Stocks To Watch: Biocon, DLF, Dr. Reddy’s, Hero MotoCorp, Infosys, VST Tillers
Indian equity benchmarks dropped for the fourth day on Friday, reversing earlier gains, as property stocks paced losses.
The benchmark S&P BSE Sensex fell 1 percent to 32,832.94 at the close in Mumbai, extending November's 0.2 percent decline, the third month of losses in four. Adani Ports & Special Economic Zone Ltd. slid 3 percent, the most among Sensex companies. The NSE Nifty 50 Index also fell 1 percent.
Today, the Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index's performance in India, rose 0.3 percent to 10,157 as of 7:50 a.m.
Here's a quick look at corporate insider trades on Friday.https://t.co/5wDZ1O8f1R pic.twitter.com/WO6UW5dWDC
December 4, 2017Here Are The Stocks To Watch Out For In Monday's Session
- Infosys appoints Salil Parekh as CEO, nearly four months after Sikka's resignation.
- Biocon says U.S. FDA approved Trastuzumab, jointly developed with Mylan. The biosimilar is used for treatment of patients with breast or metastatic stomach cancer.
- Coal India production for November at 51.29 million tonnes. Offtake at 50.67 million tonne.
- Dr. Reddy's gets EIR from U.S. FDA for CPS facility at Telangana.
- JSW Energy secured PPAs aggregating to 208 MW. Proportion of long-term PPAs increased to 69.3 percent from 64.6 percent in July-September period.
- Asahi India Glass to make strategic investment in Timex Group Precision Engineering.
- Transformers & Rectifiers received order worth Rs 127 crore from Power Grid.
- Tata Steel to acquire 74 percent stake in Bhubaneshwar Power for Rs 255 crore from JL Power Ventures.
- VST Tillers November sales up 34 percent YoY at 2,922 units.
- TVS Motor November sales up 12 percent YoY at 2.51 lakh units.
- Tata Motors November sales up 58 percent YoY at 52,464 units.
- Hero MotoCorp November sales up 26 percent YoY at 6.05 lakh units.
- Wipro to contest $140 Million lawsuit filed by National Grid U.S.
- Eris Lifesciences to avail loan of Rs 400 crore from Axis bank. Loan proceeds to part-fund Strides deal
- DLF to raise Rs 11,250 crore via CCDs, warrants and QIP.
- Astral Poly Technik hikes stake in Astral Pipers, Kenya from 37.5 percent to 50 percent.
- Mirc Electronic to raise Rs 144 crore via allotment of shares & warrants to non-promoter group (Ashish Kacholia and others) at Rs 37.53 per share/warrant.
- Future Retail Board approves allotment of 93 lakh shares at Rs 537 per share to Hypercity Retail shareholders.
- REC to hold roadshow from Dec. 6, Bloomberg reported citing people familiar with the matter.
Investor meetings in Singapore, Hong Kong and London in connection with USD-denominated 3Y senior unsecured bond offering.https://t.co/5wDZ1O8f1R pic.twitter.com/waY1SoOK9z
December 4, 2017Talking Points
- Exporters file over 10,000 applications for GST refunds.
- Volvo mulling launch of BS-VI cars in India before April 2020.
- MPC likely to hold rates citing inflation worries, says ICRA.
- Salil Parekh ‘holistically' a good candidate for Infosys CEO: Kiran Mazumdar Shaw.
- Biocon, Mylan get U.S. FDA approval for biosimilar to Roche's cancer drug.
- Virat Kohli becomes the first captain to score six test double centuries.
- U.S. Senate passes tax-cut bill in milestone move.
- Soon, policy to restrict pet coke imports: Oil Minister.
- Inshorts to raise $15 million, Tiger Global to lead funding round.
- Lenders approve Bajaj Hindusthan's Rs 8,285 crore debt recast.
- NSE co-location case: Probe gathers steam, SFIO may be roped in.
- Privatise ONGC, selling 18% can fetch rs 41,000 crore: Employees.
- BCCI must choose which tiger to ride.
- Indian army veterans' startup claims to be first to crack Facebook's AI challenge.
- Exclusive: ‘Don't raise the income tax exemption threshold further'.
Privatise ONGC, say the company's executives, officials and employees. https://t.co/2ngmGsHVvW
December 4, 2017Earnings To Watch
- Alphageo
- Fiem Industries
- GPT Infra
- Lumax Auto
- Nestle India
- Sandur Manganese
- Shirpur Gold
- Shree Pushkar Chemicals
- Southern Petro
- Virinchi
Earnings Reaction To Watch
Setco Automotive (Q2, YoY)
- Revenues up 31 percent at Rs 135 crore.
- Net profit up 1,300 percent at Rs 14 crore.
- Other income of Rs 7 crore.
- Ebitda up 54 percent at Rs 18.5 crore.
- Margins at 13.7 percent versus 11.7 percent.
Mahindra Logistics (H1, YoY)
- Revenues up 37 percent at Rs 1,688 crore.
- Net profit up 29 percent at Rs 28.7 crore.
- Ebitda up 48 percent at Rs 51.8 crore.
- Margins at 3.1 percent versus 2.9 percent.
Vijay Mallya to return to U.K. Court as extradition trial begins.https://t.co/0rZ1mCk2JG pic.twitter.com/U5MCBT6X2J
December 4, 2017Bulk Deals
- Digjam: JSL Enterprises bought 4.55 lakh shares or 0.5 percent equity at Rs 18.85 each.
- Sri Adhikari Brothers: Canara Bank Securities sold 2.17 lakh shares or 0.6 percent equity at Rs 18.9 each.
- Sadbhav Infra: Xander Investment Holding XVII sold 1.20 crore shares or 3.4 percent equity stake at Rs 136.02 each.
- Hubtown: Epoch Synthetics sold 3.8 lakh shares or 0.5 percent equity at Rs 134.3 each.
- Apcotex Industries: Promoter Devanshi Anant Veer Jalan sold 1.26 lakh shares or 0.6 percent equity at Rs 471.05 each.
Escorts
- Benefit and Welfare Trust sold 36 lakh shares or 2.9 percent equity at Rs 701.15 each.
- Emerging Markets Equity Fund bought 23.7 lakh shares or 1.9 percent equity at Rs 697.65 each.
5Paisa Capital
- Altavista Capital India Fund bought 1.19 lakh shares or 0.5 percent equity at Rs 199.89 each.
- Lobco bought 88,906 shares or 0.5 percent equity at Rs 198.83 each.
Mold Tek
- UNO Metals bought 2.08 lakh shares or 0.8 percent equity at Rs 74.91 each.
- NG Industries sold 2.10 lakh shares or 0.8 percent equity at Rs 75.54 each.
Salil Parekh was best available candidate for Infosys CEO role, says Kiran Mazumdar Shaw. @nsd308 reports.https://t.co/uOUwoCqc1x pic.twitter.com/J8M5QmfmAl
December 3, 2017F&O Setup
- Nifty December futures trading at 10,154, premium of 32 points versus 52 points.
- December Futures: Nifty open interest up 3 percent , Bank Nifty OI up 8 percent.
- India VIX at 14.7, up 9 percent.
- Max OI for Dec. series at 10,500 Call, OI at 57.8 lakhs, OI up 17 percent.
- Max OI for Dec. series at 10,000 Put, OI at 791 lakhs, up 15 percent.a
F&O Ban
No securities in ban.
Put-Call Ratio
Nifty PCR at 1.20 versus 1.32.
Nifty Bank PCR at 0.96 versus 0.92.
The SFIO may be asked to delve into possible violations of corporate law in the NSE co-location case.https://t.co/Dy1hI1dgZg
December 3, 2017Bulk Deals
IDFC's India Strategy
- Expect Nifty earnings to register 15.1 percent compounded annual growth rate by March 2019.
- March 2019 Nifty earnings per share target at Rs 579. i.e., 20.9 percent YoY growth.
- Asset-heavy and export-oriented industries to do well as global economy recovers.
- Consumption to find growth impetus from retail credit.
- Overweight on engineering and capital goods, construction, metals and mining, oil and gas, consumer goods, automobiles, media and pharmaceuticals.
- Top large-cap picks: SBI, ONGC, Motherson Sumi, HPCL, Hindalco, BEL, Aurobindo Pharma, & Ashok Leyland.
- Top mid/small cap picks: Kajaria Ceramics, SpiceJet, Ashoka Buildcon, Greenply Industries.
- Top sell: Bajaj Auto.
Edelweiss On DLF
- Maintained ‘Buy'; hiked price target to Rs 273 per share from Rs 185.
- Balance sheet recovery to provide significant operational flexibility.
- NCR residential segment to be focus area.
- Expect gradual uptick in DLF's operations in coming quarters.
- Positives: Key beneficiary of consolidation, steady rental portfolio, improvement in balance sheet.
Jefferies On Cement
- Cement sector is facing two headwinds in the near term.
- Pet coke ban could lead to 2-11 percent cut in operating income.
- Sand mining ban to impact demand in at least five states.
- Demand will remain subdued in the near term.
- Dalmia Bharat: Downgraded to ‘Hold' from ‘Buy'; cut price target to Rs 2,957 from Rs 3,038.
- ACC: Maintained ‘Underperform'; raised price target to Rs 1,502 from Rs 1,359.
- Ambuja: Maintained ‘Underperform'; raised price target to Rs 238 from Rs 203.
- Shree Cement: Maintained ‘Hold'; raised price target to Rs 18,188 from Rs 18,109.
- UltraTech: Maintained ‘Hold'; raised price target to Rs 4,210 from Rs 3,585.
CLSA On Infosys' New MD & CEO
- Salil Parikh's appointment is a promising choice.
- Salil brings tenured experience with added advantage of working in a global firm.
- This is perhaps the best of three outcomes for Infosys.
- Positives: hire an external CEO within three months and with a long tenure.
Exporters file over 10,000 applications for GST refunds.https://t.co/VckG9AeFrE pic.twitter.com/PtcsDRJhwp
December 4, 2017Media Reports
- Warburg Pincus joins 3-way race for Rs 3,400 crore CAMS deal (Times of India).
- FII invested $3 Billion in equities in November, the highest since March (Mint).
- Bid deadline for stressed steel firms extended (Business Standard).
New 'stay calm, don't panic' CEO aims to steady troubled Infosys.https://t.co/KZFGOL0ekG pic.twitter.com/Yt9bHFWGbl
December 4, 2017
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