Ajit Mishra, VP - Research, Religare Broking Ltd
Markets started the week on a muted note and ended almost unchanged, taking a breather after the recent surge. After the initial uptick, the Nifty index hovered in a narrow band and finally settled around the day’s low to close at 18,332 levels. Meanwhile, a mixed trend on the sectoral front kept the participants busy wherein metal, realty and IT posted decent gains. The broader indices also failed to attract much traction and ended flat to marginally in the green.
Though we’re just inches away from the record high, the absence of momentum is keeping the participants, especially traders, on their toes. Besides, the lack of broader participation is further adding to their worries. Amid all, we reiterate our view to focus on identifying the top performers from across sectors and utilise intermediate pauses & dips to add them gradually.
Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities
Markets exhibited sideways movement in a lacklustre trading session and ended lower as traders booked profit in select counters after the last week's robust upsurge. Lack of fresh positive triggers from the global front prompted investors to trim their holdings, but any uptick in crude oil prices & currency movement could fuel a fresh round of profit-taking.
On daily charts, the Nifty has formed a small bearish candle which is indicating indecisiveness between the bulls and bears. For the index, 18250 and 18200 would be key support zones, and above the same it could retest the level of 17390. Any further upside could lift the index up to 17500. Below 18200, any uptrend would be vulnerable.
Gaurav Ratnaparkhi, Head of Technical Research, Sharekhan by BNP Paribas
The Nifty had crossed the level of 18300 in the penultimate session. On November 14, it witnessed a brief consolidation above this level. The hourly chart shows that a rising trendline drawn from the previous key swing highs acted as a resistance near 18400.
On the downside, the zone of 18300-18200 is now acting as a support as per the principle of role reversal.
It is crucial to observe whether the Nifty manages to sustain above this area in order to keep the upside trajectory intact. On the other hand, breach of this zone will drag the index again to 18000
Vinod Nair, Head of Research at Geojit Financial Services.
Although there were favourable domestic indicators, the market was under pressure due to weakness in the US and other Asian markets. India's wholesale inflation dropped below forecasts, aided by a slowdown in the prices of manufactured goods and fuel & electricity.
The domestic CPI, which is anticipated to continue the trend, will boost confidence in the Indian market as it will lessen the risk indicators for the RBI to maintain its hawkish stance.
Rupee Close:
Indian rupee closed44 paise lower at 81.25 per dollar versus Friday's close of 80.81.
Market Close:
Benchmark indices ended in the red amid volatility on November 14.
At Close, the Sensex was down 170.89 points or 0.28% at 61,624.15, and the Nifty was down 20.50 points or 0.11% at 18,329.20. About 1662 shares have advanced, 1851 shares declined, and 141 shares are unchanged.
Hindalco Industries, Apollo Hospitals, Tata Motors, Grasim Industries and Kotak Mahindra Bank were among the top Nifty gainers, while losers were Dr Reddy's Laboratories, ITC, Coal India, HUL and SBI.
Among sectors, realty and metal index up 1 percent each, while FMCG index down 1 percent
The BSE midcap and smallcap indices ended flat.
Goldman Sachs View On BHEL:
-Sell rating, target at Rs 30 per share
-Weak results; path to profitability still uncertain
-Lack of opportunities on thermal power
-Diversification away from its key segment is likely to be gradual
-Expect company to turn profitable in FY24, reported CNBC-TV18.
Buzzing
Ircon International has clocked a strong 38.4% year-on-year growth in consolidated profit at Rs 174.2 crore led by healthy top line and operating performance though margin contracted a bit.
Revenue from operations for the quarter grew by 47% to Rs 2,238.9 crore and EBITDA increased by 43% to Rs 199.7 crore compared to year-ago period. The total order book as of September FY23 stood at Rs 40,020 crore.
CLSA View On Ashok Leyland:
-Upgrade to buy, target at Rs 177 per share
-Q2 below estimates, staff costs offset sequential gross margin expansion
-Optimistic on further growth in CV demand
-Increase FY23/24 EBITDA estimates by 9-37%, reported CNBC-TV18.
Ashok Leyland was quoting at Rs 152.75, up Rs 5.05, or 3.42 percent on the BSE.
Worst may be over for OMCs due to debt increase in Q2, depreciating rupee: Fitch
The worst may be over for Indian oil marketing companies (OMCs) including India Oil, Bharat Petroleum, and Hindustan Petroleum, after a significant debt increase in the second quarter of the current financial year on marketing losses, a depreciating rupee and high working-capital needs, according to Fitch Ratings.
The credit rating agency expects the marketing segment to turn profitable from FY24. The retail losses from auto fuel prices that have been frozen for around six months amid elevated crude oil prices kept the OMCs’ profitability under pressure in 2QFY23, said Fitch in its report.
Buzzing
Fortis Healthcare has registered a massive 67% year-on-year increase in consolidated profit at Rs 218.24 crore for the quarter ended September FY23, driven by exceptional gain, higher other income and lower tax cost. Consolidated revenue rose by 9.9% to Rs 1,607 crore and EBITDA increased 6.5% to Rs 302.9 crore compared to same period last year.
Buzzing
MOIL has recorded a 54.7% year-on-year fall in profit at Rs 27.3 crore for the quarter ended September FY23 impacted by lower topline as well as weak operating performance. Revenue for the quarter declined by 34.3% to Rs 236 crore and EBITDA tanked 59% to Rs 33 crore with margin falling by 12 percentage points compared to year-ago period.
Pharma stocks slip on concerns over first anti-competitive US lawsuit against ‘Revlimid’ makers
Pharma stocks like Natco Pharma, Cipla, and Dr Reddy’s Laboratories clocked some losses in the range of 1-4 percent in trade on November 14 after a Macquarie note suggested that an anti-competitive lawsuit being filed against anti-cancer and anti-myeloma drug Revlimid’s makers will open up a Pandora’s Box for other lawsuits.
Walgreens and Kroger Specialty Pharmacy filed a civil antitrust lawsuit against Celgene Corp, Bristol-Meyers Squibb (BMS), Natco Pharma, and Teva Pharmaceuticals regarding anti-cancer and anti-myeloma drug Revlimid, according to Macquire’s note on November 14, 2022. The answers from the defendants concerning the current lawsuit are due on January, 2023. Read More
Kaynes Technology IPO bought 18.68 times on last bidding day
Electronics manufacturing company Kaynes Technology India has received healthy response for its initial public offering with investors picking up 19.55 crore shares against an offer size of 1.04 crore, subscribing 18.68 times on November 14, the final day of bidding.
Retail investors have bid shares 2.8 times the allotted quota, while the reserved portion of employees was subscribed 8.11 times.
Qualified institutional buyers have bought 50.06 times the portion set aside for them, and high networth individuals 15.18 times.
Check out stocks that are witnessing a huge surge in volumes traded today as compared to their 5-day average traded volume. Click to View More
Market at 3 PM
Benchmark indices were trading lower amid volatility.
The Sensex was down 95.46 points or 0.15% at 61699.58, and the Nifty was down 0.70 points or 0.00% at 18349. About 1575 shares have advanced, 1778 shares declined, and 130 shares are unchanged.
PNC Infratech Q2 Results:
PNC Infratech has posted net profit at Rs 132.1 crore in the quarter ended September 2022 against Rs 132.5 crore and revenue was down at Rs 1,795 crore versus Rs 1,798 crore, YoY.
PNC Infratech was quoting at Rs 256.35, down Rs 5.15, or 1.97 percent on the BSE.
Here are the stocks that have touched their 52 week highs during the day; Click to get full list
BSE Realty index rose 0.6 percent led by the Indiabulls real Estate, Sobha, Oberoi Realty
HEG & Graphite India Shine In Trade
Graphite electrode makers like HEG and Graphite India have rallied for second consecutive session. Both the companies have reported decent set of September quarter numbers. In a bit of a positive development, needle coke and other input costs have been stabilizing for these companies. The recent announcement of the increased government spending on Indian infrastructure and the revival of key sectors such as construction, mining, capital goods and automobiles could have a positive impact on steel production and electrode demand.
However, Graphite India’s presentation suggests that demand for graphite electrodes and realisations are expected to remain volatile in the near term while cost inflation may further squeeze margins.
Graphite India is up 2 percent in trade today, quoting at Rs 371.40 apiece on the National Stock Exchange. HEGhas gained 5 percent and is quoting at Rs 1,053 apiece.
Buzzing
Indiabulls Real Estate has reported a 10-fold year-on-year increase in profit at Rs 56.5 crore for quarter ended September FY23 largely driven by operating performance, but revenue from operations fell 44.4% YoY to Rs 194 crore for the quarter.
EBITDA at Rs 91 crore for the quarter increased by 306% YoY, and margin jumped 40 percentage points as cost of land, plots, constructed properties and others dropped significantly.
Nifty Metal Index Surges For Second Consecutive Session
Nifty Metal Index trades higher for second consecutive session after China eased some Covid rules, raising hopes of demand recovery in the world’s second largest economy.
China has reduced the amount of time travellers and close contacts of virus cases must spend in quarantine, and pulled back on testing. The move is in line with the commodities surge across LME.
JPMorgan On Container Corporation of India:
-Overweight call, target at Rs 860 per share
-Q2 seems more in-line post revenue clarification
-DFC is delayed but partial commissioning still benefits
-Company will retain its terminals at original rental & will have RoFR
-Model FY22-25 10% volume, 16% revenue & 19% profit CAGR, reported CNBC-TV18.
Container Corporation of India was quoting at Rs 767.65, down Rs 0.15, or 0.02 percent on the BSE.
Buzzing
Shilpa Medicare posted consolidated loss of Rs 18.7 crore for quarter ended September FY23 against profit of Rs 20 crore in corresponding period last fiscal impacted by lower top line, and sharp fall in operating margin.
Consolidated revenue from operations fell 11% YoY to Rs 262.9 crore with EBITDA declining 11% to Rs 12.2 crore and margin down more than 13 percentage points compared to year-ago period.
Shilpa Medicare touched a 52-week low of Rs 284.75 and quoting at Rs 292.95, down Rs 4.80, or 1.61 percent.
Kaynes Technology IPO updates
Electronics manufacturing company Kaynes Technology India has received healthy response for its initial public offering with investors picking up 8.6 crore shares against an offer size of 1.04 crore, subscribing 8.82 times on November 14, the final day of bidding.
Retail investors have bid shares 2.2 times the allotted quota, while the reserved portion of employees was subscribed seven times. Qualified institutional buyers have bought 17.82 times the portion set aside for them, and high networth individuals 9.83 times.
Grasim Industries Q2
Standalone net profit was up 1.8% at Rs 964 rore against Rs 947 crore (YoY). Standalone revenue was up 36.7% at Rs 4,933 crore against Rs 4,933 crore (YoY). Standalone EBITDA rose 19.4% at Rs 956 crore against Rs 801.5 crore (YoY). The stock was trading at Rs 1,716.25, up Rs 7.20, or 0.42 percent on BSE. It has touched an intraday high of Rs 1,756.40 and an intraday low of Rs 1,707.20.
Suprajit Engineering Q2: Net profit slipped 7.7% at Rs 45.7 crore against Rs 49.5 crore (YoY). Revenue jumped 45% at Rs 716 crore against Rs 494 crore (YoY).
Lux Industries Q2
Net profit went down 58% at Rs 42.1 crore against Rs 100.4 crore (YoY). Revenue was up 1.4% at Rs 635.6 crore against Rs 627 crore (YoY). EBITDA fell 53.7% at Rs 63.4 crore against Rs 137 crore (YoY). Margin at 10% against 21.8% (YoY). The stock was trading at Rs 1,687.70, down Rs 42.65, or 2.46 percent on BSE. It has touched an intraday high of Rs 1,743.65 and an intraday low of Rs 1,674.50.
Balmer Lawrie Q2
Net profit was up 29% at Rs 22.7 crore against Rs 17.6 crore (YoY). Revenue was up 12.8% at Rs 553 crore against Rs 490 crore (YoY). EBITDA rose 19.2% at Rs 40 crore against Rs 33.5 crore (YoY). Margin at 7.2% against 6.8% (YoY).
Hi-Tech Pipes Q2
: Net profit was down 2.3% at Rs 4.3 crore against Rs 4.4 crore (YoY). Revenue was up 16% at Rs 598.5 crore against Rs 516.2 crore (YoY). EBITDA rose 32.3% at Rs 23.6 crore against Rs 17.8 crore (YoY). Margin at 3.9% against 3.4% (YoY).
Market update at 2 PM: Sensex is down 68.09 points or 0.11% at 61726.95, and the Nifty added 4.70 points or 0.03% at 18354.40.
BSE Power index fell 0.5 percent dragged by the ABB, NHPC, Adani Green
Rajani Sinha | Chief Economist at Care Edge
In line with our expectations, WPI inflation fell to single digit in October after a gap of 18 months. The easing of WPI inflation was aided by softer global commodity prices and a favourable base.
With significant correction in prices of fuel, metals and chemicals in the past 5 months, WPI inflation has been on a downward trend.
Imported inflation due to weaker rupee and high food inflation (for items like cereals and vegetables) will continue to put some upward pressure on WPI inflation. Nevertheless, we expect the wholesale inflation to ease further and scale below the CPI inflation by the fourth quarter of FY23.
The pace of moderation in inflation at the retail level could be relatively muted as producers may not fully pass on the benefits of easing commodity prices to the final consumers.
Mawana Sugars Q2 Results:
Mawana Sugars has reported net loss of Rs 32.5 crore versus Rs 18 crore and revenue was up 1.6% at Rs 341.4 crore versus Rs 336.1 crore, YoY.
Mawana Sugars was quoting at Rs 79, up Rs 0.20, or 0.25 percent.
AIA Engineering Q2 Earnings:
AIA Engineering has recorded 78 percent jump in its net profit 78% at Rs 244.8 crore versus Rs 137.6 crore and revenue was up 50.1% at Rs 1,328.6 crore versus Rs 885.2 crore, YoY.
BSE Fast Moving Consumer Goods index falls 1 percent dragged by the Gujarat Ambuja Exports, Bectors Food Specialities and Associated Alcohols
Abbott India Q2 Results:
Abbott India has posted 38 percent jump in its Q2 net profit at Rs 265.5 crore versus Rs 192.3 crore and revenue was up 12.9 percent at Rs 1,379.5 crore versus Rs 1,222 crore, YoY.
Abbott India was quoting at Rs 19,645.05, up Rs 344.40, or 1.78 percent.
Nifty Information Technology index rose 1 percent led by the Coforge, L&T Technology Services, Persistent Systems
Sakthi Sugars Q2 Earnings:
Sakthi Sugars has posted net profit at Rs 5 crore in the quarter ended September 2022 versus loss of Rs 60.7 crore and revenue was at Rs 242 crore versus Rs 73.5 crore, YoY.
Jefferies View On Alkem Laboratories:
-Kept underperform call, target at Rs 2,803 per share
-Q2 EBITDA missed ests as US price erosion & higher raw material costs continue to hurt
-Company lowered FY23 margin guidance to 15% from 16% on costs pressures
_Near-term margin challenges will limit co’s EBITDA growth, reported CNBC-TV18.
Alkem Laboratories was quoting at Rs 3,148.20, down Rs 23.20, or 0.73 percent on the BSE.
BSE Capital Goods index shed 0.6 percent dragged by the BHEL, Thermax, ABB India
Bharat Forge Q2 earnings:
Bharat Forge has posted 14 percent fall in its standalone net profit at Rs 268.1 crore versus Rs 311.7 crore and revenue was up 16% at Rs 1,864 crore versus Rs 1,606 crore, YoY.
Market at 1 PM
Benchmark indices were trading near the day's low with Nifty below 18350.
The Sensex was down 182.96 points or 0.30% at 61612.08, and the Nifty was down 26.50 points or 0.14% at 18323.20. About 1574 shares have advanced, 1710 shares declined, and 149 shares are unchanged.
Inox Green Energy Services IPO Updates
Kaynes Technology India IPO Updates
Fire incident at Gravita's Mundra plant
Gravita India informed that a fire incident occurred yesterday evening at our Mundra plant situated at Survey no.43 near National highway no.8A, Patri Gundala road, Village Gundala, Taluka Mundra, Kutch (Gujarat).
The fire has been bought under control well in time and there is no loss or injury to human life, it added.
Gravita India was quoting at Rs 345.35, down Rs 8.85, or 2.50 percent on the BSE
Piramal, Bain-promoted India Resurgence Fund invests Rs 550 crore in Impresario
India Resurgence Fund (IndiaRF), promoted by Piramal Enterprises Ltd and Bain Capital Credit, has invested Rs 550 crore in Impresario Entertainment and Hospitality, the company said on November 14.
With the investment, India Resurgence Fund has become the majority stakeholder in Impresario which operates popular food and beverage outlets such as Social, Smoke House Deli, Mocha and Prithvi Cafe.
Moneycontrol was the first to report on June 11 that the fund is looking to gain control of Impressario. It allows L Catterton, the world's largest consumer-focused private equity firm, which is backed by Louis Vuitton owner LVMH , to exit the majority stake in Impresario. Read More
Piramal Enterprises was quoting at Rs 827.65, up Rs 7.45, or 0.91 percent.
Voltas forays into the Bio Medical Refrigeration and Cold Chain
Voltas and Vestfrost Solutions has entered into a Technology License Agreement to develop, manufacture, sell and service medical refrigeration and vaccine storage equipment including Ice lined Refrigerators, Vaccine Freezers and Ultra low temperature Freezers to the India market.
Voltas was quoting at Rs 824.00, down Rs 5.05, or 0.61 percent.
October WPI Inflation stood at 8.39 percent versus 10.70 percent, MoM.
Muthoot Finance aims to grow consolidated AUM by 10% in FY23, MD says
Kochi, Kerala-based Muthoot Finance is targeting a 10 percent increase in consolidated Assets Under Management to grow by 10 percent this financial year, Managing Director (MD) George Alexander Muthoot said in an interview with Moneycontrol.
On November 12, the non-banking financial company reported a 10 percent drop in consolidated net profit for the July-September quarter. Net profit in the quarter fell to Rs 891.86 crore from Rs 1,001.96 crore in the same period last year.
In the interview with Moneycontrol, Muthoot said the company expects to disburse gold loans worth Rs 8,000-9,000 crore every quarter and raise funds worth Rs 300-500 crore through a public issue of bonds next month, the MD said. The gold-focused NBFC is also aiming to open 126 branches by December, he added. Read More
Muthoot Finance was quoting at Rs 1,088.60, up Rs 14.75, or 1.37 percent on the BSE.
