MARKET WRAP: Sensex falls 336 points as ITC slips 5% following Q3 results

Among sectors, the Nifty FMCG index was the top loser of the day, falling 1.69 per cent weighed by ITC and United Spirits.

9:35 AM

Nifty Metal index is trading 0.6% higher led by Hindalco

9:27 AM

Infosys slips in early trade on BSE

9:22 AM

Sectoral trend on NSE

9:19 AM

Opening gainers and losers on BSE Sensex

9:16 AM

Market at open

 

At 9:15 AM, the S&P BSE Sensex was trading at 36,464, up 20 points, while the broader Nifty50 was ruling at 10,926, up 4 points.

9:13 AM

ITC Q3 preview: Profit may grow 14% YoY, govt's rural push to boost volumes

FMCG major ITC is scheduled to report its December quarter results on Wednesday. The result will be watched for trends in cigarette volumes and the demand outlook for FMCG categories and segmental profitability. The company had posted 11.9 per cent growth in its net profit for the quarter ended September 31, 2018, at Rs 2,955 crore. The same during the corresponding quarter of the previous financial year stood at Rs 2,640 crore. Read more
 

9:03 AM

Rupee opening

Rupee opens at 71.17/$ vs its previous of 71.44 against the US dollar.

8:57 AM

Today's picks

Titan

Current price: Rs 982

Target price: Rs 996

 

Keep a stop at Rs 974 and go long. Add to the position between Rs 992-995. Book profits at Rs 996.

 

Tata Steel

Current price: Rs 456

Target price: Rs 449

 

Keep a stop at Rs 460 and go short. Add to the position between Rs 450-452. Book profits at Rs 449. Read more

 

8:50 AM

ITC, InterGlobe Aviation, Mindtree and Sun Pharma among top stocks to track

According to news reports, markets regulator Sebi has started a probe against the drug major over whisteleblower charges. On Tuesday, the company made a series of clarifications and changes in its filing to the bourses.

 

Earnings today: Nearly 50 companies including ITC, InterGlobe Aviation, Bharti Infratel, Pidilite Industries, Reliance Communications and Vijaya Bank are slated to announce their December quarter earnings later in the day. Read more

8:48 AM

Nifty outlook by Prabhudas Lilladher

Market continued to be volatile with Nifty holding on to the near term support of 10850 levels & getting back in to momentum to close above 10900. The support for the day is seen at 36160/10850 while resistance is seen at 36720/10980. Bank Nifty would have a range of 27200-27770. IT Index continues to show strength along with mid-cap IT Stocks, also Pharma sector, now from here on Metal stocks look attractive to accumulate. Read more

8:45 AM

Jefferies on Just Dial

Just Dial's 3Q revenue/EBITDA were in line with our estimate as revenue growth continued its gradual acceleration to 15% YoY. Higher MTM gains on bond portfolio led to beat in other income, net profit. JD delivered on most operating metrics including traffic growth, listing & customer addition and unearned revenue. Despite improvement in near-term performance & prospects though, we retain Underperform given concerns over medium-term sustainability of growth

8:43 AM

IDBI Capital on Shree Cement

Shree Cement’s Q3FY19 results were better than our as well as consensus expectations, largely driven by lower other expense. The company reported sales/EBITDA of Rs27.8bn/Rs7.1bn which is 1.8%/20% higher than our estimate. While most cost items were in line with our expectations, other expenses were lower on account of forex gain of Rs200mn vs forex loss of Rs800mn last quarter.

Adjusted for the same, EBITDA beat is in lower single digit. Volume at 5.93mnMT is up 11.3% YoY compared to our expectation of 10% growth. Aggregate EBITDA/mt at Rs1,197 is up 12% YoY. We maintain our FY19/20 estimates. We expect Shree Cement’s EBITDA/ net profit to grow at a CAGR of 19%/20% over FY18-20E. However, given our cautious view on larger cement players and fair valuation, we recommend a HOLD rating on the stock with a target price of Rs15,350

 

8:43 AM

Top trading ideas by HDFC Securities

Buy DABUR

Target: Rs 457

Stop Loss: Rs 417

 

After forming multiple bottoms around 417 odd levels, stock price reversed northward yesterday to close above its 5 and 20 day SMA on the daily chart. Oscillators and momentum Indicators like RSI and MACD turned bullish on the daily and weekly charts. Dabur has already fallen 12% from the August 2018 high and Technical Indicators are indicating pull back rally from here. Considering the technical evidences discussed above, we recommend buying the stock at CMP and Average it at 425, for the target of 457, Keeping a stop loss at 417 on closing basis. Click here to read more

8:42 AM

Jefferies on Sun Pharma

Sun announced steps to address investor concerns. 1) Domestic formulation distribution will be done in-house (vs Aditya Medisales currently) from 1QF20; 2) USD345mn loan was to Atlas Global Trading (relating to FY14 supply agreement) and will be reversed in FY19. 3) Clarified there are no loans/guarantees to Suraksha Realty. These steps are positive but overhang could persist. At 17.6x F20PE, though, risk/reward looks favorable as underlying business improves

8:41 AM

Market Preview

 

At 8:00 a.m. IST, the SGX Nifty Futures was trading at 10,943, which is 0.1% higher than its previous close. It is at a premium to the Nifty’s previous closing of 10,922.75.

 

On Tuesday, FIIs/FPIs and DIIs sold stocks worth Rs 78.5 crore and Rs 84.1 crore, respectively. In 2019, FIIs/FPIs sold stocks worth Rs 2,697 crore and DIIs bought stocks worth Rs 2,278 crore.

 

Global markets: Nikkei -0.02%, KOSPI +0.5%, Hang Seng +0.3%, Shanghai Composite +0.3%. NASDAQ -1.9%, S&P 500 -1.4, Dow 30 -1.2%

 

O’Neil Market Condition Report

 

Out of the 24 emerging markets tracked by our institutional research team, the breakup is as follows: Confirmed Uptrend, 11; Rally Attempt, 7; Uptrend Under Pressure, 6; Downtrend, 0. Out of the 24 developed markets, the breakup is as follows: Confirmed Uptrend, 15; Rally Attempt, 5; Uptrend Under Pressure, 4; Downtrend, 0.

(Source: Kongari Rajashekar, equity reserach analyst, William O'Neil)