Share Market Highlights 19 June 2024: Sensex, Nifty end flat; bank stocks shine

The rupee paired its initial gains and settled 1 paisa lower at 83.44 (provisional) against the US dollar on Wednesday in sink with the domestic equity markets that turned choppy at the fag-end of the session.

Forex traders said the gaining momentum in the local unit was snapped by a firm American currency and higher level of crude oil prices in the overseas market.

Cotton acreages across the country for the Kharif 2024 cropping season are seen as lower as farmers in the key producing states of Gujarat and Maharashtra show preferences to plant more lucrative crops such as pulses and maize amidst a weakening trend in global prices.

The Cotton Association of India, the apex trade body for the sector, sees acreages declining in the kharif 2024 season over the previous year’s 124.69 lakh ha.

Top gainers of Nifty bank stocks:

• HDFC Bank (3.29%)
• Axis Bank (2.99%)
• ICICI Bank (1.86%)
• Kotak Bank (1.57%)
• SBI (1.09%)

LIC Housing Finance Ltd (LIC HFL) said it offers a 35 per cent discount on processing fees for home loans sanctioned from June 19 to June 25, 2024.

This offer has been rolled out by LIC HFL, India’s largest standalone housing finance company with a loan book of ₹2,86,844 crores (as of March-end 2024), to commemorate its 35th Foundation Day.

Top gainers: HDFC Bank (3.07%), Axis Bank (2.63%), Kotak Mahindra (2.06%), ICICI Bank (1.88%), IndusInd (1.30%)

Top losers: Titan (-3.39%), L&T(-2.83%), Hindalco (-2.53%), Bharti Airtel (-2.52%), Bajaj Auto (-2.30%)

A total of 3,948 stocks were traded on BSE as of 3.04 pm on June 19, 2024, of which 1,629 advanced, against 2,222 stocks that declined; 97 stocks remained unchanged. While 307 stocks recorded a 52-week high, 19 hit a 52-week low. 

In addition, 273 stocks traded in the upper circuit, while 219 hit the lower circuit.

State Bank of India Chairman Dinesh Kumar Khara has pitched for tax relief on interest income, saying it would help banks garner savings that could be used for funding long-term infra projects.

Currently, banks are required to deduct tax when interest income from deposits held in all the bank branches put together is more than Rs 40,000 in a year. With regard to savings accounts, interest earned up to Rs 10,000 is exempt from tax.

“If at all some relief could be given in the Budget regarding tax on interest earnings, it will be an incentive to depositors. Eventually, the banking sector uses deposits mobilised for capital formation in the country,” he told PTI in an interview. 

Vikas Lifecare Ltd said the plan support agreement submitted by “The Consortium”, including the company as the Stalking Horse Bidder for the acquisition of 100% of the equity of Ebix Inc. (Ebix), has been approved by the Independent Directors of Ebix. Inc. 

The Consortium is led by Eraaya Lifespaces Ltd.

ZF Commercial Vehicle Control Systems India said WABCO Asia Private Ltd, promoter of the company and part of the ZF Group, had sold 7.5 per cent stake of its holding in the company.

ZF Commercial Vehicle stock tumbles 4.65% on the NSE, trading at ₹16,473.10.

Ugro Capital stock inches up 0.94% on the NSE, trading at ₹272.60 on completion of equity capital raise and the allotment of Compulsory Convertible Debentures (CCD) and warrants worth ₹1,265 crore.

Vipul Organics Ltd’s shares were up by 5.36 per cent after the company initiated the construction of a new facility in Sayakha, Gujarat. The 22,209 square meter facility on a 24,633.11 square meter plot, is located in Gujarat’s Petroleum, Chemicals and Petrochemicals Investments Region (PCPIR). Read more

Adani Group will invest more than $100 billion (around ₹8.34 lakh crore) in energy transition projects and manufacturing capability to produce every major component required for green energy generation, Chairman Gautam Adani said on Wednesday.

Aluminium futures on the Multi Commodity Exchange (MCX), over the past three weeks, has been on a decline. It started falling on the back of the barrier at ₹250.

In the last three weeks, aluminium futures has slipped below key support points. The contract is now below both the 20- and 50-day moving average, and early this week it dropped below a key support at ₹232.

Indoco Remedies has received a show cause notice from the office of the Joint Commissioner State Tax Special Circle , Ranchi.

A demand (₹2.82 lakh) has been raised towards GST liabilities basis the details provided for the period from 2020 -2021.

Indoco Remedies stock trades at ₹323.45 on the NSE, down by 0.34%

Kalyani Forge (20%) 

Essar (9.99%) 

DBL (8.8%) 

Exicom (3.93%) 

Cholamandalam Finance (0.79%)Kalyani Forge (20%)

Essar (9.99%) 

DBL (8.8%) 

Exicom (3.93%) 

Cholamandalam Finance (0.79%)

SEPC stock surged 6.14% to trade at ₹22.65 on the NSE.

Singh joined Bandhan AMC from InCred Asset Management, where he was the CIO & CEO and was responsible for overseeing the company’s investment strategy and managing its portfolio of assets. 

This investment will drive its brand-building initiatives, enhance marketing efforts, support working capital needs, and expand the distribution network, ensuring Balwaan’s continued growth and leadership in the farm equipment industry.

Vodafone Plc will be selling 2.68 crore shares or 9.94 per cent stake of Indus Towers through block deals for a total value of ₹8,308-9,138.8 crore.

Top gainers on the NSE at 12.06 pm:

IndusInd (1.77%), ICICI Bank (1.68%), HDFC Bank (1.45%), Kotak Bank (1.31%), Axis Bank (0.60%)

Top losers:

Titan (-2.76%), Coal India (-1.70%), Hindalco (-1.68%), BPCL(-1.62%), Hero Motocorp (-1.58%)

Total stocks traded were 3,839. The number of stocks that recorded a 52-week high was 280, and those that hit a 52-week low was 15. 

In addition, 232 stocks traded in upper circuit, while 176 hit the lower circuit.

ABB India stock declined 3.29% on the NSE, trading at ₹8,575.40.

Jaguar Land Rover and Chery have signed a Letter of Intent to license the Freelander brand to Chery Jaguar Land Rover for the production of electric vehicles in China. Tata Motors said the collaboration will pivot CJLR’s product range towards electric vehicles.

Tata Motors’ shares were down by 0.71% to ₹978 at 10.50 am on the BSE.

ICICI Securities has received has received order from the Appellate Joint Commissioner of State Tax, Hyderabad, Telangana. The authority has upheld the disallowance of Input tax credit preferred by the Assessing Officer and raised demand for GST along with interest and penalty (totalling ₹6,66,105).

Restaurant Brands Asia has approved investment in PT Sari Burger Indonesia (‘BK Indonesia’), subsidiary of the Company, by way of subscription of redeemable cumulative non-convertible preference shares of an amount of IDR 40,00,00,00,000 (Forty Billion Indonesia Rupiah).

The June futures of the Nifty 50 opened higher at 23,611 versus yesterday’s close of 23,568. However, it has been facing considerable downward pressure since morning, and the contract is now trading around 23,450, down 0.5 per cent.

Nifty futures has slipped below the key 23,500-mark. Also, the intra-day chart so far shows good downward momentum. So, the decline is likely to extend from the current level.

Aditya Birla Digital Fashion Ventures Limited (ABDFVL), a wholly owned subsidiary of Aditya Birla Fashion and Retail, has executed a binding offer letter with Universal Sportsbiz Private Limited (USPL) for a minority investment with an option for a path to majority stake acquisition in USPL, comprising of manufacturing and distribution of fashion apparels, footwear and accessories, under the brand ‘Wrogn’.

Tata Motors will increase the price of its commercial vehicles effective July 1, 2024, up to 2%.

Stock trades at ₹983.45 on the NSE, down by 0.25%.

Top gainers on the BSE at 10.50 am:

Delta Corp (12.11%), Ami Organics (7.72%), Gravita (7.33%), Sansera (7.27%), DBL (6.74%)

Top losers:

Indus Tower (-5.06%), Phoenix Mills (-4.76%), BDL (-4.70%), ZF Commercial Vehicle (-4.67%), Lodha (-4.60%)

JK Lakshmi Cement had transferred 3.87% equity shares of Udaipur Cement Works Ltd, subsidiary company (UCWL), for an aggregate consideration of ₹88 crore. The aforesaid transaction is a related party transaction and has been carried out at arm’s length basis.

The JK Lakshmi Cement stock was down by 1% on the NSE at ₹828.50.

Bharti Airtel board has approved the acquisition of up to 27 million equity stake in Indus Towers Ltd. Bharti Airtel stock declined by 1.05% on the NSE, trading at ₹1,413.40, and Indus Towers stock fell 4.41% on the NSE, trading at ₹329.35

Crude oil futures traded marginally higher on Wednesday morning following the escalation in tensions between Russia and Ukraine and in the West Asian region. 

At 9.52 am on Wednesday, August Brent oil futures were at $85.34, up by 0.01 per cent, and August crude oil futures on WTI (West Texas Intermediate) were at $80.73, up by 0.02 per cent. Read more

NSE Nifty was up by 0.06 per cent or 21 points at 23,576, while the BSE Sensex was at 77,445, up by 0.19 per cent or 144 points at 9.40 am

Devan Mehata, Research Analyst, Choice Broking, said, “The benchmark Sensex and Nifty indices are expected to open positive on June 19, following GIFT Nifty trends indicating a gain of 90 points for the broader index.

Hubject has entered into a partnership with Exicom.

The overall aim of the partnership is to use Hubject’s interoperability technology to improve the charging experience for EV drivers in India. 

Exicom Tele-Systems stock jumps 6.49% on the NSE, trading at ₹351.20.

At 9.38 am on Wednesday, August Brent oil futures were at $85.34, up by 0.01 per cent, and August crude oil futures on WTI (West Texas Intermediate) were at $80.73, up by 0.02 per cent. July crude oil futures were trading at ₹6737 on Multi Commodity Exchange (MCX) during the initial hour of trading on Wednesday morning against the previous close of ₹6702, up by 0.52 per cent, and August futures were trading at ₹6703 against the previous close of ₹6667, up by 0.54 per cent.

Kotak Mahindra Bank trades at ₹1,732.10 on the NSE, up 0.74%

PNB Housing Finance’s stock trades lower by 1.07% on the NSE at ₹855.55.

Venus Remedies’ tock trades at ₹383.40 on the NSE, up by 1.89%.

Tata Motors stock trades at ₹985.50 on the NSE, down by 0.04%.

Major gainers on the NSE at 9.30 am:

ICICI Bank (1.52%), IndusInd (1.47%), Kotak Bank (0.81%), Axis Bank (0.74%), JSW Steel (0.68%)

Top losers:

Titan (-2.17%), Shriram Finance (-1.92%), BPCL (-1.62%), Coal India (-1.56%), Adani Enterprises (-1.43%)

Stocks to Watch

Indus Tower: The Vodafone Group will likely divest about 9.94% of its stake in telecom tower operator Indus Towers Ltd. in a share sale on Wednesday-over one or more tranches on the exchanges. The carrier may sell 26.8 crore shares worth Rs 9,138.8 crore, according to the term sheet accessed by NDTV Profit, at Rs 310-341 per share.

Zee Entertainment Enterprises: CFO Rohit Kumar Gupta steps down from the position for personal reasons. The company appointed Mukund Galgali as acting CFO.

Gland Pharma: Fosun to sell a 5% stake in the company through a block deal. Fosun Pharma offers 8.2 million shares in the company, at a floor price set at Rs 1,750 per share.

Craftsman Automation: The board has approved raising up to Rs 1,200 crore through QIP.

Tata Technologies: The company collaborated with Microsoft and Tata Motors for the InnoVent hackathon for engineering students.

NMDC: The company opened a new R&D centre in Hyderabad at an investment of Rs 50 crore.

Wipro: The company clarified that the report of the multi-million-dollar deal from Standard Chartered is based on rumour and is inaccurate.

Electronics Mart India: The company commenced the commercial operations of a new multi-brand store under the brand name ‘BAJAJ ELECTRONICS’ on June 18 in Andhra Pradesh.

Bharat Forge: The company makes an additional investment of $40 million in Bharat Forge America.

IPO Offering

DEE Development Engineers: The company will offer its shares for bidding on Wednesday. The price band is set from Rs 193 to Rs 203 per share. The Rs 418 crore IPO is a combination of a fresh issue of Rs 325 crore and the rest of the offer for sale. The company has raised Rs 125 crore from anchor investors.

Akme Fintrade India: The company will offer its shares for bidding on Wednesday. The price band is set from Rs 114 to Rs 120 per share. The Rs 132 crore IPO is entirely a fresh issue. The company has raised Rs 37.6 crore from anchor investors. 

Block Deals

Quick Heal Technologies: Anupama Kailash Katkar bought 58.17 lakh shares (10.95%) at Rs 489 apiece, and Kailash Sahebrao Katkar sold 58.17 lakh shares (10.95%) at Rs 489 apiece. 

One 97 Communications: BNP Paribas Financial Markets bought 5.85 lakh shares (0.09%) at Rs 425.05 apiece, and Marshall Wace Investment Strategies - Eureka Fund sold 5.85 lakh shares (0.09%) at Rs 425.05 apiece. 

Shriram Finance: BNP Paribas Financial Markets bought 14.67 lakh shares (0.39%) at Rs 2,732.15 apiece, and Marshall Wace Investment Strategies - Eureka Fund sold 14.67 lakh shares (0.39%) at Rs 2,732.15 apiece. 

Bulk Deals

Kalpataru Projects International: Kalptaru Constructions sold 86.95 lakh shares (5.35%) at Rs 1153.99 apiece. On the other hand, Custody Bank of Japan Re Rb Amundi India Small Cap Equity Mother Fund bought 9.1 lakh shares (0.56%) at Rs 1150 apiece.

Alkem Laboratories: Rajesh Kumar sold 10 lakh shares (0.83%) at Rs 4950.22 apiece and Rajeev Ranjan sold 10 lakh shares (0.83%) at Rs 4950 apiece. 

One 97 Communication: Goldman Sachs (Singapore) Pte.- Odi sold 44.2 lakh shares (0.69%) at Rs 415.04 apiece. 

Agro Tech Foods: Pari Washington India Master Fund sold 10.97 lakh shares (4.5%) at Rs 666.28 apiece and Pari Washington Investment Fund sold 4.87 lakh shares (2%) at Rs 665.41 apiece. Ohm Core Investment Corp bought 5.94 lakh shares (2.44%) at Rs 665.85 apiece and Ohm Stockbroker bought 1.31 lakh shares (0.53%) at Rs 666.2 apiece.

Amber Enterprises India: Ascent Investment Holdings sold 5 lakh shares (1.48%) at Rs 4003.91 apiece. 

Protean eGov Technologies: Equity Intelligence India bought 2.95 lakh shares (0.73%) at Rs 1,199.5 apiece. 

DCX Systems: Raghavendra Rao Hosakote Shamarao sold 7.5 lakh shares (0.77%) at Rs 358 apiece. 

Fiem Industries: Aanchal Jain sold 5 lakh shares (3.79%) at Rs 1,225.08 apiece and Rahul Jain sold 5 lakh shares (3.79%) at Rs 1225.21 apiece. 

Ideaforge Technology: Celesta Capital II Mauritius sold 3.57 lakh shares (0.85%) at Rs 768.08 apiece. 

Spandana Sphoorty Financial: Goldman Sachs Funds - Goldman Sachs India Equity Portfolio bought 10.34 lakh shares (1.45%) at Rs 760 apiece, while Padmaja Gangireddy sold 14 lakh shares (1.96%) at Rs 760.28 apiece.

TCNS Clothing: TA FDI Investors sold 13.4 lakh shares (2.11%) at Rs 550.42 apiece.

Pledge Share Details

Lloyds Metals and Energy: Promoter Thriveni Earthmovers revoked a pledge for 20.45 lakh shares on June 11. 

Trading Tweaks

Price band revised from 20% to 10%: Paras Defence and Space Technologies. 

Ex/record Dividend: Sagar Cements, Dalmia Bharat, Andra Cements, LTIMindtree, Intellect Design Arena. 

Ex/record rights issue: Sobha 

Moved into a short-term framework: Bannari Amman Sugars, Chemplast Sanmar, and Home First Finance Company India.

Zurich Insurance Company Limited (Zurich) has announced the successful completion of majority stake acquisition in Kotak Mahindra General Insurance Company Limited (Kotak General) from Kotak Mahindra Bank Limited (KMB) following the receipt of all necessary regulatory approvals.

Corporate India on Tuesday urged the government to introduce simplicity, consistency, and rationalisation of the capital gains tax regime in the upcoming Budget, noting that past policy decisions had led to a complex structure.

At their pre-Budget meeting with Revenue Secretary Sanjay Malhotra and top revenue department officials, leaders of Indian Industry also called for status quo on the corporate tax rates, stressing the need to provide tax certainty for businesses. 

Nvidia Corp.’s relentless rally has propelled the semiconductor giant’s market capitalisation over its mega-cap tech peers, helping it clinch the title of the world’s most-valuable company as the artificial intelligence wave continues, per a Bloomberg report. 

Shares rose as much as 3.4% to about $3.3 trillion on Tuesday, catapulting it over Microsoft Corp. and Apple Inc. The top stocks have jockeyed all month for the pole position, with Nvidia edging past its big-tech peers, the report added.

Indus Towers: Vodafone Group Plc, one of the promoter entities of Vodafone Idea Ltd, to sell up to 9.94% equity via block deals today. The price band for the block deal is fixed between ₹310-341 per share - a discount of up to 10% to yesterday’s closing price.

ZF Commercial Vehicle Control Systems : Wabco Asia Private Ltd to sell a 5% stake valued at ₹1,423.1 crore. The shares were offered at a floor price of ₹14,980 - a discount of 13.3% to yesterday’s closing price. 

Gland Pharma : Fosun Pharma Industrial Pte will cut its stake in the company through block deals after being unable to offload it in one go. It will sell 5% stake for about $172 million through block trade.

Sansera Engineering : Client Ebene and CVCIGP II Employee Ebene to divest up to 6.25 million shares, equivalent to an 11.66% equity stake. The sale includes up to 5.03 million shares (9.38% equity) from Client Ebene and up to 1.22 million shares (2.28% equity) from CVCIGP II Employee Ebene.

Craftsman Automation has initiated a QIP to raise ₹1,200 crore - QIP is being offered at a floor price of ₹4,400 per share, reflecting 7.7% discount yesterday’s closing price.

Prestige Estates board meeting on June 21 to consider and approve raising funds through QIP, preferential issue, rights issue or any other form. To also consider monetisation of assets in the hospitality segment by way of issue of shares through primary, secondary or both. 

Snowman Logistics : Promoter Gateway Distriparks acquired 3 lakh shares of the company from the open market. Total promoter stake now at 46.07% from 45.89% earlier.

Tata Technologies collaborated with Microsoft and Tata Motors for the InnoVent hackathon for engineering students.

NMDC opened a new R&D centre in Hyderabad at an investment of Rs 50 crore.

Wipro clarified that the report of the multi-million-dollar deal from Standard Chartered is based on rumour and is inaccurate.

Electronics Mart India commenced the commercial operations of a new multi-brand store under the brand name ‘BAJAJ ELECTRONICS’ on June 18 in Andhra Pradesh.

Bharat Forge makes an additional investment of $40 million in Bharat Forge America.

According to NSE bulk deal data, the Abu Dhabi Investment Authority (ADIA) acquired a 1.44% stake in Paras Defence and Space Technologies (PDST) through bulk deals on Friday, at an average price of ₹1,120.71 per share. 

Before this acquisition, ADIA did not hold any stake in the company. 

Paras Defence and Space Technologies, a private sector company, is primarily engaged in the design, development, manufacturing, and testing of various defense and space engineering products and solutions. 

The company expects its revenue to grow at an average rate of 25% to 30% annually. Additionally, company management anticipates order book to increase to ₹2,500 crore by the end of FY28, up from the current ₹600 crore, according to a CNBC TV18 report. 

It is among the leading private sector enterprises operating within the Defence and Space segments. It has been serving the diverse requirements of the industry operating across four segments of Defence & Space Optics, Defence Electronics, Electromagnetic Pulse Protection and Heavy Engineering. 

* BALRAMPUR

* GNFC

* HINDCOPPER

* INDIACEM

* PEL

* SAIL

* SUNTV

US Market Holiday

11:30 U.K. CPI y/y (Expected: 2.0% versus Previous: 2.3%)

- ₹4,400 cr for 2x800 MW Raipur plant in Chhattisgarh

- Boosts BHEL’s order book

- Major win for India’s power sector

We expand coverage of the India financials sector with initiation of coverage on three stocks - Bajaj Finance (BAF) with a Market-Perform rating, IndusInd Bank (IIB), and Muthoot Finance with Outperform ratings.

A land of compounders: The Indian banking sector remains in good shape with strong credit growth, benign asset quality and still healthy margins, continuing to play host to some great compounding stories. While the large private sector banks remain clean compounding stories with their continuous deposit market share gains and emerging scale benefits, the niche lenders (typically operating as Non-bank Financial Companies (NBFCs) and Housing Finance Companies (HFCs)) offer equally compelling compounding stories.

Bajaj Finance (Market-Perform, PT: INR 6,800); IndusInd Bank (Outperform, PT: INR 1,800); Muthoot Finance (Outperform, PT: INR 2,000)

Recent Interview

Aurionpro Sol: Ashish Rai, Vice Chairman

Our Orderbook Continues To Remain Strong And Demand Is Also Strong Currently: Aurionpro Solutions

Gravita India: Navin Sharma, CEO

Growth In Lithium-Ion Batteries & Steel Will Start Contributing In Bigger Way In 2027: Gravita India

IIFL Finance: Kapish Jain, CFO

Have Addressed All Of RBI’s Concerns; We Have Lost Biz In Gold Loans In The Short Term: IIFL Finance

M&M: Dr. Anish Shah, MD & CEO

Looking At Leveraging The Mahindra Brand In The Real Estate Space Via Mahindra Lifespaces: M&M

ZAGGLE PREPAID OCEAN SERVICES: Raj N, Founder & Executive Chairman

See Tremendous Tailwinds And 50% Growth For Next 2 To 3 Years: Zaggle Prepaid Ocean Services

Zensar Tech: Manish Tandon, MD & CEO

Intend To Enhance Current Offerings Using Generative AI: Zensar Technologies

Ceat: Arnab Banerjee, ED

Ceat Stocks: How Will Co Attain Double-Digit Growth In Future If Raw Material Cost Rises?

Ddev Plastiks I: Narrindra Suranna, Chairman and Managing Director

Ddev Plastiks Ind News: FY25 Capex Plans And Business Outlook

NLC Nalco India : Prasanna Motupalli, CMD

Will See Margin Reviving Back To 36-37% Levels In FY25: NLC India

Paras Defense: Amit Mahajan, Director of Technical & R&D

Expect To Grow At A Steady Pace Of 25% To 30% Per Annum: Paras Defence & Space Tech

ZF Commercial Limited

(Formerly Known As Wabco India)

Wabco Asia Pvt. Ltd. Likely To

Sell 5% Stake Via Block Deal

CMP : 17277

Deal Price : 14980

Discount : 13.3%

Deal Size : 1423 cr

Wabco Will Continue to Own

70% Equity Post Dilution

FIIS : BUY +2,569 (19,101-16,532)

DIIS : BUY +1,556 (13,955-12,399)

Vodafone PLC to sell stake in co via block deals 

Block deal launched to sell 10% stake in co 

Block deal at up to 10% discount to market price (310-341 price range) 

Morgan Stanley, BoFA broker to deal

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

MMTC has made a strong, bullish breakout. The stock price surged over 9 per cent on Tuesday taking it very well above the key resistance at ₹80.

This breakout has boosted the momentum. The level of ₹80 will act as good resistance-turned-support. Intermediate dips are likely to be limited to ₹80. Moving average cross-overs on the daily chart also strengthens the bullish case.