcare have strongly outperformed frontline indices. We believe these sectors are likely to continue their northward journey in the next couple of trading sessions. Coming back to the Nifty, on Thursday, the index has demonstrated a horizontal trendline breakout on a daily scale, which is a bullish sign. The momentum indicators and oscillators are also supporting the overall bullish chart structure. The daily and weekly RSIs (Relative Strength Index) are highly bullish per the RSI range shift theory. The daily MACD (Moving Average Convergence Divergence) histogram is suggesting a pickup in upside momentum. In terms of levels, the index is likely to test 25,700, followed by 26,000 in the short term. On the downside, the support has shifted higher to the 24,900-24,850 zone. Do you think the Bank Nifty has just started its upward journey towards a record high after days of consolidation? For the second consecutive month, the Bank Nifty has lagged the frontline indices. While Nifty is reaching new all-time highs, the Bank Nifty remains nearly 4 percent below its peak, formed in July. This disparity highlights the ongoing underperformance of the Bank Nifty relative to the broader market. Notably, the ratio chart of Bank Nifty compared to Nifty is at a 200-week low, and is in a falling mode. However, the index has recently formed a strong base near its 100-day EMA (Exponential Moving Average) level and  gradually started hitting higher highs and higher lows. Going forward, the 51,400-51,500 zone will be a crucial hurdle for the index. Any sustainable move above 51,500 will likely lead to a sharp upside rally up to 52,200, followed by 52,800 in the short term. On the downside, the 51,000-50,900 zone will act as crucial support. If the index slips below 50,900, the next support is at 50,500-50,400. Is it the right time to take a position in pharma stocks given the uptrend in the pharma index? According to a simple trend analysis and the Dow Theory, the index is in a confirmed uptrend as it has marked higher tops and higher bottoms on daily and weekly charts. The uptrend remains intact as long as the sequence of higher tops and higher bottoms is maintained. However, momentum indicators and oscillators are painting a different picture. The weekly and daily RSIs are in the extremely overbought zone. Additionally, the daily and weekly Stochastic indicators are also suggesting overbought conditions for the index. These technical factors indicate that the index may enter a period of consolidation before hitting a higher high. Talking about levels, the 22,700-22,600 zone will act as immediate support for the index. As long as the index trades above 22,600, it is likely to trade with a positive bias. What’s your take onAU Small Finance Bank, which has seen a trendline breakout? AU Small Finance Bank's stock has broken out of a Falling Wedge pattern on the daily chart, confirmed by trading volumes exceeding the 50-day average. A robust bullish candle formed on the breakout day further validates this upward momentum. The stock has also surged above its 200-day EMA, reinforcing the bullish outlook. The daily RSI has broken through a downward sloping trendline, signalling strong bullish momentum. Additionally, the MACD histogram indicates an increase in upside momentum, further supporting the positive trend. Looking ahead, the stock is expected to continue its upward trajectory, potentially reaching Rs 740 in the short term, with an extended target of Rs 785. On the downside, the Rs 650-640 zone is expected to provide immediate support. Are you betting onPaytmafter reading the charts? On the weekly chart, Paytm's stock has recently broken out of an Adam and Adam Double Bottom pattern’s neckline, signalling a bullish reversal. Following this breakout, the stock has been forming a series of higher highs and higher lows on the daily charts, supported by strong trading volumes. Currently, the stock is trading above both its short and long-term moving averages, which are beginning to trend upward — a positive sign for further gains. Notably, the weekly RSI has climbed above the 60 mark for the first time since October 2023, underscoring the strengthening bullish momentum. Looking ahead, Paytm's stock is poised to test Rs 660, with a potential move toward Rs 750 in the short term. On the downside, Rs 560-540  will serve as crucial support. Your top two stock picks for September? LTIMindtree Nifty IT has been strongly outperforming frontline indices over the past few trading sessions, and LTIMindtree's stock has recently broken out of a consolidation phase on the weekly charts. This breakout is backed by volumes exceeding the 50-week average and is reinforced by a sizeable bullish candle formed during the breakout week. Currently, the stock is trading above its short and long-term moving averages, with momentum indicators and oscillators also supporting the bullish outlook. Given these positive technical signals, we recommend accumulating the stock in the Rs 6,150-6,100 zone, with the stop-loss at Rs 5,880. On the upside, the stock is likely to test  Rs 6,500, and potentially hit Rs 6,750 in the medium term. BajajFinserv On a weekly scale, the stock has recently given a Symmetrical Triangle breakout, confirmed by robust volume. Additionally, it has formed a sizeable bullish candle on the breakout week, adding strength to the breakout. The momentum indicators are also suggesting strong bullishness in the stock. The daily and weekly RSIs are highly bullish. Most notably, the weekly RSI has surged above the 60 mark for the first time in CY 2024. Furthermore, the daily MACD histogram is suggesting a pickup in upside momentum. These technical factors are aligned in favour of the bulls. Hence, we recommend accumulating the stock in the Rs 1,785-1,765 range with the stop-loss at Rs 1,680. On the upside, it is likely to test Rs 1,900, followed by Rs 1,960 in the short term.

2024-08-31 20:14

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/stock-radar-maruti-suzuki-tvs-motor-sjvn-railtel-biocon-gujarat-gas-tata-motors-in-focus-on-monday-12811720.html

Stock Radar: Maruti Suzuki, TVS Motor, SJVN, RailTel, Biocon, Gujarat Gas, Tata Motors in focus on Monday

Stocks To Watch.Related stories.

Let's catch up on the latest news from the stock market. From significant investments to major deals, order wins, monthly auto sales and appointments, here’s a quick look at which stocks will be in focus in today's trade: Auto Sales for August Maruti Suzuki India(YoY) Total sales drop 3.86% to 1,81,782 units Vs 1,89,082 units Domestic passenger vehicle sales fall 8.4% at 1,43,075 units Vs 1,56,114 units Total domestic sales down 5.3% at 1,55,779 units Vs 1,64,468 units Export sales up 5.65 at 26,003 units Vs 24,614 units Tata Motors(YoY) Total sales fall 8.1% to 71,693 units Vs 78,010 units Commercial vehicle sales down 15.2% at 27,207 units Vs 32,077 units Passenger vehicle sales drop 3.15% to 44,486 units Vs 45,933 units TVS Motor Company(YoY) Total sales grow 13% to 3,91,588 units Vs 3,45,848 units Two-wheeler sales jump 14% to 3,78,841 units Vs 3,32,110 units Exports surge 14% to 99,976 units Vs 87,515 units Electric vehicle sales climb 4% to 24,779 units Vs 23,887 units Eicher Motors(YoY) Royal Enfield sales fall 5% to 73,629 units Vs 77,583 units Royal Enfield exports drop 2% to 8,006 units Vs 8,190 units VE Commercial Vehicles sales grow 1% to 6,543 units Vs 6,476 units VE Commercial Vehicles domestic sales increase 2% to 6,028 units Vs 5,907 units VE Commercial Vehicles exports decline 23.25 to 255 units Vs 332 units SML Isuzu(YoY) Total sales down 1.5% at 990 units Vs 1,005 units Cargo vehicles sales drop 6.2% to 303 units Vs 323 units Passenger vehicles sales up 0.7% at 687 units Vs 682 units VST Tillers Tractors(YoY) Total sales grow 9.4% to 4,416 units Vs 4,037 units Power tillers sales jump 11.2% to 4,022 units Vs 3,616 units Tractors sales down 6.4% at 394 units Vs 421 units Stocks To Watch Oil India OIL has signed hook-up agreements with Indra Dhanus Gas Grid (IGGL) to enhance energy infrastructure in the North-East region. MOIL The state-owned company has reduced the prices of ferro-grade manganese ores with manganese content of Mn-44% and above by 20% for September. It has also lowered prices of all other ferro grades of manganese ore with manganese content below Mn-44% by 15%, and prices of all SMGR (Mn-30% & Mn-25%), fines, and chemical grades by 15%. Hindustan Petroleum Corporation Pushp Kumar Joshi has superannuated as Chairman & Managing Director, effective September 1, and ceased to be a director. The Ministry of Petroleum & Natural Gas has appointed Rajneesh Narang, currently Director-Finance, as the interim Chairman & Managing Director for three months, starting September 1. SJVN,NHPC,RailTel Corporation of India The Government of India has granted Navratna Status to SJVN, NHPC, and RailTel Corporation of India. NBCC India The Board of Directors has approved a bonus issue of one share for every two equity shares held. The record date for the bonus issue is October 7. Wipro The company has appointed Srikumar Rao as the Global Head of its Engineering Edge Business Line, effective October 5, following the resignation of Harmeet Chauhan. Srikumar will report to Srini Pallia. Biocon Subsidiary Biocon Pharma has received US FDA approval for Sacubitril/Valsartan tablets and Daptomycin for injection. Biocon has also received an Establishment Inspection Report (EIR) from the US FDA for its greenfield API facility in Visakhapatnam, allowing it to commence commercial supplies to the US market. HDFC Asset Management Company Life Insurance Corporation of India has reduced its shareholding in HDFC AMC to 2.88% from 4.91% between July 1 and August 29. DCM Shriram Life Insurance Corporation of India has decreased its stake in the company to 6.43% from 8.58% between November 21, 2007, and August 29, 2024. Insecticides India The Board of Directors has approved a buyback of 500,000 shares (1.69% of equity) for up to Rs 50 crore at Rs 1,000 per share. The record date for the buyback is September 11. GPT Infraprojects GPT has been declared the lowest bidder for a Rs 204 crore project from CAO Construction, South Eastern Railway, involving the construction of a road over bridge between Andul-Sankrail and Nalpur-Bauria stations. Emami The company has acquired the remaining 49.60% stake in Helios Lifestyle, which owns the premium men's grooming brand 'The Man Company'. Emami now holds a 100% stake in Helios. Krishna Institute of Medical Sciences The company has acquired a 100% equity stake in Chalasani Hospitals, Visakhapatnam, for Rs 28 crore. Chalasani Hospitals is a 200-bed hospital established in 1995. Century Textiles and Industries Birla Estates, a wholly-owned subsidiary of Century Textiles, has signed an agreement with LGCPL Group to co-develop a 131-acre land parcel in Sector 150, Noida. Gujarat Gas The board has approved a scheme of arrangement and amalgamation involving Gujarat State Petroleum Corporation (GSPC), GSPC Energy (GEL), andGujarat State Petronet(GSPL) merging into GGL. Additionally, the scheme involves the demerger of GGL's gas transmission business, which will be listed separately as GSPL Transmission Limited (GTL). PTC India Financial The board has appointed Abhinav Goyal as the interim Chief Financial Officer until a regular CFO is appointed. Abhinav Goyal is currently the VP (Finance). Siemens The company has received an order from the Deputy Commissioner of Income-tax, with a potential tax demand of Rs 29.4 crore. This increases the total cumulative amount in ongoing litigations and disputes with the Deputy Commissioner of Income-tax to Rs 77.5 crore. Bulk Deals Bandhan Bank UBS Principal Capital Asia has acquired a 1.19% stake in the bank at an average price of Rs 200.27 per share, amounting to Rs 384.56 crore. Dixon Technologies India UBS Principal Capital Asia has sold a 1.14% stake in Dixon at an average price of Rs 13,178.47 per share, totaling Rs 904.1 crore. Globus Spirits Motilal Oswal Mutual Fund has purchased a 0.69% stake in Globus Spirits at an average price of Rs 1,071.49 per share, amounting to Rs 21.4 crore. Kesoram Industries Foreign portfolio investor SG Sundae Holdings LLC has sold a 1.16% stake at an average price of Rs 206.88 per share, and an additional 0.62% stake at an average price of Rs 206.74 per share, totaling Rs 114.77 crore. Oil India UBS Principal Capital Asia has sold a 1.2% stake in OIL at an average price of Rs 742.12 per share, amounting to Rs 972.62 crore. Oracle Financial Services Software UBS Principal Capital Asia has sold a 0.56% stake in the company at an average price of Rs 10,999.15 per share, totaling Rs 533.4 crore. Rail Vikas Nigam UBS Principal Capital Asia has sold a 0.63% stake at an average price of Rs 606.83 per share, amounting to Rs 797.2 crore. Vodafone Idea UBS Principal Capital Asia has sold a 0.55% stake at an average price of Rs 15.67 per share, totaling Rs 598.9 crore. Zydus Lifesciences UBS Principal Capital Asia has offloaded a 0.66% stake at an average price of Rs 1,128.11 per share, amounting to Rs 756.02 crore. Nirlon BSREP IV FPI Two Holdings (DIFC) has bought a 7.69% stake in Nirlon at an average price of Rs 440 per share, totaling Rs 305.04 crore. Resonance Opportunities Fund, Arial Holdings 1, Ares Diversified, and Albula Investment Fund have sold a 7.1% stake at the same price, with Arial Holdings, Ares Diversified, and Albula Investment Fund exiting Nirlon. Stocks Turn Ex-Dividend CG-VAK Software & Exports, Dynamic Industries, Kovilpatti Lakshmi Roller Flour Mills, Kopran, Krystal Integrated Services, Lancor Holdings, Sanco Trans Stock Trades Ex-Date for Split Bondada Engineering F&O Ban Balrampur Chini Mills

2024-09-01 19:41

moneycontrol.com

https://www.moneycontrol.com/news/business/fpis-inflow-in-equities-drops-to-rs-7320-cr-in-august-on-higher-valuations-12811507.html

FPIs inflow in equities drops to Rs 7,320 cr in August on higher valuations

Foreign investors inject Rs 7,320 crore into Indian equities in August amid cautious stance.Related stories.

Foreign investors have adopted a cautious stance and infused Rs 7,320 crore in the Indian equities in August owing to high valuation of stocks and the unwinding of the Yen carry trade after Bank of Japan raised interest rates. This investment was way lower than Rs 32,365 crore in July and Rs 26,565 crore in June, according to data with the depositories. While September is likely to see continued interest from FPIs, the flows would be shaped by a combination of domestic political stability, economic indicators, global interest rate movements, market valuations, sectoral preferences, and the attractiveness of the debt market, Vipul Bhowar, Director Listed Investments, Waterfield Advisors, said. According to the data with the depositories, Foreign Portfolio Investors (FPIs) made a net investment of Rs 7,320 crore in Indian equities in August. The fundamental reason for the poor FPI interest compared to the preceding two months is the high valuation in the Indian market. With Nifty trading at above 20 times estimated FY25 earnings, India is the most expensive market in the world now. FPIs have opportunities to invest in much cheaper markets and, therefore, their priority is markets other than India, V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services, said. Additionally, the unwinding of the Yen carry trade on August 24 significantly impacted FPI behaviour, leading to substantial sell off in Indian equities, Bhowar said. This unwinding coincided with rising fears of a potential recession in the US and disappointing economic data, which further exacerbated the market’s reaction, he added. Interestingly, FPIs have been selling in the secondary market, where valuations are perceived to be high, and redirecting their investments towards the primary market, which offers relatively lower valuations. Meanwhile, FPIs infused Rs 17,960 crore in the debt markets in August. Experts believe that inclusion in global bond indices, attractive interest rates, stable economic growth, shift from equities, and favourable long-term outlook have been the key factors driving FPIs to invest in debt. Investment in debt is led by index inclusion flows. It is since October last year when JP Morgan announced index inclusion, Vishad Turakhia, Managing Director at Equirus Securities, said. India’s inclusion in global bond indices and attractive yields have attracted flows, Nimesh Chandan, CIO, Bajaj Finserv Asset Management Ltd, said. Also, FPIs are buying in the debt market mainly because the Indian Rupee (INR) has been stable this year and this stability is expected to continue, Geojit’s Vijayakumar said. With this FPIs investment in equities has reached Rs 42,885 crore and Rs 1.08 lakh crore in the debt market in 2024 so far.

2024-09-01 11:08

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/nifty-outlook-remains-optimistic-with-next-resistance-at-25600-25800-pick-these-3-stocks-says-jigar-patel-12811654.html

Nifty outlook remains optimistic with next resistance at 25,600-25,800; pick these 3 stocks, says Jigar Patel

Stocks to Buy.Related stories.

By Jigar S Patel, Senior Manager - Equity Research at Anand Rathi During the week ended August 30, the domestic markets exhibited a solid upward momentum, with the Nifty index experiencing a positive trajectory. The index moved within a 400-point range and closed the week with a gain of 1.66 percent, settling just above the 25,200 mark—a new milestone. Notably, individual stocks outperformed, significantly boosting the broader market indices. The Nifty Midcap 100 index saw a rise of approximately 1.25 percent, while the Nifty Smallcap 100 index rallied by over 1 percent, reflecting strong investor sentiment across various segments. From a technical perspective, the outlook for the Nifty 50 index remains optimistic. However, the 25,600 to 25,800 range is anticipated to serve as a critical resistance level due to the presence of a bearish Crab Harmonic structure on the daily chart. This pattern may induce profit-taking near these levels, suggesting that while another upward push is possible, it could be followed by a pullback. The index is expected to find support in the 25,000 to 24,800 zone. On the other hand, the Nifty Bank index exhibited more sideways movement throughout the week, closing in the green with a weekly gain of 0.82 percent, near the 51,300 mark. The immediate resistance for this index is seen around 51,500, and a close above this level on the daily chart could propel the index towards the 52,000 mark in the coming week. However, if the index falls below the 50,800 level, it could negatively impact the sentiment in banking stocks. Here are three stock recommendations for short term: Som Distilleries and Breweries| CMP: Rs 112.2 Som Distilleries reached a peak of approximately Rs 149 in May 2024. Since then, the stock has experienced a significant decline, losing about 29 percent in price. This sharp drop brought the stock down to a critical support level, forming a triple bottom pattern within the range of Rs 105-108. The triple bottom pattern, occurring at a previous demand zone, is often considered a bullish signal, suggesting that the stock has found strong support at these levels and may be poised for a reversal. In the most recent trading session, the stock saw a surge in trading volume, indicating renewed investor interest. The price action in this session was strong enough to break through a 3-4 month-long bearish trendline, signaling a potential shift from a downtrend to an uptrend. Additionally, a similar trendline violation has been observed in the RSI on the daily chart, further confirming the bullish momentum. These technical developments make the stock an attractive buy candidate at current levels. Based on this analysis, we recommend going long in the price range of Rs 110-114, targeting Rs 128. To manage risk, a stop-loss should be placed at Rs 104 on a daily closing basis, ensuring protection against any further downside. Strategy: Buy Target: Rs 128 Stop-Loss: Rs 104 Hikal| CMP: Rs 329.3 Between March 2023 and June 2024, Hikal was in a consolidation phase, trading within a relatively narrow range of Rs 260 to Rs 320. This prolonged consolidation period suggests that the stock was in a phase of accumulation, where neither buyers nor sellers had the upper hand. However, the stock eventually broke out of this range, supported by significant trading volume, which is often a strong indicator of a shift in market sentiment towards bullishness.Following this breakout, Hikal rallied by nearly Rs 40, underscoring the strength of the breakout. Despite this rally, the recent correction in the stock price presents a renewed buying opportunity. From a technical perspective, the weekly Ichimoku base line is now acting as a crucial support level, aligning closely with the breakout range. This confluence of support levels suggests that the stock is well-positioned for further upside, making it a compelling buy. Given these technical indicators, it is advisable to buy Hikal within the price range of Rs 325 to Rs 335. The stock shows potential for an upside target of Rs 400, which represents a significant gain from current levels. To manage downside risk, a stop-loss should be placed at Rs 295 on a daily closing basis, ensuring that any potential losses are limited if the stock fails to hold its support levels. Strategy: Buy Target: Rs 400 Stop-Loss: Rs 295 Patel Engineering| CMP: Rs 57.21 After reaching a peak around the Rs 70 mark in July 2024, Patel Engineering experienced a notable correction, losing 27 percent from its recent high. This sharp pullback brought the stock down to a critical support level, located within the demand zone of Rs 50-53, a level that previously acted as a strong support during its prior uptrend. At this crucial support level, a bullish BAT pattern has emerged—a harmonic pattern known for signaling potential bullish reversals. The bullish bat pattern is typically formed when the price action retraces to specific Fibonacci levels, indicating that the stock is poised for a reversal from its recent decline. The emergence of this pattern, combined with the stock finding support at a key demand zone, creates a strong confluence of technical indicators pointing towards a potential upward move. Given these favourable technical signals, the current price levels are considered attractive for buying. Therefore, it is recommended to buy the stock within the Rs 55-58 range, with a target of Rs 68. To manage risk and protect against further downside, a stop-loss should be placed near Rs 51 on a daily closing basis. Strategy: Buy Target: Rs 68

2024-09-01 16:37

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/profitability-is-increasingly-important-for-companies-going-public-jm-financials-abhishek-bhagat-12811162.html

Profitability is increasingly important for companies going public: JM Financial's Abhishek Bhagat

On pricing and dilution, Bhagat said, "Most founders and investors have realized that the dilution is typically between 10 to 20 percent," he said. He explained that pricing discussions have become more straightforward as companies seek to deliver returns to investors while managing new capital..Related stories.

Once companies come to us for an IPO, they have already traversed significant ground and often faced multiple near-death experiences, said Abhishek Bhagat, Managing Director,Digital & Technology Investment Banking, JM Financial Ltd. Bhagat was a part of a panel during the Global Fintech Fest where he was highlighting the criteria for picking companies to go public. He added that while growth remains a fundamental criterion, profitability has become increasingly significant. "We look at how the company is projected to perform over the next 8 to 12 quarters and whether it can meet those predictions," he explained. "How’s the profitability looking? That's increasingly important in today's market scenario." are the questions they ask, he said. Governance is another critical factor. Bhagat said, "We assess the overall governance framework and corporate governance structure that the company has or aims to establish." He said that their involvement often starts early, assisting companies in setting up necessary frameworks well before the IPO. "Sometimes, we engage with companies 12 months before the IPO and help them establish these processes," he said. He also discussed market position and potential competitive threats. "Are there any likely competitive threats that could make the business unviable?" he asked. Bhagat added that while regulatory issues, particularly in sectors like FinTech, are a consideration, they are generally manageable. "Regulatory overhang could be slightly more than others, but it's not a major obstacle," he said. On market trends, Bhagat said, "Today, companies are evaluated on profit multiples rather than just revenue multiples. Investors are now tracking profitability more closely, even if it's projected for two years out." He added that there is a shift from the earlier focus on revenue, a "more nuanced understanding of valuation". On pricing and dilution, Bhagat said, "Most founders and investors have realized that the dilution is typically between 10 to 20 percent," he said. He explained that pricing discussions have become more straightforward as companies seek to deliver returns to investors while managing new capital. "Markets are a lot more mature now," Bhagat said. "It’s encouraging for investors as it suggests we might find more attractive opportunities, even though they are still scarce." He added that the combination of experienced investors and more refined market conditions is creating a more favorable environment for both new public companies and their investors. He also added that despite the challenges, I remain optimistic about finding compelling investment opportunities in this evolving market.

2024-08-31 16:00

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/stockology-stockology-auto-tech-capital-goods-will-continue-to-rally-12811639.html

Stockology: Auto, tech, & capital goods will continue to rally

Representational image.Related stories.

Stockology is a weekly column by futurologist Mahesh Gowande. He is the Founder and Director of Ayan Analytics, which has developed ZodiacAnalyst, a research software with time and price charting tools. Read previous columns here Review: We were not expecting the Nifty to hit a new high, and the aggression seen in the technology space took us by surprise. We were anticipating bullishness,  but not so early. The pharma sector is back, and also hit a new high as did most stocks in the sector. Most PSU stocks also witnessed profit booking by  big investors. Speciality chemicals stocks are back in focus, and with a fresh up-move in the Chinese economy, it looks like the broader chemicals space will see a nice recovery in prices and manufacturing will pick up. Lots of activity in the small and midcap space is noticed, and signs of madness are  seen in the price movement and IPO market frenzy. However, banking and defence, as expected, are showing signs of cooling off. TechnicalWe did not expect the markets to hit a new high so aggressively. As always, one has to keep taking chances, and some short selling got triggered based on short-term indicators. Interestingly, while the Nifty hit a new high, many investors found that their portfolio had not recovered or outperformed, which is the first sign of sectoralÂdivergence. Thanks to the new high, the weekly or medium-term stop has shifted closer to 23,890, the short-term stop has moved to 24,100, and the long-term stop has moved to the 21,100 level, making things better for investors. As a strategy, we had recommended that you improve the quality of your portfolio, move from high-beta to low-beta stocks, and hold more cash. We believe it is time to hold investments with a strict stop and continue the ride, but keep booking profits andmove into a safe zone strategy. Time mapLast week, technology largecaps once again witnessed big inflows, as expected.We have been noticing a distribution happening in many counters August 10th onwards as many smart traders are reshuffling their portfolios  and positioning themselves well. In maghaphase markets hit a new high, and the sun being in its ownnakshatraand own house was good for the markets. Now we are in nakshatraof Venus, and profit-booking is advised — distribution  happens here, mature investments are exited, and new ideas executed. Distribution happens when the market sentiment is very positive — hence, auto, technology, and capital goods will continue to rally. Indeed, the technicals are indicating an extended rally. For another 10 days, keep reshuffling and build up your cash position to invest in bad times. Post September 13th, we  expect divergence indicators to give the best results. September 2, 2024: Monday: Amavasya. Magha 24.20: bullish dayMarket sentiment will be positive. People will be aggressive in the small and midcap space. Clean up old portfolios, exit counters which have become active in the recent frenzy. Participate after 10 am for better clarity, and keep an eye on cement and auto stocks for intra-day activity. September 03, 2024: Tuesday: S.1: Purva: bad dayA bad day in the markets is basically a tough day to make money. Intra-day trading would be tough on a bad day and little easy on a good day. The moon is in a bad shape — those who go for multiple positions in the market will find themselves in a mess, and day traders will lose a lot of money today. Mars 90 Neptune — major goof up or failure will hurt a big group and global markets. It's an important day. STBT (sell today, buy tomorrow) based on contrarian positions is indicated . September 04, 2024: Wednesday: S.2: Uttara: auspicious dayA gap down opening cannot be ruled out, and a higher opening should be used for selling. Short selling is recommended as an intra-day strategy. Divergence indicators would give the best results today. BTST (buy today, sell tomorrow) is highly recommended after 14:30. September 05, 2024: Thursday: S.3: Hasta: auspicious dayTheÂthird tithi indicates a directional move, mostly positive. The Hasta nakshatra rewards only patient traders and investors, so use lag indicators or participate in signals that have reconfirmed earlier signals — slow and delayed action will pay very well. FMCG and banks will hog the limelight. STBT is indicated. September 06, 2024: Friday: S.4: Chitra: gap openingThe direction of the gap plays a very critical  role today. The gap getting filled quickly is not a good sign, and  markets can move further in that direction. The tithicreates confusion and favours bearish traders. Many will see their profits of the past two months getting wiped out today.

2024-09-01 18:07

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/first-tick-top-10-global-cues-for-todays-trade-27-12811317.html

First Tick: Top 10 global cues for today’s trade

Market Today.Related stories.

Indian benchmark indices Sensex and Nifty 50 are likely to open on a positive note on September 2, tracking cues from GIFT Nifty trading near 25,417.50, a short while ago this morning. Track the latest updates onÂGIFT Nifty right here on Moneycontrol. Benchmark indices Nifty and Sensex held steady in positive territory to end the day at record closing on August 30, driven by a sharp rally in realty and pharma stocks that boosted market sentiment. Notably, both indices touched fresh highs at the opening bell. Nifty 50 logged gains for the twelfth consecutive session in the longest-ever rally. At close, the Sensex was up 231 points or 0.28 percent at 82,365.77, and the Nifty was up 83.90 points or 0.33 percent at 25,235.90. About 2,115 shares advanced, 1,630 shares declined, and 117 shares unchanged. Here is how financial markets across the globe fared overnight: GIFT Nifty (Gains) The GIFT Nifty is trading higher, indicating a positive start for the day. Nifty futures were trading at 25,417.50 at 07:10 am IST. Asian Equities (Gain) Asian share markets got off to a quiet start on Monday as investors braced for a data-packed week culminating in a US jobs report that could decide whether a rate cut expected this month will be regular or super-sized.CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)Topix 0.42 - 11.90Nikkei0.70 -13.05Hang Seng - - -Taiwan0.73 0.5720.41Kospi0.140.18-1.80US Equities (Gain) Wall Street stocks rose and the Dow scored a second consecutive all-time closing high on Friday, with Tesla and Amazon climbing after fresh U.S. economic data raised expectations that the Federal Reserve will cut interest rates modestly in September. The S&P 500 climbed 1.01% to end at 5,648.40 points. The Nasdaq Composite Index climbed 1.13% to 17,713.62 points, while the Dow Jones Industrial Average rose 0.55% to 41,563.08 points.CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)Dow Jones0.551.9411.16S&P5001.012.4619.36Nasdaq1.130.8218.94US Bond Yield (Closed) There is no trading on treasury bonds on Monday due to the US holiday, but the 10-year yield stood at 3.9110% following a 4.4-bp rise on Friday.CURRENT PRICEMTDYTDUS 10-Year Treasury 3.903.974.17US 2-Year Treasury 3.914.144.87Dollar Index (Flat) The dollar climbed to a two-week top against the euro on Monday as traders pared bets for aggressive policy easing by the Federal Reserve with the focus now moving to a crucial U.S. jobs report at the end of this week.CURRENT PRICEMTDYTDDollar Index 101.69103.20103.23Asian currencies (Lower) Asian currencies were trading lower mostly against the US dollar in the early trade on Monday, with the Malaysian Ringgit, Indonesian Rupiah, Philippines Peso leading the losers, while the Singapore Dollar, and China Renminbi, trading with gains.CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)  Indonesian Rupiah -0.201 5.46 -0.362  South Korean Won-0.0431.62-3.53  Japanese Yen-0.0340.219-3.52  Philippines Peso-0.1923.29-0.791  Thai Baht-0.0443.690.581  Taiwan Dollar-0.1192.50-4.42  China Renminbi0.080 2.110.123 Malaysian Ringgit-0.3343.735.97  Singapore Dollar0.0691.601.10Gold (Flat) Gold prices were flat at USD 2502.67, while Silver prices were down marginally at USD 28.80 in the early trade on Monday.CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)Gold -0.02 -0.03 21.32Silver-0.17-0.2121.09Crude (Down) Oil prices extended losses on Monday with investors weighing higher OPEC+ production from October against a sharp drop in output from Libya amid sluggish demand in China and the U.S., the world's two biggest oil consumers.CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)US West Texas-0.31 -0.69 2.32Brent Crude-0.38-2.69-0.51LME Commodities (Mixed) LME commodities price were trading mixed in the early trade on Monday with Nickel down more than 1 percent, while Lead and Zinc gained 0.5 percent each. CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)Aluminium -0.41 - 2.64Copper-0.18 -7.90Nickel-1.39 -0.98Lead 0.80 - -0.75Zinc0.60 - 8.99Fund Flow Action The foreign institutional investors (FIIs) extended their buying as they bought equities worth Rs 5316 crore on August 30, while domestic institutional investors sold equities worth Rs 3198 crore on the same day.30th AugustMTDYTDFII Net Flows 5316.14-21368.51 -142536.2DII Net Flows -3198.0748278.65305603.71Hope you're all set for today's trade, we wish you a profitable day ahead.

2024-09-02 07:11

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/trading-plan-will-nifty-consolidate-before-climbing-towards-25400-bank-nifty-hold-51000-12811308.html

Trading Plan: Will Nifty consolidate before climbing towards 25,400, Bank Nifty hold 51,000?

Nifty Trading Plan.Related stories.

The market remained volatile throughout the day but maintained a northward move for the 12th consecutive session, clocking a new all-time closing high above 25,250 on August 30. This marks a strong beginning to the September series. The Nifty 50 may experience some consolidation before advancing towards 25,400, with 25,000 serving as support. Meanwhile, the Bank Nifty needs to close and sustain above 51,500 for further progress towards 52,000; until then, consolidation will continue with 51,000 as support, according to experts. On Friday, the Nifty 50 rose by 84 points to 25,236, and the Bank Nifty jumped 198 points to 51,351. On the NSE, 1,366 shares advanced, while 985 shares declined. Nifty Outlook and Strategy Rajesh Palviya, Senior Vice President Research (Head Technical Derivatives) at Axis Securities The Nifty closed with a gain of 413 points on a weekly basis. On the weekly chart, the index has formed a bullish candle, creating a higher high and higher low compared to the previous week, and has closed above the previous swing high, indicating a positive bias. The chart pattern suggests that if the Nifty crosses and sustains above the 25,350 level, it could see buying, leading the index towards 25,500-25,700 levels. However, if the index breaks below the 25,100 level, it could experience selling, potentially moving towards 25,000-24,800. For the week, we expect the Nifty to trade in the range of 25,700-24,800 with a positive bias. The weekly strength indicator RSI (Relative Strength Index) is above its respective reference lines, indicating a positive bias. Key Resistance: 25,350, 25,500 Key Support: 25,100, 24,900 Strategy: Buy the Nifty around 25,100 with a stop-loss at 25,000 and a target of 25,350-25,450. Rajesh Bhosale, Technical Analyst at Angel One The August price action formed a "Saucer" pattern, indicating further potential for an upmove in the near term. The reciprocal retracement of the August decline points to near-term targets of 25,400 and 25,500. During last week's upmove, the Nifty 50 left behind a couple of bullish gaps—one on Monday around 24,850 and another on Friday near 25,200. The Monday gap is particularly significant, as it also appears on the weekly chart, suggesting that any dip towards this level is likely to be bought into. Before that, the previous swing high around 25,080 could act as immediate support. However, the next leg of the move may not be as smooth as recent trends. Given the positive momentum throughout the week, the support base has shifted higher. The highest open interest is now at the ATM (at-the-money) strike of 25,200 Put, followed by the 25,000 Put, suggesting strong nearby support and a positive market bias, with buying interest on any minor dips. Conversely, resistance is expected in the 25,500–25,700 range, with significant open interest in the Call options for the first week of the September series. Key Resistance: 25,400, 25,500, 25,580 Key Support: 25,080, 25,000, 24,850 Strategy: Traders are advised to avoid complacency, be selective, use dips as buying opportunities, and book profits at higher levels to avoid potential setbacks amidst market volatility. Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities Technically, Friday's price action indicates the formation of a Doji-type candle pattern at the new highs. Normally, such Doji formations at new highs alert for trend reversals, but recent Doji formations have failed to result in significant reversals in the market. The short-term trend of the Nifty remains positive, but the market is not gathering sharp upside momentum into new highs. One may expect further consolidation or a minor dip from near the resistance of 25,300–25,400 levels. Immediate support is at 25,100. Key Resistance: 25,400, 25,800 Key Support: 25,100, 24,800 Strategy: Buy the Nifty around 25,150-25,100, with a stop-loss at 24,900, and a target of 25,400. Bank Nifty - Outlook and Positioning Rajesh Palviya, Senior Vice President Research (Head Technical Derivatives) at Axis Securities The Bank Nifty closed with a gain of 418 points on a weekly basis. On the weekly chart, the index has formed a small bullish candle with shadows on either side, indicating indecisiveness among participants regarding the direction. The chart pattern suggests that if the Bank Nifty crosses and sustains above the 51,500 level, it could see buying, leading the index towards 51,750-52,000 levels. However, if the index breaks below the 51,000 level, it could experience selling, potentially moving towards 50,800-50,600. For the week starting September 2, we expect the Bank Nifty to trade in the range of 52,000-50,600 with a mixed bias. The weekly strength indicator RSI remains flat, indicating the absence of strength. However, the momentum oscillator Stochastic has turned positive from the oversold zone, suggesting a possible upmove in the near term. Key Resistance: 51,500, 51,750 Key Support: 51,100, 50,900 Strategy: Buy the Bank Nifty near 51,200 with a stop-loss at 51,000 and a target of 51,500-51,650. Rajesh Bhosale, Technical Analyst at Angel One The Bank Nifty continued to lag behind the broader markets, staying within a range for most of the last week. Currently, the 50 EMA (Exponential Moving Average) on the daily chart around 50,800 serves as immediate support, while 51,500 acts as resistance. A breakout above this range could trigger renewed momentum. Minimal activity was observed on the option chain front, with significant open interest noted at the ATM 51,400-51,500 Call strikes, with a sustained move beyond these levels needed to trigger momentum. On the downside, the 51,000 Put has the highest open interest, indicating support. Key Resistance: 51,500, 52,000, 52,250 Key Support: 51,000, 50,800, 50,500 Strategy: The high beta index lacks significant traction. It is advisable to wait for a breakout to focus on potential momentum gains. Until then, dips could be bought if the support levels of 50,800-51,000 hold. Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities The immediate hurdle of 51,200, which was a previous opening down gap, has been filled on the upside, and the hurdle of the weekly 20-period EMA has also been surpassed as per the weekly chart. The bullish chart pattern, such as higher highs and lows, remains intact. Key Resistance: 52,100, 52,800 Key Support: 51,200, 50,600 Strategy: Buy the Bank Nifty near 51,400-51,300, with a stop-loss at 50,600, and a target of 52,800.

2024-08-31 16:42

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/emami-to-acquire-remaining-49-6-stake-in-the-man-company-12808748.html

Emami to acquire remaining 49.6% stake in 'The Man CompanyŌĆÖ

Emami had previously acquired 33.09 per cent equity stake in Helios in two tranches -- one in December 2017 and the other in February 2019..Related stories.

Home-grown FMCG major Emami on Saturday announced the acquisition of the remaining 49.6 per cent stake in Helios Lifestyle, which owns. Home-grown FMCG major Emami on Saturday announced the acquisition of the remaining 49.6 per cent stake in Helios Lifestyle, which owns male grooming brand ŌĆśThe Man CompanyŌĆÖ. Helios Lifestyle is already a subsidiary of Emami with 50.4 per cent shareholding, according to a statement from Emami. "The completion of the acquisition of Helios by Emami will strengthen its presence in the fast-growing digital-first premium male grooming segment," it said. Emami had previously acquired 33.09 per cent equity stake in Helios in two tranches -- one in December 2017 and the other in February 2019. Later, it increased the stake to 50.4 per cent in 2022. The Man Company, a digital-first lifestyle brand, offers premium menŌĆÖs grooming products in categories including fragrances, skin care, hair care, body care and beard management. "The segment offers huge potential for innovation & growth. Emami is already an active player in the male grooming segment through its brand Fair and Handsome," the statement said. According to the Kolkata-headquartered company, Indian male grooming products are rapidly gaining traction, driving impressive market growth. "We are happy to have not only invested in ŌĆśThe Man CompanyŌĆÖ as we could foresee its huge potential but equally impressed and happy with the promoterŌĆÖs vision and commitment towards making it a formidable brand. With the completion of the 100 per cent acquisition of the company, we are excited to take the brand to its next level of growth,ŌĆØ it said. Earlier this month, Emami Chairman R S Goenka in the AGM of the company had said it will keep exploring opportunities for inorganic and strategic growth to enter new product categories. Emami, which has acquired AloFrut, Creme21 and Zandu in the past, will continue to explore such growth opportunities, allowing it to enter a new segment and expand its play area. In its latest annual report, Emami said that 45 per cent of its topline in FY24 came from acquired brands, and the proportion of revenues coming from non-rural geographies has increased. Emami, which owns brands Navratna, Boroplus, Zandu, Fair and Handsome, Kesh King and Dermicool, had reported a turnover of Rs 2,921.57 crore for FY24.

2024-08-31 12:10

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https://www.moneycontrol.com/news/business/markets/tech-digital-advancements-affordable-data-plans-helped-push-mf-reach-growth-cams-anuj-kumar-12810188.html

Tech, digital advancements, affordable data plans helped push MF reach, growth: CAMS' Anuj Kumar

Kumar also highlighted that currently they register 70 lakh SIPs in a month as an industry, and most of these are registered by the RTAs..Related stories.

Access to affordable internet plans and a focus on technology, at a time when fintech firms were entering the fray, has played a key role in spreading awareness and education about mutual funds, while helping the industry offer flawless customer service, says Anuj Kumar, managing director, Computer Age Management Services (CAMS), India’s largest mutual fund transfer agency. While speaking at the Global Fintech Fest 2024 in Mumbai, Kumar said that the accessibility of affordable internet has played a key role in reaching “100 crore people, because they all have the same smartphone and the same cheap Rs 100-150 internet pack". Further, talking about how technology has helped grow SIP numbers, Kumar said, “You don't just register the SIP; you make sure it is triggered on time, you make sure that the investor gets the right NAV for the right date.” This process involves coordinating with over 200 banks, including smaller cooperative banks with limited banking software, he added while talking about leveraging technology for growth of the MF industry. Incidentally, SIP numbers have been setting new records on a monthly basis in terms of net inflows. In July, a record Rs 23,332 crore worth of net inflows was witnessed through SIPs. The monthly net SIP inflows have stayed above the Rs 20,000 crore mark for the last four successive months. Kumar also highlighted that currently they register 70 lakh SIPs in a month as an industry, and most of these are registered by the RTAs. "That number is now close to 10 crore a year. I'll not be surprised if there’ll be a year when we have 10 crore new SIPs coming in,” he said adding that there are of course fall-offs in the base, there is some attrition, etc. That net number is smaller, but the gross number is what we deal with." The head of CAMS also said that the transition from traditional batch processing to online systems has further empowered the mutual fund ecosystem. “Today everything is now online,” Kumar said, adding how digital advancements have streamlined transaction acceptance, API access for distributors, and real-time updates for investors. Despite the complexities, he noted that the industry has managed to deliver “almost flawless customer service,” ensuring smooth transactions and minimal errors.

2024-08-30 13:54

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https://www.moneycontrol.com/news/business/markets/vodafone-idea-supreme-court-agr-hearing-12810399.html

Vodafone Idea shares muted as Supreme Court considers petition in AGR case

India's MSCI August rejig will take place on August 30 and seven stocks will be included in the MSCI India index, including Vodafone Idea..Related stories.

Telecom player Vodafone Idea's share price traded in the red on August 30, as the Supreme Court considers the curative petitions by Bharti Airtel and Vodafone Idea in the Adjusted Gross Revenue (AGR) case. At 11.10 am,Vodafone Ideastock was quoting Rs 16.2, down by around half a percent on the NSE, compared to the previous session's closing price. Follow our live blog to catch all the updates Vodafone Idea's curative petition in the AGR case seeks three main reliefs: correcting arithmetic and clerical errors in the AGR demand; requesting the penalty be limited to 50 percent of the shortfall; and revising the interest rate on the penalty to 2 percent above the State Bank of India's prime lending rate. International brokerage Citi reiterated its Buy call on Vodafone Idea, noting that the Supreme Court's decision could be a material development on the long-pending matter. The brokerage maintained its price target of Rs 22 per share, indicating an upside of around 38 percent. Citi added that the current target does not factor in any reduction in the firm's AGR dues. In the case of AGR dues falling, the potential benefit to Vodafone Idea's share price could be around Rs 4-5 per share, or even higher. In an exclusive interaction withMoneycontrol, Telecom Minister Jyotiraditya Scindia on August 29 has said thegovernment will not interfere in the operations of Vodafone Idea. The Government of India owns a 23.8 percent stake in the company. "Vodafone Idea has its own professional management, and therefore, what happens in the financial and operational workings of a company is their business and not our business as a ministry," the minister said. The stock is also in focus ahead of MSCI's August rejig that will take place later on August 30, where seven stocks are expected to be included into the MSCI India index, including Vodafone Idea, which may lead to passive flows of around $285 million, according to analysts.

2024-08-30 11:41

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https://www.moneycontrol.com/news/business/stocks/nifty-september-rollovers-slightly-fall-long-rollovers-in-pharma-energy-nbfc-short-in-cement-metals-12810651.html

Nifty September rollovers slightly above average: Long rollovers in Pharma, Energy, NBFC; Short in Cement, Metals

Stock market trend.Related stories.

Indian benchmark indices were trading higher on 30 August, as NSE Nifty 50 entered into the September month derivatives series. The Nifty index recorded 77 percent rollover in derivatives positions, above its three-month average of 73 percent. The September 2024 series began with 13.66 million open contracts, up from 13.02 million in the previous series. In terms of open interest (OI), the Nifty starts the September series with the highest weekly OI at 25,000 put options (PE) with 1.61 lakh contracts, and 26,000 call options (CE) with 1.8 lakh contracts. Overall Market Outlook Soni Patnaik, Assistant Vice President of Derivative Research at JM Financial, said, "While the options matrix indicates that Nifty may continue its uptrend in the near term as long as it holds above 25,000, FIIs have aggressively hedged their positions in indices for this series. All’s well as long as it continues above 25,000/24,800." "Overall, indices may test higher levels; however, stock-specific action may not exhibit the same strength. Book profits and stay hedged. Stocks have seen rollovers below their averages, which is a sign of caution," Patnaik added. According to Nuvama Institutional Equities' rollover analysis report, "The ongoing bullish undertone is expected to persist, supported by abundant market liquidity. At all-time highs, volatility and market ranges could be wider than usual, but the market remains bullish, with no signs of slowing inflows or any structurally negative developments. Sectoral rotation is likely to occur more quickly than anticipated." Sectoral Insights Brokerage firms JM Financial and Prabhudas Lilladher highlight strong rollovers in sectors including NBFCs, Technology, Chemicals/Fertilizers, Energy, and Banking (specific stocks), with Pharma also showing resilience. Mixed Signals:Mixed sentiments are observed in Capital Goods, Chemicals, FMCG, and Metals. Short Squeeze:A short squeeze is seen in sectors like Pharma, Oil & Gas, Power, and Technology, indicating potential bullish moves as short positions are covered. On the other hand, Nuvama believes that the automobiles sector should perform well over the next two series, with a long bias toward TVS Motors and Bajaj Auto, with a short bias in Tata Motors and Eicher. The overall festive season outlook for the auto sector is positive. Read more:ÂBank Nifty September rollover lower than 3-month average; underperformance may continue in new series Nuvama Institutional Equities highlights the following sector wise stock specific trends for the September series: NBFCs: Long positions are strong in Shriram Finance, Muthoot Finance, Manappuram Finance, Cholamandalam Investment, and Piramal Enterprises, with other names potential short targets. Pharma:Bullish sentiment dominates with longs in Alkem Laboratories, Cipla, Divi's Labs, and Laurus Labs. Zydus Lifesciences is a short candidate. FMCG: Longs are favored in ITC, Tata Consumer Products, and United Spirits, while shorts can be created in Britannia and Nestle. IT:The sector is bullish, with strong rollovers in Tata Consultancy Services, Tech Mahindra, HCL Technologies, and Coforge, while shorts are expiring in Mphasis. Insurance:The sector shows continued strength with positive rollover data across all names. Short Opportunities: Banking:Short positions are strong in PSU banks, particularly Bank of Baroda, Punjab National Bank, Canara Bank, and State Bank of India. Metals:Shorts are prominent in Tata Steel, NMDC, Jindal Steel, and Coal India, though Hindalco, Vedanta, JSW Steel, and Hindustan Copper are good long bets. Cement: Weak rollovers suggest short opportunities in ACC, Ambuja Cements, UltraTech Cement, and Shree Cement.

2024-08-30 15:25

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/cabinet-greenlights-12-industrial-smart-cities-which-stocks-should-you-keep-on-radar-12810388.html

Cabinet greenlights 12 industrial smart cities; which stocks should you keep on radar?

This Rs 28,602 crore-investment plan, set to unfold over the next three years, will drive growth in various industries.Related stories.

The Cabinet's nod for development of 12 industrial smart cities across 10 states is expected to boost industrial stocks, particularly in the metals, cement, and construction sectors. Analysts predicted that this Rs 28,602 crore-investment plan, set to unfold over the next three years, will drive growth in various industries, including electric vehicles, food processing, and textiles. Construction companies like HCC and NCC are likely to benefit from this initiative due to an anticipated increase in order inflows. At the same time, industrial equipment suppliers such as Siemens India and ABB India are poised to gain from the government's emphasis on bolstering manufacturing capabilities, said Atul Parakh, CEO of Bigul. Amit Goel, co-founder and chief global strategist at Pace 360, shared this optimistic outlook, highlighting L&T's potential to emerge as a major beneficiary. L&T's expertise in executing large-scale projects positions it as a strong candidate for contracts related to these new industrial hubs, he pointed out. The company has a proven track record, having previously secured smart city project orders for cities like Nagpur, Pune, Patna, Faridabad, Tirupati, and Ranchi. ALSO READ:ÂIndustrial smart cities to be ready by 2027: Commerce and industry minister Piyush Goyal In addition, technology giant TCS is expected to see significant benefits from the development of these smart cities. As Goel pointed out, the demand for advanced technology solutions, including IT infrastructure, cybersecurity, and data analytics, will rise. TCS, a leader in India's first-generation eGovernance projects, is well-positioned to support these needs by enhancing government services through data analytics. These smart industrial cities will be strategically located in key regions, such as Khurpia in Uttarakhand, Rajpura-Patiala in Punjab, Dighi in Maharashtra, Palakkad in Kerala, Agra and Prayagraj in Uttar Pradesh, Gaya in Bihar, Zaheerabad in Telangana, Orvakal and Kopparthy in Andhra Pradesh, and Jodhpur-Pali in Rajasthan. Under the National Industrial Corridor Development Programme, these hubs will blend residential, commercial, and industrial zones, supporting industries like technical textiles, fabrication, electric vehicles, aero logistics, food processing, and tourism. These developments are aimed at driving the government's goal of achieving $2 trillion in exports by 2030. As these smart cities will require significant construction efforts, companies such as Tata Steel, NBCC, and Ultratech Cement are also expected to benefit. Goel noted that UltraTech Cement, as the largest cement producer in India, is well-positioned to capitalise on the increased construction activity associated with the industrial smart cities project. Furthermore, the Cabinet has approved Rs 4,136 crore in equity support for northeastern states to develop hydropower projects with a total capacity of 15,000 MW over the next eight years. This move places renewable energy companies like Tata Power, NHPC, and NTPC in a favorable position. On the other hand, Elara Securities expects SJVN and NHPC, which specialise in hydroelectric power to benefit the most from rising investments. Meanwhile, new measures meant to expand the Agricultural Infrastructure Fund scheme is expected to provide prospective tailwinds to the cold chain and food processing sectors, with Blue Star and ITC stocks standing to benefit, shared Parakh of Bigul. The fund is primarily concentrated on strengthening post-harvest agricultural infrastructure.

2024-08-30 11:05

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/heavy-trading-volumes-strong-outlook-lifts-fortis-healthcare-stock-to-record-high-12810506.html

Heavy trading volumes, strong outlook lifts Fortis Healthcare stock to record high

Shares of the company have gained 11 percent in the past month..Related stories.

Fortis Healthcare shares soared 4.5 percent to an all-time high of Rs 563 on August 30, fuelled by a spike in trading volumes in the counter. Heavy trading volumes were seen in the counter as 26 lakh shares changed hands on the exchanges so far, significantly higher than the one-month daily traded average of 20 lakh shares. At 11.18 am, shares ofFortis Healthcare were trading at Rs 557.45 on the NSE, still up 3.5 percent despite coming off the day's high. Shares of the company have gained 11 percent in the past month. Catch all the market action on our LIVE blog Fortis Healthcare has reported a 40 percent growth in its consolidated net profit at 174 crore for the June quarter, driven by robust performance in its flagship hospital business. Revenue grew to Rs 1,859 crore, up from Rs 1,657 crore in the previous year. The company is also advancing its plan to add nearly 700 beds this fiscal across major facilities, including those in Faridabad, Anandpur, Shalimar Bagh, and Noida. Additionally, Fortis will soon commission a new 350-bed facility in Manesar, as noted by chairman Ravi Rajagopal. Brokerage firm HDFC Bank feels capacity expansion, growth in the hospital sector, enhanced medical infrastructure, and a rise in medical tourism can significantly boost Fortis' long-term revenue potential. The firm anticipates sustained strong growth in the hospital business due to capacity optimisation, improved case mix, better occupancy rates, and increased ARPOB (Average Revenue Per Occupied Bed). Meanwhile, Elara Capital also believes that the company's high earnings growth from brownfield expansion and margin improvement in the hospitals segment justify its high multiples. HDFC Securities also suggests investors to buy the stock in the band of Rs 549-558 and add more on dips around Rs 491. The brokerage expects Fortis Health's stock price to swell up to Rs 649 in the bull case scenario over the next 2-3 quarters and Rs 607 in the base case scenario.

2024-08-30 12:54

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/bharti-airtel-stock-surges-to-lifetime-high-as-sc-takes-in-agr-case-petition-bernstein-raises-price-target-12810530.html

Bharti Airtel at life high as SC takes up AGR case petition; Bernstein raises price target

Bernstein raised its price target for Bharti Airtel by 9 percent to Rs 1,740..Related stories.

Shares of Bharti Airtel rose close to 3 percent and hit a record high of Rs 1,608.40 on August 30, as the Supreme Court reviews the curative petitions filed by Bharti Airtel and Vodafone Idea in the Adjusted Gross Revenue (AGR) case. Brokerages believe that the review of the the petition might prompt the government to offer some relief measures for the telecom majors. Factoring that in, along with expectations of a strong growth in the coming times, global brokerage Bernstein raised its price target for Bharti Airtel by 9 percent to Rs 1,740, while retaining its 'outperform' call on the stock. At noon, shares ofBharti Airtelcame slightly off the day's high and were trading at Rs 1,599 on the NSE. Earlier this week,UBS Securities had also lifted its price target on the stock to Rs 1,595, even though it retained its 'neutral' rating. Going ahead, Bernstein also sees a favourable market structure for the telecom industry, driven by the consolidation over the years. The firm noted that strong players like Bharti Airtel and Jio continue to gain market share. On that account, Bernstein expects the market to consolidate further, with Vodafone Idea subscriber churn still sitting at higher levels. In addition, as telecom giants hop on a tariff hike cycle, UBS anticipates that 60-75 percent of the hikes will translate into revenue over the next three quarters. Moreover, the firm expects churn to decrease during this period due to a significant reduction in the prevalence of double SIMs cards.

2024-08-30 13:06

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/tata-elxsi-rally-kotak-sell-rating-12810311.html

Tata Elxsi extends rally to rise 15% in five sessions but Kotak has a Sell

Saurabh Mukherjea-led Marcellus Investment Managers recently exited Tata Elxsi, which was a part of the firm's Rising Giants PMS portfolio..Related stories.

Tata Elxsi shares continue their upward march, scaling fresh highs, adding another five percent on August 30 to take the gains to 15 percent in five sessions, riding on the heavy trading volumes in the counter. At 10.45 am, shares of the technology company were trading at Rs 8,201 on the NSE. With the sharp surge in the stock, its market capitalisation also swelled to Rs 51,073 crore. As much as eight lakh shares ofÂTata Elxsi changed hands on the exchanges in early trade on Friday, compared to the one-month daily traded average of six lakh shares. Follow our live blog to catch all the updates Commenting on the rally, Kotak Institutional Equities said, "Tata Elxsi's stock was expensive even before the rally. We believe that Tata Elxsi's revenue growth would improve through the rest of FY2025E, as large OEM engagements ramp up." "However, challenges in the rest of the portfolio persist: weak spending in the media and communications vertical and middling presence in healthcare, along with deferrals by large clients." Kotak said, retaining its "Sell" on the firm, with an unchanged target price of Rs 5,500 per share, a downside of around 40 percent. Saurabh Mukherjea-led Marcellus Investment Managers had recently exited Tata Elxsi, which was a part of its Rising Giants PMS portfolio. The fund house attributed the exit largely to expectations of better internal rate of return from new additions - Escorts Kubota, Coforge and CMS Info Systems.

2024-08-30 11:20

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/mm-shares-rise-over-2-on-tie-up-with-sentrycs-to-develop-and-provide-anti-drone-solutions-12810597.html

M&M shares rise over 2% on tie up with Sentrycs to develop and provide anti-drone solutions

M&M share price advanced to the day's high of Rs 2,821.55 per share on the NSE, up 2.31 percent..Related stories.

Mahindra & Mahindra Ltd, share price rose over 2 percent in the trade on August 30 after it announced partnership with Sentrycs to develop anti-drone technology to protect India’s critical infrastructure, airports, and borders. M&Mshare price advanced to the day's high of Rs 2,821.55 per share on the NSE, up 2.31 percent. The company, in a release, said, "Mahindra Group and Sentrycs Ltd have signed a Non-Binding Memorandum of Understanding (MoU) to explore opportunities for developing and providing ‘differentiated Anti-Drone Solutions’ in India, for civilian and military applications." Sentrycs deals in adaptive counter-drone solutions, supported by innovative cyber over RF technology. The agreement will focus on the Transfer of Technology (TOT) and manufacturing of radio frequency-based counter-drone solutions under the Government of India’s ‘Make in India’ initiative. The ‘differentiated anti-drone solution’ is an autonomous and integrated system with a command and control (C2) module, and enables detection, tracking, identification and mitigation of incoming drones, it added. Vinod Sahay, President Aerospace & Defence Sector and Member of Group Executive Board,Mahindrasaid, "We are proud to have a solution that aids in the protection of the country and its assets. This is also in alignment with our objectives ofMake in India." At the time of publishing, the counter was up 1.90 percent to quote at Rs 2,809.90 per share on the NSE. The counter has delivered multibagger returns of 114.50 percent in the last two years. In the last three years, it moved higher by 254.47 percent.

2024-08-30 13:07

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/icici-prudential-mutual-fund-sells-12-66-lakh-zee-entertainment-shares-12810760.html

ICICI Prudential Mutual Fund sells 12.66 lakh Zee Entertainment shares

The fund had 5.09 percent stake as per its January 31, 2024 disclosure..

ICICI Prudential Mutual Fund has sold over 12.66 lakh shares of Zee Entertainment Enterprises Limited (ZEEL), with the shareholding now decreasing to over two percent now. ZEEL in an exchange filing said, "ICICI Prudential Mutual Fund under its various schemes holds equity shares of Zee Entertainment Limited. The Fund under its schemes has carried out net sale of 12,66,929 shares of the company on August 28, 2024. As a result, the shareholding of the Fund has decreased more than 2% of the paid-up capital of the company." The fund had 5.09 percent stake as per its January 31, 2024 disclosure. The schemes of the Fund have carried out net sale of 1,95,30,335 shares of the company from the last filing submitted on January 31, 2024. ZEEL shares have declined nearly 50 percent this year so far on the BSE.

2024-08-30 15:05

moneycontrol.com

https://www.moneycontrol.com/news/business/gold-set-for-monthly-rise-eyes-on-us-inflation-data-12810495.html

Gold set for monthly rise; eyes on US inflation data

Gold prices slipped 0.3% to $2,513.99 per ounce but are poised for a 3% monthly rise, driven by Fed rate cut expectations and geopolitical tensions..Related stories.

Gold prices eased on Friday, but were on track for a second straight month of gains on rising bets of a Federal Reserve rate cut next month, while traders awaited key U.S. inflation data for additional guidance. Spot gold was down 0.3% at $2,513.99 per ounce as of 0333 GMT, but on track to have increased about 3% this month. U.S. gold futures fell 0.5% to $2,547.60. The ”overall trend in gold remains bullish due to lower rates and geopolitical tensions,” said Peter Fung, head of dealing at Wing Fung Precious Metals. ”By year-end, prices should break $2,650 and in the medium to long term, expect it to go above $2,800 and maybe even $3,000.” Currently, traders have fully priced in a U.S. rate cut next month, with a 66% chance of a 25-basis-point reduction and a 34% chance of a 50-bps cut, according to the CME FedWatch tool. Those odds could be influenced by U.S. Personal Consumption Expenditures (PCE) data, due at 1230 GMT. ”The size of a potential September Fed cut could well be influenced by how tame or otherwise the core PCE Price Index is,” said Tim Waterer, chief market analyst, KCM Trade. Data released on Thursday showed U.S. weekly jobless claims fell slightly last week but re-employment opportunities for laid-off workers are becoming more scarce. On the geopolitical front, the Israeli military and Palestinian militant group Hamas have agreed to three separate, zoned three-day pauses in fighting in the Gaza Strip to allow for polio vaccinations, a senior WHO official said. Tensions have otherwise been high with fears of a widening conflict. Spot silver slipped 0.2% to $29.38 per ounce, while palladium rose 0.29% to $940.40. Both metals are on track for monthly gains. Platinum edged down by 0.1% to $978.50, set for a third straight month of losses.

2024-08-30 11:16