Skip to main content

Sensex, Nifty close flat; banks lead, telecom & FMCG fall

03:30pm Market Closing: The market saw consolidation on Friday after a steep fall in previous session. The Sensex rose 1.06 points to 27458.64 while the Nifty fell 0.75 points to 8341.40.

About 1092 shares have advanced, 1777 shares declined, and 170 shares are unchanged on the BSE.
Hindalco Industries, Infosys, SBI, Larsen & Toubro, ICICI Bank and IDFC rallied 2-4 percent whereas Bharti Airtel, Wipro, Reliance Industries, ITC, M&M, Idea Cellular, Cairn India and HCL Tech lost 2-6 percent.

02:55pm SpiceJet falls: Low-cost carrier SpiceJet will have to cancel more than a fifth of its planned daily flights if it cannot reach an agreement with its lessors to bring in more aircraft by the end of this month, a company spokesman said.

SpiceJet, which came close to collapsing in December after running out of cash to pay its creditors, is scheduled to make 280 daily flights from next week.

But with its current fleet at 17 Boeing 737 jets and 15 Bombardier Q400s SpiceJet can only fly 218 journeys a day, the spokesman said on Friday.

SpiceJet lost 11 of its Boeing planes after the Delhi High Court this month ordered the aviation regulator to deregister the jets, following disputes with three lessors.

The troubles of India's second-largest budget carrier by market share have underlined the difficulties of operating in the country, where air travel is growing rapidly but high costs and tough competition have left most carriers unprofitable.

The company spokesman said SpiceJet is in talks to resolve disputes with two of its lessors and get back enough planes to allow it to meet its summer schedule. On Monday it said one of its lessors had agreed to withdraw the deregistion process, reports Reuters.

02:30pm Interview: Talking on the business prospects going forward Vimal Kejriwal, MD & CEO, KEC International said January to March quarter has always been the best. Historically, about 40-45 percent of the company's revenues come from the fourth quarter.

The company has already announced orders worth Rs 2000 crore in Q3 and Q4 and the total order book by March-end would be between Rs 8000-10000 crores. So, the revenues and margins in Q4 and the next fiscal would improve considerably, he adds.

He expects 150-200 basis points improvement in margins for the next fiscal. In the current year the margins were low due to significant losses in the new business of water and railway but now these loss making orders are getting closed, adds Kejriwal.

According to Kejriwal, the order inflow in first three quarters was not significant even though tenders were floated but now clients like Power Grid and utilities are keen to award those tenders.

02:00pm Market Check

The market recouped its losses to trade flat amid consolidation in afternoon. The Sensex declined 5.63 points to 27451.95 and the Nifty slipped 12.60 points to 8329.55.

The broader markets too cut its half of the losses, down around 0.4 percent. The market breadth remained negative with advance:decline ratio of 902:1830 on the Bombay Stock Exchange.

Valuations for Indian market have gotten out of hand and the next 12 months could be “very painful” for some parts of it, believes Dimensions Consulting’s Ajay Srivastava.

Srivastava said that economy looked “fundamentally positive” in the wake of reforms undertaken by the government, but the steps will take time to percolate down to earnings.

India's biggest lenders State Bank of India and ICICI Bank climbed over 2 percent followed by HDFC Bank with 0.6 percent whereas housing finance company HDFC remained under pressure, down 1 percent.

Infosys rose 2.6 percent after unlisted rival Accenture raised its revenue growth guidance for the current calendar year 2015 to 8-10 percent Y-o-Y in local currency (against its previous 5-8 percent Y-o-Y guidance).

Shares of Larsen and Toubro (L&T) gained 1.65 percent following order worth Rs 1,711 crore win by subsidiary and plans to list businesses over next three years. More information please visit this site www.shristocktips.com

Comments

Popular posts from this blog

Market Update: PSU bank index outperforms as PNB, Syndicate Bank jump 2-5%; JP Associates zooms 11%

The market breadth was in favour of the advances with 957 stocks advancing while 668 declined and 383 remained unchanged. On the other hand, in the BSE, 1176 stocks advanced and 888 declined and 108 remained unchanged.

The Indian markets on Friday morning were trading flat with the Nifty shedding 51 points or 0.49 percent  while the Sensex was down 178 points.

The Nifty PSU banking index was up 0.6 percent led by stocks like Syndicate Bank which jumped 5 percent followed by Allahabad Bank which gained over 3 percent. IDBI Bank and OBC were the other gainers. PNB gained 2.38 percent.

The top Nifty gainers included Mahindra & Mahindra and Aurobindo Pharma which were up 1.7 percent each followed by UPL, Yes Bank and Zee Entertainment.

The top Nifty losers included IOC and BPCL which fell 2 percent each followed by HPCL, Tata Motors and NTPC.

The most active Nifty stocks included IDBI bank which jumped over 3 percent while JP Associates zoomed over 10 percent after Rakesh Jhunjhunwala…

HDFC Sec retains sell on Bharti Infratel, reduces target to Rs 310 despite 22% fall in last 2 months

The share price has declined from a peak of Rs 480 to Rs 373 (22 percent) in last two months.

Bharti Infratel shares declined 1.5 percent to close at Rs 368 on Tuesday after HDFC Securities has reiterated its Sell rating on the stock with revised target price at Rs 310 (from Rs 387 per share) despite sharp fall in last two months. INDIAN STOCK TIPS

The share price has declined from a peak of Rs 480 to Rs 373 (22 percent) in last two months.

"Target price is based on 20x Dec-19E EPS (Rs 356) for business as usual (versus 24x earlier) less impact of Rs 60 per share from Vodafone-Idea merger (versus Rs 39 per share earlier) and likely acquisition of Vodafone-Idea stake in Indus at enterprise value of Rs 50 lakh per tower (+Rs 15 per share)," the research house said.

It further said the key reason for the de-rating is instant loss of tenancies on merger of Vodafone-Idea and impact of Reliance Communications and Aircel businesses’ scaling down.

This would push back Bharti Infrat…

Nifty could slip towards 9,900; 3 stocks which could give up to 11% return

A close beyond 10,400 levels with healthy volumes can pause the current bearishness triggering a short covering to levels of 10,640-10,730.

The Nifty index Futures continued to slide lower for the second month in a row making it 10 percent decline from the record highs. Further, it has broken down from a broadening wedge pattern along with a close below the 200-DMA, affirming weakness dominant in the markets at the moment.

A sustained trade below 10,050 can accelerate the fall to levels of 9,930-9,700. However, a close beyond 10,400 levels with healthy volumes can pause the current bearishness triggering a short covering to levels of 10,640-10,730.

Moreover, the relative strength index or the RSI has turned down from the neutral levels of 50 on two occasions in recent pullbacks suggesting further weakness in the coming trading sessions.

Here is the list of stocks which can give up to 11 percent return:

Arvind Ltd: SELL| Target Rs345| Stop Loss Rs410| Return 11%

On the weekly chart, Arv…