Stocks To Watch 06/10/2021
Godrej Consumer Products: The company expects to deliver high single-digit sales growth with another quarter of double-digit 2-year CAGR during July-September quarter. It expects operating margins to contract during the quarter driven by a lag between the rise in input costs and increase in end consumer pricing. India sales growth expected to be in double-digit during the second quarter, driven largely by volume growth and calibrated price increases.
Marico: The company expects modest profit growth, margin contraction in July-September quarter. Revenue growth was in low twenties as consumer sentiment was healthy across categories. India volume growth was close to double-digits on a 2-year CAGR basis. International business delivered double-digit constant currency growth, helped by positive trends in all markets but Vietnam.
Coal India: The company’s board has accorded in-principle approval to pre-feasibility report for setting up integrated greenfield aluminium project in Odisha and associated captive power plant by its subsidiary Mahanadi Coalfields.
Central Bank of India has entered into a co-lending partnership with IIFL Home Finance.
Phillips Carbon Black: The company closed its qualified institutional placement issue and raised Rs 400 crore by issuing over 1.63 crore equity shares to 20 qualified institutional buyers at Rs 244 per equity share.
Force Motors: The company’s total production in September stood at 2,159 units. It reported domestic sales of 1,968 units and exports of 272 units.
Canara Bank: The bank has reduced overnight and one-month MCLR by 0.15% and three-month, six-month and one-year MCLR by 0.10%.
Future Retail: The Master Franchise agreement executed between Future7-India Convenience, 7-Eleven INC, Future Corporate Resources and the company--for developing and operating 7-Eleven stores within India-- has been mutually terminated. The Future-7 was not able to meet the target of opening stores and payment of franchisee fees.
MTAR Technologies: CRISIL Ratings has upgraded long-term rating of company’s bank facilities to A-/Stable from BBB+/Positive and short-term rating to A2+ from A2.
Godrej Consumer Products: The company expects to deliver high single-digit sales growth with another quarter of double-digit 2-year CAGR during July-September quarter. It expects operating margins to contract during the quarter driven by a lag between the rise in input costs and increase in end consumer pricing. India sales growth expected to be in double-digit during the second quarter, driven largely by volume growth and calibrated price increases.
Marico: The company expects modest profit growth, margin contraction in July-September quarter. Revenue growth was in low twenties as consumer sentiment was healthy across categories. India volume growth was close to double-digits on a 2-year CAGR basis. International business delivered double-digit constant currency growth, helped by positive trends in all markets but Vietnam.
Coal India: The company’s board has accorded in-principle approval to pre-feasibility report for setting up integrated greenfield aluminium project in Odisha and associated captive power plant by its subsidiary Mahanadi Coalfields.
Central Bank of India has entered into a co-lending partnership with IIFL Home Finance.
Phillips Carbon Black: The company closed its qualified institutional placement issue and raised Rs 400 crore by issuing over 1.63 crore equity shares to 20 qualified institutional buyers at Rs 244 per equity share.
Force Motors: The company’s total production in September stood at 2,159 units. It reported domestic sales of 1,968 units and exports of 272 units.
Canara Bank: The bank has reduced overnight and one-month MCLR by 0.15% and three-month, six-month and one-year MCLR by 0.10%.
Future Retail: The Master Franchise agreement executed between Future7-India Convenience, 7-Eleven INC, Future Corporate Resources and the company--for developing and operating 7-Eleven stores within India-- has been mutually terminated. The Future-7 was not able to meet the target of opening stores and payment of franchisee fees.
MTAR Technologies: CRISIL Ratings has upgraded long-term rating of company’s bank facilities to A-/Stable from BBB+/Positive and short-term rating to A2+ from A2.
Positive Stocks
ONGC, OIL
HDFC Bank
Bajaj fin
Au SFB
Godrej cons
Marico
Negative Stocks
RBL Bank
Mahanagar Gas
Tata motors
ONGC, OIL
HDFC Bank
Bajaj fin
Au SFB
Godrej cons
Marico
Negative Stocks
RBL Bank
Mahanagar Gas
Tata motors
Kalyan Jewellers Q2 Update
▶️Saw continued robust momentum in both footfalls & revenue across markets
▶️Rev growth of 60% YoY for our India ops
▶️Our showrooms in Kerala resumed ops fully by second week of August
▶️Non-south mkts recorded a higher same-store-sales growth of 70%
▶️Saw continued robust momentum in both footfalls & revenue across markets
▶️Rev growth of 60% YoY for our India ops
▶️Our showrooms in Kerala resumed ops fully by second week of August
▶️Non-south mkts recorded a higher same-store-sales growth of 70%
Stocks To Watch 07/10/2021
Zee Entertainment Enterprises: The founder of Zee Entertainment Enterprises Ltd., Subhash Chandra, has alleged that dissenting investors Invesco Developing Markets Fund and OFI Global China Fund LLC are trying to take over the firm he set up two decades ago, adding another twist in the public fight for board control of India’s largest listed TV network.
Nazara Technologies: The company raised Rs 315 crore from marquee institutional investors. The funds will be utilised to invest in growth initiatives of the company as well as pursue strategic acquisitions in the various business verticals of the company including gamified learning, freemium, skill based real money gaming and esports.
Lupin: Received tentative U.S. FDA approval for Brexpiprazole Tablets, a generic equivalent of Rexulti Tablets of Otsuka Pharmaceutical Co. The company will manufacture Brexpiprazole at its Pithampur facility in India.
Titan Company: The company reported strong recovery in demand in Q2FY22. Jewellery business grew by 78% in Q2FY22 YoY and added 13 stores during the quarter, watches & wearables segment registered 73% YoY growth and eye wear business increased by 74% YoY in the same period.
Sobha: New sales grew by 50.62% to 13.48 lakh square feet in Q2FY22 versus 8.91 lakh square feet in Q2FY21. Total sales value increased 49.32% to Rs 1,030.2 crore from Rs 689.9 crore in the same period. The company achieved best-ever quarterly sales volume of 13.5 lakh square feet of super built-up area. It also achieved best ever Sobha Share of sale value of Rs 854 crore. Average cost of borrowing has further come down during the quarter.
Macrotech Developers: Second quarter pre-sales rise 88% year-on-year to Rs 2,003 crore. The company had pre-sales of £145 million (Rs 1,450 crore) in U.K. projects during the quarter. Collections up 73% YoY at Rs 1,912 crore. Net debt at India business fell to Rs 12,508 crore versus Rs 16,965 crore a year earlier. Plans to cut debt to about Rs 10,000 crore by March.
Telecom stocks: Government has reduced bank guarantee requirements for telecom operators by 80%.
Ambuja Cements: Life Insurance Corporation of India acquired 3.99 crore equity shares in the company via open market transactions, increasing shareholding to 6.12% from 4.11% earlier.
Orissa Minerals Development Company: Life Insurance Corporation of India sold 1.24 lakh equity shares in the company via open market transactions, reducing shareholding to 9.08% from 11.16% earlier.
NIIT: U.S.-based Sutherland, a leading global digital transformation company, and StackRoute, an NIIT Venture, have entered into a partnership to launch an immersive training program designed to identify the right talent and develop them as high-quality full stack IT professionals, handling critical roles at Sutherland.
Balaji Amines: The company’s demethylformamide plant will remain shut for two-three weeks. An incident took place at the company’s unit III demethylformamide plant which caused leakages/breakdown. While rectifying this the company added some debottlenecking activities to increase capacity.
PNB Housing Finance: The company has collaborated with CSC e-Governance Services India to provide last‐mile home loan facilities to individuals living in tier 2 and 3 cities.
Sona Blw Precision Forgings: Rated new Buy at Nirmal Bang
Zee Entertainment Enterprises: The founder of Zee Entertainment Enterprises Ltd., Subhash Chandra, has alleged that dissenting investors Invesco Developing Markets Fund and OFI Global China Fund LLC are trying to take over the firm he set up two decades ago, adding another twist in the public fight for board control of India’s largest listed TV network.
Nazara Technologies: The company raised Rs 315 crore from marquee institutional investors. The funds will be utilised to invest in growth initiatives of the company as well as pursue strategic acquisitions in the various business verticals of the company including gamified learning, freemium, skill based real money gaming and esports.
Lupin: Received tentative U.S. FDA approval for Brexpiprazole Tablets, a generic equivalent of Rexulti Tablets of Otsuka Pharmaceutical Co. The company will manufacture Brexpiprazole at its Pithampur facility in India.
Titan Company: The company reported strong recovery in demand in Q2FY22. Jewellery business grew by 78% in Q2FY22 YoY and added 13 stores during the quarter, watches & wearables segment registered 73% YoY growth and eye wear business increased by 74% YoY in the same period.
Sobha: New sales grew by 50.62% to 13.48 lakh square feet in Q2FY22 versus 8.91 lakh square feet in Q2FY21. Total sales value increased 49.32% to Rs 1,030.2 crore from Rs 689.9 crore in the same period. The company achieved best-ever quarterly sales volume of 13.5 lakh square feet of super built-up area. It also achieved best ever Sobha Share of sale value of Rs 854 crore. Average cost of borrowing has further come down during the quarter.
Macrotech Developers: Second quarter pre-sales rise 88% year-on-year to Rs 2,003 crore. The company had pre-sales of £145 million (Rs 1,450 crore) in U.K. projects during the quarter. Collections up 73% YoY at Rs 1,912 crore. Net debt at India business fell to Rs 12,508 crore versus Rs 16,965 crore a year earlier. Plans to cut debt to about Rs 10,000 crore by March.
Telecom stocks: Government has reduced bank guarantee requirements for telecom operators by 80%.
Ambuja Cements: Life Insurance Corporation of India acquired 3.99 crore equity shares in the company via open market transactions, increasing shareholding to 6.12% from 4.11% earlier.
Orissa Minerals Development Company: Life Insurance Corporation of India sold 1.24 lakh equity shares in the company via open market transactions, reducing shareholding to 9.08% from 11.16% earlier.
NIIT: U.S.-based Sutherland, a leading global digital transformation company, and StackRoute, an NIIT Venture, have entered into a partnership to launch an immersive training program designed to identify the right talent and develop them as high-quality full stack IT professionals, handling critical roles at Sutherland.
Balaji Amines: The company’s demethylformamide plant will remain shut for two-three weeks. An incident took place at the company’s unit III demethylformamide plant which caused leakages/breakdown. While rectifying this the company added some debottlenecking activities to increase capacity.
PNB Housing Finance: The company has collaborated with CSC e-Governance Services India to provide last‐mile home loan facilities to individuals living in tier 2 and 3 cities.
Sona Blw Precision Forgings: Rated new Buy at Nirmal Bang
Stocks To Watch
InterGlobe Aviation: Rahul Gangwal, co-promoter of InterGlobe Aviation Ltd. has moved the Delhi High Court to seek enforcement of an arbitral award in his shareholder dispute with co-promoter Rahul Bhatia
Zee Entertainment Enterprises: NCLT made an error in not granting enough time to Zee for replying to Invesco Developing Markets Fund’s petition seeking an extraordinary general meeting of the company, NCLAT said. The NCLAT, however, has not specified the time Zee should be given. NCLT Mumbai is scheduled to resume hearing in the case today.
JSW Energy: The company has signed a contract with GE Renewable Energy for supply of 810 MW of onshore wind turbines for the company’s underconstruction pipeline of 2.5 GW of renewable projects in India. The supply of the turbines will start by the second quarter of CY2022.
Great Eastern Shipping Company: SBI Mutual Fund sold 8.44 lakh equity shares in the company via an open market transaction on October 6, reducing shareholding to 2.85% from 3.43% earlier.
Ratnamani Metals & Tubes: The company has received a new order of Rs 98 crore for the supply of carbon steel pipes from the domestic oil and gas sector, to be executed in 5 to 12 months.
IL&FS Transportation Networks: To sell stake in Warora Chandrapur Ballarpur Toll Road, an associate of the company, to Vishvaraj Infrastructure for Rs 12.25 crore. The sale is expected to be completed by January 31, 2022.
National Aluminium Co.: A patent has been granted jointly to Jawaharlal Nehru Aluminium Research Development and Design Centre and Nalco by Controller of Patent for an invention entitled "Determination of calcium in alumina hydrate, calcined alumina and process liquor.”
Oberoi Realty: Units booked in Q2 at 200 vs 45 YoY (39 QoQ); Booking value in Q2 at Rs 828.52 crore vs Rs 327.30 YoY (Rs 169.97 QoQ); Area booked in Q2 at 4,43,716 square feet vs 1,30,236 square feed YoY (92,128 square feet QoQ)
Earnings: Tata Consultancy Services
InterGlobe Aviation: Rahul Gangwal, co-promoter of InterGlobe Aviation Ltd. has moved the Delhi High Court to seek enforcement of an arbitral award in his shareholder dispute with co-promoter Rahul Bhatia
Zee Entertainment Enterprises: NCLT made an error in not granting enough time to Zee for replying to Invesco Developing Markets Fund’s petition seeking an extraordinary general meeting of the company, NCLAT said. The NCLAT, however, has not specified the time Zee should be given. NCLT Mumbai is scheduled to resume hearing in the case today.
JSW Energy: The company has signed a contract with GE Renewable Energy for supply of 810 MW of onshore wind turbines for the company’s underconstruction pipeline of 2.5 GW of renewable projects in India. The supply of the turbines will start by the second quarter of CY2022.
Great Eastern Shipping Company: SBI Mutual Fund sold 8.44 lakh equity shares in the company via an open market transaction on October 6, reducing shareholding to 2.85% from 3.43% earlier.
Ratnamani Metals & Tubes: The company has received a new order of Rs 98 crore for the supply of carbon steel pipes from the domestic oil and gas sector, to be executed in 5 to 12 months.
IL&FS Transportation Networks: To sell stake in Warora Chandrapur Ballarpur Toll Road, an associate of the company, to Vishvaraj Infrastructure for Rs 12.25 crore. The sale is expected to be completed by January 31, 2022.
National Aluminium Co.: A patent has been granted jointly to Jawaharlal Nehru Aluminium Research Development and Design Centre and Nalco by Controller of Patent for an invention entitled "Determination of calcium in alumina hydrate, calcined alumina and process liquor.”
Oberoi Realty: Units booked in Q2 at 200 vs 45 YoY (39 QoQ); Booking value in Q2 at Rs 828.52 crore vs Rs 327.30 YoY (Rs 169.97 QoQ); Area booked in Q2 at 4,43,716 square feet vs 1,30,236 square feed YoY (92,128 square feet QoQ)
Earnings: Tata Consultancy Services
Stocks To Watch
Reliance Industries: Reliance New Energy Solar, a subsidiary of the company, has acquired REC Solar Holdings AS from China National Bluestar Co for an enterprise value of $771 million. REC Solar is one of the world's leading solar cell, panels and polysilicon manufacturer.
Tata Motors: Jaguar Land Rover Q2 FY22 retail sales continued to be constrained by the impact of the global semiconductor shortage on production, with wholesales for the period in line with July guidance. Retail sales were down 18.4% year-on-year at 92,710 vehicles Vs 1,13,569 vehicles. Wholesales totalled 64,032 units (excluding the China JV), down 12.8% YoY.
Tata Group stocks: Tata Sons emerged as the winning bidder of Air India. It made an offer of Rs 18,000 crore. The reserve price was Rs 12,906 crore. Tata Group will get 100% stake in Air India, including its wholly owned subsidiary Air India Express, and 50% in ground handling unit Air India SATS Airports Services Pvt.
Maruti Suzuki India: Total production in September down 51.06% to 81,278 units Vs 1,66,086 units last year.
GOCL Corporation: IDL Explosives, a subsidiary of company, has bagged order of Rs 592.45 crore from Coal India, for supply of bulk explosives, to be supplied over a period of 2 years.
Cadila Healthcare: Fortress Biotech partner company Cyprium Therapeutics, with support from its licensing partner Sentynl Therapeutics, has announced positive results from an efficacy and safety analysis of data integrated from two completed pivotal studies in patients with Menkes disease treated with CUTX-101, copper histidinate.
Jubilant Ingrevia: To acquire of 26.60% stake in AMP Energy Green Fifteen for Rs 5.11 crore. The acquisition is expected to be completed in six months. The company has acquired stake in AMP to put up solar power plant with capacity of 15.5 MW under captive scheme.
Gujarat Pipavav Port: Q2 container volume down 6.54% year-on-year at 157 TEUs versus 168 TEUs. Dry bulk volume up 52.74% at 1.39 MT Vs 0.91 MT.
Equitas Small Finance Bank: Provisional Q2 FY22 CASA Ratio at 45% compared to 40% in Q1. Total deposits up 6% at Rs 18,094 crore Vs Rs 17,095 crore. Gross Advances at Rs 18,981 crore Vs Rs 17,837 crore.
Adani Total Gas: The company has forayed into compressed bio-gas business. It has signed a definitive agreement with Shri Mataji Gauvansh Seva Sansthan for exclusively collaborating on the establishment of a bio-conversion plant with a design capacity of about 350 tonnes per day of feed processing at Mathura, Uttar Pradesh based on cattle dung as the primary biomass along with other biomass including napier grass, press mud, etc.
TCS: Board has approved the re-appointment of Rajesh Gopinathan as CEO and MD for a term of five years from February 21, 2022.
RITES: The company has named Rahul Mithal as Chairman and MD.
Gland Pharma: The company has received tentative approval from the U.S. FDA for Sugammadex Injection. The injection is used to reverse the effects of the muscle relaxants Rocuronium Bromide and Vecuronium Bromide given to patients during surgery.
Bank of Maharashtra: The bank has reduced Marginal Cost of Funds Based Lending Rate by 0.10% across tenors. The Repo Rate Linked Lending Rate has been revised from 6.90% to 6.80% w.e.f. October 11.
Earnings: Delta Corp, HFCL, Krsnaa Diagnostics, Ramkrishna Forgings, Saregama India, Tata Metaliks, Tinplate Company of India.
Reliance Industries: Reliance New Energy Solar, a subsidiary of the company, has acquired REC Solar Holdings AS from China National Bluestar Co for an enterprise value of $771 million. REC Solar is one of the world's leading solar cell, panels and polysilicon manufacturer.
Tata Motors: Jaguar Land Rover Q2 FY22 retail sales continued to be constrained by the impact of the global semiconductor shortage on production, with wholesales for the period in line with July guidance. Retail sales were down 18.4% year-on-year at 92,710 vehicles Vs 1,13,569 vehicles. Wholesales totalled 64,032 units (excluding the China JV), down 12.8% YoY.
Tata Group stocks: Tata Sons emerged as the winning bidder of Air India. It made an offer of Rs 18,000 crore. The reserve price was Rs 12,906 crore. Tata Group will get 100% stake in Air India, including its wholly owned subsidiary Air India Express, and 50% in ground handling unit Air India SATS Airports Services Pvt.
Maruti Suzuki India: Total production in September down 51.06% to 81,278 units Vs 1,66,086 units last year.
GOCL Corporation: IDL Explosives, a subsidiary of company, has bagged order of Rs 592.45 crore from Coal India, for supply of bulk explosives, to be supplied over a period of 2 years.
Cadila Healthcare: Fortress Biotech partner company Cyprium Therapeutics, with support from its licensing partner Sentynl Therapeutics, has announced positive results from an efficacy and safety analysis of data integrated from two completed pivotal studies in patients with Menkes disease treated with CUTX-101, copper histidinate.
Jubilant Ingrevia: To acquire of 26.60% stake in AMP Energy Green Fifteen for Rs 5.11 crore. The acquisition is expected to be completed in six months. The company has acquired stake in AMP to put up solar power plant with capacity of 15.5 MW under captive scheme.
Gujarat Pipavav Port: Q2 container volume down 6.54% year-on-year at 157 TEUs versus 168 TEUs. Dry bulk volume up 52.74% at 1.39 MT Vs 0.91 MT.
Equitas Small Finance Bank: Provisional Q2 FY22 CASA Ratio at 45% compared to 40% in Q1. Total deposits up 6% at Rs 18,094 crore Vs Rs 17,095 crore. Gross Advances at Rs 18,981 crore Vs Rs 17,837 crore.
Adani Total Gas: The company has forayed into compressed bio-gas business. It has signed a definitive agreement with Shri Mataji Gauvansh Seva Sansthan for exclusively collaborating on the establishment of a bio-conversion plant with a design capacity of about 350 tonnes per day of feed processing at Mathura, Uttar Pradesh based on cattle dung as the primary biomass along with other biomass including napier grass, press mud, etc.
TCS: Board has approved the re-appointment of Rajesh Gopinathan as CEO and MD for a term of five years from February 21, 2022.
RITES: The company has named Rahul Mithal as Chairman and MD.
Gland Pharma: The company has received tentative approval from the U.S. FDA for Sugammadex Injection. The injection is used to reverse the effects of the muscle relaxants Rocuronium Bromide and Vecuronium Bromide given to patients during surgery.
Bank of Maharashtra: The bank has reduced Marginal Cost of Funds Based Lending Rate by 0.10% across tenors. The Repo Rate Linked Lending Rate has been revised from 6.90% to 6.80% w.e.f. October 11.
Earnings: Delta Corp, HFCL, Krsnaa Diagnostics, Ramkrishna Forgings, Saregama India, Tata Metaliks, Tinplate Company of India.
11 - Capital Goods Sector Stocks
With PE Ratio of Above 50
1. Siemens 72.30
2. ABB 106.44
3. Thermax 62.83
4. Elgi Equip 51.97
5. V-Guard 51.09
6. ABB Pow 86.77
7. BEML 91.48
8. Triveni Turbi 54.17
9. GE T&D 54.69
10. Thejo Eng 57.93
11. Morga Crucib 86.12
TTM Ending 21-06
With PE Ratio of Above 50
1. Siemens 72.30
2. ABB 106.44
3. Thermax 62.83
4. Elgi Equip 51.97
5. V-Guard 51.09
6. ABB Pow 86.77
7. BEML 91.48
8. Triveni Turbi 54.17
9. GE T&D 54.69
10. Thejo Eng 57.93
11. Morga Crucib 86.12
TTM Ending 21-06