Sensex zooms 874pts in broad-based rally; Nifty tops 17350; RIL, HDFC up 2%

CLOSING BELL: Mukesh Ambani-led Reliance Industries (RIL) is set to become India's first company to hit market capitalisation (m-cap) of Rs 19 trillion

9:23 AM

Opening bell: Nifty Metal sore loser; Realty, Media stocks upbeat

9:20 AM

Opening bell: Only 4 Sensex stocks open in negative zone

9:18 AM

Opening bell: Over 350 points gain for Sensex

9:17 AM

Opening bell: Nifty 50 opens above 17,200 levels

9:11 AM

Pre-open session: Only 3 out of 30 Sensex stocks sulk in red

9:10 AM

Pre-open session: Sensex surges over 400 points

9:09 AM

Pre-open session: Nifty 50 advances above 17,200 levels

8:58 AM

BS Special :: How to play Real Estate sector's upcycle

8:54 AM

Brokerage Call :: Morgan Stanley sees RIL above Rs 3,200 levels

8:52 AM

Netflix selloff is latest in Wall St retreat from streaming

>> Netflix's market capitalization now stands at about $100 billion, by far the smallest among the so-called FAANG group of stocks - which also includes Facebook-owner Meta Platforms, Amazon, Apple and Google-owner Alphabet.

8:50 AM

JPMorgan on Netflix :: Downgraded to Neutral

>> Following a sea change quarter for NFLX in which the company essentially conceded to every key point of the bear thesis, we're downgrading our recommendation to Neutral & lowering our price target to $300

>> Projected 1H net sub losses of -2.2M (or -1.5M adding back Russia) are below our previous +2.5M net adds. That's a sizable swing on small net adds—if not the base of 220M+ members—and it makes 2H subs very difficult to project.

>> We’re encouraged that each of these efforts could drive high margin incremental revenue over time, but their development is still early stage & we do not expect rollout until 2023 for account sharing & 2024 for advertising.

>> Accordingly, near-term visibility is limited, our 2022 net adds come down sharply from 16M to 8M, & there's not much to get excited about over the next few months beyond the new, much lower stock price.

8:46 AM

Brokerage Call :: UBS cuts estimates for Indian Auto on commodity headwinds

>> We revisit our estimates to bake in sustained higher commodity prices and expect EBITDA margin cuts of 60-300bp for FY23 and 20-170bp for FY24 across most of our covered stocks.

>> Post these cuts, FY23E EBITDA and PAT estimates for our coverage universe are c10% below consensus (see Figure 21 and Figure 22UBS versus consensus on PAT) as we do not share consensus optimism for meaningful commodity price moderation in FY23.

>> However, our FY24 estimates are broadly in line with consensus. 

Stock picks:
Upgrade Apollo Tyres to Buy; Bajaj down to Neutral

TVS Motor, M&M, and Maruti top picks

8:42 AM

Brokerage Call :: Sharekhan on Ashok Leyland

8:41 AM

Brokerage Call :: JM Financial on Textile sector

Indian cotton sheet / terry towel exports to US increased 4.9%/9.3% YoY during Feb’22. India’s market share during Feb’22 improved MoM as Jan’22 was impacted due to the emergence of third wave.

Market share across a) cotton sheet stood at 54% vs 44% in Jan’22 – China’s market share decreased by 540bps b) terry towel stood at 44% vs 35% in Jan’22 – China’s market share decreased by 1000bps.

Fears of lower cotton output during the 2021-22 season caused cotton prices to double YoY in Apr’22.

However, government's decision to remove import duty on cotton is likely to help in bringing down cotton prices, thereby easing margin pressure on textile companies eventually and lowering pressure on garment/fabric makers to take price hikes.

Apparel exporter Gokaldas Exports remains our top pick in the apparel sector as the company fits twin criteria of addressable market size being huge and top-notch management leading the business. 

8:40 AM

Brokerage Call :: JM Financial maintains Buy on Navin Fluorine

We believe Navin’s existing CRAMS molecules are likely to scale up meaningfully over the next 3-4 years. As per our analysis, Navin’s CRAMS molecules are key intermediates of several patented pharmaceutical drugs. Some of these drugs have been launched recently and their end usage has been growing significantly.

As per industry estimates, sales of these patented drugs are likely to peak by CY25-26. Hence, in our view, with the ramp-up of these patented drugs, Navin’s CRAMS revenue could demonstrate a 29% CAGR over FY22E-25E and reach $87mn by FY25E and surpass $100mn by FY26E.

Further, with the ramp-up of its specialty chemicals sales and contracted HFO sales, Navin’s overall revenue could post a 26% CAGR over FY22E-25E.

We maintain BUY with an unchanged TP of INR 4,440/share on account of strong outlook of Navin’s CRAMS business along with long-term growth visibility from its multi-year contracts in specialty chemicals and HFO refrigerant gas.