MARKET WRAP: Sensex settles 158 points lower at 35,876; YES Bank surges 32%

All that happened in markets today

9:05 AM

ICICI Securities on Motherson Sumi

MSL is a capital efficient player with core RoICs>20% and has prudently grown over the past decade through the inorganic route. It has a steady balance sheet with absolute debt at around Rs 10,000 crore and debt: equity at ~1.0x.

Given the headwinds over demand prospects and limited scope for margin improvement amid a challenging demand scenario at its key OEM clients, we hold a cautious stance on the stock. Going forward, in FY18-20E, we expect sales, PAT to grow at a CAGR of 12.4%, 17.6%, respectively. We value MSL at Rs 125 i.e. 18x P/E on FY20E EPS of | 7.0 with a HOLD rating on the stock

9:05 AM

Market at pre-open

9:04 AM

SPECIAL REPORT

Valuation of Indian equities still remain expensive, says Credit Suisse

The brokerage likes select names in financials, chemicals, construction materials, and IT, but is cautious on consumer companies given the overly stretched valuations READ MORE HERE

9:03 AM

Rupee opening

Rupee opens at 70.87/$ vs its previous close of 70.80 against the US dollar

9:01 AM

Anand Rathi on NCC

As NCC continues to reap the benefits of an augmented order backlog and as the pace of execution stays healthy, the recently-set growth momentum more than held in Q3. A further positive is no slowdown in order accretion. However, the marked increase in net debt in Q3 was a negative (on capex and the protracted working-capital cycle); but management expects pending mobilisation advances, recoveries from subsidiaries and better collections to help restrict a further considerable increase. We retain our Hold rating as we await clarity on the company’s ability to contain the recently heightened capital intensity as growth generally brings with it the risk of a protracted WC cycle

8:57 AM

Web Exclusive | Are Maruti, Tata Motors and M&M good bets post their Q3 earnings?

December quarter earnings and January sales figures paint a grim picture for most auto companies in India. While Tata Motors scripted history by reporting biggest-ever quarterly loss of India Inc at around Rs 27,000 crore, Maruti Suzuki India (MSIL) posted decline in its net profit for the second straight quarter. Mahindra & Mahindra, too, delivered a muted performance during the period.

 

As regards sales, the overall volume for the auto industry declined 5 per cent year-on-year YoY (+25 per cent month-on-month basis) to 20,19,331 units in January 2019 due to lower demand across segment and inventory destocking by few players, suggests SIAM (Society of Indian Automobile Manufacturers) data. Domestic passenger vehicles (PVs) sales during this period fell 2 per cent (YoY). READ MORE

8:50 AM

Fortis Healthcare, Jet Airways, YES Bank and MMTC to watch out for

Fortis Healthcare: Fortis Healthcare on Wednesday reported a consolidated net loss of Rs 180.11 crore for the quarter ended December 31, 2018, mainly on account of exceptional losses.

 

Jet Airways: Jet Airways deal is likely to be finalised by March, said a Business Standard report.The Jet restructuring would mean three board seats going to Etihad as it may turn out to be the largest shareholder, the report added. READ MORE

8:46 AM

Top trading ideas by Prabhudas Lilladher

BUY Hexaware Technologies

 

CMP: Rs 367.90

TARGET: Rs 400

STOP LOSS: Rs 350

 

The stock has been in consolidation for quite some time and currently has produced a positive bullish candle pattern to give a breakout above the level of Rs 365 to signify strength and has potential to rise further, maintaining a positive bias in the coming days. The relative strength index (RSI) has been on the rise and with favourable indicators supporting and good volume participation witnessed, we recommend a buy in this stock for an upside target of Rs 400 keeping a stop loss of Rs 350. READ MORE

8:44 AM

Today's picks

UPL

Current price: Rs 817

Target price: Rs 830

Keep a stop at 809 and go long. Add to the position between 824-828. Book profits at 830.

 

Tata Steel 

Current price: Rs 484

Target price: Rs 476

Keep a stop at 488 and go short. Add to the position between 478-480. Book profits at 476. READ MORE

8:41 AM

Nifty outlook by Prabhudas Lilladher

Nifty has closed below the 10,800 level breaking all significant moving averages indicating a downslide as Bank Nifty too has closed below 27,000 decisively, breaking 50-day moving average (DMA). The support for the day is seen at 35,730/10,710, while resistance is seen at 36,320/10,850 levels. Bank Nifty would have a range of 26,560-27,180. Mid Cap sector, too, was in the red; so for now IT sector still sustains in green. Moreover, Reliance Industries (RIL), etc have stepped down from their highs. View is now corrective. READ MORE

8:37 AM

Stock calls by Tradebulls Securities

Stock: Indian Oil Corp

Reco: SELL

CMP: Rs 129.90

 

The stock breached below the consolidation support placed at Rs 132 levels that have been intact since past 10 trading sessions. Occurrence of a 'Bearish Belt Hold' candle along with breach below consolidation support suggests the stock might continue its down move till Rs 117 price confluence support in the coming sessions. Significant call writing witnessed at Rs 130 to Rs 135 strike price reaffirms the bearish outlook for the stock. Traders can short the stock for Rs 117 to be obtained in the coming sessions with stop placed above Rs 136 levels. READ MORE

8:34 AM

Rupee check

Snapping its six-day winning run, the rupee Wednesday settled 10 paise lower at 70.80 against the US dollar amid rising crude prices and heavy foreign fund outflows.

8:30 AM

Oil check

Oil prices inched up on Thursday. On Wednesday, WTI crude futures closed 1.5 per cent higher while International Brent crude oil futures settled 1.9 per cent up. 

8:26 AM

SGX Nifty

Nifty futures on Singapore Exchange (SGX) were trading at 10,770, down 33 points or 0.31 per cent in early trade.

8:24 AM

Asia stocks wait on Sino-US talks, China trade data

Asian stocks were muted in the early trade on Thursday as investors hoped for progress in the latest Sino-US tariff talks while bracing for China trade data that are expected to show further falls in both exports and imports. MSCI’s broadest index of Asia-Pacific shares outside Japan was flat while Japan’s Nikkei edged up 0.3 per cent to its highest for the year so far.