MARKET WRAP: Sensex up 95 pts; PSBs rally; Bajaj Auto up 1% post Q2 results

Sectorally, Nifty Auto and PSU Bank indices ended the day as top gainers, up between 1.3 to 1.8 per cent.

3:40 PM

Sectoral trends at NSE at close

3:40 PM

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

3:39 PM

Closing Bell

The benchmark S&P BSE Sensex settled 95 points, or 0.24 per cent, higher at 39,059 level. 10 of the 30 shares listed on the index ended the day in the red.

On NSE, the broader Nifty50 index closed at 11,604-mark, up 16 points or 0.14 per cent. 

3:30 PM

NEWS ALERT | Sadhbhav Infra signs definitive agreements with Indinfravit to sell 100% stake in 9 operational projects: BSE filing

-- Company has signed definitive agreements with Indinfravit on 1 July, 2019 to sell 100% stake in nine operational projects for an enterprise value of INR 66.1 bn (including equity value of INR 25.5 bn). Sales consideration of INR 25.5 bn shall split into units (10%  units of Indinfravit) and ~ 19 bn in cash.

-- Additional upsides from car revenues from ARRIL, extension of concession period for AJTL andclaims from the transaction assets shall flow to SIPL.

 

3:26 PM

NEWS ALERT | CDPQ in talks to raise stake in Piramal Ent: sources to CNBC TV18

-- Piramal Ent likely to raise $750 million

-- Canadian fund CDPQ could invest funds via Preferential issue

-- Piramal Ent's promoters may participate via Rights issue to retain holding

3:17 PM

Earnings Alert | Indian Bank Q2 result

-- Net profit at Rs 358.6 crore

-- GNPA ratio at 7.2% vs 7.33% QoQ

-- NNPA ratio at 3.54% vs 3.84% QoQ

-- NII at Rs 1,863 crore

3:11 PM

Dr Reddy's Laboratories recalls anti-ulcer drug ranitidine from US market

Dr Reddy's Laboratories Limited on Wednesday confirmed that it had initiated a voluntary nationwide recall of several lots of its ranitidine from the US market over confirmed contamination with N-Nitrosodimethylamine(MDMA) beyoond levels established by the US Food and Drug Administration (US FDA). READ MORE

3:00 PM

NEWS ALERT | Cabinet approves revival plan for MTNL & BSNL: CNBC TV18

3:00 PM

NEWS ALERT | MTNL, BSNL revival plan to include 4G spectrum, support for voluntary retirement schemes: CNBC TV18 via agencies

2:58 PM

Affle India soars 17% on filing 14 tech patents in Singapore, US

The stock, which was trading at its highest level since its listing on August 8, 2019, has appreciated by 91 per cent as against the issue price of Rs 745 per share.

 

“The company has filed 4 new patent applications in Singapore in the areas of conversational marketing and vernacular and voice-based intelligence,” Affle (India) said in a regulatory filing on Tuesday after market hours.  READ MORE

2:42 PM

Yesterday once more: How the latest crisis is playing out at Infosys

For the second time in about as many years, the Indian icon synonymous with the country’s technological ascendancy is being forced to answer accusations of impropriety. In the most recent of a stream of grievances aired anonymously over past years, whistle-blowers accused Chief Executive Officer Salil Parekh of instigating employees to inflate profits, mis-represent the lucrativeness of deals, even of abusing travel privileges. In a memo reproduced in local newspapers, Parekh’s accusers offered emails and recordings to back up their claims. READ MORE

2:28 PM

ALERT :: ICICI Securities Q2 PAT up 1% at Rs 135.12 crore

ICICI Securities has reported a one per cent rise in profit after tax (PAT) at Rs 135.12 crore for the September quarter. The company had posted a PAT of Rs 134.22 crore in July-September quarter of 2018-19, ICICI Securities said in a regulatory filing. The company. which is a part of the ICICI Group, posted a revenue of Rs 418.22 crore for the second quarter of 2019-20 as against Rs 458.10 crore in the year-ago quarter, down 9 per cent. The revenue fell mainly due to decline in retail broking revenues and regulatory changes in mutual funds distribution business.

(Source: PTI)

2:23 PM

PSU banks gained ground in trade today

2:22 PM

HDFC Securities on ICICI Pru Life

We like IPRU’s re-engineered business model which is focused on a more diversified product mix along with an increased protection share. We expect VNB to grow at FY19-22E CAGR of 17.5%. Lower than expected growth and lower protection share remain key risks. We rate IPRU a NEUTRAL with an unchanged target price of Rs 445 (Sep-20E EV + 19.2x Sep-21E VNB).

2:21 PM

Motilal Oswal on Oberoi Realty

2QFY20 was operationally weak on account of the subdued economic environment; however, OBER’s new launch pipeline in 2HFY20 provides comfort. We have cut our sales volume estimate for FY20/FY21E by 25%/16% to 1.2msf/1.6msf due to delayed launch of Exquisite III and the Thane project, which impacts our NAV calculation. However, anticipated tax benefit offsets the downside and we arrive at a TP of INR630. Maintain Buy.

2:20 PM

Anand Rathi on Sasken Technologies

.Given the weak Q2, we lower our FY20e and FY21e respectively ~7% and 6%. The stock trades at 10x FY21e EPS and its sound cash position restricts a downside. On a positive note, client concentration on the top-5 has come down from 50% in Q1 to 41% in Q2. The earnings are clearly depressed as growth is elusive and Sasken needs to find a way to convert its engineering capability into scaled-up accounts. We have a target PE of 17x (unchanged) on FY21e EPS, reflecting optimism on the ability to generate growth, and lower our target to `960. Risk: Client-specific issues

2:20 PM

HDFC Securities on Jubilant FoodWorks

We foresee enough levers of growth in Domino’s like (a) Splitting urban stores (margin accretive), (b) Menu expansion (pizza variants and in-house beverages), (c) Shorter delivery time (20min live in few stores), (d) Reimaging stores to combat slowdown in dine-in and (e) Loyalty program (winning strategy in Domino’s US). Additionally, JFL is aspiring to grow non-linearly driven by its investments in technology, core team and creating more brands under JFL umbrella.

2:19 PM

GLOBAL MARKET UPDATE

European shares dipped for the first time this week on Wednesday, as warnings from Texas Instruments raised concerns about the global microchip industry, while UK lawmakers hit the pause button on Britain's exit from the European Union. European tech stocks were set for their worst day in two weeks, dragged down by chipmakers Infineon, Dialog and STMicroelectronics, as sector proxy Texas Instruments forecast a 10%-17% drop in current-quarter revenue. The pan-European STOXX 600 index fell 0.1% as the Brexit saga hit another snag after British lawmakers rejected Prime Minister Boris Johnson's timetable.

2:09 PM

Indian Bank surges 9%

1:44 PM

Earnings Alert | HDFC Life Q2 result

--Net Premium Income up 10% YoY at Rs 7,453.7 crore

-- Net profit up 7.6% YoY at Rs 308.7 crore

1:33 PM

Outlook for Gold in Samvat 2076

We expect that positive momentum for gold could continue further, but the pace of rally could get measured as uncertainties related to trade war is taking back seat. Brexit related uncertainty could take a pause as the deadline could be extended to January 2020. But we are of the view that this slowdown in major economies could push central banks to remain dovish for an extended period and that could continue to support gold prices.

Elevated prices will remain a point of concern, but with a fair monsoon and festive season approaching it will be important to see the movement in domestic gold prices. India has also added gold to its reserves and with a dovish outlook on the economy gold could continue to outperform. We expect that ease off in trade war could lead to some correction in prices, but until ₹35,500 is held, we remain bullish and expect it move higher to test previous highs of ₹39,500 followed by ₹41,500 over the next 12 months

(Source: Report by Kishore Narne, Head- Commodities & Currency, Motilal Oswal Financial Services)

1:31 PM

Investment via P-Notes dips for 4th consecutive month

Dropping for the fourth consecutive month, investments through participatory notes (P-notes) in the Indian capital market stood at Rs 76,611 crore at the end of September. P-notes are issued by registered foreign portfolio investors (FPIs) to overseas investors who wish to be part of the Indian stock market without registering themselves directly after going through a due diligence process. Investments through P-notes have been continuously declining since June, according to the latest data from markets regulator Sebi.

1:26 PM

NEWS ALERT | Cabinet approves relaxed norms for setting up of fuel pumps: CNBC TV18

1:26 PM

NEWS ALERT | Dr. Reddy’s receives Establishment Inspection Report from US FDA: BSE filing

-- Receives EIR from US FDA for Louisiana unit in the US

-- EIR indicates closure of inspection & unit is determined as No Action Indicated

1:23 PM

NEWS ALERT | Centre mulls revision of Draft Industrial Policy: sources to CNBC TV18

-- Policy to be reviewed by DPIIT secy-led panel on Oct 24

-- Tweak public procurement process to promote 'Make In India'

-- Design a framework to promote 'Ease of Doing Business'

-- Target $1 trillion in gross value addition in manufacturing by 2025

1:19 PM

SBI Life Insurance joins Rs 1-trillion m- cap club, stock hits record high

SBI Life Insurance Company today entered the coveted Rs 1 trillion market capitalisation (market-cap) club after its share price hit a fresh all-time high on the National Stock Exchange (NSE). The stock of the life insurance company hit a new high of Rs 1,012 on Wednesday in the intra-day deal.

 

Following the uptick in the counter, SBI Life’s market cap crossed Rs 1-trillion mark or Rs 1,01,200 crore in intra-day trade today. READ MORE

1:08 PM

Earnings Alert | Bajaj Auto Q2 results

-- Net profit at Rs 1,402.4 crore

-- Revenue at Rs 7,707.3 crore

-- Ebitda at Rs 1,278 crore

-- Margin at 16.6%

12:52 PM

Avenue Supermarts, EIH: 10 stocks to buy in Muhurat trading for Samvat 2076

Kansai Nerolac Paints Ltd (KANSAINER): This counter has passed the resistance of Rs 545 – a level it has been struggling to cross since the past one year. On a bigger scale, Kansai Nerolac is showing stability above Rs 500 levels. The positive trend should take this counter to Rs 600 levels. The support comes in around Rs 510.  READ MORE

12:31 PM

ICICI Securities surges 10% to hit 52-week high post Q2 results

Shares of ICICI Securities hit a 52-week high of Rs 314, up 10 per cent on the BSE on Wednesday, after the company reported a consolidated net profit of Rs 135 crore in September quarter (Q2FY20), up 1 per cent as against the corresponding period last year. The stock surpassed its previous high of Rs 310 recorded on September 24, 2019.

 

The company’s consolidated revenue declined 9 per cent to Rs 418 crore in Q2FY20, compared to a revenue of Rs 458 crore in Q2FY19 due to decline in retail broking revenues and regulatory changes in mutual funds distribution business. READ MORE

12:07 PM

Shapoorji eyes tie-up with IFC, HDFC Capital Advisors for low-cost housing

Shapoorji Pallonji Real Estate is in talks with HDFC Capital Advisors, the real estate fund management arm of HDFC, and International Finance Corporation (IFC) separately, to float a platform to invest and develop low-cost homes across the country, sources in the know said. They plan to build homes in the Rs 10 lakh to Rs 20 lakh category on the peripheries of large and tier II cities, such as Jaipur and Indore, among others. READ MORE