MARKETS ON MONDAY: Sensex ends 286 pts higher, Nifty reclaims 10,200

All that happened in the markets today

1:03 PM

Nifty price-to-earnings down 10%, still above long-term average

The benchmark Nifty index currently trades at 16.8 times its 12-month forward earnings estimate. At January-end, when the index had climbed to a record high, the 50-share blue-chip index traded at a price-to-earnings (P/E) multiple of 18.6 times.

 

The 10-year average P/E for the Nifty index is 15 times — nearly 14 per cent below the current level. Analysts say current market levels are close to their ‘fair-value’ and if the correction extends by another 5 to 10 per cent, valuations become ‘attractive’. READ MORE

12:45 PM

Can Fin Homes falls 9% after Canara Bank calls off divestment plan

Shares of Can Fin Homes have dipped 9% to Rs 441 per share, extending its 7% fall in past two trading sessions on the BSE after the Canara Bank, the promoter of the company called off move to divest its entire shareholding in housing finance subsidiary after receiving lower than expected price quotation. READ MORE

12:31 PM

Karda Constructions makes weak debut; lists 24% below issue price

Karda Constructions (KCL) has made a weak debut on the bourses by listing at Rs 136, 24% lower against its issue price of Rs 180 per share on the National Stock Exchange (NSE) and the BSE. The stock hit a low of Rs 129 on the NSE after its listing. READ MORE

12:16 PM

Kwality down for third straight day; plunges 34% in three days

Shares of Kwality were down for the third straight trading day, falling 10% at Rs 54.35 per share, also its fresh 32-month low on the BSE on back of heavy volumes. In past three sessions, the stock of packaged foods company has plunged 34% from Rs 82.15 on Monday, March 26, 2018. READ MORE

12:02 PM

Markets at noon

 

S&P BSE Sensex	33,139.41		0.52%
Nifty 50	10,165.40		0.51%
S&P BSE 200	4,458.15		0.58%
Nifty 500	8,971.00		0.66%
S&P BSE Mid-Cap	16,055.38		0.58%
S&P BSE Small-Cap	17,270.49		1.62%

11:47 AM

Titan helps Rakesh Jhunjhunwala beat markets in the March quarter

 

A 10 per cent rise in the stocks of Titan Company during January – March 2018 (Q4FY18) helped Rakesh Jhunjhunwala outperform the market in March quarter, as his net worth declined less than 1 per cent compared to three per cent fall recorded by the S&P BSE Sensex.

 

As on March 28, 2018, the combined net worth of Rakesh Jhunjhunwala and his family stood at Rs 130.21 billion, down 0.8 per cent or Rs 1.09 billion, as compared to Rs 131.30 billion at the end of December 31, 2017. READ MORE

11:30 AM

Sandhar Techno makes decent debut; lists 4% higher from issue price

 

Sandhar Technologies has made a decent debut by listing at Rs 346, 4% higher against its issue price of Rs 332 per share on the National Stock Exchange (NSE). The stock opened at Rs 345 on the BSE.

 

The Rs 5,125 million initial public offer (IPO) of auto component maker Sandhar Technologies was subscribed 6.19 times. The IPO received bids for 67 million shares against the total issue size of 10.87 million shares, data available with the stock exchanges show. READ MORE

11:23 AM

Stocks near 52-week high

COMPANY	LATEST	52 WK HIGH	PREV HIGH	PREV DATE	VOLUME
BRITANNIA INDS.	5043.00	5057.25	4971.45	27-FEB-2018	1152
HEXAWARE TECH.	391.70	394.60	375.35	24-JAN-2018	35537
INDUSIND BANK	1802.30	1818.00	1795.60	12-SEP-2017	31603
THOMAS COOK (I)	288.95	291.85	282.80	15-MAR-2018	173310
CYIENT	686.75	698.00	688.80	28-MAR-2018	4695

11:21 AM

MARKET COMMENT Jimeet Modi, CEO & Founder of Samco Securities

Market is undergoing through a state of rapid iteration with capital shifting from fundamentally weak businesses to stronger ones, particularly those companies that are catering to India-focused markets. Export-oriented businesses are expected to take a hit going forward in the new world order.

Currently domestic factors have taken a back seat, but beginning new financial year, when results are rolled out, the market will take important clues after assessing the corporate scorecard till that time market is expect to remain subdued to range bound. Selective investments in only bluest of the blue stocks can be done at these levels from long-term perspective

11:18 AM

MARKET COMMENT Lakshmi Iyer, CIO- Debt & Head of Products, Kotak Mutual Fund

The upcoming MPC meeting holds significance in terms of the guidance the RBI has to offer. General market view is that of an extended pause. Market would also want to see the MPCs reaction to the recent axe in government borrowing program and its view on the fisc thereof. Lastly, though our view is that of status quo, it would be interesting to see the MPCs accompanying stance in the light of moderation in CPI domestically and its reaction to the recent global developments

11:16 AM

Where to invest in FY19? Experts suggest banking, oil & gas, capital goods

 

The financial year 2017-18 (FY18) ended with S&P BSE Sensex index rising 12%, compared with a 16% rally in the previous year. On the other hand, the Nifty50 index gained 11% in FY18, as against 18% in the previous corresponding period.

 

As the new financial year 2018-19 (FY19) kicks off today, most analysts expect the markets to remain choppy over the next one year. Upcoming state elections, oil prices, monetary policy of global central banks, geopolitical situation and the fear of an escalation in global trade war are some of the key concerns that can the markets volatile over the next 12 months, experts say. READ MORE

Photo: Shutterstock

11:15 AM

Motilal Oswal Research on Shree Cement

Shree Cement is likely to deliver EBITDA CAGR of 29% over FY18-20, led by healthy volume growth (driven by rapid capacity addition) and pricing improvement (driven by higher realisations in the underlying markets in the north). We, thus, value the stock at 15.5x FY20E EV/EBITDA to arrive at a target price of Rs 18,867. Maintain Buy.

(Source: MOSL report)

11:14 AM

MUST READ Churn in constituents to have negligible impact on Nifty's fundamentals

Grasim Industries, Titan, and Bajaj Finserv will enter the Nifty50 index from April 2, replacing Ambuja Cement, Aurobindo Pharma, and Bosch. Following the rejig, weight of the consumer discretionary sector on the index will increase by 82 basis points (bps), while that of non-banking finance companies (NBFCs) will go up by 61 bps and cement by 60 bps, analysts said.

On the other hand, the exits will lead to a fall of 55 bps, 47 bps and 34 bps, respectively, in the weight of auto, pharma and private banks. The number of financials will increase to 11 and their weight will increase to 36.6 per cent from 36.4 per cent. READ MORE HERE

11:02 AM

Market Check

 

S&P BSE Sensex	33,043.05		0.23%
Nifty 50	10,142.60		0.29%
S&P BSE 200	4,447.54		0.34%
Nifty 500	8,955.95		0.49%
S&P BSE Mid-Cap	16,024.54		0.39%
S&P BSE Small-Cap	17,226.25		1.36%

10:59 AM

COMMENT Will F2018 revised deficit target be met?

To meet the revised fiscal deficit target of 3.5% of GDP, expenditure growth would have to decline by 5.5% YoY alongside receipts growth of 14% for the month of March, by our estimates. We note that receipts growth could surprise on the upside considering the strong growth momentum and very favourable base effects, and hence the resulting required decline in expenditure could be smaller than indicated.

From a broader perspective, we expect the government to manage the expenditure growth so that it will be able to achieve the fiscal deficit target. Moreover, considering that the government is only to borrow 48% of its overall borrowing in the first half of the fiscal year, it does indicate that expenditure growth could be somewhat constrained in the coming months. The impact on GDP growth should, however, be offset by stronger private sector demand, which has remained robust in early 2018.

(Source: Morgan Stanley report)