MARKET WRAP: Sensex halts 4-day gaining streak, slips 164 pts; realty falls

All that happened in markets today

1:36 PM

Nifty sectoral indices at this hour

1:24 PM

BROKERAGE RADAR | Prabhudas Lilladher on NMDC

Rating: REDUCE | CMP: Rs116 | TP: Rs 105

In the backdrop of weak outlook on domestic prices, we maintain Reduce with TP of Rs 105, EV/EBITDA of 4.5x FY21E. Continuous share supply due to inclusion in CPSE ETF and OFSs would further add to underperformance in stock.

1:20 PM

BROKERAGE RADAR | Axis Securities on Dixon Technologies

Dixon is expanding capacities across segments based on strong order book from existing and new customers. Higher capacity utilization, new customer additions

and increased product offerings are expected to drive revenue and profit growth going forward. Maintain a BUY rating with rolled over TP of Rs 5,116 (33x FY22E

EPS of Rs 155). Given the sharp run-up in the price of the stock in the recent past, we would advise to buy in staggered manner.

1:18 PM

BROKERAGE RADAR | Axis Securities on CCL Products

We remain positive on CCLPs strong business moat, market leadership in Instant Coffee production/exports and foray into branded retail business. Factoring in the higher than expected utilization levels at its plants and increasing share of value added products (small packs, FDC) we revise our FY20 estimates upwards by 3% and roll over to FY22 with Revenue/EBITDA/PAT CAGR of 14.5%/21%/22% over FY19-22E leading to an upward revision in TP at Rs 293 (earlier Rs. 254) valuing it at 17x P/E on FY22E EPS. Retain ‘BUY’.

1:16 PM

RESULTS CORNER:: Emami Q3FY20 consolidated net profit up 4.8% at Rs 144.4 crore

-- Revenue up 0.2% at Rs 812.6 crore
 

-- Ebitda up 0.2% at Rs 264 crore
 

-- Ebitda margin unchanged at 32.5%

1:10 PM

SKF India tumbles 7% on disappointing December quarter results

Shares of SKF India slipped 7 per cent to Rs 2,030 on the BSE on Friday, after the company’s profit before tax (PBT) nearly halved at Rs 72.7 crore in December 2019 quarter (Q3FY20), due to lower operational income. It had reported PBT of Rs 142 crore in the same quarter a year ago. SKF India is a leading technology and solutions provider of bearings, seals, lubrication systems and services. READ MORE

1:02 PM

BROKERAGE RADAR :: Reliance Securities on Aditya Birla Fashion & Retail

Aditya Birla Fashion Retail Ltd. (ABFRL) has reported broadly an in-line performance in 3QFY20. Strong improvement in operating performance of Pantaloons segment was partly offset by lower-than-expected EBITDA margin in lifestyle brands. Total revenue growth was in-line with our estimate with a robust 15% YoY LTL growth in Retail channel (EBOs). Implementation of 12-season model in Lifestyle segment resulted in one-time inventory correction in trade channels, leading

to lower primary sales during the quarter. We maintain our BUY recommendation on the stock with a revised Target Price of Rs290 (from Rs260 earlier).

12:55 PM

BROKERAGE RADAR :: HDFC Securities on Alkyl Amines

We remain constructive on AACL owing to healthy product demand from the Pharma/Agro industries, impending capacity expansion for multiple products and rising market share in Methyl Amines. Owing to better (1) Margin profile (EBITDA margin of 22-25% in FY20-22E vs ~19% for Balaji amines), (2) Return ratio (RoE of 38.5/29.8/25.4 in FY20/21/22E  vs 16.1/15.1/13.5% for Balaji amines), we ascribe a valuation multiple of 22x Dec-21 EPS to Alkyl amines as against 13x for Balaji Amines.

12:51 PM

MARKET UPDATE:: Sensex off lows

12:45 PM

BROKERAGE RADAR :: HDFC Securities on DLF

With slow movement on inventory of Rs 48bn in the luxury projects of DLF Phase V, the company is recalibrating its go-to market with conversion of plotted land-bank to low-rise independent floor development with Rs 1.5-3mn ticket size. This shall enable the company to bridge the gap in sales. Though the net debt is expected to remain in the same range as of 4QFY20, through accelerated monetization of inventory coupled with monetization of its land bank and land entitlements, the company plans to reduce net debt to ~Rs 20bn. We maintain BUY. Key risks (1) Further delays in monetization of luxury segment inventory (2) Inability to fully utilize mark-to-market potential from rental assets.

12:39 PM

BROKERAGE RADAR | Edelweiss Securities on Indraprastha Gas

Indraprastha Gas (IGL) is a steady growth story with robust volume growth outlook and high exposure to priority sectors (access to cheaper APM gas). We estimate EPS CAGR of 32% with robust RoE of >27% over FY19–22. We maintain ‘BUY/SO’ with revised target price of Rs 628, implying valuation at 23.2x FY21E PER (in line with five years’ average).

12:33 PM

Credit Suisse CEO Thiam resigns following uproar over a spying scandal

Credit Suisse said on Friday it had accepted Chief Executive Tidjane Thiam's resignation following a spying scandal. The Zurich-based bank said he would be replaced by Thomas Gottstein, the head of the bank's Swiss business. Credit Suisse's board also said Chairman Urs Rohner had backing to complete his term that runs until April 2021. READ MORE

12:28 PM

NEWS ALERT | Should receive Cabinet nod for Scrappage Policy in 15 days: Nitin Gadkari via Agencies

12:16 PM

MARKET UPDATE:: Sensex extends losses

12:16 PM

Emami sells cement biz to Nirma. What it means for the stock and sector?

"While the transaction is positive for the Group, its prospects aren't very promising in the near future... It's market share isn't growing, just like peer firms such as Marico or Dabur. Therefore, I wouldn't advise investors to buy Emami at this point in time as there is no growth visible in the near future," AK Prabhakar, head of research at IDBI Capital says. READ MORE