|
Continuing from Friday's strong close, markets opened
the day with a huge positive gap and were never really
threatened for the rest of the day. Except for ONGC and
Reliance Industries, most other major frontline stocks
closed the day with very good gains.
The
day belonged to TCS, which excited the markets with a
strong performance for the first quarter ended June '05.
The strong gains in TCS led to a rally in other frontline
tech stocks like Infosys, Satyam and Wipro.
The
indices surged to their day's highs in late afternoon
trades on short covering. Tata Steel, Hindustan Lever,
Hero Honda and Bajaj Auto were among the other stocks
supporting the market surge.
Sensex
closed at 7347, a gain of 76 points, and the Nifty at
2234, a gain of 21 points. Nifty July futures discount
to the spot index narrowed to just 1 point from Friday's
5 points.
TCS,
Hero Honda and Tata Tea were among the major gainers among
Nifty stocks while ITC, ONGC and VSNL were the major losers.
After
the disappointment of last quarter, TCS impressed the
markets by meeting earnings forecasts for the first quarter
ended June '05. Profits were higher by over 33 per cent
on revenue growth of close to 25 per cent. The stock closed
close to 6 per cent higher.
TCS
announced a major new order worth over $100 million from
an unidentified US financial services company. The company
added 68 new clients and over 3,600 employees during the
quarter.
TCS
has announced the merger of Tata Infotech with itself.
The merger will be in the ratio of one share of TCS for
every two shares of Tata Infotech. TCS ruled out more
mergers with other Tata group technology service companies.
Tata
Steel will acquire a 5 per cent stake in a coal-mining
venture in Australia. The mine has proven reserves of
58-million tonnes and is expected to start production
next year. The mine may also have another 100-million
tonnes of deposit in the unexplored areas. After remaining
sideways in early trades, Tata Steel shot up in afternoon
trades and closed with gains of over 2 per cent.
Hero
Honda reported a 7 per cent increase in first quarter
profits as compared to the same quarter of previous year.
Revenues were higher by over 14 per cent.
The
company is planning to set up a third manufacturing stocks
in the near future and is readying new product launches
as well. The stock closed at a new high today with gains
of close to 4 per cent.
Bajaj
Auto announced a 27 per cent rise in first quarter profits
on a revenue growth of around 33 per cent. The company
has managed to improve its operating margins despite the
cost and pricing pressures. Bajaj Auto is planning to
set up a manufacturing facility in Indonesia to address
the ASEAN market.
The
company's motorcycles division has been performing well
over the last few quarters, though scooter and three-wheeler
sales have been slowing down. Total volumes for the quarter
went up by over 35 per cent supported by a spectacular
growth of over 50 per cent in motorcycles. The stock closed
over 3 per cent higher at a new lifetime high.
Dr.
Reddy's has reportedly tied up with Citigroup and ICICI
Ventures to finance its drug discovery research programmes.
While Citigroup would pump in $30 million, ICICI Ventures
has reportedly agreed to provide up to $35 million.
Mid-Cap
Action
A
new mid-cap index, CNX Mid-Cap 100, made its debut today.
Henceforth, this will be the principal index for mid-cap
stocks and many of the stocks included in the index attracted
lot of buying interest on expectations of demand from
index funds. The index closed the day at 3364, close to
2 per cent higher.
Nectar
Lifesciences and MSP Steel & Power started trading
on the exchanges today. Issued at Rs240 per share, Nectar
opened on the NSE at Rs300 and closed the day at Rs258.
The stock saw a high of Rs310 during the day.
MSP
Steel had a much better opening, closing the day with
gains of over 50 per cent over the issue price. Issued
at Rs10 per share, the stock debuted at Rs17.9 on the
NSE and closed at Rs15.2. The stock saw a high of Rs19.5
during the day.
Confirming
market speculation, a group led by investor Rakesh Jhunjhunwala
has announced the takeover of Aptech Limited. A company
promoted by the group called Aptech Investments has acquired
10 per cent stake in Aptech Limited from existing promoters
at Rs56 to a share.
Aptech
Investments would hike its stake in Aptech through a preferential
allotment. Aptech Investments would also make an open
offer for 20 per cent of Aptech Limited at Rs61 per share.
The stock closed the day locked in the 20 per cent upper
circuit at Rs95.5, way above the open offer price.
Two
PSU stocks, ITI Limited and HMT, stood out in the mid-cap
space with very strong gains. Telecom equipment manufacturer
ITI Industries closed the day with gains of close to 30
per cent while HMT closed 23 per cent higher.
ITI
and HMT have been surging ahead for the last couple of
weeks on market talk about large order wins, financial
restructuring and real estate holdings. Both companies
have been going through financial and operational difficulties
for many years.
Liberty
Shoes soared over 5 per cent after the company announced
a liberal bonus issue of one share for every share held.
Orchid
Chemicals also announced a bonus issue in the ratio of
one share for every two shares held. The company also
announced its first quarter results today. Profits climbed
over 50 per cent even though revenues declined marginally.
Orchid
said prices of cephalosporin, the company's principal
product, has stabilized and does not expect any pricing
pressure in the near future. The company had forged partnerships
in most developed markets and is betting on drugs, which
are going off patent to fuel growth.
Offshore
exploration services provider Aban Loyd reported a 138
per cent jump in first quarter profits on a revenue growth
of close to 90 per cent. The stock closed lower.
Nucleus
Software reported flat results for the first quarter ended
June '05. The stock lost close to 5 per cent today.
Some
mid-cap tech stocks considerable buying interest today.
Four Soft saw gains of over 13 per cent in intra-day trades
before closing 7 per cent higher. 3i Infotech closed over
7 per cent higher.
The
Torrent group power companies continued their upsurge
today as well. Torrent Power was locked in the 20 per
cent upper circuit in early trades for the third day.
The stock closed with gains of over 11 per cent. Torrent
SEC closed the day more than 3 per cent higher.
Some
of the media stocks continued to buzz around. Television
Eighteen was the biggest gainer, closing more than 11
per cent higher. Traders accumulated the stock after reports
that FII's can buy more of the stock.
Deccan
Chronicle, TV Today and Crest Animation were among the
gainers in media and entertainment stocks.
Print
media and radio-broadcasting company, Mid-day Multimedia,
reported good growth in first quarter profits, after market
close today. First quarter profits more than doubled on
a revenue growth of over 20 per cent. The stock closed
with gains of over 2 per cent.
Many
sugar stocks gained ground on firm international prices
and expectations of steady domestic prices. Upper Ganges
closed the day with gains of over 6 per cent. Dwarikesh
Sugar, KCP Sugar, Oudh Sugar and Dhampur Sugar also closed
with gains.
Samtel
Colour crashed more than 10 per cent after the company
reported disappointing first quarter results. Profits
declined close to 90 per cent as the company faced pricing
pressures. The company manufactures colour television
picture tubes. The stock closed more than 7 per cent lower.
 BPL
Limited, Mahindra Gesco and Searle India were among the
best performing stocks among mid-caps.
Aztec
Software, Gujarat State Fertilizers and Thirumalai Chemicals
were among the significant mid-cap losers.
*Disclaimer:
The author does not have any position in the stocks specifically
mentioned
above at the time of writing this article. This analysis
/ report is only for the purpose of information and is
not an investment advice. Readers are advised to consult
a certified financial advisor before taking any investment
decisions. While efforts have been made to ensure the
accuracy of the information provided in the content the
author or publisher shall not be held responsible for
any loss caused to any person whatsoever.
Other
articles by Rex Mathew
List
of general reports on markets List
of general reports on finance
Market:
Indices
National
Markets
Gain (+) / Loss (-)
|
SENSEX
|
7,347.10 |
+
75.56 |
| NIFTY
|
2,234.00
|
+
21.45 |
Last
Update : 18 July, 2005, 16:13 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| TCS
LTD |
1,277.00
|
1,341.20
|
1,277.00
|
1,321.00 |
| HEROHONDA
M |
635.00
|
658.00
|
630.00
|
654.35 |
| GRASIM
INDUSTRIES LTD. |
1,114.80
|
1,145.00
|
1,095.00
|
1,138.45 |
| RELIANCE
ENR |
638.90
|
662.00
|
638.90
|
656.55 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
2,205.40
|
2,279.80
|
2,205.40
|
2,272.30 |
| SATYAM
COMP |
486.50
|
502.40
|
481.55
|
496.65 |
| BAJAJ
AUTO |
1,409.00
|
1,426.00
|
1,387.00
|
1,421.00 |
| LARSEN
& TOUBRO LTD. |
1,255.00
|
1,300.00
|
1,255.00
|
1,290.85 |
| HINDUSTAN
LEVER LTD. |
157.85
|
160.85
|
157.00
|
159.65 |
| TATA
IRON AND STEEL CO. LTD. |
361.00
|
364.80
|
354.40
|
362.85 |
| RANBAXY
LABORATORIES LTD. |
1,045.00 |
1,054.00
|
1,037.05
|
1,051.40 |
| DR.REDDY'S
LABORATORIES LTD. |
748.80
|
760.95
|
746.50
|
758.65 |
| BHEL |
892.00 |
904.00
|
882.00
|
900.45 |
| WIPRO
LTD. |
704.00
|
717.95
|
704.00
|
710.45 |
| TATA
MOTORS |
465.00
|
469.75
|
464.20
|
467.00 |
| ICICI
BANK L |
445.00
|
451.95
|
442.00
|
443.60 |
| CIPLA
LTD. |
334.00
|
338.00
|
332.05
|
332.95 |
| HINDALCO
IN |
1,252.00
|
1,255.00
|
1,240.00
|
1,245.90 |
| TATA
POWER |
410.00
|
410.00
|
398.75
|
403.25 |
| HOUSING
DEVELOPMENT FINANCE CO |
890.00
|
908.00
|
880.15
|
890.65 |
| I
T C LTD |
1,754.00
|
1,754.00
|
1,728.05
|
1,736.95 |
| ONG
CORP LTD |
925.80
|
930.00
|
907.00
|
917.05 |
| RELIANCE*
|
670.00
|
674.00
|
658.00
|
661.25 |
| HDFC
BANK LT |
631.05
|
637.00
|
624.05
|
627.50 |
| MARUTI
UDYOG |
458.00
|
459.00
|
448.00
|
452.50 |
| ASSOCIATED
CEMENT COMPANIES LT |
430.00
|
435.50
|
424.05
|
425.75 |
| STATE
BANK OF INDIA |
723.00
|
724.75
|
715.05
|
716.80 |
| BHARTI
TELEVENTURES |
|
|
|
257.00 |
| GUJARAT
AMBUJA CEMENTS LTD |
|
|
|
60.90 |
| NTPC |
|
|
|
92.00 |
Last
Update : 18 July, 2005, 16:02PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| RELIANCE
|
667.00
|
672.85
|
658.20
|
661.80 |
| INFOSYSTCH
|
2196.10
|
2280.00
|
2196.10
|
2272.00 |
| TCS
|
1252.00
|
1479.00
|
1252.00
|
1322.20 |
| VSNL |
344.00 |
399.00
|
335.10
|
338.05 |
| ONGC |
928.00 |
932.00
|
907.65
|
917.25 |
| SATYAMCOMP
|
486.00
|
502.65
|
485.00
|
497.35 |
| TISCO
|
356.00
|
364.95
|
354.35
|
362.55 |
| SBIN
|
724.00
|
724.95
|
714.35
|
716.55 |
| REL
|
689.00
|
689.00
|
636.50
|
656.65 |
| ITC
|
1750.00
|
1754.95
|
1730.00
|
1738.75 |
| IPCL
|
188.40
|
189.90
|
187.00
|
188.05 |
| ZEETELE
|
171.00
|
177.50
|
171.00
|
174.30 |
| HINDLEVER
|
157.10
|
160.90
|
157.10
|
159.95 |
| WIPRO
|
708.00
|
718.00
|
708.00
|
711.00 |
| TATAMOTORS
|
464.60
|
470.00
|
464.25
|
468.55 |
| HEROHONDA
|
635.00
|
657.50
|
630.05
|
654.30 |
| TATACHEM
|
186.00
|
191.90
|
186.00
|
189.95 |
| HDFCBANK
|
633.00
|
638.00
|
624.00
|
627.75 |
| LT
|
1264.00
|
1300.00
|
1256.00
|
1288.95 |
| GAIL
|
213.05
|
217.95
|
213.05
|
215.05 |
| GRASIM
|
1107.00
|
1145.00
|
1100.05
|
1137.10 |
| MARUTI
|
455.00
|
458.95
|
451.00
|
452.80 |
| PNB
|
392.00
|
400.85
|
392.00
|
399.25 |
| RANBAXY
|
1044.95
|
1056.75
|
1036.00
|
1054.00 |
| SAIL
|
51.20
|
52.35
|
51.00
|
52.10 |
| BHARTI
|
255.10
|
264.80
|
255.00
|
257.80 |
| CIPLA
|
333.40
|
337.90
|
332.25
|
334.55 |
| BAJAJAUTO
|
1393.00
|
1429.00
|
1385.00
|
1424.80 |
| GUJAMBCEM
|
61.40
|
62.00
|
60.50
|
60.90 |
| TATATEA
|
651.80
|
683.00
|
641.00
|
672.10 |
| HINDPETRO
|
298.10
|
301.45
|
296.00
|
300.50 |
| ICICIBANK
|
444.00
|
448.80
|
442.00
|
443.65 |
| M&M
|
603.00
|
604.45
|
592.00
|
595.45 |
| BHEL
|
890.00
|
903.00
|
886.15
|
899.70 |
| NATIONALUM
|
159.00
|
164.00
|
154.00
|
155.60 |
| ORIENTBANK
|
258.10
|
261.00
|
257.10
|
258.05 |
| HCLTECH
|
379.00
|
387.90
|
374.10
|
385.65 |
| TATAPOWER
|
420.00
|
420.00
|
399.05
|
403.45 |
| MTNL
|
132.45
|
135.50
|
132.45
|
134.30 |
| GLAXO
|
877.00
|
877.00
|
855.00
|
865.70 |
| HDFC
|
855.00
|
908.00
|
855.00
|
891.00 |
| DRREDDY
|
753.00
|
764.90
|
748.00
|
760.00 |
| BPCL
|
345.00
|
345.00
|
339.10
|
342.70 |
| HINDALC0
|
1230.00
|
1255.00
|
1230.00
|
1246.95 |
| DABUR
|
142.85
|
144.00
|
142.05
|
142.70 |
| ABB
|
1509.00
|
1525.00
|
1495.10
|
1519.10 |
| SUNPHARMA
|
605.00
|
619.75
|
599.95
|
612.75 |
| SCI
|
148.50
|
149.50
|
146.00
|
147.75 |
| COLGATE
|
240.00
|
243.00
|
238.20
|
242.55 |
| ACC
|
430.00
|
433.70
|
425.00
|
426.75 |
Last
Update : 18 July, 2005, 16:00PM
| 
