ALSO READIndices snap 6-session losing streak, Sensex rises 318 points; banks lead Indices end flat, Nifty settles at 10,227 levels; PSU banks, metals lose Sensex pares early gains to end 430 pts lower; Nifty PSU Bank index dips 3% Nifty ends below 10,500, Sensex down nearly 300 pts; PSU bank index dips 2% Indices end slightly lower ahead of GDP data; PSU banks, realty stocks fall
Nifty PSU Bank index ends 2.33% Sectoral Trend BSE Sensex gainers and losers Market at close The S&P BSE Sensex ended at 33,857, down 61 points while the broader Nifty50 index settled at 10,427, up 5 points. Reliance Securities on Majesco Limited The company reported strong 3QFY18 results, with revenue rising 4.7% QoQ in USD terms, led by strong order book growth seen in FY18 YTD; cloud revenue rose 5.1% QoQ, aided by investments made, while License revenue grew by a massive 127% QoQ led by new deal wins. Good revenue growth drove a 345bps QoQ rise in EBITDA margin to 4.5%. Industry fundamentals and the key IBM partnership will enable Majesco to boost revenue growth going forward. Cloud offering - ‘Trump Card’: 60-70% of the deal pipeline in the past few months has been for cloud services. Of the addressable market of US$25bn for Majesco, around US$15-16bn relates to the L&A market, while US$9.25bn relates to the US P&C market. We currently have a target price of Rs 730 on the stock. IPO WATCH Bandhan Bank Limited - Subscribe Issue Opens: 15-Mar-18, Issue Closes: 19-Mar-18, Price Band: Rs370-375 Bandhan Bank was able to ride the recent MFI crisis smoothly unlike NBFC-MFIs. So in the current form, it is a robust and resilient micro loan financier with great growth prospects. The bank would likely be able to sustain RoA and RoE near the 4% and 25% mark respectively. We believe long term investors would find post-money valuation at 4.8x P/BV reasonably attractive. A comparable benchmark for valuation would be the recent IndusInd Bank-Bharat Fin transaction wherein the former valued the latter at ~5.2x FY18 P/BV. (Source: IIFL Report)
The S&P BSE Sensex ended at 33,857, down 61 points while the broader Nifty50 index settled at 10,427, up 5 points.