Share Market Highlights 18 December 2023: Sensex sheds 169 pts, Nifty closes below 21,450

The rupee surrendered all its initial gains to settle 2 paise lower at 83.05 (provisional) against the US dollar on Monday, in line with a lacklustre trend in domestic equity markets.

However, a weak greenback against major currencies overseas and sustained buying by foreign investors supported the local currency, forex traders said.

At the interbank foreign exchange market, the local unit opened strong at 82.97 against the greenback and traded in a range of 82.90-83.06. It finally settled at 83.05 (provisional), a decline of 2 paise over its previous close.

The record date for dividend payment is set for December 27, 2023. The company’s shares were up by 1.44% to Rs 260.85 on the BSE.

Genesys International has secured an order to deploy its digital twin mapping technology for the redevelopment of Dharavi, a densely populated urban settlement. The order awarded by Porter House is valued at ₹22 crore (excluding GST).

The project is anticipated to be completed in nine months. The stock closed 4.39% higher at Rs 438.80 on NSE.

Supreme Petrochem Ltd. signs Shareholder Agreement and Share Purchase Agreement with Tata Power Renewable Energy Ltd. regarding solar energy supply through SPV TP Saturn Limited. The company acquired 26% equity shares in TP Saturn Limited for Rs 5.36 crore. Shares were up by 1.75% to Rs 562 on the BSE.

Equity benchmarks BSE Sensex and NSE Nifty50 fell on Monday after rallying to record highs for most of this month as high-weightage banks took a breather following a recent rise. While Nifty lost 0.18 per cent to 21,418.65 points, Sensex settled 0.24 per cent lower at 71,315.09. Banks and financials lost 0.57 per cent and 0.39 per cent, respectively, after rising about 2 per cent each in the last two sessions. Financial services is the heaviest sector in the Nifty 50 index.

Siemens Ltd has taken the first exploratory step towards demerging its energy business, with the board approving the setting up of a wholly-owned subsidiary for that purpose.

HOV Services Limited- 19.97%

Times Guaranty Limited- 19.95%

Aarvee Denims & Exports Limited- 19.84%

Consolidated Finvest & Holdings Limited- 16.42%

Kakatiya Cement Sugar & Industries Limited -14.43%

Shalby Ltd has informed the stock exchanges that the board of its wholly-owned subsidiary, Mars Medical Devices Ltd (MMDL), has approved investment in the company’s step-down subsidiary, Shalby Global Technologies Pte. Ltd, Singapore.’

The BSE Sensex was down by 0.20 per cent or 146.57 points to 71,337.18 at 3.07 pm. NSE Nifty fell 0.13 per cent or 27.4 pts to 21,429.25.

Top gainers on the BSE at 3 pm - 

Indian Railway Catering and Tourism Corporation Ltd (+12.91%)

RELIANCE INDUSTRIAL INFRASTRUCTURE LTD. (+13.03%)

Bharat Dynamics Ltd (+10.96%)

SANDUR MANGANESE & IRON ORES LTD. (+10.00%)

JK TYRE & INDUSTRIES LTD. (+9.15%)

Top losers- 

SWAN ENERGY LTD. (-3.80%)

UNION BANK OF INDIA (-3.63%)

KIRI INDUSTRIES LTD (-3.54%)

TIME TECHNOPLAST LTD. (-3.34%)

Godrej Properties Ltd (-3.05%)

A total of 4,006 stocks were traded on the BSE, of which, 2,197 advanced, while 1,655 declined and 154 stocks remained unchanged. As many as 373 stocks hit a 52 week high and 24 stocks hit a 52 week low at 3 pm on Monday.

ARCHEAN CHEM: RS 259.05CR NSE BLOCK TRADE; FOR ~42,07,823 SHARES, AT RS 615.65 -Redbox Global India

Tata Elxsi and Tata Motors jointly receive the German Design Award 2024 for their Gen 3 HMI design, recognized for excellence in product design in the Human-Machine-Interface category. Shares were up by 0.31% to Rs 9086, on the BSE.

Gujarat Natural Resources Limited reported completion of drilling campaign by its subsidiary, GNRL Oil & Gas Limited, at Kanwara oil fields. The company plans to shift the workover rig to Dholasan and Allora fields for production enhancement, targeting intervals within the Mandhali sands for increased output. The planned operation aims for a 50 to 60 barrels per day production boost. Shares were up by 19.19% to Rs 18.94, on the BSE.

Pearl Global Industries Ltd’s shares were up by 2.90% to Rs 1329, on the BSE. Company allotted 4,550 equity shares under its Employee Stock Option Plan. The shares were issued at a face value of Rs 10 each

Aurionpro Transit, a subsidiary of Aurionpro Solutions, partnered with Vix Technology. The partnership will integrate the company’s transit’s automatic fare collection products with Vix Technology’s transport solutions for All-in-One Driver Console (DC120) and Mobile Data Terminal (MDT10). Shares were up by 4.95% to Rs 2,077 at 2.48 pm on the BSE.

Genesys International Corporation Ltd’s shares were up by 7.07% to Rs 450, on the BSE. The company will utilize digital twin technology for the redevelopment of Dharavi, the order is valued at ₹22 crore and has been awarded by Porter House. The project is to be completed in 9 months.

Sealmatic India Limited secured an order from Bharat Petroleum Corporation Limited to supply 26 API mechanical seals and 26 API Plans for a refinery project. Shares were up by 2.37% to Rs 584, on the BSE.

Innova Captab Limited’s Initial Public Offering to open on Thursday, December 21, 2023, sets price band at ₹426 to ₹448 per Equity Share

Bid/Offer Opening Date – Thursday, December 21, 2023 and Bid/Offer Closing Date – Tuesday, December 26

Minimum Bid Lot is 33 Equity Shares and in multiples of 33 Equity Shares thereafter.

The Floor Price is 42.60 times the face value of the Equity Shares and the Cap Price is 44.80 times the face value of the Equity Shares.

Gandhar Oil Refinery ltd.’s shares were down by 5.81% to Rs 292, on the BSE. The company reported consolidated revenue of Rs 1,000.9 crore in the second quarter and net profit of Rs 48.1 crore in the second quarter.

Bayer has announced management changes, with Shweta Rai taking over as Managing Director of Bayer Zydus Pharma and Country division head for Bayer’s pharmaceuticals business in South Asia, from January 1, 2024.

The BSE Sensex fell 0.12 per cent or 83.88 points to 71,399.87 at 2.16 pm. Nifty was down 0.1% or 22.25 pts to 21,434.40. 

Mazagon Dock Shipbuilders Ltd’s shares were up by 1.99% to Rs 2122.85, on the BSE, The company signed individual shipbuilding contracts with the European client for the construction of three units of 7,500 DWT multi-purpose hybrid-powered vessels for $42 million

Steelman Telecom Limited announced the receipt of work orders worth Rs 29.70 crore from Bharti Airtel Services Limited. The one-year contract involves professional services for radio site maintenance. Shares rose 2.59% to Rs 180 on the BSE.

MSTC Ltd.’s shares were up by 2.87% to Rs514.60. The government appointed Manobendra Ghoshal as chairman and managing director.

Landmark Cars Ltd.’s shares were up by 10.86% to Rs 879.25 on the BSE, the company received a letter of intent from MG Motor India for opening a dealership in Ahmedabad, Gujarat. This dealership will be established by Aeromark Cars Private Ltd., a wholly owned subsidiary company of Landmark Cars.

Tuticorin Alkali Chemicals and Fertilizers Ltd has said in a regulatory filing that the company’s manufacturing facilities at Tuticorin were temporarily closed on December 17.

Mankind Pharma Ltd.’s shares were up by 2.46% to Rs 1934.25 as the company previously reported acquiring an additional 1.3% stake in Actimed Therapeutics for about £999,900.

Accenture launched a generative AI Studio in Bengaluru, India. The studio will bring together the company’s talent and technology investments to offer a full stack of generative AI capabilities to optimize business processes and enable enterprise reinvention. 

Accenture’s data and AI team and clients will co-create solutions with a modern data and AI foundation, LLM architecture, ecosystems partnerships, talent, and responsible AI frameworks.

DCB Bank allots 36,500 equity shares at Rs 10 each to employees under the Employee Stock Option Plan (ESOP), increasing the issued and paid-up share capital from 31,20,78,139 to 312,114,639 equity shares. Shares were up by 3.08% to Rs 133.70 on the BSE.

Spandana Sphoorty Financial Limited allotted 10,000 Non-Convertible Debentures with a face value of Rs 1,00,000 each, totalling Rs 100 crore on a private placement basis. Shares were up by 0.29% to Rs 1064.20 on the BSE

Siemens Limited initiated exploratory steps for a potential demerger of its energy business following requests from key promoters, including Siemens Aktiengesellschaft. The Board of Directors, as of December 18, 2023, authorised the incorporation of a wholly owned subsidiary in Mumbai, anticipating its role in the potential demerger process. Shares up by 6.14% to Rs 4142.95 on the BSE.

Intellect Design Arena Ltd.’s reported, Union Bank of India implemented Intellect’s Cash Management System built on eMACH.ai. It was completed in five months, enhancing the bank’s ability to handle high transaction volumes, automating mandates, and connect with NPCI via Intellect’s Turmeric framework. Shares up by 0.39% to Rs 804 on the BSE.

The Sandur Manganese and Iron Ores Limited’s shares were up by 8.53% to Rs 2511.60. The company approved the issuance of bonus shares in the ratio of 5:1, The Board meeting sanctioned an increase in the authorised share capital to Rs 200 crore.

ICICI Prudential Life Insurance Company Limited allotted 13,000 equity shares, each valued at Rs 10, under its employee stock option scheme today. Shares up 0.40% to Rs 521.45 on the BSE.

Zydus Lifesciences Limited shares were up by 3.88% to Rs 671.25, the company announced the dissolution of its wholly-owned subsidiary, Zydus Noveltech Inc., USA. It had minimal business activity and did not impact the company’s operations.

DreamFolks Services Ltd introduced “The DreamFolks Club,” a membership program offering travel and lifestyle benefits. It has four card variants unlocking global lounge access, beauty & grooming, healthcare, and more. Shares were down by 0.42% to Rs 542.35 on the BSE.

Nifty has recovered from the negative note, trades at 21,463.35, up by 6.70 pts or 0.03 per cent as of 12:15 pm, while the BSE Sensex trades at 71,472.57, down by 11.18 pts, or 0.02% as of 12:17 am on Monday.

Commenting on mid-day market trading flat, Shrey Jain, Founder and CEO SAS Online, Deep Discount Broker, has said, “Nifty, which went up by 500 points last week, almost reached 21,500. This boost was mainly because Foreign Portfolio Investors (FPIs) put a lot of money into the market. Right now, the market seems quite positive. But, there’s a chance that in the next few sessions, things might slow down a bit or there could be a small correction.”

The percentage of ethanol blended with petrol during November 2023 fell to 10.24 per cent from 12.38 per cent during October. November is the first month of the ethanol supply year 2023-24.

“Ethanol blending with petrol during November 2023, the first month of the Ethanol Supply Year (ESY) 2023-24, stood at 10.24 per cent, as compared to 12.06 per cent during the ESY December 2022-October 2023,” the Petroleum Planning and Analysis Cell (PPAC) said in its latest report.

Life Insurance Corporation of India (LIC) reduced its shareholding in Dixon Technologies India Limited from 5.012% to 3.000%. The decrease in LIC’s equity shares is from 29,97,913 to 17,94,395. The sale occurred in the open market at an average cost of Rs 5,877.65. Shares up by 0.70% to Rs 801.95 on the BSE.

With small-cap stocks doing so well at the bourses, mutual fund houses have unveiled a flurry of new fund offers to capitalise on the growing investor demand. Direct investments in small-caps are much more risky than going for a portfolio managed by a trained expert in case of a small-cap fund. But, with over two dozen existing small-cap funds available, does it make sense to bet on a greenhorn?

Aluminium prices have recovered sharply last week. The Aluminium Futures contract on the Multi Commodity Exchange (MCX) made a low of ₹193.20 per kg on Wednesday and then rose back sharply recovering all the loss. The contract surged to a high of ₹204.70 before closing the week at 202.85 on Friday. It is currently trading at ₹202.90 per kg.

Major gainers on the BSE at 12 pm- 

TeamLease Services Ltd (+9.32%)

RAJESH EXPORTS LTD. (+8.10%)

HFCL Ltd. (+7.94%)

DHAMPUR SUGAR MILLS LTD. (+7.06%)

Bharat Dynamics Ltd (+7.19%)

Major losers on the BSE at 12 pm-

SWAN ENERGY LTD. (-3.35%)

HBL POWER SYSTEMS LTD. -2.90%)

Godrej Properties Ltd (-2.74%)

UNION BANK OF INDIA (-2.69%)

SJVN Ltd (-2.64%)

A total of 3,887 stocks were traded on the BSE, of which, 2,279 advanced, while 1,430 declined and 178 stocks remained unchanged. As many as 333 stocks hit a 52 week high and 18 stocks hit a 52 week low at 12 pm on Monday.

Rajnish Wellness Limited’s shares were up by 0.96% to Rs 13.73, the company announced the initiation of the Exclusive Dava Discount Franchisee, 25% discount on all branded medicines with home delivery across India.

The Bank Nifty index is trading lower. The index made an intra-day low of 47,810 and is attempting to move up. It is currently trading at 47,986, down 0.32 per cent. The immediate outlook for the day is mixed. The index could go either way from here. Support is in the 47,700-47,680 band.

Kalyan Capitals Limited entered into a Tripartite Agreement among the company, Skyline Financial Services Pvt. Ltd. (New RTA), and Indus Portfolio Pvt. Ltd. (Old RTA). The agreement pertains to the change in the Registrar and Share Transfer Agent. Shares were down by 0.11% to Rs 18.90 on the BSE.

NBCC (India) Limited secured projects for various construction and renovation works at SAIL DSP, Durgapur, with a total value of Rs 150 crore and is set to be executed over a period of 3 years. The shares were up by 1.30% to Rs 83.09 on the BSE.

Kellton Tech Solutions has been chosen as the HRMS partner by Life Insurance Corporation of India (LIC). The multi-year project involves implementing HR technology across LIC’s network of over 4,000 locations. Shares were up by 10.81% to Rs 103.50 on the BSE.

Tata Consultancy Services modernised SIX’s post-trade platform in Switzerland. It included a portal, automation solutions, and a cloud-ready architecture, facilitating over 4 million daily transactions across 60 global markets. Shares were up by 0.52% to Rs 3880 on the BSE.

The Nifty 50 is trading flat. The index is attempting to bounce back from the lows made in early trade. It is currently trading at 21,455. Intraday supports are at 21,400 and 21,350. The outlook is bullish. 

NBCC (India) Limited has secured a work order worth approximately Rs 29.70 crore for the construction of a Permanent Building of Composite Regional Centre (CRC) at Samba, Jammu, UT of J&K. The project is awarded by Deendayal Upadhyaya National Institute For Persons With Physical Disabilities. Shares rose 0.59% to Rs 82.50 on the BSE.

The Lupin stock surged by 2.86 per cent on the BSE, trading at ₹1,281.30 as of 10:20 am on Monday.

The USFDA recently provided ANDA (Abbreviated New Drug Application) approval for its Allopurinol Tablets USP, 100 mg and 300 mg, to market a generic equivalent to the reference listed drug (RLD) Zyloprim Tablets, 100 mg, and 300 mg, of Casper Pharma, LLC. The product will be manufactured at Lupin’s Pithampur facility in India.

Read more here.

Coforge Limited approved the allotment of 41,083 equity shares under its ESOP Scheme, resulting in a Share Application Money inflow of Rs 4,10,830, increasing the company’s paid-up share capital to 6,16,69,437 equity shares, aggregating to Rs 61.66 crore. The shares were down by 0.24% to Rs 6426 on the BSE.

# Gold prices exhibit strength, driven by a dovish outlook from the Federal Reserve.

# The US Dollar’s bearish trend contributes to the favorable conditions for gold.

# Market sentiment leans in favour of gold price bulls amid global economic uncertainties.

# The dovish stance of the Federal Reserve influences precious metal markets.

# Investors turn to gold as a safe-haven asset in response to economic uncertainties.

# Ongoing geopolitical factors enhance gold’s attractiveness as a strategic investment.

# The Federal Reserve’s accommodative policy stance supports gold’s upward trajectory.

# Market participants closely monitor central bank decisions for potential impact on gold.

# Gold’s role as a hedge against inflation gains prominence in the current economic landscape.

# The dovish Fed outlook and a weakened US Dollar create a conducive environment for gold investors.

DroneAcharya Aerial Innovations Ltd.’s shares were up 0.90% to Rs 208 on the BSE. The company clinched a contract with the Ministry of Defense, Department of Military Affairs, Bhalra, Jammu & Kashmir, for the supply of Drone Lab Equipments.

The rupee appreciated 7 paise to 82.96 against the US dollar in early trade on Monday, as a weak American currency in the overseas markets and unabated foreign fund inflows boosted investor sentiment.

However, a muted trend in the domestic equity markets restricted gains in the local unit, forex traders said.

Sugar companies’ stocks are up as the govt has lifted the ban on sugarcane for ethanol. Shree Renuka Sugars up over 6%; Balrampur Chini up 5.2%

Global demand for silver will likely decline 10 per cent in 2023 with offtake of silver jewellery and silverware declining by 22 per cent and 47 per cent, respectively, with India being the prime factor behind the dip.

Nuvama Wealth Management ltd., faces a setback as the Securities Appellate Tribunal (SAT) dismisses its appeal against NSE Clearing over transactions from 2019/20. Shares were down by 3.63% to Rs 3577.40 on the BSE.

Ambuja Cements, an Adani Group company, has committed an investment of Rs 6,000 crore in renewable power projects, targeting a capacity of 1,000 MW of green power. 

The investment encompasses of a diverse portfolio of solar and wind power projects strategically positioned across Gujarat and Rajasthan. 

The lineup includes a 600 MW Solar Power project and 150 MW Wind Power project in Gujarat and a 250 MW Solar Power project in Rajasthan. 

This will be achieved by FY 2026 (200 MW by March’24) in addition to the existing 84 MW of Solar & Wind Power. 

The investment not only demonstrates commitment to environmental sustainability but also promises compelling economic advantages to Ambuja’s planned larger capacity of 140 MPTA, said the company.

With a lower cost of generation from green power, the power cost will come down from Rs.6.46 per kWh to Rs 5.16 per kWh. A reduction of Rs 1.30 per kWh (20%), which translates into Rs 90 PMT of cement for targeted capacity of 140 MTPA by FY 2028, accelerating the Company’s ESG targets. Additionally, green power will assist in enabling an increased supply of green cement, making it possible for the user industry (infrastructure and housing) to go green, it said.

Shares were up by 1.53% to Rs 530.35 on the BSE.

Edelweiss Financial Services Ltd. plans to raise Rs 1,500-2,000 crore through a 10-20% stake sale in its subsidiary, Edelweiss Alternative Asset Management, focusing on debt reduction and shareholder value. Shares were down by 3.26% to Rs 73.50 on the BSE.

IRB Infrastructure Developers Ltd., secured a Letter of Award from NHAI for TOT-13, encompassing Gwalior-Jhansi and Kota Bypass projects, worth Rs 1,683 crore. Shares were up by 3.23% to Rs 42.19 on the BSE.

Major Gainers on the BSE at 9.30 am - 

DHAMPUR SUGAR MILLS LTD. +7.78%)

Bajaj Hindusthan Sugar Limited (+6.90%)

DWARIKESH SUGAR INDUSTRIES LTD. (+6.75%)

SHREE RENUKA SUGARS LTD. (+6.46%)

ZENSAR TECHNOLOGIES LTD. (+6.35%)

Major losers- Garware Technical Fibres Ltd -3.82%)

SOLAR INDUSTRIES INDIA LTD. (-3.84%)

UNION BANK OF INDIA (-3.48%)

ARVIND LTD. (-3.76%)

Edelweiss Financial Services Ltd. (-3.26%)

Indian online marketplace IndiaMART has been removing unauthorized listings of Novo Nordisk’s blockbuster weight-loss drug Wegovy after holding talks with the Danish drugmaker in early October, a source familiar with the matter told Reuters.

Chennai Petroleum Corporation Ltd, which is engaged in removing oil slicks near the Ennore creek here, has mobilised four agencies from Mumbai, Paradip Port and Chennai for the clearing work.

The subsidiary of state-run energy major IndianOil Corporation Ltd, said it has been working on a “war-footing” to “clean up and clear” the areas in coordination with the Tamil Nadu Pollution Control Board (TNPCB), state authorities and the work is “targeted to be completed in the next two-three days.”

Crude oil futures traded higher on Monday morning as Russia decided to deepen its oil export cuts during the month. Market also expressed concerns over crude oil supplies following the attacks on merchant ships in the Red Sea region. At 9.17 am on Monday, February Brent oil futures were at $76.88, up by 0.43 per cent; and February crude oil futures on WTI (West Texas Intermediate) were at $72.11, up by 0.46 per cent. December crude oil futures were trading at ₹5948 on Multi Commodity Exchange (MCX) in the initial trading hour of Monday morning against the previous close of ₹5952, down by 0.07 per cent; and January futures were trading at ₹6015 as against the previous close of ₹6010, up by 0.08 per cent.

The Indian equity benchmarks, Sensex and Nifty, began Monday on a weaker note, in line with global trends. However, market analysts anticipate sustained momentum, especially with information technology stocks contributing to the upward trajectory. Concurrently, foreign portfolio investors are maintaining their investments in India post the dovish stance taken by the Fed. 

The BSE Sensex, comprising 30 shares, saw an initial decline of 290.71 points, resting at 71,193.04. Similarly, the NSE Nifty slipped by 45.05 points, reaching 21,411.60.

Expectations revolve around the market remaining in a consolidation phase, driven by likely sector and stock rotations. Investors are anticipated to engage in profit-taking at higher levels while seeking value opportunities at lower levels, potentially keeping the market range-bound.

Manoj Purohit, Partner & Leader - FS Tax, Tax & Regulatory services, BDO India, “The recent pullout by the US on Federal rate hikes have been one of the catalysts to keep the Indian market flooded with cash flows from the FPI fraternity.

FPIs have reversed their position and turned into net buyers in the first week of December.

Most Asian stocks are down in early deals on Monday, even as US stocks closed in the green.

VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said India is one of the top investment destinations of FPIs. “There is a near consensus now in the global investing community that India has the best prospects among the emerging economies for sustained growth for many years to come. This growth has the potential to create phenomenal wealth through the stock market. FPIs are investing to benefit from this potential wealth creation,” he further said.

The other factors contributing to FPIs to pump liquidity in the Indian market are RBI’s inflation forecast at 5.4 per cent and positive signs of improved capex and valuations. The Sensex touching an all-time high also acted as an icing on the cake.

“All in all, the momentum for the Indian cash equities market reflects a promising wind up of 2023 and a strong base for 2024 to start with, taking the foreign investments inflows to a new horizon,” said Purohit.

Technology conglomerate Cisco sees growth opportunities in India across multiple industries ranging from carriers, government, banks, mining, to IoT, and smart cities, for all its services and offerings, said Jonathan Davidson, EVP and General Manager, Cisco Networking.

​ Ambuja Cements​ , the construction materials arm of the Adani Group, will invest Rs 6,000 crore (nearly $723 million) in renewable power projects, the company said on Monday. - Reuters

During last week, bellweather indices Sensex and Nifty gained nearly 2.37 per cent and 2.32 per cent respectively. This was driven by FII inflows and dovish Fed monetary policy outcome.. Nearly all sectoral indices ended green during the week while the best performing were BSE IT (7 per cent), BSE Teck (6 per cent), BSE PSU (5 per cent) and BSE Metals (5 per cent).

HSBC on Hero Motocorp: Maintain Buy on Company, raise target price at Rs 4300/sh (Positive) 

HSBC on TVS Motors: Maintain Buy on Company, raise target price at Rs 2300/sh (Positive) 

HSBC on M&M: Maintain Buy on Company, raise target price at Rs 1900/sh (Positive) 

HSBC on Maruti: Maintain Buy on Company, target price at Rs 12500/sh (Positive) 

HSBC on Bajaj Auto: Maintain Hold on Company, raise target price at Rs 6900/sh (Positive) 

HSBC on Eicher Motors: Maintain Buy on Company, raise target price at Rs 4500/sh (Positive) 

HSBC on Tata Motors: Maintain Hold on Company, raise target price at Rs 730/sh (Positive) 

Citi on Eicher Motors: Maintain Buy on Company, raise target price at Rs 4700/sh (Positive) 

Spark on Century Ply: Upgrade to Buy on Company, raise target price at Rs 925/sh (Positive) 

Jefferies on Aviation: Recent fall in ATF/crude is positive for aviation (Positive) 

Jefferies on Industrials: L&T, Siemens, Thermax & KEI as top picks in the space of industrials (Positive) 

GS on SJVN: Downgrade to Sell on Company, raise target price at Rs 65/sh (Neutral) 

Macquarie on PayTM: Maintain Neutral on Company, target price at Rs 900/sh (Neutral) 

Citi on TechM: Maintain Sell on Company, target price at Rs 1000/sh (Neutral) 

Citi on Wipro: Maintain Sell on Company, target price at Rs 360/sh (Neutral) 

Citi on HCL Tech: Maintain Neutral on Company, target price at Rs 1295/sh (Neutral) 

HSBC on PI Ind: Maintain Buy on Company, cut target price at Rs 4100/sh (Neutral) 

HSBC on Escorts: Maintain Reduce on Company, target price at Rs 2500/sh (Neutral)

“The market surged to new highs, buoyed by positive indicators from both domestic and global fronts. Robust domestic industrial production and manufacturing PMI, coupled with the RBI’s positive remarks on India’s GDP forecast, contributed to the bullish trend. The ease in US bond yield and the expectation of multiple rate cuts by the FED in 2024 further fuelled market optimism. Investors expressed confidence that clouds over US economic growth would dissipate in H2CY24, anticipating a soft landing facilitated by normalization in monetary policy. The IT sector rallied 7.6% this week in expectation of a rise in demand from the US, optimism about AI-based opportunities, and hope that the Fed will cut interest rates in 2024.

We expect a near-term consolidation in the market due to elevated valuations, concerns over El Nino, and a slowdown in world GDP” -- Vinod Nair, Head of Research at Geojit Financial Services.

“The equity market moved up across sectors and market caps in response to the Fed decision to hold rates. Almost all the markets including the US markets moved up on the prospects of the Fed deciding to keep rates on hold as also on account of likely rate cuts in the next year. Robust GDP growth numbers both in the US and in India also helped the sentiment to a significant extent. While the impact may be short lived the probability of profit booking is very high as we approach the year-end. It is also likely that the talks of an impending slowdown could get more heard unlike as it was in the recent past. But equities are going to display superlative performance based on solid economic performance and gains in earnings”

On November 16, 2023, RBI, through its notification ‘Regulatory measures towards consumer credit and bank credit to NBFCs’ announced the increase in Risk Weights assigned to consumer credit (excluding specific asset classes), credit card receivables and NBFCs exposures of the banks. This will have an impact on the capital adequacy of the entire banking sector.

CareEdge Ratings estimates that the impact of the regulations on the overall capital adequacy of the banking sector is likely to be moderate in the range of 30-70 bps for the public sector banks and 30-100 bps for private sector banks given the relatively higher exposure to unsecured personal loans

Net Interest Income (NII) of Scheduled Commercial Banks (SCBs) grew by 17.0% year-on-year (y-o-y) to Rs. 1.89 lakh crore in Q2FY24 due to healthy loan growth and a higher yield on advances over the year-ago period. 

SCBs reported a robust rise in advances at 20.0% y-o-y in Q2FY24 driven by the merger, personal loans and NBFCs. Meanwhile, SCBs witnessed a 13.5% y-o-y deposit growth for the quarter. PVBs’ deposits rose by 17.4% y-o-y while PSBs registered a slower pace of 9.6%. Deposit growth lagged credit growth with sluggish current account and saving account (CASA) growth, which was partially offset by the growth in Time Deposits. 

The Credit and Deposit (C/D) ratio stood at 79.0% as of September 30, 2023, expanding by ~400 bps y-o-y over a year ago due to widening credit-deposit growth and HDFC merger impact. 

The Net Interest Margin (NIM) SCBs contracted by 14 basis points (bps) sequentially to 3.13% driven by a drop in the NIM of large PVBs. However, large PSBs and other PVBs saw a single-digit downtick, which can be attributed to the merger and deposit rates growing while the lending rates mostly plateauing. 

In terms of y-o-y performance, SCBs reported an improvement of 4 bp. It would have reported larger growth had the large PVBs not dropped by 19 bps

IZMO Ltd has incorporated a Wholly Owned Subsidiary - IZMO MICROSYSTEMS PRIVATE LIMITED - for deal in current and new technologies in existing range of the business in the Electronics and Information Technology Enabled Services.

CRESSANDA SOLUTIONS LIMITED is empanelled as a vendor for supply of Mobile Vans of Big, Medium and Small categories for disseminating information about the Government’s schemes, programmes and initiatives etc., on behalf of the Central Bureau of Communication (CBC), Government of India.

Galaxy Surfactants Limited : Board informed that operations were conducted by GST Authorities under section 67 of the Maharashtra Goods and Services Tax Act, 2017 at its Millennium Business Park, Navi Mumbai, and Factory located at Taloja which concluded on December 14. The Company has provided all the information and details sought by the authorities during the proceedings, it said.

Back to normal, as festive demand fadeThe moderation in trade deficit for November (USD20.6bn) was driven by a broad-based sequential decline in imports, led by oil, gold and core imports, as festive demand faded and lower oil & gold prices helped. Exports, on the other hand, rose marginally in the month. Services surplus increased to an 11-month high, supporting the overall trade balance. We maintain FY24E CAD/GDP at 1.4%. Average commodity prices are likely to stay lower than those in FY23, implying that FY24E goods trade deficit/GDP is likely to clock ~6.7% of GDP vs 7.8% in FY23.

Mankind Pharma: The company acquired an additional 1.3% stake in Actimed Therapeutics for about £999,900. The company’s stake rises to 10.19%.

* NBCC:* The company conducted an auction for the sale of 2.23 lakh square feet in the World Trade Centre and sold commercial inventory worth Rs 905 crore. Total sales of commercial inventory through e-auction stand at Rs 9,656.6 crore.

* Tata Power:* The company signed Rs 418 crore pacts for supplying 152 MWp DCR solar PV modules to NTPC.

* Lupin:* The pharma major received approval from the United States Food and Drug Administration for its abbreviated new drug application for Allopurinol Tablets USP and Sitagliptin Tablets USP.

* Indian Bank:* The company raises Rs 4,000 crore by issuing 10.15 crore shares via QIP at Rs 394

per share, which indicates a discount of 4.9% to the floor price of Rs 414.44 per share.

* Mahindra & Mahindra:* The company’s unit incorporated a wholly owned subsidiary named Migos Hybren Pvt. for power and electricity generation.

* Adani Green:* The company unit incorporated two wholly owned subsidiaries, namely, Adani Renewable Energy Fifty Eight and Adani Renewable Energy Sixty One.

* Sumitomo Chemical:* The company acquired an 85% stake in Barrix Agro Sciences for Rs 78.2crore.

Landmark Cars: The company has received a letter of intent from MG Motor India for opening a dealership in Ahmedabad, Gujarat. This dealership will be established by Aeromark Cars Private Ltd., a wholly owned subsidiary company of Landmark Cars.

* TTK Healthcare:* The company re-commenced production activities on Friday.

* MSTC:* The government appointed Manobendra Ghoshal as chairman and managing director.

* Mazagon Dock Shipbuilders:* The company signed individual shipbuilding contracts with the European client for the construction of three units of 7,500 DWT multi-purpose hybrid-powered vessels for $42 million.

* Macrotech Developers:* The company disposes of equity and investments in entities in the U.K.

* Kokuyo Camlin:* The company approved the acquisition of land and a building adjacent to the company’s existing factory at Samba, Jammu for Rs 4.60 crore.

* United Spirits:* The company gets a claim worth Rs 365.33 crore from an institutional customer in relation to a previously concluded settlement with the customer. The company cannot determine the financial implications of this claim.

Gandhar Oil Refinery: The company reported consolidated revenue of Rs 1,000.9 crore in the second quarter and net profit of Rs 48.1 crore in the second quarter.

Bandhan Bank: Crisil ratings Ltd. has downgraded its rating on non-convertible debentures of Bandhan Bank Ltd. to ‘AA-/Stable’ from ‘AA/Negative’The rating agency also reaffirmed ‘A1+’ rating on the certificate of deposits of Bandhan Bank. 

IRB Infrastructure Developers: IRB Infrastructure Trust (the Trust) has received Letter of Award from National Highways Authority of India for the project of Tolling, Operation, Maintenance and Transfer of Kota Bypass and Cable Stay Bridge. 

Solar Industries India: The company had an explosion incident occurred on Dec 17, around 9:00 a.m. in one of the processes Building No. HRCPCH-2 (Pallet Casting House).The incident has resulted in loss of lives of 9 workmen working in the plant.

PVR Inox: Plenty Private Equity Fund sold 18.38 lakh shares (1.86%), Plenty CI Fund sold 2.49 lakh shares (0.24%) and Multiples Private Equity Fund sold 1.99 lakh (0.20%) at Rs 1,753 apiece. The Government of Singapore bought 3.5 lakh shares (0.36%), Norges Bank bought 6.66 lakh shares (0.67%), and Morgan Stanley Asia Singapore bought 57,225 shares (0.05%), among others, at Rs 1,753 apiece. 

Swan Energy: Albula Investment Fund sold 12 lakh shares (0.45%) at Rs 508.5 apiece and Kasturi Vintrade sold 2 lakh shares (0.07%) at Rs 503.25 apiece. Arial Holdings 1 bought 12 lakh shares (0.45%) at Rs 508.5 apiece and Samco Mutual Fund bought 2 lakh shares (0.07%) at Rs 503.25 apiece. 

PB Fintech: SVF Python II Cayman sold 1.14 crore shares (2.53%) at 800.05 apiece. Goldman Sachs bought 1.75 lakh shares (0.03%), Best Investment Corporation bought 11.27 lakh shares (0.25%), and New World Fund bought 16.38 lakh shares (0.36%), among others, at Rs 800.05 apiece.

KFin Technologies: General Atlantic Singapore Fund sold 1.7 crore shares (10%) at Rs 500.5 apiece. ICICI Prudential Life Insurance bought 9 lakh shares (0.52%), ICICI Prudential Mutual Fund bought 13.77 lakh shares (0.81%), Societe Generale bought 22.64 lakh shares (1.33%) at Rs 500 apiece and Unifi Capital bought 25 lakh shares (1.47%) at Rs 500 apiece. 

Sterling and Wilson Renewable Energy: Shapoorji Pallonji and company sold 39.14 lakh shares (2.06%) at Rs 415.46 apiece and Plutus Wealth Management LLP bought 25 lakh shares at Rs 410 apiece. 

*GMR Power and Urban Infra:*ASN Investments sold 35 lakh shares (0.57%) at 52.25 apiece.

Medplus Health Services: Promoter Lone Furrow Investments bought 13,888 shares on Dec. 13 and 14. Promoter Group sold TS Balaraman 15,685 shares on Dec. 13. 

Zen Technologies: Promoter group Tara Dutt Atluri sold 15 lakh shares on Dec. 14. Kishore Dutt Atluri and Ravi Kumar Midathala sold 2.5 lakh shares on Dec. 14.

Steel Strips Wheels: Promoter Sunena Garg sold 2.93 lakh shares on Dec. 14. 

Wonderla Holidays: Promoter group Priya Sarah Cheeran Joseph bought 4,050 shares on Dec. 14. 

Advanced Enzyme Technology: Promoter group Advanced Vital Enzymes sold 3.33 lakh shares on Dec. 14.

Paisalo Digital: Promoter group Equilibrated Venture CFLOW bought 5.05 lakh shares on Dec. 15. 

Thirumalai Chemicals: Promoter group Narayan Santhanam sold 10,775 shares between Dec. 14 and 15. 

Bharat Bijlee: Promoter group Anand J. Danani sold 461 shares on Dec. 14. 

*Sasken Technologies:*Promoter group Dipak Harkisan Desai bought 300 shares on Dec. 14.

Price band revised from 20% to 10%: PTC India Financial Services. 

Price band revised from 2% to 5%: Sical Logistics. 

Moved into a short-term ASM framework: TVS Holdings. 

Moved Out of short-term ASM framework: Inox Wind, New Delhi Television, Sastasundar Ventures, TV18 Broadcast. 

The proposed modification in the surrender value (or charges) of non-linked life insurance policies in the recently released the ‘Exposure Draft Product Regulations 2023’ by Insurance Regulator IRDAI has stirred up a hornet’s nest. The idea behind this move seems to be bringing in additional control on expenses, like the gross yield-net yield cap in ULIP, in addition to the limits defined in EOM regulations. The proposed changes in the surrender charges are looking to eliminate any surrender penalty above the “threshold premium”, which means a material and increasing change in the surrender value for higher-ticket policies with increased premium. The proposal is still in the draft stage, to be applied prospectively, and there is no clarity on the “threshold premium”, making it extremely difficult to gauge the extent of impact on individual life insurers. The accidental outcome of this proposal by the Regulator, to improve policyholders’ friendly aspect, is an indirect nudge or encouragement towards surrenders—and this goes against its philosophy of positioning life insurance as the long-term savings and protection product. Nevertheless, the proposed increase in surrender value for the lapsing customers will lead to some reduced value for the other three stakeholders: 1. Reduced returns for the persistent policyholders. 2. Lower payouts to the distributors, especially reduction in the initial years and above the threshold premium. 3. Some impact on the life insurer’s VNB margin. Typically, a non-par product with higher IRR to the policyholder and higher payout to the distributor supported by lapses will be hit by these proposed changes. Overall, this proposal too showcases the ability of a life insurer to sell products that are demanded by customers and distributors under the prevailing regulatory and market environment at the lowest cost, which is of utmost importance. SBILIFE remains our top pick, on account of its lower dependency on non-par savings and its lowest-cost business model.

In a dazzling resurgence, foreign investors have graced the Indian equity markets with an influx of nearly ₹1.5 lakh crore in 2023, fuelled by optimism over the country’s resilient economic fundamentals amid shadows of a gloomy global scenario. Experts believe that the positive trend may continue in 2024.

This follows Indian equities witnessing the worst-ever net outflow of ₹1.21 lakh crore by FPIs in 2022 on aggressive rate hikes by the central banks globally after net inflows for three consecutive years.

Domestic markets are likely to open on a negative note on Monday. However, analysts expect the market to sustain the momentum with information technology stocks joining the rally. Foreign portfolio investors continue to invest in India following the Fed’s dovish stance.

The market will remain in the consolidation phase as investors will likely indulge in sector/stock rotation. Profit-taking at higher levels and value-buying at lower levels are likely to keep the market in a range.

Easy Trip Planners Ltd

Dividend Per Share Rs.0.1

Previous day Closing Price – Rs. 39.45

Ex-Dividend 19 December 2023 (Tomorrow)

Last date for Cum-Dividend Today

Paul Merchants Ltd

Bonus issue 2:1

Previous day Closing Price – Rs. 3906.75

Ex Bonus 19 December 2023 (Tomorrow)

Last date Trade for Before Bonus Today

Buzzing Stocks: Zee Entertainment, Sajjan Jindal group stocks, Solar Industries, Sun Pharma, Lupin, Ami Organics, Zydus Lifesciences, Mahindra Logistics, Hindustan Zinc, Nuvama Wealth, Mufin Green Finance, Insecticides, Meson Valves, Indian Hotels, Landmark Cars, Shakti Pumps

Oil prices rose nearly 1% in early Asian trade on Monday, supported by lower exports from Russia and as attacks by the Houthis on ships in the Red Sea raised concerns of oil supply disruption. 

Brent crude futures climbed 69 cents, or 0.9%, to $77.24 a barrel by 0037 GMT, while U.S. West Texas Intermediate crude was at $72.08 a barrel, up 65 cents, or 0.9%.

Russia said on Sunday it would deepen oil export cuts in December by potentially 50,000 barrels per day or more, earlier than promised, as the world’s biggest exporters try to support global oil prices.

Shipping firms, including the world’s biggest container shipping lines MSC and A.P. Moller-Maersk, said over weekend that they would avoid the Suez Canal as Houthi militants in Yemen stepped up their assaults on commercial vessels in the Red Sea. - Reuters

Gold prices struggled for momentum in early Asian hours on Monday as investors looked forward to U.S. inflation data due later this week for more clarity on the Federal Reserve’s interest rate path after a dovish pivot last week. 

* Spot gold was little changed at $2,019.49 per ounce, as of 0041 GMT. U.S. gold futures edged 0.1% lower to $2,033.20.

* Spot silver eased 0.2% to $23.76 per ounce, while platinum gained 0.1% to $940.91 and palladium slipped 1.6% to $1,155.39. - Reuters

• BALRAMCHIN 

• DELTACORP 

• HINDCOPPER 

• INDIACEM 

• MANAPPURAM

• SAIL

• ZEEL

Sensex has touched yet another milestone by closing above 70,000. Earlier, the Sensex recovered past 60,000 in April this year and it took over 170 trading sessions to reach the 70k milestone. Given that the index is based on a free-float market cap, we analysed which companies contributed the most to this upside based on their weights.

The outlook remains positive for the stock of Adani Ports and Special Economic Zone (APSEZ) (₹1,078.55). If the current rally sustains, APSEZ can hit a high of ₹1,350.

Nifty 50 (21,457) and Bank Nifty (48,144) experienced a 2.3 per cent and 1.9 per cent upswing, respectively, in the previous week. The prevailing sentiment is bullish, with a considerable likelihood of additional appreciation. In this analysis, we examine the derivatives data to gauge the overall positioning of participants.

The precious metals posted gains last week. Gold and silver were up 0.8 per cent and 2.8 per cent, as they closed the week at $2,018.2 and $23.8 per ounce respectively.

Similarly, on the MCX, gold futures went up 0.8 per cent and silver futures rallied 2.8 per cent. They had closed the week at ₹62,192 (per 10 gram) and ₹74,525 (per kg) respectively.

Crude oil prices were up last week. Brent crude oil futures on the Intercontinental Exchange (ICE) appreciated 0.9 per cent as it closed at $76.6 per barrel. Crude oil futures on the MCX gained 0.6 per cent and it ended the week at ₹6,010 a barrel.

At ₹360, the offer discounts its FY23 per share earnings by 35 times on the pre-offer equity base and nearly 50 times on a post-offer fully diluted equity base

Sensex, Nifty 50, Nifty Bank and the Dow Jones can rise more, but key resistances are also ahead

While critiques are quick to dismiss the model as a failure, SFBs has successfully withstood two major shocks and is entering a growth phase 

Auto sector to aviation, FMCG to IT, see different strokes being played out in the year gone by. Markets, meanwhile, rejoice

Will the number of public sector banks further come down to 10 from 12 next year? This could be within the realm of possibility, going by the agenda of the Lok Sabha’s Committee on Subordinate Legislation.

The Committee plans to discuss with the representatives of Union Bank of India (UBI) and UCO Bank (in Mumbai on January 2), and Bank of Maharashtra(BoM) and Bank of India(BoI) (in Goa on January 6) on the rules/ regulations framed under the Banking Regulation Act, 1949, and other relevant Acts as applicable to them and “the regulatory scenario in post-merger scenario”, per its agenda.

Indian Hotels Company Limited (IHCL) is planning a wider global footprint for its luxury Taj brand which completed 120 years on Saturday.

The first Taj Mahal Palace hotel opened in Mumbai in 1903. Today, the Tata-group-owned chain has a portfolio of 280 hotels, in operation and pipeline, spread across eleven countries. Further expansion is being planned in countries which are popular tourist destinations or home to strong Indian diaspora.

Riding on a roaring bull market in equities this year, pension funds have clocked a robust average 16.94 per cent annual return in equities, latest PFRDA data showed.

This average annual return of 16.94 per cent in equities — as of December 8 this year — is more than double the return of about 7 per cent seen in Corporate Bonds; 7.10 per cent in Government Securities and about 8.2 per cent in Central and State Government Schemes, data showed.

The ₹400-crore Mumbai-based realtor Suraj Estate Developers Ltd will open today at ₹340-360 price band. The issue will close on Wednesday (December 20).

The ₹400-crore initial public offering of Suraj Estate Developers is entirely a fresh issue of 1.11 crore shares. Investors can bid for a minimum of 41 shares.

The public issue of cryogenic tank maker Inox India will close for public subscription today. The IPO was subscribed 7.14 times so far. The issue comes at a price band of ₹627-660 with a market lot of 22 shares.

Among the investors, non-institutions are more aggressive as their portion was subscribed 13.75 times. Retail investors too participated strongly with their quota receiving bids for 8.17 times. QIBs portion was subscribed 0.40 times.

Jaipur-based jewellery retailer Motisons Jewellers will hit the primary market to raise ₹151 crore. The price band for the offer has been fixed at ₹52-55 a share. The issue will close on December 20 and the market lot is 250 shares.

The entire issue from Chhabra family-owned jewellery maker is only a fresh issue of 2.74 crore shares.

The ₹960-crore IPO of Muthoot Microfinance will be launched today at a price band of ₹277-291. Investors can bid for a minimum of 51 equity shares. The IPO will close on Wednesday.

The comprises a fresh issue of ₹760 crore (2.61 crore shares) and an offer-for-sale (OFS) of ₹200 crore (0.69 crore shares).

Crisil ratings Ltd. has downgraded its rating on non-convertible debentures of Bandhan Bank Ltd. to ‘AA-/Stable’ from ‘AA/Negative’.

The rating agency also reaffirmed ‘A1+’ rating on the certificate of deposits of Bandhan Bank. It is taking longer than anticipated to bring down Non Performing Assets at the bank and increase profitability to pre-covid levels, Crisil Ratings said in a statement.

*Researchbytes Analyst App *

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Recent Interview...

As of 17:57 PM Friday 15 December 2023

CenturyPlyboard: Keshav Bhajanka, ED

Nobody Expected The Boom, Especially In The Real Estate Market: Century Plyboards

https://www.youtube.com/watch?v=WjW86rL1t6E

Federal Bank: Shyam Srinivasan, MD & CEO

Federal Bank’s MD & CEO Shyam Srinivasan On Growth & Expansion Plans Of The Bank

https://www.youtube.com/watch?v=JDKGb32B2Xs

Fusion Micro Finance: Devesh Sachdev, MD & CEO

There Is No Plan For Further Stake Sale By Warburg Pincus: Fusion MicroFinance

https://www.youtube.com/watch?v=I4IMrKX5kpo

J&K Bank: Baldev Prakash, MD CEO

After The ?750 Crore Fund Raise Via QIP, CET-1 Ratio Will Be Sufficient For 3 Years: J&K Bank

https://www.youtube.com/watch?v=tFXOWNGD_Ik

KEI Industries: Anil Gupta, CMD

Seeing Very Strong Demand In Cable Seg & Capacity Utilisation Is At Approx 70-75%: KEI Industries

https://www.youtube.com/watch?v=PnbvmrkIo6I

Prestige Estate: Irfan Razack, CMD

New SEZ Rules Will Be Very Positive For The Commercial Real Estate Industry: Prestige Group

https://www.youtube.com/watch?v=folkseCt2x4

PSP Projects: PS Patel, CMD

Margin Will Be In The Range Of 11-12% For The Recently Bagged Projects: PSP Projects

https://www.youtube.com/watch?v=9iGjLHteuME

Protean eGov Te: Suresh Sethi, MD & CEO

Digitisation & Increasing Adoption Of Digital Services Is Driving Growth For Us: Protean eGov Tech

https://www.youtube.com/watch?v=iZi0rBDZHkA

Shriram Properties: Murali Malyappan, MD

Shriram Properties Plans Fractional Ownership

https://www.youtube.com/watch?v=QWzvdJR7MNc

Texmaco Rail: Indrajit Mookerjee, ED VC

Total Order Was For 11,000 Wagons, Company Won Orders For 3,400 Wagons Of This: Texmaco Rail

https://www.youtube.com/watch?v=J4RpfxlMfd8

Events today…

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Turnover : (NSE + BSE)

Cash Volume: 135962.07 + 10472.78 Total : 146434.85

F&O Volume: 660633.2 + 30297340.64 Total : 30957973.84 

Provisional Cash Rs. In Crs.

FII/FPI: NET BUY: +9239.42

(37677.58 - 28438.16) 

DII: NET SELL: -3077.43

(11300.61 - 14378.04)

Asian stocks tread cautiously as Japan’s central bank eyes policy shift 

Asian stocks began the week cautiously as Japan’s central bank seemed poised to step away from its extremely accommodating policies, while an anticipated U.S. inflation report was poised to influence market expectations regarding potential interest rate adjustments. The Bank of Japan’s upcoming meeting has sparked discussions about the potential transition away from negative interest rates.

In early trading, Japan’s Nikkei 225 index slid 1.17%, or 386.26 points, to 32,584.26, influenced partly by a strengthening yen. The broader Topix also experienced a decline of 1.49%, or 34.77 points, reaching 2,297.51.

Meanwhile, South Korea’s primary index, the KOSPI, remained relatively unchanged, trading down 0.19% or 4.92 points at 2,558.65.

Australian shares followed suit, registering a decline of 0.21%, or 15.60 points, to 7,427.10 during early trading.