BUDGET: Assure taxpayers contribution used on development, welfare

BUDGET: Average processing time of tax returns 10 days from 90 days in FY14

BUDGET: Average GST collections doubled to 1.66 lakh Cr Rs

BUDGET: No changes in taxation

BUDGET: Don not propose any tax changes for FY25

BUDGET: To extend certain tax benefits to sovereign funds, start - ups to March 2025

BUDGET: Withdraws pre-FY10 disputed tax demand of up to 25,000 Rs, will benefit 1 Cr taxpayers from old tax demand withdrawal.

BUDGET: Withdraws GY10-15 disputed tax demand of up to 10,000 Rs

BUDGET: To lay white paper on lessons from mismanagement before 2014

Previous Month Performance

Stocks to Watch

Hero MotoCorp: 
Recorded total sales of 4,33,598 units in January, up 21.6% from a year ago. Domestic sales increased 20.5% to 4.2 lakh units and exports jumped 74.6% to 12,664 units.

Paytm:
 Management said during an analyst call that the RBI's actions were a big speed bump and that operational changes would be required. The stock hit the 20% lower circuit soon after the market opened on Thursday.

Indian Hotels:
 Net profit was up 18.2% to ₹476.9 crore in Q3 from a year ago, revenue up 16.5%. Ebitda increased 22.6% yoy, while margin was 37.3% from 35.4% last year. Revenue for the quarter was led by 21% growth in room revenue. International RevPAR growth of 9% yoy due to 70% occupancy levels.

Abbott India:
 Posted 26% growth in net profit to ₹311 crore for the December quarter. Revenue from operations grew 8.7% to ₹1,437 crore from a year ago.

Mphasis: 
Direct revenue up 2% sequentially and up 1.3% in constant currency terms. New deal wins worth $241 million. Management said it was seeing signs of stability despite seasonal softness in the quarter.

Eicher Motors: 
Flagship brand Royal Enfield sold 76,187 motorcycles in January, up 2% from 74,746 units a year ago. However, exports sales dropped 20% to 5,631 motorcycles.

Panacea Biotec: 
The USFDA has classified the inspection of the facility of the company's subsidiary Panacea Biotec Pharma in Baddi, Himachal Pradesh, as ‘official action indicated’.

Sonata Software: 
Clocked a net loss of ₹46.2 crore for the December quarter against a profit of ₹124.2 crore in the previous quarter. Consolidated revenue from operations grew 30.4% sequentially to ₹2,493.3 crore in the quarter

Bata India: 
Recorded a net profit at ₹57.3 crore in the December quarter, down 31% from a year ago, thanks to a tepid topline and weak operating numbers. Revenue from operations grew 0.4% yoy to ₹903.5 crore.

Swing signal ⛳⛳⛳
Prakash industries 218
SL below 190
T 245 275

STOCKS TO WATCH

Bajaj Finance: The non-banking financial company will acquire a 7% stake on a fully diluted basis in RMBS Development Co. for an undisclosed amount.

Aurobindo Pharma: The USFDA inspected the company's unit in Telangana and closed with nine inspections. The company temporarily stopped manufacturing on certain lines.

India Cements: The Enforcement Directorate searched the company's Chennai office and was looking into certain forex transactions done by associate company India Cements Capital.

H.G. Infra Engineering: The company received a letter of acceptance from the Central Railway for a Rs 716 crore construction project.

Mahindra and Mahindra Financial Services: The company reported disbursement at Rs 4,440
crore, up 11% YoY, and collection efficiency at 95%.

Cochin Shipyard: The company received a contract worth Rs 150 crore from the Indian Navy for medium refits of two vessels.

Torrent Pharmaceuticals: Sudhir Mehta will step down as director and continue to be the chairman emeritus, effective April 1.

Atul: The company completed capacity expansion at the DCDPS plant and approved an investment of Rs 99.5 crore for expansion.

Torrent Power: The company will set up 150 MW of solar power projects at four of Shapoorji's desalination plants.

India Glycols: The company expanded the capacity of the grain-based distillery plant in Gorakhpur to 290 KLPD from 110 KLPD.

Air India: has taken the delivery of its second Airbus A350 aircraft

📢  Breaking News: India aims for a 10% share in 6G technology patents through collaborative efforts, led by the Government of India (GOI).

🗼16 companies serving the telecom industry through equipment and infrastructure services

🔹Indus Towers
🔹ITI Ltd
🔹Tejas Networks Ltd
🔹ADC India Communications
🔹Avantel Ltd
🔹Sterlite Technologies
🔹Cords Cable Industries
🔹Birla Cable
🔹Kore Digital
🔹Frog Cellsat
🔹Vindhya Telelinks
🔹HFCL Ltd
🔹Bondada Engineering
🔹Sar Televenture
🔹Railtel Corporation of India
🔹NELCO Ltd

114

STOCKS IN ACTION

Telecom Stocks: The Union Cabinet announced its approval for a 10,523 MHz spectrum auction this fiscal year, with a reserve price of Rs 96,317 crore. The auction will be held for spectrum in the 800 MHz, 900 MHz, 1,800 MHz, 2,100 MHz, 2,300 MHz, 2,500 MHz, 3,300 MHz, and 26 GHz frequency bands, with a validity period of 20 years. (Reliance Industries, Bharti Airtel, and Vodafone Idea will be in focus.)

One 97 Communications: Payt Payments Bank board member Manju Agarwal has resigned from the company, people with knowledge of the matter told NDTV Profit. Agarwal, who served on the board as an independent director, resigned with effect from Feb. 1 this year.

Zee Entertainment Enterprise: The market regulator, in an interim order, has asked several guest experts on Zee Business to repay Rs 7.41 crore in alleged unlawful gains made by taking positions opposite to their on-air advice.

Bharat Heavy Electricals: The company received an order worth Rs 5,500 crore from Haryana
Power Generation Corp. for up to a 1×800 MW ultra-supercritical expansion unit in Haryana.

TVS Supply Chain Solutions: The company signed a settlement agreement in relation to certain disputes. TVS Australia will make aggregate payments amounting to $6 million.

Trident: The company granted a patent for a soft-profiled terry fabric with an improved loop configuration.

Sequent Scientific: The company proposed the sale of land measuring 7,481 square metres for
Rs 7.82 crore.

Balmer Lawrie: The company will establish a 200 kilo liters per day first-generation grain-based
ethanol plant in Andhra Pradesh.

IRCTC: The company signed a Memorandum of Understanding with the Uttarakhand government to operate tourist trains in the state.

Dynamatic Technologies: The company was awarded a large order from Europe-based multinational company Airbus to manufacture and assemble doors for Airbus' A220 family of aircraft.

Signatureglobal (India): The company entered into a joint development agreement for 20.32 acres located in Gurugram. The land has an overall potential developable area of approximately
2.84 million square feet.

BHEL: gets Rs 5,500 crore order from HPGCL for setting up 1x800 MW ultra super critical expansion unit.

Stocks to Watch

Infosys: 
Recovering from the loss of a billion-dollar deal in December, Infosys has kicked off 2024 with momentum, securing two significant contracts. The most recent is a $300 million contract with Singapore-based Pacific International Lines running until 2027, according to industry executives. The Singapore deal marks Infosys's second significant multi-year contract announcement within a month, following a seven-year agreement with Irish food retailer Musgrave on 31 January to automate its IT functions using AI and cloud solutions. For the December-ended quarter, Infosys announced large deal total contract value of $3.2 billion in Q3FY24, a decline from $7.7 billion in 2QFY24. This includes a net new of 71%.

Coal India: 
The state-run company on Thursday signed a memorandum of understanding (MoU) with Haryana Power Purchase Centre for supply of 800 megawatt (MW) of electricity from Mahanadi Basin Power Ltd. This agreement lays the foundation for a future power purchase agreement, and will help Haryana meet its rising energy demand, Coal India said in a statement.

Vedanta: 
Promoters of mining and resources major Vedanta offloaded a 1.76% stake in the company for ₹1,737 crore on Thursday through a bulk deal on BSE, data shows. The stake was sold by Finsider International Co. Ltd, a promoter entity, for a weighted average price of ₹265.14 per share. This translates to a discount of 5% over Wednesday’s closing price. Vedanta shares closed 4% lower on BSE on Thursday at ₹268 apiece.

NBCC: 
The state-owned construction firm expects to meet its revenue target of ₹10,000 crore in FY24 riding on its strong performance in the third quarter of the current financial year, its Chairman and MD, KP Mahadevaswamy, said to CNBC-TV18 on Thursday. According to Mahadevaswamy, the public sector undertaking is well positioned to meet its revenue target and it may further extend to ₹13,000 crore in the next financial year. NBCC reported ₹2,412.6 crore in revenue in Q3FY24, up 13% from the year-ago period. Its net profit swelled 58.9% to ₹113.16 crore in the December quarter year-on-year.

Axis Bank: 
Senior BJP leader Subramanian Swamy on Thursday moved the Delhi High Court alleging a scam of nearly ₹5,100 crore in the way Axis Bank sold and purchased shares of insurer Max Life Insurance Company. Max Life is a joint venture between Max Financial Services and private lender Axis Bank. On 6 February, the Insurance Regulatory and Development Authority of India (Irdai) approved Axis Bank’s proposal to purchase another 7% in Max Life for ₹1,612 crore. After this, the Axis group entities will collectively own 19.02% of the insurer, up from less than 13% currently.

Yes Bank: 
Global investment firm The Carlyle Group on Thursday sold a 1.3% stake, amounting to 39 crore shares, in the private sector lender for ₹1,057 crore through an open market transaction on BSE. According to the bulk deal data available on BSE, the shares were disposed of at an average price of ₹27.10 apiece. Meanwhile, Morgan Stanley Asia Singapore Pte acquired more than 30.63 crore equity shares, representing a 1.06% stake in Yes Bank. The shares were purchased at the same price, taking the deal size to ₹830.08 crore.

HDFC Bank: 
The private bank plans to launch the Home Saver product in April and Home Refurbishment loans in the coming months, said a senior bank official on Thursday. The Home Saver product is like an overdraft facility and will directly compete with the State Bank of India’s Maxgain home loan scheme. HDFC Ltd offered a Home Refurbishment loan before its merger with HDFC Bank, and it will be relaunched soon

#HDFCBank in 3 Years: -10%
#KotakMahindra in 3 Years: -10%

Meanwhile

#Banknifty +24%

#SBI  +83%
#Icicibank  +64%
#AxisBank +44%
#IndusindBank +38%
#IDFCFirstBank +27%

J&K Bank +360%
#UCO +320%
#SouthIndian +280%
#IOB +272%
#IndianBank +270%
#CanaraBank +250%
#PSB +225%
#DhanlakshmiBank +210%
#CentralBank +200%
#PNB +192%
#BankOfBaroda +190%
#BankOfMah 160%
#FederalBank +75%
#BankOfIndia +62%
#DCBBank +16%

🤔🤔🤔

Short term Signal ⛳️⛳️⛳️
HCG 380
CLBS SL 340
T  430

33 % UP

Stocks to watch

Hindalco Industries:
The company has decided to take its US subsidiary Novelis Inc. public, 17 years after the Aditya Birla group flagship snapped up the top aluminium maker that now fetches over half of its revenue. In a surprise announcement on Tuesday, Novelis said it has submitted a confidential filing for an initial public offering (IPO) with the US Securities and Exchange Commission (SEC). The IPO will be a secondary sale of shares by Hindalco, meaning Novelis will not receive any capital as part of the offer. Hindalco owns 100% of Novelis.

Devyani International:
Yum Restaurants India is likely to sell its entire 4.4% stake in quick service restaurant firm Devyani International through a block deal to raise ₹814.8 crore, CNBC-TV18 reported on February 20 quoting sources. The floor price of the deal is likely fixed at ₹153.5 per share, a 7.6% discount to Devyani International's closing price on Tuesday. As of December 30, Yum Restaurants India held 5 crore shares in Devyani International. Devyani International is the largest franchisee for Yum Brands which operates KFC, Pizza Hut, and Taco Bell in India and the sole franchisee for Costa Coffee.

Union Bank of India:
The public sector lender on Tuesday said the Committee of Directors for Raising Capital Funds has approved the raising of funds up to ₹3,000 crore via qualified institutions placement (QIP), it announced in an exchange filing. Union Bank of India said it approved the floor price of ₹142.78 per equity share for the issue and approved the opening of the issue today, i.e. February 20, 2024.

Reliance Industries, Tata Power, Adani Power, Vedanta:
The government will invite private firms to invest about $26 billion in the nuclear energy sector to increase the amount of electricity from sources that don't produce carbon dioxide emissions, a report by news agency Reuters said. The government is in talks with at least five private firms including Reliance Industries, Tata Power, Adani Power and Vedanta to invest around ₹44,000 crore each, the report said. The Department of Atomic Energy and state-run Nuclear Power Corp of India Ltd (NPCIL) have held multiple rounds of discussions with the private companies in the past year on the investment plan.

JSW Steel, Tata Steel, ACC, JK Cement:
These are among the 27 companies that have submitted bids for coal mines under the latest round of coal mine auctions which included the ninth round and the second attempt for seventh round. A total of 27 mines were on offer in the ninth round, while bids were received only for 13 mines, according to a statement from the union ministry of coal. Among the companies, Rungta Sons submitted the highest number of bids, with bids for five mines, followed by JSW Steel and JK Cement which have submitted bids for four mines each. Tata Steel has bid for two mines, while ACC has placed bids for one mine.

Power Finance Corp.:
The state-run company on Tuesday signed a memorandum of understanding (MoU) with the Goa government to fund the state’s green energy ambitions through a blended finance facility. Under the MoU, PFC will provide financial support for Goa’s pivotal climate-related projects. These include initiatives in renewable energy, green hydrogen, electric vehicles, converting waste to wealth, and nature-based solutions, all contributing to an energy transition.


HDFC Bank:
India’s largest private sector lender does not plan to grow “just for the sake of market share", chief executive Sashidhar Jagdishan said on Monday, a month after the lender faced investor ire over lower-than-expected margins in the December quarter. “We are not in the quantity game at all; we do not want to grow just for the sake of market share. This is not a new philosophy," said Jagdishan. He highlighted the bank's consistent performance in net interest margins, which have remained in the range of 4-4.4% over the years, excluding the integration effects of the Housing Development Finance Corp Ltd (HDFC) merger.

Stocks to watch

Wipro:
The IT services giant on Wednesday disclosed a new deal with US chipmaker, Intel Foundry. The deal with the chip development division of Intel will see Wipro engineers work on Intel’s latest ‘18A’ chip node that will be used in cutting-edge consumer electronics devices next year onward. In an exchange filing, Wipro said the deal will cater to chip designs for clients across automotive, industrial and telecommunications verticals, and be used for “generative AI-driven designs".

Eureka Forbes:
Lunolux, the promoter of Eureka Forbes, will sell up to a 12% stake in the household appliances maker for $138.6 million ( ₹1,148.7crore) through a block deal on Thursday, people with knowledge of the deal said. Advent International, which owns Lunolux, had bought a majority stake in Eureka Forbes from Shapoorji Pallonji Group for ₹4,400 crore in 2021. As on December 2023, it held around 72.56% stake in the company. The block deal will be offered at a floor price of ₹494.75 per share, a 3% discount from Wednesday’s closing price of ₹510.05 on BSE.

Vedanta:
The Tamil Nadu government told the Supreme Court that Vedanta’s Sterlite Copper plant should not be considered a national asset or deemed necessary to reopen to fulfill the country’s copper demand. The state instead pointed to Adani Group’s forthcoming copper smelter plant in Gujarat as capable of fulfilling India’s copper demand. The Tamil Nadu government opposed granting Vedanta any opportunity to reopen its plant in Thoothukudi, alleging that the company was a repeat offender and polluter.


Bank of Baroda:
The bank on Wednesday raised ₹2,500 crore through its second tranche of Basel III compliant Tier 2 Bond at a coupon rate of 7.57%, surpassing market expectations of 7.63% to 7.65%. The bonds are issued for a tenor of 10 years, with the first call option after 5 years. The issue attracted an overwhelming response from the investors with total bids reaching more than six times the base issue size of ₹1,000 crore, totalling ₹6,237 crores, and 2.5 times the total issue size of Rs. 2,500 crore.

JSW Steel:
Steel tycoon Sajjan Jindal plans to borrow $750 million for capital expenditure purposes as India’s largest steel mill targets a major capacity expansion, according to people in the know. JSW Steel, part of the $23-billion JSW Group, is sounding out lenders and a mandate is likely in the coming days, the people said, asking not to be identified as the information is private. The loan’s tenor and pricing will be finalized later as the deal proceeds.

Zee Entertainment Enterprises:
The Securities and Exchange Board of India will question the top management of Zee, two people close to the development said. Sebi's initial findings in June last year said ₹200 crore from the company was diverted through related party transactions. This was contested by the father-son duo before the Securities Appellate Tribunal (SAT). However, Sebi later informed the tribunal that it was conducting a wider investigation as there were several layers to the transactions. The regulator told the tribunal it found Chandra had issued a letter of comfort for ₹4,210 crore in his capacity as chairman of Essel Group.

HFCL:
The company's board has approved a strategic expansion of the company into Europe. In that course, it will set up a state-of-the-art optical fiber cable manufacturing facility in Poland, with an investment of up to ₹144 crore. The facility will have an initial capacity of 3.25 MFkm, with a potential to scale it higher to 7 MFkm per annum. The plant is likely to be set up by February 2025 and the ₹144 crore investment will be done through debt and internal accruals.

Indian Energy Exchange:
The Central Electricity Regulatory Commission (CERC) has ordered an audit of the processes and software deployed by the country's three power exchanges in the next six months and barred the bourses from manually registering bids after trading hours, after detecting “increasing instances" of violation of rules.