Stocks To Watch: Emami, Infosys, SBI, Wipro, Yes Bank 

Asian stocks and U.S. equity futures climbed Wednesday amid optimism that progress is being made in developing a defense against the coronavirus. The dollar retreated. Shares in Japan, South Korea and Australia gained and S&P 500 contracts rose as Moderna Inc.’s Covid-19 vaccine produced antibodies in all patients tested in an initial safety trial.

Here are the stocks to watch in trade today:

• SBI: Shareholders give nod to raise Rs 20,000 crore by way of follow-on-public offer, private placement, including QIP or any other more thereof.
• Yes Bank: Board approved allotment of 341.5 crore equity shares to anchor investors at Rs 12 per share (lower end of the price band), which may be subject to change upon determination of the offer price. Board has approved allotment to 14 anchor investors such as Bay Tree India Holdings, HDFC Life Insurance, Amansa Holdings, Hinduja Leyland Finance. Board to meet on or after July 18 for the purpose of determining the offer price and the anchor investor offer price.
• Wipro to acquire IVIA Servigos de lnformitica for $22.4 million. The target company provides lT solutions including system development, maintenance, consulting and project management services to clients in different sectors such as financial services, transportation, retail, healthcare, consumer goods and manufacturing in Brazil. The transaction is expected to be completed during the quarter ending Sept. 30, 2020.
• Oberoi Realty: Board approved raising upto Rs 2,000 crore via equity sale and raise up to Rs 1,500 crore via debentures.
• Emami: The Emami group has completed the sale of Emami Cement Nuvoco Corporation at an enterprise value of Rs 5,500 crore.
• Shankara Building Product on Covid-19 impact: Currently 70% of company’s locations are operational.
• Coffee Day Enterprises: Nithin Bagamane resigned as interim chief operating officer with effect from July 14. He will continue as a member of executive committee.
• Asian Granito India has received letter from Union Bank of India stating that the Bank has approved release of Corporate Guarantee of Rs. 42.80 Crores against credit facilities enjoyed by company’s arm Camrola Quartz.
• Mahanagar Gas: Vontobel AMC increases stake from 4.95% to 5.21% on July 13.
• Bharat Electronics: Airports Authority of India has entered into a memorandum of understanding with the company, providing a platform for both the companies to collaborate and support each other to address the emerging global opportunities in the airport business,including those in the Asia Pacific region.
• Rossari Biotech gets about 3 times demand for shares offered in its initial public offer. Offer closes on July 15.
• Prestige Estates Projects arm acquired 30.21% equity stake and optionally convertible preference shares representing 4.57% of preference share capital, in DB Realtors (BKC).
• India Ratings and Research has downgraded HEG’s long-term issuer rating to 'IND AA-' from 'IND AA'. The outlook is stable. The downgrade reflects a significant fall in the price of graphite electrode over the second half of fiscal 2020, resulting in a sharp compression in the spreads between electrode prices and its raw material needle coke, coupled with a significant inventory valuation hit.

Nifty Earnings

Wipro Q1 (Consolidated, QoQ)

• Revenue down 5.3% at Rs 14,922 crore (Est Rs 14,414 crore)
• IT service revenue down 7.3% at $1,922 million (Est $1,945 million)
• Net profit up 2.8% at Rs 2,411 crore (Est Rs 2,069 crore)
• Ebit up 1.3% at Rs 2,573 crore (Rs 2,322 crore)
• Margins at 17.2% versus 16.1% (Est 16.1%)
• Operationally strong, ahead of consensus
• Rupee depreciation helps in margin improvement

Other Earnings

Oberoi Realty Q1 (Consolidated, YoY)*

• Revenue down 80.4% at Rs 118 crore (Est Rs 291 crore)
• Net profit down 81.5% at Rs 28.1 crore (Est Rs 55 crore)
• Ebidta down 75.4% at Rs 57.9 crore (Est Rs 107 crore)
• Margins at 49.1% versus 39%
• Higher margins due to drastic fall in operational costs
• Company has not recognized revenue of Rs 33.3 crore in respect of contracts with its lessees in its mall.
• Real Estate segment revenue down 80% at Rs 115.5 crore
• Hospitality segment revenue down 92% at Rs 2.5 crore

Oberoi Realty Q4FY20 (Consolidated, YoY)

• Revenue up 7.3% at Rs 615.5 crore (Est Rs 491 crore)
• Net profit up 61.1% at Rs 251 crore (Est Rs 136 crore)
• Ebitda up 76.7% at Rs 370.5 crore (Est Rs 214 crore)
• Margins at 60.2% versus 36.6%
• Inventory gain of Rs 206 crore in base quarter impacted operational numbers
• Topline numbers above expectations

*(Results came for both quarter for Oberoi Realty)

Delta Corp Q1 (Consolidated, YoY)

• Revenue down 74.1% at Rs 48.3 crore
• Net loss at Rs 28.2 crore versus Net profit at Rs 42.5 crore
• Ebitda loss at Rs 33.1 crore versus Ebidta gain at Rs 67.7 crore
• No revenue reported for gaming and hospitality operations
• Online gaming segment revenue up 60% at Rs 57 crore
• Adda52 has seen a revenue surge and growth at a faster pace
• Company has paid fees of license of Rs 25.3 crore in current quarter and has made representation to Goa Government for the waiver of the casino license fees

Earnings Today

Q1FY21

• Infosys
• Larsen & Toubro Infotech
• Bandhan Bank
• GTPL Hathway
• Federal Bank

Q4FY20

• Minda Corporation

Pledged Share Details

• DB Corp promoter DB Consolidated released pledge of 25 lakh shares on July 13
• Olectra Greentech promoter MEIL Holdings created pledge of 1.06 crore shares on July 9
• Jindal Steel and Power promoter OPJ Trading revoked pledge of 26 lakh shares on July 6
• Camlin Fine Sciences promoter Ashish Dandekar released pledge of 1.71 crore shares on July 14

(As Reported On July 14)

Bulk Deals

• Eveready Industries: Dabur’s promoters acquired 61.68 lakh shares (8.49%) at Rs 81.8 per share and IL&FS Financial Services sold 51.48 lakh shares (7.08%) at Rs 81.8 per share and Vistra ITCL sold 12.19 lakh shares (1.68%) at Rs 81.85 per share.
• Cosmo Films: Anvil Wealth Management acquired 1 lakh shares (0.52%) at Rs 372.81 per share.
• Akshar Chem: UBS Principal Capital Asia sold 58,868 shares (0.72%) at Rs 229.73 per share.

Who’s Meeting Whom

• Mahindra and Mahindra to meet LIC Mutual Fund on July 16

Trading Tweaks

• FPO opens: Yes Bank
• IPO Closes: Rossari Biotech
• AGM Date: Reliance Industries, Wendt, Tube Investments, Advanced Enzyme, Bombay Dyeing, Castrol, Tata Steel Long Products
• Fund Raising: SBI
• Price Band Revised From 10% To 5%: BGR Energy Systems, Inspirisys Solutions, Tera Software
• Price Band Revised From 20% To 10%: Neuland Laboratories
• Record Date Share Split: Kuantum Papers (10:1)
• Move Into Short-Term ASM Framework: Simplex Infrastructures
• Move Out Of Short-Term ASM Framework: Muthoot Capital Services, Indian Terrain Fashions, Orient Cement, Paisalo Digital, Genus Power Infrastructures, Capacit'e Infraprojects.

F&O Cues

• Nifty July futures closed at 10,614, premium of 7 points versus premium of 5 points
• Nifty July futures open interest down 5%, sheds 5.7 lakh shares in open interest
• Nifty Bank July futures closed at 21,397, premium of 5 points versus premium of 85 points
• Nifty Bank July futures open interest down 7%, sheds 1.2 lakh shares in open interest

Nifty Monthly Expiry: July 16

• Max open interest on call side at 10,800 strike (36.7 lakh shares)
• Max open interest on put side at 10,500 strike (22 lakh shares)
• Active options: 10,300 Put (-4.5 lakh shares), 10,700 Call (+22.7 lakh shares)

Nifty Monthly Expiry: July 30

• Max open interest on call side at 11,500 strike (26.2 lakh shares)
• Max open interest on put side at 10,000 strike (32.1 lakh shares)

Ban List

• In Ban: SAIL, Century Textiles, Equitas, Sun TV, Idea, PNB, Escorts, Can Bank, Mindtree
• New In Ban: Sun TV, Can Bank, Mindtree
• Out Of Ban: Glenmark