Stock Market Today: Sensex, Nifty End Volatile Session Lower As ICICI Bank Slips; FPIs Stay Net Sellers

Overseas investors remained net sellers of Indian equities on Tuesday for the sixth consecutive session.

Foreign portfolio investors offloaded stocks worth Rs 693 crore, according to provisional data from the National Stock Exchange.

Domestic institutional investors remained net buyers and mopped up equities worth Rs 715 crore, the NSE data showed.

Foreign institutions have been net buyers of Rs 1,22,571 crore worth of Indian equities so far in 2023, according to data from the National Securities Depository Ltd., updated till the previous trading day.

The yield on the 10-year bond closed flat at 7.14% on Tuesday.

Source: Bloomberg

• The local currency weakened 9 paise to close at 83.24 against the U.S dollar on Tuesday.

• It closed at 83.15 on Monday

Source: Bloomberg

India's benchmark stock indices closed lower on Tuesday after opening marginally higher. Telecommunication and industrial sectors advanced, whereas shares of information & technology and bankex were under pressure.

The S&P BSE Sensex closed 78.22 points, or 0.12% lower, at 65,945.47 while the NSE Nifty 50 was 9.85 points, or 0.05%, lower at 19,664.70

HDFC Bank, bajaj Finance, L&T, Nestle India Ltd, and Tata Steel were the positively adding to the change in the Nifty 50 Index.

Whereas, ICICI Bank, Infosys, Kotak Mahindra Bank, Asian Paints, and IndusInd Bank were negatively adding to the change.

The broader market indices ended mixed, with the BSE Midcap closing 0.09% lower and the BSE Smallcap rising 0.37% Tuesday.

Fourteen out of the 20 sectors compiled by BSE Ltd. advanced, with BSE telecommunication gaining the most.

The market breadth was skewed in the favour of the buyers. About 1,863 stocks rose, 1,800 declined, and 130 remained unchanged on the BSE.

Gets order worth Rs 311.17 crore from Central Railway for construction work.

Exchange Filing

• Institutional investors: 0.05 times

• Non-institutional investors: 1.56 times

• Retail investors: 3.09 times

• Total: 1.01 times

Source: BSE

• DP Singh elevated to the post of Joint CEO

Alert: DP Singh was Deputy MD and Chief Business Officer earlier

Source: Company spokesperson

Approves IPOs of Fincare Small Bank, Western Carriers (India).

Source: SEBI Website

• Signed three MoUs with Gujarat Government for afforestation of 150 hectares land

• Project to be part of Green Belt Development Drive by Gujarat Government

Source: Exchange Filing

• 11 lakh shares changed hands in a large trade

• 0.01% equity changed hands at Rs 186.05 apiece

• Buyers and sellers not known immediately

Source: Bloomberg

• 13.4 lakh shares changed hands in a large trade

• 0.14% equity changed hands at Rs 783.15 apiece

• Buyers and sellers not known immediately

Source: Bloomberg

• Berhyanda Limited to acquire up to 76.1% stake or 12.74 crore shares in the company

• Berhyanda to acquire 50.1% stake in company from promoters

• Berhyanda to acquire 26% stake in company from public shareholders through mandatory open offer

Note: Jasti Property and Equity Holdings Private is the Promoter of the company selling stake to Berhyanda

Source: Exchange Filing

India's benchmark stock indices opened marginally higher and pared some gains through midday to trade with little change on Tuesday

Telecommunication and metals sectors advanced, whereas shares of information & technology and bankex were under pressure.

As of 11:52 p.m., the S&P BSE Sensex was down 60.1 points, or 0.09%, at 65,963.54, while the NSE Nifty 50 was 5.45 points, or 0.03%, lower at 19,669.10.

HDFC Bank, Larsen &Toubro Ltd, Bharti Airtel Ltd, Tata Steel Ltd, and Bajaj Finance were positively adding to the change in the Nifty.

Kotak Mahindra Bank, Infosys Ltd., ICICI Bank, Asian Paints Ltd., Tata Consultancy Services Ltd. were negatively contributing to the change.

The broader market indices traded higher, with the BSE Midcap opening 0.13% higher and the BSE Smallcap rising 0.43% Tuesday.

16 out of the 20 sectors compiled by BSE Ltd. advanced, with BSE telecommunication gaining over 1%,

The market breadth was skewed in the favour of the buyers. About 1,978 stocks rose, 1,488 declined, and 150 remained unchanged on the BSE.

Eicher Motors's stock has risen 5% so far during the calendar year, underperforming the benchmark Nifty Auto by 24%. That was mainly due to a relative valuation contraction rather than a downward impact on the earnings outlook, according to Jefferies.

It said the company's valuation came under pressure due to a fresh wave of competition against Royal Enfield from the launch of new motorcycles launched by Hero-Harley and Bajaj-Triumph collaborations.

The brokerage revised its target price to Rs 4,150 per share from Rs 4,000 apiece, implying a potential upside of 22%, according to a note on Monday.

Shares of Eicher Motors were trading 3.71% higher at Rs 3,512 apiece compared to a 0.09% gain in the benchmark NSE Nifty 50 as of 10:17 a.m. The stock rose 4.5% to an intraday high of Rs 3,539.20 apiece, the highest since July 4.

The average traded volume so far in the day stood at 2.24 times its monthly average, while the relative strength index was at 62.

Twenty-five out of the 44 analysts tracking Eicher Motors maintain a 'buy' rating on the stock, 13 recommend 'hold', and six suggest 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies an upside of 3%.

Shares of Vishnu Prakash R Punglia Ltd. jumped over 6% after the company reported a 49.44% rise in revenue year-on-year at Rs 278.17 crore for the quarter ended June.

Net profit was up 52.55% to Rs 16.43 crore, according to an exchange filing on Monday.

The company also received a letter of award valued at Rs 634.41 crore from Madhya Pradesh Government.

The order if engineering, procurement, construction, testing, commissioning, trial run and operation & maintenance for 10 years of Chillar Dam Multi-Village Drinking Water Supply Scheme, District Shajapur in single package on ‘Turn-key Job Basis’, it said in a filing on Tuesday.

Shares of Vishnu Prakash R Punglia rose as much as 6.95% to trade at Rs 189.2, the most since the listing of the stock.

The scrip rose 5.40% to Rs 186.45 apiece, compared to a 0.05% advance in the benchmark NSE Nifty 50 at 11:11 a.m.

Total traded volume so far in the day stood at 1.1 times its 30-day average. The relative strength index was at 81, implying that the stock may be overbought. 

Shares of Selan Exploration Technology Ltd. surged over 12% to hit a record high on Tuesday after it recommended the merger with Antelopus Energy Ltd.

The board of the company will consider the option of the merger under Sections 230 to 232 and other applicable provisions of the Companies Act, 2013, according to an exchange filing. 

The process of merger, including the scheme of arrangement, shall be subject to statutory and regulatory approvals, the statement said.

The resultant merger will aid in diversifying the company’s portfolio across multiple sedimentary basins, both onshore and offshore, thereby providing access to an increased proven oil and gas resource base and the ability to enhance production, it said.

It will also enhance value for the company's shareholders, resulting in creation of a leading energy company in India, according to the statement.

Shares of Selan Exploration Technology rose as much as 12.49%, before paring gains to trade 9.38% higher at 10:45 a.m. This compares to a 0.05% advance in the NSE Nifty 50.

The stock has risen 77.24% year-to-date. Total traded volume so far in the day stood at 51 times its 30-day average. The relative strength index was at 75, implying that the stock may be overbought. 

Maruti Suzuki India Ltd. may not be able to meet realise its 'aggressive' 10% annualised growth target for the next seven years, according to HSBC. 

“We expect the company to grow around 6-7% CAGR in the long term, and that would mean capex spend may be pushed out to 10 to 12 years, versus the seven years currently guided by the company," the brokerage said in a Sept. 25 note.

However, the recent hike in the reinvestment rate by MSIL is not necessarily negative for the shareholders, HSBC said, while retaining a ‘buy’ rating on the stock with a revised price target of Rs 12,000 apiece, implying an upside of about 14%.

Shares of Maruti Suzuki declined 0.32%, before paring losses to trade 0.17% lower as of 9:45 a.m., compared to a 0.04% advance in the NSE Nifty 50.

The stock has risen 25.9% year-to-date. The relative strength index was at 67.4.

Of the 49 analysts tracking the company, 38 maintain a 'buy', six recommend a 'hold,' and five suggest a 'sell', according to Bloomberg data. The average 12-month consensus price target implies an upside of 3%.

HSBC On Maruti Suzuki India

• Retains 'buy' rating with a revised price target of Rs 12,000 (earlier Rs 11,000).

• The recent hike in the reinvestment rate is not necessarily negative for shareholders, the brokerage said.

• Market share has peaked in the short term, hybridisation of more models could push it further in the medium-term.

• The company's valuation premium to Nifty has shrunk to 33% versus 50% historical average.

• Expects capex to operating cash flow ratio to come down from an estimated 70% in FY24 to about 40% in seven years.

• Delhivery, AWS, and Nexus to launch Velocity startup accelerator program

• Venture to propel startups in the logistic ecosystem

• Each startup received AWS Activate Credits worth $25,000 that can be utilized to access AWS cloud services

Source: Exchange Filing

Shares of Zen Technologies Ltd. rose on Tuesday after it won an order worth Rs 227.65 crore from the Ministry of Defence.

The domestic order is for the supply of anti-drone systems. The company is the single vendor for the order. A comprehensive maintenance contract, post-warranty, is built into the contract at a cost of Rs 43.22 crore, inclusive of GST.

Shares of the company rose 4.87% before paring gains to trade 4.47% higher at 10:27 a.m., compared to a 0.07% advance in the benchmark NSE Nifty 50.

The stock has risen 326.05% on a year-to-date basis. The total traded volume so far in the day stood at 1.7 times its 30-day average. The relative strength index was at 54.24.

The lone analyst tracking the company maintains a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month price targets given by analysts implies a downside of 38.1%.

• Nuvama Wealth Management lists at Rs 2750 apiece on the NSE

• Nuvama Wealth Management lists at Rs 2699 apiece on the BSE

Source: Exchanges

Shares of Voltamp Transformers Ltd. fell over 5% on Tuesday after a large trade.

At least 12.1 lakh shares, or 12% equity, changed hands in large trades, according to Bloomberg data. The buyers and sellers, however, were not known immediately.

Shares of the company fell 4.03% to Rs 4,729.95 apiece, compared to a 0.04% advance in the benchmark NSE Nifty 50 at 9:47 a.m. The stock fell 5.63% to hit an intraday low of Rs 4,651 apiece.

It has risen 71.27% on a year-to-date basis. The relative strength index was at 37.24.

Of the five analysts tracking the company, three maintain a 'buy' rating and two have a 'hold' on the stock, according to Bloomberg data. The average of 12-month price targets given by analysts implies an upside of 6.8%.

India's benchmark stock indices opened marginally higher on Tuesday. At pre-open, the S&P BSE Sensex was up 75.80 points, or 0.11%, at 66,084.96 while the NSE Nifty 50 was 4 points or 0.02% higher at 19,687.20

Larsen & Toubro, ITC, Tata Steel, Eicher Motors, and Reliance Industries were the positively adding to the change in the Nifty 50 Index.

Whereas, HDFC Bank, ICICI Bank, TCS, Asian Paints, and Kotak Bank were negatively adding to the change.

India's benchmark stock indices opened marginally higher on Tuesday. At pre-open, the S&P BSE Sensex was up 75.80 points, or 0.11%, at 66,084.96 while the NSE Nifty 50 was 4 points or 0.02% higher at 19,687.20

The broader market indices opened higher, with the BSE Midcap opening 0.20% higher and the BSE Smallcap rising 0.46% at the open of the market on Tuesday.

The market breadth was skewed in the favour of the buyers. About 1,645 stocks rose, 698 declined, and 109 remained unchanged on the BSE.

At pre-open, the S&P BSE Sensex Index was up 50.35 points or 0.08% at 66,074.04 while the NSE Nifty 50 Index was 8.25 points or 0.04% higher at 19,682.80

Source: Bloomberg

• The yield on the 10-year bond opened about 3 basis points higher at 7.18% on Tuesday.

• It closed at 7.15% on Monday.

Source: Bloomberg

• The local currency weakens three paise to open at Rs 83.18 against the U.S dollar on Tuesday.

• It closed at Rs 83.15 on Monday

Source: Bloomberg

• Poonawalla Fincorp received RBI's permission to issue o-branded credit card with IndusInd Bank.

• The company envisages to launch this credit card within three months.

Source: Exchange Filing

• U.S. Dollar Index at 105.94

• U.S. 10-year bond yield at 4.53%

• Brent crude up 0.02% at $93.29 per barrel

• Nymex crude up 0.09% at $89.76 per barrel

• GIFT Nifty down 0.38% at 19,653.5 as of 8:05 a.m.

• Bitcoin up 0.03% at 26,301.25

• Ex-date AGM: BF Utilities, Kaveri Seed Co.

• Move Into Short-Term ASM Framework: Mufin Green Finance.

• Move Out Of Short-Term ASM Framework: Hindustan Construction Co., Jaiprakash Associates, PDS, Rane (Madras).

• Nifty September futures ended at 19,704.75, a discount of 3.5 points.

• Nifty September futures fell 0.02%, with 18,285 shares in open interest.

• Nifty Bank September futures ended at 44,813, a premium of 135.4 points.

• Nifty Bank September futures fell 0.3%, with 4,143 shares in open interest.

• Securities in the ban period: Balrampur Chini, Canara Bank, Granules India, Hindustan Copper, Indiabulls Housing Finance

• IRB Infrastructure Developers: Promoter IRB Holdings bought 1.09 lakh shares on Sept. 25.

• UY Fincorp: Promoter Udai Kothari bought 1.13 lakh shares between Sept. 21 and 22.

• DB Realty: Promoter Shanita Deepak Jain sold 10,052 shares on Sept. 20.

• Som Distilleries and Breweries: Promoter Jagdish Kumar Arora bought 10,000 shares on Sept. 25.

• Maharashtra Seamless: Promoter Dharam Pal Jindal bought 31,800 between Sept. 20 and 21.

• Prime Focus: Promoters A2R Holdings revoked a pledge of 13.6 crore shares, Naresh Mahendranath Malhotra revoked a pledge of 5.86 crore shares, and Namit Naresh Malhotra revoked a pledge of 1.49 crore shares on Sept. 20.

• Delta Corp.: Ashish Rameshchandra Kacholia sold 15 lakh shares (0.56%) for Rs 144.65 apiece.

• Indiabulls Real Estate: Creditcorp Investment Advisors sold 30.95 lakh shares (0.57%) for Rs 85.38 apiece.

• Manoj Vaibhav Gems 'N' Jewellers: The IPO was subscribed 58%, or 0.58 times, on its second day. The bids were led by retail investors (0.73 times), non-institutional investors (0.57 times) and institutional investors (0.33 times). The issue was subscribed to 13%, or 0.13 times, on Day 1.

• Updater Services: The IPO was subscribed to 0.06 times, or 6%, on its first day. The bids were led by retail investors (0.30 times, or 30%) and non-institutional investors (0.1 times, or 1%). The issue received zero bids from institutional investors.

• JSW Infrastructure: The IPO was subscribed 0.43 times, or 43%, on its first day. The bids were led by retail investors (1.38 times), non-institutional investors (0.60 times, or 60%), and institutional investors (0.03 times, or 3%).

• Nuvama Wealth Management: Equity shares of Nuvama Wealth Management, formerly known as Edelweiss Securites, will be listed and admitted for dealing on the BSE and the National Stock Exchange on Tuesday.

• Reliance Industries: The company has issued a postal ballot notice to seek shareholders' approval to appoint Isha Ambani, Anant Ambani, and Akash Ambani as non-executive directors. The voting will be held between Sept. 27 and Oct. 26.

• Tata Steel: Moody's raised the steelmaker's long-term rating to Baa3 from Ba1 and outlook to stable from positive. It said the upgrade reflects expectations of continued strength in the company's credit profile and considerable deleveraging through gross debt reduction. The rating agency expects Tata Steel to maintain conservative financial policies with well-balanced capital allocation and financial metrics.

• Mahindra & Mahindra: Canada's Ontario will buy a 20% stake in company unit Mahindra Teqo for Rs 35 crore. The stake sale will be completed by Jan. 3, 2024.

• Wipro: The company sold a 14.02-acre land parcel and building in Chennai to Casagrand Bizpark for Rs 266.38 crore.

• HDFC AMC: The company will invest Rs 25 crore in unit HDFC AMC International to help it meet the net worth requirements prescribed for Registered Fund Management Entity (Retail) under IFSC rules.

• Mankind Pharma: Commercial operations commenced at the newly set-up pharmaceutical formulations plant in Udaipur, Rajasthan.

• Indian Hotels: The company will invest $11.5 as equity in Dutch subsidiary Ihoco BV to help it repay debt and for other operations.

• Fortis Healthcare: The company will acquire a 99.9% stake in Artistery Properties Pvt. for Rs 32 crore.

• Welspun Corp: Unit Sintex will set up water tanks and PVC pipe facilities in Telangana with up to a Rs 350 crore investment.

• Century Textiles: Unit Birla Estates has successfully launched Phase 1 of Birla Trimaya in Bengaluru's Devanahalli. The project is expected to have a revenue potential of Rs 3000 crore.

• Kalpataru Projects International: The company will raise Rs 150 crore via NCDs through private placement.

• Ujjivan Small Finance Bank: The bank has partnered with SMC Global Securities to offer 3-in-1 accounts (savings, demat, and trading) to its customers.

• Sheela Foam: The company plans to raise up to Rs 1,200 crore via QIP. It will allocate 1.11 crore shares at Rs 1,078 apiece.

• GR Infraprojects: The bids for two projects worth Rs 3,613 crore won by the company in February are annulled.

• Strides Pharma: The board approved spinning off the oral soft gelatin contract manufacturing business into Stelis Biopharma. The new entity will be called OneSource. Shareholders will get one share of OneSource with a face value of Rs 1 apiece for every two shares of face value Rs 10 each held in Strides Pharma.

• DB Realty: The company will acquire shares in Bamboo Hotel Global Centre, Goan Hotels & Realty, and BD And P Hotels for more than Rs 2,300 crore, with the intent to enter the hospitality business.

• Highways Infrastructure Trust: The board has approved rights issues of Rs 514 crore at Rs 77.96 apiece, which will be open from Oct. 9 to 11.

• Ind-Swift Laboratories: The board approved the merger of Ind-Swift with itself to consolidate businesses and strengthen its competitive position. It will give 100 shares for every 655 shares held in Ind-Swift after the merger.

• Greenply Industries: The company's operations resumed at the Gabon, West Africa, facility after a protest by the local workforce. Discussion between authorities and labour agencies is ongoing to resolve the issues completely.

• Vishnu Prakash R Punglia: The company reported a 49.44% rise in revenue year-on-year at Rs 278.17 crore. Net profit was up 52.55% to Rs 16.43 crore.

• Salasar Techno: The company commissioned its zinc galvanization plant with an annual capacity of 96,000 metric tonnes in UP.

• RPP Infra Project: The company bagged orders of over Rs 470 crore in Tamil Nadu and Karnataka.

Asian shares are headed for a subdued opening on Tuesday as concerns about China’s property sector re-emerge. Wall Street closed higher and a U.S. bond selloff extended into a fourth week, while a gauge of dollar strength hit its highest level this year, according to a Bloomberg report.

The S&P 500 snapped a four-day slide, rising as traders returned to their desks following the worst weekly selloff on Wall Street since March. The Nasdaq 100 ended the day higher, with Amazon.com Inc. gaining.

Brent crude rose to $93.29 a barrel, and West Texas Intermediate was trading below the $90 mark. The yield on the 10-year U.S. bond was trading at 4.53%, whereas Bitcoin was above the $26,000 level.

At 8:05 a.m., the GIFT Nifty, an early indicator of the Nifty 50 Index’s performance in India, was down 0.38%, or 75 points, trading at 19,653.5.

India's benchmark stock indices ended little changed with a positive bias after declining for four consecutive trading days on Monday. The broader market indices ended higher, with the BSE MidCap ending 0.46% higher and the BSE SmallCap rising 0.12% at the close of the market.

The S&P BSE Sensex closed 14.54 points, or 0.02%, higher at 66,023.69, while the NSE Nifty 50 ended flat at 19,674.55.

Overseas investors remained net sellers of Indian equities on Monday for the fifth consecutive session. Foreign portfolio investors offloaded stocks worth Rs 2,333 crore, according to provisional data from the NSE. Domestic institutional investors remained net buyers and mopped up equities worth Rs 1,579 crore.

The Indian rupee weakened 21 paise to close at 83.15 against the U.S. dollar.