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moneycontrol.com

https://www.moneycontrol.com/news/business/markets/mid-day-mood-nifty-sensex-maintain-strong-gains-as-realty-stocks-rally-fmcg-bucks-trend-12810528.html

Mid-day Mood | Nifty, Sensex maintain strong gains as realty stocks rally; FMCG bucks trend

Tata Motors, Reliance, and ITC were key Nifty losers.Related stories.

Benchmarks Nifty and Sensex managed to hold firmly in the green in the afternoon on August 30 after a sharp rally in realty and healthcare stocks fueled the upbeat sentiment in the market. It is worth mentioning that the two attained fresh highs during the opening bell. At noon,  the Sensex was up 283.40 points or 0.35 percent at 82,418.01, and the Nifty was up 89.10 points or 0.35 percent at 25,241.10. About 2017 shares advanced, 1257 shares declined, and 97 shares were unchanged. Follow our LIVE blog for all the latest market updates After slumping amid profit booking yesterday, the broader market was quick to bounce back as the mid and small-cap indexes rose 0.6 and 0.7 percent to outperform the headline indices. While analysts suggest that the valuations are stretched, the two have shown resilience and continue to outpace the Nifty's year-to-date gains by a comfortable margin. The India VIX, an indicator of market anxiety, eased further as compared to morning to hover below the 14 levels. Read more:ÂFor telcos to make capex, they must generate returns: Jyotiraditya Scindia on tariff hikes Sectoral Trend Of the 13 indices, the only loser was the FMCG index, marginally dampening the overall sentiment in the market. A drop in the price of ITC, Marico and Dabur dragged the index lower. The remaining 12 indices notched up higher led by Realty, Pharma, and Healthcare indices with all gaining over a percent each. Nifty IT also extended its gains to five sessions after rising 0.4 percent. Nifty Auto index was 0.5 percent up and could make headlines as OEM will declare its August sales later this week. Also read:ÂBrokerages remain bullish as Reliance Industries aims to double EBITDA, expand O2C, retail, and new energy Fundamental View V K Vijayakumar of Geojit Financial Services suggests that the market has shown a notable lack of volatility, steadily rising over the last 11 sessions as the VIX declined to 13.79. The resilience is attributed to domestic institutional investors (DIIs) and high-net-worth individuals (HNWIs) accumulating quality large caps, while foreign institutional investors (FIIs) have reduced selling and increased buying on certain days. He added that this trend is expected to persist in the near term. A breakout could occur if banking stocks see significant buying, but ongoing deposit struggles and margin pressure are dampening demand despite attractive valuations. Currently, large caps are outperforming the broader market, which is a positive sign. Technical View "Nifty can find support at 25,100 followed by 25,050 and 25,000. On the higher side, 25,200 can be an immediate resistance, followed by 25,250 and 25,300," Deven Mehata, Research Analyst at Choice Broking, said. "The charts of Bank Nifty indicate that it may get support at 51,100, followed by 51,000 and 50,900. If the index advances further, 51,350 would be the initial key resistance, followed by 51,500 and 51,600," he added. Key Nifty Gainers Bharti Airtel, Divis Labs, Cipla Key Nifty Losers Tata Motors, Reliance, and ITC Key Sensex Gainers Airtel, Power Grid Corp, M&M Key Sensex Losers Tata Motors, Reliance, and ITC Stock Moves Spicejet: Shares of the aviation company tanked 7 percent after the aviation watchdog Directorate General of Civil Aviation (DGCA) decided to place crisis-hit airlines under enhanced surveillance. The sharp fall was witnessed in the shares of the no-frills carrier after reports of cancellation of flights and financial stress being experienced by SpiceJet. Prestige Estates Projects: Shares rose 6 percent after the board approved the launch of the QIP late evening on August 29 with a floor price of Rs 1755.09/share, as per an exchange filing. The move has come at a time when the stock has seen an uptick of 50.25 percent in the last six months.

2024-08-30 12:19

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/max-estates-shares-trade-in-red-as-real-estate-firm-announces-qip-12810413.html

Max Estates shares trade in red as real estate firm announces QIP

In the last 3 months, the stock went up by 94.33 percent on the BSE. It rose 149.67 percent in the last 180 days, as per BSE website..Related stories.

Max Estates shares faced selling pressure on August 30 after the company launched a qualified institutional placement (QIP) at a floor price of Rs 628.74 per equity share. The Noida-based real estate developer plans to raise up to Rs 800 crore via QIP at an issue price of Rs 597.50 per share, sources told CNBC-AWAAZ, which is at a 12.52 percent discount to the last closing price on the NSE. "...approved the floor price for the Issue, being Rs 628.74 per equity share based on the pricing formula as prescribed under the ICDR Regulations," the company said in an exchange filing. The company plans to use the money received from the QIP to purchase land, interests in land, or rights to develop land, the report added. In Aug 30 trade, the Max Estates shares were trading at Rs 681.50 per share on the NSE, down marginally by 0.22 percent. In the last 3 months, the stock went up by 94.33 percent on the BSE. It rose 149.67 percent in the last 180 days, as per BSE website. Recently, the Noida authorities granted approval toMax Estatesfor the development of the 'Delhi One' project on a land parcel measuring 34,697 square meters, located in Sector 16B, Noida. This project adds 2.6 million sqaure feet of development potential to the portfolio of Max Estates.

2024-08-30 11:56

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/city-union-bank-stock-jumps-4-amid-heavy-volumes-opens-new-branch-in-tirchy-12810553.html

City Union Bank stock jumps 4% amid heavy volumes, opens new branch in Trichy

So far this year, the stock of this private sector lender has jumped 15 percent.Related stories.

Shares ofCity Union Bankrallied over 4 percent to day's high of Rs 175 apiece on August 30 amid heavy volumes. Recently, the Tamil Nadu-based lender opened a new branch in Trichy - taking the total number of branches count to 807. As much as 5.7 million equity shares were exchanged on both BSE and NSE on August 28 intra-day deals, significantly exceeding 1.9 million equity shares exchanged on a one-week average. So far this year, the stock of this private sector lender has jumped 15 percent, in-line with benchmark Nifty 50's 15 percent rise during the same period. Earlier this month, City Union Bank shares had hit 52-week high of Rs 176 apiece on August 1. Catch all the market action on our LIVE blog In the recently-concluded June quarter, the lender had registered 16.4 percent year-on-year (YoY) increase in net profit to Rs 264.5 crore, while net interest income had risen 4.5 percent YoY to Rs 546 crore. The gross non-performing asset stood at 3.88 percent in the June quarter, down from 4 percent in the previous quarter. Net NPA, too, came at 1.87 percent as against 1.97 percent quarter-on-quarter. Analysts at Elara Securities believe that the lender saw steady loan book in a seasonally weak quarter, but it will monitor if the trend sustains. Historically, they said, the bank has been one of the most profitable regional banks, but past few years have been difficult. "We believe operational parameters are turning favorable as changes made by the bank are starting to take shape. While a definitive turnaround may be sometime away, we find CUBK making the right strategic choices, which will define future capabilities. We see the bank delivering 1.4-1.5 percent RoA with RoE gradually improving to 13-14 percent in the next two years," they stated, retaining a 'buy' call on the counter and hiking target price to Rs 188 apiece (from Rs 182).

2024-08-30 12:31

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/bpcl-refinery-expansion-loan-12810612.html

BPCL seeks Rs 32,000 crore for refinery in largest Rupee loan of 2024

The loan will be used for the company’s expansion of its Bina refinery in the central Indian state of Madhya Pradesh, the people said..Related stories.

Bharat Petroleum Corp. is in talks with lenders to raise about Rs 32,000 crore ($3.8 billion), according to people familiar with the matter, in what could be the biggest local-currency loan in the country this year. The state-run oil company has already received expressions of interest, with the nation’s largest lender, State Bank of India, set to lead the transaction, the people said, asking not to be identified because the deliberations are private. The proposed deal would help the expansion of one of India’s biggest refiners at a time when the country is boosting its petrochemical capacity to keep pace with growing plastics consumption. The heightened interests among banks also reflect their eagerness to increase lending to large corporates, broadening their credit business beyond small to midsize companies. Punjab National Bank, Bank of Baroda and Bank of India are some of the other lenders on the 15-year loan, and more may join, the people said. It may be priced around 8.4% level, one of the people said. The loan will be used for the company’s expansion of its Bina refinery in the central Indian state of Madhya Pradesh, the people said.BPCLis investing 490 billion rupees to build an ethylene cracker plant at the refinery. If the deal materializes, it would be the country’s largest rupee-denominated loan in 2024 so far, according to data compiled by Bloomberg. SBI Capital Markets Ltd., the investment banking unit of the State Bank of India, is the adviser to the loan deal, the people said. A representative forBPCLand the banks didn’t immediately respond to requests seeking comment.

2024-08-30 15:50

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/patel-engineering-stock-rises-7-on-mou-with-rvnl-for-hydro-infra-projects-12810491.html

Patel Engineering stock rises 7% on MoU with RVNL for hydro, infra projects

Patel Engineering shares gained 15 percent in the past month..Related stories.

Shares ofPatel Engineeringrose 7 percent to Rs 57.40 apiece in morning trade on August 30 after the company signed a memorandum of understanding (MoU) with RVNL to jointly pursue hydro and infrastructure projects in both domestic and international markets. According to a regulatory filing, the MoU outlines a collaborative framework that combines the strengths and expertise of both companies to undertake hydro and other infrastructure projects. The agreement will enable both firms to explore opportunities for collaboration across various capacities. Follow our LIVE  blog for all the latest updates RVNL and Patel Engineering will collaborate on select hydro and infrastructure projects, combining Patel Engineering’s infrastructure expertise with RVNL’s experience in rail and transport infrastructure. The MoU allows both companies to bid for projects either jointly or independently. In joint bids, they will coordinate on strategies, structures, and terms to ensure a unified approach. The MoU emphasises enhancing synergies between the two companies in the hydro and infrastructure sectors, with a shared commitment to excellence and high standards of project execution. At about 11:30 am, shares of the company were trading at Rs 57, up 6 percent from the last close on the NSE. Patel Engineering shares gained 15 percent in the past month. Patel Engineering is an Indian infrastructure and construction company specializing in civil engineering projects like roads, railways, bridges, dams, tunnels, hydroelectric powerhouses, irrigation projects, and refineries.

2024-08-30 11:50

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/hdfc-bank-plans-to-sell-1-2-billion-of-loans-via-rare-debt-tool-12810608.html

HDFC Bank plans to sell $1.2 billion of loans via rare debt tool

The certificates, to be backed by a pool of the bank’s car loans, will likely be issued in multiple tranches in the next few weeks..Related stories.

India’s largest private lenderHDFC Bankplans to sell as much as Rs 10,000 crore ($1.2 billion) of loan portfolios using a rare debt instrument, as it seeks to cut exposure to certain sectors amid challenges in raising deposits, according to people familiar with the matter. The bank is in talks with local asset managers including ICICI Prudential AMC, Nippon Life India Asset Management and SBI Funds Management to issue so-called pass through certificates, a route that has not been used in a decade by the bank, the people said, asking not to be identified as the discussions are private. The certificates, to be backed by a pool of the bank’s car loans, will likely be issued in multiple tranches in the next few weeks, the people said. The securities are expected to offer interest rate in the range of 8.3-8.5% to investors, they said. The bank is trying to shrink its retail loan portfolio under heightened regulatory pressure in the banking industry to improve credit-deposit ratios — a measure of how much of a bank’s deposits are being lent out. The sale, if materialized, will help HDFC Bank improve its CD ratio which has worsened in recent years as credit growth outpaces deposit growth in the nation. HDFC’s credit-deposit ratio stood at 104% at the end of March, higher than the level of 85%-88% seen in the previous three financial years, according to a report by ICRA Ltd., the local arm of Moody’s Ratings. Kotak Mahindra Asset Management is also talking to the bank on possible subscription of those securities, the people said. HDFC Bank, SBI Funds, Nippon Life India, ICICI Prudential and Kotak did not reply to emails from Bloomberg News seeking comments. HDFC BankÂsold a Rs 5000 crore loan portfolioto an undisclosed buyer in June. The bank had last done such a transaction more than a decade ago, Chief Financial Officer Srinivasan Vaidyanathan said last month. The “gap between credit and deposit growth rates warrants a rethink by the boards of banks to re-strategize their business plans,” the Reserve Bank of India said in June. Indian banks’ deposits grew 10.9% annually through Aug. 9, slower than loan growth of 13.6%, according to latest RBI data. Finance Minister Nirmala Sitharaman and RBI Governor Shaktikanta Das have urged banks to find ways to increase their deposits. The RBI in particular has warned banks of potential liquidity issues and has called on them to use their vast networks to attract more savings.

2024-08-30 12:45

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/lemon-tree-hotels-shares-gain-on-signing-new-property-in-ujjain-stock-up-17-in-3-months-12810519.html

Lemon Tree Hotels shares gain on signing new property in Ujjain; stock up 17% in 3 months

Lemon Tree Hotel in Ujjain will offer 72 elegantly designed rooms.Related stories.

Shares ofLemon Tree Hotelsgained 1.5 percent to Rs 135 apiece on August 30 after the hospitality company announced that it has signed a new property in Ujjain, Madhya Pradesh. Over the past 3 months, the stock of this hospitality chain has surged 17 percent, as compared to 12 percent rise in the benchmark Nifty 50. Earlier, Lemon Tree Hotels stock had hit 52-week high of Rs 158 apiece on May 6, 2024. Catch all the market action on our LIVE blog Lemon Tree Hotels said that the new property in Ujjain is expected to open in FY27 and shall be managed by Carnation Hotels Private, a wholly-owned subsidiary of Lemon Tree Hotel. The Lemon Tree Hotel in Ujjain will offer 72 elegantly designed rooms, along with a restaurant, bar, swimming pool, and various public areas. It is conveniently located with Devi Ahilyabai Holkar International Airport in Indore about 50 kilometres away and Ujjain Railway Station just 4 kilometres from the hotel. The hotel is well-connected through both public and private road transport Lemon Tree Hotels is among India's largest hotel chains, operating across various market segments from upscale to economy. The company owns, leases, operates, and franchises hotels, delivering distinct and high-quality service offerings with an attractive value proposition.  Currently, the portfolio includes over 160 hotels, comprising over 100 operational hotels and more than 60 properties slated to open in India and globally. In the recently concluded June quarter, the company's consolidated net profit dropped 15 percent year-on-year (YoY) to Rs 19 crore from Rs 23 crore in the year-ago period. However, revenue from operations jumped 19.52 percent YoY to Rs 268.02 crore in Q1FY25. At the operational level, EBITDA grew by 8.05 percent YoY to Rs 115.4 crore in Q1FY25, whereas EBITDA margin reduced to 43 percent in Q1 FY25 as against 47.6 percent a year back.

2024-08-30 12:01

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/rupee-rises-on-equity-inflows-but-importers-dollar-bids-cap-gains-12810490.html

Rupee rises on equity inflows but importers' dollar bids cap gains

Indian rupee gains slightly, importers' dollar demand limits rise.Related stories.

The Indian rupee gained slightly on Friday on the back of inflows into local stocks but importers’ dollar demand limited the gains. The rupee was at 83.84 against the U.S. dollar as of 10:25 a.m. IST, against its close at 83.87 in the previous session. Despite expectations of inflows related to India’s increased weight in MSCI’s emerging market equity index, the rupee was unable to gain substantially in the face of ”strong dollar demand” from local importers, a foreign exchange trader at a state-run bank said. The higher weightage for Indian equities, effective on Friday, is expected to draw up to $3 billion of inflows, according to Nuvama Alternative and Quantitative Research. Benchmark Indian equity indexes, the BSE Sensex and Nifty 50, touched record highs in early trading and were last up about 0.2% each. The rupee is ”likely to trade within a range of 83.75 to 83.90” on the day with a bias towards slight appreciation, Amit Pabari, managing director at FX advisory firm CR Forex, said. The dollar index was little changed at 101.3 while most Asian currencies slipped, save for the offshore Chinese yuan, which was up 0.2% at 7.08, its strongest level since June 2023. Meanwhile, dollar-rupee forward premiums slipped, pressured by an uptick in U.S. bond yields after data released on Thursday quelled concerns about an economic slowdown. The 1-year implied yield was down 2 basis points to 2.14%. U.S. PCE inflation due later on Friday and labour market data due next week are likely to be the key drivers of U.S. rate cut expectations ahead of the Federal Reserve’s September meeting. India’s GDP data for the April-June quarter will also be released after market hours and is expected to show that economic growth eased to its slowest pace in a year, according to a Reuters poll.

2024-08-30 11:06

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/safari-industries-surges-6-to-all-time-high-amid-spurt-in-volumes-12810356.html

Safari Industries surges 6% to all-time high amid spurt in volumes

Shares of Safari Industries are up over 17 percent in the past month..Related stories.

Shares of Safari Industries surged nearly 6 percent to an all-time high of Rs 2,485 in early trade on August 30, driven by a spurt in volumes in the counter. Trading volumes in the counter rose as one lakh shares changed hands on the exchanges so far, higher than the one-month daily traded average of 73,000 shares. At 10.56 am, shares ofSafari Industrieswere trading at Rs 2,421 on the NSE, still up close to 3 percent despite coming off the day's high. Shares of the company are up over 17 percent in the past month. Catch all the market action on our LIVE blog Earlier this month, Safari Industries reported a 9.4 percent year-on-year decline in net profit for the quarter at Rs 44.4 crore. Despite the weak bottomline, the company’s revenue for the June quarter grew by 5.5 percent to Rs 450 crore. However, the EBITDA margin also contracted sharply by nearly 400 basis points, dropping to 14.6 percent from 18.5 percent in the same period last year. Regardless of the weak quarterly earnings, the company still fared much better than industry rival VIP Industries, which reported a steep 93 percent decline in its net profit to merely Rs 4 crore. A major bone in the throat for VIP Industries, which could turn into an advantage for Safari, lies in their respective exposures to Bangladesh. VIP Industries relies on its eight plants in the country, with 30-35 percent of its capacity sourced from there, while Safari's dependence is lower, as it procures goods from third-party vendors. Managing inventory liquidation and addressing issues in Bangladesh will be crucial as the festive and travel season approaches.

2024-08-30 11:10

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/can-india-weave-its-way-to-becoming-the-worlds-next-textile-hub-12810566.html

Can India weave its way to becoming the world’s next textile hub?

At the heart of India’s textile industry lies a fundamental problem -- low cotton yield..Related stories.

India, a country with a rich heritage in textiles, is once again at the forefront of discussions on global trade. The recent political unrest in Bangladesh has opened the door for India to potentially reclaim its leadership in the global textile market. However, while the opportunity is large and tempting, the path forward is riddled with challenges that could either propel India to the top or leave it trailing behind. A tale of two textile giants: India vs Bangladesh The global textile industry has been dominated by a few key players, with India and Bangladesh standing tall among them. India’s textile industry is massive, valued at approximately $150 billion, with exports contributing around $40 billion. On the other hand, Bangladesh, though smaller in size, punches above its weight with exports totalling about $45 billion, driven primarily by its ready-made garment (RMG) sector. India’s ready-made garment exports are 1/3rd of Bangladesh at $15 billion and are almost stagnant since 2015. The competition is fierce, and while India has the scale, Bangladesh has carved out a niche with its efficiency and export-oriented approach. Ready-made Garment exports in $billion over the past 10 years Cotton conundrum: The yield problem At the heart of India’s textile industry lies a fundamental problem -- cotton yield. India and China are the world’s largest cotton producers, each churning out around 6 million tonnes annually. But here’s where the story takes a twist. China manages this feat using just 3.2 million hectares of land, while India requires more than 13 million hectares for the same output. The maths doesn’t add up in India’s favour. India’s average cotton yield is a meagre 460 kg per hectare, significantly lower than the global average of 780 kg per hectare (again World average is deflated due to very low cotton yield in India). Compare this to China’s Xinjiang region, where yields soar to 2,000 kg per hectare, or Brazil’s 1,800 kg per hectare, and the issue becomes glaring. Poor seed quality, fragmented land bank and outdated technology are dragging down India’s potential, and unless addressed, this could be the Achilles’ heel that undermines India’s textile aspirations. The MSP dilemma: A blessing or a curse? To support its farmers, the Indian government has been increasing the Minimum Support Price (MSP) for cotton, with a hike of 9 percent for the 2023-24 season and recent hike of 7.3 percent for 2024-25. While this move is well-intentioned, aiming to offset rising cultivation costs, it brings with it a host of challenges. The increase in MSP may offer short-term relief to farmers, but it also raises questions about sustainability. Higher MSPs make Indian cotton more expensive, especially when international prices are falling. Over the past six months, global cotton prices have dropped by 30 percent, making Indian cotton less competitive in the international market. Add to this the import duties imposed by India to protect domestic farmers, and you have a scenario where raw material costs for textile manufacturers skyrocket. This price discrepancy between domestic and international markets not only impacts profitability but also threatens India’s position in the global textile arena. Spinning a new strategy: Impact on cotton spinning The ripple effect of these challenges is felt most acutely in the cotton spinning industry. When international cotton prices were high, Indian yarn exports flourished. But as global prices plummeted, the tables turned. Now, with domestic cotton prices propped up by MSP and import duties, Indian yarn is struggling to find its footing in the global market. The surplus yarn that can’t be exported is being funnelled into the domestic market, causing an oversupply that drives down prices. For Indian spinning mills, this is a double whammy -- reduced export competitiveness and shrinking margins at home. Without a strategic shift, the future looks uncertain for this critical segment of the textile value chain. The road ahead: Challenges and opportunities India’s journey to becoming the world’s next textile hub is far from straightforward. The challenges are daunting -- low cotton yield, high domestic prices, availability and higher prices for manmade fibres and fierce global competition. Yet, the opportunities are equally compelling. With the right mix of innovation, government support, and strategic foresight, India can weave its way back to the top. The world is watching, and the stakes are high. Will India rise to the occasion, or will it let this opportunity slip through its fingers? The answer lies in how well it can address its internal challenges and leverage the new seeds of change being sown today. The fabric of India’s future in textiles is being woven as we speak, and only time will tell if it’s a tapestry of success. - Pankaj Tibrewal is Founder & CIO, IKIGAI Asset Manager

2024-08-30 15:37

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/kishore-biyanis-future-markets-general-up-70-in-one-month-whats-driving-the-gains-12810642.html

Kishore Biyani's Future Markets General up 70% in one month, what's driving the gains?

The stock price has surged 70 percent so far this month, with most of the gains coming after the company reported its earnings result for the quarter ended June..Related stories.

Future Markets General, a part of Kishore Biyani's Future Group, has seen its share price hit back-to-back upper circuits over the past 12 sessions. The stock price has surged 70 percent so far this month, with most of the gains coming after the company reported its earnings result for the quarter ended June. As a result of certain exceptional items,ÂFuture Market Networks' net profit for the first quarter of the current fiscal significantly outpaced its revenue. The realty player's consolidated net profit surged 586 percent to Rs 83.4 crore, as compared to  Rs 12.16 crore during the same quarter last year. Excluding the exceptional item, the net profit fell 40 percent on-year to Rs 73.6 lakh for the quarter. The revenue gained around 9.7 percent on-year to Rs 24.6 crore as against Rs 22.40 crore recorded last year during the June quarter. At 1.40 pm, shares of Future Market Networks were quoting Rs 11.13, up five percent. Follow our live blog to catch all the updates The exceptional items include gains from two properties owned by the company, which had guaranteed loans for a related party. The first property, R-Mall in Mulund-West, Mumbai, was taken over by Hero Fincorp Private Limited on May 7, 2024, resulting in a gain of Rs 46.71 crores. The second property, 10 Acre Mall in Ahmedabad, was subject to securitisation by Yes Bank, leading to a gain of Rs. 34.41 crores. Additionally, the company wrote off Rs 5.05 crores, which had been advanced to Omaxe Garv Buildtech during the quarter ended June 30, 2024. The company's market-capitalisation is around Rs 64 crore, as compared to an average market-cap of Rs 882 crore for all listed real estate players.

2024-08-30 14:39

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/ecos-mobility-ipo-subscribed-over-21-8-times-so-far-on-final-day-on-robust-demand-12810704.html

Ecos Mobility IPO subscribed over 64 times on final day on robust demand

Ganesan said, "India is definitely in a sweet spot, but investors need to be mindful of the evolving risks and ensure they are making informed decisions.".Related stories.

Ecos India Mobility and Hospitality's initial public offering (IPO) continued to attract robust demand heading to the final stages of the last day on August 30. Stock exchange data showed that subscriptions reached 64.18 times the issue size. Investors bid for 80.86 crore equity shares against the 1.26 crore shares on offer. The New Delhi-based provider of chauffeur-driven car rental services aims to raise Rs 601.2 crore through the public issue, which consists entirely of an offer-for-sale of 1.8 crore shares by the promoters. The price range for the IPO is set between Rs 318 and Rs 334 per share. Follow our LIVE market blog for all the latest updates Qualified institutional buyers led the charge, subscribing 136.85 times their allocated portion, followed by non-institutional investors, who took up 71.17 times their reserved shares. The demand from retail investors also surged, picking up almost 19.66 times their allotted portion. Read more: BPCL seeks Rs 32,000 crore for refinery in largest Rupee loan of 2024 The anchor book, which opened on August 27, saw strong participation from institutional investors, raising Rs 180.4 crore from 14 anchor investors. Participants included Whiteoak Capital, Acacia Banyan Partners, Aditya Birla Sun Life Trustee, Invesco India, Troo Capital, Nomura Trust, ICICI Prudential Mutual Fund, Franklin India, and Motilal Oswal Mutual Fund. Since the issue is purely an offer-for-sale, all net proceeds will go to the promoters, Rajesh Loomba and Aditya Loomba, with the company receiving no funds from the IPO. Ecos India Mobility and Hospitality has been providing chauffeured car rentals and employee transport solutions to corporate clients, including Fortune 500 companies in India, for over 25 years. It operates nationwide across 109 cities through its fleet of over 12,000 vehicles, ranging from economy cars to luxury coaches.

2024-08-30 18:34

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/cinevista-jumps-10-on-securing-approval-for-development-of-a-residential-project-with-k-raheja-12810548.html

Cinevista jumps 10% on securing approval for development of a residential project with K Raheja

Over the past 12 months, its shares have risen around 47 percent in trade..Related stories.

Small-cap media player Cinevista shares surged to its upper circuit of 10 percent as the stock saw only buyers on August 30. The jump in the stock price comes after the firm's JV with developer K Raheja obtained all necessary permissions to begin development of a residential project. The project being developed by K. Raheja Corps. Homes stands under the title: ‘ANTARES’. Currently, K. Raheja Corp.'s marketing team will begin sales for Tower A. Sales for Tower B will be initiated at a later stage, as currently informed. At 12 noon,Cinevista's stock price was quoting Rs 21.47 on the NSE, up 10 percent. Follow our live blog to catch all the updates Last year, K Raheja Corp Realty entered into a development agreement with Cinevista to develop a land parcel spread across an area of 3.91 acres located in village Hariyali in Kurla, Mumbai. The agreement value is Rs 272 crore for K Raheja Corp and Rs 78.35 crore for Cinevista Ltd, according to documents accessed by CRE Matrix. The developer plans to construct a luxury housing project on the land parcel. The total plot area is 15,817.5 square metres and the permissible built-up area is 52,117 square metres, of which the developer’s share is 75.5 percent and the owner’s share is 24.5 percent, the documents showed. The stamp duty paid is Rs 13.6 crore. The deal was registered on May 29, 2023. Cinevista is a television production company founded by actor Prem Kishen and Sunil Mehta. Over the past 12 months, its shares have risen around 47 percent in trade.

2024-08-30 13:29

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/warren-buffetts-birthday-magic-how-100-turns-into-a-whopping-4384748-gain-12810842.html

Buffett's Birthday Magic: How $100 turns into a whopping 4,384,748% gain

If you had invested $10,000 in Berkshire 60 years ago, it would now be worth $438 million..Related stories.

Right before his 94th birthday, investing guru Warren BuffettŌĆÖs Berkshire Hathaway joined the ultra-exclusive $1 trillion market-cap club. From 1965 to the end of 2023, Berkshire Hathaway's stock skyrocketed by 4,384,748 percent, easily outpacing the S&P 500's 31,323 percent gain. If you had invested $100 in Berkshire 60 years ago, it would now be worth $4.38 million. In contrast, the same $100 invested in the S&P 500 would have grown to about $31,323 today. On August 28, two days before the Oracle of Omaha Warren Buffett's birthday, Berkshire Hathaway shares soared, pushing the company's market value past $1 trillion, making it the first non-tech US-based company to reach this level. This achievement places Berkshire alongside tech giants Apple and Microsoft, both valued at over $3 trillion, and other trillion-dollar companies like Nvidia, Alphabet, Amazon, and Meta. Among these companies, Berkshire Hathaway also took the longest to reach the $1 trillion mark, trading over 44 years before crossing the finish line. On the other hand, Meta clocked the record in just nine years since its debut on the bourses. In his annual letter to investors, right before Berkshire HathawayŌĆÖs annual shareholdersŌĆÖ meeting, Buffett wrote that skyrocketing outperform will not be seen anymore. ŌĆ£We have no possibility of eye-popping performance,ŌĆØ he said. ŌĆ£Berkshire should do a bit better than the average American corporation and, more important, should also operate with materially less risk of permanent loss of capital. Anything beyond ŌĆśslightly better,ŌĆÖ though, is wishful thinking,ŌĆØ added Buffett. However, the company's stock has climbed 28 percent so far this year, outperforming the S&P 500's 18 percent gain. Berkshire Hathway's Class A shares, which are hovering around $700,000 each, are the most expensive stocks in the world, as the company has never undergone a stock split. This is to keep its focus away from attracting retail investors and speculators. So like everyoneŌĆÖs favorite investment wizard, believe in the power of compounding!

2024-08-30 19:40

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https://www.moneycontrol.com/news/business/markets/warren-buffetts-94th-birthday-gift-seven-timeless-tenets-of-investing-12810796.html

Warren BuffettŌĆÖs 94th Birthday Gift: Seven timeless tenets of investing

Warren Buffett turns 94.Related stories.

Warren Buffett, one of the most successful investors on the planet, has built a trillion-dollar company and crafted a legendary investing style that has delivered nearly double the returns over a lifetime. Berkshire Hathaway, originally an ailing textile company, was transformed into an insurance giant under BuffettŌĆÖs leadership, uniquely structuring itself as a tax-efficient investment behemoth. From 1965 to 2023, the company had returned 19.8┬Āpercent compounded annual return versus 10.2 percent for the S&P 500 index (including dividends). In terms of overall gains, it amounted to 4,38,748┬Āpercent for Berkshire versus 31,222┬Āpercent for the benchmark index. At age 94, with an investment track record of 68 yearsŌĆölonger than the lifespans of many legendary fund managersŌĆöBuffett's investing principles remain as relevant as ever. Here are some of his core principles: Never lose money "The first rule of investing is donŌĆÖt lose money. The second rule is donŌĆÖt forget the first rule. And thatŌĆÖs all there is to it." This quote by Warren Buffett sums up the core of his investment philosophy. Buffett's strategy is marked by his strong aversion to losses. This manifests in several ways, including the idea of not using too much leverage that can wipe you out if the market turns adverse. In stock selection, the trick is to ensure that you know as much as possible about the company, to the degree of eliminating risk. The second part is to buy it at a price lower than its intrinsic value. Once all sides are covered, the idea is to not get perturbed by Mr. Market, a metaphor coined by his guru Benjamin Graham to describe the stock market's often irrational behavior. Mr. Market represents the market as a moody business partner who offers to buy or sell shares at varying prices, reflecting the emotional extremes of optimism and pessimism. As an investor, it is on you to hold your ground and take what is truly sensible and ignore what is idiotic. Power of compounding Albert Einstein called compounding the eighth wonder of the world, and Buffett demonstrated its power in the world of stock markets. ŌĆ£My wealth has come from a combination of living in America, some lucky genes, and compound interest," Buffett has famously said. This principle leads to the idea that buying businesses that can deliver higher growth sustainably over long periods make for the best investments, as opposed to getting in and out of stocks that perform over short periods, which only end up enriching brokers and adding to tax liabilities. Buffett bought into several companies that turned out to be compounding machines for very long periods. In 1988, Warren Buffett famously said, "Our favorite holding period is forever." The three goods in investing The power of compounding will work only if you choose to invest in a good company with good management and at an attractive price. Buffett has held that "It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price." What this means is that a wonderful company will compound money betterŌĆöafter all, a wonderful price is only a one-time pop, which certainly could be a great cushion, but compounding works magically over longer periods. As for the quality of management, BuffettŌĆÖs quote that "When a management team with a reputation for brilliance tackles a business with a reputation for bad economics, it is the reputation of the business that remains intact," and that "I try to buy stock in businesses that are so wonderful that an idiot can run them. Because sooner or later, one will," underscores the importance of a good business, although Buffett has always maintained a high threshold for management integrity and capital allocation policy, which directly impact shareholder returns. Concept of economic moat Buffett is known for taking the concept of economic moats and making it the "holy grail" of investing. This principle involves investing in companies with a sustainable competitive advantage, ensuring their long-term success and resilience against competitors. In his own words, Buffett believes that ŌĆ£a truly great business must have an enduring ŌĆśmoatŌĆÖ that protects excellent returns on invested capital.ŌĆØ The advantage of a moat lies in its ability to shield a business from competitors. Buffett explains that in a capitalist environment, high-return businesses will continually face competitive pressure. Thus, having a strong moatŌĆöwhether through being a low-cost producer or possessing a powerful global brandŌĆöis crucial for sustained success. Also Read |┬ĀBuffett's Birthday Magic: How $100 turns into a whopping 4,384,748% gain Margin of safety Buffett has often referred to the margin of safety as the key factor in the success of stock investing. This investing rule that the investment mogul swears by, inspired by his mentor Ben Graham, involves purchasing stocks at a price well below their estimated fair value. The estimation of intrinsic value of a business itself is a function of oneŌĆÖs deep understanding of the business and the moats the company enjoys. Yet, this built-in cushion helps account for potential errors and market fluctuations. BuffettŌĆÖs philosophy has been to sit out patiently for the ŌĆ£right opportunity.ŌĆØ Circle of competence Another simple rule Buffett swears by is to operate within oneŌĆÖs Circle of Competence. In his 1996 Shareholder Letter, Warren Buffett noted, ŌĆ£An investorŌĆÖs key skill is the ability to accurately assess certain businesses. ItŌĆÖs crucial to focus on ŌĆśselectedŌĆÖ businesses rather than attempting to master every company. You donŌĆÖt need to be an expert on many companiesŌĆöjust those within your circle of competence. The size of this circle is less important than understanding its boundaries. Within this circle lie the skills youŌĆÖve developed over your career or life, while beyond it are areas you understand only partially or not at all.ŌĆØ While Buffett has consistently emphasised the Circle of Competence, he has continuously expanded it, investing in a variety of businesses including technology and all kinds of securities and complex structures. One of the rarest qualities of Buffett and his partner Munger has been to model themselves as learning machines, continuously expanding the circle of competence. Look at stocks like pieces of business Warren Buffett famously said, "I am a better investor because I am a businessman, and a better businessman because I am an investor." This reflects his philosophy that stocks should be viewed as pieces of businesses rather than just trading symbols, emphasizing the importance of understanding and valuing the underlying business behind a stock. Internalizing this idea feeds into the concept of buying strong businesses and sticking to them for a long period, allowing the power of compounding to work.

2024-08-30 19:27

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/hdfc-bank-block-deal-4-69-crore-shares-sold-for-rs-6997-crore-cnbc-awaaz-12810800.html

HDFC Bank trading volumes surge, over 22 crore shares change hands as MSCI rejig comes into play

HDFC Bank shares saw block deals on August 30..Related stories.

HDFC Bank stock saw unusually high trading activity on 30 August, with more than 22.26 crore shares being bought and sold during the day -- nearly eight times its 20-day moving average volume. A bulk of the share sale happened during the final one hour, with nearly 20 crore shares sold after 2.30 pm. August 30 was the due date of MSCI indices August rebalancing. Earlier, this month, global indices provider MSCI had raised the 'Foreign Inclusion Factor' for HDFC Bank stock from 0.37 to 0.56, opening up room for more foreign buying in the counter. HDFC Bankshare price fell following the share sale, giving up the day's gain. The stock was trading at Rs 1,630.25 near the closing bell, down 0.51 percent from the previous close. MSCI, in its periodic review, partially raised the foreign inclusion factor on HDFC Bank stock. It is set to further raise the FIF in another tranche in its next review in November. June’s shareholding data showed that the foreign ownership in HDFC Bank stood at 54.83 percent, falling below the crucial 55 percent-mark, qualifying it for the increased MSCI weight during the August 2024 rebalancing. This level of foreign ownership allows for more than 25 percent ‘foreign room’ in HDFC Bank, a requirement for MSCI to consider the stock at its full market-cap weight. Some analysts expect the full inclusion in MSCI post November review to eventually draw in as much as $5 billion of foreign inflows into HDFC Bank stock. Even at the partial raise, which is effective from August review, would likely bring in as much as $1.8 billion (~Rs 15,000 crore) worth of foreign buying in India's largest private bank. It be noted that the final MSCI adjustment in HDFC Bank to raise the Foreign Inclusion Factor to 1 will occur in November, contingent on HDFC Bank’s FPI headroom staying above 20 percent.

2024-08-31 10:14

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https://www.moneycontrol.com/news/business/markets/sebi-proposes-tripling-the-fee-for-informal-guidance-including-more-entities-under-its-ambit-12810936.html

Sebi proposes tripling the fee for informal guidance, including more entities under its ambit

Sebi has suggested that the applicant be given up to 15 days to respond to the clarifications asked for. If the applicant does not respond within this time, then the request may be rejected..Related stories.

The market regulator has proposed tripling the fee for registered entities seeking informal guidance from Sebi. Registered entities can write to the Securities and Exchange Board of India (Sebi) asking for its guidance in two aspects: whether an action (such as an open offer) would be recommended if a particular transaction (such as buying or transferring a substantial amount of shares) is completed; secondly, for interpretation of any specific provision of securities law. In a consultation paper issued on August 30, Sebi has proposed that the fee charged per application be raised from Rs 25,000 (plus GST) to Rs 75,000 (plus GST) and the processing fee (if the application is rejected) be raised from Rs 5,000 to Rs 15,000. Also read:ÂSebi regulations finally amended to restrict association of registered entities with unregistered advisors The consultation paper has also suggested that few new categories of registered entities also be made eligible to ask for guidance, and has suggested a few measures to speed up the processing of the applications. Other suggestions These new categories proposed to be included are market infrastructure institutions (MIIs) and managers of pooled instruments such as of alternative investment funds, real-estate investment trusts or infrastructure investment trusts. To speed up the process, Sebi has suggested that the applicant responds to the regulator's queries within a particular time frame and that the correspondence between the applicant and the regulator be made through digital medium, instead of sending physical letters. The regulator is required to dispose off the requests in 60 days from its receipt. But, as the consultation paper noted, the officials may need clarifications from the applicant but the applicants may not provide these clarifications in time. Therefore, Sebi has suggested that the applicant be given up to 15 days to respond to the clarifications asked for. If the applicant does not respond within this time, then the request may be rejected. Central authority The paper also proposed the setting up of a central node to co-ordinate the applications for informal guidance. The consultation paper said, "Under the IG (informal guidance) Scheme, an applicant has to approach the concerned department of SEBI for seeking informal guidance. In some cases, the applicant may not be aware about the department which is concerned about the particular informal guidance. It added, "Further, there are multiple operational departments in SEBI which deal with informal guidance applications and there is no nodal office within SEBI which monitors the processing of such applications." Therefore, a central node has been proposed that will both receive the applications and monitor the progress of their disposal.

2024-08-30 18:14

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https://www.moneycontrol.com/news/business/markets/sebi-introduces-product-success-framework-for-single-stock-derivatives-12811036.html

Sebi introduces product success framework for single-stock derivatives

A stock derivative will need to meet a listed set of criteria to continue..Related stories.

The market regulator has introduced a product success framework for stock derivatives. A stock's eligibility will now be measured in the number of entities participating in its trading, the duration for which it has been traded during a review period, its turnover volume and notional interest. In a circular issued on August 30, the Securities and Exchange Board of India (Sebi) informed that a framework similar to that which exists for index derivatives will now be operational for single-stock derivatives as well. The circular detailed a new set of criteria for entry and exit of stocks into and from the derivatives segment. It included the product-success framework (PSF). Also read:ÂSebi revises criteria for stocks to enter, exit derivatives segment Under the PSF, a stock derivative will need to meet a listed set of criteria to continue. The circular listed the criteria as follows:1.At least 15% of trading members active in all stock derivatives (trading member who has traded during the month) or 200 trading members, whichever is lower, shall have traded in any derivative contract on the stock being reviewed on an average on monthly basis during the review period, 2.Trading on a minimum of 75% of the trading days during the review period, 3.Average daily turnover (futures + options premium) of at least Rs 75 crores during the review period, and 4. Average daily notional open interest (futures + options notional) of at least Rs500 crores during the review period. If any stock fails to satisfy any of the above mentioned criteria for a continuous period of three months, on a rolling basis, based on the data for previous six months, then no fresh contracts shall be issued on that stock.  However, the existing unexpired contracts may be permitted to trade till expiry and new strikes may also be introduced in the existing contracts. Once a stock is excluded from the derivatives segment due to PSF, it shall not be considered for re-inclusion for a period of one year from its last trading day in the derivatives segment. The product-success framework (PSF) review cycle shall be aligned with the review of entry and exit norms based on performance in underlying cash market i.e. all the above criteria for PSF shall be calculated on the 15th of each month, on a rolling basis, considering the data for previous six months.

2024-08-30 21:09

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https://www.moneycontrol.com/news/business/markets/sebi-regulations-finally-amended-to-restrict-association-of-registered-entities-with-unregistered-advisors-12810769.html

Sebi regulations finally amended to restrict association of registered entities with unregistered advisors

Besides transfer of money, the definition of "association" includes referral of a client, interaction of information technology systems, and any other association of a similar nature or character..Related stories.

Regulations governing registered intermediaries in the capital markets have finally been amended to restrict registered/regulated intermediaries' association with unregistered entities who directly or indirectly give investment advice. The definition of association covers "referral of a client", which was a big source of revenue for finfluencers and a significant source of new clientele for big brokers. The amended regulations also restrict the association with entities who make any claims about returns or performance unless the entities are permitted to do so by the regulator. The new  regulations also ask registered entities to ensure that their associated persons are in compliance. The Securities and Exchange Board of India (Sebi) had been given the clearance for this by its Board in their June 27 meeting. The regulator announced the amendment through a gazette notification on August 26 and through a public notice on its website on August 29. Also read: Jainam Broking's APs found to be using 'wealth', 'advisory' in names; Sebi fines Rs 6 lakh Under the new Sebi (Intermediaries) Regulations, regulated entities or its agents cannot have direct or indirect association with another unregulated person who provides investment advice or with any entity (registered or otherwise) to make claims about performance explicitly or impliedly unless this other entity is permitted by Sebi to make such claims. Regulated entities include entities registered with Sebi under Section 12 of the Sebi Act such as stock brokers and merchant bankers, asset management companies, investment managers and managers of real-estate investment trust (REITs). Besides transfer of money, the definition of "association" includes referral of a client, interaction of information technology systems, and any other association of a similar nature or character. Two exceptions have been given in the new regulations. One is that registered entities are allowed to associate with unregistered entities if the association is through a platform which is "specified" by Sebi and which has mechanisms in place to take preventive and curative actions, to ensure that the platform is not being used for the providing unregistered advisory or giving assurances on performance without permission. The second exception is for associating with people who are engaged only in investor education, provided that such a person/people do not indulge in providing unregistered advisory services or making assurances of performance without permission. On the digital platform At a conference conducted by FICCI on August 2, Sebi's Whole-Time Member Kamlesh Varshney had said that any of the commonly used digital platforms could soon be notified as the one through which registered entities can associate with unregistered entities. He had said that the market regulator had already seen success by collaborating with a few platforms, who had the ability to detect and take down content that is in violation of the Sebi regulations. "Some of the digital platforms have said that they have the capability to identify such content... if we say that these platforms have the ability, then you (as a registered entity) won't have a problem associating with such platforms," he said.

2024-08-30 15:18

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https://www.moneycontrol.com/news/business/ipo/ecos-mobility-ipo-trades-at-over-40-premium-in-grey-market-share-allotment-on-sept-2-heres-how-to-check-status-online-12811041.html

Ecos Mobility IPO trades at over 40% premium in grey market; share allotment on Sept 2, here's how to check status online

Ecos India Mobility and Hospitality IPO.Related stories.

Ecos India Mobility and Hospitality's IPO shares continued to get healthy premium in the grey market despite being a full offer-for-sale issue, following the strong subscription data. It may be backed by the positive market conditions as the benchmark indices traded at record high levels. According to the market observers, the IPO shares were available at around 40-45 percent premium in the grey market, an unofficial market wherein IPO shares can be bought and sold before the listing. The Rs 601-crore initial public offeringclocked 64.18 times subscription during August 28-30, with investors bidding 80.86 crore equity shares against the offer size of 1.26 crore shares. Qualified institutional buyers bid 136.85 times their allocated quota, followed by non-institutional investors, who picked 71.17 times the portion set aside for them. Retail investors also showed good interest in the issue, bidding 19.66 times their reserved portion. Since it was entirely an offer-for-sale issue by the Loomba family, the company will not receive any IPO funds. The price band for the offer was Rs 318-334 per share. Also read:ÂGala Precision Engineering mops up over Rs 50 cr from anchor investors, IPO opens on Sept 2 The chauffeur driven car rental service provider will finalise the basis of allotment of IPO shares by September 2. Investors who participated in the public issue, can check their share allotment either on theBSE,NSEorIPO registrar'sportal. The brokers also inform investors about the allotment through messages. On theBSE website,1) Select issue type 'Equity' and issue name 'ECOS INDIA MOBILITY AND HOSPITALITY LIMITED'2) Enter either 'Application number' or 'PAN number'3) Check box (I am not a robot) and click on 'Search' button On theNSE website,1) After login, the PAN number already appears2) Enter symbol 'ECOSMOBLTY' and application number3) Click on 'Get Data" Also read:ÂBaazar Style Retail IPO: Does this retailer offer value for investors? On theIPO registrar's portal,1) Select Company in the dropdown 'Ecos India Mobility and Hospitality Limited - IPO'2) Select and accordingly enter 'PAN number', or 'Application Number', or 'DP/Client ID', or 'Account No/IFSC'3) Click on 'Submit' button Ecos Mobility IPO shares will be credited to the demat accounts of successful investors by September 3, while investors can start trading in Ecos Mobility shares effective September 4. With a fleet of more than 12,000 economy to luxury cars, mini vans and luxury coaches, Ecos provides chauffeured car rentals (CCR) and employee transportation services (ETS) to corporate customers for more than 25 years. With a pan-India presence, it operates in 109 cities through own vehicles and vendors. Its financial performance was a bit mixed. Profit in the fiscal 2024 grew by 43.4 percent to Rs 62.5 crore with 31.2 percent growth in revenue at Rs 554.4 crore compared to previous year. The profit was partly backed by higher other income. EBITDA (earnings before interest, tax, depreciation and amortisation) increased by 29.02 percent to Rs 90 crore during the same period, but the margin dropped 30 bps to 16.2 percent with increase in cost of service.

2024-08-30 20:59

moneycontrol.com

https://www.moneycontrol.com/news/business/moneycontrol-pro-panorama-lessons-we-learn-lessons-we-forget-12810824.html

Moneycontrol Pro Panorama | Some investing lessons we learn, some we forget

There is a reason why business and economics are all about cycles: what we as investors learn, we also forget. We ŌĆśfeelŌĆÖ our way into earning or losing our money..Related stories.

Dear Reader, It is said that Nature measures progress or success through how a species learns and evolves. Learnings are perfected and passed on from generation to generation. In exact sciences too such as physics once a theory is debunked, it never makes it back on the board. All this falls apart when it comes to subjective disciplines such as economics. This is where feelings and sentiment get involved. There is a reason why business and economics are all about cycles: what we as investors learn, we also forget. We ŌĆśfeelŌĆÖ our way into earning or losing our money. But there are reminders around if we only want to pay heed to them. So, what are we forgetting about now and are there any reminders? LetŌĆÖs start from the top. IndiaŌĆÖs economic growth projections for FY25 and beyond have been upgraded by every forecaster in the past few months, including the venerable policymakers at the Reserve Bank of India. The argument is that the countryŌĆÖs potential growth has bounced back from the pandemicŌĆÖs blow. Its fiscal balance sheet is repaired well enough for rating agencies to consider an upgrade -- which Standard & PoorŌĆÖs has done by upgrading the outlook on the rating. But Fitch Ratings isnŌĆÖt going all the way yet. The agency has, of course, acknowledged the economic improvement. But it is holding out on the basis that IndiaŌĆÖs debt-to-GDP ratio is high compared with peers and even its fiscal deficit doesnŌĆÖt quite make the cut. Private capex, on which everything is riding on, is yet to meaningfully take off. It in turn depends on private consumption improvement, something that hasnŌĆÖt shown up at all. Manas ChakravartyŌĆÖs aptly titled piece┬ĀFitch Ratings to India: Close, but no cigar┬Ābrings you FitchŌĆÖs perspective. High growth is not new to India, we have visited high growth every 5-6 years (cycles, remember?). The period of 2004-07 saw high GDP growth, but it also had a high debt-to-GDP ratio. What followed was an economic slowdown and tightening of the fiscal belt. While there is no denying that the government has done a good job on practising fiscal prudence despite a pandemic, the debt-to-GDP ratio of above 83 percent cannot be ignored. Are we going the way we went before? Sure, there is no Latin American debt crisis scare, but it pays to learn from Brazil, Mexico, and Argentina. Our equity market party rests on IndiaŌĆÖs growth potential. You only must look at the countless times ŌĆ£strong fundamentalsŌĆØ and ŌĆ£growth potentialŌĆØ were thrown around in every valuation conversation. Is there a lesson here? Notwithstanding the exuberance around IndiaŌĆÖs stock market mainly because of its domestic investors, many have expressed concerns over the steep premium. But would it be wise to grab everything and run? Larissa Fernand explains in┬Āher column┬Āthat investors must evaluate their own game before selling. ŌĆ£The worst thing anyone can do is act impulsively, either by fleeing in a crash or a rally.ŌĆØ That is definitely a lesson worth remembering. It is not just India but markets across the world seem to be on a high despite rising risks. As┬ĀGillian Tett says in FT piece, free to read for Moneycontrol subscribers, the US markets are focusing on a soft landing narrative and ignoring real threats like high debt, political uncertainty, and geopolitical disruptions. Multiple shocks have normalised deviant events in the eyes of investors. This makes learning difficult and it is easy to forget past lessons. Another corner of the market where exuberance is being questioned is Artificial Intelligence. The massive erosion in chipmaker┬ĀNvidiaŌĆÖs market valuation┬Ādespite the firmŌĆÖs revenues growing at breakneck speed shows that the AI trade may finally be wearing off. Hedge fund Elliot Management has already called AI overhyped and there are only a few real uses of AI. Meanwhile at a fintech event here, IndiaŌĆÖs blue-eyed fintech firms are busy pitching the next big idea, riding on the coattails of the success of UPI. Racking up volume has been a cakewalk for fintech, but when it comes to profitability, there is little to offer. Investors are getting tough here and funding isnŌĆÖt easy to come anymore. Even though the Indian fintech industry grew by a staggering 56 percent in 2023, it is rife with business closures, regulatory flak, and valuation erosions. Questions on profitability have arisen. This is perhaps the right time to recall lessons from the dotcom bubble. Finally, there is a cohort that is learning better. Indian borrowers are learning to closely monitor their credit scores and bring in some credit discipline. Our┬ĀChart of the Day┬Ābrings the findings of credit bureau TransUnion Cibil about how small towns and villages are embracing credit discipline as well as more credit. Keeping a hawk eye on credit score is a lesson that should endure from generation to generation. But here is a not-so gentle reminder: Knowledge is cyclical in economics. Investing┬Āinsights from our research team A bigger bonus for RILŌĆÖs shareholders lies in its medium-term growth planRIL's bonus issue an added draw for shareholders invested in a strong growth business Baazar Style Retail IPO: Does this value retailer offer value for investors? Weekly Tactical Pick: Why this affordable housing play deserves your mindspace Rainbow ChildrenŌĆÖs Medicare: New hospitals are the growth tonic What else are we reading? Unified Pension Scheme ŌĆō Two birds with one stone, or a step back in time? After success with customers, Korean giants target Indian investors Why sporadic bans wonŌĆÖt fix the ŌĆśirrational drugsŌĆÖ problem RIL's Bonus Bonanza: A boost for retail investors as Mukesh Ambani unveils bold plans Vault Matters: Unified Lending InterfaceŌĆÖs unanswered questions IndiaŌĆÖs Digital Payments Surge: Revolutionising commerce and empowering small businesses JanDhan's success boosts bank accounts but financial inclusion challenges persist India's Critical Minerals Race: Securing resources for future growth Global Currencies: King dollar's softening is good news for nearly everyone Australia, US donŌĆÖt listen to the Pacific Islands so they turn to China Markets Can India weave its way to becoming the worldŌĆÖs next textile hub? Personal Finance Niche, narrow mutual fund themes may get messy for investors: Jitendra Sriram, Baroda BNP Paribas MF Technical Picks:┬ĀReliance,┬ĀAxis Bank┬Āand┬ĀHPCL(These are published every trading day before markets open and can be read on the app). Aparna IyerMoneycontrol┬ĀPro

2024-08-30 15:52

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/gainers-losers-top-stocks-that-moved-the-most-on-august-30-12810818.html

Gainers & Losers: Top stocks that moved the most on August 30

About 2,115 shares advanced, 1,630 shares declined, and 117 shares unchanged..Related stories.

Indian benchmark indices extended bull run for the ninth straight day. At close, the Sensex was up 321.64 points or 0.39 percent at 82,456.25, 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. Sugar stocks | Sugar stocks were in for a sweet surprise on Dalal Street on August 30, thanks to a new government policy allowing sugar mills to produce ethanol from cane juice or syrup for the upcoming Ethanol Supply Year (ESY) 2024-25. Nearly all sugar companies saw their shares rise, with Dalmia Bharat Sugar, Shree Renuka Sugar, Triveni Engineering, and Bajaj Hindusthan climbing up to 16 percent. Fortis Healthcare | CMP: Rs 551 | The stock 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. Bharti Airtel | CMP: Rs 1,586 | The stock 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. Tata Elxsi | CMP: Rs 7,960 | The stock continued 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. Lupin | CMP: 2,245 | The pharma surged 3 percent to Rs 2,57, a fresh all-time, on August 30 after international brokerage firm Nomura recommended a 'buy' call on the counter and raised the target price. With a target price of Rs 2,427, Nomura envisions a 9 percent upside from the last close on the NSE. It expects improved growth and profitability across key markets, which could position the company for a premium over peers. City Union Bank | CMP: Rs 171 | The stock jumped up to 4 percent on August 30 amid heavy volumes. Recently, the Tamil Nadu-based lender opened a new branch in Trichy - taking the total number of branches count to 807. SpiceJet | CMP: Rs 62 | The stock fell sharply by 6 percent on August 30 after aviation watchdog Directorate General of Civil Aviation (DGCA) placed the airline under ‘enhanced surveillance.’ This measure includes more frequent spot checks and night surveillance to ensure the safety of SpiceJet’s operations. Patel Engineering | CMP: Rs 57 | The stock jumped up to 6 percent on August 30 after the company said that it has signed a Memorandum of Understanding (MoU) with Rail Vikas Nigam Limited (RVNL), a state-owned railway company. ITI | CMP: Rs 302 | The telecom equipment company jumped over 4 percent after the company announced that it has secured its first Electronic Voting Machine (EVM) order from the State Election Commission (SEC) of West Bengal. Garden Reach Shipbuilders and Engineers | CMP: Rs 1,813 | The stock jumped over 7 percent on August 30 after it signed an MoU with National Highway Infrastructure Development Corporation for the fabrication, supply, and launching of Double-Lane Class 70 Modular steel & Bailey bridges

2024-08-30 15:57

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https://www.moneycontrol.com/news/business/markets/technical-view-nifty-momentum-remains-strong-with-longest-ever-rally-likely-to-hit-25400-soon-12810892.html

Technical View: Nifty momentum remains strong with longest-ever rally, likely to hit 25,400 soon

Uptrend in Market.Related stories.

The momentum remained strong in the equity benchmarks as the Nifty 50 recorded a fresh all-time high for the third consecutive session, closing above 25,200 for the first time on August 30, the first day of September series. With a consistent uptrend lasting 12 days, the index achieved its longest winning streak in 31 years. The continuation of higher highs and higher lows for the third consecutive week, along with the formation of a long bullish candlestick pattern on the weekly charts and positive momentum indicators, suggests that the market may continue its upward move in the coming sessions, albeit with intermittent consolidation. According to experts, the next target to focus on would be 25,400 on the Nifty 50, while support lies at 25,000. The Nifty 50 opened higher at 25,250 and hit a new high of 25,268 during a positive trading session. The index rose 84 points to close at 25,236, forming a Doji-like candlestick pattern (not a classical one) on the daily charts, indicating indecision among bulls and bears. For the week, it gained 1.66 percent, continuing its upward journey for the fourth consecutive week. "The reciprocal retracement of the August decline points to near-term targets of 25,400 and 25,500," said Rajesh Bhosale, Equity Technical Analyst at Angel One. During this week's upmove, the market 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 toward this level is likely to be bought into. Before that, the previous swing high around 25,080 could act as immediate support. However, Rajesh feels that the next leg of the move may not be as smooth as recent trends. Options data indicates that the Nifty 50 may face resistance at 25,700-25,800 in the coming days, with 25,000 acting as support. According to weekly options data, the maximum Call open interest was seen at the 26,000 strike, followed by the 26,500 and 25,700 strikes, with maximum Call writing at the 26,500 strike, and then the 25,800 and 25,700 strikes. On the Put side, the 25,200 strike holds the maximum open interest, followed by the 25,000 and 24,000 strikes, with maximum writing at the 25,200 strike, and then the 25,000 and 25,300 strikes. "For trend-following traders, 25,000 would now act as a sacrosanct support zone. As long as the market trades above this level, the bullish texture is likely to continue. However, below 25,000, the uptrend would be vulnerable, and traders may prefer to exit their long positions," said Amol Athawale, VP-Technical Research at Kotak Securities. Bank Nifty The Bank Nifty gained strength after several days of consolidation, rising 198 points to 51,351 and sustaining above the downsloping resistance trendline, though it formed a bearish candlestick pattern on the daily charts as the closing was lower than the opening level. For the week, the index gained 0.82 percent and formed a bullish candlestick pattern on the weekly timeframe. "The 50-day SMA (Simple Moving Average) at 51,550 would be the immediate resistance zone. Post-51,500 breakout, it could rally up to 52,000-52,500," said Amol. On the other hand, he believes 51,000, or the 10-day SMA, would be the key support zone. "Below this level, sentiment could change, potentially leading to a slip toward the 20-day SMA, or 50,625-50,500," he added. Meanwhile, volatility continued its downtrend and remaining below 14 level, favouring bulls. The India VIX fell by 2.86 percent on Friday to 13.39, down from 13.79 levels, while for the week, it decreased by 1.18 percent.

2024-08-30 16:51

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https://www.moneycontrol.com/news/business/markets/block-deals-new-leaina-investments-ltd-sells-0-56-stake-in-shanti-educational-initiatives-12811033.html

Block deals: New Leaina Investments Ltd sells 0.56% stake in Shanti Educational Initiatives

The biggest deal for the weak was Indigo were he big headline this week was the large block deal involving IndiGo, where Promoter Rakesh Gangwal sold shares worth almost Rs 11,000 crore..Related stories.

On August 30, 77 lakh shares were traded via two block deals. Nirlon A total of 68.45 lakh shares were sold by Resonance Opportunities Fund (1.49 percent), Albula Investment Fund Ltd (5.62 percent), Marshfield Pte Ltd (0.49 percent), Arial Holdings (3.69 percent) and Ares Diversified (3.52 percent). BSREP IV FPI Two Holdings (DIFC) Limited bought a total of 65.45 lakh shares ( around 6 percent stake) at Rs 440 per share. At close, the stock was trading 0.19 percent lower at Rs 438.50.Shanti Educational Initiatives Legends Global Opportunities (Singapore) Pte. Ltd. bought 9 lakh shares (0.56 percent) of Shanti Educational Initiatives Ltd at Rs 120.85 per share while New Leaina Investments Limited sold 9 lakh shares. At close, the stock was trading around 3 percent lower at Rs 120.02. Block deals this week This was the second consecutive week of large block deals. Last week, block deals worth Rs 20,000 crores took place. For the week ending August 30, the total value of deals was around Rs 18,000 crore. The biggest deal for the weak was Indigo were he big headline this week was the large block deal involving IndiGo, where Promoter Rakesh Gangwal sold shares worth almost Rs 11,000 crore. Other significant block deals included PB Fintech (Rs 1,600 crore), Winspin Living (Rs 900 crore) and Tata Technologies (Rs 1,400 crore).

2024-08-30 20:54

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https://www.moneycontrol.com/news/business/ipo/jhunjhunwala-backed-baazar-style-retail-ipo-sees-0-41-times-subscription-on-day-1-retail-book-bought-0-66x-12810833.html

Jhunjhunwala-backed Baazar Style Retail IPO sees 0.72 times subscription on day 1, retail book bought 0.66x

Baazar Style Retail IPO.Related stories.

The initial public offering ofBaazar Style Retail, the fashion retailer, has received tepid response from investors on the first day of bidding, i.e. August 30 despite positive market conditions. The IPO saw a 0.72 times subscription with investors buying 1.08 crore equity shares against the offer size of 1.5 crore equity shares, the bids data on the exchanges showed. The Rekha Rakesh Jhunjhunwala-backed company targets to mop up Rs 834.68 crore through its maiden public issue. The IPO is a mix of fresh issue of shares worth Rs 148 crore, and an offer-for-sale of 1.76 crore equity shares worth Rs 686.68 crore by investors and promoters. The price band for the issue, which closes on September 3, has been fixed at Rs 370-389 per share. Retail investors were at the leading position to support the issue, buying 0.82 times the allotted quota, followed by non-institutional investors (high networth individuals) who picked 0.47 times the reserved portion, while the qualified institutional buyers bid 0.7 times the part set aside for them. Also read:Baazar Style Retail IPO: Does this retailer offer value for investors? Employees, who had reservation of Rs 1 crore worth shares in the IPO, showed strong interest, buying 6.01 times the reserved portion. They will get these shares at a discount of Rs 35 per share to the final issue price. Before the issue opening, on August 29, the Kolkata-based company already mobilisedRs 250.1 crore from 22 anchor investorsincluding Societe Generale, Natixis International Funds, Volrado Venture Partners Fund, HSBC Global Investment Funds, Allianz Global Investors Fund, HDFC Mutual Fund, Whiteoak Capital, Ashoka India Equity Investment Trust Plc, Motilal Oswal Mutual Fund, Helios Flexi Cap Fund, and Julius Baer India Equity Fund. The Style Bazaar operator that competes with V2 Retail, and V-Mart Retail intends to use net fresh issue funds primarily for repaying debt, and general corporate purposes. Till March 2024, it had operated business through 162 stores in 146 cities. Baazar Style Retail is backed by several investors such as Rekha Rakesh Jhunjhunwala, Kewal Kiran Clothing, Manohar Lal Agarwal (promoter of Haldiram Snacks), Intensive Softshare, D K Surana, Ajay Kumar Jain and Sanjay Kumar Jain.

2024-08-30 17:24

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https://www.moneycontrol.com/news/business/stocks/bulk-deals-motilal-oswal-mf-buys-0-67-stake-in-globus-spirits-12811071.html

Bulk deals: Motilal Oswal MF buys 0.67% stake in Globus Spirits

representative image.Related stories.

Motilal Oswal Mutual Fund bought 2 lakh shares, or a 0.67 percent stake in Globus Spirits for an average price of Rs 1,071.49. Among other deals, UBS Principal Capital Asia Limited bought 1.92 crore shares in Bandhan Bank for an average price of Rs 200.27 via a bulk deal on August 30. UBS Principal Capital Asia Limited sold 6.86 lakh shares in Dixon Technologies (India) for an average price of Rs 13,178.47. UBS Principal Capital Asia Limited sold 1.31 crore shares or a 0.81 percent stake in Oil India for an average price of Rs 742.12. UBS Principal Capital Asia Limited sold 4.84 lakh shares or a 0.56 percent stake in Oracle Financial Services Software for an average price of Rs 10,999.15. UBS Principal Capital Asia Limited sold 1.31 crore shares in Rail Vikas Nigam Limited for an average price of Rs 606.83. UBS Principal Capital Asia Limited sold 3.82 crore shares or a 0.55 percent stake in Vodafone Idea for an average price of Rs 15.67. UBS Principal Capital Asia Limited sold 67.16 lakh shares or a 0.67 percent stake in Zydus Lifesciences for an average price of Rs 1,128.11. Resonance Opportunities Fund bought 6.28 lakh shares in Nirlon for an average price of Rs 440. BSREP IV FPI Two Holdings (DIFC) Limited bought 69.32 lakh shares in Nirlon for an average price of Rs 440. On the sellers side, Arial Holdings 1 sold 16.26 lakh shares in Nirlon for an average price of Rs 440. ARES Diversified sold 1.58 crore shares in Nirlon for an average price of Rs 440. And, Albulia Investment Fund Ltd sold 25.29 lakh shares in Nirlon for an average price of Rs 440.

2024-08-30 21:42

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https://www.moneycontrol.com/news/business/markets/markets-in-sweet-spot-in-terms-of-flows-ipo-but-need-caution-12810757.html

Indian markets in a sweet spot of flows and IPOs, but experts suggest caution

Ganesan said, "India is definitely in a sweet spot, but investors need to be mindful of the evolving risks and ensure they are making informed decisions.".Related stories.

India's capital markets are undergoing transformation, with significant changes in domestic market dynamics and fundraising among other factors, experts said, at the sidelines of the Global Fintech Fest in Mumbai on August 30. Vishal Kampani, Non-Executive Vice Chairman at JM Financials highlighted three key trends reshaping the investing landscape in India. "Firstly, there's a serious emergence of domestic capital," Kampani said, recalling that in the past, IPOs were heavily reliant on foreign portfolio investors (FPIs). "Now, mutual funds, the domestic insurance industry, and retail investors are playing a critical role in driving demand for equity issuance." This shift, he explained, has made domestic investors the cornerstone of nearly every IPO in India. Kampani also highlighted a broad-based growth across various industries, a departure from previous cycles where only select sectors such as technology or financials performed well. "Now, almost every industry is experiencing growth, which is a reflection of the overall economic health of the country," he added. A third major development has been the increased acceptance of promoters selling stake in the companies they own. "Promoters exiting their holdings is no longer seen as a negative signal," Kampani said. Though there have been positives in the market, Kampani also finds some areas of caution. "The markets are in a roaring bull phase, and while investors have made significant gains—averaging 30% from IPOs in the last year—it's crucial to be vigilant. Many investors don't even read the offer documents, which contain essential information about the companies they're investing in," he said, adding that investors need thorough research beyond just the valuations and research from reports. Vijay Chandok, MD & CEO, ICICI Securities added that India is experiencing strong earnings momentum and macroeconomic stability. "This solid foundation, coupled with regulatory improvements in transparency and market operations, has bolstered investor confidence." Chandok also highlighted some risks, particularly from global factors. "The markets are (currently) priced to near perfection right now," highlighting that there may be corrections if external conditions change. Ganeshan Murugaiyan, Managing Director, Head Investment Banking, BNP Paribas also noted that there has been an increasing size of deals in the Indian market, driven by both domestic and international investors. "In the first eight months of 2024, we've seen a net inflow of $38 billion into the equity markets, surpassing previous years," adding that this shift is making the capital market more institutionalised. On valuations in IPOs, Ganesan noted that the momentum has driven valuations to a point where they are stretched, though backed by growth and earnings. There is also a trend of more secondary sales in IPOs, where existing shareholders sell their stakes rather than raising new capital for growth. "I think the mix between money coming into companies for capex versus being sold as secondary by the shareholder is another trend," he added. The panelists agreed that Indian market is in a strong position. Ganesan said, "India is definitely in a sweet spot, but investors need to be mindful of the evolving risks and ensure they are making informed decisions."

2024-08-30 16:40

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https://www.moneycontrol.com/news/business/markets/nifty-sensex-post-record-closing-high-as-pharma-realty-rally-fmcg-stocks-in-red-12810762.html

Nifty logs gains for record 12th straight session, Sensex up 230 pts as pharma, realty stocks rally

Cipla, Bajaj Finance, Divis Labs, M&M, and Bajaj Finserv were the top gainers on the Nifty..Related stories.

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. Read:ÂBPCL seeks Rs 32,000 crore for refinery in largest Rupee loan of 2024 After a dip from profit booking the previous day, the broader market rebounded quickly, with the mid-cap and small-cap indices climbing 0.5 percent and 0.8 percent, respectively, outperforming the main indices. Despite concerns from analysts about stretched valuations, the mid and small-cap indices have demonstrated resilience and continue to significantly outpace the Nifty’s year-to-date performance. The India VIX, a gauge of market volatility, eased further by nearly 3 percent to settle at 13.4 levels. Read more:ÂThis stock from Kishore Biyani's Future Group hit back-to-back upper circuits over the past 12 sessions V K Vijayakumar of Geojit Financial Services noted that the market has displayed a notable lack of volatility, steadily climbing over the last 11 sessions as the VIX dropped to 13.79. This stability is attributed to domestic institutional investors (DIIs) and high-net-worth individuals (HNWIs) accumulating quality large-cap stocks, while foreign institutional investors (FIIs) have reduced selling and occasionally increased buying. He added that this trend is likely to continue in the near term. A breakout could materialize if banking stocks see significant buying, though ongoing issues with deposits and margin pressure are currently limiting demand, even amid attractive valuations. Presently, large caps are outperforming the broader market, which is a positive sign. Auto major M&M was buzzing in trade and ended the day at the top of the Nifty Auto index. The surge came after it announced a partnership with Sentrycs to develop anti-drone technology to protect India’s critical infrastructure, airports, and borders. Out of the 13 sectoral indices, the FMCG index was the sole laggard, slightly weighing on overall sentiment as declines in ITC, Marico, and Dabur pulled the index down. The remaining 12 indices advanced, led by Realty, Pharma, and Healthcare, each up over 1 percent. Nifty IT added to its winning streak with a 0.5 percent gain, marking five consecutive sessions in the green. The Nifty Auto index also rose 0.6 percent and could gain further attention as OEMs are set to announce their August sales figures later this week.

2024-08-30 16:47

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https://www.moneycontrol.com/news/business/markets/analysts-bullish-on-indigo-even-as-gangwal-family-trust-trims-stake-12810588.html

Analysts bullish on IndiGo even as Gangwal Family Trust trims stake

Rakesh Gangwal and his family have been steadily offloading their stake since he stepped down from the company’s board in February 2022.Related stories.

Shares of Interglobe Aviation recouped yesterday's losses and gained over two percent to Rs 4,866 on August 30 after promoter Rakesh Gangwal's family trust sold 5.24 percent stake in the airline for Rs 9,549 crore through open market transactions. Analysts, meanwhile, are of the view that IndiGo has a strong hold in the aviation market, which should keep its wings soaring higher. Chokkalingam G, founder of Equinomics Research suggested a strong 'buy' for IndiGo, saying that the market is not much concerned about the promoters' stake sale since it is not the first time Gangwal and his family have offloaded their stake. He expects another seven percent upside from current levels, given that other peers like GoFirst and Jet Airways stand defunct, while SpiceJet has significantly trimmed its fleet network. Moreover, the changing industry dynamics, strong airline growth story, and easing cool prices - all factors bode well for IndiGo's momentum, he added. Similarly, Deepak Jasani, head of retail research at HDFC Securities believes that the stock's correction post the block deal was just temporary and current market dynamics stands favorable for IndiGo. “As long as the company is doing well, people are not too concerned whether the promoter's stake is going up or down," he says. The Chinkerpoo Family trust, whose trustee is Rakesh Gangwal's wife Sobha Gangwal, along with JPMorgan Trust Company of Delaware held 13.5 percent stake, as per June shareholding data. Post the bulk deal on August 29, the trust holds 8.24 percent stake. It offloaded 2.02 crore shares or 5.25 percent stake at Rs 4,715 apiece. Meanwhile, Morgan Stanley Asia (Singapore) Pte bought 28.5 lakh shares or 0.74 percent stake at Rs 4,715. ALSO READ:ÂBrokerages give Indigo's premiumisation journey a thumbs up, see 26% upside Gangwal family stake sale timeline Rakesh Gangwal and his family have been steadily offloading their stake since he stepped down from the company’s board in February 2022. In September 2022, the Gangwal family and their trust sold a 2.8 percent stake through a block deal, reducing Rakesh Gangwal’s holdings to 13.24 percent, Sobha Gangwal’s to 7.04 percent, and the Chinkerpoo Family Trust to 13.5 percent. By March 2023, Rakesh and Sobha Gangwal sold more shares, further diluting their stakes to 13.23 percent and 3 percent, respectively, while the Chinkerpoo Family Trust remained at 13.5 percent. Despite these stake sales, analysts at Motilal Oswal believe IndiGo is well-positioned for future growth, supported by India's robust economic expansion. The airline's management has also been proactive in enhancing its global brand presence, aiming to capture a larger share of the international market in the coming years. Currently, around 20 brokerage houses cover Interglobe Aviation, with 18 analysts recommending a 'buy' and just 2 suggesting a 'hold.' At current levels of Rs 4,845, the stock is trading at 10.76x time FY26 price-adjusted book and FY25 price to adjusted book of 19.24x.

2024-08-30 15:08

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https://www.moneycontrol.com/news/business/markets/sebi-fines-jainam-broking-a-second-time-in-2-days-this-time-for-flaw-in-updating-client-kyc-details-12810922.html

Sebi fines Jainam Broking a second time in 2 days, this time for flaw in updating client KYC details

According to the latest order, of the 1,701 clients, details of 1,501 clients were not updated on the Central KYC Registry (CKYCR) in time..Related stories.

The market regulator has fined Jainam Broking Rs 3 lakh for not updating Know Your Customer (KYC) details on a central registry in time and in entirety. The regulator noted that, in some cases, there was even a delay of seven years. The order, issued by the Securities and Exchange Board of India (Sebi) on August 30, stated that the brokerage had made these mistakes with records of 1,701 clients. This is the second Sebi order issued against the brokerage in two days. On August 29, Jainam was fined Rs 6 lakh for various violations done by its authorised persons (APs), including the APs using non-permissible words such as wealth advisory or investment advisory in their names. Also read: Jainam Broking's APs found to be using 'wealth', 'advisory' in names; Sebi fines Rs 6 lakh According to the latest order, of the 1,701 clients, details of 1,501 clients were not updated on the Central KYC Registry (CKYCR) in time and there was no evidence that the details of the rest of the 200 were updated at all. The brokerage had claimed that, out of the 200 clients, 15 were closed, 30 clients were dormant in nature and that the status of one account had changed into major. It had also claimed that it had taken corrective measures with regard to details of 96 clients. The regulator did not accept these claims because the brokerage did not provide any evidence to substantiate them. The order stated: "It is an admitted fact that the Noticee (Jainam) has not followed the stipulated procedures for updation of clients’ KYC on CKYCR with respect to 1,701 clients out of 37,172 clients verified. It is noted from the material on record that for some cases the delays were of more than seven years." The central registry facilitates inter-usability of KYC records, reduces the burden for customers in not having to produce the documentation for every new financial intermediary, and helps in the implementation of prevention of money laundering (PML) rules.

2024-08-30 17:19

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https://www.moneycontrol.com/news/business/markets/collect-advisory-fees-directly-on-aum-basis-suggests-zerodhas-nithin-kamath-12810942.html

Collect advisory fees directly on AUM basis, suggests Zerodha's Nithin Kamath

Zerodha CEO Nithin Kamath.Related stories.

Zerodha has made representations to the market regulator asking if they could collect advisory fees directly from assets that their customers hold rather than asking the customer for the fees, said Nitihn Kamath, founder and chief executive officer of Zerodha. "If you go to collect advisory fees every month and if the market underperforms in that particular month, how do you justify the advisory fees?" asked Kamath at the Global Fintech Fest held in Mumbai on August 30. Sebi had issued a consultation paper, dated August 6, to review the regulatory framework for Investment Advisers (IAs) and Research Analysts (RAs). The Sebi paper aimed to enable and facilitate services of IAs and RAs to a wider set of audience. The purpose behind was that India is still underpenetrated when it comes to IAs. “The ratio of investment adviser per million population in India is very low as compared to the United States which is leading to proliferation of the unregistered entities acting as IAs and RAs,” stated the Sebi paper. The consultation paper assumes significance as recently Sebi whole-time member Kamlesh Varshney discussed a framework to bring a large number of unregistered financial advisors – finfluencers – under the regulatory ambit by easing norms for IAs and RAs so that it becomes easier for more people to register themselves. Harsh Jain, founder and chief operating officer of Groww, said at the same panel that if it is a good (investment) advice, there is a cost for it. He added that the trend is changing where customers are getting ready to pay for a good advisory service.

2024-08-30 18:13

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https://www.moneycontrol.com/news/business/startup/firstcry-parent-brainbees-cash-balance-at-rs-450-crore-as-of-june-end-says-group-cfo-gautam-sharma-12811008.html

FirstCry parent Brainbees’ cash balance at Rs 450 crore as of June end, says group CFO Gautam Sharma

The company had said it would use the IPO proceeds to set up stores and warehouses and even expand presence into Saudi Arabia (KSA)..

Brainbees Solutions, the company that runs FirstCry, had a cash balance of around Rs 450 crore at the end of the June quarter of the current fiscal, group chief financial officer Gautam Sharma said while discussing the company’s quarterly results for the first time since going public. The Pune-based company posted a revenue of Rs 1,652 crore in Q1FY25, a 17 percent increase from Rs 1,407 crore generated in the same quarter last year. At the same time, the mother and baby products company saw its lossesnarrowing 31 percent from Rs 110 crore in Q1FY24 to Rs 76 crore in Q1FY25. The company, which went public on August 13, had raised Rs 1,666 crore in primary capital during its IPO. At that time, the company had said it would use the proceeds to set up stores and warehouses and even expand presence into Saudi Arabia (KSA). “We had Rs 450 crore at the end of June. The net proceeds, after adjustment of issue expenses and others, we got close to around Rs 1,600 crore. We’ve started utilising the cash…the number (cash balance) is pretty decent,” Sharma told analysts on August 30. This is a developing story, please check back for details.Â

2024-08-30 19:29

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https://www.moneycontrol.com/news/business/markets/paytm-shares-qr-code-soundbox-fintech-fest-pm-modi-12810752.html

Paytm soars 12 percent, says 'humbled' with QR code payments, soundbox innovation

Over the past 3 months, Paytm stock has been trailing benchmark Nifty 50.Related stories.

Shares of One 97 Communications - parent company of Paytm - rose over 12 percent on August 30, rallying past the Rs 600 level in trade, rising for a second day, on the back of government's nod for downstream investment in Paytm Payments Services. ALSO READ:ÂFintech industry received $31 bn investment, startups saw 500% growth: Key points from PM Modi's GFF 2024 speech Earlier, Paytm in a X post had also quoted PM Modi's appreciation for the innovations relating to QR codes and soundboxes in the fintech space, saying they were 'humbled by the opportunity' of pioneering QR code payments, along with Soundbox and card machines. "These technologies have built trust in mobile payments across every nook and corner of our nation among customers and merchant partners, and have set global benchmarks," Paytm wrote. Read More: Paytm secures nod forÂdownstream investmentin Paytm Payments Services The Reserve Bank of India (RBI) had rejected Paytm's PA licence permit application in November 2022 and instructed the company to re-apply with Press Note 3 compliance, under foreign direct investment norms. As per Press Note 3, the government had made its prior approval mandatory for investments from nations that share land borders with India. At the time of application rejection, China's Alibaba Group was the biggest stakeholder in the company. Read More:ÂWhat is behind the race for payment aggregator licences? Over the past 3 months, Paytm stock has been trailing benchmark Nifty 50, down 27 percent, as against the latter's 9 percent surge.

2024-08-30 16:19

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https://www.moneycontrol.com/news/business/ipo/gala-precision-engineering-mops-up-over-rs-50-cr-from-anchor-investors-ipo-opens-on-sept-2-12811022.html

Gala Precision Engineering mops up over Rs 50 cr from anchor investors, IPO opens on Sept 2

Gala Precision Engineering IPO.Related stories.

Maharashtra-based Gala Precision Engineering has raised Rs 50.3 crore from 8 institutional investors via anchor book on August 30, a day before the issue opening. Negen Undiscovered Value Fund is the biggest investor amongst them, buying 2.88 lakh shares worth Rs 15.28 crore. Other seven institutional investors - NAV Capital Emerging Star Fund, Cognizant Capital Dynamic Opportunities Fund, India Emerging Giants Fund, Finavenue Growth Fund, Chhatisgarh Investments, Gagandeep Credit Capital, and Resonance Opportunities Fund - bought 94,528 equity shares each, which are worth little more than Rs 5 crore each. "...has finalised allocation of 9,50,586 equity shares to anchor investors at a price of Rs 529 per equity share," the precision component manufacturer said in its filing to exchanges. Also read:ÂJhunjhunwala-backed Baazar Style Retail IPO sees 0.72 times subscription on day 1, retail book bought 0.66x Gala Precision Engineering aims to mobilise Rs 167.93 crore through its initial public offering at the upper price band. The IPO is combination of fresh issuance of 25.58 lakh equity shares worth Rs 135.34 crore, and an offer-for-sale of 6.16 lakh shares worth Rs 32.59 crore. The price band for the public issue is Rs 503-529 per share. PL Capital Markets is the sole book running lead manager to the issue, while Link Intime India is the registrar to the offer. It is a precision component manufacturer of technical springs like disc & strip springs (DSS); coil & spiral springs (CSS) and special fastening solution (SFS), supplying to original equipment manufacturers, Tier 1 and channel partners. Also read:ÂEcos Mobility IPO subscribed over 64 times on final day on robust demand Its products are used in several industries such as renewable energy (wind turbine and hydro power plants), electrical, off highway equipments, infrastructure and general engineering, automotive and railways. Gala Precision that competes with listed peers like Harsha Engineers International, SKF India, Sundram Fasteners, Rolex Rings, Sterling Tools, and Ratnaveer Precision Engineering, will spend Rs 37 crore out of the net fresh issue proceeds for setting up a new facility at Vallam-Vadagal, Tamil Nadu for manufacturing high tensile fasteners and hex bolts, and Rs 11.07 crore for purchase of equipment, plant and machinery at Palghar, Maharashtra. Further, Rs 45.43 crore will be utilised for repaying debt and the remaining funds for general corporate purposes. The total debt on its books stood at Rs 51.4 crore. Post issue, the debt burden on the company seems to be reducing significantly.

2024-08-30 20:12

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/sebi-revises-criteria-for-stocks-to-enter-exit-derivatives-segment-12811032.html

Sebi revises criteria for stocks to enter, exit derivatives segment

The last review of the criteria was done in October 2018.Related stories.

The market regulator has changed the criteria for entry and exit of stocks from the derivatives segment. The regulator has raised the median quarter sigma order size (MQSOS) over the previous six months by three times, the minimum market wide position limit (MWPL) by three times and the minimum average daily delivery value by 3.5x. MQSOS is an indication of the stock's liquidity; higher the number, harder it is to manipulate its prices. Other aspects, such as surveillance concerns, ongoing investigations and administrative concerns, will also be taken into consideration, the Securities and Exchange Board of India (Sebi) said a circular issued on August 30. Also read:Sebi introduces product success framework for single-stock derivatives In the circular, Sebi stated that that it had laid down the eligibility criteria through a master circular dated October 18. These criteria now stands revised. The circular said, "Given the need to ensure that only high quality stocks with sufficient market depth are allowed to trade in derivatives segment and considering the growth witnessed in market parameters since the last review conducted in 2018, the eligibility criteria for entry/exit of stocks in derivatives segment has been revised as under." Earlier, the MQSOS was Rs 25 lakh. This has now been raised to Rs 75 lakh. The rationale given for this: "Since average market turnover is now over 3.5 times the figure during the lastreview, MQSOS criteria would need to increase between 3-4 times". The stock's MWPL, over the period of previous six months, has been raised from Rs 500 crore to Rs 1,500 crore. Rationalisation is that market capitalisation is now 2.8x the last review. The stock's average daily delivery value (ADDV) in the cash segment, over the previous six months on a rolling basis, should be a minimum of Rs 35 crores. It was earlier Rs 10 crore. Rationale is that ADDV has increased by over 3x since the last review. Exit criteria If a stock  in derivatives segment fails to meet any of the above criteria, for a continuous period of three months, on a rolling basis, based on the data for previous six months, then it shall exit from derivatives segment. No new contract can then be issued on stocks that exit the derivatives segment. But the existing unexpired contracts will be permitted to trade till expiry and new strikes can also be introduced in the existing contract months. The regulator has also introduced aproduct-success framework for single-stock derivatives, which is similar to what exists for index derivatives. This framework too would determine which stocks would be asked to exit the segment, if they do not fulfil certain criteria.

2024-08-30 21:09

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/firstcry-parent-company-brainbees-q1fy25-results-loss-narrows-to-rs-76-cr-revenue-rises-17-12810958.html

FirstCry parent company Brainbees Q1FY25 results: Loss narrows to Rs 76 cr, revenue rises 17%

Supam Maheshwari, Firstcry MD and CEO.Related stories.

Brainbees Solutions, the company that runs FirstCry, posted a revenue of Rs 1,652 crore in Q1FY25, a 17 percent increase from Rs 1,407 crore generated in the same quarter last year. This is the first time the company has declared its results aftergoing public earlier in the month. The Pune-based mother and baby products company saw its losses narrowing 31 percent from Rs 110 crore in Q1FY24 to Rs 76 crore in Q1FY25. "We were able to deliver growth at scale during the quarter," Supam Maheshwari, CEO of Brainbees Solutions said while discussing the company's results with analysts. The company's total expenses stood at Rs 1,603 crore during the quarter, an increase of 13 percent from Rs 1,423 crore incurred in the same period last year. The company had a consolidated average order value (AOV) of Rs 2,460 on the platform during the quarter, which was down marginally from Rs 2,482 in Q1FY24. The company also had an Annual Unique Transacting Customer (AUTC) base of around 0.4 million in Q1FY25 a 39 percent year-on-year (YoY) growth. Total orders The company clocked a 19 percent increase in total orders for its core business (India multi-channel). In Q1FY25, the company did a total of 9 million orders up from 7.6 million in the same period last year. Orders for its international business were, however, flat at 0.4 million. "Order volumes affected due to operations being severely impacted for 10-12 days due to unseasonal rains and floods in UAE and advancement in seasonal spends associated with festivals in the Middle East (e.g. Eid in early April 2024)," the company said. The order volumes were however back in July and August, Maheshwari told analysts. The company's shares had closed Friday's trade session at Rs 641.40 apiece, up 1.89 percent over the previous day, on the BSE.

2024-08-30 18:27

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/lupin-stock-hits-all-time-high-on-nomuras-buy-call-sees-9-upside-12810359.html

Lupin stock hits all-time high on Nomura's 'buy' call, sees 9% upside

Lupin shares have gained a staggering 72 percent in the past month..Related stories.

Shares ofpharma major Lupin Limitedsurged 3 percent to Rs 2,57, a fresh all-time, on August 30 after international brokerage firm Nomura recommended a 'buy' call on the counter and raised the target price. With a target price of Rs 2,427, Nomura envisions a 9 percent upside from the last close on the NSE. It expects improved growth and profitability across key markets, which could position the company for a premium over peers. Follow our LIVE blog for all the latest updates US generics are seen as a strong support for near-term earnings, bolstered by traction in complex injectable filings. Some of these filings are expected to be commercialized within the next two years. Litigation-dependent upsides could further enhance near-term earnings, although downside risks remain for specific products like Albuterol MDI. Nomura also factors in higher revenue contributions from Mirabegron in FY25 and Tolvaptan in FY26 and 27 compared to previous estimates, prompting an upward revision of FY25 and 26 EPS by 28 percent and 54 percent,  respectively. Lupin was off to a robust start in Q1 after it reported a 77.2 percent year-on-year (YoY) jump in net profit at Rs 801.3 crore, while the company's revenue from operations increased 16 percent to Rs 5,600.3 crore as against Rs 4,814 crore in the corresponding period of the preceding fiscal. At about 10 am, shares of the company were trading at Rs 2,220, up 1.3 percent from the last close on the NSE. Lupin shares have gained a staggering 72 percent in the past month.

2024-08-30 11:37

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/prestige-estates-qip-update-floor-price-12810294.html

Prestige Estates shares rise over 6% on Rs 5,000 crore QIP at floor price of Rs 1755.09/share

Prestige Estates launches Rs 5,000 crore QIP.Related stories.

TheMoneycontrolnewsbreak on Rs 5,000 crore Prestige Estates launch has been confirmed, with the board approving the launch of the QIP late evening on August 29 with a floor price of Rs 1755.09/share, as per an exchange filing. Shares of Prestige Estates went up by nearly 3 percent at opening bell on August 30, on the back of this announcement. The move has come at a time when the stock has seen an uptick of 50.25 percent in the last six months. It made an intraday high of Rs 1829.9 per share on the NSE, up 6.05 percent. The share sale could result in an equity dilution of 7.45% of the pre-issue share capital. Moneycontrolwasfirst to report on on August 29thatPrestige Estatesis likely to launch the Rs 5,000 cr QIP shortly. On June 24, Moneycontrol had also reported that the firm picked investment banks Kotak Mahindra Capital, JP Morgan, JM Financial and CLSA as advisors for the capital raise. The company is also monetizing assets of the hospitality segment through Prestige Hospitality Ventures - a wholly-owned subsidiary - by way of issue of shares. Prestigeplans to repay or pre-pay some of the company's borrowings through these proceeds, and also use the funds to acquire land or land development rights.

2024-08-30 11:45

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/iti-share-price-rises-nearly-3-on-evm-order-from-election-commission-12810097.html

ITI share price rises nearly 3% on EVM order from Election Commission

ITI.Related stories.

ITILimited’s share price surged nearly 3 percent in early trading on August 30 following the announcement of a new order from the State Election Commission (SEC) of West Bengal. At 09:26 am, ITI quoted Rs 307.90, up Rs 8.15, or 2.72 percent, on the BSE. The company secured an order to supply 500 sets of its indigenous Multi Post Electronic Voting Machines (EVMs). These EVMs, designed and developed by ITI Limited to meet the specifications finalized by the SEC and approved by the standing committee of State Election Commissioners, will be used for local body elections across various levels such as Gram Panchayats, Municipalities, and Corporations. This EVM machine can also be used as a single post machine for meeting the requirements of Lok Sabha/Assembly elections. Catch all the market action on our live blog The product will be manufactured at ITI Limited’s factories, adhering to the technical specifications set by the Election Commission. It will be delivered on a fast-track basis, ensuring compliance with quality norms and meeting the commitments made to the West Bengal SEC. The company's net losses decreased to Rs 91.31 crore in the quarter ended June 2024.

2024-08-30 09:43

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/garden-reach-shipbuilders-shares-zoom-as-company-signs-mou-with-nhidcl-12810354.html

Garden Reach Shipbuilders shares zoom as company signs MoU with NHIDCL

Garden Reach is a premier shipbuilding company under the administrative control of the Ministry of Defence..Related stories.

Garden Reach Shipbuilders share price advanced over 2 percent in early trade on August 30 after the company announced signing MoU for supply of double lane modular bridges to National Highway Infrastructure Development Corporation Ltd. (NHIDCL). Shares of Garden Reach Garden Reach Shipbuilders & Engineers Ltd. (GRSE), one of India's leading shipbuilding companies zoomed to the day's high of Rs 1,794.65 apiece on the NSE, up 2.13 percent. Garden Reach stock gained after three days of consecutive fall. The company informed the shareholders through an exchange filing that it secured a deal with NHIDCL for the fabrication, supply and launching of Double-Lane Class 70 modular steel & Bailey bridges. This agreement entails the construction and delivery of Class 70R Double Lane Bridges, designed byGRSEto enhance connectivity in critical forward areas along India's borders, facilitating seamless troop and equipment deployment. Garden Reach is a premier shipbuilding company under the administrative control of the Ministry of Defence, primarily catering to the shipbuilding requirements of the Indian Navy and the Indian Coast Guard. GRSE is a diversified, profit making and the first Shipyard in the country to export warships and deliver 100 warships to the Indian Navy and Indian Coast Guard. At the time of publishing, the shares of the Kolkata-headquartered company were trading at Rs 1,769.40 apiece on the NSE. Tracking other multibagger defence PSU stocks, the scrip has delivered multibagger returns to shareholders in the last 180 days, rising 117.78 percent on the BSE. It moved higher by a whopping 854.68 percent in the last three years.

2024-08-30 10:44

moneycontrol.com

https://www.moneycontrol.com/news/business/earnings/anand-rathi-initiates-buy-rating-on-sterling-ups-target-price-to-rs-870-12810349.html

Anand Rathi initiates buy rating on Sterling & Wilson; ups target price to Rs 870

The coverage comes amid a surge in renewable energy capacity additions in India and worldwide..Related stories.

Brokerage Anand Rathi has initiated coverage on Sterling and Wilson Renewable Energy Ltd with a "buy" rating, raising the target price from Rs 670 to Rs 870 per share. Sterling and Wilson is a global leader in solar EPC (Engineering, Procurement, and Construction) and O&M (Operations and Maintenance) services. The coverage comes amid a surge in renewable energy capacity additions in India and worldwide. In 2023, a record 507 GW of renewable energy capacity was added globally, a 50% increase year-over-year. The International Energy Agency projects an additional 3,178 GW between 2024 and 2028. India's capacity is expected to reach 500 GW by 2030, up from 192 GW at the end of FY24, benefiting EPC companies. Anand Rathi forecasts solar EPC orders worth around Rs 49,600 crore across markets. Reliance Industries' plan to develop 100 GW of renewable energy (mainly solar and battery storage) by 2030 could provide EPC opportunities worth Rs. 1.1 trillion from FY26-31, with about Rs 30,000 crore for Sterling and Wilson, along with O&M services worth Rs 2,400 crore. Anand Rathi noted that Sterling and Wilson's stronger financial position, supported by timely fundraising and a stake sale to Reliance Industries (RIL), positions it well to capitalise on global solar capacity additions (estimated at 2,317 GW from 2024-28 by the IEA). RIL's renewable energy plans present long-term opportunities. It aims to install 100 GW of renewable energy capacity, primarily solar and battery storage, by 2030 to achieve net-zero goals by 2035. This could offer overall EPC opportunities of Rs 1.1 trillion, with Rs 30,000 crore for Sterling & Wilson over FY26-31 (assuming a 50% share), along with Rs 2,400 crore in O&M services. Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

2024-08-30 10:30

moneycontrol.com

https://www.moneycontrol.com/news/business/morning-scan-all-the-big-stories-to-get-you-started-for-the-day-772-12810238.html

Morning Scan: All the big stories to get you started for the day

A round-up of top newspaper stories to keep you ahead of others..Related stories.

#1. Mahindra and Volkswagen to form 50:50 India joint venture for electric SUVs Mahindra & Mahindra and Skoda Auto Volkswagen India, the Volkswagen Group’s India unit, are in advanced stages of forming a 50:50 joint venture to share costs, technology and vehicle platforms for future product development, the Economic Times reported. While the scope of the joint venture will include fossil fuel-based models, it will focus on battery powered SUVs for India and international markets. Why it’s important:For Volkswagen, the development is a significant step forward in the world’s third-largest auto market where it has been a fringe player despite a long presence. It is also a key step by Mahindra, which is readying to get into the electric vehicle space in a big way. #2. Adani Group seeks to derisk debt through increasing public bond issues in India The upcoming public issue of non-convertible debenture by Adani Enterprises, the flagship company of the Adani Group, could be the first of many across the conglomerate as it eyes a diversified borrowing matrix in the coming decade, the Mint reported. The key purpose of the issue is to test and develop a local debt capital market for corporates, the group’s CFO Jugeshinder Singh said. Why it’s important:This is a rare public bond issue by an Indian conglomerate and the Adani Group’s first. It is a drop in the ocean though compared to the flagship’s nearly Rs 57,000 crore in gross borrowings. #3. Private, foreign and small banks doing well in deposit mobilization amid slowdown Although overall deposit mobilization of scheduled commercial banks remains low, private sector banks, foreign banks and small finance banks have been doing well, the Hindu Businessline reported. In 2023-24, private banks, which hold 34 percent share in deposits, grew the base at 20 percent. Foreign banks made large strides in deposits with 18 percent on year growth, and small finance banks clocked 31.3 percent growth in deposits in 2023-24. Why it’s important:The headline number has been dragged down by the weak performance of public sector banks. Private banks are able to grow their deposits better because of their aggressive mobilization and ability to undertake digital customer analytics and transmit the results to front-end operations. #4. India should allow Chinese investments as it provides leverage, Arvind Panagariya says Chinese investments in India should be allowed, barring those that carry security risks, economist Arvind Panagariya, chairman of the 16th Finance Commission, told the Economic Times in an interview. This will also give India leverage against China. Why it’s important:The Indian government placed restrictions on Chinese investments following a long border standoff. It has since moderated its tone and there could be an easing of the investment rules. #5. Software major HCLTech looks to diversify risk and unlock value by expanding into new locations HCLTech is looking to diversify risks and unlock new revenue streams with expansion into geographies such as India, Africa and the Middle East, the Economic Times reported. The Shiv Nadar backed software firm has outlined its growth strategies and leveraging of semiconductor demand, its strength in the engineering, R&D and expanding market participation in focus areas and new frontier markets. Why it’s important:The $250 billion Indian software services industry is facing one of its toughest challenges to grow amid a demand slowdown in key Western markets. They are looking for new revenue streams to buck the trend. Other big IT firms are also readying similar strategies. #6. India’s textile industry to raise prices of several products as new quality norms kick in Prices of baby diapers and sanitary napkins are set to go up, with the textiles ministry rejecting an industry demand for extending a quality control order deadline for these products, the Mint reported. Manufacturers such as Himalaya, Johnson & Johnson, Procter & Gamble and Nine, will have to meet standards set by the Bureau of Indian Standard from October. Why it’s important:The new standards include measures to prevent growth of antimicrobial agents and rashes. The rules are voluntary but are best followed in the interest of consumer safety. #7. Quick commerce company Zepto raises $340 million ahead of IPO at $5 billion valuation Quick commerce platform Zepto has raised $340 million in a follow-on financing round at a valuation of $5 billion as it gears up for an IPO, the Business Standard reported. It was Zepto’s third big-ticket fundraise within a year. It has raised more than $1 billion in 12 months. Why it’s important:The quick commerce space in heating up in India as it spreads to even smaller cities and towns. Zepto and Blinkit are dominating the market, but other major players are set to enter the fray. #8. Tax authorities to create new database on registration status of charities for clarity The Central Board of Direct Taxes (CBDT) has directed its officers to create a new database of charitable institutions to track their registration status under different provisions of the Income-Tax Act, the Business Standard reported. The board wants this database updated regularly so that individuals and companies can identify eligible institutions to donate to and claim tax benefits on those donations. Why it’s important:The intent behind this directive is to eliminate discrepancies in tax filings and claims of exemption. It could help create a more efficient, transparent and taxpayer friendly system. #9. Market regulator bats for automated and simplified compliance for ease of doing business Securities and Exchange Board of India chairperson Madhabi Puri Buch has advocated automated and simplified compliance for ease of doing business in her first public appearance after Hindenburg Research's conflict-of-interest allegations, the Mint reported. The capital markets regulator aims to make compliances easier so that focus can stay on doing business, Puri Buch said. Why it’s important:Hindenburg Research has alleged the market regulator was unwilling to act on its January 2023 Adani report because Buch and her husband Dhaval had investments in offshore funds that had links with the Adani Group. Such allegations need to be comprehensively countered. #10. India to develop repairability index for mobiles and electronic goods to tackle e-waste India is planning a repairability index for mobile phones and electronic products to address the growing e-waste problem and encourage manufacturers to produce more easily repairable items, the Economic Times reported. The consumer affairs ministry is spearheading the initiative, which will provide a score on key parameters to inform consumers about the ease with which a product can be repaired. Why it’s important: As India emerges as the third largest economy in the world, the use of electronic products is set to skyrocket. A repairability index could help the country tackle the enormous amounts of e-waste that would be generated.

2024-08-30 07:45

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/rvnl-share-price-rise-on-mou-with-patel-engineering-12810096.html

RVNL share price rise on MoU with Patel Engineering

Rail Vikas Nigam.Related stories.

Rail Vikas NigamLimited (RVNL) share price rose in early trading on August 30 after the company signed a Memorandum of Understanding (MoU) with Patel Engineering. At 09:21 am, Rail Vikas Nigam quoted Rs 586.60, up Rs 7.25, or 1.25 percent, on the BSE. The MoU aims to create a cooperative framework for exploring synergies in hydro and other infrastructure projects in India and internationally. Catch all the market action on our live blog In addition, RVNL recently emerged as the lowest bidder for a Southern Railway project, providing MSDAC with existing DCTC at stations and replacing remaining AFTCs in certain automatic block signalling sections. This project, valued at Rs 111.38 crore, is expected to be completed within 18 months. The company had posted a 35 percent decline in consolidated net profit to Rs 224 crore for the quarter ended June 2024 and revenue declined 27 percent to Rs 4,073.8 crore. MSCI in its August review had included RVNL inclusion in the India index.

2024-08-30 09:33

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/brokerages-remain-bullish-as-reliance-industries-aims-to-double-ebitda-expand-o2c-retail-and-new-energy-12810246.html

Brokerages remain bullish as Reliance Industries aims to double EBITDA, expand O2C, retail, and new energy

RIL will invest Rs 75,000 crore in developing an ecosystem for the new energy economy..Related stories.

Reliance Industries Ltd unveiled plans to double the conglomerate’s EBITDA over the next five years at its 47th annual general meeting, buoying investor sentiment. The drivers that will propel theMukesh Ambani-led conglomeratetowards doubling EBIDTA by 2030 include expansion in the oil-to-chemicals business, aggressive digital and retail pushes, and a renewed focus on new energy ventures. Reliance Retail With announcements shared across RIL’s sectors, the consumer-centric businesses continue to post double-digit EBITDA growth. According to brokerage Motilal Oswal, both RJio and Reliance Retail are likely to record 25% and 19% EBITDA CAGR over FY24-26, respectively. “The growth would be driven by footprint additions, new categories in the retail sector, a focused approach to subscriber growth, and tariff hikes in the telecom business,” the brokerage said. Reliance Jio According to Jefferies, the AGM largely focussed on Jio, with the traction in Airfiber and a foray into data centres. While Jio forms 8 percent of the total global data market, its data prices are a fourth of the global average and a 10th of developed countries. The current 5G adoption at 130 million-plus users will only rise as all smartphones over the price of Rs 8,000 each are 5G compatible, brokerages said. The 2G to 4G addressable market is over 200 million people. New Energy, O2C At the AGM, RIL Chairman Mukesh Ambani announced that the New Energy business will match the profitability of the current O2C segment within the next 5-7 years. O2C is Reliance Industries’ largest profit base currently, contributing towards two-fifths of the EBIDTA and more than half of attributable PAT. RIL will invest Rs 75,000 crore in developing an ecosystem for the new energy economy, leading international brokerage CLSA to note that the conglomerate was prioritizing investments across O2C and New Energy. “In O2C, we see Refining and Petchem segments picking up from the current levels. Moreover, FY25 would witness the full benefit of the volume ramp-up at the MJ Field,” noted Motilal Oswal. Also Read|ÂMukesh Ambani predicts new energy earnings to match O2C division in 5-7 years Valuations Based on the AGM commentary, if execution is flawless and timelines are met, RIL’s share price could see an upside of 15-20 per cent over Emkay Global’s target price of Rs 3,335 per share. “The company targets ensuring its balance sheet remains robust,” said the brokerage. Nuvama retained its buy call, as RIL’s New Energy rollout shall not only add 50 percent-plus to profits but also re-rate valuations, including the O2C business, given its net zero-carbon target by 2035. Nomura noted that Reliance Industries’ EBITDA CAGR will be further boosted by a sharp increase in FCF generation and a sharp decline in net debt levels.

2024-08-30 09:53

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/msci-india-august-rejig-in-focus-vi-dixon-tech-rvnl-among-7-entrants-bandhan-bank-to-exit-12810237.html

MSCI India August rejig in focus: Vi, Dixon Tech, RVNL among 7 entrants; Bandhan Bank to exit

HDFC Bank shares will see an increase in its weightage in the MSCI indices.Related stories.

India's MSCI August rejig will take place on August 30, expected to receive net passive FII inflow of over $4-4.5 billion. Around 7 stocks will be included in the MSCI India index, namely Dixon Tech, Vodafone Idea, Oil India among others. According to Nuvama estimates, out of the 7 stocks - Dixon Tech will see the maximum inflows worth $313 million, followed by Vodafone Idea at $285 million, Oil India at $258 million, Zydus Lifesciences at $222 million, Rail Vikas Nigam at $212 million, Prestige Estates at $178 million, and Oracle Financial at $172 million. However, Bandhan Bank will be excluded from the MSCI India index, seeing an outflow of $117 million. ALSO READ:ÂFTSE to realign Ambuja Cements float after Adani offloads stake; MSCI to adjust flows On the other hand, HDFC Bank shares will see an increase in its weightage in the MSCI indices but that will take place in two tranches. The first one will happen after the current August review, while the second will take place after the November review, provided the foreign headroom remains at least 20 percent. The first round weightage is expected to attract inflows worth $1.5 billion, according to Nuvama estimates. Meanwhile, around 27 stocks will be included in the MSCI Smallcap August rejig. This would include Bandhan Bank, Go Digit General Insurance, Protean Egov Tech, Aurionpro Solution, Sudarshan Chemical, Shakti Pumps India, Bharat Bijlee, Bajaj Hindusthan Sugar, Max Estates, GMR Power & Infra, Inox Wind, Sharda Motor, Garware Hitech Films, among others. Some of the stocks being excluded from the MSCI Smallcap August rejig will be Dixon Tech, IREDA, Cochin Shipyard, HUDCO, Network18, Jaiprakash Associates. Besides, IRB Infra, Star Health, Timken India, Nippon Life will be among 27 others to have their weight increased in the MSCI Smallcap index rejig, added Nuvama analysts.

2024-08-30 08:03

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/short-call-diis-retail-investors-lap-up-what-promoters-fiis-offload-aptus-value-housing-hcltech-kec-international-in-focus-12810241.html

Short Call: DIIs, retail investors lap up what promoters, FIIs offload; Aptus Value Housing, HCLTech, KEC International in focus

Cries for a correction have ebbed and flowed like the tides, with investors refusing to budge despite high valuations..Related stories.

To buy a stock, you need a seller. Demand and supply, push and pull, give and take - the simple tenets of the markets. In this tearaway rally we’re seeing, with Nifty 50 scaling fresh highs and the small- and mid-cap indices outperforming the benchmarks, DIIs and non-institutional investors are rushing to buy what FIIs and promoters have offloaded. Let’s look at the numbers. Over the last five years, from December 2019 to June 2024, the average promoter shareholding in Nifty 50 declined by 240 basis points, while FII shareholding declined by 120 basis points. In contrast, domestic institutional investors significantly increased their shareholding by whopping 460 basis points in Nifty 50. Retail participation also rose, though at a slower pace compared to DIIs. With retail investors pumping the markets with cash, even when FIIs and promoters are paring their stakes, it makes you wonder: what will it take for the markets to finally take a long pause to catch its breath? Every piece of bad news has been discarded: from the failure to cinch 400 seats for the majority party to the absence of big triggers to suggest a revival in lagging parts of consumption and private investments, or reforms like privatisation. Muted corporate results have been cheered while disappointments are taken by the market in its stride. Cries for a correction have ebbed and flowed like the tides, with investors refusing to budge despite high valuations. The fresh higher highs suggest the market is now dancing to the tune of the domestic investors - either large institutions or retail participants like you and me, leaving those waiting for a correction feeling like they missed the memo. As investors continue to seek the exaggerated returns of the past, it turns into a feedback loop: they infuse the markets with cash, the markets outperform, and then more people come into equities, seeking to make a quick buck. Aptus Value Housing ( Rs 322, +1.5%) Shares rose after Citi gave a 'buy' call and increased the target price. Bull Case:Management confident of sustaining 28-30% AUM growth. Expanding footprint in Maharashtra and Odisha; adding 20 new branches primarily in Andhra Pradesh and Telangana in FY25 is a positive. Bear Case:There's a possibility of a 10-15 bps pressure on NIM due to rising funding costs for NBFCs.ÂHCLTech (Rs 1,751.85, +2%) At its recent Investor Day, the company outlined strategic initiatives for medium-term growth, cost-saving measures to fund investments and boost margins. Bull case:Multiple imperatives to ensure consistent growth trajectory including full-stack AI solutions, increased market participation in focus and new frontier markets along with a larger partner ecosystem beyond OEMs and hyperscalers, writes KIE. Commentary on proactive cost take-out proposals hint at a higher willingness to take risky bets to gain market share. Bear case: Employee costs as a percentage of revenue are higher than pre-covid levels. Moreoffers have been made, but further efforts for cost cutting needed, Nuvama believes. Persistent slowdown in the US and a spike in attrition can present downside earnings risk. KEC International (Rs 903.30, +4.06%) Stock jumps on the company winning new Transmission and Distribution (T&D) orders worth Rs 1,171 crore in the Middle East. Bull Case:Its strategic diversification, robust execution capabilities, and focus on high-growth segments like T&D EPC, railways, and civil infra are poised to drive exponential growth, capitalizing on a multiyear macro T&D capex opportunity. Bear Case:The company faces risks from potential execution delays, a slowdown in key T&D markets, and exposure to forex and commodity fluctuations, which could pressure revenue and margins, especially with significant fixed-price contracts. (With inputs from Vaibhavi, Veer and Harshita.)

2024-08-30 07:57

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/spicejet-stock-declines-nearly-7-after-dgca-puts-crisis-hit-airline-under-enhanced-surveillance-12810374.html

SpiceJet stock declines nearly 7% after DGCA puts crisis-hit airline under enhanced surveillance

SpiceJet's scheduled flights on Thursday from Dubai faced cancellations due to non-payment of certain dues to Dubai airport..Related stories.

SpiceJet share price slumped as low as nearly 7 percent on August 30 a day after the aviation watchdog Directorate General of Civil Aviation (DGCA) decided to place crisis-hit airline under enhanced surveillance. The BSE-listed stock opened with a loss of 5.78 percent in Friday's trading session and touched an intraday low of Rs 62.01, declining 6.37 percent. The sharp fall was witnessed in the shares of no-frills carrier after reports of cancellation of flights and financial stress being experienced bySpiceJet. DGCA said it conducted a special audit of the airline's engineering facilities on August 7 and 8 and certain deficiencies were found during the audit. The enhanced surveillance will entail increased spot checks and night surveillance to ensure safety of the airline's operations. In 2023, the regulator had placed SpiceJet under enhanced surveillance. "In light of the past record and the special audit carried out in August 2024, SpiceJet has once again been placed under enhanced surveillance with immediate effect," DGCA said in a release. SpiceJet's scheduled flights on Thursday from Dubai faced cancellations due to non-payment of certain dues to the Dubai airport. The company had a 20 percent fall in its consolidated net profit for the first quarter that concluded in June 2024, at Rs 158 crore. The same was Rs 198 crore during the same period of previous financial year. Meanwhile, the analysts at the domestic brokerage JM Financial believe capacity expansion and lower ATF will drive earnings trajectory in the sector. "ATF which forms major chunk of operating cost continues to experience price cut in 2Q25 on the back of falling oil prices, following a surge in 2Q24 and 3Q24. Due to this, airlines might experience lower costs and higher margins," it said in its Aug 29 report.

2024-08-30 11:31

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/balrampur-chini-praj-ind-other-sugar-stocks-surge-after-govt-allows-ethanol-production-from-cane-juice-12810315.html

Balrampur Chini, Praj Ind, other sugar stocks surge after govt allows ethanol production from cane juice

This policy change will enhance ethanol production and promote sustainable energy practices.Related stories.

Sugar stocks were in for a sweet surprise on Dalal Street on August 30, thanks to a new government policy allowing sugar mills to produce ethanol from cane juice or syrup for the upcoming Ethanol Supply Year (ESY) 2024-25. Nearly all sugar companies saw their shares rise, with Dalmia Bharat Sugar, Shree Renuka Sugar, Triveni Engineering, and Bajaj Hindusthan climbing up to 16 percent. So far this year, Balrampur Chini, Bajaj Hindusthan, EID Parry, Rajshree Sugars, Triveni Engineering shares jumped up to 46 percent, as compared to benchmark Nifty 50's 15 percent rise. This policy update lifts the previous cap on using sugar for ethanol production. Now, in addition to cane juice and syrup, mills can also use B-Heavy and C-Heavy molasses to produce ethanol. This change is part of the government's strategy to boost renewable energy use and reduce reliance on fossil fuels. Catch all the market action on our LIVE blog The government has also allowed distilleries to buy up to 2.3 million metric tons of rice from the Food Corporation of India specifically for ethanol production, aiming to increase ethanol output and support the broader fuel blending initiative. To ensure this shift doesn't impact domestic sugar availability, the Department of Food and Public Distribution and the Ministry of Petroleum and Natural Gas will work together to monitor and review the diversion of sugar to ethanol production. This policy change is part of the government's broader effort to enhance ethanol production and promote sustainable energy practices. By allowing a wider range of sugar derivatives for ethanol production, the government aims to improve the efficiency and flexibility of the ethanol supply chain while maintaining stable domestic sugar supplies.

2024-08-30 11:04

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/brokerages-forecast-sluggish-trend-in-car-sales-in-august-as-well-12810278.html

Brokerages forecast sluggish trend in car sales in August as well

Auto companies release their monthly sales numbers on the first day of every month..Related stories.

Automobile companies are set to release their monthly sales numbers for August from September 1 and brokerages anticipate continued softness due to slow demand and elevated inventory levels. This comes after a 2.5 percent year-on-year decline in passenger vehicle sales for July to 3.41 lakh units, likely driven by moderated demand and inventory adjustments. Brokerage firm Motilal Oswal Financial Services stated that demand trends in August also remained weak in most segments, except for two-wheelers as customers deferred purchases, especially for passenger vehicles, expecting better discounts in September. However, Nomura has a hopeful outlook to offer for automobile players. The firm believes that a pickup in demand during the festive season, which will arrive 11 days earlier in 2024 (Diwali on November 1, 2024, compared to November 12 in 2023), could help normalise inventory levels. "This shift is expected to result in a much stronger October 2024 and a weaker November 2024 on a year-on-year basis. Additionally, early indications of rural sentiment are positive, bolstered by monsoon rainfall being 7 percent above normal levels," Nomura added. Catch all the market action on our LIVE blog For two-wheelers, MOFSL expects retail sales to grow 1-3 percent on year in August. "Walk-ins and enquiries are improving ahead of regional festivals (Ganesh Chaturthi and Onam) beginning in September," the firm noted. In addition, a series of new and refreshed launches, like Bajaj Auto's Freedom 125, Hero MotoCorp's Xtreme 125R, and TVS Motors' Jupiter 110cc  are also attracting customers. Outlook for auto stocks MOFSL believes that the era of easy gains in automobile stocks are behind us, after the sector enjoyed significant volume growth across segments over the past two years amid a stabilisation in input costs. Moving forward, the brokerage believes that success will require selective micro strategies to outperform. "In this context,Maruti Suzukiis our top pick among auto original equipment manufacturers (OEMs), as it is well-positioned for the structural shift toward new technologies and market share gains in SUVs," MOFSL said. The brokerage also favoursÂMahindra & Mahindradue to its strong presence in the growing SUV segment, a healthy order book, and its advantage in the positive tractor cycle.

2024-08-30 10:14

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/citi-initiates-coverage-on-bharti-hexacom-with-buy-tag-cites-strong-growth-outlook-12810266.html

Citi initiates coverage on Bharti Hexacom with 'buy' tag, cites strong growth outlook

the stock has outperformed, surging over 45 percent since its listing in April 2024..Related stories.

International brokerage Citi initiated coverage on Bharti Hexacom with a buy rating, as the midcap telecom player's growth outlook looks strong. The brokerage issued a target price of Rs 1,405 per share with a 'buy' rating, indicating an upside of around 20 percent from the previous session's closing price. Bharti Hexacomis a pure-play regional telecom operator with a healthy balance sheet. There is scope for further growth on the improved likelihood of tariff hikes. Citi also believes the firm has superior return ratios compared to peers. Additionally, the stock has outperformed, surging over 45 percent since its listing in April 2024. Citi forecast a 3-year EBITDA CAGR of 26 percent for the company, compared to 20 percent and 22 percent for Bharti Aritel’s India and mobile operations, and 24 percent for Vodafone Idea. Follow our market blog to catch all the live updates This growth is expected to drive a decline in net debt to EBITDA ratios, which are projected to fall to 0.9x by FY26 and 0.3x by FY27, primarily due to strong free cash flow generation. The declining net debt to EBITDA ratio is anticipated to create opportunities for increased payouts. India's telecom sector, overall, is a positive play for the brokerage, as signs of waning competitive intensity make Citi bullish on the player.

2024-08-30 08:55

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/indian-oil-bpcl-hpcl-stocks-get-price-target-upgrades-from-morgan-stanley-global-domestic-tailwinds-eyed-12810255.html

Indian Oil, BPCL, HPCL stocks get price target upgrades from Morgan Stanley; global, domestic tailwinds eyed

HPCL stock is Morgan Stanley’s top pick as the company exits an investment cycle..Related stories.

Morgan Stanley has raised its target prices on India's PSU oil marketing companies (OMCs) -- Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) -- driven by expectations of global and domestic tailwinds. The brokerage has an ‘Overweight’ rating on all three PSU OMC stocks, citing factors including an oversupplied global oil market, rising gas market share in China, and strong domestic fuel demand. Morgan Stanley has raisedIndian Oil Corpshare price to Rs 205 per share; this implies an upside of 16 percent from the stock’s previous close. The brokerage has raisedBPCLshare price target to Rs 410 per share (15 percent upside); and that forHPCLstock to Rs 506 per share (22 percent upside). Further, HPCL share is Morgan Stanley’s top pick as the company exits an investment cycle; this is followed by BPCL. The brokerage expects the next leg of outperformance to come from a combination of global factors, such as the oversupplied oil markets and gas taking market share from diesel in China, along with domestic tailwinds like strong fuel demand and improving free cash flow (FCF). Also read |ÂIndia's energy stocks deliver in 2024 as investors seek earnings growth Recent rally in oil stocks Shares of downstream oil refiners, including OMCs, have gained significant investor interest in 2024, benefitting from a range of global cues such as geopolitical tensions in the Middle East and expectations of a rate cut by the US Federal Reserve. The Nifty Energy Index has risen by 31 percent this year. All three PSU OMC stocks have doubled in the last one year -- Indian Oil Corp is up 95 percent; BPCL is up 103 percent; and HPCL is up 142 percent -- outperforming the BSE Sensex, which has risen by 26 percent during the same period. Driving factors for outperformance Morgan Stanley's optimism comes amid recent market trends, as oil and gas stocks have been buoyed by expectations of US interest rate cuts, which could drive higher business activity and fuel demand. Concerns over a broader Middle East conflict, triggered by military clashes between Israel and Hezbollah in Lebanon, and potential supply disruptions due to production shutdowns in Libya, have also driven investor interest. Furthermore, Indian energy stocks have attracted global investors due to their attractive dividend yields. Other brokerages bullish too Morgan Stanley's view follows similar bullish sentiments from other brokerages. A month ago, UBS upgraded Indian Oil to a 'buy' rating, increasing its price target to Rs 210. UBS also raised its target for HPCL to Rs 445, and for BPCL to Rs 400. UBS analysts expect the oil market to soften after Q3 2024, which could shift OMCs' profit focus from refining to marketing.

2024-08-30 08:30

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/rapid-multimodal-logistics-shares-list-at-22-premium-over-ipo-price-12810317.html

Rapid Multimodal Logistics shares list at 22% premium over IPO price

The company plans to use the fresh proceeds from the issue for working capital requirements and general corporate purposes..Related stories.

Shares ofÂRapid Multimodal Logisticsmade a decent start on its stock market on August 30 after listing at Rs 103, commanding a premium of 22.6 percent over the issue price of Rs 84 on the BSE SME platform. The listing gains topped grey market estimates as shares were trading at a premium of 11 percent from the last close on the NSE. 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 market action The Rs 8.49-crore public offer received robust investor interest after the fresh issue was subscribed above 350 times over three days. Non-institutional investors were at the forefront buying 512 times the portion reserved for them. Retail investors bought 172.5 times their allotted quota. QIBs or qualified institutional buyers didn't subscribe to the issue. Incorporated in 2020, it is a Chennai-based logistics provider offering comprehensive, one-stop solutions primarily to the B2B segment. The company specializes in both single and multimodal transportation services, integrating multiple modes such as road, rail, and sea to enhance supply chain efficiency. Its services encompass planning, route optimization, carrier selection, documentation, containerization, tracking, communication, last-mile delivery, and performance evaluation to meet diverse shipment requirements. The company plans to use the fresh proceeds from the issue for working capital requirements and general corporate purposes.

2024-08-30 10:07

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/first-tick-top-10-global-cues-for-todays-trade-26-12809810.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 start higher on August 30, tracking cues from GIFT Nifty trading near 25,288.5, a short while ago this morning. Track the latest updates onÂGIFT Nifty right here on Moneycontrol. Indian benchmark indices extended the previous session's gains to end at fresh record high on August 29, led by heavyweights including Reliance Industries after the company announced to consider bonus share issue on September 5. At close, the Sensex was up 349.05 points or 0.43 percent at 82,134.61, and the Nifty was up 99.60 points or 0.40 percent at 25,152. 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 25,288.5 at 07:10 am IST. Asian Equities (Gain) Asian markets were trading higher in the early part on Friday after economic data from the US calmed recessionary fears, while investors also assessed a slew of data from Japan.CHANGE FROM PREVIOUS CLOSE (%)  MTD (%)  YTD (%)Topix 0.60 0.58 12.40Nikkei0.392.2013.01Hang Seng - - -Taiwan 0.36 3.58 20.13Kospi0.74-0.25-1.39US Equities (Mixed) The Dow notched a record high close on Thursday in mixed trading following robust U.S. economic data, while artificial intelligence chipmaker Nvidia dropped after its largely in-line forecast failed to impress investors. The U.S. economy grew faster than initial estimates due to strong consumer spending, the Commerce Department reported, supporting expectations the U.S. is likely to avoid a recession. The Dow Jones Industrial Average rose 0.59% to 41,335.05 points, an all-time closing high. The S&P 500 index ended barely changed at 5,591.96 points, just below its July record high close as expectations for a September interest rate cut remained robust. The Nasdaq declined 0.23% to 17,516.43 points. CHANGE FROM PREVIOUS CLOSE (%)MTD (%)YTD (%)Dow Jones 0.59 1.37 10.54S&P5000.001.4318.17Nasdaq-0.23-0.3117.60US Bond Yield (Flat) The US 10-year Treasury yields and US 2-year bond yield were trading flat in the early trade on Friday.CURRENT PRICEMTDYTDUS 10-Year Treasury 3.86 4.134.11US 2-Year Treasury 3.89 4.354.88Dollar Index (Flat) The dollar traded near a one-week high versus major peers on Friday, on track to snap a five-week losing run, after robust economic data pared bets for aggressive Federal Reserve interest rate cuts.CURRENT PRICEMTDYTDDollar Index 101.34 104.55103.15Asian currencies (Mixed) Asian currencies were trading mixed against the US dollar in the early trade on Friday, with the South Korean Won, Thai Baht, Indonesian Rupiah, Malaysian Ringgit down marginally, while the Philippines Peso, and China Renminbi, led the giners.  CHANGE FROM PREVIOUS CLOSE (%) MTD (%) YTD (%) Indonesian Rupiah -0.013 5.56 -0.162 South Korean Won-0.0943.76-3.21 Japanese Yen0.1045.45-2.63 Philippines Peso0.189 4.381.42- Thai Baht-0.0355.680.863 Taiwan Dollar0.1353.05-4.08 China Renminbi0.4342.300.042 Malaysian Ringgit-0.0747.106.45 Singapore Dollar0.0383.041.37Gold (Down) Gold prices were down marginally at USD 2517.68, while Silver prices were up marginally at USD 29.49 in the early trade on Friday.  CHANGE FROM PREVIOUS CLOSE (%)  MTD (%)  YTD (%)Gold -0.17 2.84 22.02Silver0.121.5623.80Crude (Down) Oil prices were steady in early trading on Friday as investors weighed supply concerns in the Middle East against signs of weakened demand.  CHANGE FROM PREVIOUS CLOSE (%)  MTD (%)  YTD (%)US West Texas -0.12 -2.71 5.82Brent Crude-0.03-0.993.74LME Commodities (Down) LME commodities declined in the early trade on Friday with Lead down more than 2 percent, and Aluminium fell 1.5 percent CHANGE FROM PREVIOUS CLOSE (%)  MTD (%)  YTD (%)Aluminium -1.54 7.29 3.08Copper-0.180.218Nickel-0.092.402.41Lead -2.37 -2.30 -1.60Zinc-0.107.578.28Fund Flow Action The foreign institutional investors (FIIs) bought equities worth Rs 3259 crore on August 29, while domestic institutional investors extended their buying as they bought equities worth Rs 2690 crore on the same day.29th AugustMTDYTDFII Net Flows3,259.56-26,686.65-1,47,854.34DII Net Flows 2,690.8551,476.723,08,801.78Hope you're all set for today's trade, we wish you a profitable day ahead.

2024-08-30 07:43

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/brokerage-radar-price-upgrades-for-omcs-bharti-airtel-bullish-views-for-ril-12810240.html

Brokerage Radar: Price upgrades for OMCs, Bharti Airtel; bullish views for RIL

Stock Market Radar.Related stories.

Check out the latest brokerage calls and analyst comments on the stocks in action today. Our coverage includes Reliance Industries, Lupin, Bharti Hexacom, and sectors like OMCs and telecom. Reliance Industries Nomura On Reliance Ind Buy Call, Target Rs 3,600/ShFocused On Growth; Co To Double In The Next 5-7 YearsLaunch Of Jio Brain And Jio Cloud To Lead The AI Integration JourneySee Robust Growth Across Segments Driving 3-year EBITDA CAGR Of 13%EBITDA CAGR Will Further Be Boosted By A Sharp Increase In FCF GenerationEBITDA CAGR Will Further Be Boosted By Sharp Decline In Net Debt Levels Macquarie On Reliance IndNeutral Call, Target Rs 2,750/ShNew Energy The New Growth Engine, AI, Disney+, Bonus SharesNew Energy Division To Deliver Cash Flows That Are Less CyclicalPotential Earning Capacity In Next 5-7 Yrs Similar To Existing O2C BusinessJio & Retail Targetting To Double Revenue And EBITDA In Next 3-4 YearsJio Cinema Growth To Be Enhanced By Merger With Disney+ HotstarJioMart Hyperlocal Delivery With 1,300 Smart Points Noted As A Competitive Edge Jefferies On Reliance IndBuy Call, Target Rs 3,500/ShAGM Focused On Jio, With Traction In Airfiber, Foray Into Data CenterCo Expects Retail To Emerge From Tough Patch To Deliver Doubling Of Rev/EBITDA In 3-4 YrsDoubling Of Rev/EBITDA In 3-4 Yrs For Retail Is Ahead Of Our EstimateNew Energy Commissioning Could See Delays That Push Out Value Discovery To FY27Board Will Consider A Bonus Issue CLSA On Reliance IndOutperform Call, Target Rs 3,300/ShCo Targets To Double Its Size In The Next Six Years; No Hints About IPO For Jio Or RetailJio Aims To Add 1 m Airfiber Subscribers Every MonthPrioritising Investment Across O2C And New Energy Verticals Nomura On LupinBuy Call, Target Raised To Rs 2,427/ShExpect Improvement In Growth & Profitability Across Key Mkts, Likely To Attract Premium To PeersUS Generics Present Strong Support To Near-term EarningsCo Has Gained Traction With A Few Complex Injectable FilingsFew Complex Injectable Filings Likely To Be Commercialised Over Next Two YearsThere Are Specific Litigation-Dependent Upsides That Can Further Support Near-Term EarningsExpect Narrative On US Prospects To Dominate Downside Risk In Specific Products Like Albuterol MDIFactor In Higher Rev Contribution From Mirabegron In FY25 & Tolvaptan In FY26/27 Vs Earlier EstRevise FY25/26 EPS Upwards By 28%/54% MS On OMCsOverweight Call On IOC, Target Raised To Rs 205/ShOverweight Call On BPCL, Target Raised To Rs 410/ShOverweight Call On HPCL, Target Raised To Rs 506/ShGlobal Tailwinds From Oversupplied Oil Markets Point To The Next Leg Of OutperformanceGas Taking Market Share From Diesel In China Points To The Next Leg Of OutperformanceDomestic Tailwinds Of Strong Fuel Demand, Improving FCF Point To Next Leg Of OutperformanceHPCL Is Key Overweight, As It Exits An Investment Cycle, Followed By BPCL Bernstein On TelecomOutperform Call On Bharti Airtel, Target Raised To Rs 1,740/Sh From Rs 1,600/ShTelecom Has Seen A Favorable Market Structure Led By Consolidation Over YearsStrong Players - Jio & Bharti Airtel Continue To Gain Share With Jio (45%) & Bharti (37%) Rev ShExpect Market To Consolidate Further, As VI (Not Covered) Subscriber Churn Remains HighJio Is On Path To Reach Nearly 500 Million Subscribers And A 50% Share Citi On Bharti HexacomInitiate Buy, Target Rs 1,405/ShPure-Play Regional Telecom Operator With Healthy BalancesheetForecast A 3-Yr EBITDA CAGR Of 26% Vs 20%/22% For Bharti’s India/Mobile Ops & 24% For Voda IdeaSee Net Debt/EBITDA Declining To 0.9/0.3x By FY26/27Declining Net Debt/EBITDA Led By Strong FCF GenerationDeclining Net Debt/EBITDA Opens Up Room For Upside To Payouts

2024-08-30 07:52

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/daily-voice-amcs-could-offer-solid-investment-opportunities-but-be-cautiously-optimistic-on-omcs-says-kunal-jain-of-alpha-capital-12810215.html

Daily Voice: AMCs could offer solid investment opportunities but be cautiously optimistic on OMCs, says Kunal Jain of Alpha Capital

Kunal Jain is the Senior Consultant and Partner at Alpha Capital.Related stories.

Given the long-term growth prospects of the Indian economy and the increasing adoption of financial products, AMCs (asset management company stocks such as HDFC AMC, Nippon and UTI) could offer solid investment opportunities, said Kunal Jain, Senior Consultant and Partner at Alpha Capital in an interview to Moneycontrol. He believes the outlook for Indian OMCs (oil marketing companies) is cautiously optimistic in the short to medium term, supported by strong domestic demand for petroleum products and stable refining margins. For the equity markets going ahead, US Federal Reserve's meeting on September 17-18; Reserve Bank of India (RBI) monetary policy meeting on October 4; US Presidential Election result on November 5; assembly election results in India; and corporate earnings data of coming quarters will be key drivers, according to Kunal Jain, who has more than 10 years of experience in investment management and client management. Do you see good opportunity investment in the AMC space? In India, there are three major asset management companies (AMCs) listed on the stock exchanges, namely,HDFC AMC(current P/E at 45.91), Nippon India AMC (P/E at 35.61) andUTI AMC(P/E at 18.12). These companies have strong brand recognition, a wide distribution network, and robust product offerings. The Securities and Exchange Board of India (SEBI) has been actively regulating the industry to ensure transparency, protect investors, and maintain market integrity. Investing in the AMC space in India could be a good long-term opportunity, especially if you are bullish on the financial sector's growth. Given the long-term growth prospects of the Indian economy and the increasing adoption of financial products, AMCs could offer solid investment opportunities. Your take on the oil marketing companies? The outlook for Indian OMCs is cautiously optimistic in the short to medium term, supported by strong domestic demand for petroleum products and stable refining margins. In India, there are three major oil marketing Companies (OMCs) listed on the stock exchanges, namely, IOC (current P/E at 8.01), BPCL (P/E at 7.95) and HPCL (P/E at 8.90). India’s demand for petroleum products, especially petrol and diesel, remains strong due to its growing population, increasing vehicle ownership, and economic growth. This supports a stable revenue stream for OMCs. These are heavily impacted by fluctuations in global crude oil prices, as they import a significant portion of their crude requirements. The global and domestic shift towards cleaner energy sources poses a long-term challenge for OMCs. Investments in renewable energy, electric vehicle (EV) infrastructure, and alternative fuels are critical for OMCs to stay relevant. As electric vehicle adoption grows, the demand for traditional fuels may gradually decline. OMCs are investing in refinery upgrades, expansion of retail networks, and diversification into petrochemicals and renewable energy. These investments are crucial for sustaining long-term growth. What is the next key driver for the Indian equity market? US Federal Reserve's meeting on September 17-18, Reserve Bank of India (RBI) monetary policy meeting on October 4, US Presidential Election result on November 5, assembly election results in India and corporate earnings data of coming quarters will be key drivers. Do you see the chance of 50 bps cut in fed funds rate from the US Federal Reserve in the rest of calendar year? The Federal Reserve closely monitors economic indicators such as inflation, employment, and GDP growth. A significant slowdown in economic activity or a notable decline in inflation could make a larger rate cut more plausible. Will the RBI follow the same path? The RBI’s primary focus is on the Indian economy. If the US rate cut influences global economic conditions, it could indirectly affect India. However, the RBI will primarily base its decisions on domestic factors such as inflation, growth, and currency stability. If a Fed rate cut leads to improved global economic conditions or reduced borrowing costs for India, the RBI might consider adjusting rates to support economic growth or stimulate investment. Do you see more than 15 percent return from the largecap banking names? In Last one year, HDFC Bank has just delivered 3.86 percent return while Sensex has delivered 26 percent return. Similarly, Kotak Mahindra Bank (-0.73 percent), Axis Bank (18.7 percent) and ICICI Bank (25.9 percent) in last one year. The trajectory of interest rates set by the Reserve Bank of India (RBI) can significantly impact bank profitability and stock returns.

2024-08-30 08:41

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/nifty-sensex-hit-all-time-high-extend-gains-on-robust-global-cues-realty-index-top-gainer-12810247.html

Nifty, Sensex hit all-time high, extend gains on robust global cues; realty index top gainer

BPCL, ONGC, Coal India, Bajaj Finserv, and Hero MotoCorp were the top gainers on the Nifty..Related stories.

Benchmark indices Nifty 50 and Sensex reached new highs and extended their rally on August 30, buoyed by positive global cues as investors shrugged off jitters from Nvidia’s lower-than-expected guidance. The Dow hit a fresh record high, the S&P 500 ended just shy of its July peak, while the Nasdaq slipped. Domestically, the Sensex was up 273.98 points or 0.33 percent at 82,408.59, and the Nifty was up 85.8 points or 0.34 percent at 25,237.80. About 1,878 shares advanced, 551 shares declined, and 111 shares unchanged. Follow our LIVE blog for all the latest updates The broader market, represented by mid and small-cap indexes, regained lost momentum to outperform the benchmarks, with the two gaining 0.4 percent and 0.5 percent, respectively. The mid and small-cap indexes have significantly outperformed the Nifty's 16 percent gain since the beginning of the year, surging nearly 28 percent over the same period. The India VIX declined by a marginal 0.1 percent to 13.7, indicating reduced market volatility and increased investor confidence, which could support further market gains. Read:ÂMSCI India August rejig in focus: Vi, Dixon Tech, RVNL among 7 entrants; Bandhan Bank to exit "In line with the current trend, participants find reassurance in selective buying among heavyweights from various sectors, with banking taking a backseat. Given the current scenario, traders should look for buying opportunities on dips, focusing on less volatile sectors or themes like IT, FMCG, and pharma, while being selective with others," Ajit Mishra, senior vice president of research at Religare Broking. Read more:ÂIndian Oil, BPCL, HPCL stocks get price target upgrades from Morgan Stanley; global, domestic tailwinds eyed "This Friday, the Nifty may surge to new record highs, with Dalal Street poised for a strong rally. Key catalysts include Moody’s raised India’s 2024 GDP growth forecast to 7.2 percent, Mukesh Ambani’s AI-led roadmap for Reliance Industries, substantial FII buying, positive global cues, and upbeat US GDP data," Prashanth Tapse of Mehta Equities said. Among sectors, Nifty Realty was the top gainer, rising almost a percent, helped by gains in Lodha, Prestige Real Estates, and DLF. Nifty Energy closed followed increasing 0.7 percent backed by gains in Reliance, Coal India and NTPC. Vaishali Parekh of Prabhudas Lilladher suggests that Nifty continues its steady climb to new highs, with improving sentiment and a positive bias suggesting a further rise toward the next target of 25,600 in the coming days. Frontline stocks like RIL, ITC, TCS, Infosys, and L&T are showing strength, potentially boosting the index to new heights. Sensex has firmly crossed the 82,130 mark and a further rise towards the initial targets of 83,000–83,500 is anticipated. Key support levels are 81,700/25,000, while resistance is pegged at 82,600 and 25,300. BPCL, ONGC, Coal India, Bajaj Finserv, and Hero MotoCorp were the top gainers on the Nifty. The laggards included Tata Motors, Bajaj Auto, Sun Pharma, Hindalco, and Tech Mahindra. Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

2024-08-30 09:32

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/will-move-to-direct-payout-system-for-customers-says-cdsls-nehal-vora-12810019.html

Will move to direct payout system for customers, says CDSL's Nehal Vora

Another change was the introduction of the Electronic Delivery Instruction (EDI) system. This system allows customers to directly authorize transactions with the depository, reducing the risk of fraud that was previously possible when brokers sent OTPs directly to customers..Related stories.

SEBI has plans to implement a direct payout system to further streamline the payment process for securities, said Nehal Vora, Managing Director and CEO of Central Depository Services (CDSL). He was participating in a panel discussion at the Global Fintech Fest in Mumbai on August 29. Till now, the payout of securities have been done by the clearing corporation, through the depository and the clearing member, before the amount would reach the customers, Vora said, adding, "Now, there direct payout happening to the customer. The trust in the system is growing even further". Vora said that recently SEBI introduced two critical reforms on the depository side, significantly impacting the way transactions and pledging are handled in the securities market, one of them being SEBI's move towards a paperless system for account opening, transactions, and pledging. He noted that this reform has been vital, especially during challenging times such as the COVID-19 pandemic, and said, "The securities market didn't shut for a second, and I think that is really the testament of the vision of SEBI to move to a completely digitized and paperless form." Another change was the introduction of the Electronic Delivery Instruction (EDI) system, which allows customers to directly authorise transactions with the depository, reducing the risk of fraud that was previously possible when brokers sent OTPs directly to customers. Vora said, "Now the customer will have to authorize directly with the depository. This direct customer-to-depository authorisation maintains the efficiency of B2B transactions while adding an extra layer of security." The second reform was regarding the margin pledge system. Traditionally, he explained, shares moved from the customer's account to the broker's account under a power of attorney, leading to a lack of visibility for the customer. Now, the shares remain in the customer's account, but there is a pledge flag of the depository that comes. “This means the customer cannot resell shares that are pledged or re-pledge them to someone else, but always knows where the shares are going," he said.

2024-08-29 18:18

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/hudco-shares-rise-as-rbi-oks-certificate-of-registration-for-company-as-nbfc-ifc-12809898.html

HUDCO shares rise as RBI okays certificate of registration for PSU firm as NBFC-IFC

HUDCO share price gains as RBI OKs certificate of registration as NBFC- IFC.Related stories.

Housing And Urban Development Corp LtdÂ(HUDCO)share price gained in August 29 trade as the state-owned company received RBI's nod for certificate of registration as an Infrastructure Finance Non-Banking Finance Company (NBFC). The IFC status allows higher exposure limits to the company for financing to various infrastructure sectors in addition to housing. "The Company has today i.e. on 29th August, 2024, received the Certificate of Registration as Non-Banking Financial Company – Infrastructure Finance Company (“NBFC-IFC”), from Reserve Bank of India (RBI)," said the company in an exchange filing. Housing and Urban Development Corporation provides financial assistance for housing and urban infrastructure projects. Shortly after the announcement, HUDCO share price gained to settle at Rs 294.8 on the NSE, up 1.67 percent. Sanctions during the June quarter grew by 91.6 percent year-on-year, reaching Rs 14,097 crore. The loan book for the quarter saw a 30 percent increase from last year, standing at Rs 1.03 lakh crore. HUDCO's Net Interest Income (NII) rose by 11.7 percent year-on-year to Rs 711 crore, while net profit climbed 25 percent to Rs 558 crore.

2024-08-29 16:42

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/trading-plan-will-nifty-march-towards-25300-bank-nifty-climb-above-51500-12810142.html

Trading Plan: Will Nifty march towards 25,300, Bank Nifty climb above 51,500?

Nifty, Bank Nifty trading plan.Related stories.

The benchmark Nifty 50 recorded a fresh all-time closing high during the monthly F&O expiry session on August 29, continuing to outperform the Bank Nifty. The index maintained its upward trajectory for the 11th consecutive session, with momentum indicators sustaining a positive bias. Hence, experts anticipate the Nifty 50 moving towards 25,300 as the immediate target, followed by 25,500 in the September series, with support at the 25,000–24,950 zone. The Bank Nifty is likely to surpass 51,500 as long as it holds 51,000 as support on a closing basis. On Thursday, the Nifty 50 climbed 100 points to 25,152, while the Bank Nifty gained 9 points to close at 51,153 amid volatility. On the NSE, 1,647 shares declined, while 715 shares advanced. Nifty Outlook and Strategy Hardik Matalia, Derivative Analyst at Choice Broking Nifty 50 reached a new all-time high of 25,192.90, showing high volatility on its monthly expiry. The 25,000 level serves as strong support. Currently, the index is trading positively with a higher high and higher low formation on daily charts, indicating strength. On the higher side, resistance can be seen near the 25,200 level as per the open interest data. Investors should closely monitor these support and resistance levels for further market cues. A strong close above the 25,150 level indicates bullish sentiment and suggests the possibility of continued upward movement in the near term. Key Resistance: 25,200, 25,300 Key Support: 25,050, 24,950 Strategy: Buy on dips near the 25,050 level for a target of 25,200 and 25,300, with a stop-loss at 24,950 on a closing basis. Chandan Taparia, Head - Equity Derivatives & Technicals, Wealth Management at Motilal Oswal Financial Services The Nifty index rallied strong, gaining over 1,100 points from 24,100 to 25,200 zones. It formed a bullish candle on the daily chart and gave the highest-ever close on a daily basis. The base is gradually shifting higher. Now, it needs to continue holding above the 25,000 zone for an up move towards 25,300 and then 25,450 levels, with support seen at the 24,850 zone. India VIX is hovering near the 13–14 zones, and the overall lower base is supporting the bulls to buy at higher levels. Option data suggests a broader trading range between 24,800 and 25,600 zones, with an immediate range between 24,900 and 25,400 levels. Key Resistance: 25,300, 25,450 Key Support: 25,000, 24,850 Strategy: Buy on declines with support at 24,850 and aim for a target of 25,450. Kunal Kamble, Senior Technical Research Analyst at Bonanza Portfolio By closing above the 25,100 resistance level, the Nifty 50 indicates strong buyer dominance. With the index now trading above 25,130, there is potential for a move towards the 25,400 level. Support for the index is at 24,800. As long as the market remains above this support level, it is expected to continue trading higher. Key Resistance: 25,500, 25,800 Key Support: 25,100, 24,800 Strategy: Buy one lot of the 25,100 strike Call and sell one lot each of the 25,500 and 25,800 strike Calls. Bank Nifty - Outlook and Positioning Chandan Taparia, Head - Equity Derivatives & Technicals, Wealth Management at Motilal Oswal Financial Services The Bank Nifty index opened on a flattish note, but buying interest was seen in the first half of the session as the index headed towards the 51,350 zone. However, it failed to hold at higher levels and drifted lower towards the 51,000 level. It formed a small-bodied candle on the daily chart but remained highly volatile in the last hour of the day. Now, it needs to continue holding above the 51,000 zone for an up move towards 51,500 and then 51,750 levels, with downside support seen at 51,000 and then 50,800 zones. Key Resistance: 51,500, 51,750 Key Support: 51,000, 50,800 Strategy: Buy on declines with support at 50,500 and aim for a target of 51,500. Hardik Matalia, Derivative Analyst at Choice Broking On the downside, the Bank Nifty found support at the 51,000 level, from which it bounced back. On the upside, the index faces resistance around the 51,350–51,500 levels. If it sustains above 51,350, we could see a strong upward move towards the 51,500–51,800 levels. The overall chart structure appears positive, especially after Thursday's close above 51,150. Traders are advised to maintain a strict stop-loss while trading to manage risk effectively. Key Resistance: 51,350, 51,500 Key Support: 51,000, 50,800 Strategy: Buy on dips near the 51,000 level for a target of 51,350–51,500, with a stop-loss at 50,800 on a closing basis. Kunal Kamble, Senior Technical Research Analyst at Bonanza Portfolio The Bank Nifty is currently trading within a range of 51,400 to 50,800. The index has yet to make a decisive move and has been underperforming relative to other indices. For a significant shift, the index needs to close above 51,400 or below 50,800. Until a decisive breakout occurs, the index is expected to continue trading within this range. Key Resistance: 51,400, 51,750 Key Support: 50,800, 50,500 Strategy: Buy one lot of the 51,400 strike Call and one lot of the 50,800 strike Put.

2024-08-29 21:19

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/sebi-proposes-shareholders-of-market-infra-institutions-have-larger-say-in-pid-appointments-12809999.html

Sebi proposes shareholders of market infra institutions have larger say in PID appointments

Sebi has also suggested that the remuneration given to PIDs be raised from a maximum of Rs 12 lakh to Rs 30 lakh per annum, in a consultation paper issued on August 27..

The market regulator has proposed a new system for appointing public interest directors (PIDs) for market insfrastructure institutions (MIIs), and for compensating PIDs better. These directors are appointed to ensure that, in the pursuance of business objectives, MIIs do not lose sight of the responsibilities vested upon them as public utility infrastructure institutions. As of now, their appointment does not require the shareholders' approval. The regulator has suggested a mechanism through which shareholders of the MII will have a larger participation in the PIDs' appointment. Sebi has also suggested that the remuneration given to PIDs be raised from a maximum of Rs 12 lakh to Rs 30 lakh per annum, in a consultation paper issued on August 27. According to the paper, the Securities and Exchange Board of India (Sebi) has received feedback that, under the current regulatory regime, shareholders do not have material oversight powers with respect to the functioning of the Board of MIIs. "In case of decisions of governing board impacting shareholder wealth, shareholders, in hindsight, may feel aggrieved about not being included in the PID appointment process," stated the paper. (This is a developing story.)

2024-08-29 17:42

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/nifty-sensex-claims-record-closing-as-fmcg-auto-stocks-rally-metals-worst-hit-12809804.html

Nifty, Sensex claims record closing as FMCG, Auto stocks rally; Metals worst hit

The biggest Nifty gainers were Bajaj Finserv, Bajaj Finance, Reliance Industries, Britannia Industries and BPCL.Related stories.

Benchmark indices Nifty and Sensex ended the session on a strong note, posting record closing highs and getting rid of early jitters following Nvidia's slower-than-expected guidance on August 29. To be sure, the two rose to hit fresh record highs during the trade to extend their surge for an eleventh session in a row. At close, the Sensex was up 349.05 points or 0.43 percent at 82,134.61, and the Nifty was up 99.70 points or 0.40 percent at 25,152.00. About 1348 shares advanced, 2421 shares declined, and 95 shares unchanged. The broader market lost steam as midcap and smallcap indices tumbled by 0.3 percent and 0.6 percent, respectively, reversing their early session outperformance against the headline indices. This dip comes on the heels of a robust rally where the broader market surged nearly 28 percent year-to-date, outshining Nifty’s gains in the same period.Also read:ÂMukesh Ambani at RIL AGM: Top highlights and business updates India VIX, a barometer to assess market anxiety, fell a marginal 0.3 percent to fall just below the 14 levels. The volatility has sharply come down in the last three months by over 43 percent, Moneycontrol data showed. The refinery-to-telecom major Reliance Industries made headlines during the fag end of trade after it announced that its board will consider a 1:1 bonus share on September 5. The announcement comes ahead of the 47th annual general meeting today (August 29). With this bonus issue, the Mukesh Ambani-led conglomerate aims to reward shareholders for its strong financial performance and business expansion. Read more:ÂGovt won't interfere in Vodafone Idea's affairs, says telecom minister Scindia V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, notes that weak global cues have resulted in soft openings, creating buying opportunities in the domestic market—a trend that may persist. The market is showing resilience with steady gains, preventing sharp spikes in largecap valuations. He points out that the recent accumulation in IT stocks signals confidence that a soft landing in the US economy will lead to order execution for these companies. While the largecap segment remains stable and measured, the SME segment appears to be in a risky, euphoric phase. Among sectors, Nifty FMCG was the top gainer, rising almost 1 percent. Nifty Energy and Auto index also followed closely, rising up to 0.6 percent. Nifty IT pared partial gains to end just 0.4 percent higher. The Pharma, Metal, Healthcare, and Realty were the top laggards. The biggest Nifty gainers were Bajaj Finserv, Bajaj Finance, Reliance Industries, Britannia Industries, and BPCL, while losers included Grasim Industries, M&M, Eicher Motors, Hindalco, and Adani Enterprises. The biggest Nifty gainers were Bajaj Finserv, Bajaj Finance, Reliance Industries, Britannia Industries and BPCL, while losers included Grasim Industries, M&M, Eicher Motors, Hindalco, and Adani Enterprises.

2024-08-29 15:46

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/fiis-net-buy-shares-worth-rs-3260-crore-diis-net-buy-shares-worth-rs-2691-crore-12810098.html

FIIs net buy shares worth Rs 3,260 crore, DIIs net buy shares worth Rs 2,691 crore

FIIs and DIIs buying.Related stories.

Domestic institutional investors (DII) net bought shares worth Rs 2,691 crore while Foreign institutional investors (FII) were net buyers of shares worth Rs 3,260 crore, provisional data from NSE showed on August 29. DIIs bought Rs 19,919 crore worth of shares and sold shares worth Rs 17,228 crore. Meanwhile, FIIs purchased shares worth Rs 27,036 crore and offloaded equities worth Rs 23,777 crore during the trading session. For the year so far, FIIs have net sold shares worth Rs 1.46 lakh crore, while DIIs have bought shares worth Rs 3.12 lakh crore. Also read:Taking Stock: Market at fresh record high; RIL to consider bonus share issue Market view At close, the Sensex was up 349.05 points or 0.43 percent at 82,134.61, and the Nifty was up 99.60 points or 0.40 percent at 25,152. Biggest Nifty gainers were Bajaj Finserv, Bajaj Finance, Tata Motors, Britannia Industries, and BPCL, while losers included Grasim Industries, M&M, JSW Steel, Kotak Mahindra Bank, and Dr Reddy's Laboratories. The BSE Midcap index shed 0.3 percent while the smallcap index was down 0.7 percent. On the sectoral front, auto, oil & gas, telecom, IT, and FMCG rose 0.5-1 percent, while capital goods, pharma media, metal, and power were down 0.3-0.7 percent. Commenting on today's market, Siddhartha Khemka, Head - Research, Wealth Management at Motilal Oswal Financial Services noted that the market continued its winning streak for the 11th consecutive day. "Focus during the day remained on Reliance Industrties AGM wherein the company announced to consider 1:1 bonus along with various other strategic investments," he said. He expects this gradual uptick in the market to continue with Nifty making fresh highs day on day. "This will be supported by India’s rating being maintained globally (Rating agency Fitch affirmed India’s rating at 'BBB-' with a stable outlook) on the back of a strong medium-term growth outlook and strengthening fiscal credibility," he said.

2024-08-29 20:47

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/trade-spotlight-how-should-you-trade-britannia-itc-pfc-bajaj-finserv-wipro-sbi-and-others-on-friday-12810125.html

Trade Spotlight: How should you trade Britannia, ITC, PFC, Bajaj Finserv, Wipro, SBI, and others on Friday?

Stock Ideas.Related stories.

The benchmark indices recorded a new closing high amid a volatile session on August 29, with 1,647 shares declining and 715 shares advancing on the NSE. The record-high journey in the markets is expected to continue, but with intermittent consolidation. Below are some trading ideas for the near term: Amol Athawale, VP-Technical Research at Kotak Securities Brigade Enterprises| CMP: Rs 1,202.2 After the recent sell-off from higher levels, the downward momentum has stopped. On the weekly charts, Brigade Enterprises has found support and reversed its trend from an important retracement zone. The chart formation and the technical indicator RSI (Relative Strength Index) suggest further bullish movement from the current levels in the coming horizon. Strategy: Buy Target: Rs 1,290 Stop-Loss: Rs 1,160 Wipro| CMP: Rs 538.7 On the daily chart, after a vertical rally from the lows of Rs 450 to Rs 580, Wipro corrected and traded within a broader range for a few sessions. However, a breakout from its Inverse Head and Shoulders chart pattern, along with a close above the 10-day SMA (Simple Moving Average), is evident, indicating a new leg of an uptrend from current levels. Strategy: Buy Target: Rs 575 Stop-Loss: Rs 520 State Bank of India| CMP: Rs 814.5 State Bank of India is in an accumulation zone, trading in a rangebound mode for the past several sessions. The texture of the chart formation and the RSI indicator suggests that the counter is likely to break out from the rectangle formation, leading to a new leg of an up move in the near term. Strategy: Buy Target: Rs 870 Stop-Loss: Rs 787 Chandan Taparia, Head - Equity Derivatives & Technicals, Wealth Management at Motilal Oswal Financial Services Hindustan Petroleum Corporation| CMP: Rs 415.85 A Mat Hold Candlestick pattern has appeared with an upside break, indicating bullish sentiment in HPCL. The MACD (Moving Average Convergence Divergence) line has crossed the signal line from below, suggesting upward buying momentum. Strategy: Buy Target: Rs 440 Stop-Loss: Rs 402 Bajaj Finserv| CMP: Rs 1,755.65 Bajaj Finserv has broken out of its 5-month long consolidation zone on the upside with higher-than-average buying volumes, supporting the up move. The ADX (Average Directional Index) line is in a strong uptrend, and the positive DI (Directional Indicator) is well above the negative DI, indicating that the bullish trend has support. Strategy: Buy Target: Rs 1,830 Stop-Loss: Rs 1,714 Power Finance Corporation| CMP: Rs 554.5 A Pole and Flag pattern has appeared on the daily scale, which is a bullish continuation pattern, taking Power Finance Corporation near its all-time high price. The On-Balance Volume indicator has been making higher highs, indicating rising overall volume, which confirms the up move. Strategy: Buy Target: Rs 590 Stop-Loss: Rs 540 Mandar Bhojane, Equity Research Analyst at Choice Broking ITC| CMP: Rs 505.1 ITC is forming a rounding bottom pattern with accumulation near the breakout level, accompanied by a significant increase in trading volume. This suggests a potential breakout. If the price manages to close above the Rs 510 level, it could potentially reach short-term targets of Rs 560 and Rs 600. On the downside, immediate support is located at Rs 480, which could be considered a buying opportunity on dips. The RSI is currently at 58.37 and trending upward, indicating increasing buying momentum. Strategy: Buy Target: Rs 560, Rs 600 Stop-Loss: Rs 460 Cholamandalam Investment and Finance Company | CMP: Rs 1,455.6 Cholamandalam Investment has broken out of a rounding bottom pattern and is consolidating above the breakout level on the weekly chart. This is accompanied by a significant increase in trading volume, suggesting bullish momentum. If the price manages to close above the Rs 1,460 level, it could potentially reach short-term targets of Rs 1,600 and Rs 1,650. On the downside, immediate support is located at Rs 1,310, which could present buying opportunities on dips. The RSI is currently at 62.8 and trending upward, indicating increasing buying momentum. Strategy: Buy Target: Rs 1,600, Rs 1,650 Stop-Loss: Rs 1,250 Kunal Kamble, Senior Technical Research Analyst at Bonanza Portfolio Britannia Industries| CMP: Rs 5,831.4 Britannia has regained strength in its upward move, taking support at the 0.382 Fibonacci level. The security closed above the previous five days' closes, indicating buyer dominance. The price also found support at the 50-day EMA (Exponential Moving Average), which is expected to act as a strong support level going forward. Trading above all major EMAs further confirms the uptrend in the security. Additionally, the RSI, after a period of consolidation, has started moving upwards, supporting the bullish price action. Based on this technical setup, a long position in Britannia can be considered. Strategy: Buy Target: Rs 6,200 Stop-Loss: Rs 5,600 Whirlpool of India| CMP: Rs 2,194.8 Whirlpool has closed at an all-time high with increasing volume, indicating strong buyer interest. It is trading above both the Base Line and the Conversion Line, signaling an uptrend. Additionally, the RSI has started moving northward, supporting the bullish price action. The DI+ is above the DI-, suggesting a continuation of the uptrend, while the ADX trading above the DI- indicates strength in this upward movement. Based on this technical setup, a buying opportunity is identified. Strategy: Buy Target: Rs 2,622 Stop-Loss: Rs 1,980

2024-08-29 20:37

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/stock-radar-cdsl-iti-jai-corp-spicejet-amber-enterprises-firstcry-in-focus-on-friday-12810213.html

Stock Radar: CDSL, ITI, Jai Corp, SpiceJet, Amber Enterprises, Firstcry in focus on Friday

Stocks in the 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: Quarterly Earnings on August 30 Brainbees Solutions (Firstcry), Unicommerce Esolutions, Apis India, Omansh Enterprises, and Pearl Green Clubs and Resorts will release their quarterly earnings scorecard on August 30. Stocks To Watch Central Depository Services The Securities and Exchange Board of India (SEBI) has approved the appointment of Nehal Vora as the Managing Director & Chief Executive Officer (MD & CEO) of the company. Tata Steel The Tata Group company has acquired 13,000 equity shares (i.e., a 26% equity stake) in TP Parivart for Rs 1.3 lakh. TP Parivart is a subsidiary of Tata Power Renewable Energy. NTPC Step-down subsidiary NTPC REL has commenced commercial operations for the first part capacity of 160 MW out of the 320 MW Bhainsara solar PV project in Jaisalmer, Rajasthan. With this, the total installed and commercial capacity of the NTPC group has now reached 76,294 MW. ITI The state-owned telecom manufacturing company has secured its first electronic voting machine (EVM) order from the State Election Commission (SEC) of West Bengal for the supply of 500 sets of electronic voting machines. Shipping Corporation of India The company has received an order from the Department of Goods and Services Tax, Maharashtra, demanding tax and a penalty of Rs 160.37 crore after conducting the GST audit for FY20. The company is in the process of filing an appeal before the Joint Commissioner of State Tax. Life Insurance Corporation of India LIC has received a demand order for Goods & Services Tax, interest, and a penalty amounting to Rs 605.6 crore for Maharashtra state for FY20, due to wrong availment and short reversal of ITC and interest on late payments. Rallis India Bhaskar Bhat has ceased to be the Director & Chairman of the company, effective August 30. Lemon Tree Hotels The hotel chain has signed a License Agreement for a 72-room hotel property in Ayodhya, Uttar Pradesh. The property will be managed by its subsidiary, Carnation Hotels, and is expected to open in FY26. Jai Corp The company has received approval from the Board of Directors for the buyback of up to 29.44 lakh shares (equivalent to 1.65% of total equity) for up to Rs 177.8 crore, at a price of Rs 400 per share. The record date for the buyback has been set as September 10. Rail Vikas Nigam RVNL has signed an MoU with Patel Engineering for hydro and other infrastructure projects in India and overseas. 3M India The National Company Law Tribunal (NCLT), Bengaluru, has approved the Scheme of Amalgamation of 3M Electro & Communication India with 3M India. The appointed date of the Scheme is April 1, 2023. Expleo Solutions Shareholders of the company, at the Annual General Meeting, have approved the appointment of Shalini Kalsi Kamath as an Independent Director of the company for five years, effective June 14, 2024, and Phani Tangirala as Director of the company for three years, effective August 1, 2024. Phani has also been appointed as Managing Director and Chief Executive Officer of the company. Sugar stocks in focus The Union government has removed the cap on sugar diversion for ethanol production for ESY (Ethanol Supply Year - December to November) 2024-25. According to the notification, sugar mills and distilleries are allowed to produce ethanol from sugarcane juice/sugar syrup, B-Heavy molasses, as well as C-Heavy molasses during ESY 2024-25 as per the agreement with oil marketing companies. SpiceJet The aviation regulator Directorate General of Civil Aviation (DGCA) has placedbudgetcarrier SpiceJet under 'enhanced surveillance' with immediate effect. This would entail an increase in the number of spot checks and night surveillance to ensure the safety of operations. DGCA conducted a special audit of SpiceJet's engineering facilities in August. Bulk Deals Amber Enterprises India Foreign investor Small Cap World Fund Inc has bought a 0.55% stake in the company at an average price of Rs 4,522.45 per share. InterGlobe Aviation Promoter The Chinkerpoo Family Trust (Trustees are Shobha Gangwal and JP Morgan Trust Company of Delaware) sold a 5.24% stake in IndiGo, amounting to Rs 9,549 crore. Chinkerpoo sold 67.5 lakh shares each at an average price of Rs 4,715.76, Rs 4,714.95, and Rs 4,715.89 per share, respectively. However, Morgan Stanley Asia (Singapore) Pte bought a 0.74% stake in the aviation company at an average price of Rs 4,714.9 per share, amounting to Rs 1,345.6 crore. PB Fintech Foreign investor Tencent Cloud Europe BV sold a 2.12% stake in the company at an average price of Rs 1,719.75 per share. However, Europacific Growth Fund bought 0.54% shares at the same price. Electronics Mart India SBI Mutual Fund bought a 1.47% stake in the company at an average price of Rs 217 per share. However, Motilal Oswal Mutual Fund sold a 1.92% stake at an average price of Rs 217.04 per share. India Cements Kotak Mahindra Mutual Fund sold a 0.5% stake in the cement company at an average price of Rs 364.21 per share. Welspun Living SBI Life Insurance Company, Authum Investment & Infrastructure, and Copthall Mauritius Investment bought a 2.7% stake in the company at an average price of Rs 205.21 per share. However, promoter Welspun Group Master Trust sold a 3.91% stake in the company at the same price, amounting to Rs 781.47 crore. SME Listing on August 30 Rapid Multimodal Logistics Stocks Turn Ex-Dividend Oil India, Power Finance Corporation, Birla Precision Technologies, Cantabil Retail India, Career Point, Dai-Ichi Karkaria, Ganesh Housing Corporation, India Tourism Development Corporation, Jasch Gauging Technologies, Jindal Stainless, JTL Industries, Kajaria Ceramics, Kama Holdings, MOIL, National Fittings, Nava, NCC, POCL Enterprises, Prevest Denpro, Quick Heal Technologies, Royal Orchid Hotels, Salzer Electronics, Sarda Energy & Minerals, Shyam Metalics and Energy, Shankar Lal Rampal Dye-Chem, Suyog Telematics, TVS Srichakra, Uflex, Vijaya Diagnostic Centre, Swastik Safe Deposit Stocks Trade Ex-Date for Rights Ducon Infratechnologies, SRU Steels Stocks Trade Ex-Date for Buyback Indian Toners & Developers, Weizmann Stock Trades Ex-Date for Resolution Plan-Suspension Melstar Information Technologies Stock Trades Ex-Date for Scheme of Arrangement Tata Motors - DVR

2024-08-30 02:04

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/rils-ai-jio-brain-mukesh-ambani-tells-shareholders-how-ai-can-help-agriculture-education-healthcare-more-12809821.html

RIL’s AI Jio Brain: Mukesh Ambani tells shareholders how AI can help agriculture, education, healthcare, more

Artificial Intelligence took centre stage in Reliance Industries Chairman Mukesh Ambani’s speech at the company’s 47th AGM on 29 August..Related stories.

Artificial Intelligence took centre stage in Reliance Industries Chairman Mukesh Ambani’s speech at the company’s 47th AGM on 29 August, with him explaining how the company’s internet and telecom unit Jio is advancing the development and use of the technology. “AI has become integral to everything we do,” said Ambani in his address to shareholders.This aligns with RIL's broader goal of making AI accessible throughout India, akin to its broadband expansion, said Ambani. “We are embedding AI into all our processes and offerings, creating end-to-end workflows with real-time, data-driven insights and automation. This is helping us deliver smarter, more responsive services, to both internal users and customers,” he added. Jio is leveraging AI to enhance various aspects of its business, implementing a comprehensive suite of tools and platforms named Jio Brain. This initiative focuses on accelerating AI adoption, streamlining workflows, and improving customer service through real-time, data-driven insights. Reliance is working on making Jio Brain help other Reliance operating companies fast-track their AI journey, as well as offering it to other companies. “I anticipate that by perfecting Jio Brain within Reliance, we will create a powerful AI service platform that we can offer to other enterprises as well,” said Ambani. Further, Mukesh Ambani outlined several key use cases for AI that reflect its potential to transform various sectors: Agriculture:AI will revolutionise farming by optimising resource management, improving crop yields, and enhancing sustainability. AI tools will support precision agriculture, including accurate weather predictions and pest control, potentially bridging the rural-urban divide. Education:AI is set to personalise learning experiences, making high-quality education accessible to students across India, including remote areas. This will enable adaptive learning and prepare a future-ready workforce, positioning India as a leading supplier of skilled talent globally. Healthcare:AI will significantly enhance diagnostic accuracy and treatment efficiency, with AI-powered tools becoming as ubiquitous as smartphones. The goal is to improve health outcomes through early disease detection, personalised treatment plans, and widespread accessibility. Small Businesses:AI will empower small businesses by automating routine tasks and providing data-driven insights, facilitating growth and competitiveness. This technology will enable even small-scale entrepreneurs to compete on a global stage. RIL's commitment includes establishing gigawatt-scale AI-ready data centres powered by green energy, positioning the company to offer the world’s lowest AI inferencing costs. By partnering with global tech leaders and leveraging its infrastructure and expertise, Reliance aims to democratise AI, making advanced solutions affordable and widely accessible across India, said Ambani.

2024-08-29 15:09

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/technical-view-nifty-could-eye-25300-as-long-as-it-defends-psychological-level-of-25000-12809977.html

Technical View: Nifty could eye 25,300 as long as it defends psychological level of 25,000

Nifty Trend.Related stories.

Despite a range-bound trading session, the Nifty 50 moved closer to 25,200 on the monthly derivative contracts expiry day, August 29, ending at a fresh all-time closing high. The index has continued to form higher highs for the fourth consecutive session, with momentum indicators maintaining a positive bias—RSI (Relative Strength Index) is at 67.5, while the MACD remains positive across all major timeframes. Experts suggest that the index may continue its upward journey toward the 25,300-25,500 range, with immediate support levels at 25,000-24,950 and 24,800. The Nifty 50 hit an intraday record high of 25,192.90 and a low of 24,998.50, before closing the session at 25,152, up 100 points or 0.4 percent. This formed a bullish candlestick pattern on the daily charts, accompanied by above-average volumes. "The index has undergone a brief consolidation breakout. The RSI is in a bullish crossover, indicating strong price momentum. In the short term, the index might move towards 25,300, with support on the lower end placed at 25,000," said Rupak De, Senior Technical Analyst at LKP Securities. According to the monthly options data, the maximum Call open interest was observed at the 25,200 strike, followed by the 25,500 and 25,300 strikes. Maximum Call writing was seen at the 25,200 strike, followed by the 25,300 and 25,500 strikes. On the Put side, the 25,100 strike holds the maximum open interest, followed by the 25,000 and 25,200 strikes, with maximum writing at the 25,100 strike, followed by the 25,200 and 25,000 strikes. This options data suggests that 25,300 and 25,500 may be the next target levels for the Nifty 50, while 25,000 may serve as a support level. Bank Nifty The Bank Nifty also remained consolidative, continuing to underperform compared to the Nifty 50. The index stayed within Tuesday's trading range for another session, rising just 9 points to close at 51,153, after once again defending the 50,900 level. This formed a small-bodied bullish candlestick pattern with a long upper shadow and a minor lower shadow on the daily charts. According to Jatin Gedia, Technical Research Analyst at Sharekhan by BNP Paribas, a breach above 51,400 could lead to an upmove towards 51,900, while on the downside, 51,000 remains a crucial support zone. Volatility tested the 14 mark for the third consecutive session but failed to close above it, which is favourable for bulls. The India VIX declined by 1.16 percent to 13.79, down from 13.95.

2024-08-29 16:40

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/reliance-industries-bonus-issue-creates-positive-sentiment-for-ril-shares-analysts-see-15-upside-12809791.html

Reliance Industries bonus issue creates positive sentiment for RIL shares, analysts see 15% upside

The bonus issue announced is the first in seven years, since 2017..Related stories.

In the run-up to the Reliance Industries AGM for the year 2024, the shareholders of the oil-to-telecom conglomerate were rewarded with two pieces of 'good news': the first, the Competition Commission of India approved the Disney+ Hotstar merger with JioCinema, and second, the firm will consider a 1:1 bonus issue at a board meeting on September 5. The bonus issue will be the first since 2017, whenRILalso issued bonus shares in a 1:1 ratio. "When Reliance grows, we reward our shareholders handsomely. And when our shareholders are rewarded handsomely, Reliance grows faster and creates more value," said Mukesh Ambani, Chairman of Reliance Industries while addressing the shareholders during the 47th Annual General Meeting. Also Read|ÂReliance Industries to consider 1:1 bonus shares at September 5 board meeting, stock rises 2% Vinit Bolinjkar of Ventura Securities said, " The bonus issue is a clear indicator that the firm expects continued earnings growth and wants to reward its shareholders for their loyalty. It will be seen as positive for investors though the move may not move the needle on the firm's market-capitalisation much." Independent market analyst Ambareesh Baliga concurred, believing that the bonus issue is sentimentally positive for Reliance Industries' stock price. Additionally, while the move will boost optimism surrounding RIL's shares, it will not have any impact on the fundamentals of the overall company. "By offering a 1:1 bonus, not only do a wider base of investors get access to the stock but it also offers more liquidity in the RIL shares. The increased liquidity and potential for future value appreciation are likely to outweigh any negative impact on the share price," said Amit Goel, Co-Founder and Chief Global Strategist at Pace 360. "The bonus announced by RIL is highly accretive to shareholders. The move is expected to pave way for accelerated wealth creation for shareholders. The bonus, along with the commentary, strengthens confidence in RIL's expected growth trajectory," noted Nirav Karkera, Head of Research at Fisdom. On a technical basis, the stock is trading at a neutral make-or-break level. Vinit Bolinjkar sees the RIL counter surging to levels of Rs 3,400 per share, which is an upside of almost 15 percent from the previous close. "If Reliance Industries manages to close above Rs 3,050, we can expect further upmove. The first hurdle that the stock needs to cross is Rs 3,100, then we can expect it to scale up to Rs 3,200," said Ajit Mishra, Senior Vice President of Technical Research at Religare Broking. RIL bonus history The bonus issue announced is the first in seven years. This is only the fifth time the energy giant, which also has interests in retail and telecom has offered bonus shares. It offered 1:1 bonus shares in 1997, 2009, 2017. Prior to that, in 1983, shareholders received three shares for every five they held.

2024-08-29 15:21

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/as-pharma-crawls-back-into-spotlight-here-are-aditya-khemkas-tips-for-spotting-value-investments-12809609.html

As pharma crawls back into spotlight, here are Aditya Khemka's tips for spotting value investments

Aditya Khemka, fund manager at Incred PMS has 17 years of experience in covering the pharma and healthcare sector and currently manages a Rs 200 crore healthcare fund..Related stories.

The pharmaceuticals and healthcare sector is slowly crawling back into the spotlight as several market experts see pockets of reasonable valuations in this corner of the market. Combine that with the strong growth prospects for the various segments within the sector and one might end up finding investment options offering lucrative opportunities of strong future returns. However, the sector is highly fragmented, with companies in different sub-sectors driven by distinct growth factors and triggers that make the hunt for good investment opportunities that much harder. To tackle this, InCred PMS's fund manager Aditya Khemka, who has 17 years of experience in the sector and currently manages a Rs 200-crore healthcare fund, suggests three key parameters that investors should consider when sifting for value investment opportunities in this space. Pricing power For Khemka, the freedom to set prices is a crucial metric when evaluating companies in the pharma and healthcare space from an investment perspective. He highlights the importance of identifying companies that can set their prices independently, without being pressured by competitors. Khemka illustrates this by comparing non-branded generics—where companies lack pricing power and are vulnerable to price erosion as competition for a specific drug grows—with branded generics, diagnostics, and API (Active Pharmaceutical Ingredients) for innovators. In the latter areas, companies typically possess strong pricing power, which helps protect their margins. Steady cash flow Another sector metric chalked out by Khemka is the sustainability of cash flows. He suggests investors evaluate whether a business will continue to thrive in the future and avoid those likely to face declines. One practical tip for this analysis is to determine whether the company's revenue relies on a product or service that could lose relevance in the near to medium term. If so, these companies are at risk of inconsistent cash flows, making them more vulnerable to earnings declines and sharp stock corrections during tough times. Also read |ÂTop healthcare stocks that keep mutual funds in the pink of health Khemka uses non-branded generics in the US as an example, noting that their earnings growth, often dependent on the exclusivity and market size of certain drugs, may falter once competition intensifies, leading to unstable cash flows. Efficient capital deployment Thirdly, Khemka suggests evaluating the efficiency of capital deployment, such as improvements in return on equity or return on capital. Efficient use of capital indicates a well-managed company, according to him. He believes businesses characterised by shorter timelines from setting up capacity to pushing the product or service into the market are more vulnerable to increased competition in the future, hampering the efficiency of their capital deployment. The real challenge for businesses, Khemka says, lies in building a brand: convincing doctors to prescribe it, patients to trust its quality, pharmacists to stock it, and wholesalers to distribute it. "This process can take a decade to break even, but once you do, the business becomes a long-term success, with growth and profitability continuing to rise," he says. The key point Khemka tries to make is that investors being drawn to businesses with the promise of quick earnings growth in the next one or two quarters is a short-term mindset and is common. "When everyone piles into the same investment with the same expectation, the result is often a rush to sell once the initial gains are realised," he warns. "In investing, patience and long-term perspective are key to achieving greater rewards, similar to how building a brand and market presence takes time but leads to enduring success," Khemka adds. Also read |ÂPharma deep dive: Not the time to buy hospitals, bullish on diagnostics, says Incred’s Khemka

2024-08-29 15:48

moneycontrol.com

https://www.moneycontrol.com/news/business/stocks/bulk-deals-the-chinkerpoo-family-trust-sells-a-5-28-stake-in-indigo-12810177.html

Bulk deals : The Chinkerpoo Family Trust sells a 5.28% stake in Indigo

representative image.

The Chinkerpoo Family Trust sold a 5.28 percent stake in Indigo for an average price of Rs 4,715.76 per share via a bulk deal on August 29. Morgan Stanley Asia Singapore PTE bought 28 lakh shares or a 0.74 percent stake in Indigo for an average price of Rs 4,714.9. Tencent Cloud Europe sold 97 lakh shares in Policy Bazaar for an average price of Rs 1,719.75 per share. While Europacific fund bought 25 lakh shares in Policy Bazaar for an average price of Rs  1,719.75. Kotak Mahindra Mutual Fund sold a 0.51 percent stake in India Cements for an average price of Rs 364.21 per share. Copthall Mauritius Investment Limited bought a 1.12 percent stake in Welspun Industries for an average price of Rs 205.21. SBI Life Insurance Company bought a 1 percent stake in Welspun Industries for an average price of Rs 205.21.  Authum Invetsment and Infrastructure Limited bought a 0.58 percent stake in the company for an average price of Rs 205.21. . While, Welspun Master Trust sold a 3.92 percent stake in the company for the same price.

2024-08-29 22:19

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/stockbrokers-earn-rs-12000-crore-on-client-float-they-hold-investors-not-getting-free-lunch-sebis-ananth-narayan-12810047.html

Stockbrokers earn Rs 12,000 cr with client float, customers should be willing to pay higher fees to access markets: Sebi’s Ananth Narayan

Stockbrokers earn Rs 12,000 crore on client float they hold; investors not getting free lunch: Sebi's Ananth Narayan.Related stories.

Stockbrokers hold client funds worth around Rs 2 lakh crore on any given day and the annual implicit interest earned on the float is around Rs 12,000 crore, said Sebi whole time member Ananth Narayan on August 29. At the Global Fintech Fest in Mumbai, he said that stockbrokers are not scheduled commercial banks and hence do not have the full set of capital and other regulatory safeguards that banks have. This assumes significance the capital market watchdog, on August 28, issued a discussion paper proposing anASBA-like mechanism, a mandatory offering by the largest broking firms - Qualified Stock Brokers, in regulatory parlance. The proposals, if implemented, would take away the float money from broking firms as investors will no longer need to park money with the brokerages to trade in stocks. "From a transparency, efficiency and risk perspective, we would all be better off if the implicit broking revenues from having client load balances were to be eventually replaced fully by explicit and transparent fees in a competitive market," said Narayan while speaking at the Global Fintech Fest. The interest income is on account of broking firms placing the client funds in banks, fixed deposits, and other permitted instruments. Even if one factors in an interest rate of six percent annually, the implicit annual income for brokers is over Rs 12,000 crore, explained Narayan. He, however, added that clients should also be prepared for market driven charges and fees. "For their part, I suggest that investors should also be willing to pay reasonable, market driven and current prices for accessing capital markets in a responsible manner, knowing that there is no such thing as a free lunch," he said.

2024-08-29 18:31

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/premier-energies-ipo-gmp-share-allotment-announced-how-to-check-status-online-12810044.html

Premier Energies IPO GMP jumps; share allotment announced, how to check status online

Premier Energies IPO GMP.Related stories.

Premier Energies' IPO has garnered strong interest in the grey market ahead of listing next week, as the trading premium in the unofficial market increased significantly, may be signalling healthy listing gains. On Thursday, the IPO shares traded at around 85 percent premium over the upper price band, increasing from around 75 percent premium in the previous session, the market observers said. All the credit goes to its robust subscription numbers, positive industry outlook and healthy & improved financial performance, experts said. The Rs 2,830-crore initial public offering wassubscribed 74 timesduring three days - August 27-29, with maximum support from qualified institutional buyers. Participants bought 330.3 crore equity shares, against the offer size of 4.46 crore shares, the subscription data on the exchanges showed. Also read:ÂOver 35 fintech firms eye IPOs as ecosystem gears up for 2-3x growth: Report Qualified institutional buyers (QIBs) picked 216.67 times their reserved portion, and non-institutional investors subscribed 49.63 times the shares reserved for them, while the retail investors bid 7.11 times the reserved book, and the part set aside for employees was booked 10.43 times. In terms of value, the IPO has received nearly Rs 1.49 lakh crore worth of bids (including nearly Rs 1.2 lakh crore worth bids from the QIBs)) against the issue size of Rs 2,008.83 crore (the anchor book portion reduced from the total IPO size). Investors participated in the public issue can check their share allotment which was announced on August 30, either on theBSE,NSEorIPO registrar's portal. The participants also get messages about the allotment from their brokers. On theBSE website,1) Select issue type 'Equity' and issue name 'Premier Energies Limited'2) Enter either 'Application number' or 'PAN number'3) Check box (I am not a robot) and click on 'Search' button Also read:ÂSEBI cautions on SME IPOs, will the party continue? On theNSE website,1) After login, the PAN number already appears2) Enter symbol 'PREMIERENE' and application number3) Click on 'Get Data" On theIPO registrar's portal,1) Select Company in the dropdown 'PREMIER ENERGIES LIMITED'2) Select and accordingly enter 'Application number', or 'Demat Account', or 'PAN number'3) Enter captcha, and Click on 'Submit' button The successful investors will receive shares in their demat accounts by September 2, while the trading in its equity shares will start on the BSE and NSE effective September 3. Premier Energies that manufactures solar cell and solar module, having 29 years of experience in the solar industry, mobilised Rs 2,830.4 crore through its maiden public issue which comprised of fresh issuance of equity shares worth Rs 1,291.4 crore, and an offer-for-sale of 3.42 crore equity shares worth Rs 1,539 crore by the existing shareholders. It had already raised Rs 846 crore via anchor book on August 26, at the upper price band. The price band for the issue was Rs 427-450 per share. With operating business through five manufacturing facilities in Hyderabad, the company has annual installed manufacturing capacity of 2 GW for solar cells and 4.13 GW for solar modules, catering to several key customers including NTPC, Tata Power Solar Systems, Panasonic Life Solutions, Continuum, Shakti Pumps, First Energy, Bluepine Energies, Luminous, Hartek Solar, Green Infra Wind Energy, Madhav Infra Projects, SolarSquare Energy, and Axitec Energy India. It has an order book of Rs 5,926.6 crore as of July 2024. The solar module player is going to utilise Rs 968.6 crore out of the net fresh issue proceeds for part-financing a 4 GW solar PV TOPCon (tunnel oxide passivated contac) cell and 4 GW solar PV TOPCon module manufacturing facility in Hyderabad. The remaining fresh issue funds will be used for general corporate purposes. TOPCon is a new type of solar cell being positioned as the next PV standard. The company has seen healthy improvement in the financial performance, turning the corner in the fiscal 2024 with net profit at Rs 231.4 crore against loss of Rs 13.3 crore in the previous fiscal, backed by the strong operating, and revenue performance. Revenue during the same period increased by 120 percent on-year to Rs 3,143.8 crore in FY24, while EBITDA (earnings before interest, tax, depreciation and amortisation) for the year ended March 2024 rose sharply by 511 percent to Rs 477.8 crore with margin expanding by 970 bps to 15.2 percent compared to previous year. Net profit in the June quarter ended June FY25 saw more than 6-fold spike at Rs 198.2 crore, rising from Rs 31.3 crore in the same period of previous fiscal. Revenue grew by 171 percent on-year to Rs 1,657.4 crore during the same period. EBITDA for the June FY25 quarter at Rs 358.3 crore grew by 401.4 percent over the year-ago period, with margin rising by 990 bps to 21.6 percent YoY. Premier Energies competes with sole listed peer Websol Energy System.

2024-08-31 12:08

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/ecos-india-mobility-and-hospitality-ipo-sees-8-3-times-subscription-on-day-2-niis-play-key-role-12809843.html

Ecos India Mobility and Hospitality IPO sees 9.56 times subscription on day 2, NIIs play key role

Ecos India Mobility and Hospitality IPO.Related stories.

New Delhi-based Ecos India Mobility and Hospitality's initial public offering continued to generate strong interest at investors' desk, being subscribed 9.56 times the issue size. Investors bought 12.03 crore equity shares, compared to offer size of 1.26 crore equity shares. The chauffeur driven car rental service provider targets to mobilise Rs 601.2 crore via public issue, which comprised solely an offer-for-sale of 1.8 crore equity shares by promoters. The price band for the issue is Rs 318-334 per share. The offer remained on investors' radar from the first day of bidding when it was subscribed 3.36 times. It will close for subscription on August 30. The non-institutional investors remained at the front to boost the subscription numbers, buying 23.47 times the allotted quota, followed by retail investors who picked 8.99 times their reserved portion. However, the response remained muted from the qualified institutional buyers who subscribed just 0.10 times the part set aside for them. The anchor book of Ecos India Mobility and Hospitality, which opened for a day on August 27, had also garnered good interest from institutional investors. It mobilised Rs 180.4 crore from 14 anchor investors. Whiteoak Capital, Acacia Banyan Partners, Aditya Birla Sun Life Trustee, Invesco India, Troo Capital, Nomura Trust, ICICI Prudential Mutual Fund, Franklin India, and Motilal Oswal Mutual Fund were amongst the 14 investors. Also read:ÂSEBI cautions on SME IPOs, will the party continue? The entire net issue proceeds will go to promoters, the selling shareholders. Meaning, all the net IPO proceeds will be received by the selling shareholders - Rajesh Loomba and Aditya Loomba. Hence, the company will not receive any money from the IPO. Ecos India Mobility and Hospitality has been providing chauffeured car rentals and employee transportation services to corporate customers, including Fortune 500 companies in India, for more than 25 years. It has a pan-India presence across 109 cities through its own vehicles and vendors, operating a fleet of more than 12,000 economy to luxury cars, mini vans and luxury coaches. Also read:ÂOver 35 fintech firms eye IPOs as ecosystem gears up for 2-3x growth: Report

2024-08-29 17:32

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/jio-will-capture-lions-share-of-growing-5g-market-says-ril-chairman-mukesh-ambani-12809863.html

Jio will capture lion's share of growing 5G market, says RIL chairman Mukesh Ambani

Reliance Industries Chairman Mukesh Ambani said on 29 August that Jio telecom is poised to capture the lion’s share of the expanding 5G market..Related stories.

Reliance Industries Chairman Mukesh Ambani said on 29 August that Jio telecom is poised to capture the lion’s share of the expanding 5G market. In his address to shareholders at the company’s 47th AGM, Ambani asserted the adoption on Jio’s network would rise with smartphones becoming more affordable. “Today, nearly all smartphones over Rs 8,000 sold in India are 5G-ready. As 5G phones become more affordable, 5G adoption on Jio's network will accelerate, further boosting data consumption,” said Ambani, adding: “With Jio's lead in 5G coverage, capacity, and quality, we expect to capture the lion's share of the accelerating 5G adoption.” The RIL chairman announced the completion of the pan-India rollout of Jio True 5G, marking it as the largest and fastest 5G deployment worldwide. Jio now operates over 85 percent of the 5G radio cells in India, offering extensive coverage and high-quality network performance. Jio True 5G has achieved the fastest adoption rate globally, with over 130 million customers joining the network within two years. Jio is among the first globally to fully harness the power of 5G, thanks to its advanced 5G Standalone Architecture, Carrier Aggregation, and Network Slicing technologies, said Ambani. Moreover, with the shift to 5G, Jio’s expanding 4G network capacity will enable the integration of over 200 million 2G users. The JioBharat initiative, offering entry-level 4G phones at prices lower than 2G phones, aims to facilitate this transition. “Nearly half of the 2G users upgrading their devices are choosing JioBharat, reflecting the unmatched value of our offerings,” Ambani said. Further, in the home broadband segment, “We are now challenging ourselves to add a million homes every 30 days,” Ambani said. He expressed confidence in reaching a target of 100 million home broadband customers at record speeds.

2024-08-29 15:39

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/fo-consultation-paper-received-6000-responses-sebi-chief-madhabi-puri-buch-12809818.html

F&O consultation paper received 6,000 responses: Sebi chief Madhabi Puri Buch

F&O consultation paper received 6,000 responses: Sebi chief Madhabi Puri Buch.Related stories.

The Securities and Exchange Board of India (Sebi) consultation paper on curbing volumes in futures and options segment has received 6,000 responses from market participants, said Sebi chairpersonMadhabi Puri Buchon Augusy 29. “If we were to process all the 6,000 comments manually, we would have died,” said Buch at the Global Fintech Fest held in Mumbai. While speaking about the use of technology by regulator, Buch said that participants often ask the regulator how they come out with a consultation paper every third other day. “The way in which the feedback on the consultation paper is processed is fully automated,” said Buch. She further said, “So, the day the consultation period ends, we only have to apply our mind to agree, disagree, partly agree to change the proposal.” This adoption of technology has allowed us to do extensive consultation, she added. The Working Committee on Futures and Options had proposed tighter F&O regulations to boost market stability and protect small investors. The consultation paper had suggested reducing weekly option contracts. Currently, there are index-based contracts that expire every day. The regulator is proposing to allow weekly contracts of only one index per exchange. The consultation paper had also suggested increasing the contract size by multiple times, to make it harder for retail investors to participate in it. Currently, the minimum size required for the contract is Rs 5 lakh to Rs 10 lakh, which was set in 2019. It was proposed to increase it to Rs 15-20 lakh in the first phase, and then Rs 23-30 lakh in the second phase. It was also proposed to mandate upfront collection of 100 percent margin for trades. There is no explicit stipulation that option premiums (or price of options) have to be paid collected upfront. Other proposals included fewer strike prices, upfront collection of option premiums from option buyers, intra-day monitoring of position limits.

2024-08-29 14:57

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/sebi-moots-restricting-corporates-registered-outside-of-india-from-working-as-merchant-bankers-12809847.html

Sebi moots restricting corporates registered outside of India from working as merchant bankers

Sebi moots restricting corporates registered outside of India from working as merchant bankers.Related stories.

Entities incorporated outside of India, except banks registered with the Reserve Bank of India (RBIs), and those that are one-person companies (OPCs) may not be allowed to register as a merchant banker soon. In a consultation paper released on August 28, the Securities and Exchange Board of India (Sebi) has issued proposals to overhaul the Sebi (Merchant Bankers) Regulations. One of the suggestions is to review the legal structures that can be permitted to register as merchant bankers (MBs). Currently, the regulation allows body corporates incorporated outside India to register as an MB. But this poses a challenge in terms of supervision and enforcement, since the entity is incorporated outside India. Also read:ÂMerchant bankers may soon need to earn a minimum amount from IPO-related activities; Sebi suggests overhaul of regulations Hence, the paper suggests that the sub regulation to be modified to register to body corporate incorporated in India with an exception to foreign banks registered with RBI to undertake financial business in India. Also, the paper stated, The Companies (Incorporation) Rules 2014 does not allow one-person companies (OPCs) to carry out non-banking financial investment activities including investment in securities of any body corporate. The paper said, "Merchant Bankers are permitted to enter into underwriting arrangements in accordance with applicable SEBI Regulations. Merchant Bankers engaged in lead managing SME issues are required to underwrite at least fifteen percent on own account". Therefore, the regulator has said that it may not be appropriate to permit OPCs to function as an MB. The other suggestions in the consultation paper include asking an MB to make a minimum amount from public issue related work, restricting permitted activities, increasing networth criteria and including a minimum liquid networth. A merchant banker may be mandated to earn a minimum amount of their revenue, of Rs 5 crore for smaller entities and Rs 25 crore for bigger ones, from public issue related activities.

2024-08-29 15:46

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/taking-stock-market-at-fresh-record-high-ril-to-consider-bonus-share-issue-12809772.html

Taking Stock: Market at fresh record high; RIL to consider bonus share issue

Market Today.Related stories.

Indian benchmark indices extended the previous session's gains to end at fresh record high on August 29, led by heavyweights including Reliance Industries after the company announcedto consider bonus share issueon September 5. At close, the Sensex was up 349.05 points or 0.43 percent at 82,134.61, and the Nifty was up 99.60 points or 0.40 percent at 25,152. Biggest Nifty gainers were Bajaj Finserv, Bajaj Finance, Tata Motors, Britannia Industries and BPCL, while losers included Grasim Industries, M&M, JSW Steel, Kotak Mahindra Bank, and Dr Reddy's Laboratories. BSE Midcap index shed 0.3 percent and Smallcap index was down 0.7 percent. On the sectoral front, auto, oil & gas, telecom, IT and FMCG rose 0.5-1 percent, while capital goods, pharma media, metal, power were down 0.3-0.7 percent. Also Read-Reliance Industries bonus issue sentimentally positive for RIL shares, analysts see 15% upside Nearly 300 stocks touched their 52-high on the BSE, including, Bajaj Finserv, Bharti Airtel, Sun Pharma, Whirlpool, HPCL, L&T Technology, Persistent Systems, Godrej Industries, Oil India, Voltas, Colgate Palmolive, Alkem Lab, Abbott India, Pokarna, Genesys International, Gokul Agro, Ram Ratna Wires, Gujarat State Petro, PNB Housing Finance, Concord Biotech, Godfrey Phillip, Genus Power, among others.Click to view full list Outlook for August 30 Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas Nifty opened on a flat note and witnessed a volatile day of trade today. It closed the day on a positive note up ~100 points. On the daily charts we can observe that the Nifty has been inching higher on account of sector rotation. We expect the momentum to continue towards 25250. On the downside crucial support zone is placed at 25000 – 24970. Divergence among the daily and hourly time frame momentum indicator can lead to some more range-bound price action. The Bank Nifty traded within the range of the previous couple of trading sessions. A breach above 51400 can lead to an upmove towards 51900 and on the downside 51000 remains a crucial support zone. Overall, until we get decisive evidence of a trend reversal we shall continue to ride the upmove. Aditya Gaggar Director of Progressive Shares Indian equities witnessed a stereotypical expiry in today's trade. During the day, Index was swinging on either sides and finally ended the session higher at 25,151.95 with gains of 99.60 points. FMCG and Energy were the day's top performers while Metal corrected the most. After a stellar rally, the Pharma segment witnessed a minor pause in the form of profit booking.Broader markets underperformed the Frontline Index as Mid and Smallcaps corrected over 0.40% each. With a strong bullish candle, the Index has given a convincing close above 25,100 which portrays continuation of the move and the next potential target comes at 25,370 while the downside seems to be protected at 25,000.

2024-08-29 15:53

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/jainam-brokings-aps-found-to-be-using-wealth-advisory-in-names-sebi-fines-rs-6-lakh-12810059.html

Jainam Broking's APs found to be using 'wealth', 'advisory' in names; Sebi fines Rs 6 lakh

The other violations included the APs now keeping sufficient records of clients placing the orders executed in their names and APs' terminals being operated by unapproved third parties..Related stories.

Jainam Broking has been fined Rs 6 lakh for various violations done by their authorised persons (APs), including the latter using non-permissable words such as wealth advisory or investment advisory in their names, and the brokerage's poor monitoring of the APs' practices. In an order issued on August 29, the Securities and Exchange Board of India (Sebi) has said that, out of a same of 742 APs, eight APs were found to be using non-permissable words. The other violations included the APs now keeping sufficient records of clients placing the orders executed in their names, APs' terminals being operated by unapproved third parties, APs' terminals being placed in unapproved locations, one AP not operating from a location reported by the brokerage to the exchanges and irregularities in the office management of four APs. Also read:ÂMerchant bankers may soon need to earn a minimum amount from IPO-related activities; Sebi suggests overhaul of regulations The order noted, "it is the duty and obligation of the Noticee (Jainam) to ensure that all APs registered with it should abide by all applicable laws The non-adherence on the part of the Noticee to the extant Regulations, Circulars, etc. as brought out in the preceding paragraphs, clearly shows that the Noticee has failed to act with skill, care, and diligence in supervising its APs and to ensure that APs are in adherence to the applicable laws. The order also noted that, once it was brought to the brokerage's attention, some corrective measures were taken by Jainam such as cancelling the registration of APs who have not changed their names according to Sebi's directives, reporting the new location from where two APs were operating, ensuring that the notice board of tbe brokerage was displayed at the location of APs and so on. These corrective measures were taken into consideration while deciding the penalty. Two years to correct a board? On one of the violations, on the irregularities in the office management of its APs, which included the AP not displaying a board carrying the details of the brokerage it was aligned to, Jainam submitted that the notice board was missing because it had been sent to the vendor for correcting the name. But Sebi's investigating officials noted that details available on the Ministry of Corporate Affairs (MCA) showed that the brokerage's name was changed in September 20, 2021, and then on November 9, 2021. The regulator's inspection of the AP's premises was done two years later, on November 7, 2023, and November 8, 2023. That is, two years had passed since the name change and the inspection. Therefore, Sebi's officials found Jainam's claim that the old board was sent to the vendor for modification "an afterthought". The order also noted that this rationale was not put forward by the APs themselves when the inspection was being done. Given all this, they did not find that the brokerage's submission in this regard could be accepted.

2024-08-29 18:38

moneycontrol.com

https://www.moneycontrol.com/news/business/jyotiraditya-scindia-telecom-minister-tariff-5g-india-stack-12810054.html

MC Interview | For telcos to make capex, they must generate returns: Jyotiraditya Scindia on tariff hikes

Union Minister Jyotiraditya Scindia.Related stories.

Jyotiraditya Scindia, Union Minister for Communications and Development of the North Eastern Region, believes India's telecom sector has enough players when compared with other major markets of the world, and the cheapest mobile data and call rates in the world. However, to expect players to commit to capex in the sector, there shall have to be the promise of returns, he added. In an exclusive conversation withMoneycontrol, Scindia said that while telcos are implementing higher tariff, the hike has been miniscule compared to historic highs seen by the sector in the past. The Minister toldMoneycontrol'sManaging Editor Nalin Mehta along with Shweta Punj in this exclusive conversation, that the Made in India 4G Stack can emerge as a global alternative to what Chinese players are providing. Here's the edited excerpt ofMoneycontrol'sinteraction with the Union Communication Minister. Nalin Mehta:ÂWe are delighted to be joined today by the Minister for Communications and North-East, also a leading light of the Modi cabinet, and an MP from Guna - Mr Jyotiraditya Scindia. Sir, thank you very much for taking the time. In this tenure as Minister, you’ve talked about the goal of Bharat as a telecom superpower. You’ve met with the stakeholders recently, set up committees. Tell us a little bit about what your vision for the Ministry is now, and for telecom sector? What kind of targets you've set and what kind of reforms can we expect? Also Read:The India Stack an alternative to Chinese tech? Jyotiraditya Scindia:ÂLet me start by saying that telecom is an integral part of any country's growth potential today in the world. Telecom is not no longer only a means of communication, but it's a means of education. It's a means of garnering information, and information equals knowledge, equals IP, equals innovation, equals success. Therefore, telecom has become an integral part of, as I mentioned, any country’s growth story. India has leapfrogged to that extent in the last decade under Prime Minister Narendra Modi’s leadership, whether you look at mobile connectivity, where penetration has grown to close to 85% with 116 crore mobile subscribers, whether you look at internet connectivity which has grown from a low base of 20 crore to almost 95 crore, with 67% penetration rate. At the same time, the economies of scale argument has come into place where, when revenues rise and cost of service falls. If you look at telecom rates, which were roughly at 0.51 paise per minute in 2014, today it is 0.03 paise per minute. So, it has got slashed by 96%. The same holds good for internet connectivity, where 1 GB of internet connectivity used to cost Rs 287, it now costs Rs 9, down by 94%. Having said that, I think it's important for India to ensure a couple of things. First, the Prime Minister's imperative that we need to be atmanirbhar, if indeed we are going to translate our goal of Viksit Bharat into reality, then India must be atmanirbhar, i.e. must produce its own equipment and technology. Therefore this insistence, at least with the government-owned telecom service provider - the BSNL. We have now got our own 4G technology –the third country in the world to have its own 4G stack. Which means, not only the core, but also the Radio Access Network (RAN), along with BTSes (base transceiver station), combined with data centers is in the process of being rolled today for BSNL. And it's’ been a Herculean effort. I must commend all the organizations that have worked together with one goal, one vision and one plan to make that happen. The technology and the Proof of Concept has been proven, we are now moving ahead. TCS along with C-DOT and Tejas and BSNL are working together in a project management unit to roll that out. We have a target of rolling out one lakh BTS (base transceiver station) towers over the next six months to a year, to be able to have 4G penetration. So, that is one of the very key goals. The second is 4G saturation. In our country, we need to ensure that the access to information goes down to the last village, and that too has been the prime minister's imperative. Whatever we do, we must do with saturation. And so there are 52,000-odd towers that still need to be erected across 10,000 villages in India. This is not limited to the government company, it's across all TSPs. All four TSPs are working assiduously at that, something that I'm monitoring on a daily basis. Along with that is the PLI. It's important for India to become – we are already the mobile phone manufacturer of the world, but I think it's important to also become telecom equipment manufacturer of the world. And for that, we launched the PLI scheme which is paying rich dividends. We need to ensure proliferation and greater adoption of that happens, both in terms of equipment manufacturing and equipment R&D. So, that would also be one of the things that I would look at, as an imperative. Finally, the Telecommunication Act was passed by Parliament last December. We have put it through the Gazette notification route this June, which gives us a window of 180 days to make sure that all the rules are out there, 23 sections and 35 rules that need to be pushed out, and we are monitoring that. I am also responsible, most importantly, to my customers, and the Telecom Ministry must make sure that we have quality of service in place for customers, i.e., no call drops, no intermittent issues with regard to communication on mobile phones, as well as to reduce the number of spam calls and fraud calls. TRAI has already passed a regulation to that effect in the last days 15-20 days, and we must see execution of that. Also Read:ÂGovt won't interfere in Vodafone Idea's affairs, says Telecom Minister Scindia Shweta Punj:Mr. Scindia, you have a daunting task. As you mentioned that you are answerable to the customers of India. We have seen telecom market shrink substantially. From a whole host of players, we’re now down to three big players. Is that a situation you’re comfortable with, because ultimately consumers must have choice. You also mentioned about telecom tariffs which are low, but we have seen tariff hikes come in recently. Jyotiraditya Scindia:ÂThank you for your question, Shweta. But I think it's important thatMoneycontrolalso does deep dive in terms of what has happened already, prior to looking at what's happening in the Indian market. We have four players in the Indian market today, and if you look at any country in the world today, I would dare say that no country in the world has more than 2-3 players. So, we are very comfortably placed in terms of the number of players. We have got to look at how the global industry telecom is working when we look at the perspective of how Indian industry is working. The answer to your first question is we have enough players in India. Four players is a decent number of players compared to what the world is looking like, on a country wide-basis. Your second question is with regard to tariffs. There are three or four things that are at play here. If you compare the rate of a package in India, which, if you look at 70 SMSes, 2GB of data, plus a number of calls, then India is priced at roughly about $1.89 for that package. The US is priced at $40, developed countries somewhere between $12 to $35, while developing countries are priced upwards of $9. So, suffice to say that we are the cheapest in the world. In the last 10 years, tariff for voice calls have fallen by 97%, from 0.53 paise to 0.03 paise. Data costs have fallen by 94%, Rs 287 per GB to Rs 9 per GB. So, you have a declining cost structure for consumers over a decadal period. On the other side, you had the fastest rollout of 5G in the world happening in India. Started in October ’22, and in 21 months we’ve rolled out for 5G across the country. You've got 4.5 lakh BTSes that have been set up for 5G. What does that mean? That means that telcos have gone through a capex plan of Rs 4.26 lakh crore over the last two years. The last tariff hike was three years ago, right? This year there has been an 11% tariff hike. What does that mean? That means that your cost per minute has gone up from 0.03 paise to 0.033 paise. Your data cost has gone up from Rs 9 per GB to Rs 9.9 per GB, when it used to be Rs 287 per GB. So, if we are expecting companies, whether government or private sector, putting in that amount of capex, there has to be a return for it. You've seen declining costs over a decadal period, and the last tariff being imposed three years ago - prior to 5G being rolled out - and a Rs 4.26 lakh crore capex cost. Being Moneycontrol, I'm sure you understand the economics of that argument. Also Read:ÂIndia's telecom tech to provide alternative option to world: Scindia Nalin Mehta:On the first point you have made about the India stack, a number of countries must be in touch with India to use some of this indigenous technology. How do you see that happening, and also do you see this India Stack as an alternative to the Chinese technologies around the world? Jyotiraditya Scindia:Absolutely. I think if we successfully roll this out - and I would wait until mid of next year - we've got 22,000 towers that have already been put up. Our core network is working across all four centers, and our data centers are up and running. So, we already have live customers on 4G as we speak. It's no longer a proof of concept, it's actually in execution as we speak. And, when we roll out our one lakh BTSes, then I'm very, very confident that this is going to be an alternative technology. There are only three countries in the world that have this technology, and India is going to be one of them. Let me also add, in terms of the question that you’ve not raised, that the movement from a 4G to a 5G technology is only going to be incremental from this 4G technology. The 4G core can be used for 5G as well. The only change that you’ll probably need to bring about is adding a couple of BTSSs on to the towers. So it's going to be just incremental and a not a monumental change to switch from 4G to 5G. However, we'd like to first make sure that 4G is stable and running well. Shweta Punj:We recently had the 5G spectrum auctions and the response was not as encouraging as one would have hoped. Any analysis on what really happened? And since this is the last question, we also want to get a sense from you on BSNL and Vodafone Idea. Jyotiraditya Scindia:ÂLet me take the first question. I think the auction was tremendously successful, let me explain why. We had eight bands of spectrum that were put out, and we had auction bids came in for four bands of spectrum. Please do also understand that this is on the back of very large spectrum auction that took place in 2022-23 where we sold spectrum worth almost Rs 1.5 lakh crore, and that was for 4G, 5G technology. So this round of auction was mainly for those whose spectrum was expiring and they required more spectrum. The 5G bids that went in mainly were for 3300 Megahertz to 26 Gigahertz spectrum, which were taken up last time. Of the total 10,500 Megahertz that we put up for auction, this time, across the eight bands, close to about 9,900 Megahertz was in the 26 Gigahertz and 3,000 Megahertz spectrum which is for 5G. So, actually, what you're putting up for auction was only 531 Megahertz, and we sold 141 of that. So, we almost sold close to 30-35% of what we put up for auction, and we garnered Rs 10,000 crore out of that. Let me give you the breakup. The renewal part of the spectrum across the major players was about 40-45% of that 141 Megahertz that got sold, and the balance 60% was for additional spectrum that they took to service their needs on those spectrum bands which were different from the 5G spectrum bands. So, it was a very successful auction, I would say. Regarding Vodafone Idea, it has got its own professional management. Therefore, what happens in the financial and operational workings of a company is their business and not our business as a ministry. As far as BSNL is concerned, we are EBITDA positive. We would like to see the rollout of 4G. Number one, good execution. Number two, quality of service and customer satisfaction ratings increasing for our customers. And if you're able to do both of those, profits will accrue from that time. Please remember that in life, your notion and your thinking should never be bottom line alone, it should be satisfaction of customers. If you're going to satisfy the customers, the bottom line will come. That's theory number one of business. Our concentration right now is to execute 4G. Nalin Mehta:And finally, as a stakeholder in Vodafone Idea, any thoughts on increasing or decreasing the stake? Jyotiraditya Scindia:As I mentioned, it is the management of the company that has to decide what practice to follow. We would like a competitive telecom sector and the Ministry of Telecom would like, at the end of the day, the best quality service and choice to customers. You can watch the entire video of this exclusive interviewÂright here. Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

2024-08-31 14:32

moneycontrol.com

https://www.moneycontrol.com/news/business/ipo/baazar-style-retail-mobilises-rs-250-crore-via-anchor-book-ipo-subscription-to-start-on-august-30-12810189.html

Baazar Style Retail mobilises Rs 250 crore via anchor book, IPO subscription to start on August 30

Baazar Style Retail IPO.Related stories.

Kolkata-based fashion retailerBaazar Style Retailhas raised Rs 250.1 crore from 22 anchor investors on August 29. This fund raising is ahead of the initial public offering. Global marquee investors participated in the anchor book included HSBC Global Investment Funds, Natixis International Funds, Optimix Wholesale Global Emerging Markets Share Trust, Allianz Global Investors Fund, and Societe Generale. The company in its filing to exchanges on August 29 said it has finalised allocation of 64,29,372 equity shares to anchor investors at a price of Rs 389 per equity share. HDFC Mutual Fund, Ashoka India Equity Investment Trust Plc, Whiteoak Capital, Volrado Venture Partners Fund, Bandhan Mutual Fund, Motilal Oswal Mutual Fund, Bajaj Allianz Life Insurance Company, SBI General Insurance Company, Helios Flexi Cap Fund, Trust Mutual Fund, Julius Baer India Equity Fund, Reliance General Insurance Company, and Verition Multi-Strategy Master Fund were other investors in the anchor book. Also read:ÂPremier Energies IPO GMP jumps; share allotment by Friday, how to check status online "Out of the total allocation of 64,29,372 equity shares to the anchor investors, 22,76,390 equity shares were allocated to 8 domestic mutual funds through a total of 13 schemes," the company said. Incorporated in June 2013, Baazar Style Retail that operates in West Bengal and Odisha aims to raise Rs 834.68 crore through its maiden public issue at the upper price band. The IPO is a combination of a fresh issue of Rs 148 crore, and an offer-for-sale of 1.76 crore equity shares worth Rs 686.68 crore. The price band for the public issue, which will open for subscription on August 30, has been fixed at Rs 370-389 per share. The IPO will close on September 3. Also read:ÂSEBI cautions on SME IPOs, will the party continue? The value fashion retailer with a market share of 3.03 percent and 2.22 percent in the organised value retail market in West Bengal and Odisha, respectively, will utilise net fresh issue proceeds for repaying debt, and general corporate purposes. Post IPO, the debt burden of the company is likely to reduce significantly. The company has reserved half of the IPO size for qualified institutional buyers, 15 percent for non-institutional investors, and the remainder 35 percent for retail investors. Rs 1 crore worth shares are also reserved for its employees and the company will allot these shares to employees at a discount of 35 per share. Axis Capital, Intensive Fiscal Services, and JM Financial are the merchant bankers to the issue, while Link Intime India is acting as the registrar to the offer.

2024-08-29 23:03

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/bajaj-finance-bajaj-twins-leap-3-amid-buzz-of-upcoming-bajaj-housing-ipo-12809550.html

Bajaj Finance, Bajaj Finserv leap 3% amid buzz of upcoming Bajaj Housing IPO

The public issue will have Rs 4,000 crore fresh issue and Rs 3,000 crore offer-for-sale..Related stories.

Shares of Bajaj Twins - Bajaj Finance, Bajaj Finserv surged up to 3 percent on August 29 as reports suggested that Bajaj Housing Finance may launch its initial public offering (IPO) as soon as first half of September 2024. The company will mop up Rs 7,000 crore from this issue. The IPO will have a special quota for shareholders of Bajaj Finserv and Bajaj Finance, both of whom are classified as ‘promoters.’ Bajaj Finance has a 100 percent stake in Bajaj Housing, while Bajaj Finserv holds 51.34 percent in Bajaj Finance. The public issue will have Rs 4,000 crore fresh issue and Rs 3,000 crore offer-for-sale. Following this, the IPO would be listed on both BSE and NSE. Despite the company not announcing the price band yet, Bajaj Housing Finance is already commanding a grey market premium of Rs 41 in unlisted markets. ALSO READ:ÂSEBI greenlights Bajaj Housing, Baazar Style, Diffusion, Deepak, Manba IPOs Earlier in June, Bajaj Housing Finance filed its draft red herring prospectus (DRHP) for Rs 7,000-crore IPO with Sebi. It had to comply with rules of the Reserve Bank of India that entailed listing of upper-layer non-banking finance companies on stock markets by September 2025. Kotak Mahindra Capital, BofA Securities India, Axis Capital, Goldman Sachs (India) Securities, SBI Capital Markets, JM Financial, and IIFL Securities are the book-running lead managers. KFin Technologies was the registrar to the issue. Bajaj Housing will utilise the net proceeds from the fresh issue to augment its capital base to meet future business requirements. A portion of the proceeds from the fresh issue will be used towards meeting offer expenses. Bajaj Housing Finance is a diversified NBFC catering to more than 76.5 million customers across the country, according to its website. Based in Pune, it offers finance to individuals as well as corporate entities for the purchase and renovation of homes or commercial spaces. As of March 2024, the company’s assets under management (AUM) stood at Rs 9.14 lakh crore, growing at an annualised rate of 30.9 percent between FY22 and FY24. Its average ticket size for home loans is Rs 46 lakh, with an average loan-to-value ratio of 70.5 percent, as of March 31.

2024-08-29 16:40

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/bank-nifty-september-rollover-lower-than-3-month-average-underperformance-may-continue-in-new-series-12809673.html

Bank Nifty September rollover lower than 3-month average; underperformance may continue in new series

Stock market trend.Related stories.

Benchmark Indian equity indices were trading flat on 29 August amid ongoing market volatility. Nifty was trading at 24,088 in the afternoon, near its all-time high hit in the previous day’s trading. Bank Nifty was up 100 points or 0.21 percent at 51,249. Bank Nifty's final rollover data for the previous day shows a rollover rate of 68 percent, which is lower than the three-month average of 72 percent. The September 2024 series begins with 2.23 million shares, down from 2.41 million shares in the previous series. According to Soni Patnaik, Assistant Vice President of Derivative Research at JM Financial, “Bank Nifty starts the September 2024 series with highest open interest at the 51,000 Put Option with 94,000 contracts; and at the 51,500 Call option with 112,000 contracts.” Patnaik further noted, “A weekly close above 51,300 for Bank Nifty is crucial to confirm a potential test of the 52,000 level. Any break below the 51,000 mark on a weekly closing would signal weakness for the series. Bank Nifty may continue to underperform in the September series.” Nifty rollover analysis For the Nifty 50, with the monthly expiry due today, the rollovers stand at 62 percent, with a rollover cost of 0.5 percent. This is significantly higher than 49 percent at the same time in the previous series. “As of yesterday, long positions have been taken in Nifty based on rollover data. The 25,000 level is forming a base for the September series, followed by crucial support at 24,800,” said Patnaik. Patnaik also pointed out that the next resistance levels for Nifty are around 25,250, followed by 25,400. The final rollover summary later today is expected to provide a clearer picture of the September series. Foreign Institutional Investors (FIIs) positioning Foreign Institutional Investors maintain a range-bound outlook for the indices, with a slightly negative bias for Futures and Options (FnO) stocks. The Long-Short Ratio stands at 62 percent to 38 percent, with the India Volatility Index (VIX) at 13.95.

2024-08-29 13:12

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/genus-power-locks-5-upper-circuit-hits-record-high-on-bagging-rs-4469-crore-order-12809533.html

Genus Power locks 5% upper circuit, hits record high on bagging Rs 4,469 crore order

So far this year, Genus Power shares have more than doubled, up 100 percent.Related stories.

Shares ofGenus Powersurged to a new all-time high of Rs 466 each on August 29, hitting the 5 percent upper circuit limit. This remarkable gain came after the company announced its arm secured new orders worth Rs 4,469 crore. With these new contracts, the company’s total order book now stands at a robust Rs 32,500 crore. Trading activity was exceptionally high on this day, with around 2.5 million equity shares changing hands on both the BSE and NSE. This volume was significantly higher than the 0.7 million shares traded during the previous session. So far this year, Genus Power shares have more than doubled, up 100 percent, surpassing the benchmark Nifty 50 index's 15 percent rise. Catch all the market action on our LIVE blog Genus Power said that its wholly-owned subsidiary had received a letter of award valued at Rs 4,469 crore. This order is for the appointment of advanced metering infrastructure service providers, covering the design, supply, installation, commissioning, and management of about 5.59 million smart prepaid meters, including distribution transformer (DT) meters with energy accounting. The contract will be executed on a Design-Build-Finance-Own-Operate-Transfer (DBFOOT) basis. In recent weeks, the company has secured three major contracts, totaling Rs 11,003.08 crore. This includes orders worth Rs 2,925.52 crore and Rs 3,608.52 crore awarded in the third week of August, in addition to the new Rs 4,469.04 crore order. Genus Power is one of India's leading providers of electricity metering solutions, commanding approximately 27 percent of the market. The company is a leader in various types of meters and has developed advanced smart metering solutions, with an installed capacity of over 10 million meters. Key clients include major state electricity boards (SEBs) and private utilities. Beyond these developments, the company’s management remains optimistic about reaching its revenue target of approximately Rs 2,500 crore for FY25. They also expect to achieve an earnings before interest, tax, depreciation, and amortization (EBITDA) margin of 15-16 percent. "This positive outlook is driven by our strong order book, enhanced operational efficiencies, and the expected increase in smart meter installations," the management stated.

2024-08-29 11:53

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/hcl-techs-growth-ai-plans-drive-optimism-brokerages-raise-target-prices-12809485.html

HCL Tech's growth, AI plans drive optimism, brokerages raise target prices

Demand for chip design is strong and HCLTech’s chip-to-cloud offerings position it well to capture semiconductor demand..Related stories.

Brokerages raise target prices on HCL Technologies after the management discussed the firm's strategic initiatives to boost growth during its Investor's Day. The firm's leaders shared the IT player's focus areas for growth in the medium term, cost take-out levers to fund investments and expand margins along with its proactive gen AI adoption to increase market share. At 10.20 am, HCL Technology shares were quoting Rs 1,745 on the NSE, higher by 1.5 percent compared to the previous close. Follow our market blog to catch all the updates HCL Tech is poised to see growth in key areas, as per its Investor's Day conference:Expansion in the Data and AI markets, driven by rising demand for enterprise business applications and cloud-native solutions.Digital engineering opportunities across sectors like telecom, semiconductors, and automotive, with the ER&D market projected to reach $170 billion by 2027, growing 8-9 percent annually.Growth in cybersecurity services, fueled by demand for cloud migration and comprehensive security solutions.Demand for chip design is strong and HCLTech’s chip-to-cloud offerings position it well to capture semiconductor demand. However, services spending in hyper-scalers is currently weak(owing to capex on data centers and GPUs). "We believe this could lead to short-term volatility in ER&D revenues, which, if managed well, could position HCL Tech as a growth leader among large-caps over the medium term," said domestic brokerage Motilal Oswal. The brokerage reiterated its buy rating, with a price target of Rs 2,000 per share. "We believe that HCL Technologies can deliver consistent industry-matching or leading growth, aided by a balanced portfolio of services and strength in cost takeout deals. Gen AI moves are ambitious but in the infancy stage—we await more clarity on how the technology evolves and how HCLTech’s initiatives fare to form a clear view", said Kotak Institutional Equities. The brokerage retained its add rating, but decided to bump up its target price to Rs 1,740 per share, up from Rs 1,675 apiece.

2024-08-29 10:47

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/option-strategy-of-the-day-breakout-in-bajaj-finserv-bull-call-spread-recommended-12809716.html

Option strategy of the day| Breakout in Bajaj Finserv; Bull call spread recommended

Stock market trend.Related stories.

Bajaj Finserv Ltd shares have broken out of a symmetrical triangle pattern on the weekly chart and are now trading above their short- and long-term moving averages. Sudeep Shah, Deputy Vice President and Head of Derivative and Technical Research at JM Financial, believes this breakout is confirmed by volumes above the 50-week average. "For the September expiry, a significant concentration of call open interest is evident at the 1,800 strikes," he noted. To capitalize on the upward momentum, Shah recommends a Bull Call Spread strategy: Recommended Spread: Bajaj Finserv Spread Trade: (Bull Spread - 26th September Expiry)Buy 1,760 CE at CMP 52Sell 1,780 CE at CMP 44Net Outflow: 8 pointsDate of Initiation: 29th AugustDate of Expiry: 26th SeptemberMaximum Potential Risk: 8 points (Rs 4,000 per pair)Maximum Potential Gain: 12 points (Rs 6,000) Technical View Shah highlights that the Nifty Financial Services index has been strongly outperforming the frontline indices over the past few trading sessions. "Currently, Bajaj Finserv is trading above its short- and long-term moving averages, which are in a rising trajectory and aligned in the desired sequence, indicating a strong trend. Notably, the weekly Relative Strength Index (RSI) has surged above the 60 mark for the first time in the calendar year 2024," he added. "The daily and weekly Moving Average Convergence Divergence (MACD) indicators remain bullish, as both are above their signal lines and zero lines. The daily MACD histogram also suggests a pickup in upward momentum," Shah further stated. Derivative Setup Shah observes that the current derivative data aligns with the bullish chart structure. For the September expiry, there is significant call open interest at the 1,800 strike, while substantial put open interest is concentrated at the 1,700 strike. "Looking at the option chain, strikes from 1,820 to 1,600 are seeing put writing, while strikes from 1,760 to 1,920 are witnessing call buying. This indicates bullish momentum in the stock, with a likely test of the 1,840 level, followed by 1,900 in the short term," he said.

2024-08-29 13:39

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/small-mid-caps-outperform-nifty-50-in-2024-so-far-jefferies-bullish-on-amber-ent-v-guard-blue-star-12809687.html

Small-, mid-caps outperform Nifty 50 in 2024 so far, Jefferies bullish on Amber Ent, V-Guard, Blue Star

FII shareholding declined by 120 basis points in Nifty 50 over the past five years..Related stories.

The outperformance in the small-cap and mid-cap indices took everyone by surprise in 2024, before investors hitched their bandwagon to the tearaway rallies in 2023. However, so far in this year, there is no stopping the SMIDs that are outpacing the benchmarks by a sharp contrast. The NSE Midcap 100 and Smallcap 100 indices have jumped 27 percent and 26 percent, respectively, so far this year. In comparison, the Nifty 50 has gained around 15 percent during the same time period. International brokerage Jefferies attributes the outperformance to strong flows in SMID, amid better earnings growth expectations and benefit from margin expansion (as commodity prices softened on-year). Also Read|ÂNifty breaks 10-day winning streak as Nvidia earnings drag global markets down Valuations bite After the results of India's general election on June 4th, both the NSE Midcap and NSE Smallcap indices continued their upward momentum, rising by 20 percent and 22 percent respectively, compared to a 14 percent increase in the Nifty 50. The current price-to-earnings (PE) ratio of the NSE Midcap is trading at a premium of 61 percent and 52 percent relative to the Nifty 50 and NSE Smallcap, respectively. Additionally, the NSE Midcap and NSE Smallcap are trading at a premium of 37 percent and 27 percent compared to their respective 5-year averages, while the Nifty 50 is up by only 8 percent. The key drivers of growth in SMIDs are stronger earnings growth and healthy returns on equity. Between FY21 and FY24, the RoE for NSE Midcap experienced a sharp rebound, increasing by 800 basis points from its FY21 lows, while the RoE for Nifty 50 expanded by 320 basis points during the same period, according to Jefferies. From FY24 to FY27, the earnings per share for the midcap index is estimated to grow at CAGR of 18 percent, compared to 15 percent for Nifty 50. DIIs increase shareholding Over the last five years, from December 2019 to June 2024, the average promoter shareholding in Nifty 50 and NSE Midcap constituents declined by 240 basis points and 260 basis points, respectively. In contrast, domestic institutional investors significantly increased their shareholding by 460 basis points in Nifty 50 and 380 basis points in NSE Midcap during the same period. Retail participation also rose, though at a slower pace compared to DIIs, while FII shareholding declined by 120 basis points in Nifty 50 and 100 basis points in NSE Midcap. During this period of excess valuations amid the sharp-run up in counters, Jefferies suggests a bottom-up investment approach in the SMID space. Amber Enterprises, V-Guard Industries, and Blue Star are among the stocks Jefferies' 'key picks'. The brokerage also has a 'buy' rating on Crompton Greaves Consumer Electricals, Kajaria Ceramics, Finolex Industries, and Finolex Cables. Kaynes Technology is rated as 'hold' due to its rich valuation, while Whirlpool of India has an 'underperform' call.

2024-08-29 13:53

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/mid-day-mood-nifty-sensex-shrug-off-early-jitters-as-it-regains-momentum-12809579.html

Mid-day Mood | Nifty, Sensex hit record highs as IT, FMCG stocks rally

Bajaj Finance, Bajaj Finserv, and ITC were key Nifty gainers.Related stories.

After a muted start on the bourses following weak guidance from US tech giant Nvidia, the benchmark indices Nifty and Sensex regained momentum to scale fresh all-time highs, continuing their impressive run for the eleventh day in a row. The gains come after IT and Bank stocks rose sharply following a minor blip in early trade. At noon, the Sensex was up 382.77 points or 0.47 percent at 82,168.33, and the Nifty was up 99.70 points or 0.40 percent at 25,152.00. About 1088 shares advanced, 2212 shares declined, and 87 shares unchanged. Follow our LIVE blog for all the latest updates It was a reversal for the broader market after the mid-small cap indexes fell sharply as investors took profit off the table. The two were trading at 0.5 and 0.8 percent, respectively. Multiple market analysts have suggested that large-caps are still relatively reasonably priced compared to the mid-caps, where a slew of stocks are trading at multiples that far exceed their growth rates. Sectoral Trend Of the 13 sectoral indices, only Nifty FMCG, Nifty IT and Nifty Bank were the top gainers, rising up to 0.8 percent. Gains in HCL Tech, TCS, and Tech Mahindra were pulling the index higher. Whilst all others lagged, Nifty Metal was the worst performer after Hindalco, Tata Steel, JSW Steel, and Vedanta slumped. Nifty Auto followed next, led by Maruti Suzuki, M&M and Tata Motors. The Pharma and Healthcare index also fell 0.4 percent, each. Read more:ÂCompliance should be like low hum in every company's background: Sebi's Madhabi Puri Buch Fundamental View V K Vijayakumar, chief investment strategist at Geojit Financial Services, believes that weak global cues have led to soft openings, presenting buying opportunities in the domestic market—a trend likely to continue. The near-term market shows resilience with steady gains, avoiding sharp spikes in largecap valuations. Recent accumulation in IT stocks reflects confidence that a soft landing in the US economy will drive order execution for these companies. While the largecap segment remains stable without euphoria, the SME segment is in risky, euphoric territory. Also read:ÂHCL Tech's growth, AI plans drive optimism, brokerages raise target prices Technical View Vaishali Parekh of Prabhudas Lilladher suggests that Nifty appears well-positioned for a rise towards the next target of 25,600, provided it holds above the 24,900 level. The Sensex's near-term support is at the 20 DMA level of 80,400, while a decisive breach above 82,130 could trigger a rise towards 82,500-83,000. For the day, support is seen at 81,300 and 24,900 levels, with resistance at 82,300 and 25,200 levels. Key Nifty Gainers Bajaj Finance, Bajaj Finserv, and ITC Key Nifty Losers Grasim, Hindalco, and M&M Stock Moves Bajaj Finance and Finserv: Shares of the companies rose 3 percent as reports suggested that Bajaj Housing Finance may launch its initial public offering (IPO) as soon as first half of September 2024. The company will mop up Rs 7,000 crore from this issue. JM Financial: Shares surged over 11 percent on high volumes. So far in the day, around three crore shares of the company changed hands on BSE and NSE combined as against a 1-month average trading volume of 69 lakh shares.

2024-08-29 12:40

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/godrey-philips-india-shares-surge-50-this-month-proxy-advisories-against-reappointment-of-bina-modi-12809573.html

Godrey Philips India shares surge 50% this month, proxy advisories against reappointment of Bina Modi

So far in August, shares of the tobacco player have surged almost fifty percent to set new record highs on most sessions of this month..Related stories.

Godrey Philips stock surged over 10 percent in trade on August, extending its stellar run over the past month. The┬Āshares are in focus as┬Āfour proxy advisory firmsŌĆöIiAS, Glass Lewis, SES, and ISSŌĆöhave urged shareholders to vote against the reappointment of Bina Modi as Managing Director. Godfrey Phillips India has put four ordinary resolutions and two special resolutions for approval from its shareholders in its AGM on September 6. All of the proxy advisors┬Āhave asked shareholders to vote ŌĆśagainstŌĆÖ the reappointment of Bina Modi and the appointment of her daughter Charu Modi as Executive Director. It also asked investors to vote ŌĆśforŌĆÖ the companyŌĆÖs resolution to not fill the vacancy caused by the retirement by rotation of Samir Modi. As Bina ModiŌĆÖs remuneration exceeds the limits of Rs 5 crore or 2.5 per cent of the net profits of the company, Godfrey Phillips requires a special resolution, which has to be passed from a super majority of 75 per cent of the total votes polled. At 11.55 am,Godfrey Philipsshares are quoting Rs┬Ā6,178 on the NSE, higher by 6.5 percent. Follow our live blog to catch all the updates Opposing the special resolution, Glass Lewis observed there are "no defined performance conditions for the payment of commissionŌĆØ to Bina Modi and her "appointment is as combined chairman and managing directorŌĆØ. "Bina Modi's overall remuneration at 5 percent of the net profits, is deemed excessive. Given the company's size, scale and operation, the total estimated pay quantum is deemed aggressively positioned against industry peers. The company should have provided an absolute cap on the remuneration, the absence of which makes the pay open-ended," added ISS. In an interview with CNBC-TV18, Samir Modi, the son of Bina Modi, said, ŌĆ£I'm in agreement that the fight needs to end. One way or another, the fight is not good for anybody, not good for the shareholders, not good for the employees. I agree. Whatever it takes to the end the fight. Family fights have no place in the boardroom.ŌĆØ Modi emphasized that his mother, Bina Modi, who is currently the MD of Godfrey Phillips, should not be on the company board. He stated, "If my father was here today, I see no reason he would disagree with me for not having my mother as the chairman. I completely support my brother; I see no reason why my mother should be there.ŌĆØ Following KK ModiŌĆÖs death in 2019, a succession dispute emerged. Bina Modi clashed with her sons, Samir and Lalit Modi. Lalit challenged BinaŌĆÖs appointment as MD of Godfrey Phillips and sought arbitration. He proposed selling the business and dividing the proceeds, a suggestion Bina Modi opposed. So far in August, shares of the tobacco player have surged almost fifty percent to set┬Ānew record highs on most sessions of this month.

2024-08-29 11:56

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/govt-eases-rules-to-facilitate-direct-listing-of-indian-companies-at-gift-ifsc-12809598.html

Govt eases rules to facilitate direct listing of Indian companies at GIFT-IFSC

The easier rules are expected to benefit start-ups and companies in the sunrise and technology sectors..Related stories.

The government has lowered the public shareholding requirement for Indian companies seeking to list on the recognised stock exchanges at the International Financial Services Centre (IFSC) in Gujarat's GIFT City, aiming to ease access to global capital markets. The Department of Economic Affairs, Ministry of Finance, amended the Securities Contracts Regulation Rules (SCRR), 1956, reduced the minimum public offer and continuous listing requirement to 10 percent for companies listing on international exchanges at the GIFT IFSC. This is significantly lower than the 25 percent mandated for listings on domestic exchanges. This amendment follows the governmentŌĆÖs initiative announced in January, allowing domestic public companies to issue and list their shares directly on global exchanges housed at the GIFT IFSC. At present, both major Indian exchanges NSE and BSE operate their international exchanges at GIFT City IFSC, namely NSE IFSC IX, and India INX. The ŌĆśDirect Listing of Equity Shares of Companies Incorporated in India on International Exchanges SchemeŌĆÖ is governed under the Foreign Exchange Management (Non-Debt Instruments), 2019, and the Companies (Listing of Equity Shares in Permissible Jurisdictions) Rules, 2024. This provides a comprehensive regulatory framework for Indian companies aiming to list overseas, said the Department of Economic Affairs, Ministry of Finance, in a press statement. The new rules stipulate that ŌĆ£for public Indian companies desiring to list solely on international exchanges in IFSCs, the minimum offer and allotment to the public as per the offer document shall be at least 10 percent of the post-issue capital,ŌĆØ said the statement. Further, ŌĆ£the continuous listing requirement for such companies has also been set at 10%, as outlined under Rules 19 (2)(b) and 19A of the SCRR,ŌĆØ it added. The easier rules are expected to benefit start-ups and companies in the sunrise and technology sectors by lowering barriers to listing internationally and accessing global capital. ŌĆ£This will particularly benefit Indian companies going global and having ambitions to look at opportunities for expanding their presence in other markets,ŌĆØ said the ministry in the statement. The government's amendments demonstrate its commitment to fostering an agile and world-class regulatory environment in IFSCs, thereby bolstering IndiaŌĆÖs role in the global financial system, it added.

2024-08-29 12:19

moneycontrol.com

https://www.moneycontrol.com/news/opinion/lessons-from-federers-playbook-for-successful-strategies-in-value-investing-12809515.html

Lessons from Federer's playbook for successful strategies in value investing

Roger Federer’s on-court grace masks his rigorous preparation, just as our investment triumphs stem from diligent effort..Related stories.

As a tennis fan and dedicated value investor, I’ve often found myself drawing parallels between these two passions. Watching Roger Federer’s incredible journey on the court, I’ve realized that his philosophy and approach to tennis offer profound lessons for investing. When Federer talks about his craft, he delves into the mindset, discipline, and resilience required to succeed. His insights are not just for aspiring tennis players but for anyone looking to master their craft—whether wielding a tennis racket or navigating the stock market. Federer’s recent speech was a treasure trove of wisdom, and as I listened, I couldn’t help but connect his words to the principles of value investing. Effortless is a Myth Federer's matches might seem effortless, but he reminds us, “Behind every effortless performance, there’s a mountain of hard work.” This resonates deeply with value investing. The appearance of easy success in investments usually belies the meticulous analysis and relentless effort behind the scenes. Diving into financial statements and market trends, we work tirelessly to build a foundation of hard work and dedication. Federer’s on-court grace masks his rigorous preparation, just as our investment triumphs stem from diligent effort. Belief in Yourself Must Be Earned Federer’s assertion, “Belief in yourself comes from putting in the work,” holds true for value investors. Confidence in our decisions arises from thorough research and understanding. By diligently analysing companies, we build a foundation of self-belief that steadies us during market volatility. This earned confidence anchors us, preventing rash decisions driven by fear or greed. Through consistent effort and preparation, we earn our belief just as Federer has. Winning is Easy When Everything Clicks “When everything clicks, winning feels easy,” Federer remarked. In value investing, this alignment occurs when a well-researched portfolio meets favourable market conditions. However, reaching this stage requires strategic planning, patience, and adaptability. Ensuring our portfolios are diversified and well-positioned to capitalize on market opportunities mirrors Federer’s game readiness. Success, whether on the court or in the market, occurs when preparation meets opportunity. Dealing with Losses Federer spoke candidly about handling losses: “Losses teach you more than wins.” This lesson is invaluable for value investors. Losses are inevitable, and our response to them is crucial. Analysing our losses helps us understand what went wrong and refine our strategies. Maintaining a long-term perspective, learning from our mistakes, and continuously improving are essential. Each loss in investing, like each loss on the court, offers a hidden lesson for growth. It’s Only a Point “Each point is just a part of the larger game,” Federer said, urging us to keep perspective. In value investing, each investment is just one piece of our overall strategy. Avoiding overattachment to any single stock and focusing on how each contributes to our broader financial goals is vital. This holistic view prevents emotional decisions based on short-term fluctuations. Viewing each investment as part of our long-term strategy keeps us grounded and focused. Adapting and Growing “The key to staying on top is adapting and growing,” Federer advised. The market’s dynamic nature demands continuous learning and adaptability. Embracing changes in market conditions and refining our strategies are essential for long-term growth. Just as Federer adapts his techniques to stay competitive, we must evolve our investment approaches to thrive in a changing financial landscape. Adaptation ensures resilience and success in both arenas. Reflecting on Roger Federer’s wisdom, it’s clear that the principles guiding a tennis legend are remarkably aligned with those of successful value investors. Whether it’s stepping out of comfort zones, embracing hard work, or learning from losses, Federer’s insights offer a roadmap for achieving excellence. His journey underscores the dedication, resilience, and continuous improvement required for success. By applying these lessons to our investing strategies, we aim not only for financial success but also strive for a fulfilling and purposeful life. Federer’s approach reminds us that true mastery, in tennis or investing, requires unwavering commitment and a constant drive to improve.

2024-08-29 10:32

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/ubs-initiates-buy-on-pfc-rec-stocks-forecasts-robust-returns-and-loan-growth-12809484.html

UBS initiates 'buy' on PFC, REC stocks, forecasts robust returns and loan growth

UBS forecasts early to mid-teens loan growth for both PFC and REC, driven by the government's distribution schemes and India’s energy transition and infrastructure projects.Related stories.

Shares of Power Finance Corporation (PFC) and Rural Electrification Corporation (REC) increased by up to 2 percent following UBS's initiation of 'buy' calls on the stocks. The brokerage highlighted a strong growth outlook for both companies, driven by their strategic focus on renewables and infrastructure financing. The firm favors PFC over REC UBS pointed to the energy transition and rising infrastructure investments as key growth drivers, emphasizing that these factors support positive market momentum. The dynamics affecting these stocks are noted to be distinct from those observed in previous market cycles, it said, adding that the power sector financiers remain in earnings upgrade cycles and one could expect their "return on equities (ROEs) to remain robust at 18-20 percent." UBS analysts viewPFCand REC not as traditional power sector financiers but as key players in high-growth renewable energy, power generation and infrastructure investments. Follow our market blog to catch all the live action The firm noted that 20 percent of PFC andREC's total loan books are currently allocated to renewables and infrastructure. This figure is expected to rise to around 40 percent by FY29, as India aims to double its renewable capacity over the next five years. The shift in loan composition is also impacting credit quality as renewable loans typically have shorter tenures, are smaller, and carry lower risks compared to thermal plant loans. The resolution of legacy assets provides a short-term boost, according to UBS. Analysts also highlighted access to long-term funds at reasonable rates, bolstered by implicit government guarantees, as another significant advantage. UBS forecasts early to mid-teens loan growth for both PFC and REC, driven by the government's distribution schemes and India’s energy transition and infrastructure projects. The firm has set target prices of Rs 670 for PFC and Rs 720 for REC. It estimates annual capex in the power sector at Rs 4 lakh crore, with Rs 1 lakh crore allocated to renewable generation and Rs 1.5 lakh crore each for transmission and distribution (T&D). Also Read |ÂPaytm’s regulatory progress seen as key step in easing overhang, brokerages say; stock in focus In the near term, ongoing distribution schemes like the Revamped Distribution Sector Scheme should support this growth. UBS expects PFC and REC to continue to have access to funds at competitive rates despite substantial net issuance of 0.4 percent of GDP as they have also diversified to tap global savings. "We expect them to benefit from softening yields of G-Secs and build a 20-30bp cost of fund decline," the brokerage said.

2024-08-29 10:08

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/jm-financial-stock-zooms-11-on-high-volumes-just-shy-of-52-week-high-12809576.html

JM Financial stock zooms 11% on high volumes; just shy of 52-week high

In the past 12 months, JM Financial stock has risen 44 percent, outperforming benchmark Nifty which rallied 30 percent during this period..Related stories.

Shares of JM Financial surged over 11 percent to hit a day's high of Rs 113.30 on the National Stock Exchange (NSE) on high volumes. So far in the day, around three crore shares of the company changed hands on BSE and NSE combined as against a 1-month average trading volume of 69 lakh shares. JM Financial is engaged in holding company activities, advisors in equity and debt capital markets, management of capital markets transactions, mergers & acquisitions, and advisory. The company is also engaged in private equity syndication, corporate finance advisory business, administration & management of private equity funds, private wealth management business, and PMS. For the quarter ended June 30, 2024, JM Financial Ltd reported a 6.2 percent on-year (YoY) dip in net profit at Rs 60.4 crore. The company's revenue from operations, however, fell 5.4 percent YoY to Rs 219 crore. At the operating level, its EBITDA declined 8 percent YoY to Rs 167.9 crore during the quarter under review. The broking firm's EBITDA margin stood at 76.7 percent in the reporting quarter compared to 78.8 percent in Q1FY24. Follow our market blog to catch all the live action The asset under management (AUM) of JM Financial's wealth management businesses crossed a milestone of Rs 1 lakh crore and the AUM of the mutual fund business has achieved a milestone of Rs 10,000 crore in July 2024, Vishal Kampani, Non-executive Vice Chairman, JM Financial. "We are seeing tremendous traction in the capital markets, wealth and asset management businesses. Post the strategic announcements, we are aligning our resources and channeling the bandwidth towards our focused businesses which include the capital markets, broking, wealth and asset management, private credit syndication and affordable home loans," Kampani added. At 11:09 am,JM Financialshares were trading over 11 percent higher at Rs 111.35 on the National Stock Exchange (NSE), just shy of the 52-week high of Rs 114.85. The stock has gained around 11 percent so far this year. In the past 12 months, the counter has risen 44 percent, outperforming benchmark Nifty which rallied 30 percent during this period.

2024-08-29 11:46

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/concord-biotech-stock-surges-12-on-high-volumes-climbs-fresh-peak-12809529.html

Concord Biotech stock surges 12% on high volumes; climbs fresh peak

In the past 12 months, Concord Biotech stock has risen 76 percent, outperforming benchmark Nifty which rallied 30 percent during this period..Related stories.

Shares of Concord Biotech surged over 12 percent to hit an all-time high of Rs 1,815 on the National Stock Exchange (NSE) on high volumes. So far in the day, around 12 lakh shares of the company changed hands on BSE and NSE combined as against 1-month average trading volume of 79,000 shares. The company's earnings for the quarter ended June 2024 came in slightly below expectations. The management, however, remains optimistic about the growth prospects for both segments. Choice Broking is optimistic about Concord Biotech's future, citing several key factors driving its growth. The company's top-line revenue is projected to grow at a compound annual growth rate (CAGR) of 25 percent over the next 3-5 years, fueled by a robust pipeline of products. Additionally, the API and Formulations segment is benefiting from new launches and the expansion into injectables, further enhancing its market position. Follow our market blog to catch all the live action The brokerage also highlightsConcord Biotech's ready capacities and low utilization levels as significant opportunities for operating leverage and margin expansion. These factors are expected to contribute positively to the company’s profitability. Furthermore, the ongoing exploration of opportunities in the Contract Development and Manufacturing Organization (CDMO) segment is anticipated to accelerate growth. Choice Broking estimates a revenue, EBITDA, and PAT CAGR of 21.5 percent, 24.7 percent, and 27 percent, respectively for FY23-26. Valuing the stock at 36 times FY26E EPS, they have set a target price of Rs. 1,691 and maintained a 'buy' rating on Concord Biotech Also Read |ÂPB Fintech Block Deal: 1.75% stake changes hands At 10:18 am, Concord Biotech shares were trading 5.7 percent higher at Rs 1,705.15 on the National Stock Exchange (NSE). The stock has gained 15 percent so far this year. In the past 12 months, the counter has risen 76 percent, outperforming benchmark Nifty which rallied 30 percent during this period.

2024-08-29 11:45

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/resourceful-automobile-shares-hit-5-upper-circuit-after-flat-listing-investors-make-rs-7000-profit-per-lot-12809636.html

Resourceful Automobile shares hit 5% upper circuit after flat listing; investors make Rs 7,000 profit per lot

Resourceful Automobile operates under the brand name Sawhney Automobile, dealing in Yamaha two-wheelers..Related stories.

Resourceful Automobileshare price hit the highest permissible trading limit in August 29 trade after a flat listing on the BSE SME platform. Resourceful Automobile stock hit the upper circuit limit to quote at Rs 122.85 per share on the BSE. It has a upper price band of 5 percent on the BSE. The Rs 12-crore initial public offering of the Delhi-based company, with just two outlets and a workforce of eight employees, made headlines by receiving bids worth close to Rs 4,800 crore. Investors in Resourceful Automobile mad a profit of Rs 7,000 per lot on investment of Rs 1.4 lakh as the lot size is 1,200. A total of 5.16 lakh shares of Resourceful Automobile changed hands today, generating a total turnover of Rs 6.05 crore. The company's market cap has jumped to Rs 32.63 crore, till the time trading was halted due to upper circuit. Founded in 2018, the company's maiden share sale saw an overwhelming response, with bids for 40.76 crore shares as against the 9.76 lakh shares on offer translating into a subscription of 419 times on the third day of the bidding process. Amid this frenzy, markets regulator in its advisory on August 28 raised concerns about the risks associated with investments in small and medium-sized enterprises (SMEs). SEBI has advised investors to be vary of the companiespainting an unrealistic positive picture, and also not fall for social media tips or rumours. The regulator noted that in the recent past it has passed orders against such entities. It further highlighted the modus-operandi of these entities urging investors to be careful and watchful of these patterns.

2024-08-29 13:04

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/ril-board-to-consider-11-bonus-shares-on-sept-5-heres-how-shareholders-have-been-rewarded-since-1983-12809742.html

RIL board to consider 1:1 bonus shares on Sept 5, here's how shareholders have been rewarded since 1983

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Reliance Industries Ltd on August 29 said it will consider and recommend issuing bonus shares at a ratio of 1:1 to its shareholders at a board meeting on September 5. India's most valuable company, in terms of market capitalisation, informed the shareholders about the decision minutes before the 47th annual general meeting of the conglomerate. In his address to the shareholders, Mukesh Ambani spoke about rewarding shareholders amid strong financial performance and expansion of business. "A meeting of the Board of Directors of the company is scheduled to be held on Thursday, September 5, 2024 to consider and recommend to the shareholders for their approval, issue of bonus shares in the ratio of 1:1 to the equity shareholders of the company by capitalization of reserves," the firm said in the stock exchange filing. This will be the fifth time the index heavyweight has announced to reward shareholders with bonus share, if approved in the board meeting on September 5. Here's the history of the company's bonus and rights issue. Reliance bonus share historyAnnouncement DateBonus RatioRecord Date21-07-20171:109-09-201707-10-20091:127-11-200913-09-19971:129-11-199728-10-19833:5Reliance rights historyAnnouncement DateRights RatioRecord Date30-04-20201:1514-05-202030-09-19911:2012-10-1991Reliance Industries share price climbed nearly 3 percent intraday shortly after the company announced that the its board will consider issuing 1:1 bonus shares on September 5. Shares of the firm jumped 2.63 percent to Rs 3,074.80 on the BSE as soon as the announcement came in. At the NSE, the bellwether stock climbed 2.58 per cent to Rs 3,074. The company's market valuation also surged Rs 42,399.24 crore to Rs 20,60,461.42 crore.

2024-08-29 15:16

moneycontrol.com

https://www.moneycontrol.com/news/business/markets/mukesh-ambani-reliance-agm-top-highlights-updates-12809730.html

Mukesh Ambani at RIL AGM: AI ramp up, new energy updates and 1:1 bonus

Chairman Mukesh Ambani at the 46th Annual General Meeting of Reliance Industries, 2023..Related stories.

Chairman Mukesh Ambani at the 47th Annual General Meeting ofReliance Industrieson August 29 announcedВ AI-led digital offerings, and said the company is preparing the groundwork for aВ national AI infrastructure. The production of solar PV modules will begin by the end of the year, Mukesh Ambani said, adding that RIL hasВ commenced theВ construction of an advanced battery manufacturing facility at Jamnagar. Earlier in the day,В RIL informed stock exchanges that it willconsider a bonus issuein the ratio of 1:1 on September 5. Here is a quick summary of thetop highlights of Mukesh Ambani's addressВ at the Reliance Industries AGM: Digital Services В·В В В В В В В В  Jio now world's largest mobile data company with a 490-million users, on average consuming over 30 GB of data monthly. В·В В В В В В В В  Last year, Reliance filed over 2,555 patents, mainly in bio-energy innovations, solar and other green energy sources, and high-value chemicals. В·В В В В В В В В  Jio's network carries nearly 8% of global mobile traffic. В·В В В В В В В В  Jio a true deep-tech innovator with a fully homegrown 5G stack at core, developed by Jio's engineers. В·В В В В В В В В  Built AI-native digital infrastructure for all Reliance businesses В·В В В В В В В В  Aim to to bring the benefits of AI to every Indian, everywhere, just as we did with broadband. В·В В В В В В В В  Jio is developing a comprehensive suite of tools across AI - calledJio Brain. RIL starting to use Jio Brain to drive a transformation across Reliance operating companies. В·В В В В В В В В  Laying the groundwork for anational AI infrastructure, and establish gigawatt scale AI-ready data centres in Jamnagar, powered by Reliance's green energy. В·В В В В В В В В  Four sectors that will benefit the most from AI - Agriculture, Education, Healthcare and Small Businesses. В·В В В В В В В В  RIL's AI models and services will be hosted within India's borders, and comply fully with Indian data and privacy regulations. В·В В В В В В В В  RIL's AI models need a delivery model where every user can access data and AI services from anywhere, on any device, over low-latency broadband networks. We call this concept Connected Intelligence. В·В В В В В В В В  Jio users to get up to 100 GB of free cloud storage, to store and access photos, videos, documents, all other digital content, and data. We plan to launchJio AI-CloudWelcome offer starting Diwali this year offering affordable cloud data storage and data-powered AI services. В·В В В В В В В В  LaunchJio TvOS- 100% home-grown operating system - for Jio STB. В·В В В В В В В ВHelloJiomade smarter using latest GenAI technologies, improving its natural language understanding. В·В В В В В В В В  IntorduceJio Phonecall AIthat lets users record and store any call using AI and convert it from voice to text. В·В В В В В В В В  Targetting to double our revenue and EBITDA over next three to four years. В·В В В В В В В В  DevelopedJioHome appas a personal control center to manage everything at home—from Wi-Fi to smart devices.Media and Entertainment В·В В В В В В В В  Partnership with Disney marks the beginning of a new era in India's entertainment industry and we are combining content creation with digital streaming. Reliance Retail В·В В В В В В В В  Among theTop-5 global retailersin terms of number of stores and among the Top-10 in terms of market capitalisation. В·В В В В В В В В  Among the Top-20 retailers in terms of number of employees, and among the Top-30 retailers in terms of revenue. В·В В В В В В В В  Built 19,000 stores with nearly 80 million sq. ft. across 7,000+ cities, 4 million kirana partners В·В В В В В В В В  In grocery, expanding at 2.5 times the rate of the rest of modern retail trade. Exploration and Production В·В В В В В В В В  RIL's fields nowcontribute nearly 30%of India's domestic gas production В·В В В В В В В В  Jio-bp has become India's leading fast and reliable charging company with over 4,800 charge points across India. O2C Business В·В В В В В В В В  O2C business achieved revenue of Rs 5,64,749 crore ($67.9 billion) and an EBITDA of В·В В В В В В В В  Rs 62,393 crore ($7.5 billion) last year. В·В В В В В В В ВNew integrated facilities in Vinyl value chainto add 1.5 MMTPA of PVC and CPVC at Dahej and Nagothane by FY27. В·В В В В В В В В  Building India's first integrated Carbon Fibre plant at Hazira, which will be among the top three units globally. В·В В В В В В В В  Reliance on track to reach a capacity to recycle 5 billion PET bottles per annum by next year В·В В В В В В В В  Adding a million tonnes of specialty polyester capacity by FY27. New Energy В·В В В В В В В В  Initiated a pilot on 1,000 acres of arid wasteland to establish a first-of-its kind integrated CBG plant. В·В В В В В В В В  Will commence production ofRIL's own solar photovoltaic (PV) modulesby the end of this year. В·В В В В В В В В  Production at the integrated advanced chemistry-based battery manufacturing facility at Jamnagar will begin by second half of next year. В·В В В В В В В В  Integrated advanced chemistry-based battery manufacturing facility with a 30 GWh annual capacity at Jamnagar. В·В В В В В В В В  By 2025, Jamnagar will become the cradle of our New Energy business, with the Dhirubhai Ambani Green Energy Giga Manufacturing Complex being the world's largest integrated ecosystem at a single location. В·В В В В В В В В  Leased wasteland in Kutch - 250 km from Jamnagar - which has potential to generate about 150 billion units of electricity in 10 years — providing ~10% of India's energy requirements. В·В В В В В В В В  Secured access to nearly 2,000 acres of land at Kandla port, which complements our marine infrastructure at Jamnagar В·В В В В В В В В  Will accelerate the development of renewable energy on a round-the-clock basis (RE-RTC) and green fuels projects in a modular and phased manner. В·В В В В В В В В  Started work on fully automated, multi-GW electrolyser manufacturing facility on the west coast, which will be ready by 2026. В·В В В В В В В В  Initiated an energy plantation pilot on 1,000 acres of arid wasteland to establish an integrated CBG plant. В·В В В В В В В В  By the end of this year, we will commence the production of our own solar photovoltaic (PV) modules. Value Creation Roadmap В·В В В В В В В В  Our value creation strategy rests on the foundation of our track record. В·В В В В В В В В  Reliance among the world's Top 50 most valuable corporations В·В В В В В В В В  Jio and Retail expected to double revenue and EBITDA in the next 3-4 years. See immense growth potential in media business В·В В В В В В В В  My privilege to establish, lead, and nurture our five growth engines – O2C, Retail, Jio, Media, and Green Energy and fuels. В·В В В В В В В В  Uniquely positioned to grow new businesses around adjacencies of all these growth engines. В·В В В В В В В В  Today, three of these engines have avaluation of over $100 billion each, and they will continue to grow even faster. В·В В В В В В В В  New Energy business will be thenew jewel in Reliance's crown, foresee it becoming as big, profitable over next 5-7 years as O2C business В·В В В В В В В В  Confident that Green fuels, AI-based solutions will become long-term growth engines for Reliance. В·В В В В В В В В  Reliance Group well on track tomore than double in sizebefore the end of this decade. В·В В В В В В В В  India needs dozens of Reliances to build an inclusively prosperous, fully modern Developed Nation by 2047. Chairman Mukesh Ambani also congratulated Akash, Isha, and Anant Ambani on completing one year as board members, and assured investors that the legacy of value creation will continue at Reliance. Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

2024-08-29 16:45

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https://www.moneycontrol.com/news/business/markets/tv18-broadcast-network18-shares-surge-after-cci-greenlights-reliance-disney-india-merger-12809535.html

TV18 Broadcast, Network18 shares surge after CCI greenlights Reliance-Disney India merger

The CCI's decision comes on the eve of Reliance Industries' 47th AGM on August 29..Related stories.

Shares of Reliance Industries' arms,ÂTV18 BroadcastandNetwork18 Media & Investments, surged as much as 13 percent on August 29 after the Competition Commission of India (CCI) greenlit the merger of RIL and Disney's Indian media assets, paving the way for the creation of a media giant. At 11:35 am, shares of TV18 Broadcast climbed 7.45 percent to Rs 51.48, while Network18 Media & Investments gained 5.68 percent to Rs 101.65. The Competition Commission of India (CCI) announced on social media platform X (previously Twitter) platform, "The Commission approves the proposed combination involving Reliance Industries Ltd, Viacom18 Media Pvt Ltd, Digital18 Media Ltd, Star India Pvt Ltd, and Star Television Productions Ltd, subject to compliance with voluntary modifications." In February, Viacom18, a unit ofReliance Industries, and Disney's Star India combined their media businesses to form India's largest TV and digital streaming entity. As part of the agreement, Viacom18’s media operations will merge with Star India Pvt Ltd (SIPL) through a court-approved scheme. Valued at Rs 70,350 crore ($8.5 billion) post-money, the joint venture will receive a Rs 11,500 crore ($1.4 billion) investment from Reliance Industries to fuel its growth strategy. The merged Reliance-Disney entity will compete with Sony, Netflix, and Amazon, offering 120 TV channels and two streaming services. Catch all the market action on our LIVE blog Karan Taurani, an analyst at Elara Capital, views the CCI’s approval as a major development, noting that the merged entity will capture 40 percent of the TV ad market and 30-34 percent of the digital segment. UBS Securities also echoed similar numbers. The firm estimated the merger entity to dominate with over 40 percent viewership in Linear TV and 50 percent share in digital combined with a near monopoly in cricketing rights. ICICI Securities also pointed out that the merger will give Reliance’s Viacom18 and Disney’s Indian media business control over most cricketing events in India. With the merger, Taurani expects a rise in competitive intensity within the media industry, with the impact being negative for Zee Entertainment and other video streaming platforms. UBS also said that although the consolidation is generally positive for the media industry, it could hurt smaller players such asÂZee. Shares of Zee Entertainment fell close to 2 percent to Rs 143.12 while those ofSun TV Networkwas down nearly 1 percent to Rs 806.40 on the NSE. Also Read |ÂCCI greenlights Rs 70,350-crore Reliance-Disney India merger Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

2024-08-29 11:48

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https://www.moneycontrol.com/news/business/markets/zen-technologies-stock-locked-at-5-lower-circuit-but-holds-119-ytd-gains-12809710.html

Zen Technologies stock locked at 5% lower circuit but holds 119% YTD gains

In the past 12 months, Zen Technologies stock has risen 117 percent, outperforming benchmark Nifty which rallied 30 percent during this period..Related stories.

Shares of Zen Technologies hit a 5 percent lower circuit on August 29 as profit-booking persisted. The company's market cap dropped to Rs 14,525 crore. The stock had previously surged nearly 20 percent between August 6 and August 26, prompting investors to lock in gains since. The decline also follows the company's announcement that it plans to use funds raised through its first-ever Qualified Institutional Placement (QIP) for acquisitions. Zen Technologiesdesigns, develops, and manufactures defence training systems, based on sensors and simulator technology. The company’s category of products includes land-based military training simulators, driving simulators, live range equipment and anti-drone systems. The company also has a training platform in Hyderabad, with an integration of its complete product range. Recently, the defence firm raised Rs 1,000 crore via QIP, which was oversubscribed by over five times. The issue was open from August 21 to August 23 and priced at Rs 1,601 per share. The QIP saw participation from several key investors, including Kotak Mutual Fund, WhiteOak Offshore Fund, WhiteOak Mutual Fund, Motilal Oswal Mutual Fund, and Bandhan Mutual Fund. Follow our market blog to catch all the live action “We are looking at 2-3 acquisitions. The size of the acquisition we are looking for is between Rs 100 crore and Rs 250 crore. We are focusing on both the simulation market and the anti-drone systems (ADS) market as we are looking to strengthen ourselves in both segments,” Ashok Atluri, CMD of Zen Technologies told CNBC-TV18 in an interview. Zen Tech also maintains its export target of Rs 300 crore and aims to grow at a compound annual growth rate (CAGR) of 50 percent. Atluri said the company remains committed to its ambitious growth targets for 2024-25 (April-March). He reiterated the revenue guidance of Rs 900 crore and an EBITDA margin of 35 percent for FY25. At 1:10 pm, Zen Technologies shares were trading at Rs 1,734.15 on the National Stock Exchange (NSE), locked at the lower circuit. The stock has gained around 119 percent so far this year, doubling investors' capital. In the past 12 months, the counter has risen 117 percent, outperforming benchmark Nifty which rallied 30 percent during this period.

2024-08-29 13:29

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https://www.moneycontrol.com/news/business/markets/reliance-industries-share-price-jumps-2-6-as-board-to-consider-bonus-issue-next-week-12809766.html

Reliance Industries share price jumps 2.6% as board to consider bonus issue next week

Reliance Industries stock has gained around 18 percent so far this year, beating Nifty's returns of 15 percent during this period. In the past 12 months, the counter has risen 26 percent..Related stories.

Shares of Reliance Industries surged nearly 2.6 percent on 29 August after India's most valuable conglomerate announced that its board will consider a 1:1 bonus share issue on September 5. The announcement came minutes ahead of RIL's 47th annual general meeting that began today. If approved, this will be RIL's first bonus issue in seven years. With this bonus issue, the Mukesh Ambani-led conglomerate aims to reward shareholders for its strong financial performance and business expansion. This move is also expected to enhance the liquidity ofRILshares, making them more accessible to a broader range of investors. "When Reliance grows, we reward our shareholders handsomely. And when our shareholders are rewarded handsomely, Reliance grows faster and creates more value. This virtuous cycle has been the guarantor of your company’s perpetual progress," said Chairman Mukesh Ambani at the AGM. Follow our market blog to catch all the live action At 2:02 pm, RIL shares were trading 2.3 percent higher at Rs 3,066.05 on the National Stock Exchange (NSE). The stock has gained around 18 percent so far this year, beating Nifty's returns of 15 percent during this period. In the past 12 months, the counter has risen 26 percent. RIL bonus issue history RIL has a history of rewarding its shareholders with bonus issues. The most recent bonus was announced on July 21, 2017, with a 1:1 bonus ratio, meaning shareholders received one additional share for every share held. Earlier, on October 7, 2009, Reliance Industries announced another 1:1 bonus. This followed a similar bonus issue on September 13, 1997, where the company also offered a 1:1 bonus. Going further back, Reliance Industries issued a bonus on October 28, 1983, with a 3:5 ratio, giving shareholders three additional shares for every five shares held. Disclosure:Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

2024-08-29 14:24

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https://www.moneycontrol.com/news/business/ipo/premier-energies-ipo-subscribed-8-4x-on-day-3-so-far-nii-portion-booked-over-25x-12809564.html

Premier Energies IPO subscribed 74.14 times on day 3; QIB portion booked over 217x

Trading of shares on the BSE and NSE will begin on September 3..Related stories.

Premier Energies' Rs 2,830-crore IPO continued to witness robust demand on August 29, the third and final day of bidding, with subscriptions reaching 74.14 times the offer size. Investors bid for 330.98 crore shares as against the 4.46 crore shares on offer. The IPO aims to raise Rs 1,291.4 crore via a fresh issue and Rs 1,539 crore through an offer-for-sale (OFS), based on the upper price range of Rs 427-450 per share. Stay tuned to our LIVE blog for the latest updates. 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. Founded in April 1995, Premier Energies specialises in integrated solar cells and panels, offering solar cells, monofacial and bifacial modules, and EPC and O&M solutions. It operates five manufacturing facilities in Hyderabad, Telangana. Also read:ÂResourceful Automobile shares list flat at IPO price despite 400x subscription Proceeds from the fresh issue, after deducting related expenses, will be used to invest in Premier Energies Global Environment Private Limited, a subsidiary, to help fund a 4 GW Solar PV TOPCon Cell and Module manufacturing facility in Hyderabad, and for general corporate purposes. Trading of shares on the BSE and NSE will begin on September 3. Ahead of the listing, Premier Energies' IPO shares were trading at an 88 percent premium over the upper price band in the grey market, an unofficial platform for IPO share trading before the official listing.

2024-08-29 18:52

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https://www.moneycontrol.com/news/business/markets/dont-create-a-digital-age-where-there-is-digital-exclusision-kotak-amcs-nilesh-shah-on-technology-in-mfs-12809659.html

Don't create a digital age where there is digital exclusision: Kotak AMC’s Nilesh Shah on technology in MFs

Shah added that there is a need to leverage technology so that one can cancel noise and provide “wisdom”..Related stories.

When it comes to concerns for investors and mutual fund industry,Nilesh Shah, MD , Kotak Mutual AMC suggests that while technology plays an important role, we must also balance it out with convenience and support for investors who still prefer in-person interactions and may not be as digitally savvy. “We have to create a balance where I am able to cater to both. Everyone doesn't have smartphone. There exists both types of India. My technology should be such that it can work on both the sides,” Shah said. He was speaking as a part of a panel during the Global Fintech Fest 2024 in Mumbai on August 29. Shah acknowledged the importance of technology within the mutual fund industry. “There is no option. Whether I am managing money, whether I am servicing customers, whether I am selling to customers, there is no option but to leverage technology and become more efficient,” he said. Shah added that there is a need to leverage technology so that one can cancel noise and provide “wisdom”. Today, Shah noted that knowledge is provided thanks to "mutual funds sahi hai" campaign but added that knowledge alone is not necessarily wisdom. “We need to reach out to people,” he said. Shah added that in India If there is a need for technology, there is also need for human touch. “We are not just one country with homogeneous set of people. We are one country with heterogeneous set of people. There will be some people who still want to fill application form, want to touch and feel. There is another segment of people who don't want to see or face, they only want to use technology. So my feeling is that we will develop a model which will have Udipi restaurants also and five-star restaurants also,” Shah added, highlighting the need to cover every segment of society through human touch, through human technology, and through technology so that one can ensure that Indians become financially stable. Shah also noted most people are still putting money into assets which are not producing real return. “Bank deposits, insurance, pension funds, small savings and currency notes. 93% does not give you power to outperform inflation. 7% of investors say you can beat inflation. How can India become wealthy?  How do I reach out to this segment of people so that they can invest for better, invest for future and hence there is need to use technology but also within human touch in India every model,” Shah said. On challenges for active funds Shah also spoke about challenges for active fund managers in beating the benchmark. “ I don't have a choice but to add value to my customer to keep my job. But do I add value every day or do I add value over a period of time?,” he noted. Shah cited an example of the Hindi movie Amar Akbar Anthony. “In this market there is a stock like Amar bhai, the upright police officer – this is where business is good, fundamentals are good and valuation is good. There is Anthony, who is also good but has taken some shortcuts - stocks where fundamentals are good but valuations are expensive in order to outperform benchmark indices, he said. Shah said that many fund managers have taken a bold call to stick to good business, good valuations over outperforming benchmark indices by investing into good businesses, instead of chasing benchmarks.  “I hope eventually investors will appreciate that,” he said.

2024-08-29 12:50