Sensex zooms 2,476 pts in biggest one-day percentage gain since May 2009

All that happened in the markets today

11:44 AM

MARKET UPDATE:: Sensex reclaims 29k

11:38 AM

NEWS ALERT :: Zydus Cadila receives final approval from US FDA for Perphenazine tablets: BSE Filing

>> Zydus Cadila has received final approval from the USFDA to market Perphenazine Tablets USP, 2 mg, 4 mg, 8 mg and 16 mg. (US RLD: Trilafon® Tablets).
 

>> This medication is indicated for the treatment of schizophrenia and for the control of severe nausea and vomiting in adults. The drug will be manufactured at the group’s formulation manufacturing facility at Baddi. 
 

11:30 AM

IndusInd, HDFC Bank surge up to 21% post Q4 biz update amid Covid-19 woes

HDFC Bank reported a 6.3 per cent sequential growth in net advances, to Rs 9,93,000 crore, while deposits rose 7.4 per cent over the previous quarter to Rs 11,46,500 crore. On a yearly basis, the advances and deposits logged a growth of 21 per cent and 24 per cent, respectively. While the growth in advances hit a 4-quarter high, deposits registered an over 20-per cent growth for the third consecutive quarter. READ MORE

11:25 AM

BROKERAGE VIEW:: Emkay Global Fin Services downgrades Bajaj Finance to 'Hold'

We downgrade Bajaj Finance (BAF) to Hold from Buy, with a revised TP of Rs 2,331 (from Rs 3,570), corresponding to ~3.2x P/B FY22E, considering elevated uncertainties around growth and asset quality. With management’s rising focus on recoveries and cost-control measures (zero expansion, etc.), growth will take a back seat at least for few quarters.

11:14 AM

HUL continues gaining streak, hits new high; advances 24% in two weeks

Last week, HUL announced the completion of GSK Consumer Healthcare (GSKCH) merger process, post securing necessary regulatory approvals. HUL has fixed April 17, 2020 as the record date for determining the shareholders of the GSKCH to receive the shares of the company. The merger of GSKCH with HUL will be on a basis of an exchange ratio of 4.39 HUL shares for each GSKCH share. HUL’s shares will be allotted to all GSKCH shareholders from end of April to early May. READ MORE 

10:57 AM

BROKERAGE VIEW:: Anand Rathi Shares on Indian Hotels

As ~65-70% of the total branded hotel rooms in India primarily exist because of corporate travel in India, we reckon the situation is likely to be grim over the next 2-3 months. With the "no-travel" policy and companies adopting "work from home", we expect the impact of the virus to begin waning by Jun-Jul, and business to pick up in H2 FY21. We also assume that, as the last few months of 2020 roll in, inbound travel is likely to be a fraction of what India gets in typical years. Considering the situation and its impact on hospitality, we cut our FY21e/FY22e EBITDA for Indian Hotels by 71.7%/39.7% and retain our Buy rating on the stock, with a lower target price of Rs 100, from Rs 180 (sum-of-parts valuation). Also, IHCL is in a comfortable position regarding debt, given its limited refinancing needs and strong promoter backing. Key assumptions taken for FY21 (standalone properties: 40% occupancy with 12% y/y cut in ARR; US and UK properties: 30% occupancy with 12% y/y cut in ARR).

10:56 AM

SECTOR WATCH:: IT stocks trade higher

COMPANY	LATEST(rs)	CHG(%)
INFOSYS	620.00	5.90
WIPRO	188.85	4.92
HCL TECHNOLOGIES	440.30	8.73
TECH MAHINDRA	545.85	4.84
TCS	1732.60	4.73

10:45 AM

BROKERAGE VIEW:: ICICI Securities on Cyient

Considering various headwinds due to Covid-19, we lower our FY21E and FY22E revenue and margin estimates downwards. We revise our EPS estimates from Rs 42.6 & Rs 46.6 in FY21E and FY22E to |Rs 26.7 & Rs 27.6, respectively. Accordingly, we revise our PE multiple and target price downwards to Rs 255. We maintain our HOLD rating on the stock.

10:34 AM

Bajaj Finance slips 5% after Co briefs on business impact due to Covid-19

Shares of Bajaj Finance slipped 5.7 per cent to a fresh 52-week low of Rs 2,081.50 on the NSE on Tuesday in an otherwise strong market after the company's management team said that over the past 10 days, the company had lost nearly 350,000 customers, impacting its assets under management (AUM) by Rs 4,750 crore. READ MORE

10:32 AM

MARKET CHECK

10:25 AM

India growth crucial for Torrent Pharma's health amid steep fall in volume

After its January numbers, analysts at Emkay Global pointed out the declining volume trend. “Torrent Pharma has now seen the fifth consecutive month of volume decline (9 per cent in January 2020). Though the company has managed to take price hikes, we believe this is not sustainable in the long term.” READ MORE

10:17 AM

STOCK ALERT :: HUL hits record high of Rs 2,330

10:13 AM

M&M up 12% after it rejects plan to infuse fresh equity in South Korean-arm

“Given the current and projected cash flows, the M&M Board took a decision that the company will not be able to inject any fresh equity into SYMC and has urged SYMC to find alternate sources of funding,” the company said in a regulatory filing on Friday after market hours. The Indian auto giant holds a controlling stake in the South Korean carmaker. READ MORE

10:05 AM

Piramal Enterprises surges over 7.5% in early trade, retreats later

Equity giants TPG Capital and KKR & Co. Inc. have emerged as the front runners to invest Rs 3,500-4,000 crore for acquiring a 20 per cent stake in Piramal Group’s proposed pharmaceutical entity that would combine the group’s pharma businesses, said a report by the business daily Mint. READ MORE

9:59 AM

Nomura on M&M

We continue to value MM at a target 12x P/E multiple, based on FY22F EPS (ex-subsidiary dividends). Thus, we value the core auto business at INR272/share and investments at Rs 147/share. We think that during distress, auto sector volumes may continue to disappoint in the short term. However, lock-downs may be lifted earlier in the rural areas, which shoud benefit M&M.

Also, MM’s core auto business, MM+MVML, trades at ~8x / 6x FY21/22F EPS and on P/B it trades at ~0.85x FY20F which is the lowest level ever. We find this quite attractive given MM+MVML’s ROCE of ~22%/24% (FY21/22F) even in the bottom of the cycle, as we estimate that the company will remain profitable.