MARKET WRAP: Sensex rallies 461 points led by banks; Adani Power jumps 25%

Catch all live market action here

11:32 AM

Edelweiss on Aarti Industries

During our recent visit to Aarti Industries’ (AIL) Jhagadia (Gujarat) plant we interacted with Mr. Renil R. Gogri (whole time director) and Mr. Chetan Gandhi (CFO). This plant (~20% of revenue) boasts of complex chemistries like chlorination, nitration, hydrogenation, among others, with complete backward integration and zero discharge.

While AIL is investing further ~Rs 4bn in this plant, it has raised overall capex guidance to Rs 7bn p.a., from ~ Rs 5-6 bn, over the next two years. This further bolsters our thesis of burgeoning opportunities in the specialty chemical space. Maintain ‘BUY’ and retain AIL as our top pick in specialty chemical space.

 

11:30 AM

Emami stock: Analysts worried about new launches and high input costs

 

The share price of consumer goods player Emami has plunged over 25 per cent in the last one month, outpacing the recent correction in the fast-moving consumer goods (FMCG) space, amidst pricey valuation. Worries such as fewer new product launches, distribution mix, high input cost, and potential weakness in key markets, have all weighed on the stock, and these perturbations are unlikely to easy soon, say analysts. Read More

11:15 AM

What does market cap-to-GDP ratio tell about market valuation?

If you were to read analyst reports on market valuations, the most common measure is market P/E. Undervaluation and overvaluation does work quite well at a market level. For example, if you have bought into the markets in 2003 or in 2009 when the P/E ratio was closer to 12, you would have surely made a lot of money. Read More 

11:07 AM

NEWS ALERT

CCI eases rules for cos to file & refile for M&A approvals.

11:00 AM

Nifty Auto index trading over 2% higher led by TVS Motor, Maruti

10:50 AM

L&T: Healthy pace of project execution, cost initiatives may drive profits

 

Larsen and Toubro (L&T) remains in news on account of regular order inflows. Rising order flows, healthy project execution, cost-cutting initiatives and improving capital allocation are keeping analysts positive on L&T. The recent stock price correction, they add, offers a good entry point for investors. Read More

10:40 AM

Garden Reach Shipbuilders lists 13% below issue price

 

Shares of Garden Reach Shipbuilders & Engineers (GRSE) made a weak debut on Tuesday, listing at Rs 102.50, a 13% below its issue price of Rs 118 on the National Stock Exchange (NSE). It opened at Rs 118, a 12% lower against issue price on the BSE. At 10:10 am; the stock was trading at Rs 106 on the BSE. It hit a high of Rs 109 and a low of Rs 102 so far. A combined 860,000 equity shares changed hands on the counter on the NSE and BSE. Read More

10:30 AM

NBFCs gain; Bajaj Finance, DHFL, Muthoot Finance rise over 5%

 

Shares of non-banking financial companies (NBFC) have gained by up to 12% on the BSE in early morning trade after a media report suggested that the State Bank of India’s (SBIs) loan portfolio buys will provide liquidity to NBFCs. Bajaj Finance, Dewan Housing Finance Corporation (DHFL), Centrum Capital, Shriram Transport Finance, Muthoot Finance, Equitas Holdings, Mahindra & Mahindra Financial Services and Cholamandalam Investment and Finance Company were up in the range of 5% to 12% on the BSE. Read More

10:15 AM

Q2FY19 preview: IT firms to report higher sequential EBIT margin on Re fall

 

We expect the IT firms under our coverage universe to post a combined 1.5 per cent QoQ growth in US dollar revenue in 2QFY19. Reported US dollar revenue is likely to be adversely affected owing to the strengthening of the US dollar against major currencies including euro, GBP (British pound) and Australian dollar (2-4 per cent QoQ appreciation on quarterly average rate). Read More

10:00 AM

Market Check

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	34,597.38	+297.91	+0.87
S&P BSE SENSEX 50	10,802.05	+31.10	+0.29
S&P BSE SENSEX Next 50	29,892.59	+193.99	+0.65
S&P BSE 100	10,530.69	+35.82	+0.34
S&P BSE Bharat 22 Index	3,229.61	+20.93	+0.65

9:45 AM

Muthoot Microfin gets Sebi nod for IPO, firm eyes Jan or Feb for listing

 

Muthoot Microfin will be the fourth microfinance company to list on the stock exchanges. The Securities and Exchange Board of India (Sebi) has approved its draft red herring prospectus (DRHP), and the company is eyeing January or February for its initial public offering. People in the know told Business Standard that it would like to come out with its September and December quarter results before the listing. Read More

9:30 AM

Q2 earnings might have little to cheer due to high input costs, rupee fall

 

Equity investors should brace for more downgrades in the September 2018 quarterly earnings season, which kicks off this week. Most brokerages expect a sharp slowdown in profits and top line growth for the country’s top listed companies, thanks to rising input costs and a sharp depreciation in the rupee during the second quarter of the current financial year. Read More

9:20 AM

Sectoral trend on NSE

9:18 AM

S&P BSE Sensex gainers and losers

9:17 AM

Market at open

 

At 9:15 AM, the S&P BSE Sensex was trading at 34,400, up 101 points while the broader Nifty50 was ruling at 10,331, up 30 points.