On account of heavy selling pressure witnessed in IT, telecom sectoral stocks, the Indian indices lost the early gains it had registered on Tuesday. The BSE Sensex lost over near 105 points to 35,386 levels. The 50-stock Nifty lost 28 points to 10,613 levels. IT and Tech index have bleeded 2.12 and 1.72 per cent respectively.

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Market experts are opining that Nifty has strong support at 10,580 and the markets would continue to remain range-bound between 10,550 to 11,000 levels. SEBI registered technical equity analyst Simi Bhaumik told Zee Business online, "The Nifty is trading in between 10,500 to 10,950 and it is expected to remain in this range for few more time till it breaks on either side of the range."

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3:00 PM

IT, Tech index pulls down Sensex, Nifty

On account of heavy selling pressure witnessed in IT, telecom sectoral stocks, the Indian indices lost the early gains it had registered on Tuesday. The BSE Sensex lost over near 105 points to 35,386 levels. The 50-stock Nifty lost 28 points to 10,613 levels. IT and Tech index have bleeded 2.12 and 1.72  per cent respectively.

1:15 PM

Outlook about banking stocks by IndiaNivesh research

IndiaNivesh expect two themes to play out for the Indian banking sector in near term: A) on deposit growth – the requirement varies across banks as they are at varying levels of leverage, but a combination of on-balance sheet liquidity (surplus SLRs), improving term-deposit flow, and market share shifts should support growth in the near term; however, B) a structural pick-up in systemic loan growth, which seems underway, shall eventually place a premium on the cost of liquidity if deposit growth continues to lag behind.

A)  Deposit growth acquires primacy: 1) Private banks’ reliance on non-deposit resources has gone up by an average 10% in the last 10 years, HDFCB and old private banks have been most consistent in funding their loan books through deposits; 2) CASA migration to TD playing out, average CASA ratios can further dip if term deposit curve steepens; 3) historical trends suggest comfortable liquidity scenario in election years; 4) recent reduction in SLR requirements, along with the pick-up in term deposits, should support targeted loan growth for banks in our coverage universe; and 5) they expect term deposits to exhibit an upward pricing bias.

B)  Corporate banks de-risking, retail banks adding risk: 1) Turnaround in corporate banks is being driven primarily by reduction in incremental stress and expected chunky recoveries—also a consensus theme; 2) corporate banks have de-risked with blended risk weights declining while those of retail banks having increased in the past decade, RoRWAs however remain stable; 3) retail loans to dominate loan growth theme, including for corporate banks, which have built strong retail franchises even as their corporate balance sheets went through a stress cycle; 4) on tenor, despite banks generally focusing on STLs/WCLs, we find TLs of SCBs have increased as a result of strong NBFC and housing loan financing components.

12:30 PM

Adani stocks in red zone

Adani's stocks in the infra sector have been bleeding since opening on Tuesday. Shares of Adani Ports and Special Economic Zone are off by near 0.4 per cent while Adani ransmission is off by around 0.35 per cent.

10:40 A.M

Buy Wipro for 18% gains, advises HDFC Securities

Wipro has established its position in the Indian information technology industry and has diversified revenue streams with healthy revenue composition across various services lines and domains, and strategic alliances spread across geographies. Wipro also continues to realign itself with the dynamic demands of the IT industry, which is undergoing a shift from traditional legacy models to digitization, automation and analytics-based solutions. Wipro reported a strong quarter in Q3FY19, especially on the margin front. Further, with continued strength in BFSI and digital, a healthy deal pipeline commentary and client-specific issues left behind, we are positive on Wipro’s growth trajectory. 

On suggestion to the investors in regard to the counter Abdul Karim, CFA at HDFC Securities told, "Fundamentals of the counter suggests upside potential of near 18 per cent. An investor can buy the scrip at a recommended price of Rs 353, for the target of Rs 416/stock levels in 4 quarters." Currently, the stock is oscillating around Rs 372/counter levels.

10:20 A.M

Buy Axis Bank for 27% gains, advises HDFC Securities

Axis Bank remains well-capitalised to fund ~17% asset growth over the next two years. The bank has made significant investments to ride the next growth cycle (post near-term asset quality challenges), with strong capitalisation and an expanding liability franchise (3,779 branches). With an improving outlook on fresh slippages/credit costs, we expect earnings to start normalising from H2FY19 onward. The bank is in the process of searching for and then appointing a new CEO (Ms Shikha Sharma’s term ends in Dec-18), and this remains a key monitorable.  Fundamental positives like a high CASA ratio, wide distribution network, franchise value, and a high and growing share of retail loans are key positives. Its RoA and RoE could revive to healthy levels from the currently low levelps by FY20. 

On suggestion to the investors in regard to the counter Atul Karwa, CFA at HDFC Securities told, "Fundamentals of the counter suggests an upside potential of near 27 per cent. An investor can buy the scrip for the target of Rs 815/stock levels for 4 quarters." Currently, the stock is oscillating around Rs 702/counter levels.

9:43 AM

Buy Ashok Leyland for 41% gains, advises Elara Securities

Ashok Leyland EBITDA declined 23% YoY at Rs 6.5bn, 16% above our estimates while EBITDA margin contracted 140bp YoY at 10.3%, 140bp above our estimates of 8.9%, led by gross margin beat. The RM-sales ratio fell 220bp QoQ at 70.1%, lower than estimates of 72%. Revenue dipped 12% YoY at Rs 63.3bn, in line with our estimates, owing to a 6% YoY decline in volume and a 6% drop in net realization. Adj PAT fell 21% YoY at Rs 3.9bn, 27% above our estimates, led by a tax benefit of Rs 840mn due to LCV business merger with Ashok Leyland. The LCV business remains profitable as evidenced by restated financials.

On suggestion to the investors in regard to the counter Jay Kale, CFA at Elara Securities told, "Fundamentals of the counter suggests upside potential of nera 41 pere cent. An investor can buy the scrip for the target of Rs 113/stock levels." Currently, the stock is oscillating around Rs 80/counter levels.

9: 27 AM

Buy Sadbhav Engineering for 47% gains, advises Elara Securities

Sadbhav Engineering 3QFY19 performance was in line with our expectations. Against guided commencement of execution on four road projects in 3Q, the company received approval for two in quarter-end, one in January while others pushed to FY20. Among four road projects guided to commence in 4Q, three were pushed to FY20 and one is expected in short term. Due to delays, management revised FY19 guidance to Rs 38bn from Rs 40bn, which implies an ask rate for 4Q of Rs 12.7bn, which we believe is ambitious. EBITDA margin is likely to be retained at 12%. The tax rate was high at 20%, due to lower contribution from projects where 80IA benefits are available.

On suggestion to the investors in regard to the counter Ankita Shah, Analyst at Elara Securities told, "Fundamentals of the counter suggests an upside potential of nera 47 pere cent. An investor can buy the scrip for the target of Rs 241/stock levels." Currently, the stock is oscillating around Rs 164/counter levels.

9:25 AM

Realty leads the rally march at Dalal Street

Leading the rally at Dalal Street, realty index rose near half a per cent in early trade session on Tuesday. Realty major Oberoi Realty rose by over 4 per cent, Prestige Estate Projects limb over 3.5 per cent, Shobha Developers shares climbed near 2.5 per cent while DLF and Godrej Properties stocks rose near 2 per cent. Housing Development and Infra stock rose over 2 per cent while IndiaBulls Real Estate stocks rose near 1.25 per cent.

9:20 AM

Sensex climbs 81 points, Nifty above 10,650 levels

On account of world stock climbing two and a half month high on Monday and Asian bourses hovering around four month high levels, the Indian indiced hopes to recover today after successive bear run at Dalal Street for more than a fortnight. The BSE Sensex jump 81 points to 35,579 while the 50-stock Nifty rose 22 points to 10,662. However, stock index of consumer durables, IT, technology and telecom are still bleeding.

9:13 AM

Buy Voltas for 24% gains, advises HDFC Securities

Voltas reported a weak quarter led by muted off-season RAC performance. Net Revenues  grew by 9% driven by healthy execution in the project biz (up 16% against  expectations of  22%).  Weak RAC sales (-3% against expectations of 5%) was owing to high channel  inventory,  modest  festive  season offtake and heavy base (32% in 3QFY18;  rating  change  led pre-buying). UCP EBIT margin (-450bps YoY; agaisnt expected -400bps) decline and higher than expected Volt-Beko JV loss (around Rs 330mn agaisnt expectations of Rs  50mn)  led  to EBITDA/APAT growth of 1/-10% (agaisnt expectations of 10/7%).

On suggestion to the investors in regard to the voltas counter Naveen Trivedi, Analyst, HDFC Securities told, "Fundamentals of the counter suggests an upside potential of nera 24 pere cent. An investor can buy the scrip for the target of Rs 650/stock levels." Currently, the stock is oscillating around Rs 522/counter levels.

9:10 AM

Buy Somany Ceramics for 51% gains, advises Elara Securities

Consolidated net sales of the company increased by 7% YoY and 8.8% QoQ to Rs 4.2bn due to higher volume. EBITDA margin improved 150bp QoQ to 8.1%, due to improvement in realization. Adjusted PAT stood at Rs 88mn, posting a QoQ increase of 93%. Realization for the quarter improved 2.2% QoQ to Rs 332 per sqm. Cost per sqm increased by 2.7% YoY and 0.5% QoQ, due to higher gas prices. EBITDA per sqm rose by 26% QoQ to Rs 27 sqm.

On suggestion to the investors in regard to the Somany Ceramics counter Ravi Sodah, Analyst at Elara Securities told, "The fundamentals of the counter suggests an upside potential for near 51 per cent. An investor can take a buy position in the scrip for the target of Rs 477/stock levels." currently, the scrip is oscillating around Rs 315/counter levels.

8:40 AM

Asian stocks near four-month high

Asian shares hovered near four-month highs on Tuesday, supported by hopes that Sino-US trade talks were making progress and expectations of policy stimulus from central banks.

Investor confidence was bolstered by mild gains in European stocks as US markets were shut on Monday for a public holiday.

MSCI's broadest index of Asia-Pacific shares outside Japan was a shade firmer, while Japan's Nikkei was almost flat.
 
Chinese shares were little changed, too, with the blue-chip index up 0.1 per cent after surging in the previous session.

8:35 AM

Global markets climb two and a half month high

Hopes for progress in Sino-US trade talks and expectations of policy stimulus from central banks lifted world stocks to two and half month highs on Monday, though European gains were held back by concern over the outlook for auto makers.
 
MSCI's All-Country World Index rose 0.4 per cent after Japan's Nikkei closed up 1.8 per cent at its high for the year and MSCI's index of Asian equities rose almost 1 per cent. Shanghai blue chips surged 2.7 per cent to their highest finish in more than six months.
 
Wall Street futures suggested that US stocks would maintain last week's gains when trading starts again on Tuesday, after Monday's holiday. 

The Dow and the Nasdaq had boasted eight consecutive weeks of gains on wagers the United States and China can resolve their protracted trade dispute.
 
Negotiations will resume this week, with US President Donald Trump saying he may extend a March 1 deadline for a deal. Both sides reported progress at last week`s talks in Beijing.

The mood was more subdued in Europe, where a pan-European equity index inched to a four-month high. Gains were capped by auto makers, who were hit by data showing Chinese car sales fell 16 percent in January, their seventh straight month of decline.

The autos index, a bellwether for Europe's economy, fell 0.4 per cent. The industry was also weighed down by fears that a US Commerce Department report would lead to tariffs on imported cars and auto parts. German shares slipped 0.1 per cent lower.