Weak global cues, high Brent crude cap gains on D-St; Sensex ends 36 pts up
Trends among sectoral indices remained muted with the Nifty PSU Bank, Metal, and IT indices ending up to 1.5 per cent higher on the NSE.
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9:19 AM
Sensex Heatmap :: ONGC, M&M top gainers; Bajaj Auto underperforms
9:18 AM
Opening Bell
9:17 AM
Opening Bell
9:11 AM
Just Dial in focus :: Co signs advertising agreement with Star India for Indian Premier League
9:09 AM
Top gainers and losers on S&P BSE Sensex at Pre-open
9:07 AM
Markets at Pre-open
9:02 AM
Stocks to watch: Aarti Drugs, Adani Ports, PVR, IndiGrid, Just Dial
Aarti Drugs: Aarti Specialty Chemicals (ASCL), a wholly-owned subsidiary of the company, gets an approval accorded under the Production Linked Incentive (PLI) Scheme for the pharma sector.
Adani Ports: The company will issue up to 1 crore equity shares of face value of Rs 2 each to Windy Lakeside Investments on a preferential basis. The allottment will be done at a price of Rs 800 per share, which is a 6.7 per cent premium to Friday's closing price. READ MORE
9:00 AM
BROKERAGE VIEW :: HDFC Securities on Butterfly Gandhimathi Appliances
CMP: Rs 581.6 | Reco: Buy at LTP and add on dips to Rs. 522-524 band | Base case TP: Rs 626 | Bull case TP: Rs 686
>> Strong presence of the company in all segments of domestic appliances industry including LPG stoves, Mixer Grinders, Cookers and Table Top Wet Grinders, planned new launches and expanded network of dealers will help the company to consolidate its recent gains further and grow ahead of the Industry in the coming years.
>> We believe rising disposable income (although remains weak in near term), increasing urbanization, number of nuclear households, rise in female working population coupled with increasing consumer preference towards branded products is likely to drive company’s growth going ahead. The healthy growth in the company in FY21 was on the back of WFH related stocking up at home and preference for home cooked food which added demand for household kitchen appliances.
>> Disruption in the operations of local/regional players which were more dependent on imports also helped in achieving such strong topline. Demand in first two quarters of the next fiscal would throw more light on the company’s increase share in the overall household appliances market. The company has shown consistent improvement in its operational and financial parameters. Sharpening focus on branded sales is envisaged to enhance the company’s margin and return ratios, leading to a re-rating given the valuations enjoyed by its peers (some of whom have been left behind by Butterfly in terms of absolute sales and/or growth rates).
>> Sustained improvement in revenue growth and management’s ability to steer the company on such higher margins (in 9MFY2021) along with lower working capital requirement would remain key monitorables. We think the fair value of the stock is Rs.626 (21xFY23E EPS) and the bull case fair value is Rs 686 (23xFY23E EPS) over the next two quarters. Investors can buy the stock at LTP and add on dips to Rs.522-524 (17.5xFY23E EPS). At the LTP of Rs 581.6 it quotes at 19.5xFY23E EPS.
>> Strong presence of the company in all segments of domestic appliances industry including LPG stoves, Mixer Grinders, Cookers and Table Top Wet Grinders, planned new launches and expanded network of dealers will help the company to consolidate its recent gains further and grow ahead of the Industry in the coming years.
>> We believe rising disposable income (although remains weak in near term), increasing urbanization, number of nuclear households, rise in female working population coupled with increasing consumer preference towards branded products is likely to drive company’s growth going ahead. The healthy growth in the company in FY21 was on the back of WFH related stocking up at home and preference for home cooked food which added demand for household kitchen appliances.
>> Disruption in the operations of local/regional players which were more dependent on imports also helped in achieving such strong topline. Demand in first two quarters of the next fiscal would throw more light on the company’s increase share in the overall household appliances market. The company has shown consistent improvement in its operational and financial parameters. Sharpening focus on branded sales is envisaged to enhance the company’s margin and return ratios, leading to a re-rating given the valuations enjoyed by its peers (some of whom have been left behind by Butterfly in terms of absolute sales and/or growth rates).
>> Sustained improvement in revenue growth and management’s ability to steer the company on such higher margins (in 9MFY2021) along with lower working capital requirement would remain key monitorables. We think the fair value of the stock is Rs.626 (21xFY23E EPS) and the bull case fair value is Rs 686 (23xFY23E EPS) over the next two quarters. Investors can buy the stock at LTP and add on dips to Rs.522-524 (17.5xFY23E EPS). At the LTP of Rs 581.6 it quotes at 19.5xFY23E EPS.
8:55 AM
BROKERAGE VIEW :: MOFSL on IEX
CMP: Rs 307 | TP: Rs 355 (+16%) | Reco: Buy
>> The launch of new products has provided a fillip with TAM+RTM now contributing 20% of IEX’s volumes (v/s less than 10% in FY20). Volume momentum in the first two months of 4QFY21 has been strong at IEX, with over 45% YoY growth. RTM continues to perform well with volumes in Jan’21 crossing 1.2BU (the highest ever monthly volume for the product).
>> Long-term potential for IEX remains huge, given the nascent market share for exchanges in India’s Power generation. With newer product launches, a continued oversupplied market, and IEX’s competitive positioning, we expect volume/PAT to increase at 17%/20% CAGR over FY21-23E and build in higher RTM volumes. Given the strong growth and high return profile (RoEs of ~45-50%), we Maintain Buy and raise our multiple to 36x FY23E EPS (v/s 32x earlier) with a target price of Rs 355 per share.
>> The launch of new products has provided a fillip with TAM+RTM now contributing 20% of IEX’s volumes (v/s less than 10% in FY20). Volume momentum in the first two months of 4QFY21 has been strong at IEX, with over 45% YoY growth. RTM continues to perform well with volumes in Jan’21 crossing 1.2BU (the highest ever monthly volume for the product).
>> Long-term potential for IEX remains huge, given the nascent market share for exchanges in India’s Power generation. With newer product launches, a continued oversupplied market, and IEX’s competitive positioning, we expect volume/PAT to increase at 17%/20% CAGR over FY21-23E and build in higher RTM volumes. Given the strong growth and high return profile (RoEs of ~45-50%), we Maintain Buy and raise our multiple to 36x FY23E EPS (v/s 32x earlier) with a target price of Rs 355 per share.
8:50 AM
Two stocks that Vaishali Parekh of Prabhudas Lilladher is bullish on
BUY MARUTI SUZUKI | CMP: Rs 7,249 | TARGET: Rs 8,200-8,400 | STOP LOSS: Rs 6,800
The stock has witnessed a decent correction recently and has taken support near 6,800 levels -- which is an important base -- and also the 200-DMA level lies in that zone. The stock has indicated a trend reversal from that levels and has improved the bias to signal further upside in the coming days. The RSI also has reversed from the oversold zone and has signaled a 'buy'. We suggest to buy and accumulate the stock for an upside target of 8,200-8,400 levels keeping the stop loss near 6,800. READ MORE
8:44 AM
FII/FPI & DII trading activity on NSE, BSE and MSEI
8:42 AM
Rupee check
Source: Bloomberg
8:40 AM
Brent jumps past $70 for first time
>> Brent crude futures surged above $70 a barrel on Monday for the first time since the Covid-19 pandemic began, while US crude touched its highest in more than two years, following reports of attacks on Saudi Arabian facilities.
>> Brent crude futures for May hit $71.38 a barrel in early Asian trade, the highest since Jan. 8, 2020, and were at $71.11 a barrel, up $1.75, or 2.5%.
>> Brent crude futures for May hit $71.38 a barrel in early Asian trade, the highest since Jan. 8, 2020, and were at $71.11 a barrel, up $1.75, or 2.5%.
>> US West Texas Intermediate (WTI) crude for April rose $1.60, or 2.4%, to $67.69. The front-month WTI price touched $67.98 a barrel earlier, the highest since October 2018.
(Source: Reuters)
(Source: Reuters)
Topics : Joe Biden MARKET WRAP Markets Sensex Nifty50 Adani Power PVR BSE NSE SGX Nifty S&P 500 Dalal Street Wall Street stock market
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First Published: Mar 08 2021 | 7:53 AM IST
