Closing Bell: Sensex extends gain to 4th day, Nifty ends above 22,400; Hindalco, Cipla top gainers

We wrap up today's edition of the Moneycontrol live market blog, and will be back tomorrow morning with all the latest updates and alerts. Please visit www.moneycontrol.com/markets/global-indices for all the global market action.

Markets took a breather after the recent surge and ended marginally higher. After the initial uptick, the Nifty oscillated in a narrow range and finally settled at 22,402. level. Meanwhile, a mixed trend on the sectoral front kept the traders occupied wherein metal, realty and pharma posted decent gains while IT and auto closed subdued. The broader indices outshined the benchmark and gained in the range of 0.4%-0.8%.

We may see further consolidation within the 22,300-22,500 zone in Nifty however the volatility may remain high due to the scheduled expiry of April monthly derivatives contracts. Traders should maintain their focus on sectors/themes that are showing consistency in the trend like metal, auto and defense etc and accumulate them on dips.

Indian markets lagged the Asian peers as Q4 earnings remained largely subdued with weak results from IT and a few index heavyweights results also disappointed. However, buoyed by strong manufacturing and service sectors, the Indian composite PMI hit a multi-year high, reflecting domestic resilience bringing some buoyancy in the broad market. Globally, investor sentiment improved with easing tensions in the Middle East and declining oil prices.

Bharti Airtel, Maruti Suzuki hit fresh 52-week highs on April 24 

Broader markets outperform benchmark; Nifty Midcap 100, Nifty Smallcap 100 rise up to 0.7%

The Sensex was up 114.49 points or 0.16 percent at 73,852.94, and the Nifty was up 34.40 points or 0.15 percent at 22,402.40. About 2,184 shares advanced, 1,458 shares declined, and 134 shares unchanged.

- Equitas SFB reported NIMs at 8.17 percent in Q4FY24 as against 9.1 percent in Q4FY23

- Net interest income rises 4.5 percent YoY to Rs 508 crore in Q4FY24 versus Rs 486 crore in Q4FY23

The Sensex was up 124.05 points or 0.17 percent at 73,862.50, and the Nifty was up 37.50 points or 0.17 percent at 22,405.5. The market breadth was in favour of gainers as around 2,060 shares advanced, 1,194 shares declined, and 101 shares unchanged.

Stock Market LIVE Updates | Nifty Midcap 100 reclaims 50,000-mark; SAIL, United Breweries, Max Health top gainers

Nippon Life AMC reported an over 73 percent on year spike in its net profit to Rs 343 crore from Rs 198 crore in the previous fiscal. Revenue also grew 34.5% to Rs 468.3 crore compared to Rs 348.3 crore in the year ago period.

Shares of SAIL climbed 7%, emerging as the top performer in the BSE Metal index for the day. Traders said the stock was also bolstered by short-covering, apart from a favourable narrative building under its undervaluation compared to peers.

Purvesh Shelatkar, head of institutional broking at Monarch Networth Capital, attributes this rise to a global upturn in metal prices, driven by a robust demand outlook. He notes that iron ore prices have reached their highest level in over six weeks, buoyed by improved steel demand projections from China. Copper prices are also witnessing a surge, contributing to the overall shine in the metal index. Shelatkar attributed SAIL's attractiveness due to its comparatively lower valuation.

Market at 2 PM

The Sensex was up 265.59 points or 0.36 percent at 74,004.04, and the Nifty was up 80.50 points or 0.36 percent at 22,448.50. About 2,133 shares rose, 1,100 fell, and 93 were unchanged.

Shares of telecom companies Indus Towers Ltd and Vodafone Idea fell up to 8 percent on April 24 after Bharti Airtel denied reports that it was in talks to buy Vodafone Group's stake in Indus Towers.

In a regulatory filing, the telco said it had no plans no raise its stake beyond what is required for financial consolidation of Indus Towers in the company.

A media report claimed that Bharti Airtel was in talks to buy UK-based Vodafone Group's 21.05 percent stake in Indus Towers, potentially giving it a controlling stake. If the deal fructifies, the British carrier could infuse some of the proceeds into its debt-ridden Indian arm Vodafone Idea, the report said, citing unnamed sources.

"The company has no desire to raise its stake beyond what is required for financial consolidation of Indus in the Company, which shall be done as and when appropriate with compliance of applicable disclosure requirements," Bharti Airtel said. Read More

Morgan Stanley has given Tata Elxsi an Underweight call with a target of Rs 6,860 per share. Although Q4 results were below expectations, management expressed optimism regarding revenue growth in FY25. However, Morgan Stanley notes that positive commentary may not suffice due to the weight of heightened expectations and steep valuations. They have also adjusted EPS estimates downward by -3.9% for FY25 and -5.4% for FY26.

Jefferies has issued a 'buy' call on 360 One, raising its target to Rs 930 per share. The company reported robust Q4 earnings, driven by sustained momentum in core ARR revenues, which increased by 36% on year, and a one-off jump in TBR, up 90%. The wealth business continues to perform well, with a 35% on year growth in active ARR AUM. However, costs are currently high, although Jefferies anticipates that the AUM scale-up by newly added teams will reduce the cost-to-income ratio (C/I ratio). This AUM expansion is expected to drive a 20% PBT CAGR over FY24-27 according to the brokerage.

Shares of ICICI Prudential Life Insurance Company tumbled over 6 percent to Rs 556.75 following a significant decline in the Value of New Business (VNB). The VNB plummeted by over 26 percent year-on-year to Rs 776 crore in the March quarter.

The drop in the VNB margin to 24.6 percent for FY24, down from 32 percent the previous year, was attributed to a shift in the product mix towards unit-linked business and a higher expense ratio.

VNB, also known as new business profit, is a key metric used to assess the profitability of newly written business contracts. The company's net profit for the March quarter also took a hit, dropping by 26 percent year-on-year to Rs 173.76 crore due to increased expenses.

ICICI Prudential's net premium income surged by 17 percent to Rs 14,788 crore in Q4FY24 compared to Rs 12,629 crore in Q4FY23. Additionally, the insurer's annual premium equivalent (APE) saw a 9.5 percent year-on-year increase to Rs 3,615 crore.

Shares of SME multibagger Remus Pharmaceuticals jumped 20 percent to hit the upper circuit on April 24 after the company announced a bonus issue of shares.

The company informed the bourses that its Board of Directors has approved and recommended the issuance of bonus shares to the equity shareholders of the company in the ratio of 3:1, or three new fully paid-up equity shares of Rs 10 each for every one existing fully paid-up equity share of Rs 10 each.

The company also announced the second interim dividend of Rs 4 per share for FY24. The record date for the purpose of eligibility of payment of the interim dividend shall be May 2, as per the announcement. Read More

Stock Market LIVE Updates | Dhampur Bio Q4 net profit halves

In the fourth quarter, Dhampur Bio's net profit halved on year to Rs 39.4 crore from Rs 80.2 crore in the same period last year. Similarly, revenue decreased by 35.4% to Rs 594.6 crore compared to Rs 921 crore in the year-ago period. The company's EBITDA also saw a downturn, dropping 30.1% on year to Rs 81.1 crore. Despite these challenges, there was a slight improvement in margins, as it expanded to 13.6% in Q4 from 12.6% last fiscal.

Market at 1 PM

The Sensex was up 285 points or 0.38 percent at 74,019, and the Nifty was up 82 points or 0.37 percent at 22,449. The market breadth was in favour of gainers as around 2,396 shares rose, 1,289 fell, and 144 were unchanged.

-- Net profit up 71.9% at Rs628 cr vs Rs365.3 cr (QoQ)

-- Revenue up 2% at Rs17,720 cr vs Rs17,367 cr (QoQ)

-- EBITDA up 53.2% at Rs1,042 cr vs Rs680 cr (QoQ)

-- Margin at 5.88% vs 3.91% (QoQ)

-- Board approves dividend of Rs55 per share

Nestle India shares traded in the green ahead of its earnings report, which is due on April 25. The coffee player is expected to report a 8 percent growth in revenues on the back of price hikes and a strong rural distribution during the quarter.

Nestle India is expected to report Rs 856 crore net profit in Q1CY25, as per mean estimates of seven brokerage firms. The net profit number is expected to increase 22 percent on-year. The company follows a January-to-December calendar year.

The share price has mostly shaken off the impact from reports stating that the FMCG major adds sugar and honey to its infant milk and cereal products in developing countries like India but not in the European markets.

Citi maintained its buy call on Nestle India with a target price of Rs 2,900 apiece, implying a target price of around 16 percent. The international brokerage added that the company's long-term outlook remains intact, and its dominant brands will continue to lead growth.

The Sensex was up 305 points or 0.41 percent at 74,043, and the Nifty was up 90 points or 0.41 percent at 22,460. The market breadth was in favour of gainers as around 2,422 shares advanced, 1201 shares declined, and 150 shares unchanged.

Axis Bank will report its fourth quarter (Q4FY24) financials due later on 24 April. The private lender's profit is likely to be back in black at Rs 6,098 crore in Q4FY24 from a net loss of Rs 5,728 crore in the year-ago period, said analysts.

So far this year, the stock of Axis Bank has declined over 3 percent, underperforming 3 percent gain in benchmark Nifty 50 index.

According to an average estimate of five brokerages, Axis Bank is likely to report a profit of Rs 6,098 crore in Q4FY24 as against net loss of Rs 5,728 crore in the year-ago period due to its merger with Citi. However, sequentially, the lender's net profit is expected to be flat on the back of high base and lower treasury income.

The Sensex was up 368.06 points or 0.50 percent at 74,106.51, and the Nifty was up 102.30 points or 0.46 percent at 22,470.30. The market breadth was in favour of gainers as around 2,178 shares advanced, 922 shares declined, and 92 shares unchanged.

Bharti Airtel said that it is not in any discussion with Vodafone Group to acquire such stake in Indus Towers. The company has no desire to raise its stake beyond what is required for financial

Stock Market LIVE Updates | Nifty Midcap, Nifty Smallcap rise up to 0.5%, outperforms benchmark Nifty 50 index

Stock Market LIVE Updates | Maruti, Eicher Motors among other stocks that hit fresh 52-week high

The ability of bull markets to climb all walls of worries is being demonstrated by the ongoing bull market, which has shrugged off all headwinds, be it geopolitical or economic. The Middle East tensions had only a temporary impact on the market. The scaling down of rate cuts by the Fed from six at the beginning of this year to three or perhaps two or even lower also has not impacted the bull run. And, the indication from the sharp decline in the volatility index VIX by around 20 percent to 10.2 is that the downside risk to the market is low. So it makes sense to remain invested in this market and to continue investing by buying the dips. Since the US 10-year bond yield continues to remain above 4.6 percent, FIIs will remain sellers putting pressure on largecaps like leading private sector banks. For long-term investors, this segment is a buying opportunity.

At 10:00 am, the Sensex was up 273.40 points or 0.37 percent at 74,011.85, and the Nifty was up 71.90 points or 0.32 percent at 22,439.90. The market breadth was in favour of gainers as around 2,133 shares advanced, 794 shares declined, and 108 shares unchanged.

USFDA conducted an inspection at the Injectable Manufacturing site situated at Jarod, near Vadodara from April 15 to April 23, 2024. The inspection closed with 10 observations. The company said that it will closely work with the USFDA to address and respond to the observations in an expeditious manner.

High Grade Farms is a Canada-based company offering a patented algae wastewater treatment technology for sustainably treating liability wastewater and Organic Recycling System

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- Morgan Stanley 'underweight' on MCX, saying that Q4 missed estimates and consensus sharply
- The brokerage firm shared a target price of Rs 2,085 per share for MCX

The market breadth was in favour of gainers as around 1,716 shares advanced, 407 shares declined, and 98 shares unchanged.

Overnight surge in US markets and subsequent gains in Asian equities are pointing towards a firm opening for both Sensex & Nifty. A fall in global crude oil prices towards $83 a barrel raises hopes of easing tensions in the Middle East. Investors are also hoping for easing of geopolitical tensions, and are also expecting for the continuation of the current regime in the general elections, which has helped markets reverse the falling trend over the past few sessions. This is despite FII selling and also uninspiring Q4 results from Reliance and frontline technology companies. The technical landscape suggests Nifty’s major support at 22,200 mark, with interweek support at 22,000 and then at 21,710 mark.

- Q4 PAT misses estimates and consensus sharply
- Operating revenue was also lower than estimate
- Await details on the call as to breakdown for the same
- Costs were higher versus estimate as well
- Focus on understanding recurring costs better

- Tariff order was a negative surprise
- Cut FY25/26 standalone earnings 28 percent or 23 percent
- The company's long term fundamentals remain solid
- Strong fundamentals as the company will be the only network connected with all five LNG terminals in Gujarat

- A fall in margin offset healthy premium growth of 10 percent on high base
- Expect Growth To Improve From FY25 As Investment In Channels Set In
- Expect Growth To Improve From FY25 As Normalcy In ICICI Bank's Contribution Set In
- Expect Lower Sensitivity Of VNB, Mortality Costs & Opex

The NSE has retained Hindustan Copper, Vodafone Idea, and Zee Entertainment Enterprises to the F&O ban list for April 24. Biocon, Piramal Enterprises, and SAIL were removed from the said list.

-Company reported a 9% YoY cons increase in rev in Q4 versus estimate of 11% growth ex-acquisitions
-Gross margin improved By 400 bps YoY
-EBITDA margin improve by 190 bps YoY to 16.1%, 90 bps above estimate
-Absolute EBITDA was 3% higher
-Higher depreciation and amortisation charges led to a 6% miss on pre-exceptional PAT

Extreme weather events along with prolonged geopolitical tensions could pose a risk to India’s inflation trajectory, even as growth in the South Asian nation exhibits an uptrend, the Reserve Bank of India (RBI) said in its latest bulletin on Tuesday.

"The food price pressures have been interrupting the ongoing disinflation process even as shocks from adverse climate events and geopolitical tensions add uncertainties to the outlook," the RBI staff said in a 'State of the Economy' article.

India is likely to experience more heat-wave days than normal between April and June, the country’s weather office said earlier this month. Read More

Hindustan Unilever (HUL) is expected to report subdued Q4 earnings, as rural demand remained muted, dragging volume growth during the quarter.

According to a Moneycontrol poll of nine brokerage estimates, the FMCG major is likely to report a revenue of Rs 14,913 crore, clocking an on-year fall of around one percent from Rs 15,053 crore in the same quarter of the previous year.

As per the poll, the consumer staples giant will see a profit of Rs 2,435 crore, down by almost four percent from the year-ago quarter.

The EBITDA margin expected to decline owing to higher royalty pay-outs, rising ad spends and lower sales growth, as per experts. Read More

The dollar nursed its wounds on Wednesday following big tumbles against the euro and sterling, hurt by a combination of surprisingly robust European activity data and cooling U.S. business growth.

However the yen remained mired near a 34-year low versus the U.S. currency, even as Japanese officials stepped up intervention warnings.

The dollar index - which measures the currency against six major peers including the euro, sterling and yen - was flat at 105.64 in early Asian trading after slumping 0.4% overnight and touching the lowest level since April 12 at 105.23.

Q4 was a miss but management sounded constructive on revenue growth in FY25
Good commentary may not be enough given burden of higher expectations, and steep valuations
EPS cut of -3.9% and -5.4% for FY25 and FY26

Oil prices rose in early trade on Wednesday, adding to gains in the previous session, after industry data showed a surprise drop in U.S. crude stocks last week, a positive sign for demand, and attention shifted away from hostilities in the Middle East.

Brent crude futures rose 9 cents, or 0.1%, to $88.51 a barrel and U.S. West Texas Intermediate crude futures gained 10 cents, or 0.11%, to $83.45 a barrel.

The Nifty remained sideways throughout the session as it failed to provide any directional breakout. However, the overall trend remains positive as the index closed above the critical moving average.

The Relative Strength Index (RSI) is showing a bullish crossover with a reading below 60.

On the higher end, the range of 22350-22400 is likely to act as a resistance zone; a decisive breakout above 22400 might trigger a rally in the market. On the lower end, support is positioned at 22250; a breach below this level might weaken the bullish sentiment.

Japan's Nikkei led gains in Asia as markets in the region rose across the board, following Wall Street's continued rally for a second straight day.

The Japanese benchmark jumped 2.02 percent, the Kospi was up 1.7 percent and Hang Seng up 1 percent.

: Trends on GIFT Nifty indicate a positive start for the broader index in India, with a gain of 73 points or 0.33 percent. The Nifty futures were trading around 22,449.50 level.

US stocks closed higher on Tuesday following positive earnings from top-tier companies and as investors were focused on quarterly results from Magnificent Seven and other megacap growth stocks.

The Dow Jones Industrial Average rose 263.71 points, or 0.69%, to 38,503.69, the S&P 500 gained 59.95 points, or 1.20%, to 5,070.55 and the Nasdaq Composite gained 245.34 points, or 1.59%, to 15,696.64.

The Indian market squandered most of the day’s gains in last-hour selling on April 23 and closed with modest gains to end higher for a third session in a row.

At close, the Sensex was up 89.83 points, or 0.12 percent, at 73,738.45, and the Nifty was up 31.60 points, or 0.14 percent, at 22,368.

The market opened in the green on positive global cues as fears of an escalation in West Asia eased and volatility feel sharply. However, profit booking in the final hour erased most of the gains.

Grasim Industries, Bharti Airtel, Nestle India, Maruti Suzuki and HCL Technologies were among major Nifty gainers, while losers included Sun Pharma, BPCL, Reliance Industries, M&M and Hindalco Industries.

Among sectors, healthcare, metal, oil & gas and energy were down 0.3-0.8 percent, while FMCG, power, IT, realty and auto were up 0.4-2 percent.

The BSE midcap index rose 0.5 percent and the smallcap index gained a percent.