F&O Expiry: Sensex rises 157 pts, Nifty settles at 10,780 led by RIL, TCS

Among the sectoral indices, the Nifty IT index rose 1.4 per cent led by Infosys and TCS. Nifty FMCG index, too, rose, 1.3 per cent led by Marico and ITC.

3:45 PM

Top sectoral gainers and losers on NSE

3:44 PM

S&P BSE Sensex: Top gainers and losers

3:34 PM

Market at close

 

The S&P BSE Sensex gained 157 points or 0.44 per cent to close at 35,807 while NSE's Nifty50 index ended at 10,780, up 50 points or 0.47 per cent. 

3:18 PM

CD Equisearch on M M Forgings

 

Recommendation: ACCUMULATE

Current price: Rs 650

Price target: Rs 719

 

M&HCV segment, which has so far remained indifferent to revision in axle load carrying norms, thereby reflecting a healthy underlying demand, is expected to witness volume growth of 18-20% during FY19 and healthy growth in next fiscal as well as India prepares to adopt the BS –VI emission norms from April 2020 onwards.

2:53 PM

Reliance Securities on State bank of India 

 

Target Price: Rs 358

  

State bank of India is the most critical Public Sector Bank of India. It is a very well managed bank among the large public sector banks which has passed the peak the NPA challenges. Credit growth is improving and we expect credit growth of 11% in FY19. The reporting quarter is likely to be very strong with reasonable credit growth and solid treasury gains as bond yields have declined sharply. Earnings are likely to see a marked jump in the quarter on account of improving operating performance and strong treasury income as compared to loss in the base quarter. SBI trades at 1.5x P/ABV which is reasonable. We value the company at Rs 358 per share based on SOTP based valuation methodology. 

2:42 PM

Top gainers on BSE500

COMPANY	PRICE( )	CHG( )	CHG(%)	VOLUME
JP ASSOCIATES	7.62	0.48	6.72	8001814
CENTRAL BANK	36.40	2.25	6.59	528473
BANK OF MAHA	14.90	0.92	6.58	496240
MAX INDIA	85.05	4.55	5.65	236468
PC JEWELLER	85.60	4.50	5.55	1836174

2:30 PM

Selan Exploration surges 16% as board approves share buyback proposal

Shares of Selan Exploration Technology moved higher by 16% to Rs 201 on BSE on Thursday after the board approved buyback of equity shares at a price not exceeding Rs 300 per share. The company said the buyback will be for an aggregate amount of Rs 250 million from the open market through stock exchange mechanism.

The board of directors of the company has also declared an interim dividend of 50% (i.e. Rs. 5 per equity share) for the financial year 2018-19. The record date for the purpose of the interim dividend has been fixed as January 5, 2018. Read more

 

2:19 PM

MFs' entry in commodity derivatives to set stage for more commodity ETFs

The route for mutual funds to participate in commodity derivatives is opening up. Multi Commodity Exchange has proposed to the market regulator to allow Exchange Traded Funds in commodity derivatives. The Securities and Exchange Board of India is finalising changes in Mutual Funds Regulations, allowing them formally to participate in commodity derivatives and since ETFs are run by Mutual Fund management companies, while allowing MF, the regulator should also allow ETFs. This will set the stage for allowing commodity Exchange Traded Funds. Read more

 

 

2:09 PM

ICRA has a stable outlook on Indian IT Services industry

 

The credit profile of Indian IT Services companies remains stable underpinned by its ability to sustain free cash flows despite pressure on revenue growth and

margins. With aggregate operating margins of ICRA sample set at 22.5% for FY2018 coupled with moderate capex (organic as well as inorganic) and working capital requirements, the free cash flows have remained robust historically. Despite pressures on growth and margins over the medium term, these factors are unlikely to impact the free cash flow generation ability of Indian IT Services companies though there could be moderation in the quantum of such cash flows.

2:00 PM

Asian debt defaults likely to rise on shadow banking crackdown, rate hikes

A growing chorus of observers expect debt defaults in Asia will spread as weakening currencies and tighter liquidity leave riskier borrowers with higher refinancing costs. Rising failures add to headwinds that governments have to navigate during a politically fraught 2019, with elections in India and Indonesia. Asian dollar bond market defaults tripled to at least nine in 2018 from the previous year, according to Bloomberg-compiled data. Read more

 

1:44 PM

Top gainers and losers on S&P BSE Sensex

1:32 PM

NEWS ALERT Selan Exploration board approves share buyback at maximum Rs 300/share for up to Rs 250 million

1:30 PM

Max India extends rally; surges 45% in 10 trading sessions

Shares of Max India moved higher by 11 per cent to Rs 89.60 on heavy volumes on the BSE. The stock was trading at its three-month high level and has rallied 45 per cent in past 10 trading sessions. In comparison, the S&P BSE Sensex was up 0.38 per cent during the same period. READ MORE

1:11 PM

ICRA assigns stable outlook for Indian pharma companies

 

The headwinds from pricing pressure in large regulated markets, especially USA, increased cost related to regulatory compliances but are largely offset by growing scale of business, increased focus on specialty/ niche segments and comfortable balance sheet structure. The domestic pharmaceutical industry has gained adequate scale and generic drug development capabilities over a decade of growth which will keep them in good stead to capture bigger opportunities in the regulated market. The FY2018-2021 CAGR is expected to be around 8-10 per cent for domestic pharma companies.

12:56 PM

Market check

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	35,856.04	+206.10	+0.58
S&P BSE SENSEX 50	11,285.77	+63.40	+0.56
S&P BSE SENSEX Next 50	32,659.73	+149.76	+0.46
S&P BSE 100	11,075.95	+60.46	+0.55
S&P BSE Bharat 22 Index

12:51 PM

Oil prices drop after jump the day before; glut, economy concerns drag

Oil fell on Thursday after soaring 8 percent in the previous session, as worries over a glut in crude supply and concerns over a faltering global economy pressured prices even as a stock market surge offered support. Brent crude oil futures were down 22 cents, or 0.4 per cent, at $54.25 a barrel. They rose 8 per cent to $54.47 a barrel the day before.

12:35 PM

NEWS ALERT KEI Industries total orderbook stands at over Rs 40 billion of which export orderbook is at Rs 6 billion. The company is not looking at any acquisitions

12:34 PM

Motilal Oswal on Telecom

 

We cut Bharti/Vodafone Idea’s target price to Rs 380/Rs 43, respectively, maintaining Buy. The current market situation is governed by a deep liquidity crisis and lowest point in ARPUs. However, both telcos’ have the capability to manage operations in a cut-throat competitive environment. Also, Bharti and Vodafone Idea’s strong promoter background should help them to weather the storm, albeit with some bruises.

12:33 PM

Motilal Oswal on Petronet LNG

 

The stock is trading at 11.1x Dec’20 EPS of INR20.1 and 6.6x Dec’20 EV/EBITDA. We value the stock using DCF (WACC of 12%, terminal growth of 3%). With a

target price of INR317, we reiterate our Buy rating on the stock.

Key triggers to watch out:
(i) progress on the completion of Kochi-Mangalore pipeline,
(ii) ramp-up of domestic gas production and
(iii) progress of Dahej expansion from 15mmtpa to 17.5mmtpa. Deployment of cash remains a challenge in the absence of commensurate imminent projects. However, management has shown prudence in terms of shortlisting of prospective projects. Dividend payout is also likely to remain high in the absence of imminent cash outgo on projects.

12:32 PM

NEWS ALERT KEI Industries expects FY19 growth at 18-20% and margin at 10%

12:26 PM

NEWS ALERT HCC approves allotment of 49.76 cr rights shares at Rs 10 each

12:14 PM

Trade war brings more trade: The unexpected side of the US-China tussle

A few days before Christmas, the container ship “SM Shanghai” was steaming toward California’s Port of Long Beach. Just ahead and coming to the end of an 11-day journey from China, the “Ever Lucent” was headed for the nearby Port of Los Angeles, where the “Thomas Jefferson” was preparing to sail in the opposite direction for Xiamen. READ MORE

11:58 AM

Top gainers on BSE500

COMPANY	PRICE( )	CHG( )	CHG(%)	VOLUME
BANK OF MAHA	15.02	1.04	7.44	405635
JP ASSOCIATES	7.58	0.44	6.16	3983227
KNR CONSTRUCT.	219.05	12.65	6.13	73407
CENTRAL BANK	36.20	2.05	6.00	300771
PC JEWELLER	85.25	4.15	5.12	1110471

11:44 AM

Nifty IT index is trading around 2% higher 

11:33 AM

Select PSU banks gain on recap hopes; Central Bank of India up 6%

Shares of select public sector undertaking (PSU) banks were trading higher by up to 7% on the BSE on hopes of central government’s bank recapitalisation announcement. Bank of Maharashtra, Central Bank of India, United Bank of India, Uco Bank, Corporation Bank and Dena Bank were up in the range of 2% to 7% on the National Stock Exchange (NSE). Read more

11:17 AM

Equirus Securities on Century Plyboards India

 

Post a disappointing margin performance in 2QFY19 amid higher crude prices and a depreciating INR, CPBI should see gradual margin improvement from 2HFY19 with (a) an expected drop in crude-linked phenol, formaldehyde and resin prices from 4QFY19 and (b) possible reversals of MTM losses related to FX borrowings due to INR appreciation. However, we acknowledge that the MDF business would likely see increased competitive intensity at least for the next 1.5-2 years, leading to lower MDF revenue growth and below-expected segment margins. We hence cut our FY19/FY20 Sales estimates by 2% each while maintaining our LONG rating as valuations have turned reasonable post the recent correction. Our Mar’20 TP of Rs 209 is set at 25x PE (Rs 206 at 25x earlier) on a TTM EPS of Rs 8.4.

11:13 AM

Market check

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	35,976.03	+326.09	+0.91
S&P BSE SENSEX 50	11,318.74	+96.37	+0.86
S&P BSE SENSEX Next 50	32,611.36	+101.39	+0.31
S&P BSE 100	11,101.37	+85.88	+0.78
S&P BSE Bharat 22 Index	3,462.36	+12.48	+0.36

11:03 AM

NEWS ALERT| Zen Technologies board approves issuing 23.5 lakh Convertible Warrants at Rs 76 per warrant to raise up to Rs 178 million on a preferential basis to promoters (Ashok Atluri and Kishore Dutt Atluri) and an investor (Navin Sood)

10:55 AM

Top gainers and losers on S&P BSE Sensex

10:44 AM

Sun Pharma up 2% as arm gets relief by US court in patent infringement case

 

Shares of Sun Pharma climbed as much as 2.41 per cent in the morning trade on Thursday after DUSA Pharmaceuticals, an arm of of the Mumbai-based pharma major, received relief from a US court in a patent infringement case.

 

Massachusetts-based DUSA has been granted preliminary injunctive relief by a federal district court prohibiting defendants Biofrontera Inc, Biofrontera Bioscience GmbH, Biofrontera Pharma GmbH, and Biofrontera AGf from using its confidential and proprietary trade secret information, the company said in a regulatory filing. Read more