Sensex ends 284 points down, Nifty at 10,154; PSU bank index crack over 3%

All that happened in the markets today.

1:21 PM

UltraTech takes fight for Binani Cement to NCLT after bid rejection

The Aditya Birla group’s UltraTech Cement moved the National Company Law Tribunal (NCLT) in Kolkata on Tuesday against the resolution professional for Binani Cement after its bid for the cement company undergoing insolvency proceedings was rejected. READ MORE

| Photo: Reuters

1:15 PM

Kotak Institutional Equities on Zee Entertainment

 

We interviewed Zee’s MD & CEO on its digital strategy and ZEE5 (new OTT platform). ZEE5 aspires to be a key digital destination for Indian language entertainment, powered with a content library of 100,000 hours and a steady flow of originals (72+ series; 200+ hours/year) and new movies (100+ digital premieres). We believe ZEE5 has what it takes to be a key OTT player and even compete with the leader, Hotstar, on the entertainment side. The extent of success will be determined by its execution and competitive intensity (especially Jio).

1:04 PM

Near-term worries for Maruti stock, even as product demand remains strong

The Maruti Suzuki stock has shed about 12 per cent from its all-time intra-day high of Rs 10,000, recorded in mid-December 2017. That is due to the correction in broader markets and softer demand expectation for the industry, especially in the urban segment. READ MORE

12:50 PM

BSE Sensex: HDFC, Bajaj Auto among top gainers, SBI top loser

12:42 PM

Oracle Financial Services Software
Rating: BUY
 

We upgrade Oracle Financial Services Software (OFSS) to BUY on a 19% upside. The stock’s participation in the broader IT sector rally over the last two months has been restricted by muted 3QFY18 results; it has also under-performed global peers over this period. However, given management’s commentary of a robust deal pipeline + a seasonally stronger period ahead, we find current levels attractive to play to its structural strengths. We also raise our FY19/FY20E EPS by 6.6%/6.8% on superior margin management. Our revised Rs 4,480 target price (Rs 4,020 earlier) is on a 20x implied target PER (unchanged)

(Source: JM Financial Report)

 

12:34 PM

Harrisons Malayalam hits the roof after bulk deal

Harrisons Malayalam was locked in 5% upper circuit at Rs 82.40 at 11:31 IST on BSE after a bulk deal of 13.02 lakh shares was executed on the scrip at Rs 81.05 per share at 09:15 IST on BSE. READ MORE
 

12:24 PM

Stock-split proposal boosts Lumax Auto Tech

Lumax Auto Technologies rose 1.47% to Rs 886 at 09:28 IST on BSE after the company scheduled a board meeting on 23 March 2018 to consider stock-split of equity shares. READ MORE

12:16 PM

Sectoral Trend

12:11 PM

Nifty PSU Bank index hits 19-month low, down 7% in two days

 

Shares of public sector undertaking (PSU) banks continued to be under pressure with the Nifty PSU Bank index hitting 19-month low as investigation deepened in the Punjab National Bank (PNB) fraud case.

 

Canara Bank, Andhra Bank, Allahabad Bank, Bank of India, Oriental Bank of Commerce, Bank of Baroda and Union Bank of India from the Nifty PSU Bank index touched their respective fresh 52-week lows on the NSE today. READ MORE

11:55 AM

Market Check

S&P BSE Sensex	33,120.82		-0.59%
Nifty 50	10,184.30		-0.63%
S&P BSE 200	4,445.71		-0.75%
Nifty 500	8,960.80		-0.87%
S&P BSE Mid-Cap	15,967.13		-1.24%
S&P BSE Small-Cap	17,342.19		-1.76%

11:50 AM

Sector watch: Hotels

 

Leisure industry, primarily represented by large asset owners, has suffered the wrath of a persistent decline in average room rates (ARRs) post the sharp fall triggered by the 2008 financial crisis. However, things have begun to look up in 2017, with a marginal 3% ARR rise in the premium segments that endured the maximum pain. 

 

All this while, sustained pressure on room rates was a function of snowballing supply offsetting the steady rise in occupancy. However, as per data extrapolation on branded room additions over the next 5 years, supply is likely to be capped at 4% yoy in most cities while demand should grow much faster on back of buoyant business & leisure travel and translating into faster ARR growth. Indian Hotels, the largest listed play on the cyclical upswing underway, could engineer a sharp turnaround in profitability over the next one-two years.

 

(Source: IIFL)

11:39 AM

Kotak Institutional Equities on Gail (India)

 

The recent sharp correction in the GAIL stock, 12% over past two months since the news of unbundling, offers an opportunity to BUY as we see limited impact on GAIL’s profitability from separation of gas marketing business from the gas transmission segment. On the contrary, it may lead to value unlocking with the stock trading at a low 11.4X FY2019E business EPS, adjusted for investments—inexpensive in the context of 8-10% sustainable earnings growth and higher adjusted RoEs of 14%.

11:27 AM

TeamLease Services surges 17% as RBI raises FPI investment limit

 

TeamLease Services surged 17% to Rs 2,387 on the BSE in intra-day trade on Wednesday, in an otherwise weak market after the Reserve Bank of India (RBI) raised the investment limit for foreign portfolio investors (FPIs) in the company to 75% on Tuesday.

 

Currently, FPIs hold 24.64% stake in TeamLease Services, one of India’s leading human resource service companies in the organized segment.

 

“The Reserve Bank of India has notified that the Foreign Portfolios Investors (FPIs) investment limit under Portfolio Investment Scheme in TeamLease Services has increased from 24% to 75% of its paid up capital,” the RBI said in a press release. READ MORE

11:16 AM

MUST READ Fear of foreign capital: Why is India turning away bond buyers?

Hoping to jump-start its "Make in India" manufacturing push, India's government has rolled out the welcome mat for foreign investors. It should consider doing the same for global bond buyers. Indian bonds are, at the moment, suffering a full-scale rout. On Monday, yields on benchmark 10-year government debt -- called the “G-sec” rate in India -- continued their slow creep upwards to 7.78 percent. Many expect them to cross eight percent at some point in the next few months. CLICK HERE FOR MORE

11:06 AM

Mega telecom deal between Ambani brothers faces legal hurdle

Billionaire Anil Ambani’s plan to dig his telecom unit out of a debt hole, via an asset sale to his brother’s firm, is facing a fresh hurdle that threatens to delay the deal past a March deadline.
 

A local arbitration tribunal on March 5 barred Reliance Communications, or RCom, from selling assets as the court examines a dispute over unpaid dues with the Indian unit of Ericsson AB. READ MORE

RCom slips nearly 1%