Market Live: Sensex tests 33,000 in opening, Nifty trades flat; Bharti Infra dips
Tue Nov 14 2017
Rajesh Sharma (1890 articles)

Market Live: Sensex tests 33,000 in opening, Nifty trades flat; Bharti Infra dips

10:26 am Market Outlook: The September quarter earnings season is almost over and thankfully it has not been that disappointing as was expected. India Inc. reported results which were largely in-line with estimates but the recovery in earnings is likely to take place only by second half of FY18.

“In general, companies have reported decent numbers compared to expectations. In terms of Nifty50 names, EBITDA is slightly ahead of our estimates especially for companies such as RIL, Tata Motors, Bharti Airtel etc.” Sanjeev Prasad, co-head, Kotak Institutional Equities said in an interview with CNBC-TV18.

10:12 am Order Win: Shares of Jain Irrigation Systems rose 1.6 percent as it has received contract worth Rs 183 crore.

The company’s pipe division has been awarded a contract of Jalgaon City Water Supply Scheme under the Amrut Abhiyan Yojana.

The contract includes design and construction of 661Km of pipeline and required elevated storage reservoirs and pump houses.

The said project is to be completed in 24 months.

In the last one month, this is a third major project, in the water supply sector i.e. drinking & piped irrigation has been awarded to pipe division of the company, as per company release.

Here are the top headlines at 10 am from Moneycontrol News’ Anchal Pathak

10:00 am Listing: Footwear retailer Khadim India started off the first day on a tepid note. The stock listed at Rs 723 on the National Stock Exhange, a 3.6 percent discount to issue price of Rs 750 per share.

The stock fell as much as 4.5 percent in early trade to hit day’s low of Rs 716 while its pre-opening price of Rs 730 remained the highest level.

9:55 am Bids for Jaypee Infratech: Metals and mining giant Vedanta has submitted a preliminary expression of interest (EoI) for Jaypee Infratech currently undergoing the Insolvency Resolution Proceedings (IRP).

The company has “submitted a preliminary non-binding Expression of Interest for submission of resolution plan of Jaypee Infratech Ltd under corporate insolvency process (CIRP),” Vedanta Ltd said in a BSE filing.

It, however, said that no negotiations have taken place on this with Jaypee Infratech Ltd.

The statement comes amid reports that Vedanta is among the few players who have shown interest in buying Jaypee Infratech in full or in part.

9:50 am Pre-opening: Khadim India share price has settled at Rs 730 on the National Stock Exchange, lower by 2.7 percent from issue price of Rs 750 per share.

9:45 am Earnings Reaction: Shares of Madhucon Projects, Jindal Poly Films and Tamil Nadu Newsprint were down 3-8 percent in morning on the back of poor Q2 (July-September) numbers.

Madhucon Projects has recorded 64 percent fall in its Q2 net profit at RS 3.3 crore and revenue was down 14 percent at Rs 118 crore.

Jindal Poly Films’ Q2 net profit declined 40 percent at Rs 41.2 crore and revenue was down 2 percent at Rs 1,807 crore. EBITDA was flat at Rs 162.6 crore, while margin was up 20 bps at 9 percent.

Tamil Nadu Newsprint (TNPL) has reported loss of Rs 13 crore in the quarter ended September against profit of Rs 70.5 crore, in the same quarter last fiscal.

9:36 am Buzzing: Share price of Havells India gained 1 percent in the early trade on signing pact with Hyundai Electric & Energy Systems.

Hyundai Electric & Energy Systems and Havells India announced the signing of memorandum of understanding (MoU) to mutually explore and supply low and medium voltage protection and switching devices, as per company release.

Under the agreement, Hyundai Electric will supply low and medium voltage protection and switching devices to Havells as brand labeling.

Hyundai Electric will also grant manufacturing license and technology transfer for low-capacity Magnetic Contactors (MC) and Molded Case Circuit Breakers (MCCBs) to Havells.

9:26 am Listing: Footwear retailer Khadim India will list on the bourses today following the conclusion of its Rs 543 crore initial public offer last week.

Khadim India’s IPO was subscribed 1.90 times during November 2-6. The price band for the offer was fixed at Rs 745-750 per share.

The IPO comprised fresh issue of equity shares aggregating up to Rs 50 crore, besides an offer for sale of up to 65,74,093 shares by existing shareholders.

The net proceeds from the issue are to be utilised towards payment of loans and general corporate purposes. Axis Capital and IDFC Bank were the book running lead managers to the issue.

9:20 am MSCI rejigs index constituents: In the semi-annual index review for the MSCI equity indexes, Britannia, Petronet LNG and Vakrangee have been added to MSCI Global Standard Index while Apollo Hospitals has been removed. The MSCI Global Small Cap Index has seen 30 additions and 10 deletions. The stocks that have been added include CDSL, Chambal Fertilisers, Cochin Shipyard, DCM Shriram, Deepak Fertilisers, Eris Lifescience, Fortis Healthcare, Gujarat Alkalies, Gulf Oil Lubricants, Himadri Chemicals, IDFC, Jindal Saw, Jindal Stainless, Minda Industries, Nesco, Quess Corp, Radico Khaitan, Rain Industries, Shankara Building Products, Suprajit Engineering, Techno Electric, Tejas Networks, Time Techno, Uflex, VIP Industries and Welspun Corp. The exclusions include Adani Transmission, Future Retail, Indo Count, JB Chemicals, Kansai Nerolac, Kushal, L&T Finance, TVS Motor, Vakrangee and Videocon.

9:15 am Market Check: Equity benchmarks opened flat on Tuesday after sharp correction seen in previous session. Investors focussed on corporate earnings.

The 30-share BSE Sensex was down 14.55 points at 33,019.01 and the 50-share NSE Nifty fell 3 points to 10,222.

Coal India, Vedanta, BPCL, L&T and Bharti Infrtel were early losers.

Sun Pharma, HCL Technologies, Bharti Airtel, M&M, Lupin, Yes Bank, Kotak Mahindra Bank and Eicher Motors were early gainers.

PTC India Financial, Dhanlaxmi Bank, United Bank, Jindal Poly and TNPL fell 1-8 percent after weak earnings. Repco Home, Satin Creditcare, KEI Industries and NMDC were under pressure.
Vakrangee, Future Retail and Apollo Hospital gained 2-4 percent.

Copyright (2017) ©

Rajesh Sharma

Rajesh Sharma

Rajesh Sharma is Correspondent for Stock Market of South East Asia based in Mumbai. He has been covering Asian markets for more than 5 years.