MARKET WRAP: Sensex settles over 37,600 ahead of RBI rate meet; RIL up 3%

Among sectoral indices, the Nifty IT index ended over 1% higher led by a rise in Tech Mahindra and MindTree.

1:59 PM

Market Check

INDEX	LATEST	PREVIOUS	CHANGE	CHANGE(%)
	37408.12	37494.40	-86.28	-0.23
	15244.64	15264.35	-19.71	-0.13
	15984.76	15961.10	23.66	0.15
	16546.26	16540.44	5.82	0.04
	4383.48	4391.48	-8.00	-0.18

1:47 PM

Shree Cement Q1 profit falls 37%: Why analysts remain positive on the stock

After a significant improvement in profitability reported by ACC and Ambuja Cements, and with UltraTech maintaining the metric despite weak realisations and cost pressures, Shree Cement’s reported numbers — below expectations — initially stumped the Street. READ MORE

1:30 PM

Vedanta Chairman Anil Agarwal offers $1 billion to take miner private

Vedanta Resources Plc Chairman Anil Agarwal's family trust on Tuesday offered about $1 billion in cash to take the London-listed miner private. Volcan, which currently holds about 67 percent of Vedanta, offered $10.89 or 825 pence per share to buy the rest of the stake. READ MORE

1:17 PM

RIL becomes India's most valued firm again; surpasses TCS in market cap

Reliance Industries on Tuesday regained the status of the country's most valued firm in terms of market valuation, surging past information technology (IT) giant Tata Consultancy Services (TCS) in intra-day trade.
 

At 01:02 PM; RIL market capitalisation (m-cap) stood at Rs 7.48 trillion, more than TCS' of Rs 7.40-trillion valuation, as per BSE data. READ MORE

12:59 PM

Have a cryptocurrency company? Bermuda, Malta and Gibraltar want you

Hedge funds go to the Cayman Islands to incorporate. Big companies are generally domiciled in Delaware. And online poker companies often set up their bases in Gibraltar and Malta. READ MORE

12:50 PM

Edelweiss on Godrej Consumer Products (GCPL) 

 

Going ahead, we believe the building blocks are in place in terms of innovation and the launch pipeline (refer note: Well-fortified to scale the growth curve), which will bolster positioning and spur market share gains. All in all, we are raising the target multiple to 50x (from 45x) that yields a revised target price of Rs 1,540 (earlier Rs 1,435). Maintain ‘BUY’.

12:48 PM

Prabhudas Lilladher on L&T

L&T delivered good set of numbers in 1QFY19 with PAT at Rs12.1bn up 14% YoY ahead of ours as well as street estimates. Beat was led by surprise on both, better execution and margins. The company continues to focus on its strategic plan of achieving profitable growth and improving RoE in medium term. We Maintain BUY on L&T given its strong business model, diverse skill sets, strong execution capabilities and relatively healthy/large balance sheet with revised target price of Rs1566

12:39 PM

TOP BSE LOSERS TODAY

COMPANY	PRICE()	CHG()	CHG(%)	VOLUME
INTERGLOBE AVIAT	920.45	-83.80	-8.34	808455
CAN FIN HOMES	334.05	-29.90	-8.22	225335
SPICEJET	99.20	-5.75	-5.48	2266709
IDEA CELLULAR	55.35	-3.10	-5.30	2111572
GENERAL INSURANC	358.00	-18.75	-4.98	26914

12:38 PM

CARE Ratings on RBI policy preview

As usual there is wide spread speculation on what the RBI will do tomorrow. With a single inflation target being the anchor, the story is invariably built on other supporting factors such as what the Fed does, how the currency moves, what the government does on MSP and so on. Given that the core inflation rate has peaked there is definitely a strong case to argue for a rate hike.

However, there have been some significant mitigating factors such as oil prices coming down and more importantly GST rates being reduced which will affect core inflation the most. More importantly we believe that the MSP case should not be stretched as while the rates have been increased anecdotally it has been observed that strong supplies can still moderate prices when there is no procurement. Keeping all these factors in mind we believe that there will be: 1) Status quo this time; 2) A hawkish stance taken; 3) There could be more than one MPC member who will vote for a rate hike

 

12:29 PM

Avenue Supermarts hits new high on strong Q1 results

Shares of Avenue Supermarts, which owns and operates D-Mart supermarket chain, hit a new high of Rs 1,664, up 4.5% on the BSE in intra-day trade, after the company reported a better-than-expected 43% year on year (yoy) growth in net profit at Rs 2.51 billion in June quarter (Q1FY19). It had a profit of Rs 1.75 billion in year-ago quarter. READ MORE

12:19 PM

HEG hits record high ahead of June quarter results

Shares of graphite electrode manufacturer HEG have hit a record high of Rs 4,250 per share, up 3.3% on the BSE in intra-day trade on Tuesday, ahead of June quarter (Q1FY19) results on Wednesday, August 1, 2018. READ MORE

12:01 PM

Markets at noon

INDEX	LATEST	PREVIOUS	CHANGE	CHANGE(%)
	37322.47	37494.40	-171.93	-0.46
	15218.79	15264.35	-45.56	-0.30
	15972.01	15961.10	10.91	0.07
	16541.05	16540.44	0.61	0.00
	4374.54	4391.48	-16.94	-0.39

11:44 AM

HDFC Q1 net profit jumps 53.7%: Surge in NPA ratio not worrisome

 

Housing Development Financial Corporation (HDFC)’s June quarter (Q1) results, at first glance, may startle investors given the surge in its non-performing assets (NPA or bad loan) ratio. But, as analysts say, it is due to change in accounting.

 

Nevertheless, its provisioning coverage ratio (PCR), too, is at comforting levels and operating performance remains healthy. Thus, most analysts remain positive on the stock, and see any correction as an entry opportunity. READ MORE

11:29 AM

HNIs' bets on HDFC MF IPO will pay off if shares list at over 35% premium

 

Leveraged bets riding on the maiden offering of HDFC Mutual Fund will only be profitable if shares of the asset manager list at over 35 per cent premium during the debut next week. Cumulative bets worth over Rs 700 billion from high-net-worth individuals (HNIs), who have borrowed at a rate between 12 per cent and 14 per cent per annum, have been placed on the company.

 

HDFC MF's Rs 28-billion initial public offering (IPO), which closed on Friday, was oversubscribed more than 80 times. The issue garnered total bids worth Rs 1.7 trillion, the second-most for a domestic IPO after Coal India. READ MORE
 

11:15 AM

MUST READ Ease grip over lenders or risk slowly killing off sector: BoB Chief to govt

The head of one of India’s largest state-run banks says the government needs to ease its grip over the lenders or risk slowly killing off the sector.

 

Tight government control makes it hard to attract talent or take the tough decisions needed to address the bad debts weighing down the banks, according to Ravi Venkatesan, the outgoing chairman of Bank of Baroda. Government-controlled lenders need to consolidate if they are to avoid losing yet more market share to private-sector peers, but this is better achieved after the banks get stronger rather than merging weak banks, he said READ MORE HERE

Bank of Baroda