Indian stock market morning report by Keynote Capitals (November 19, 2008, Wednesday, 7.00 a.m. GMT)
Economic and Corporate Developments
- The rupee opened lower this morning, at 49.72/74 per USD, compared to yesterday’s close of 49.66/67, as
weak Asian equities raised concerns of foreign fund withdrawals from the local stock market.
- The government had appealed to car and two-wheeler makers, airlines, hotels and real estate developers to
cut prices in order to boost consumer demand and help revive the Indian economy.
- In line with our expectations of levying import duty on steel (as mentioned in our recent note “Steel - still not
a steal?”), the government has imposed an ad valorem import duty of 5% on pig iron, semi-finished, flat and
long steel products. An import duty of 20% has also been imposed on crude soybean oil with immediate
effect.
- The RBI is expected to announce another round of rate cuts in a week or so in an effort to ease liquidity and
reduce borrowing costs to counter slowing economic growth.
- Bharat Heavy Electricals had received a contract worth Rs1325Cr for the supply of plant package for a power
project in the Andhra Pradesh.
- Parsvnath Developers has forayed into the infrastructure sector with a tie-up with Spanish construction
company Constructora San Jose SA. The JV would bid for projects in transportation, aviation, power
generation and transmission, among others.
- NMDC has signed an MoU with West Bengal Mineral Development and Trading Corporation (WBMDTC) to
explore, develop and mine coal at Deocha-Pachami block in Birbhum district, which has a reserve of 2bn
tonnes, spread over an area of 9.7 sq km.
US markets
- US stocks erased losses of Monday, with the Dow Jones Industrials recovering by 150 points in the last
hour of the trading session.
- Technology major Hewlett Packard Co. (HP) and home improvement retailer Home Depot reported
better than anticipated results which fuelled the rally. The stocks were up by 11.3% and 3.6%
respectively. HP expects to perform better than Wall Street analysts’ expectations in Q4.
- There are a few negative news as well. National Association for Home Builders reported a record
monthly fall in the index in November. The clash between Treasury Secretary Mr. Paulson and FDIC
Chairperson Ms Blair over spending some of the $700bn package on foreclosure of homes has
increased uncertainties in the markets.
Views on markets today
- Indian markets are moving in tandem with their global counterparts. Bulls seem to have lost
confidence and any short term rally may just be a short recovery by bears.
- Indian markets saw yet another weak day yesterday amidst thin volumes. It declined by 3.8% led by
Bharti Airtel and ICICI Bank. On NSE, volumes were Rs83bn and on the BSE Rs30bn.
- Asian markets have opened weak this morning, in spite of positive overnight close of the Dow.
Strengthening Yen has become a major concern for the Asian exporters. Falling crude prices have
pushed Asian energy stocks downward.
- Back home, the Finance Minister is focusing all efforts on increasing the confidence of investors. He
has reiterated that the government is carefully watching the entire situation and would take all the
required steps. He further added that the economy would recover in the H2FY10 and would grow by
9%.
- The government announced a 5% import duty on specified iron and steel products and slapped a 20%
customs duty on crude Soyabean oil. We may see momentum in Steel and Soya processing counters
today.
- Stocks in news:
-- ONGC won 2 exploration blocks in Columbia.
-- DLF deferred some of its projects due to lower demand and liquidity crunch.
-- Mundra Port signed a pact with Japanese Nippon Yusen Kaisha and Norway's Wallenius
Willhemsen Lines to set up an automobile terminal.
-- Transport Corporation of India has decided to cut capex by half to Rs75Cr.
- We may witness another volatile day with weakness. However markets may see some short recovery.
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Indian stock market daily morning report (September 02, 2010, Thursday)
Indian markets ended positive to a one month high yesterday on fund buying across the sector after firm global markets, strong auto sales, rising exports and expansion in manufacturing sector. Positive European markets also aggravated buying in the markets. TCS gained ~1.5% as its UK subsidiary Diligenta bagged contracts worth 250mn pounds. All sectoral indices closed positive with metal, real estate, IT and oil & gas led the market to close positive. Metals stocks rallied as a rebound in manufacturing in China propelled base metals.
Indian stock market and companies daily report (September 02, 2010, Thursday)
The market extended gains in morning trade and turned range bound in mid-morning trade. Strong global cues pushed the market sharply higher in the second half of trade. The market spurted to the day's high in mid-afternoon trade and extended gains in late trade as European stocks and US index futures rose. Strong auto sales, expansion in the manufacturing sector in August 2010 and resumption of buying by foreign funds underpinned sentiments. All the sectoral indices on the BSE were in green and the market breadth was strong. The Sensex and Nifty closed up by 1.3% each. BSE mid-cap and the small-cap indices closed up by 1.7% and 1.8%, respectively. Among the front liners, RCOM, Hindalco Industries, Sterlite Industries, Bharti Airtel and Tata Steel gained 3–5%, while Hero Honda, HDFC and ONGC lost 0–2%. Among mid caps, STC, FDC, United Breweries, Dredging Corp. and State Bank of Mysore gained 10–14%, while Allcargo Global, Shree Global Tradefin, Jain Irrigation, Fresenius Kabi Oncology and GSK Consumer lost 2–4%.
Indian stock market daily closing report (September 02, 2010)
The markets traded within a tight range after the positive momentum witnessed for two days and ended with modest gains. All the major sectoral indices ended on a very flat note. Sugar counters witnessed a significant spike on decontrol reports. The Sensex closed at 18,238 up 34 points and the Nifty was at 5,486 up 14 points after making an intra-day high of 5,513. The Mid cap and Small cap indices were up by 0.78% and 1.11% respectively. The breadth of the market was positive and the total turnover recorded at Rs.1,02,680 Cr. The Sept future ended with 3 points discount
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Godrej Properties IPO review and analysis by Angel Broking, 9 December 2009
Godrej Properties Limited (GPL) intends to develop its projects through joint development agreements with land owners. Under this asset-light model, GPL will enter into revenue, profit or area-sharing agreements with land owners, instead of an outright purchase of the land. This model avoids direct land dealings for GPL and the locking-up of extensive capital in land. Around 80% of GPL's existing land bank will be executed through joint developments with partners. The Godrej brand name has been associated with quality and strong corporate governance. Both of its existing listed entities, Godrej Consumer Products and Godrej Industries have given CAGR Returns of 48% and 77%, respectively, to investors since 2001. We believe that GPL could leverage its parentage brand (with respect to access to the land at Vikhroli and a strong customer preference towards it), assuring a timely delivery of execution. More than 50% of GPL's existing land bank is exposed towards township projects and in one location (Ahmedabad), which will be executed over the next ten years. Any delay in this execution or a fall in property prices in Ahmedabad will impact our NAV estimates, as 50% of our NAV is derived from this project.
JSW Energy Ltd IPO review and analysis by Nirmal Bang, 8 December 2009
JSW Energy Ltd. (JSWEL) is a power project development company, which is developing, and will operate and maintain, power projects in India. The company has two thermal power projects under operation, with a combined installed capacity of 860 MW. JSWEL is a part of the JSW Group, a leading business group in India. JSW Group has a presence in high growth sector like Steel, Energy, Aluminium, Cement, Infrastructure and Logistics. Post IPO holding of Promoter and Promoter Group would be 78.12%
JSW Energy IPO review and analysis by Angel Broking, 7 December 2009
JSW Energy (JSWEL) currently has operational capacity of 995MW and is in the process of executing projects with capacity of 2,655MW. In addition, the company has 7,740MW power generation projects at an early stage of development. A major portion (2,145MW) of JSWEL’s upcoming capacities is expected to be operational by FY2011E thereby providing near-term visibility. Out of the plants under construction, the company expects to commission 570MW by end FY2010E, while another 1,575MW is expected to get operational in FY2011E. Thus, a robust portfolio and near-term Revenue visibility is a major positive for the company.
| | Indian News |
Reliance Broadcast Network To Raise Over Rs. 400 Cr., 2 September 2010
Tata Power-Origin Energy-Supraco Consortium Wins Geothermal Bid In Indonesia, 2 September 2010
Cinemax Launches Three-screen Multiplex, 2 September 2010
Koutons Retail To Consider Fund Raising, 2 September 2010
Zylog Systems To Raise Up To Rs.250 Cr, 2 September 2010
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