MARKET WRAP: Sensex settles 39 pts higher; IT, pharma stocks decline

Sectorally, public sector banks gained the most, with the index closing 1.5 per cent higher. This was followed by Nifty auto index, up 1.15 per cent.

12:21 PM

YES Bank raises Rs 1930 cr through qualified institutional placement route

YES Bank said on Friday it has raised Rs 1,930 crore through the qualified institutional placement (QIP) route which opened on August 8 and closed on August 14. The bank allotted 23.1 crore equity shares of face value of Rs 2 each to eligible qualified institutional buyers (QIBs) at Rs 83.55 per equity share in accordance with the pricing formula provided under Regulation 176(1) of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations 2018. READ MORE

12:18 PM

NEWS ALERT | KNR Constructions enters into a share purchase agreement for sale of SPV worth Rs 96 cr: BSE filing

12:17 PM

Weakness in Mumbai luxury real estate to continue in FY2020: ICRA

The unsold inventory in most of the markets in Mumbai is high at present and it stands around 52-54% (of launched areas) across all the micro markets. Central Mumbai contributes to 32% of total unsold inventory in Mumbai city; however, in terms of value of inventory, the share is much higher at around 55% and more than 70% of it is from tier-I developers. ICRA estimates that the value of unsold inventory in central Mumbai is at Rs 45,000 crore as on June 2019. Considering the high value of inventory in the micro market, its underperformance has severely impacted the real estate sector in Mumbai.

 

Demonetisation in November 2016, RERA implementation starting from May 2017, GST implementation starting from July 2017 followed by various changes in GST rates had been the key developments which have impacted the market over the last few years. In the near term, the trends of deferred buying and back-ended payments from customers in the luxury segment are likely to prevail.

12:16 PM

Amara Raja Batteries slips 1%

12:08 PM

Market recovers

11:56 AM

NEWS ALERT | Govt may ask banks to consider relaxing dealer credit repayment threshold for auto dealers: sources to BTVi

-- Govt may announce refinance window for auto NBFCs to spur growth

 

-- Fin Min asked to compile report on equity market correction, flight of capital

11:55 AM

YES Bank extends gain

11:48 AM

Stock of the week :: Kotak Securities

Vedanta

 

Price: Rs 142 
 

Target: Rs 200 
 

Potential Upside: 40.8%

We cut EBITDA estimates for FY20-21E by 5-6% mainly led by a stronger INR forecast and 4% lower LME aluminum prices. High parent debt should keep dividend payout high and we estimate a +10% dividend yield at CMP. We cut our fair value to Rs. 200 (Rs. 225 earlier) on lower earnings at 5.4X attributable EV/EBITDA FY2021E versus stock at 4.7X and maintain BUY 

 

11:44 AM

Indiabulls Housing Finance crashes 10% on Moody's rating downgrade

Shares of Indiabulls Housing Finance (IBH) slumped 10 per cent to Rs 498 on the BSE in Friday's early morning trade after global rating agency Moody's downgraded the mortgage lender's long-term corporate family rating to Ba2 from Ba1, while changing its outlook to negative from stable. The 'negative' outlook generally means the ratings won’t improve in the next 12-18 months. The ‘Ba’ rating, as per Moody’s rating scale, is “judged to be speculative, subject to substantial credit risk.” READ MORE

11:37 AM

Glenmark Pharma slips over 5%

11:32 AM

SBI Life extends rally on strong June quarter earnings

Shares of SBI Life Insurance Company were trading 3 per cent higher at Rs 838 per share on the BSE on Friday, extending a 5 per cent rally seen on Wednesday, in an otherwise weak market on expectations of strong growth outlook. The stock was trading at its highest level since it got listed at the exchanges on October 3, 2017. During the past six months, it has rallied 48 per cent, as compared to a 5 per cent rise in the S&P BSE Sensex. READ MORE

11:31 AM

ICICI Securities on NBCC

While NBCC enjoys a unique business model and strong orderbook, delay in commencement of its redevelopment projects has impacted execution meaningfully. Hence, we cut our estimates sharply and now expect consolidated revenues and PAT to grow at a CAGR of 11.2% and 9.0% to Rs 12,290.4 crore and Rs 445.8 crore, respectively, in FY19-21E. Hence, we downgrade the stock to HOLD despite the attractive valuation (14x FY21E EPS) with a target price of Rs 40/share (16x FY21E EPS).

11:27 AM

Edelweiss Securities on Century Plyboards

Though we recognise challenging conditions are weighing on the home decor industry, we maintain ‘BUY’ on Century Plyboards (CPBI) given the large unorganised market in plywood and potential strong growth in the MDF segment. We estimate CPBI would clock robust EPS CAGR of 35% over FY19–21E and 22% RoCE by FY21E. Maintain ‘BUY’ with a TP of Rs 214 based on 20x September 2021E EPS. The stock is trading at an attractive 14.3x FY20E and 10.8x FY21E EPS.

 

11:21 AM

HEG dips 8% after profit falls 69% YoY in June quarter

Global slowdown in steel demand coupled with increased steel exports from China is expected to impact demand of electrodes. China is expected to have graphite electrode capacity totaling 1.5 million tonnes by 2020, up 66.7 per cent from 0.9 million tonnes in 2017 to support newly installed EAF capacities. READ MORE

11:12 AM

Hero MotoCorp shuts plants from Aug 15-18, says market situation to blame

India's largest two-wheeler maker, Hero MotoCorp has decided to close its manufacturing facilities for three days. The reasons stated are annual holiday and due to the prevailing market condition. After car makers announced plant closures for a few days, Hero will be the first two-wheeler maker to officially announce a temporary stop in production.

 

The company stated that production planning is a matter of advance monitoring of market dynamics and prudent demand forecasting. This helps us to plan our production well in advance, thereby enabling us to stay flexible, both in terms of volumes and production schedules, it said. READ MORE