F&O expiry: Nifty ends at 10,589, PSU banks fall; rupee hits record low

Among sectoral indices, the Nifty PSU Bank index ended nearly 2% lower led by a fall in the shares of Punjab National Bank, Bank of India and Syndicate Bank.

1:50 PM

Lupin rises 2% on partnership with Mylan for Enbrel Biosimilar

Shares of Lupin were up 2% at Rs 910 per share on the BSE in noon deal after the company said it has partnered with Mylan to commercialize Enbrel (Etanercept) biosimilar.
 

Under the terms of the agreement, Lupin will receive an up-front payment of $15 million and potential commercial milestones together with an equal share in net profits of the product. READ MORE

1:40 PM

US-China trade war drives investors to pull $5 bn from equity funds: ICI

US-China trade tensions drove investors to pull $5.16 billion from equity exchange-traded funds and mutual funds in favour of bonds for the week ended June 20, the Investment Company Institute said on Wednesday.

 

Cash outflows from equities were led by domestic long-term mutual funds, which ceded $3.11 billion after $1.15 billion the prior week. Equity ETFs had negative net outflows of $3.59 billion, seven days after reporting $7.54 billion of inflows. READ MORE

1:23 PM

Reliance Securities on Aurobindo Pharma

Aurobindo Pharma's US biz likely to clock 11% CAGR over FY18-20E led by new launches and ramp-up in injectable portfolio. With double-digit margin in European business, we expect further improvement in margin led by transfer of products from Europe to Indian units for manufacturing (transferred 83 products out of planned 112).

 

Led by strong US product pipeline (117 ANDAs pending for approvals), comfortable leverage position, healthy return ratios (RoE/RoCE seen at 17%/19% by FY20E) and attractive valuation (>20% discount to its peers),  we maintain our fundamental BUY recommendation on the stock with target price of Rs 712

1:16 PM

India seeks bids from consultants for state insurance firms' merger

Three Indian state-owned non-life insurance companies, which the government plans to merge into a single company, sought interest on Thursday from consultants to advice them on the deal, according to a public notice. READ MORE

1:00 PM

BSE Smallcap index hits 9-month low; 111 stocks tank over 50% in CY18

Shares of smallcap companies continues to be under pressure with the S&P BSE Smallcap index hitting nine-month low, down for the fourth straight trading day on the BSE on Thursday. READ MORE

12:54 PM

Kotak Securities on Mahagar Gas (MGL)

We believe there exists a meaningful growth potential for MGL due to anticipated growth in the number of CNG operated vehicles considering cost effectiveness of CNG as a fuel, potential growth in the number of households in the areas of operation and gas supply to consumers in the Raigad district.

We expect an EPS of Rs.51.6 for FY19E and an EPS of Rs.53.5 for FY20E (earlier Rs. 53.2). Based on our estimates, at CMP is trading at 7.7x EV/EBIDTA and 15.5x P/E on FY20E earnings. We maintain BUY on MGL with an unchanged DCF based price target of Rs.948

12:32 PM

Sugar export norms relaxed: 1 milllion tonnes outflow likely by September

The Centre issued a notification on Tuesday relaxing sugar exports norms. Sugar exports was subject to a subsidy of Rs 55 per tonne of sugar cane payable to cane farmers. However, in the earlier notification, the ministry of consumer affairs had linked the compliance of all past conditions by mills to avail subsidy on exports. READ MORE

12:17 PM

Hiring to drive Info Edge stock performance; realty vertical to aid growth

The Info Edge stock has been under pressure due to stress on its classified jobs vertical, Naukri, which accounts for 70 per cent of the company’s revenue. The stock has lost 13 per cent since the beginning of the year.

Revenue from the recruitment segment in the March quarter was up only 3.6 per cent on a sequential basis (12 per cent over a year). The segment level margins fell 243-413 basis points (bps) to 51.8 per cent on a sequential and on year-on-year (y-o-y) basis. READ MORE

12:04 PM

BofA's market outlook

An improvement in the NIFTY’s breadth would require not just absolute earnings growth, but also earnings beats. These seem unlikely in the near term due to elevated expectations (MSCI India FY19 EPS currently forecast to grow 25% YoY). India is relatively devoid of domestic catalysts now, though uncertainties around elections in 2019 are likely to increase through the year. combination of external shocks (accelerating foreign selling), volatile domestic inflows and strong issuance can drive downside. December 2018 Sensex fair value of 32,000. Stay Cautious

Bank of America

12:00 PM

Market at Noon

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	35,135.76	-81.35	-0.23
S&P BSE SENSEX 50	11,146.05	-35.82	-0.32
S&P BSE SENSEX Next 50	31,680.88	-129.55	-0.41
S&P BSE 100	10,909.24	-36.50	-0.33
S&P BSE Bharat 22 Index	3,274.50	-6.77	-0.21

(Source: BSE)

11:52 AM

F&O WATCH Open interest gainers

COMPANY	LAST PRICE()	OPEN INTEREST	PREVIOUS OPEN INTEREST	CHG(%)	CONTRACTS	PREVIOUS CONTRACTS
EQUITAS HOLDINGS	136.90	13545600	9180800	47.54	1720	2669
SHREE CEMENT	15948.75	52500	41450	26.66	409	789
NATL. ALUMINIUM	62.90	29464000	23672000	24.47	2920	4624
M & M	911.75	8053000	6538000	23.17	4425	7472
SHRIRAM TRANS.	1324.00	1152600	953400	20.89	1931	4894

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11:50 AM

GLOBAL MARKETS

INDEX	DATE	LATEST	PREV CLOSE	CHG(PTS)	CHG(%)
MERVAL	28-06-2018	25921.08	28473.48	-2552.40	-8.96
HANG SENG	27-06-2018	28356.26	28881.40	-525.14	-1.82
NASDAQ	28-06-2018	7445.09	7561.63	-116.54	-1.54
NASDAQ 100	28-06-2018	6969.68	7068.20	-98.52	-1.39
BOVESPA	28-06-2018	70609.00	71404.59	-795.59	-1.11
SHANGHAI COMPOSITE	27-06-2018	2813.18	2844.51	-31.33	-1.10
S&P 500	28-06-2018	2699.63	2723.06	-23.43	-0.86

11:47 AM

Prabhudas Lilladher on Cyient

We estimate a gradual margin expansion over FY18-FY20E led by improvement in profitability of DLM business. We expect 15.5% earnings CAGR over FY18-FY20E. Stock trades at 15.5x FY20E EPS (L&T Technology Services trades at 22x FY20E EPS). Peer L&T Technologies trades at substantial premium to Cyient owing to larger vertical footprint and diversified portfolio in Engineering Design Services. We value Cyient at 18x FY20E EPS which yields a target price of Rs 880/share.  Resume coverage with "BUY"

11:46 AM

Prabhudas Lilladher on oil & gas sector

Indian oil PSUs have underperformed broader index for the last one year though the core operating performance has been strong. We view this underperformance from the general investor perception as whenever there has been an increase in global crude prices in the past, the Indian governments then have absorbed the increased cost as subsidies as well as under recoveries impacting the profit potential of both upstream and downstream companies.

We beleive recent correction offers attractive entry points. IOCL, BPCL remain our preferred picks. ONGC will also benefit from the volume growth due to new gas production coming on stream. 

11:44 AM

ICICI Bank extends fall; stock down 11% in four days

Shares of ICICI Bank have dipped nearly 4% to Rs 268 in intra-day trade, extending its 7% decline in past three trading sessions on the BSE. The private sector lender’s market capitalisation has eroded by Rs 209-billion in four trading sessions, after the bank said another whistle-blower had accused it of having lax controls over operation READ MORE