Share Market Highlights 19 October 2023: Sensex falls 247 pts, Nifty closes at 19,624; Bajaj Auto jumps 6%; LTIMindtree surges 5%

The rupee traded in a narrow range to settle 5 paise higher at 83.23 (provisional) against the US dollar on Thursday, tracking softening crude prices in the international markets amid lingering geopolitical uncertainties. However, foreign fund outflows, a weak greenback overseas and a negative trend in domestic equities weighed on investor sentiments, forex traders said.

At the interbank foreign exchange market, the local unit opened at 83.26 against the US currency and witnessed a high of 83.23 and a low of 83.28 during intra-day trade.

The local unit settled at 83.23 (provisional), registering a gain of 5 paise over its previous close.

The rupee declined on Thursday pressurised by a weak tone in the domestic markets and a rise in US Dollar. FII selling also weighed on the domestic currency, said Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.05 per cent to 106.61.

Global oil benchmark Brent crude futures fell 1.92 per cent to USD 89.74 per barrel.

Equity benchmark indices declined for the second consecutive session on Thursday amid weak trends in global markets and fresh foreign fund outflows.

Disappointing quarterly earnings numbers and revenue forecast from IT services company Wipro also weighed on investor sentiments.

The 30-share BSE Sensex fell 247.78 points or 0.38 per cent to settle at 65,629.24 points. During the day, it plunged 533.52 points or 0.80 per cent to 65,343.50 points.

The Nifty declined 46.40 points or 0.24 per cent to 19,624.70 points.

Among the Sensex firms, Wipro fell nearly 3 per cent after the company reported an almost flat consolidated net profit at Rs 2,667.3 crore for the September quarter, trailing street expectations. It has also projected up to 3.5 per cent fall in revenue in the current quarter on weak global economic outlook and uncertain business environment.

NTPC, Tech Mahindra, JSW Steel, Bharti Airtel, Tata Steel, Tata Consultancy Services, ICICI Bank, Kotak Mahindra Bank and Reliance Industries were among the other major laggards.

IRM Energy IPO has been subscribed 3.61 times as of 3:36 pm on October 19, 2023. The QIB portion has been subscribed 1.14 times, NII 6.66 times, retail 3.88 times, and those reserved for employees 0.84 times. The issue closes on October 20.

Sun Pharmaceutical Industries Inc has recalled 144 bottles of a generic anti-depression medicine from the US market due to a manufacturing issue, according to the US Food and Drug Administration (USFDA). (PTI)

Indoco Remedies informed the exchange USFDA issued ‘four observations’ in Form 483 at the end of the preapproval inspection at the Company’s Solid Oral Formulation facility (Plant I) located at Goa for two drug product applications (ANDAs). The stock rose by 1.20% on the NSE, traded at ₹349.90.

SIL Investments informed the exchange that its wholly-owned subsidiary SIL International Pte. Limited has allotted 1,389,586 shares of Singapore Dollar (S$) one each to the Company.

SIL Investments stock trades at ₹327.60 on the NSE, up by 0.11%.

Solara Active Pharma Sciences has appointed P V Raghavendra Rao as Chief Financial Officer of the company w.e.f. October 26, 2023. The stock trades at ₹332.65, down by 0.86% on the NSE.

Biocon Biologics has appointed Kedar Upadhye as the new Chief Financial Officer (CFO) and the Company’s current CFO, MB Chinappa, will transition to a strategic finance role at Biocon Group. These changes will be effective October 31, 2023. The company’s stock falls by 1.40% on the NSE, trading at ₹235.30.

CSB Bank has signed a Memorandum of Understanding (MoU) with Tata Motors, India’s largest commercial vehicle manufacturer, to offer customised financial solutions for dealers in the Commercial Vehicle segment. The partnership will enable the network of Tata Motors’ dealers to get access to flexible and specialized financial schemes to enhance their operations.

Ramkrishna Forgings reported its standalone net profit for the quarter ended Sept. 2023 at ₹79.54 crore as against ₹63.94 crore in the same quarter previous year. The stock declined by 3.01% on the NSE, trading at ₹654.95.

Mastek reported its standalone net profit for the quarter ended Sept. 2023 at ₹45.14 crore as against ₹61.08 crore in the same quarter previous year. The stock is down by 0.51% on the NSE, trading at ₹2,349.55.

Major gainers:

• Bajaj Auto (6.61%)
• LTIMindtree (5.70%)
• Nestle India (3.95%)
• Hero Motocorp (3.41%)
• Ultratech Cement (2.87%)

Major losers:

• Wipro (-3.03%)
• UPL (-1.14%)
• Tech Mahindra (-1.12%)
• Bharti Airtel (-1.06%)
• Hindalco (-1.03%)

Stocks advanced on BSE at 3 pm on October 19, 2023, were 1,821 against 1,838 stocks that declined; 142 stocks remain unchanged. Total stocks traded were 3,801. The number of stocks that recorded a 52-week high was 237, and those that hit a 52-week low was 30.

Weakness in top tier IT stocks likely to persists after disappointing results from Wipro. Wipro is down 3%, trading at ₹395 while TCS is down by 80 bps trading at ₹3,460 following three consecutive days of declines; Across the board constant currency revenue growth (Y-o-Y) has been weak in low single digits to negative range. Wipro constant currency revenue declined by nearly 5 per cent, while that of TCS, Infosys and HCLTech grew at 2.8%, 2.5% and 3.4 per cent respectively.

At Google for India 2023, Google announced that it is collaborating with the industry body Fintech Association for Consumer Empowerment (FACE) and onboarding them as a priority flagger, building on its consistent efforts to combat predatory digital lending apps on Play Store in India. As part of this, FACE will support Google with market intelligence to inform detection and enable swift action against predatory personal loan apps in India that are non-compliant with Play Store’s policies.

Kotak Alternate Asset Managers Limited (earlier known as Kotak Investment Advisors Limited), a wholly-owned subsidiary of Kotak Mahindra Bank has acquired Compulsorily Convertible Preference Shares of Nkure Therapeutics Pvt Ltd. constituting acquisition of 6.12% of the paid-up share capital of NKURE.

Kotak Mahindra Bank stock trades at ₹1,740.15 on the NSE, down by 0.76%.

Timken India informed the exchange about the resignation of Gouri Shankar Roy (General Manager - Milltec Operations) w.e.f from October 25, 2023. The stock trades at ₹3,030 on the BSE, down by 0.52%.

IRM Energy IPO has been subscribed 3.11 times as of 2:30 pm on October 19, 2023. The QIB portion has been subscribed 1.08 times, NII 5.40 times, retail 3.43 times, and those reserved for employees 0.77 times. The issue closes on October 20.

Dabur India, in an exchange filing, has noted allegations against its three subsidiaries in the U.S. with respect to consumer complaints (in both Federal and state courts in the U.S. and Canada) regarding the usage of cancer-causing chemicals in hair relaxer products. This issue cropped up in Oct-22, with health studies in the U.S. associating hair relaxers with uterine cancer.

While its subsidiaries deny liability and have retained counsel to defend themselves, the company stated that defence costs for the litigation are expected to breach the materiality threshold. Litigation costs quantum in other expenses to go up from Q2FY24. We are awaiting clarification from management on the quantum and will adjust our estimates accordingly. We maintain our BUY rating with a Sep-24 TP of ₹650 (on 46x P/E, in line with its last five-year average forward P/E).

Wendt (India) reported its standalone net profit for the quarter ended Sept. 2023 at ₹858 lakh as against ₹928 lakh in the same quarter previous year. The stock falls by 5.75% on the NSE, trading at ₹14,200.

UltraTech Cement reported its standalone net profit for the quarter ended Sept. 2023 at ₹1,205.65 crore as against ₹718.37 crore in the same quarter previous year. The stock trades at ₹8,300 on the NSE, up by 0.26%.

Bharti Airtel announced the successful testing of Ericsson’s pre‐ commercial Reduced Capability (RedCap) software on the Airtel 5G network. The stock declines by 1.01% on the NSE, trading at ₹943.25.

Accelya Solutions India reported its standalone net profit for the quarter ended Sept. 2023 at ₹29.97 crore as against ₹29.66 crore in the same quarter previous year. The stock falls by 7.32% on the NSE, trading at ₹1,561.35.

Pressure Sensitive Systems (India) informed the exchange that its wholly-owned subsidiary in Dubai, Global Markets Insights IT Services LLC, has secured revenues of approximately $4,145,378. The stock surges by 4.67% on the BSE, trading at ₹7.62.

Kirloskar Pneumatic Company has announced appointment of Ramesh Birajdar as Chief Financial Officer of the company w.e.f. January 02, 2024.

The company reported its net profit for the quarter ended September 2023 at ₹20.18 crore as against ₹27.21 crore in the same quarter previous year.

The stock declines by 4.67% on the NSE, trading at ₹633.95.

IAN Group has appointed Sarika Saxena as Managing Partner, IAN Alpha Fund, a SEBI registered AIF Cat II, sector agnostic Venture Capital fund. Sarika brings extensive experience with a proven track record in startup and early stage investments.

Sarika brings over 25 years of diverse professional experience and having served in key & leadership positions across different organizations. Her investment portfolio has covered a range of sectors, including consumer, technology, fintech, edtech, etc both within the domestic and international markets. Her leadership has been instrumental in facilitating early-stage investments totaling ~USD 100 million and has overseen an AUM of around USD 300 million. Sarika brings critical value to the Fund with experience in scaling companies & M&A.

Seamec Ltd has entered into an Addendum with Posh India Offshore Pvt Ltd for additional work in Pipeline Replacement Project to be undertaken during the work Season 2023-24. The total value of the additional work will be around ₹48.60 crore inclusive of GST.

The stock surges by 8.85% on the NSE, trading at ₹698.80.

South Indian Bank reported its standalone net profit for the quarter ended September 2023 at ₹274.81 crore as against ₹223.10 crore in the same quarter previous year. The stock is down by 0.96% on the NSE, trading at ₹25.75.

He served as the managing director of Lactalis India, a division of the world’s largest dairy conglomerate, for over a decade. Parag Milk Foods’ stock rises by 3.53% on the BSE, trading at ₹227.45.

The board of Sanofi India will meet on November 8 to inter-alia consider and approve the unaudited financial results of the company for the quarter ended September 2023. The stock trades at ₹7,456.45, down by 0.08% on the NSE.

The QIB portion has been subscribed 1.08 times, NII 4.92 times, retail 3.10 times, and those reserved for employees 0.72 times. The issue closes on October 20.

Here are the views of Suman Chowdhury, Chief Economist & Head - Research, Acuité Ratings & Research Ltd, on Acuite Macroeconomic Performance Index-September 2023

“Expectedly, the AMEP index has risen further in the Q2 quarter end after the healthy uptick in August, reflecting the optimism on consumption demand during the festive season. Further, economic activity in the core sector has continued to be boosted by steady public investments in the infrastructure sector. With persistent challenges on the export front, higher interest rates and a tighter funding environment along with risk of weaker agricultural output due to El Nino, there is a likelihood of a moderate slowdown in growth in the second half of the year. Accordingly, we hold on to our base forecast of 6.0% GDP growth in FY24,” Suman Chowdhury said.

Satin Creditcare Network has approved raising of funds for an aggregate amount of up to and not exceeding ₹3,000 million in one or more tranches including by way of private placement(s), qualified institutions placement(s) and/or any combination thereof. The stock surges by 4.58% on the BSE, trading at ₹241.

Polycab reported strong Q2FY24 earnings. Consolidated revenues growth of 27% yoy (8% qoq) was driven primarily by the Wires & Cables segment. Cables growth continued to outpace wires growth. Gross margins remained strong (higher yoy and qoq) and supported yoy increase in EBITDA margin during Q2FY24. Management has attributed the improvement in margins to better operating leverage and product-mix improvement.

A SEBI-registered online bond platform (OBP), Aspero offers an intuitive interface, enabling retail investors to trade in listed bonds directly or via wealth partners with ease.

Investors can access bonds across the rating and yield spectrum with face value as low as ₹1,000 & no transaction fees, providing investors a plethora of options to choose from with no entry barriers.

Backed by extensive experience in the performing credit space, Aspero is well-equipped to lead the way in making fixed income investments accessible to retail investors.

PVR INOX reported its standalone net profit for the quarter ended September 2023 at ₹165.9 crore as against loss of ₹69 crore in the previous year. The stock slides down by 0.78% on the NSE, trading at ₹1,759.10.

Ganesh Housing Corporation reported its standalone net profit for the quarter ended Sept. 2023 at ₹58.70 crore as against loss of ₹3.96 crore in the same quarter previous year. The stock rises by 1.20% on the NSE, trading at ₹434.80.

Himadri Speciality Chemical Ltd’s shares rose 0.53 per cent after the company reported a 180 per cent increase in profit for the quarter ended September 30, 2023, at ₹100.62 crore compared to ₹35.88 crore during the corresponding quarter last year.

The company’s revenues were down 5 per cent to ₹1,004.52 crore compared to ₹1,058.91 crore last year. Sequentially, the company’s profits were 16 per cent higher compared to ₹86.10 crore in the previous quarter.

The shares were up 0.53 per cent to ₹256.15 at 10.31 am on the BSE.

Major stocks that hit 52-week high on the NSE:

• GKW (20%)
• Shakti Pumps (20%)
• DB (International) Stock Brokers (19.92%)
• PNB Gilts (17.19%)
• Jindal Poly Investment and Finance Company (12.48%)

Astral stock falls by 5.73% on the BSE, trading at ₹1,850.20. The company reported its standalone net profit for the quarter ended September 2023 at ₹128 crore as against ₹65.4 crore in the same quarter previous year.

IRM Energy IPO has been subscribed 2.61 times as of 12:06 pm on October 19, 2023. The QIB portion has been subscribed 1.08 times, NII 4.38 times, retail 2.85 times, and those reserved for employees 0.63 times. The issue closes on October 20.

Indoco Remedies reported its standalone net profit for the quarter ended September 2023 at ₹33.14 crore as against ₹49.64 crore in the same quarter previous year. The stock trades at ₹344.50 on the NSE, down by 0.36%.

Central Bank of India has entered into a strategic co-lending partnership with Capri Global Housing Finance Limited to offer home loans at competitive rates. The stock trades at ₹46.88 on the BSE, down by 0.47%.

SJVN has offered power to the beneficiaries of Northern Region from 1,000 MW Solar PV Station to be developed under CPSU scheme of GoI at Village Bandarewala / Karnisar, Tehsil Poogal, District Bikaner, Rajasthan. The power generated by the project will be used by Government entities, either directly or through DISCOMS. The company added in its regulatory filing that Jammu & Kashmir Power Corporation Limited and Rajasthan Urja Vidyut Nigam Limited have given consents for purchase of 600 MW & 500 MW power, against a total capacity of 1000 MW at a tariff of ₹2.57/ kWh.

SJVN stock trades at ₹75.10, up by 1.14% on the NSE.

Major gainers:

• LTIMindtree (5.35%);
• Bajaj Auto (4.92%);
• IndusInd (2.36%);
• Hero Motocorp (1.98%);
• Nestle India (1.09%)

Major losers:

• Wipro (-2.92%);
• Coal India (-1.42%);
• Tata Steel (-1.18%);
• UPL (-1.10%);
• JSW Steel (-1.09%)

Stocks advanced on BSE at 12 noon on October 19, 2023, were 1,658 against 1,852 stocks that declined; 165 stocks remain unchanged. Total stocks traded were 3,675. The number of stocks that recorded a 52-week high was 199, and those that hit a 52-week low was 22.

Shyam Metalics and Energy informed that the NCLT Mumbai bench has approved the resolution plan for acquisition of Mittal Corp Limited by Shyam Sel and Power Limited, a wholly owned subsidiary of the Company. The stock trades at ₹461.90 on the BSE, down by 0.73%.

Dhruv Consultancy Services in association with Designilla Private Limited has received letter of acceptance for providing consultancy services for authority’s engineer for supervision of construction of one Flyover in the State of Uttar Pradesh under EPC mode from the office of Chief engineer (National Highway) - UPPWD, Lucknow. The project is worth over ₹1 crore. The stock trades at ₹60.25, up by 0.42% on the NSE.

Ramco Systems has bagged the Top Vendor – Enterprise Solutions – HR & Payroll Award 2023 at the Global Enterprise Connect (GEC) Awards 2023. The stock declines by 1.34% on the NSE, trading at ₹289.80.

Bank Nifty index has been falling since Tuesday. The index has declined below 43,750—the lower end of its 43,750-44,750 range. The advance/decline ratio at 1:11 indicates weakness in the index. IndusInd Bank, up 2.6 per cent, is the sole outperformer in the index.

The break below 43,750 is a negative. The broad 43,800-43,900 region will now act as a strong resistance zone for the Nifty Bank index. The outlook is bearish to see a fall to 43,200-43,000 in the coming sessions.

The Bank Nifty index has to rise past 43,900 in order ease the downside pressure. Only in that case, the index will get a breather and rise back above 44,000. Read more.

KIOCL informed the exchange that Manoj Kumar Jhawar has submitted his resignation from the post of Director (Finance) & Chief Financial Officer of the Company, due to personal reasons.

The stock declines by 2.13% on the NSE, trading at ₹426.75. - write some headlines.

​Crude oil​ futures traded lower on Thursday morning as the US eased sanctions on ​Venezuela​. Additionally, concerns over an oil embargo on Israel faded as the Organization of the Petroleum Exporting Countries (OPEC) did not show interest in the matter.

At 9.54 am on Thursday, December Brent oil futures were at $91.08, down 0.46 per cent; and December crude oil futures on WTI (West Texas Intermediate) were at $87.03, down by 0.28 per cent.

October crude oil futures were trading at ₹7,335 on ​Multi Commodity Exchange (MCX)​ in the initial trading hour of Thursday morning against the previous close of ₹7,365, down 0.41 per cent; and November futures were trading at ₹7,251 as against the previous close of ₹7,275, down by 0.33 per cent. ​Read more​.

Ashoka Buildcon is in receipt of National Highways Authority of India (NHAI) project in the State of Karnataka. The project is executed by Ashoka Banwara Bettadahalli Road Private Limited (SPV), a wholly-owned subsidiary of Ashoka Concessions Limited, a subsidiary of the company.

Ashoka Buildcon stock is up by 2.50% on the NSE, trading at ₹143.50.

Major gainers:

• NBCC (7.16%)
• IIFL (5.79%)
• Jaiprakash Associates (5.71%)
• KSB (5.39%)
• KSCL (5.33%)

Major losers:

• MMTC (-9.99%)
• ION Exchange (-5.90%)
• Astral(-5.90%)
• IGL (-4.07%)
• Bandhan Bank (-3.80%)

Nestle India financial highlights – Q3 2023:

• Total sales of ₹5,009.5 crore
• Total sales growth at 9.4%.
• Domestic sales growth at 10.3%.
• Profit from operations at 22.6% of sales
• Net profit of ₹908.1 crore
• Earnings per share of ₹94.18

Note: The net profit for the quarter includes one-time gain of ₹106.4 crore.

The company’s board also approved the sub-division of shares or split of existing equity shares having face value of ₹10 each, fully paid up, into 10 (ten) equity shares having face value of ₹1 each fully paid-up, subject to the approval of members of the company. Read more.

Nestlé India achieves milestone of crossing ₹5,000 crore turnover in a quarter. Continues to deliver double-digit domestic sales growth.

The company has declared interim dividend of ₹140 per equity share. The stock inches up by 0.61% on the NSE, trading at ₹23,405.

Granules India announced that the USFDA has approved its Abbreviated New Drug Application (ANDA) for Esomeprazole Magnesium Delayed-Release Capsules USP, 20 mg and 40 mg.

The stock declines by 1.15% on the NSE, trading at ₹351.85.

Rising US Treasury yields, global geopolitical tensions are weighing on the equity markets. The US’ Dow Jones Industrial Average dropped about one per cent on Wednesday. This negative sentiment has impacted the Asian markets, too, dragging the major indices over a per cent.

Similarly, Indian benchmark indices are trading lower. Nifty 50 and Sensex have lost about 0.45 per cent each. Sensex is trading at 65,580, while Nifty is at 19,583. Read more.

HiWi, a global cross-border remittance fintech, has successfully secured ₹7.25 crore in a pre-seed funding round, with Unicorn India Ventures and the Unmaj Group Family Office leading the investment. The capital injection is earmarked for advancing product development and executing a strategic go-to-market rollout.

Headquartered in Mumbai, HiWi was co-founded by Dewang Neralla, a seasoned fintech entrepreneur and the former Founder and CEO of Atom Technologies, alongside Geeta Chauhan and Ujwal Tamminedi, accomplished professionals in the information technology and services sector.

LTIMindtree stock surges by 4.26% on the NSE, trading at ₹5,375 post Q2 results. The company informed that its branch office has been registered in South Korea on October 13, 2023.

• APL Apollo Tubes (-2.38%)
• JSL (-2.03%)
• Welcorp (-1.94%)
• Jindal Steel (-1.85%)
• Hindalco (-1.67%)

Delhivery stock trades at ₹422.15 on the NSE, down by 0.81%.

A triple whammy of global factors has resulted in a fall in Indian markets this morning. The rising bond yields in the US which touched almost a 16-year high following stronger-than-expected US economic data has reinforced expectations that interest rates in the world’s largest economy would remain higher for longer.

Moreover, escalating fears that the Israel-Hamas conflict might turn into a regional contagion has kept crude oil prices elevated and resulted in a risk averse sentiment amongst market participants.

To make situation worse, a tepid IMF forecast on China and growing concerns over a property slump in China amid news of a probable default on overseas debt from a leading private property developer has soured investor sentiment.

With FIIs pulling money out of India recently, it would be interesting to see whether the domestic liquidity and the ongoing corporate earnings season is able to absorb the current negative news flows.

The rupee was trading in a narrow range and appreciated 3 paise to 83.25 against the US dollar in early trade on Thursday, amid a negative trend in domestic equities.

Forex traders said the rupee is trading in a narrow range as sustained foreign fund outflows and strength of the American currency in the overseas market weighed on investor sentiments.

At the interbank foreign exchange, the domestic unit opened at 83.26 against the dollar and then touched an early high of 83.25, registering a gain of 3 paise over its previous close. Read more.

IRM Energy IPO has been subscribed 1.91 times as of 10:24 am on October 19, 2023. The QIB portion has been subscribed 1.07 times, NII 2.97 times, retail 2.03 times, and those reserved for employees 0.44 times. The issue closes on October 20.

Titagarh Rail Systems stock declines by 1.90% on the NSE, trading at ₹807. The company reported its standalone net profit for the quarter ended September 2023 at ₹70.89 crore as against the loss of ₹11.88 crore in the previous year.

Aditya Birla group flagship UltraTech Cement is expected to report 96 per cent increase in September quarter net profit at Rs 1,486 crore up on the back of strong demand and better realisation.

Net Sales are expected to increase by 16 per cent Y-o-Y to Rs 16,081 crore, according to Nirmal Bang research report.

Earnings before interest, tax, depreciation and amortisation (EBITDA) are likely to rise by 49 per cent Y-o-Y to Rs 2,785.5 crore, it said.

The company has reported 16 per cent in sales at 26.69 million tonnes on a YoY basis, led by better demand and new capacity ramp-up.

In the April-June quarter, UltraTech Cement reported a 17 per cent YoY increase in revenue to Rs 17,737 crore, and a 6.8 per cent YoY rise in net profit to Rs 1,690 crore, though operating profit margins contracted by 300 basis points YoY to 17 per cent.

NBCC (India) stock is up by 5.03% on the NSE, trading at ₹67.85. The company recently received work order for ₹80 crore from Visakhapatnam Port Authority.

Equity benchmark indices declined in early trade on Thursday, falling for the second day running, amid weak trends in global markets and fresh foreign fund outflows.

Disappointing earnings from IT services company Wipro also dragged the benchmarks lower.

The 30-share BSE Sensex plunged 490.44 points to 65,386.58. The Nifty fell 137.5 points to 19,533.60. Read more.

Adani Energy Solutions Ltd has commissioned Inter-regional 765 KV Warora-Kurnool Transmission line, spanning 1,756 circuit kilometers across Maharashtra, Telangana, and Andhra Pradesh. The stock trades at ₹762.65, down by 0.29% on the NSE. Read more.

Welspun Corp stock declines by 1.66% on the NSE, trading at ₹443.60. The company had received contract for export of LSAW Pipes and Bends to the Middle East which will be executed from its facilities in Anjar, India

The cost of shipping oil has skyrocketed since the Israel-Hamas war erupted. Shipping costs in the Mediterranean region have jumped more than 100%. Freight rates on 16 global trade routes surged by an average of 50%.

On top of this oil prices have crossed $90 adding fuel to fire. With this, yet another battle against inflation is set to play out, say analysts.

Wall Street’s leading indices opened lower on Wednesday, drifting more downward and lower as the session progressed amid rising tensions in the Middle East, rallying oil prices and higher bond yields on concerns about the outlook for interest rates dented investors. Asian indices fell across the board, taking cues from US markets overnight. Indian market is set to open on a sluggish note on Thursday as investors react to increased geopolitical tension. On the stock-specific news, Bajaj Auto will be in focus today as recent quarterly results showcase an impressive trajectory with a healthy gain in revenue. The market may witness pressure in the near term as the rising crude oil prices and the US 10-year bond yield spiked to 16-year to above 4.8%, and it would be prudent to adopt a stock-specific approach.

A closing basis slide of over 100 points in the Nifty 50 index has recurred negative sentiment, displaying bears’ domination at crucial barriers. The index has broken two previous lows in the previous session amid aggravated selling pressure. Now, 19,600- 19625 is a decisive level to watch for any reversal. If fails to hold, further decline towards 19500-19450 cannot be neglected. Once 19850 is taken out, bulls may see a comeback.

Support: 19600, 19500, 19450

Resistance: 19750, 19800, 19850

“Expectedly, the AMEP index has risen further in the Q2 quarter end after the healthy uptick in August, reflecting the optimism on consumption demand during the festive season. Further, economic activity in the core sector has continued to be boosted by steady public investments in the infrastructure sector. With persistent challenges on the export front, higher interest rates and a tighter funding environment along with risk of weaker agricultural output due to El Nino, there is a likelihood of a moderate slowdown in growth in the second half of the year. Accordingly, we hold on to our base forecast of 6.0% GDP growth in FY24.”

- Suman Chowdhury, Chief Economist & Head - Research, Acuité Ratings & Research Ltd.

Brent Crude decline from 1-month high to below $91/bbl after the news that the US government suspended some sanctions on Venezuelan oil to balance adequate global supply.

European stocks fell on Wednesday, weighed down by disappointing results from ASML Holding NV and Swiss industrial conglomerate ABB Ltd., and as traders assessed escalating tensions in the Middle East. Both Germany and France Index slipped 1% each. UK Index declined over 1% after September Inflation reported to above expectation of 6.7% while expectation was 6.6% - previous month was 6.7%.

Asian stocks slipped following US peers and increasing tensions in the Middle East lower and China’s property sector stress weighed on investor sentiment. Japan, Australia, South Korea Index slipped 1% each. Chinese property stocks sank to its lowest level in 14 years, as the second largest property major Country Garden said that it was unlikely to make interest payment on its offshore debt.

US stocks ended sharply lower, with the S&P 500 and Nasdaq falling more than 1% each, as investors assessed the latest batch of quarterly corporate results and mounting tensions in the Middle East stoked risk aversion.

Gold price surged to 1-month high of $1944/ounce. US 10-Year bond surged to new 16-year high of 4.91%. UK September Inflation reported to above expectation of 6.7% while expectation was 6.6% - previous month was 6.7%. China quarterly GDP announced better than expectation at 4.9%. Chinese property stocks sank to its lowest level in 14 years, as the second largest property major Country Garden said that it was unlikely to make interest payment on its offshore debt.

Coromandel International Ltd, a leading phosphatic fertilizer player in the private sector, has commissioned its new ₹400 crore state-of-the-art sulphuric acid plant at its fertilizer complex in Visakhapatnam.

The new facility, which is the company’s third sulphuric acid unit, will have a production capacity of 1,650 metric tonnes per day. With this, Coromandel’s sulphuric acid capacity will increase to 11 lakh tonnes per annum from 6 lakh tonnes per annum, supporting its requirement towards downstream processes involving phosphoric acid and phosphatic fertilizer production. Read more.

Q2FY24 Result Update - Liability accretion and opex to be watched

Quick Pointers:

Core PAT beat of 2.8% led by better NII and lower provisions.

Retail deposit share improving but opex to remain elevated.

IIB saw a steady quarter; NII was 3.6% ahead of PLe that was offset by lower fees and higher opex (+7.1% QoQ). Superior NIM (21bps beat) was a function of (1) growth in higher yielding segments and (2) better LDR. Share of RTD continues to enhance and touched ~44%. Growth of 18-20% for FY24 can be achieved, but sustaining the same over medium term would depend on strong liability accretion. Hence we are factoring a ~17% loan CAGR over FY24-26E. Asset quality was stable; bank would like to increase buffer provisions by Rs3bn in near term which would take the reserve to ~58bps. Stock is valued at 1.7x for 1.9% RoA (FY25/26E) and levers for further re-rating are (1) strong liability accretion (2) reduction in cost to income and (3) creation of buffer provisions with decline in credit costs. We maintain multiple at 1.8x but as we roll forward to Sep’25, out TP increases to Rs1620 from Rs1530. Retain BUY.

Shakti Pumps (India) has received a Letter of Empanelment from Maharashtra State Electricity Distribution Company Limited (MSEDCL), for 50,000 Off-Grid Solar Photovoltaic Water Pumping Systems (SPWPS) pumps for the entire state of Maharashtra under Component-B of PM-KUSUM scheme (Phase-III). The total value of the 50,000 pumps is around Rs 1,603 Crores (inclusive of GST) which is to be executed over 24 months. The stock jumps 11.51% on the NSE, trading at ₹1,031.95.

In a remarkable first half of fiscal year 2023-24, India’s oilmeals exports have soared by an impressive 29 per cent, driven by a surge in the export of soyabean meal, which witnessed remarkable growth from the previous year.

South Korea emerged as the top importer of Indian oilmeals, with robust shipments to Thailand, Vietnam and Bangladesh contributing to expansion in trade.

However, there was a notable decline in the export of ricebran extractions due to government restrictions during a specific period.

Between April and September, India exported 22.76 lakh tonnes (lt) of oilmeals compared to 17.62 lt during the same period in the previous year.

Export of soyabean meal has experienced substantial growth, with 5.86 lt exported compared to 1.21 lt.

South Korea imported a variety of oilmeals, including 3.41 lt of rapeseed meal, 98,080 tonnes of castor seed meal, and 23,091 tonnes of soybean meal in the first half of 2023-24.

The substantial growth in India’s oilmeals exports, particularly in the first half of fiscal year 2023-24, highlights the country’s increasing prominence in the global agricultural market.

Members are requested to note that the contracts for new expiry months in Indiabulls Housing Finance will not be issued on expiry of existing contracts. However, the existing unexpired contracts of expiry months October 2023, November 2023 and December 2023 would continue to be available for trading till their respective expiry and new strikes would also be introduced in the existing contract months. Accordingly, no contracts shall be available for trading in the above-mentioned security with effect from December 29, 2023, said a NSE circular.

Kfin Technologies announced winning a high value multi-year contract from LIC Pension Fund Limited (LICPFL) to design, create and administer the investment management solution to provide enhanced customer service, security, compliance, and to be future-ready for the scale LICPFL anticipates achieving.

The stock declines by 0.62% on the NSE, trading at ₹447.35.

Major gainers:

• Bajaj Auto (4.16%)
• LTIMindtree (2.46%)
• BPCL (0.71%)
• IndusInd (0.71%)
• ITC (0.35%)

Major losers:

• Wipro (-3.19%)
• Hindalco (-2.13%)
• Tata Consumers (-1.81%)
• SW Steel (-1.63%)
• Tata Steel (-1.57%)

“The market responds to economic headwinds more than geopolitical tensions. From that perspective, the sustained rise in US bond yields is becoming a major challenge for the mother market of the US, and thereby, for global markets. The market had not positioned for the US 10-year bond yield at 4.95 % and, therefore, this unexpected spike in yields will take its toll on equity markets. It is important to understand that the spike in bond yields is not due to monetary factors alone.

The fiscal situation characterised by high deficit in the US is also contributing to the rise in yields via increased supply of bonds. So, this combination of fiscal and monetary factors pushing bond yields up will pose a major challenge to equity markets. FPIs will continue to sell, impacting the markets. Financials, though fundamentally strong, are likely to face more selling pressure since the major part of FPI’s AUM is in financials, particularly leading banks.

Long-term investors can capitalise on the decline in banking stocks triggered by FPI selling, through a calibrated accumulation strategy. This segment is doing well and the valuations are fair, even attractive.”

Crude oil futures traded lower on Thursday morning as the US eased sanctions on Venezuela. Added to this, concerns over an oil embargo on Israel also faded as the Organization of the Petroleum Exporting Countries (OPEC) did not show interest in this matter. At 9.11 am on Thursday, December Brent oil futures were at $91.02, down by 0.52 per cent; and December crude oil futures on WTI (West Texas Intermediate) were at $86.97, down by 0.34 per cent. October crude oil futures were trading at ₹7337 on Multi Commodity Exchange (MCX) in the initial trading hour of Thursday morning against the previous close of ₹7365, down by 0.38 per cent; and November futures were trading at ₹7245 as against the previous close of ₹7275, down by 0.41 per cent.

NIFTY-50 OUTLOOK

NIFTY-50 once again failed to cross the strong resistance of 19,850 levels and reversed completely on back of weak global cues and sharp profit booking in index pivotals. f On the downside the supports of 19,600-19,650 levels should hold else we could witness another round of profit booking in broader markets. f RSI has reversed downwards below its average line and other key technical indicators are also showing mixed divergence cascading each other. f Highest call OI has moved lower to 19,800 strike while on the downside the highest put OI is at 19,600 for the weekly expiry.

BANK NIFTY OUTLOOK

BANK NIFTY witnessed a sharp corrective action led by PSU Banks followed by private banks to close near the low point of the day. f The failure of the upward breakout of 44,700 levels and weekly expiry pushed the index lower to 43,800 levels which is the one month low. f RSI has reversed from the higher range and the broader trend could weaken further if we fail to cross the current range. f Bank Nifty 44500 CE has the highest OI while on the downside the strike has moved down to 44,000 for the put options OI.

BULLION

“Gold prices have seen a substantial increase, reaching a six-week high during midday trading in the United States on Wednesday. Silver prices have also risen slightly, hitting a three-week high. This rise is primarily attributed to the persistent demand for safe-haven assets due to escalating tensions in the Middle East. Geopolitical events, notably a tragic explosion at a Gaza hospital, have heightened risk premiums. According to U.S. military intelligence, the blast is believed to have been caused by a Palestinian military group. However, the simultaneous surge in the dollar index and bond yields has limited the upside potential of precious metals. We anticipate that gold and silver will exhibit volatility during today’s trading session. Gold finds support at the $1934-1920 range, with resistance at $1962-1974. Silver, on the other hand, has support at $22.74-22.60 and resistance at $23.20-23.34. In terms of the INR, gold has support at Rs59,650 and Rs59,440, while resistance is at Rs60,250 and Rs59,540. Silver, in INR terms, finds support at Rs71,150-70,210, with resistance at Rs72,480–72,950.”

CRUDE OIL

“Crude oil prices experienced a 2% surge on October 18, reaching a two-week high. This upward momentum was driven by a significant drawdown in US storage, as well as escalating tensions in the Middle East. Iran’s call for an oil embargo on Israel further complicated the situation. The US Energy Information Administration reported a notable 4.5 million barrel decrease in crude stockpiles, marking the fourth reduction in five weeks. Concerns also arose regarding the quality of oil stored, particularly at the Cushing facility. Geopolitical events, such as a tragic explosion in a Gaza hospital, heightened risk premiums. Iran’s proposed oil embargo on Israel adds an additional layer of complexity to the situation, with potential implications for the dynamics within OPEC. We anticipate that crude oil prices will remain volatile during today’s trading session. In the current session, crude oil has a support level at $86.00–85.20 and faces resistance at $87.60–88.50. In terms of the Indian Rupee (INR), crude oil finds support at Rs 7,240–7,150, while resistance is at Rs 7,430–7,510.”

USD-INR

“The USD-INR 27 October futures contract exhibited a narrow trading range. Upon analysis of the daily technical chart, it is evident that the pair is trading above its moving average trend-line support level of 83.22, and the RSI is maintaining levels above 50. While examining the technical configuration, the MACD indicates negative divergence, but the pair is sustaining itself above the 83.22 level. In accordance with the daily technical chart, the pair finds support within the range of 83.22 to 83.05, with resistance positioned at 83.45 to 83.66.”

Geo-political tension in gulf region, US 10-Year bond yield surging to fresh 16-year high to above 4.90%, lower than expected US Housing data, surging oil and gold price to 1-month high and sharp decline across the global markets over 1% each, may open on domestic market on a weak note. Lower than expected US housing data, concern of underwhelming US earnings, spiked in US 10-Year to above 4.90% and ongoing fighting in the Middle East pulled down the US market up to 1.60%.

Wipro Ltd. posted a muted set of numbers and missed all market estimates as a challenging environment in Europe put pressure on its revenue from IT services. The delays in ramp-up of projects and degrowth in the BFSI, Manufacturing, and Energy & Utilities sectors also weighed on the company’s performance in the quarter.

However, the focus on improving productivity and utilization has enabled the company to expand its IT services EBIT margin by 100bps YoY. Strong operating cash flow and a robust order book with a significant portion of large deals despite subdued market conditions augur well for the company.

As it continues to invest in its ‘AI360’ strategy and focuses on the reskilling of its manpower to make it AI-ready, Wipro is poised to create an early leadership position in the fast-evolving space and realize efficiencies faster than other competitors. The commentary on the delay in execution in the quarter, impact of macro headwinds on demand, the revival of demand in BFSI and Energy & Utilities sector, and ramp-up time for the new deals would be closely watched for further cues.

Dhruv Mudaraddi, Research Analyst, StoxBox.

Indian markets could open lower, in line with negative Asian markets today and sharply lower US markets on Oct 18

U.S. stock indexes closed sharply lower Wednesday as Treasury debt yields refreshed 16-year highs, while investors digested more corporate earnings results and geopolitical angst also hit market sentiment amid the escalation of violence in the Middle East.

Long-term US Treasury yields again closed at 16- and 17-year highs, with the yield on 30-year Treasury bond up 4.2 basis points to 4.993%, while the yield on the 10-year Treasury note also rose 5.6 basis points, to 4.902%.

In U.S. economic data Wednesday, construction of new U.S. homes rebounded 7% in September to an annual pace of 1.36 million units after a sharp 1.5% drop in the prior month, although building permits, a sign of future construction, fell 4.4% to a 1.47 million rate.

The Fed’s Beige Books said Wednesday that the U.S. economic growth is “stable” to “slightly weaker,” while the labor market tightness continued to ease across the nation.

The most-active December gold contract rose $32.60, or 1.7%, to settle at $1,968.30 an ounce after touching a high of $1,975.80. Over the last 12 months, most-active gold futures have seen a return of 18.87%. The price return for the S&P 500 is 16.69% and total return is 18.7%.

Asian shares fell, following US peers lower on concerns about elevated interest rates and rising tensions in the Middle East. In Asia, investors will be monitoring distressed Chinese builder Country Garden Holdings Co., which is set for a first-ever default as a grace period ends for dollar-bond interest.

Nifty ended on a weak note on October 18. At close, Nifty was down 0.73% or 143.9 points at 19667.2. Nifty faced resistance from the 19840-19850 band for the fourth time in the last six days on Oct 18 and reacted downwards. A breach of this band will lead to higher upsides while the 19512-19635 band could provide support in the near term.

Bajaj Auto’s recent quarterly results showcase an impressive trajectory, with a healthy gain in revenue reaching a record high of 10,777 crores, representing a significant 5.6% YoY growth. This achievement was bolstered by strong performance in the domestic market despite a slight decline in domestic two-wheeler volumes QoQ, counterbalanced by 9% QoQ growth in exports.

The company’s adept management of market dynamics, particularly in the face of volatile market conditions, has enabled Bajaj Auto to hold steady in terms of market share. An essential driver of Bajaj Auto’s success is the strategic emphasis on premiumization within the motorcycle segment, leading to substantial market-leading growth, outperforming the rest of the market by a notable 6x in the 125cc+ segment.

The successful launch of the Pulsar N150, characterized by aggressive styling, leading features, and competitive pricing, has contributed to solidifying the company’s position in the market, auguring well for the future of the Pulsar brand. Furthermore, Bajaj Auto’s strategic efforts in the three-wheeler segment have yielded exceptional results, as evidenced by historic high sales and an encouraging response to the launch of the e3W. Additionally, the strategic expansion of the Chetak brand, coupled with aggressive product interventions and enhanced supply chain capabilities, has contributed to an impressive increase in market share.

The company’s continued focus on premiumization, market expansion, and product innovation, as evidenced by the plans for new product launches and market penetration, is expected to drive future growth. Moreover, the strong cash generation and robust balance sheet provide a solid foundation for potential investments and expansion initiatives. The management commentary on rural demand going forward and further additions to the product mix will be closely watched for further cues.

Dhruv Mudaraddi, Research Analyst, StoxBox.

Mangalam Worldwide Limited will be hosting a conference call to discuss the H1 FY24 results

Date & Time: Thursday, October 19, 2023, at 02:00 PM (IST)

On behalf of the company, the call will be addressed by:

Mr. Chandragupt Prakash Mangal - Managing Director

Mr. Mohit Kailash Agrawal – Whole-time Director and Chief Financial Officer

Mr. Fageshkumar R Soni – Company Secretary & Compliance Officer

Conference Dial In: +91 22 6280 1239 & +91 22 7115 8140

Diamond pass login:

https://services.choruscall.in/DiamondPassRegistration/register?confirmationNumber=1852122&linkSecurityString=a634e934a

Regards,

Kirin Advisors

Ex/Record Date Dividend: Brand Concepts, Semac Consultants, Tata Consultancy Services.

Move in to short term ASM framework: Vakrangee.

Move out of short term ASM framework: Bhagiradha Chemicals, EKI Energy Services, Raghav Productivity Enhancers.

Star Cement: Promoter Laxmi Chamaria sold 2.28 lakh shares from Sep. 26 to Sep. 29.

Som Distilleries & Breweries: Promoter Jagdish Kumar Arora and Deepak Arora purchased 10,000 shares each on Oct. 18.

Divgi Torqtransfer Systems: ICICI Prudential Mutual Fund bought 6.23 lakh shares (2.03%) and Motilal Oswal Mutual Fund sold 10.34 lakh shares (3.37%) at Rs 1080 apiece.

Gujarat Pipavav Port: Wisdomtree India Investment bought 24.71 lakh shares (0.51%) at Rs 138.23 apiece.

Revenue down 1.23% at Rs 1,444.48 crore vs Rs 1,462.42 crore.

Ebit down 10.6% at Rs 539.1 crore vs Rs 603.01 crore.

Margin at 37.32% vs 41.23%.

Net profit down 16.67% at Rs 417.44 crore vs Rs 500.98 crore

Revenue up 2.6% at Rs 1,039.12 crore vs Rs 1,012.74 crore.

Ebitda down 2.19% at Rs 160.92 crore vs Rs 164.52 crore.

Margin at 15.48% vs 16.24%.

Net profit down 83.14% at Rs 2.73 crore vs Rs 16.2 crore

Revenue up 13.94% at Rs 153.58 crore vs Rs 134.79 crore.

Ebitda up 25.42% at Rs 37.29 crore vs Rs 29.73 crore.

Margin at 24.28% vs 22.05%.

Net profit up 29.49% at Rs 25.86 crore vs Rs 19.97 crore.

Revenue up 2.33% at Rs 8,905.4 crore vs Rs 8,702.1 crore.

Ebit down 1.91% at Rs 1,423.1 crore vs Rs 1,450.8 crore.

Margin at 15.98% vs 16.67%.

Net profit up 0.86% at Rs 1,162.3 crore vs Rs 1,152.3 crore.

Revenue up 54.08% at Rs 935.45 crore vs Rs 607.11 crore.

Ebitda up 108.97% at Rs 115.08 crore vs Rs 55.07 crore.

Margin at 12.3% vs 9.07%.

Net profit up 56.9% at Rs 70.59 crore vs Rs 44.99 crore

Revenue up 21.06% at Rs 96.9 crore vs Rs 80.04 crore.

Net profit up 76.45% at Rs 19.04 crore vs Rs 10.79 crore.

IIFL Finance Q2 FY24 (Standalone, YoY)

Total Income up 3.76% at Rs 1,080.53 crore vs Rs 1,041.36 crore.

Net profit down 37.99% at Rs 136.7 crore vs Rs 220.47 crore.

Loan AUM up 32% YoY at Rs 73,066 crore vs Rs 55,303 crore.

Gross NPA at 1.8% vs 1.8%b (QoQ).

Net NPA at 1% vs 1.1% (QoQ)

Total Income down 1.34% at Rs 311.42 crore vs Rs 315.63 crore.

Net profit up 13.53% at Rs 134.42 crore vs Rs 118.4 crore.

AUM up 16.89% YoY at Rs 16.89 lakh crore vs 14.45 lakh crore

Revenue up 3.89% at Rs 2,411.67 crore vs Rs 2,321.17 crore .

EBIT up 11% at Rs 330.77 crore vs Rs 297.99 crore.

Margin at 13.71% vs 12.83%.

Net profit up 15.08% at Rs 263.27 crore vs Rs 228.77 crore.

CEO of Tak Channels and Consultant, Vivek Gaur, has tendered his resignation from the company to pursue other opportunities.

With this, Coromandel’s sulfuric acid capacity will increase to 11 lakh tonnes per annum from 6 lakh tonnes per annum.

Allcargo Logistics reported a 1% decline in LCL volumes year-on-year and 4% decline quarter-on-quarter for September 2023. Overall muted demand led to a softer print for the quarter with Q2 FY24 LCL volumes declining 3% year-on-year to 2,294,000 cbm.

Alkyl Amines’ newly set up plant at existing Kurkumbh site, Maharashtra, for enhancing manufacturing capacity of Ethyl Amines has successfully commenced commercial production on Oct. 18.

NCLT sanctioned the scheme of amalgamation amongst Tata Steel Long Products and Tata Steel.

RPG Lifesciences’ board of directors executed power delivery agreement with Sunpound Solar, a SPV for the supply of electricity by power producer to the company, by setting up a group captive solar power project in Maharashtra. The company will invest Rs 1.1 crore to subscribe to 26% share capital of Sunpound Solar.

In Q2 FY24, ICICI Securities Ltd recorded a strong revenue growth of 44% on YoY and 34% on a QoQ basis. The company’s retail equity and allied segment, which constitute 56% of the total revenue, experienced a growth of 39% on a YoY and 36% on a QoQ basis.

Notably, ISEC managed to reduce its cost-to-income ratio from 44% in Q2 FY23 to 42% in Q2 FY24, resulting in a significant boost in profitability, which is up by 41% on a YoY basis and 56% on a QoQ basis.

Within the wealth management segment, the AUM increased by 20% on a YoY and 7% on a QoQ basis, driving a 37% rise in revenue on a YoY and QoQ basis.

ISEC continued to focus on the growth of its loan disbursement segment, catering to its existing customer base of 9 million, with an impressive 66% growth on a YoY and 26% on a QoQ basis.

However, the company’s NSE active clients market share is continuously declining over quartersfrom 8.2% in Q2FY23 to 5.7% in Q2FY24.

The IPO of IRM Energy Limited, a city gas distribution (CGD) company, was subscribed 1.72 times at the end of Day 1 of issue opening on Wednesday, thanks to keen interest shown by retail and non-institution investors (NIIs). The IPO will close on Friday (October 20). The company, which is in the business of laying, building, operating and expanding the city or local natural gas distribution network, has fixed the price band at ₹480 to ₹505 a share for its initial public offer and plans to raise ₹545 crore through the issue. Read more.

ITC, HUL, Nestle, Havells, Dabur, Bajaj Healthcare, Trident, Lemon Tree, Hudco, Alkyl Amines, Coforge, client, PVR Inox, South Indian bank, Equitas SFB, Tata Coffee, UltraTech Cement, VA Tech Wabag and Voltas are some of the stocks that will be in focus today. Read more.

Aarti Drugs, Accelya, Agro Tech Foods, Coforge, Cyient, Equitas Small Finance Bank, Ganesh Housing, Hindustan Unilever, Hatsun Agro Product, Havells India, HFCL, ITC, Indoco Remedies, Jindal Stainless, Kirloskar Pneumatic, Mastek, Metro Brands, Mphasis, Nestle India, PVR Inox, Ramkrishna Forgings, Ramkrishna Forgings, South Indian Bank, Tanla Platforms, Tata Coffee, Tata Communications, United Breweries, UltraTech Cement, Voltas and Wendt

The Board of Directors of Coforge on Thursday (October 19, 2023) has declared second interim dividend of Rs. 19 per equity share of the company at the face value of Rs 10 each fully paid-up, for the financial year 2023-24. November 2, 2023, has been fixed as record date for the purpose of ascertaining the eligibility of shareholders for payment of interim dividend.

IndusInd Bank now meets the minimum FII headroom requirement of 15%. This means that IndusInd Bank is eligible to get included in MSCI index in November 2023 review. Buying of $280 million or 1.6 crore shares are likely due to MSCI inclusion in Nov Review meeting.

Philip Morris International Inc (Pre market) (Sector- FMCG)

Union Pacific Corporation (Pre market) (Sector- Logistics)

AT&T Inc. (Pre market) (Sector- Telecom)

Marsh & McLennan Companies, Inc. (Pre market) (Sector- Insurance)

Blackstone Inc. (Pre market) (Sector- Financial)

Freeport-McMoran, Inc. (Pre market) (Sector- Metal)

Truist Financial Corporation (Pre market) (Sector- Financial)

Genuine Parts Company (Pre market) (Sector- Automobile)

Nokia Corporation (Pre market) (Sector- Technology)

Fifth Third Bancorp (Pre market) (Sector- Financial)

Watsco, Inc. (Pre market) (Sector- Capital Goods)

Pool Corporation (Pre market) (Sector- Miscellaneous)

Snap-On Incorporated (Pre market) (Sector- Capital Goods)

KeyCorp (Pre market) (Sector- Financial)

Taiwan Semiconductor Manufacturing Company Ltd. (Post market) (Sector- Technology)

Intuitive Surgical, Inc. (Post market) (Sector- Healthcare)

CSX Corporation (Post market) (Sector- Logistics)

VA Tech Wabag informed the exchanges that Pankaj Malhan has resigned as Deputy Managing Director and Group CEO (key managerial personnel) of the company due to personal reasons. He will be relieved from the services of the company with effect from October 30.

GPT Infra Projects said that the company received Rs 739 crore contract to construct Prayagraj Southern Bypass in Uttar Pradesh.

Lemon Tree has signed a License Agreement for a 72 rooms property in Badrinath, Uttarakhand under the Company’s brand “Lemon Tree Hotel”. The hotel is expected to be operational by FY 2025.

This hotel will feature 72 well-appointed rooms, a restaurant and other public areas. Carnation Hotels Private Limited, a wholly owned subsidiary and the hotel management arm of the Company will be operating this hotel.

Dabur is in news as several cases have been filed in the US and Canada against its three subsidiaries (Namaste, Dermoviva and DINTL). The consumers alleged that the company’s hair products caused ovarian cancer and uterine cancer.

The federal cases were consolidated as a Multi-District Litigation, also referred to as MDL, before the United States District Court for the Northern District of Illinois. Currently there are approximately 5400 cases in the MDL. There are various motions pending as well. Since we are in the initial stage of litigation, any final quantum of claim amount is neither probable nor estimable, the company said.

The entire IT assets of all the senior officials are under the control of Income Tax Department for scrutiny, Trident has informed stock exchange.

BALRAMPUR CHINI

DELTACORP

GNFC

HINDCOPPER

IBULHSGFIN

INDIACEM

MANAPPURAM

MCX

SAIL

Domestic markets are likely to witness another turbulent day, tracking global markets which are under tremendous pressure due to geopolitical tensions between Israel and Hamas in Gaza.

Gift Nifty at 19570 indicates another 100 points gap down opening for Nifty futures which closed at 19683. Major global markets are down between 1 and 2 per cent. Read more.

Mutual fund houses will start parking ₹3,300 crore from next week into the Corporate Debt Market Development Fund (CDMDF) created by capital market regulator SEBI as a backstop arrangement to bailout specified debt schemes in times of market dislocation.

In June, SEBI notified rules for setting up a CDMDF in the form of a closed-ended alternative investment fund, which will be managed by SBI Mutual Fund. Asset management companies will make a one-time contribution equivalent to 2 bps of the AUM of specified debt-oriented schemes. Read more.

Bajaj Auto announced a standalone net profit of ₹1,836 crore for the quarter ending September this financial year, a 20 per cent increase from ₹1,530 crore reported during the corresponding quarter of the previous year.

Underpinned by double-digit volume growth, with the sustained buoyancy on the domestic front cushioning the weak, albeit improving exports performance, the revenue from operations increased 6 per cent year-on-year (y-o-y), reaching ₹10,777 crore (₹10,203 crore). Read more.

ICICI Prudential Life Insurance reported Q2FY24 net premium income growth of 4.6 per cent YoY to ₹10,022 crore, which was led by single premium, which grew by 7 per cent y-o-y to ₹3,005 crore. Annualised Premium Equivalent (APE) increased by 3 per cent YoY to ₹2,063 crore, remaining slightly below consensus.

Net commission during the quarter increased by 87 per cent y-o-y to ₹771 crore due to the regulatory norms leading to increase in overall cost ratio to 26.2 per cent from 21.6 per cent in Q2-FY23. Read more.

Bajaj Finance has delivered a 2 per cent miss on our earnings expectation, underpinned by more-than-expected NIM decline. Credit cost was similar to Q1FY24, with higher flows from Stage-2 (seen in B2C and SME portfolios) and enhancement of Stage-3 coverage. RoA/RoE were maintained at higher levels of 5.2/24 per cent.

The company remains confident of adding 13-14mn new customers and about delivering a strong AUM growth in FY24, after having delivered the best growth in H1 in the past 4-5 years. Read more.

Private sector lender Bandhan Bank on Wednesday reported over three-fold year-on-year jump in its net profit to ₹721.16 crore for the second quarter this fiscal, on the back of a 50 per cent y-o-y fall in its provisions.

In the second quarter last fiscal, the Kolkata-based lender’s net profit stood at ₹209.27 crore. Sequentially, the net profit for Q2FY24 remained flat compared with ₹721.05 crore for Q1FY24. Read more.

Bank of Baroda (BoB) has suspended about 60 senior officials, including 11 Assistant General Managers and a General Manager, after the Reserve Bank of India stopped the lender from further onboarding customers onto its ‘bob World’ mobile application.

Last week, the central bank said its action (taken in exercise of its power under Section 35A of the Banking Regulation Act, 1949) against the public sector bank is based on certain material supervisory concerns observed in the manner of onboarding of customers onto ‘bob World’. Read more.

IndusInd Bank posted a consolidated net profit of ₹2,202 crore for Q2 FY24, up 22 per cent y-o-y and 4 per cent q-o-q. The consolidated results include the financials of wholly owned subsidiaries Bharat Financial Inclusion and IndusInd Marketing and Financial Services.

Net Interest Income (NII) for the quarter grew 18 per cent y-o-y and 4 per cent q-o-q to ₹ 5,077 crore. Net Interest Margin (NIM) was at 4.29 per cent, flat from a quarter ago and better than 4.24 per cent a year ago. Read more.

Margins for Bajaj Finance should decline another 25-30 bps over the course of the current financial year, but the lender should be able to build operating leverage to sustain RoA (return on asset) of around 5 per cent.

RoA fell to 5.16 per cent from 5.4 per cent a year ago due to NIM compression, which is pulling RoA back to pre-Covid levels, MD Rajeev Jain said in an analyst call.

The funding environment remains volatile and cost of funds elevated, also due to high replacement demand for two-three year-old funds raised at much lower rates. Read more.

IT major Wipro has reported a sequential decline in both revenue and profit metrics and further narrowed the guidance as uncertain macros have resulted in lower discretionary spending and slower deal conversion.

For the second quarter, profits stood at ₹2,667.3 crore, sequentially down by 7.5 per cent, and almost flat on a year-on-year (y-o-y) basis.

Revenue from operations stood at ₹22,515.9 crore, a decline of 1.38 per cent on a quarter-on-quarter (q-o-q) basis and almost flat on a y-o-y basis. In constant currency terms, revenue dipped for the third consecutive quarter, by 2 per cent, below market expectations. Read more.

The offer for sale of Housing and Urban Development Company (Hudco) was subscribed over two times on Day 1, where only institutional investors can subscribe. The issue will open for retail investors on Thursday.

Shares of Hudco tumbled 10.65 per cent to ₹80.34. Read more.

Heritage Foods posted a net profit of ₹22.52 crore in the second quarter ended September 30, 2023, as against ₹21.10 crore in the same quarter last year.

The company’s shares closed at ₹250.75, down 1.63 per cent on Wednesday on the Bombay Stock Exchange. Read more.

Bharti Airtel, a leading telecommunications service provider, has announced that it now covers all of 33 districts in Telangana, offering 5G services to over 30 lakh customers.

“Airtel’s 5G service is now available across all districts and Union Territories in the country,” a statement said on Wednesday. Read more.

Post Wipro’s results on Wednesday, the top 4 IT majors have all reported their Q2 results. How does it look? Overall not good! While management talk across companies has been cliched — stressing on how deal wins have been good and that they executed well in a tough environment, the underlying results belie the confidence.

Further, the AI theme that every management has taken time to talk about in their post-results conferences is not a near-term game-changer. The beneficial impacts of these are likely to meaningfully impact results only in the medium to long term. Read our in-depth analysis.

ICICI Lombard General Insurance’s net profit rose a mere 3 per cent y-o-y to ₹968 crore in Q2, due to a higher base last year, owing to a tax provision reversal. Excluding the one-time impact, the profit after tax was up 19.2 per cent for the six-month period ended September.

For Q2 FY24, the profit after tax fell 2.2 per cent to ₹577 crore, but was up 24.8 per cent excluding the impact of the provision reversal.

Gross Direct Premium Income (GDPI) grew 18.2 per cent to ₹12,472 crore, higher than the industry growth of 14.9 per cent. Read more.

Asian stocks slipped following US peers lower, driven by the continued sell-off in Treasuries and increasing tensions in the Middle East.

Australian, Japanese and South Korean shares all fell over 1% in early trading while futures in Hong Kong also pointed to losses. Oil edged lower after rallying in its previous session with the US suspending some sanctions on Venezuelan output while gold extended gains amid demand for safe-haven assets. The precious metal has now risen over 4% in the last five days.

Australian and New Zealand bond yields surged while their US counterparts steadied in Asia trading following Wednesday’s gain. Fed Bank of New York President John Williams said interest rates will have to stay at restrictive levels “for some time” to bring inflation back to the central bank’s target. (Bloomberg)

The short-term outlook is bullish for Geojit Financial Services. The stock had surged over 5 per cent on Wednesday, when the broader market had declined. Immediate support is at ₹56.50. Below that, ₹54 is a slightly lower support.

The 21-day moving average is also poised near ₹54, and that makes it a strong support. Immediate resistance is at ₹59.50. But the chances are looking high for the stock to break this resistance and move higher. Read more.

Here are the intraday supports and resistances for widely traded stocks such as Reliance Industries, ITC, ONGC, Infosys, HDFC Bank, TCS, and SBI