MARKET WRAP: Sensex surges 718 pts, reclaims 34,000-mark; PSU banks rally

Nifty PSU Bank index post sharpest single-day gain in past one year, surging 8 per cent led by Oriental Bank of Commerce and Canara Bank.

9:45 AM

Divi's Labs surges 14% on strong Q2 results; stock hits record high

 

Shares of Divi’s Laboratories have surged 14% to Rs 1,433 per share on the BSE in early morning trade on Monday, after the company reported a healthy 92% year-on-year (Y-o-Y) jump in its net profit at Rs 3.98 billion in September quarter (Q2FY19), on back of strong revenue growth. The pharmaceutical company had profit of Rs 2.07 billion in year ago quarter. Read more

9:36 AM

INTERVIEW OF THE DAY Q1 of CY19 will be a good time to buy, says Macquarie's Sandeep Bhatia

 

Despite a sharp fall from the peak, SANDEEP BHATIA, managing director, head of equity India, commodities and global markets at Macquarie, tells Puneet Wadhwa that there could still be a 5–8 per cent downside risk for the market from the current levels. Click here to read full interview

Sandeep Bhatia, MD & head of equity India, commodities and global markets, Macquarie Group

9:26 AM

ICICI Bank trading higher post Q2 results

9:23 AM

Sectoral trend on NSE

9:20 AM

S&P BSE Sensex top gainers and losers

9:19 AM

Market at open

At 09:16 am, the S&P BSE Sensex was trading 125 points or 0.38 per cent higher at 33,474 while NSE's Nifty50 index was trading above 10,050 level at 10,068, up 0.38 per cent.

9:03 AM

Market pre-open

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	33,669.99	+320.68	+0.96
S&P BSE SENSEX 50	10,607.89	+114.73	+1.09
S&P BSE SENSEX Next 50	29,874.69	+128.97	+0.43
S&P BSE 100	10,368.31	+102.19	+1.00
S&P BSE Bharat 22 Index	3,314.06	+49.58	+1.52

9:01 AM

Rupee opening

Rupee opens at 73.35/$ vs its previous close of 73.47 per dollar

8:55 AM

Top Trading Ideas By Prabhudas Lilladher 

 

BUY M&M

CMP: Rs 728.20

TARGET: Rs 825

STOP LOSS: Rs 700

 

The stock has witnessed a decent correction from the 976 levels to bottom out at around levels and there is some sort of consolidation phase going on to signify strength and potential in the stock. The chart looks very attractive and with the RSI also moving around in the oversold zone, the bias and risk-reward ratio has become attractive and with good volume activity seen, we recommend a buy in this stock for an upside target of 825 keeping a stop loss of 700. Read more

8:50 AM

Short-term outlook for the market remains negative: Devang Shah

 

Market closed surprisingly weekly in negative territory. It has broken last week lows on both Sensex & Nifty. It made a low of 10004.55 levels on nifty & 33291.58 levels on Sensex during the week. It has made me surprised & still not conclusive for me that its missing wave-V or Extension case for short-term from wave count perspectives. But changing short-term outlook till we get any kind of further evidence to conclude the end of short-term correction. Read more

8:45 AM

Edelweiss on Hexaware

At $171.1mn, Hexaware Technologies’ (Hexaware) Q3CY18 revenue (up 1.6% in USD, 2.1% in cc) came in $3.5mn lower than the Street’s estimate. However, EBITDA margin rose 110bp QoQ to 16.7%, exceeding the Street’s 16.2% estimate. Management has lowered CY18 revenue growth guidance to 11–12% from 12–13%, which indicates growth of 0.9–4.5% in a seasonally weak Q4.

The miss in revenue is attributable to delays in ramping up large contracts along with supply shortage in its key market (US). We expect the talent constraint to partially cloud the company’s near-term growth prospects. Accordingly, we are trimming Hexaware’s multiple to 16 from 18 earlier. We await the company’s CY19 guidance along with acceleration of revenue growth and commentary on on-site hiring before raising our multiple. Retain ‘HOLD’ with a revised target price of Rs 356 (16x CY19E EPS; Rs 403 earlier).

 

8:44 AM

Edelweiss on Maruti Suzuki

Maruti Suzuki’s (MSIL) Q2FY19 adjusted EBITDA of ~INR32bn (down 12.1% YoY) came in line with our estimate. Demand outlook is subdued with the festive season being largely flat. Management is targeting double-digit growth in H2FY19 (10% in H1) driven by rural demand (up 13%) and recovery in demand from flood-affected regions.

We believe, near-term cost pressure due to currency and steel prices could squeeze margin in a weak demand environment. We revise down FY20E EPS by 6% to Rs 347.6 and also target core PE to 22x (from 25x) to factor in rising competitive intensity and weak demand (refer to, Encore FY06-08) restricting MSIL’s ability to increase margin. Maintain ‘BUY’ with revised target price of Rs 7,537 (Rs 8,726 earlier).

8:43 AM

Nifty Outlook By Prabhudas Lilladher For Today

There seems to be no stoppage in the downslide in spite of the indices being in the oversold on the daily chart. The sector indices too are way below the 200DMA but for IT and Pharma which too are under a threat. Click here to read more

8:41 AM

Sharekhan on ITC

ITC posted mixed performance in Q2FY19 with revenues growing in mid-teens but margins dip led to PAT growing in low double digit. Cigarette sales volume improved sequentially to mid-single digit from low single digit in Q1FY19. But likely down-trading to low-price cigarettes affected the profitability of business. We expect sales volume to improve in the coming quarters with low base of H2FY19. The non-cigarette FMCG and Hotel business should perform strongly in the coming quarters. With receding pressure on core cigarette business and discounted valuations, ITC remains one of pick in the FMCG space

8:40 AM

Oil stable as Asia stock markets rebound

Oil prices were stable on Monday, supported by a bounce in Asian stocks, but analysts said sentiment remained cautious after a plunge in financial markets last week triggered worries that global growth may be slowing.

Front-month Brent crude oil futures were at $77.63 a barrel, 1 cent above their last close. US West Texas Intermediate (WTI) crude futures were at $67.65 a barrel, up 6 cents from their last settlement.