Sensex ends 126 pts higher, Nifty atop 18200; HDFC Life soars 4%, TCS 1%

CLOSING BELL: Broader markets, meanwhile, outperformed benchmark indices as Nifty MidCap 100 and Nifty SmallCap 100 indices surged up to 0.2 per cent

9:16 AM

OPENING BELL: Sensex falls around 100 pts

9:12 AM

PRE-OPEN: Nifty may start near 18,150

9:09 AM

PRE-OPEN: Sensex off to muted start; slips in red

9:06 AM

COMMODITY CHECK: Gold gains 0.7% on MCX, Silver over 1%

9:02 AM

CURRENCY ALERT: Rupee opens 2 paise stronger at 82.72/$

9:00 AM

Brokerage Call :: Nuvama Institutional Equities on JK Cements

>> JKC continues to be on a ‘dream run’ for the long haul, much like a marathon. Their strategy is akin to the ‘fartlek’ style of running, which involves well-thought and calibrated variations in speed and intensity to ensure a smooth and injury-free finish.

>> Having recently completed a 4mtpa greenfield expansion in central India (with another 6mtpa grinding capacity under implementation) and acquisition of AP, JKC

now endeavours to focus on fortifying its balance sheet (target net debt/ EBITDA <2x) before pursuing any major capex.

>> Our faith in JKC remains intact, given its consistent ascent in capacity mix, efficiency mix, reliable volume growth visibility and superior RoEs. We continue to value the stock at 15x FY24E EV/EBITDA and maintain ‘BUY/SO’ with a TP of Rs 3,311.

 

8:58 AM

Brokerage Call :: Nuvama Institutional Equities on Real Estate

>> Consolidation is the driving feature of India’s property. We believe the buoyancy in sales would sustain driven by: i) pick-up in launches, aided by cash flow improvement (refer to Cash flow generation improving); ii) diversification; and ii) market share gains.

>> The Mumbai market has been stable, despite interest rate hikes and the levy of metro cess. Increase in the general level of wages and employment opportunities and return-to-work scenario are expected to keep home buying activity healthy.

>> All in all, we argue Mumbai-based organised developers such as Macrotech Developers (BUY), Oberoi Realty (BUY), Godrej Properties (BUY) and Sunteck Realty (BUY) would benefit from a revival in housing sales in Mumbai.

8:56 AM

Brokerage Call :: ICICI Securities maintains 'Buy' on IndiGo

>> We expect RASK of Rs 5.1, up 13% QoQ, driven by passenger revenue growth of 16% QoQ (on the back of 14% increase in PAX and 2% increase in fare growth).

>> Fuel / ASK is likely to decline 5% QoQ driven by ~8% fall in ATF prices and INR/USD depreciation of 3% QoQ in Q3FY23.

>> We have factored-in CASK (ex-fuel) of Rs2.55 (Rs2.52 in Q2FY23). Forex loss are expected to be in the vicinity of Rs5.5bn resulting in reported PAT of Rs 9.6 bn. Adjusting for the forex loss, we expect PAT at Rs 15 bn.

>> Cost overrun on wet leases/lease extensions akin to H2FY23 is a risk, but one can expect compensation from OEMs. Deliveries too shot up for IndiGo in Q3FY23 (6/7 aircrafts delivered in Oct/Nov’22 compared to 6 in H1FY23) in line with the typical manufacturing trends of OEMs.

>> Travel impact due to future Covid waves is a risk. Maintain BUY with the unchanged target price of Rs 2,360 based on 25x FY24E EPS of Rs 94.4.

8:53 AM

Brokerage Call :: ICICI Securities maintains 'Buy' on Jindal Steel & Power

>> Despite our estimates of realisation remaining range-bound through to FY25E, we raise our FY24E EBITDA by 24% taking cognizance of higher volumes and cost efficiencies.

>> We value JSPL at 6x FY24E EBITDA resulting in a revised target price of Rs750/share (earlier: Rs 605). Maintain BUY.

>> Higher than expected fall in steel prices and delay in commissioning of upcoming capacity at Angul are the key risks in our view.

8:50 AM

Fundraising through AT1 and tier II bonds nearly doubles in 2022

Capital raising through additional tier I bonds (AT1 bonds) and tier II bonds almost doubled to Rs 82,370 crore in calendar year 2022 over 2021. READ MORE

8:47 AM

China's economy ends year in major slump as Covid infections surge

While the outbreak has likely peaked in places like Beijing, and economic activity is starting to rebound there, the virus is spreading fast across the country. A likely travel rush during the Lunar New Year holiday in late January could see cases spread to rural areas, disrupting activity in the first quarter. READ MORE

8:43 AM

Results preview :: IT sector likely to tread cautiously in Q3FY23

Almost all the tier-I companies in the Q2 of FY23 had signalled then that though the current macro has not impacted budget in general, there are specific pockets where delay in deal closure was evident. READ MORE

8:38 AM

Global News :: China December Caixin manufacturing PMI at 49 vs estimate of 49.1

8:37 AM

ALERT :: RateGain enters into agreement to acquire Adara

>> RateGain Travel Technologies Limited (RateGain) has announced that it has entered into a definitive agreement to acquire Adara Inc. (Adara) through an asset purchase agreement.

>> Adara uses Artificial intelligence to combine the power of global data consortiums with over 24+ billion data elements across 130 countries powering digital marketing, programmatic advertising, campaign measurement, and CRM and retention, helping its customers create better connections to drive more consumer engagement and profitability.

 

8:35 AM

India raises windfall tax on crude oil, diesel and aviation turbine fuel

The federal government also raised export tax on diesel to Rs 7.5 per litre from Rs 5, while raising the windfall tax on ATF to Rs 4.5 per litre from Rs 1.5, the document showed. READ MORE