RIL, HUL, Airtel help indices log V-shaped recovery; Sensex ends 21 pts up
The correction was deeper in the broader markets where the BSE MidCap and SmallCap indices closed 0.70 per cent and 0.89 per cent down, respectively
 "MARKETS: Indices make a smart come-back; Sensex up 50 pts; FMCGs gain")
9:23 AM
LARGE TRADE :: SBI Card drops over 5% after 15.7 million shares change hands
Private equity (PE) major Carlyle plans to offload 5.1 per cent take in SBI Cards and Payment Services on Friday. A total of 48 million shares of the credit card company will be on offer in the range between Rs 1,002 to Rs 1,041.3 per share --- a discount of 1 per cent and 4.7 per cent to the last closing price of Rs 1,051.7.
9:21 AM
Sectoral trends on the NSE :: IT, PSBs charge ahead
9:20 AM
Sensex Heatmap
Top gainers: Bajaj Finserv, IndusInd Bank, TCS
Top losers: ONGC, Asian Paints, Bajaj Auto
Top losers: ONGC, Asian Paints, Bajaj Auto
9:18 AM
Opening Bell :: Nifty opens below 15,750
9:17 AM
Opening Bell :: Sensex trades above 52,500
9:14 AM
Commodity prices in early deals
9:11 AM
Pre-open session :: Nifty holds 15,750
9:09 AM
Pre-open session :: Sensex sees a pullback
9:07 AM
>> Its attractiveness to ESG investors as a play on ‘green corridors’, its inexpensive val (9x FY23CL PE), & a 34% dividend rise in in FY21-23CL make it an attractive (5-6.7%) dividend yield stock
>> Raise FY22/23 EPS estimate by 5%
CLSA on Power Grid
Reco: Buy | TP: Rs 275
>> Its attractiveness to ESG investors as a play on ‘green corridors’, its inexpensive val (9x FY23CL PE), & a 34% dividend rise in in FY21-23CL make it an attractive (5-6.7%) dividend yield stock
>> Raise FY22/23 EPS estimate by 5%
9:06 AM
>> Time to focus on post-divestment changes in sector
>> Prefer BPCL among OMCs
>> Believe new buyer has substantial room to increase EBITDA
>> Volumes shifts should negatively impact EBITDA for IOC and HPCL
Credit Suisse likes BPCL among OMCs
>> Marketing margins now normalised
>> Time to focus on post-divestment changes in sector
>> Prefer BPCL among OMCs
>> Believe new buyer has substantial room to increase EBITDA
>> Volumes shifts should negatively impact EBITDA for IOC and HPCL
9:06 AM
>> Volume and margin pressures likely in 1Q FY22
>> FCF likely to remain constrained over next few year
Macquarie on CEAT
Maintains Neutral | TP: Rs 1280
>> Co targeting market-share gains across segments
>> Volume and margin pressures likely in 1Q FY22
>> FCF likely to remain constrained over next few year
9:04 AM
>> Corporate cycle has turned
>> Company is increasing granularity and conservatism
>> Axis is increasing focus on creating value from subsidiaries
CLSA on Axis Bank
Maintains BUY | TP: Rs 1025
>> Wave-2 impact looks manageable
>> Corporate cycle has turned
>> Company is increasing granularity and conservatism
>> Axis is increasing focus on creating value from subsidiaries
9:02 AM
FY2021 volumes grew by ~7%; unfavourable mix due to higher sales of open-ended footwear (slippers) led to 9% decline in realisation resulting in 2% revenue decline.
The company took price increase of 7-8% to reduce inflationary pressure on gross margins.
Near-term performance is likely to be affected by COVID-19 led uncertainties. However, medium-term outlook is intact, as focus on improving penetration in southern markets, new product addition, and shift from non-branded to branded remain key growth lever
Sharekhan on Relaxo Footwear
Reco: Buy | TP: Rs 1,242
We retain our Buy recommendation on Relaxo Footwear (Relaxo) with a revised PT of Rs. 1,242. Value-for-money offering, enhanced distribution network, and strong balance sheet make it a better pick in the footwear space.
We retain our Buy recommendation on Relaxo Footwear (Relaxo) with a revised PT of Rs. 1,242. Value-for-money offering, enhanced distribution network, and strong balance sheet make it a better pick in the footwear space.
FY2021 volumes grew by ~7%; unfavourable mix due to higher sales of open-ended footwear (slippers) led to 9% decline in realisation resulting in 2% revenue decline.
The company took price increase of 7-8% to reduce inflationary pressure on gross margins.
Near-term performance is likely to be affected by COVID-19 led uncertainties. However, medium-term outlook is intact, as focus on improving penetration in southern markets, new product addition, and shift from non-branded to branded remain key growth lever
9:00 AM
Sharekhan on Titan Company
Reco: Buy | TP: Rs 1,910
The company expects strong recovery in pent-up demand especially in the jewellery segment in H2FY2022; Ticket size is also expected to go up due to higher wedding spends shifted towards jewellery buying.
Titan has a market share of 5-6% in the jewellery market. Sustained new customer addition, strong safety standards followed by the company, omni channel platform, and new product launches would help market share to improve ahead.
Balance sheet strength will help it to compete well with strong regional and large players in the domestic market.
We maintain our Buy recommendation on Titan with a revised PT of Rs. 1,910. It remains one of our top picks in the discretionary space due to a strong balance sheet and dominance in the branded jewellery space.
The company expects strong recovery in pent-up demand especially in the jewellery segment in H2FY2022; Ticket size is also expected to go up due to higher wedding spends shifted towards jewellery buying.
Titan has a market share of 5-6% in the jewellery market. Sustained new customer addition, strong safety standards followed by the company, omni channel platform, and new product launches would help market share to improve ahead.
Balance sheet strength will help it to compete well with strong regional and large players in the domestic market.
8:58 AM
CLSA initiates coverage on Nazara Tech with 'Sell' call
In Indian mobile gaming, eSports is niche, at 10% of US$1.2bn sector revenue as of CY20. Nazara Tech, a leader in eSports in India, is targeting tournament intellectual properties (IPs). However, competition is set to intensify led by Jio Games, Dream 11, MPL, and Paytm First Games.
We forecast Nazara’s revenue and Ebitda Cagr to be 35-73% over FY21-24CL, but with these still at Rs8.5-1.7bn/US$117-23m by FY23CL, valuation is expensive at 6x FY23CL EV/sales and 29x EV/Ebitda.
With valuation at a hefty premium of 3x to CLSA’s India coverage and ahead of gaming peers, we initiate with SELL and target price of Rs1,095.
We forecast Nazara’s revenue and Ebitda Cagr to be 35-73% over FY21-24CL, but with these still at Rs8.5-1.7bn/US$117-23m by FY23CL, valuation is expensive at 6x FY23CL EV/sales and 29x EV/Ebitda.
With valuation at a hefty premium of 3x to CLSA’s India coverage and ahead of gaming peers, we initiate with SELL and target price of Rs1,095.
Topics : MARKET LIVE Markets BSE Sensex Nifty50 MARKET WRAP
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First Published: Jun 18 2021 | 8:05 AM IST
