Sensex, Nifty End Little Changed Amid Cautious Asian Trade

The Ahmedabad-based infratsructure construction company emerged as the successful bidder for the bids invited by Western Coal Fields, a subsidiary of Coal India for contracts worth Rs 674.20 crore.

Khadim India's Rs 543-crore initial public offering was subscribed 1.03 times as of 2:00 p.m.

• QIB portion subscribed 0.7 times
• Retail portion subscribed 1.6 times

Source: Company PR

Shares of the Delhi-based commercial finance company rose after its asset quality improved in September quarter.

• Net profit down 1.7 percent to Rs 202 crore versus Rs 205.5 crore (YoY)
• Revenue up 14 percent at Rs 942 crore versus Rs 825.7 crore (YoY)
• Net interest income up 25.6 percent at Rs 408.9 crore versus 325.8 crore (YoY)
• Gross NPA at 7.10 percent versus 7.20 percent (QoQ)

Shares of the Ajay Piramal-led company rose 4 percent to Rs 2,793 after its net profit rose in July-September quarter.

• Consolidated net profit rises 25 percent at Rs 384 crore versus Rs 306 crore (YoY)
• Consolidated revenue up 29.7 percent at Rs 2,535.9 crore versus Rs 1,955 crore (YoY)
• Consolidated EBITDA up 70 percent at Rs 1,270 crore versus Rs 743.6 Crore (YoY)
• Consolidated margin at 50 percent versus 38 percent (YoY)

Shares of the Mumbai-based textile manufacturer fell after its revenue declined in the July-September quarter.

• Net Profit at Rs 52.8 crroe versus Rs 44.6 crore (YoY)
• Revenue at Rs 1,821.7 crore versus Rs 1,978.6 crore (YoY)

Shares of the Pune-based dairy products maker rose 2.8 percent to Rs 284.7 after it reported that its net profit nearly doubled in September quarter.

• Net profit jumps 94 percent to Rs 24.9 crore versus 12.8 crore (YoY)
• Revenue at Rs 505 crore versus Rs 473 crore (YoY)
• Ebitda margin at 9.9 percent versus 7.1 percent
• Operating profit or ebitda at Rs 49.9 crore versus 33.6 crore

• Varun Beverages: The Gurugram-based beverage maker rose as much as 7.3 percent, the most in over a month, to Rs 545. Trading volume was 26.1 times its 20-day average.
• Kitex Garments: The Kochi-based textile exporter and manufacturer rose as much as 20 percent, the most in over six months, to Rs 296.40. Trading volume was 25.2 times its 20-day average.
• Unichem Labs: The Mumbai-based drug maker rose as much as 11 percent to Rs 350.25. Trading volume was 14.3 times its 20-day average.
• Zensar Technologies: The Pune-based software developer rose as much as 4.9 percent to Rs 825. Trading volume was 12.1 times its 20-day average.

• SAIL has 27 lakh shares change hands in a block at Rs 84.4 per share.

Buyers and sellers were not immediately known

Source: Bloomberg

Shares of the Pune-based dairy products maker rose as much as 4.7 percent to Rs 290 after its board approved Rs 17.7 crore capex plan for expansion of whey processing unit capacity expansion.

Shares of the Ahmedabad-based operator of online shopping websites rose as much as 17 percent to record high of Rs 195.9 after Amrapali Capital and Finance services bought 34.35 lakh shares or 0.6 percent equity stake at Rs 168.04 each on Friday.

• Indian equity benchmarks were little changed as gains in car makers were offset by losses in Kotak Mahindra Bank, Reliance Industries and Bharti Airtel.
• The S&P BSE Sensex was little changed at 33,688 and NSE Nifty 50 Index slipped marginally to 10,445.
• The broader markets were outperforming the benchmarks as the S&P BSE MidCap index rose 0.5 percent and the S&P BSE SmallCap Index advanced 0.6 percent.
• Nine out of 19 sector gauges were trading lower led by the S&P BSE Energy Index's 0.6 percent drop. On the other hand, the S&P BSE Auto Index was the top sectoral gainer, up one percent.

Shares of the Anil Ambani-led company fell as much as 8.3 percent to record low of Rs 15.50 after the telecom regulator ordered the indebted telecom operator to shut its voice call service starting December.

The regulator said, "RCL (Reliance Communications Limited) shall provide only 4G data services to its customers and as a result will discontinue to provide voice services to the subscribers... with effect from 1st December 2017."

Shares of the Kolkata-based state-run lender fell as much as 7 percent, the most in four moths, to Rs 32.50 after its net loss widened in September quarter.

• Net loss widens 61 percent to Rs 622 crore versus Rs 384 crore (YoY)
• Net interest income at Rs 655 crore versus Rs 1,246 crore (YoY)
• Gross non-performing assets (NPA) as a percentage of total advances at 19.74 percent versus 19.87 percent (QoQ)
• Net NPA at 9.98 percent versus 10.63 percent

Shares of the Mumbai-based construction company jumped as much as 5.7 percent, the most since November 3, to Rs 382.10 after the company bagged order worth Rs 285 crore from Arihant Superstructure for construction of eight 42-storey buildings in Panvel.

Shares of utility vehicle maker rose as much as 2.6 percent to Rs 1,365 after the company in an exchange notification said that its board will meet on November 10 to consider issuing bonus issue to shareholders subject to necessary approvals.

Shares of the Anil Ambani-led Reliance Nippon Life AMC made a strong market debut. The stock as much as 18.6 percent to Rs 299 against its issue price of Rs 252.

The Reliance Nippon Life AMC's Rs 1,542 crore IPO was subscribed 81 times.

Shares of Torrent Pharma rose as much as 3.7 percent to Rs 1,365 while Unichem Labs advanced 1.5 percent after the former acquired the domestic branded formulations business of Unichem Laboratories Ltd. for Rs 3,600 crore to become the country’s eighth largest drugmaker at a time when Indian companies face regulatory scrutiny in the U.S., one of their largest markets.

Torrent Pharma will take over the India and Nepal business of more than 120 brands, a manufacturing unit in Sikkim and all the employees engaged, it said in an exchange filing.

Shares of the Bangalore-based jewelley and watch retailer surged as much as 25 percent, the most in 12 years, to a record high of Rs 824.65 after it reported strong earnings in July-September quarter.

• Net profit rose 67 percent to Rs 278 crore versus Rs Rs 166 crore (YoY)
• Revenue rose 29 percent to Rs 3,473 crore versus Rs 2,704 crore (YoY)
• Operating profit or ebitda rose 51 percent to Rs 398 crore
• Ebitda or operating profit margin expanded 160 basis points to 11.5 percent
• Watches segment rose 9 percent on a year-on-year basis

• Rupee opens lower at 64.68 per dollar against Friday's close of 64.55

Government bond valuations have turned attractive and the market is partially pricing in expectations of fiscal slippage, according to a Standard Chartered Bank. StanChart says continued open-market bond sales are turning supply dynamics unfavorable and exerting upward pressure on yields.

Today, bankers will gauge foreign demand for bonds as NSE will auction Rs 2,170 crore of sovereign debt quota for portfolio investors. Rupee is likely to open lower, tracking losses in Asian currencies.

Here's a quick look at corporate insider trades on Friday.https://t.co/mDwp6v72KI pic.twitter.com/fwqGs47XR6

— BloombergQuint (@BloombergQuint) November 6, 2017

• Century Textiles & Industries
• Fortis Malar Hospitals
• GTPL Hathway
• Gujarat Gas
• Gulf Oil Lubricants India
• Housing & Urban Development Corporation
• Indian Bank
• Jaiprakash Power Ventures
• Just Dial
• KEC International
• Larsen & Toubro Infotech
• NRB Bearing
• Parag Milk Foods
• Piramal Enterprises
• Raunaq EPC International
• Rural Electrification Corporation
• Thomas Cook
• Torrent Power
• TRF
• Triveni Turbine
• Welspun Corp.

BSE Q2 (YoY)

• Revenue up 22 percent at Rs 111 crore
• Net profit up 4.7 percent at Rs 67 crore
• EBITDA up 132 percent at Rs 26.4 crore
• Margin at 23.8 percent from 12.5 percent

Sheela Foam Q2 (YoY)

• Revenue up 18.2 percent at Rs 486 crore
• Net profit up 13.3 percent at Rs 34 crore
• EBITDA up 9.5 percent at Rs 57.5 crore
• Margin at 11.8 percent from 12.8 percent

Titan Q2 (YoY)

• Revenue up 29.6 percent at Rs 3473 crore
• Net profit up 68 percent at Rs 284 crore
• EBITDA up 50.75 percent at Rs 398 crore
• Margin at 11.45 percent from 9.85 percent

VRL Logistics Q2 (YoY)

• Revenue up 0.4 percent at Rs 452 crore
• Net profit up 57.14 percent at Rs 22 crore
• EBITDA up 8.9 percent at Rs 55 crore
• Margin at 12.2 percent from 11.2 percent

Zensar Technologies Q2 (QoQ)

• Revenue up 3.5 percent at Rs 763 crore
• Net profit up 34 percent at Rs 63 crore
• EBITDA up 17.3 percent at Rs 88 crore
• Margin at 11.56 percent from 10.2 percent

Siti Networks Q2 (YoY)

• Revenue up 21.8 percent at Rs 352 crore
• Net loss of Rs 52 crore from net loss of Rs 38 crore
• EBITDA up 41.5 percent at Rs 66.5 crore
• Margin at 18.9 percent from 16.3 percent

Selan Exploration Technology Q2 (YoY)

• Revenue up 42 percent at Rs 17 crore
• Net profit up 97 percent at Rs 4.6 crore
• EBITDA up 161 percent at Rs 5.8 crore
• Margin at 33.6 percent from 18.3 percent

India Nippon Electricals Q2 (YoY)

• Revenue up 9.4 percent at Rs 117.7 crore
• Net profit up 4.5 percent at Rs 11.2 crore
• EBITDA up 52 percent at Rs 17.5 crore
• Margin at 15 percent from 12 percent

Kitex Garments Q2 (YoY)

• Revenue up 39 percent at Rs 148.6 crore
• Net profit up 84.5 percent at Rs 24.1 crore
• EBITDA up 35 percent at Rs 43 crore
• Margin at 29 percent from 29.8 percent

Lumax Industries Q2 (YoY)

• Revenue up 11 percent at Rs 379.6 crore
• Net profit up 22 percent at Rs 20.8 crore
• EBITDA up 18 percent at Rs 30.2 crore
• Margin at 8 percent from 8.4 percent

Sarda Energy & Minerals Q2 (YoY)

• Revenue up 23 percent at Rs 347.4 crore
• Net profit up 200 percent at Rs 37.6 crore
• EBITDA up 7.9 percent at Rs 63.71 crore
• Margin at 18.3 percent from 20.8 percent

Motilal Oswal Financial Services Q2 (YoY)

• Revenue up 40 percent at Rs 704.5 crore
• Net profit up 42 percent at Rs 143.8 crore

Relaxo Footwears Q2 (YoY)

• Revenue up 16.4 percent at Rs 460 crore
• Net profit up 19 percent at Rs 32.1 crore
• EBITDA up 17.2 percent at Rs 61.5 crore
• Margin at 13.4 percent from 13.5 percent

Torrent Pharma Q2 (YoY)

• Revenue unchanged at Rs 1429 crore
• Net profit down 1.4 percent at Rs 204 crore
• EBITDA up -0.3 percent at Rs 329 crore
• Margin at 23.02 percent from 23.09 percent

Godrej Agrovet Q2 (YoY)

• Revenue up 0.8 percent at Rs 1426 crore
• Net profit up 14.1 percent at Rs 81 crore
• EBITDA down 5.2 percent at Rs 146 crore
• Margin at 10.2 percent from 10.9 percent

Sical Logistics Q2 (YoY)

• Revenue up 25.25 percent at Rs 248 crore
• Net profit down 14.3 percent at Rs 6 crore
• EBITDA up 18.75 percent at Rs 38 crore
• Margin at 15.3 percent from 16.2 percent

Shipping Corporation of India Q2 (YoY)

• Revenue up 6.6 percent at Rs 808 crore
• Net loss of Rs 76 crore from net loss of Rs 18 crore
• EBITDA down 7.1 percent at Rs 125 crore
• Margin at 15.5 percent from 17.7 percent

UCO Bank Q2

• Net Interest Income down 47.5 percent at Rs 655 crore
• Net loss of Rs 623 crore from net loss of Rs 385 crore
• Provisions up 10 percent at Rs 1,323 crore from 1,204 crore (QoQ)
• GNPA at 19.74 percent from 19.87 percent (QoQ)
• NNPA at 9.98 percent from 10.63 percent (QoQ)

Union Bank Q2

• NII up 2 percent at Rs 2,321 crore
• Net loss of Rs 1531 crore from net profit of Rs 177 crore
• Provisions up 85 percent at Rs 3,465 crore
• GNPA at 12.35 percent from 12.63 percent (QoQ)
• NNPA at 6.7 percent from 7.47 percent (QoQ)

EPC Industries Q2 (YoY)

• Revenue down 66.7 percent at Rs 15 crore
• Net loss of Rs 5 crore from net loss of Rs 1 crore
• EBITDA at Rs -6 crore from Rs -0.4 crore
• Margin at -40 percent from -0.9 percent

Pennar Engineered Building Systems Q2 (YoY)

• Revenues up 2 percent at Rs 132.5 crore from Rs 130 crore
• Net profit down 40 percent at Rs 3.6 crore from Rs 6 crore
• EBITDA down 33 percent at Rs 8.9 crore from Rs 13.3 crore
• Margin at 6.7 percent from 11.1 percent

Reliance Nippon to list today. Here’s what you need to know. https://t.co/XTfsRcoS5g pic.twitter.com/OjNM4I23O6

— BloombergQuint (@BloombergQuint) November 6, 2017

• PTL Enterprises, Aksh Optifibre, Rain Industries circuit filter revised to 10 percent.

Bharti Airtel

• Bharti Telecom bought 18.4 Crore shares or 4.6 percent equity stake at Rs 544.2 each.
• Indian Continent Investment Ltd sold 18.4 Crore shares or 4.6 percent equity stake at Rs 544.2 each.

Momai Apparels

• DSP Blackrock MF bought 4.99 lakh shares at Rs 140 each.
• Ashapura apparels Pvt Ltd sold 14.22 lakh shares at Rs 141.53 each.

Infibeam

• Amrapali Capital and Finance services bought 34.35 lakh shares or 0.6 percent equity stake at Rs 168.04 each.

Ruchi Soya

• Capston Capital Partners sold 20 lakh shares or 0.6 percent equity stake at Rs 28.01 each.

Ashapurapura Minechem

• Promoter Fizza S Lakdawala sold 9.4 lakh shares or 1.1 percent equity stake at Rs 62.47 each.

Soril Holding

• Anil Bansilal Lodha sold 6.75 lakh shares or 1.3 percent equity stake at Rs 110.45 each.
• ABL Infrastructure sold 5.95 lakh shares or 1.2 percent equity stake at Rs 110.45 each.
• Riddhi Portfolio bought 8.62 lakh shares or 1.7 percent equity stake at Rs 110.44 each.

CLSA on Tata Power

• Maintained ‘Buy’ with a price target of Rs 100.
• Previous quarter was uneventful; Await strategic divestiture in the second half of the current financial year.
• Expect earnings turnaround led by de-leveraging plan and net long-coal position.
• Multiple options of de-leveraging: Tata group buying back a part of the intra-group/defence stake, IPO of renewable assets and sale of 30 percent stake in Arutmin.
• Tata group will be under pressure to relieve Tata Power of intra-group investments, Deal possible in the second half of the current financial year.

CLSA on Union Bank

• Maintained ‘Buy’; hiked price target to Rs 210 from Rs 160.
• September quarter saw stabilising asset quality; Moderation in slippages encouraging.
• Though profitability levels are low, improvement in asset quality trends are encouraging.
• Earnings cut to factor non-provisioning loans; Resolution of some larger NPLs will be key to freeing capital.
• Expect some additional capital support from government.

CLSA on Torrent Pharmaceuticals

• Maintained ‘Buy’; Cut price target to Rs 1,640 from Rs 1,660.
• Acquisition valuation of Unichem’s domestic business in-line with past deals.
• Acquisition to be earnings per share accretive by March 2021 which hinges on its ability to accelerate the sales growth of key Unichem brands.
• September Quarter highlights: India and Europe strong; Brazil, U.S. and CRAMS weak.
• Cut target to factor lower U.S. and Brazil sales.

Credit Suisse on Torrent Pharmaceuticals

• Maintained ‘Outperform’; hiked price target to Rs 1,600 from Rs 1,370.
• Synergies from Unichem's acquisition are double the expectations; 60 percent of synergies are cost-driven.
• Acquisition depresses immediate return on capital employed.
• Deal value accretive by 5 percent; Internal rate of return at 17 percent; Payback of nine years.
• Cut EPS estimates for the current and next financial years by 14 percent and 28 percent respectivcely due to high amortisation cost.

Nomura on Torrent Pharmaceuticals

• Maintained ‘Buy’ with a price target of Rs 1,396.
• Unichem acquisition: a good deal.
• Despite adverse impact on near-term earnings, expect deal to be value-accretive by Rs 150-250/share.
• Operational margin of acquired business can expand substantially through synergy benefits to 30-40 percent from 20 percent.
• Company’s balance sheet is healthy and expect net debt to equity at just above 0.5 in the next financial year.

Credit Suisse on Titan

• Maintained Outperform; hiked price target to Rs 760 from Rs 635
• Previous quarter’s jewellery margins surpassed massively- the highest ever clocked by the business.
• Market share gains to continue for Titan as local players on the back foot.
• Revenue guidance in the current financial year for jewellery maintained at 25 percent Which now needs only 11 percent growth in the second half.

Macquarie on Titan

• Maintained ‘Outperform’; Hiked price target to Rs 907 from Rs 700.
• Margin expansion of 260 basis points in jewellery more structural.
• Expect 30 percent growth in the current the current financial year, which requires 19 percent growth in the second half.
• Positives: higher momentum in wedding, high value diamond jewellery and favourable base.
• Raised earnings estimate for the financial years till March 2020 by 17-18 percent on account of higher jewellery sales and margin.

UBS on Titan

• Maintained ‘Buy’; Hiked price target to Rs 810 from Rs 750.
• Strong jewellery volumes in the previous quarter; Operational margin de-coupling from studded growth.
• Success of higher value gold designs is a key change.
• Titan can re-rate given superior volume growth potential, higher revenue growth visibility and renewed strategy to emphasise on regional wedding jewellery.
• Previous quarter also showed indicative of improved trajectory from other business segments and allay concerns of them being a drag on the core business.

BofA-ML on ICICI Lombard

• Initiated ‘Buy’ rating and price target of Rs 810; Potential upside of 20 percent.
• Strong potential for profitable growth; Market not pricing under penetration and regulatory catalyst.
• Indian motor vehicle bill may act as significant catalyst for the motor insurance segment.
• Third party motor insurance may positively impact earnings per share forecasts by 30-45 percent.
• Premium valuations may sustain as investment yields and return ratios are superior to peers.
• Positives: Strong fundamentals, solid financial metrics, penetrated distribution provide edge.

Emkay on APL Apollo Tubes

• Initiated ‘Buy’ with a price target of Rs 2,812; Potential Upside of 52 percent.
• Company has presence in sectors that are growing at higher pace than economy
• Market share to expand to 17 percent by March 2020 versus 13 percent in the financial year ended- March 2017.
• Expect Revenue, Operating income and earnings per share to grow at a compound annual growth rate of 17 percent, 23 percent and 31 percent respectively, over the three financial years till March 2020.
• Return on equity, capital employed to improve to 27 percent and 31 percent respectively by March 2020, compared to 23 percent and 21 percent respectively in the financial year ending March 2017.
• EBITDA/tonne to rise to Rs 3,741 by March 2020, versus Rs 3,375 in the financial year ended - March 2017, led by value added products
• Expect outperformance to sustain on robust earnings performance and return profile expansion.
• Valuations still attractive despite the run-up in past one year.

• NHAI may bar 20 firms, including HCC and L&T, from bidding for road projects
• M&M to consider issuance of bonus shares on Nov. 10.
• Torrent Pharma acquires the Indian formulations business of Unichem Laboratories for Rs 3,600 crore
• SBI AMC gets RBI nod to buy 10 percent stake in AU Small Finance Bank
• KSB Pumps begins commercial production of Energy Pump Division at its Satara unit
• Manoranjan Roy, chairman of Pincon Spirits, arrested in Rs 56 crore scam (Times Of India)
• NTPC says Unchahar plant shutdown not material to the company
• V2 Retail closed three operational retail stores in Bahraich (Uttar Pradesh), Haridwar (Uttarakhand) and Kishanganj (Bihar)
• Natco Pharma bought 7.5 percent stake at Rs 7.5 crore in OMRV Hospitals
• Oricon Enterprises to sell 51 percent stake in packaging business of its subsidiary Oriental Containers for Rs 419.40 crore to Pelliconi & C.S.P.A
• Jayaswal Neco Industries recommended debt restructuring plan to joint lender’s forum
• Sadbhav Infra achieves financial closer for all seven hybrid annuity projects
• VRL Logistics to buyback 9 lakh equity shares (or 0.99 percent equity) at a price of Rs 460 each
• United Spirits obtained RBI approval to sell stake in Nepal subsidiary
• Southern Petrochemical Industries entered into an agreement with Keight Gas India to develop and supply re-gasified LNG
• GE T&D sold its global financial shared services business for Rs 6.5 crore in a slump sale
• Mercator to sell its vessel Harsha Prem for $3.42 million. Proceeds of the sale would be used to repay debt
• Brookfield calls off $200 million deal with Anil Ambani’s Reliance Communications (Economic Times)

PM Modi’s big economic gamble in tatters as cash remains king. #Demonetisation https://t.co/W6IwGBtGRN pic.twitter.com/C9Bno6ikPn

— BloombergQuint (@BloombergQuint) November 6, 2017

Trump warns against challenging U.S. during first stop in Asia.https://t.co/Hk9y67oG74 pic.twitter.com/Z6f7SxcOOj

— BloombergQuint (@BloombergQuint) November 6, 2017