FM's PSU divestment fails to cheer D-Street; ZEE hogs the limelight
21 November 2019
Market Close: The benchmark indices ended marginally lower in the muted trading session on November 21.
At close, the Sensex was down 76.47 points at 40575.17, while Nifty was down 30.70 points at 11968.40. About 1079 shares have advanced, 1441 shares declined, and 198 shares are unchanged.
Zee Entertainment, Eicher Motors, Dr Reddy's Laboratories, Adani Ports and HUL were among major gainers on the Nifty, while losers were BPCL, Coal India, Tata Steel, Yes Bank and Bharti Airtel.
All the sectoral indices ended lower led by the metal, energy, infra, FMCG, IT and pharma.
DHFL gains 5%: The Adani Group has envisaged interest in the retail and wholesale book of Dewan Housing Finance Corporation (DHFL), sources told CNBC-TV18. The Indian conglomerate may be a strong contender for the troubled mortgage lender, alongside other biggies like Piramal and Apollo, sources added.
Gold Update: Gold prices held steady on Thursday, supported by concerns that US legislation on Hong Kong could increase tensions between the United States and China and delay an interim trade deal.
Crude Update: Oil prices edged lower on Thursday as fresh tensions between the United States and China over ongoing protests in Hong Kong fuelled concern that a long hoped-for deal to end a trade war between the world's top two economies may be further delayed.
APL Apollo Tubes climbed over 2 percent
Shares of APL Apollo Tubes climbed over 2 percent on BSE on November 21 after the company said ICRA reaffirmed the company's long and short-term ratings. Rating agency ICRA reaffirmed "ICRA AA-" as long-term rating and "ICRA A1+" as short term rating for Rs 1,327.51 crore line of credit of the company.
ICRA also assigned a long-term rating of "ICRA AA-" and short term rating of "ICRA Al+" to the additional limit of Rs 360.49 crore bank facilities. The outlook on the long term rating is stable.
OnMobile Global gains on collaboration with Gionee: OnMobile Global share price jumped nearly 6 percent on November 21 after the company announced a collaboration with Gionee to build and manage its mobile entertainment ecosystem.
Market Update: Benchmark indices are trading flat in the volatile session on November 21. The Sensex is down 19.19 points or 0.05% at 40632.45, and the Nifty down 7.90 points or 0.07% at 11991.20.
Zee Entertainment, Adani Ports, L&T, Eicher Motors and ICICI Bank are among major gainers on the Nifty.
Zydus receives final approvals from the USFDA: Cadila Healthcare on November 21 said Zydus Cadila has received final approvals from the US health regulator for Isosorbide Dinitrate Tablets and Desonide Cream.
Pankaj Bobade, Head of Fundamental Research, Axis Securities:
Overall, the Indian markets are in a structural uptrend on the back of the expanding economy. Strong equity markets are an affirmation of the strength of the Indian economy supported by the structural reforms that are being undertaken by the government to ensure acceleration in economic growth.
The markets are factoring in the corporate earnings growth followed by a good monsoon, measures to be taken by the government to ensure that the fiscal deficit is contained. Markets are also expecting some concrete move by the government to push consumption.
Market Update: Benchmark indices are trading lower on November 21 with Nifty around 11,950.
The Sensex is down 88.59 points or 0.22% at 40563.05, and the Nifty down 31.10 points or 0.26% at 11968. About 924 shares have advanced, 949 shares declined, and 106 shares are unchanged.
Citi maintains buy on NTPC: Share price of NTPC down over 1 percent despite research house Citi has maintained buy rating with a target at Rs 142 per share.
Market Update: In the muted trading on November 21 the BSE Sensex is trading in the positive territory.
The Sensex is up 16.59 points or 0.04% at 40668.23, and the Nifty down 1.30 points or 0.01% at 11997.80. About 749 shares have advanced, 620 shares declined, and 68 shares are unchanged.
Market Opens: It is flat start for the Indian indices on November 20.
At 09:18 hrs IST, the Sensex is up 18.62 points or 0.05% at 40670.26, and the Nifty up 4.90 points or 0.04% at 12004.00
Zee Entertainment, IRB Infra UCO Bank, HCC, IndusInd Bank, Bharti Infratel, are among major gainers on the Indices, while losers are BPCL, Gail, SCI, NTPC and Hindalco.
Rupee Opens: The Indian rupee opened flat at 71.83 per dollar on Thursday versus previous close 71.81.
Market at pre-open: Benchmark indices are trading higher in the pre-opening session.
At 09:02 hrs IST, the Sensex is up 62.36 points or 0.15% at 40714.00, and the Nifty up 28.00 points or 0.23% at 12027.10.
Crude Update: Oil prices retreated on Thursday as a spat over Hong Kong added to worries of a delay in any US-China trade deal, after posting steep gains in the previous session on bullish US crude inventory data.
Citi on NTPC
Buy rating, target at Rs 142 per share
Co to acquire govt’s stake & management control in hydropower firms
Co’s current installed capacity stands at 48.6 GW
THDC & NEEPCO’s combined net worth is 15% of NTPC’s net worth
Impact on NTPC should be manageable; funding will not be an issue
Citi on CONCOR
Buy rating, target at Rs 687 per share
It will be an attractive candidate for acquisition
In private hands, see greater scope for increasing the efficiency/ flexibility
Benefits from commissioning of DFC will be added attraction
Moderate number of employees makes the transfer of control easier
Credit Suisse on steel sector
Steel price hike likely to sustain & there is room for more
$10/t price hike taken by Indian steel makers in early November has sustained so far
Domestic prices still at a $15-30/t discount to imports from FTA Nations/China
Production curbs during winter months, until Mar 2020, should keep supply in check
Have outperform rating on JSW Steel, JSPL & Tata Steel, neutral on SAIL
Morgan Stanley on OMCs
BPCL stake sale to a non-SOE could rerate sector multiples, improve marketing margin
Stake sale could drive cost efficiencies for OMCs in medium term
BPCL & HPCL are our key overweights
Divestment can unlock $15-25 billion value for fuel marketers
Upside risks to EPS exist as oil markets remain well supplied
Morgan Stanley on TCS
Equal-weight rating, target at Rs 1,980 per share
Deal flow shown resilience despite some deceleration in large verticals
Co has been able to show strong rev growth without putting its balance sheet in play
Not seeing large programs in BFS yet while insurance is strong
UK & Europe have been growth drivers for the past few quarters
Attrition has been significantly lower than peers
Morgan Stanley on Titan
Equal-weight rating, target at Rs 1,240 per share
As per management, co continues to gain market share
There is no major improvement in the overall demand environment
For H2FY20, co confident of maintaining 11-13% jewellery rev growth guidance
H2FY20 margin likely to be broadly in-line with the reported margin in H1FY20
Morgan Stanley on ICICI Bank
Overweight rating, target at Rs 665 per share
Additions to BB & below book to be elevated near-term given weaker macro
Current loan growth will likely be sustained led by retail
Focus continues to be on core PPoP growth rather than loan growth
Margin may sustain, helped by slippages normalisation & higher spreads
Morgan Stanley on Axis Bank
Overweight rating, target at Rs 925 per share
Expect elevated slippages in near-term mainly from BB & below book
Co reiterated loan growth outlook of 5-7 ppt higher than the industry
Corporate/SME remains subdued but retail continues to trend well
Expect FY20 margin to be higher than FY19
Capital raise towards end of Q2FY20 will also help
Expect cost growth to normalise at low-mid teens from 4% YoY in H1FY20
Market Headstart: Nifty seen opening lower; PSU, telecom stocks eyed
The Nifty is expected to open lower in morning trade on November 21, tracking the muted trend seen in other Asian markets, as a fresh row between Washington and Beijing over US bills on Hong Kong could complicate their trade negotiation.
Asian Markets: Global shares slid on Thursday as a fresh row between Washington and Beijing over U.S. bills on Hong Kong could complicate their trade negotiation and delay a "phase one" deal that investors had initially hoped to be inked by now. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.16% while Japan's Nikkei dropped 0.25%.
US Markets ends lower: Wall Street's main indexes ended Wednesday's session lower on concerns that a "phase one" trade deal between Washington and Beijing may not be completed this year, while minutes from the Federal Reserve's October policy meeting appeared to offer little help.
The Dow Jones Industrial Average fell 113.74 points, or 0.41%, to 27,820.28, the S&P 500 lost 11.79 points, or 0.38%, to 3,108.39 and the Nasdaq Composite dropped 43.93 points, or 0.51%, to 8,526.73.