MARKET WRAP: Sensex gains 95 pts, Nifty ends at 11,227; FMCG stocks advance

All that happened in the markets today

12:51 PM

BROKERAGE VIEW | Emkay Global Financial Services on IndusInd Bank

RATING: HOLD | TARGET PRICE: Rs 550 

We believe that the impact of Covid-19 on retail/SME asset quality is inevitable, but its stance to build high credit reserves even at the cost of near-term earnings is a right step. We trim FY21E earnings by 22% due to up-fronting of provisions factoring in high LLP and raise FY23 estimates by 5%. We have also factored in recent capital infusion of Rs 32.8bn. We retain Hold with a TP of Rs 550, rolling forward on 0.9x Sep’22E ABV.

12:47 PM

Advanced Enzyme extends rally, zooms 45% in 1 week after FPI hikes stake

Shares of Advanced Enzyme Technologies hit a fresh 52-week high of Rs 332, ralling 13 per cent on the National Stock Exchange (NSE) on Wednesday, on the back of heavy volumes in an otherwise subdued market. In the past one week, stock of the agricultural products company has zoomed 45 per cent after foreign portfolio investors (FPIs) bought nearly 4 per cent stake in the company via open market. In comparison, the Nifty50 index was up 1 per cent during the period. READ MORE

12:38 PM

Top gainers on the BSE at this hour

12:25 PM

Expert View :: Jyoti Roy - DVP- Equity Strategist at Angel Broking on RIL-General Atlantic deal

Reliance Industries Ltd. has announced that General Atlantic will invest Rs 3,675 crore into Reliance Retail Ventures Ltd. which is the retail arm of RIL for a further 0.84% stake in the company. This investment values Reliance Retail at a pre-money equity value of Rs 4.285 lakh crore and marks the second investment by General Atlantic in a subsidiary of Reliance Industries, following a Rs 6,598.38 crore investment in Jio Platforms announced earlier this year. We expect more such investments by strategic and financial investors in Reliance Retail in the future. We maintain our positive view on Reliance industries Ltd. and expect that the digital and the retail business will be the future growth drivers for the company. We continue to maintain our buy rating on reliance Industries with a target of Rs 2,543.

12:15 PM

After 29% rally H1FY21, best in a decade, analysts turn cautious on markets

The first half of the current fiscal (H1FY21) started on a somber note for the economy and markets with a nation-wide lockdown to stem the spread of Covid-19 pandemic that lasted a little over two months. Yet equity markets gained handsomely, with the frontline indices – the S&P BSE Sensex and the Nifty50 – rising 29 per cent and 31 per cent, respectively during this period. The rise in the first half has been the sharpest since 2008-09 (H1FY09) when both these indices had surged 76 per cent and 68 per cent, respectively. READ MORE

12:05 PM

BPCL, HPCL, IOC: Here's how to trade oil-marketing companies' stocks

Shares of oil marketing companies (OMCs) were trading in the negative territory in the morning deals on Wednesday. While Bharat Petroleum Corporation (BPCL) traded 6 per cent lower, Indian Oil Corporation (IOC) and Hindustan Petroleum Corporation (HPCL) were down 1.5 per cent and 4 per cent, respectively. According to reports, oil majors Rosneft and Saudi Aramco are unlikely to bid in the privatisation of BPCL. Stocks of OMCs have come under pressure since late July over concerns on demand, inventory losses led by soft crude prices, and weak refining margins. READ MORE

11:54 AM

Top gainers on BSE at this hour

COMPANY	PRICE(rs)	CHG(%)
ADVANCED ENZYME	320.00	9.10
KPIT TECHNOLOGI.	124.85	8.14
GARDEN REACH SH.	202.60	5.96
CREDITACC. GRAM.	757.05	5.13
WELSPUN CORP	113.70	4.99

11:44 AM

BPCL tanks 6% as govt extends deadline to submit EoI to November 16

Shares of Bharat Petroleum Corporation Limited (BPCL) slipped 6 per cent to Rs 363 on the BSE in the intra-day trade on Wednesday after the government extended the deadline to submit expression of interest (EoI) for the company's privatisation to November 16, 2020. The government on March 7, 2020, had issued a Preliminary Information Memorandum document (PIM) for inviting Expression of Interest (EOI) for strategic disinvestment of BPCL. READ MORE

11:38 AM

US elections: Investors react to first Trump-Biden presidential debate

Republican President Donald Trump and Democratic rival Joe Biden sparred on stage for the first time on Tuesday in a pivotal debate ahead of the Nov. 3 U.S. presidential election. S&P 500 index futures dropped 0.5 per cent after the heated and chaotic debate ended, erasing earlier gains of 0.7 per cent. With more than a million Americans already casting early ballots, the debates kick off as investors worry about prolonged uncertainty if Trump were to lose, after his refusal to commit to accepting the election outcome. READ MORE

11:26 AM

Vedanta delisting fate to be known next week, price likely at Rs 160-170

The promoter holding in Vedanta is currently at 50.14 per cent. Under Sebi’s delisting regulation, the promoter will have to acquire at least 39.86 per cent stake (1.48 billion shares) from public shareholders to ensure that the delisting bid is successful. READ MORE

11:16 AM

Lakshmi Vilas Bank slips 5% amid concerns over Clix Capital deal

Shares of Lakshmi Vilas Bank (LVB) slipped 5 per cent to Rs 19.15 on the BSE in the intra-day trade on Wednesday on concerns Clix Capital’s proposed deal may not materialise after a large section of the bank’s shareholders voted against the reappointment of the top brass. According to a report by business daily Mint, Clix Capital, which was in advanced talks with LVB for a potential merger, may approach the Reserve Bank of India (RBI) for clarity on the future of the deal after the bank’s shareholders voted out seven board members, including its managing director. READ MORE

11:09 AM

Investors should wait for a better entry point in Kajaria Ceramics

The stock of Kajaria Ceramics is up 26 per cent over the past month on expectations of better-than-expected earnings growth — led by volume recovery, steady prices, and falling costs. Brokerages had cut their revenue and earnings estimates after the June quarter results, which saw volumes and revenue fall over 60 per cent. READ MORE

10:59 AM

KPIT Tech rallies 30% in 2 weeks, hits record high as promoters hike stake

The IT consulting & services company's stock has rallied 30 per cent in the past two weeks after promoters bought shares of the company through open market. In comparison, the S&P BSE Sensex was down 3.5 per cent during the same period. The stock surpassed its previous high of Rs 118.90, touched on September 21, 2020. READ MORE

10:53 AM

NEWS ALERT :: Have not received any instruction from RBI w.r.t LVB, clarifies PNB

10:50 AM

MARKET CHECK :: Indices stage recovery