Sensex, Nifty end higher on a volatile day; Yes Bank gains 4%

28 May 2019

Market Close: The benchmark indices ended higher in the consolidation day. The Sensex was up 66.44 points at 39,749.73, while Nifty was up 16.40 points at 11,941.20. About 1416 shares have advanced, 1160 shares declined, and 154 shares are unchanged.

The gainers on Nifty were Zee Entertainment, Yes Bank, Infosys, Coal India and Power Grid Corp, while losers include Bharti Infratel, Bajaj Auto, Grasim Industries, Hero Motocorp and UltraTech Cement.

Among sectors, auto, infra and PSU bank remained under pressure, while buying seen in the energy, IT and Metal.

Market Update: Benchmark indices turns positive in the final hour of the day with Nifty around 11,950.

The Sensex is up 114.61 points at 39797.90, while Nifty is up 24.50 points or 0.21% at 11949.30. About 1348 shares have advanced, 1111 shares declined, and 140 shares are unchanged.

Gruh Finance raise FPI limit: The company board approved an increase in the limit of total investment by all Foreign Portfolio Investors under the Portfolio Investment Scheme from 24% to 40% of the paid-up equity share capital of the company, subject to the approval of the members of the company at the ensuing annual general meeting (AGM).

Info Edge Falls 1% Post Earnings

Info Edge's March quarter profit fell 10.8 percent sequentially to Rs 66.3 crore due to one-time loss of Rs 17.4 crore.

However, revenue increased 4.1 percent to Rs 292.6 crore and EBITDA jumped 9.6 percent to Rs 91.2 crore with margin expansion of 160 bps QoQ.

Market Check: Benchmark indices are trading lower in the afternoon trade with Nifty hovering around 11,900.

At 12:30 hrs IST, the Sensex is down 41.81 points at 39641.48, while Nifty is down 13.40 points at 11911.40. About 1254 shares have advanced, 1028 shares declined, and 111 shares are unchanged.

Buzzing: Motherson Sumi Systems shares gained more than 2 percent as brokerages remained bullish on the stock despite weak March quarter earnings and see 24-59 percent potential upside though some of them cut price target.

RINL Aims To Produce 6.4 MT Of Liquid Steel in FY20

State-run Rashtriya Ispat Nigam Ltd is eyeing to produce 6.4 million tonne of liquid steel and 5.8 million tonne of saleable metal in the financial year 2019-20, a company official said.

The public sector undertaking (PSU) will be signing a Memorandum of Understanding (MoU) in this regard, with its administrative ministry -- Ministry of Steel -- likely by the first week of June, the official said.

"The MoU is in the final stages and is expected to be signed next week or so. The target for liquid steel and saleable steel for financial year 2019-20 would be around 6.4 million tonne (MT) and 5.8 MT, respectively," the official said.

Manpasand Beverages Cracks Again

Shares of Manpasand Beverages plunged 20 percent amid growing concerns over corporate governance issues.

The company on Monday cancelled its scheduled board meet on Tuesday, where it was looking to consider and approve March quarter results. Besides, a couple of independent directors have resigned from the firm.

Stake Sale

Reliance Capital will sell its entire shareholding in Reliance Nippon Life Asset Management.

"The entire Reliance Nippon Life Asset Management stake monetization proceeds of around Rs 6,000 crore to be received from the Offer for Sale and the already announced transaction with Nippon Life Insurance Company of Japan will be utilised to reduce Reliance Capital’s outstanding debt," company said.

Buzzing: Shares of Time Technoplast surged more than 7 percent on May 28 after the company reported strong earnings for the quarter ended March 2019.

Market Update: Indian indices are trading flat with marginal gains.

Yes Bank, JSW Steel, Vedanta, Coal India and Hindalco Industries are the top gainers on the Nifty, while losers are Bharti Infratel, HDFC, Grasim Industries, L&T and Kotak Mahindra Bank.

Market opens: It is a flat start for the Indian indices on May 28.

At 09:18 hrs IST, the Sensex is up 38.88 points at 39722.17, while Nifty is up 16.60 points at 11941.40. About 633 shares have advanced, 272 shares declined, and 45 shares are unchanged.

Yes Bank, Gail India, Adani Port, Zee Entertainment, Coal India, Asian Paints, SBI and Kotak Mahindra Bank are some of major gainers in the early trade, while losers are Emami, HPCL and IOC.

Among sectors, FMCG and PSU bank index are under pressure, while buying seen in the metal, auto, infra and pharma.

Rupee Opens: The Indian rupee slipped in the early trade on Tuesday. It has opened lower by 15 paise at 69.65 per dollar on Tuesday versus previous close 69.50.

Market at pre-open: Benchmark indices are trading higher in the pre-opening session with Nifty above 11,950 level.

At 09:01 hrs IST, the Sensex is up 107.98 points or 0.27% at 39791.27, and the Nifty up 47.10 points or 0.39% at 11971.90.

Macquarie on GAIL

Maintain outperform, target at Rs 440 per share

Q4 EBITDA up 29% YoY ahead of consensus

Nomura on GAIL

Maintain buy call, target at Rs 465 per share

Near-term focus will be on the final tariff order for its HVJ network

Citi on GAIL

Neutral call, target at Rs 370 per share

Key near-term trigger would be the HBJ/DVPL tariff hike

Nomura on Motherson Sumi

Maintain buy call, target cut to Rs 156 from Rs 171 per share

New plants ramp-up, India recovery to drive performance

Macquarie on Motherson Sumi

Maintain outperform, target at Rs 185 per share

EBITDA of Rs 1,200 crore lower than our estimates

Credit Suisse on Colgate

Maintain outperform, target cut to Rs 1,450 from Rs 1,500 per share

Stabilisation of market share achieved, share gain targetted in FY20

CLSA on Colgate

Maintain buy rating, Target cut to Rs 1,400 from Rs 1,575 per share

Q4 domestic volume growth was in-line

Citi on Colgate

Neutral call, target raised to Rs 1,265 from Rs 1,180 per share

Adjust FY20-21 estimates 0-3% after accounting for FY19 actuals

Credit Suisse on BHEL

Maintain outperform, target at Rs 100 per share

Expected lower provisions drive profitability

CLSA on BHEL

Maintain sell call, target raised to Rs 63 from 56 per share

Inflows decline as PLFs still very low & gross margins shrink

Citi on BHEL

Neutral call, target at Rs 70 per share

Co attributed subdued sales growth to client site issues at a few projects

Credit Suisse on IndiGo

Outperform rating, target at Rs 1,800 per share

Numbers marginally below our estimates driven by lower ASKs

Citi on IndiGo

Sell call, target raised to Rs 1,300 from Rs 1,000 per share

Increase yield assumptions by 4%

CLSA on Emami

Maintain buy, target cut to Rs 450 from Rs 520 per share

Reported a weak set of results, yet again

Citi on Zee Entertainment

Downgrade to neutral/high risk from buy/high risk, target cut to Rs 415 from Rs 515

Operating earnings continue to beat expectations

Credit Suisse on Emami

Maintain outperform, target cut to Rs 435 from Rs 480 per share

Cut FY20/21 EPS estimates by 6-8% to build in the lower growth

Nomura on Zee Entertainment

Maintain buy, target cut to Rs 522 from Rs 553 per share

Build in a 13%/12% CAGR for Ad/subscription revenue over FY19-21

Macquarie on Zee Entertainment

Outperform call, target at Rs 540 per share

EBITDA 10% higher than estimate on higher domestic ad revenue growth

BofAML on Zee Entertainment

Reiterate neutral rating, target at Rs 445 per share

Adjust FY20 EPS estimates by 1-2%

Credit Suisse on Zee Entertainment

Downgrade to neutral from outperform, target cut to Rs 390 from 560 per share

Cut FY20/FY21 estimates by 15% on lower ad/sub revenues

CLSA on Zee Entertainment

Q4 results beat our estimates led by 18% YoY domestic ad rev growth

Working capital expanded with aggressive movie right acquisition & ZEE5 ramp-up

CLSA on Adani Ports

Maintain buy call, target at Rs 475 per share

Overall Q4 volume up 18% vs major ports at 5%

Citi on Adani Ports

Neutral call, target at Rs 417 per share

Maintain neutral due to past incidences of less-than-optimal capital allocation

Crude Update: Oil prices were mixed on Tuesday, pressured by a weakening economy, especially in China, yet still supported by ongoing supply cuts from producer club OPEC and US sanctions against Iran and Venezuela.

SGX Nifty: Trends on SGX Nifty indicate a flat opening for the broader indices in India, a fall of 3 points or 0.03 percent. Nifty futures were trading around 11,921-level on the Singaporean Exchange.

Asian markets trade higher: Asian shares tracked European gains on Tuesday, as relief over EU election results eased concerns about political difficulties in the bloc and merger news supported auto shares, although persistent concerns about trade capped regional sentiment.