Business Standard

Sensex up 546 pts, ends above 54K; Nifty tops 16,250; financial stocks gain

The broader market, however, saw profit booking as, both, the BSE Mid and SmallCap indices declined 1 per cent each.

Image SI Reporter New Delhi
MARKETS: Sensex up 600 pts; SBI jumps 4%, hits new high post Q1 results

10:41 AM

KR CHOKSEY ON WINDLAS BIOTECH IPO :: Subscribe from long term view

Leadership status in the CDMO industry with long terms relationships allows WBL to have cost leadership through revenue visibility and planning of capex. At the same time, margins are thin due to the highly competitive and fragmented industry. Future prospects for WBL are high given sector’s strong growth potential. Company’s upper price band of INR 480 for the IPO implies a P/E multiple of 22.5 (on recalculated FY21 EPS excluding the exceptional items) which is reasonable compared to industry average of 32.6. While company has not provided peer comparison citing lack of listed peers in the space, we have considered a peer universe of formulations companies comprising a diverse mix of size and scale. and Considering CDMO sector’s growth prospects, WBL’s leadership status in a fragmented industry, potential for margin and revenue improvement through product innovation including injectables foray, we recommend a ‘Subscribe’ from a long term perspective.
10:34 AM

NEWS ALERT :: India July Services PMI climbs to 45.5 vs 41.2 in June

Business Activity Index was in contraction territory for the third month in a row. However, rising from 41.2 in June, the latest reading pointed to a slower rate of reduction. Panel members that reported lower output cited subdued demand conditions amid the COVID-19 crisis
 
 
10:30 AM

HDFC gains 9% in three days on steady performance in June quarter

India’s biggest mortgage lender HDFC on Monday reported a 1.6 per cent year-on-year (YoY) decrease in standalone net profit at Rs 3,001 crore for the April-June quarter of FY22 (Q1FY22) on the back of lower other income and higher tax and employee expenses. In the year-ago period, the profit stood at Rs 3,051 crore. Sequentially, the profit declined 5.6 per cent from Rs 3,180 crore. READ MORE

10:11 AM

SBI m-cap surpasses Rs 4-trillion mark ahead of June quarter results

State Bank India (SBI) joined the elite club of companies with Rs 4-trillion market capitalization (m-cap) on the BSE on Wednesday after its share price hit a new high of Rs 448.45 in the intra-day trade. The stock of the country's largest state-owned lender surpassed its previous high of Rs 444.35, touched on July 30, 2021. READ MORE

State bank of india, SBI

9:55 AM

KR CHOKSEY ON KRSNAA DIAGNOSTICS IPO :: Subscrive with long-term view

Krsnaa Diagnostics has been growing operations and revenues at a much faster pace than the industry. Revenues from operations for FY21 amounted to Rs 396 crore, growing at a CAGR of 54% over last 4 years. Adjusted EBITDA for the year came in at Rs 106 crore (after excluding the gain on fair value movement of CCPS), reflecting a 40% yoy growth on comparable basis. While the company generates two-thirds of its revenues from PPP, receivable days have improved from 96 days in FY18 to 66 days in FY21, reflecting significant reduction in working capital needs. Company intends to utilise a portion of IPO proceeds to retire debt which should improve its bottomline.
 
Company enjoys leadership status in the PPP diagnostics industry, which should help it to leverage rising demand both in PPP segment as well as overall diagnostics market in India. PPP model also helps in achieving costs synergies and revenue visibility, helping it to become cost competitive. 
 
At IPO’s upper price band of INR 954, company is being valued at 77.9x times earnings, in line with the industry average of 96x. Considering differentiated business model, strong growth prospects, cost competitiveness and sector leadership, we recommend a Subscribe with a long term perspective for KDL’s IPO.
9:45 AM

MARKET VIEW | What drove FIIs to D-Street on Tuesday?

Sometimes amateurs beat professionals. This is happening in the Indian stock market now. FIIs, often regarded as representing smart money, have been pushed back by the sheer momentum of retail investors. FIIs who have been consistently selling in July on rational hopes of a correction in the overvalued market have been forced to buy ( Rs 2117 cr in cash market yesterday) on fears of losing out on the momentum. Retail investors and mutual funds flush with funds from NFOs are driving this market without much regard to valuations. Having broken the 15950 Nifty upper band decisively, sheer momentum may take the market higher. With institutional money pouring in, large caps are likely to outperform if the market continues its upward momentum. Leading banking stocks, which have been underperforming in this rally, are likely to catch up.

- Dr V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services
9:41 AM

Godrej Consumer Products falls 2%ahead of Q1 earnings

9:39 AM

Trident locked in 5% upper circuit as firm forays into laundry business

>> The company announced a foray into the laundry business through its 'Tri-Safe' washing powder.
9:36 AM

Results Reaction :: IIFL Wealth Management zooms over 10%, hits new high

>> The company has reported 42 per cent jump in its net profit of Rs 119 crore versus Rs 83 crore and revenue was up 43 per cent of Rs 283 crore versus Rs 199 crore.
9:35 AM

Vodafone Idea slides further, hits fresh 52-week low

>> Vodafone Group Plc ruled out any further equity infusion in its debt-ridden telecom joint venture in India.
9:33 AM

Results Impact :: Tata Consumer sheds 1% as profit declines in Q1

>> Tata Consumer Products reported a decline of 42.05 per cent YoY in consolidated net profit to Rs 200.24 crore for the first quarter ended June 2021. However, its revenue from operations in April-June 2021 jumped 10.85 per cent YoY to Rs 3,008 crore.
9:31 AM

Earnings Impact :: Airtel falls 1% as Q1 profit misses estimates

>> The telecom firm reported a net profit of Rs 283.5 crore, in the first quarter ended June 30 (Q1FY22). This was much lower than consensus estimates which had pegged the same at Rs 604 crore. The company had reported a loss of Rs 15,933 crore in the year ago quarter on account of one-time provision for dues related to adjusted gross revenues.
9:29 AM

Tata Steel rises 2% as S&P upgrades long-term issuer rating

Global rating agency S&P has upgraded the company’s long-term rating to BB from BB-; outlook remains stable.
 
9:26 AM

BSE Smallcap index scales fresh peak

9:25 AM

BSE Midcap index vaults to new high

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First Published: Aug 04 2021 | 8:08 AM IST