MARKET WRAP: Sensex adds 234 pts, Nifty holds 11,650; YES Bank up 10%

The indices touched intra-day highs of 39,174 level at the Sensex and 11,670 level at the Nifty50.

3:42 PM

Sectoral trends on NSE at close

3:42 PM

Top gainers and losers on S&P BSE Sensex at close

3:41 PM

Market at close

3:40 PM

Market at close

3:38 PM

Closing Bell

The benchmark S&P BSE Sensex settled 234 points, or 0.60 per cent, higher at 39,131 levels while the broader Nifty50, too, ended with gains of 74 points, or 0.64 per cent, at 11,663 levels. 

3:29 PM

Q1 results preview: Poor sales likely to dent earnings of auto companies

Earnings of automobile companies in the April-June quarter (Q1) of 2019-20 (FY20) are likely to be severely hit by poor sales volumes in the three months. The sales in this quarter are among the worst in over a decade.

 

A poll of five brokerages — Motilal Oswal, Edelweiss Securities, Antique Broking, Citi and Prabhudas Lilladher — estimate that the combined net profit of auto companies will drop by a third and net sales revenue will decline 10.5 per cent year on year (YoY) READ MORE

3:25 PM

Wipro Q1FY20 preview: Analysts see modest revenue growth, EBIT margin dip

Motilal Oswal Financial Services

 

The brokerage firm pegs profit after tax (PAT) at Rs 2500 crore, up 33 per cent from a profit of Rs 2,099 crore during the same quarter last year. On a sequential basis, however, MOFSL expects a flat growth in PAT of 1.5 per cent over as compared to Rs 2,483.5 crore clocked during the January-March 2019 quarter.
READ MORE

3:13 PM

IIFL on Infosys

Management sounded confident on deal pipeline, but cautious on parts of BFSI, Manufacturing and Life Sciences. INFO strengthened its capital allocation policy to return 85% of free cash flows (from 70%) going forward. We fine tune our estimates and maintain target price of Rs 780. Margin improvement and reduction in attrition remain key for further re-rating of the stock. Maintain BUY.

3:11 PM

Edelweiss on Vedanta

Our analysis of Vedanta’s (VEDL) FY19 annual report indicates that: 1) zinc and oil & gas divisions will drive growth; 2) balance sheet is strong to meet capital and debt commitments; and 3) dividend yield (10% plus) over the next two years is likely to sustain.

On the flip side, we see concerns arising from: 1) low importance to local hiring & content and public policy & advocacy in materiality matrix; 2) INR44bn contingent liability on tax disputes related to the oil & gas division; and 3) profit concentration in two divisions. At CMP, we believe risk-reward is balanced. Maintain ‘HOLD’ with target price of Rs 175. The stock is currently trading at 3.4x FY21E EBITDA

3:11 PM

Centrum on Karnataka Bank

We have revised our loan growth estimates over FY19-21E downward and FY21E provisons upwards which may negatively impact the FY21ABV by 7.8%. Hence we maintain a multiple of 0.9x FY21E ABV but reduce our TP to Rs131 from Rs142. Risks to our call include lower loan growth and stress in corporate / SME

3:09 PM

Motilal Oswal Securities on ICICI Prudential Life Insurance

We estimate earnings growth to turn positive at 9% CAGR over FY19-21 led by: (a) Protection business continuing to grow at a robust pace, thus driving margins, (b) improved operating leverage aided by increasing use of technology, and, (c) recovery in the core savings business. We estimate IPRU to report ~22% CAGR in VNB over FY19-21E  led by 17% CAGR in new business APE while operating RoEV is expected to sustain at ~19%. Maintain BUY with price target of Rs 475/share (2.3x Mar-21E EV).

3:08 PM

Kotak on consumer sector

The KIE consumer universe (ex-ITC) underperformed the broader markets, down 3% over the past one month. Fall in crude price augurs well; some inflation for agri-commodities. We noticed increased new product launch activity centered at leveraging the fast-growing e-commerce and modern trade channels. The sector remains expensive despite some recent underperformance; top picks: JUBI, ITC, CLGT and MRCO.

3:05 PM

NEWS ALERT | Moody's affirms ONGC's 'Baa1' rating; outlook stable: CNBC TV18

3:04 PM

Wipro trades flat

2:54 PM

Real estate developers at risk as stress in credit market dries up funding

India’s year-old credit woes that began after a shock default by the IL&FS Group continue to linger, with many mortgage lenders struggling to roll over debt amid downgrades in their credit ratings. Shadow banks that lent heavily to developers in recent years are among the worst hit, as the recovery in housing sales remains tepid amid a slowdown in the nation’s economic growth. READ MORE

2:46 PM

Federal Bank Q1 net profit up 46% to Rs 384 crore as bad loans ease

Total income of the bank increased to Rs 3,620.82 crore for the quarter, against Rs 2,938.24 crore in the year-ago period, the bank said in a regulatory filing.

 

It earned Rs 3,229.30 crore as interest income in the June quarter of this financial year, up from Rs 2,667.38 crore a year ago. READ MORE

2:36 PM

Result impact | HDFC AMC rises over 1.5% on 42% rise in PAT

2:33 PM

Market check

2:33 PM

Market check

2:29 PM

Earnings Alert | HDFC AMC reports Q1FY20 nos

-- Net profit at Rs 292 crore, up 42.2% YoY

-- Revenue at Rs 505.4 crore, up 7% YoY

2:28 PM

Nomura sees Nifty hitting 12,900 by March 2020, up 11% from current levels

Global financial services major Nomura has pencilled in a double-digit gain for Indian markets by the end of the financial year. The target for the National Stock Exchange's Nifty index is 12,900, an 11 per cent gain from current levels. "Portfolios geared away from consumption, which is facing a slowdown, and towards a pick-up in the investment cycle may benefit," said Saion Mukherjee, managing director and head of India equity research at Nomura, speaking at a media roundtable in Mumbai on Tuesday. READ MORE

2:23 PM

Banks warn of 'severe plunge' in recoveries after bankruptcy ruling

A court earlier this month allowed ArcelorMittal’s $6 billion purchase of Essar Steel, and also modified the distribution of the proceeds, saying the money has to be shared proportionately. A petition filed by the banks in the country’s top court seeks to quash the bankruptcy tribunal’s ruling, court filings seen by Bloomberg show. READ MORE

2:06 PM

Does a contrarian investing strategy yield better results? An analysis

Savvy investors buy stocks for the long term with an aim to beat market returns over a period of time. It not only takes skill to identify such counters among the myriad choices available, but also disciplined investing. While the strategy of ‘going with the flow’ and buying/selling stocks as most other investors/traders are doing is common, it takes skill to identify stocks and a lot of courage to make an investment decision that is contrary to the popular trend. Swimming against the tide is a risky proposition and may/may not yield the desired result. READ MORE

1:53 PM

Result Impact | Federal Bank tanks over 3% after banks reports rise in NPA

1:50 PM

Earnings Alert | Federal Bank Q1FY20 result

-- Net NPA at Rs 1,673 crore, up from Rs 1,620 crore YoY

-- Gross NPA at Rs 3,395 crore, up from Rs 2,868 crore YoY

1:46 PM

NEWS ALERT | Retail portfolio grew over 25% in Q1: Federal Bank

1:44 PM

Earnings Alert | Federal Bank reports provisions at Rs 192 crore in Q1FY20 result

1:41 PM

Earnings Alert | Federal Bank Q1FY20 result

-- Net Interest Income at Rs 1,154.2 crore

-- Gross NPA at Rs 3,395, GNPA ratio at 2.99%



 

1:40 PM

Earnings Alert | Federal Bank posts net profit of Rs 384.2 crore in Q1FY20

1:36 PM

STOCK ALERT :: YES Bank trades above Rs 100/sh after 7 trading sessions