Ripples Advisory News Update's: Stock Trading Tips

Indian markets hit a 2-month low on Thursday weighed down by weak global cues, muted earnings from India Inc., and RIL downgrade by Morgan Stanley.

The final tally on D-Street – the S&P BSE Sensex fell 230 points to 37,558 while the Nifty50 dropped 57 points to close at 11,301.

In terms of sectors, buying was seen in IT, consumer durables, realty, FMCG and auto stocks while selling pressure continued in energy, metals and telecom names.

On the macro front, investors would watch out for Industrial Production data for the month of March.

Falling for the fourth straight session, the rupee depreciated by 23 paise to 69.94 against the US dollar May 9 on unabated foreign fund outflows amid simmering US-China trade tensions.

On the institutional front, FPIs were net sellers in Indian markets for Rs 655 crore while DIIs were net buyers to the tune of Rs 677 crore, provisional data showed.

Big News:

As many as 55 companies will declare its results for the quarter ended March which include names like Eicher Motors, Allahabad Bank, Canara Bank, HT Media, IDFC First Bank, L&T, PVR, State Bank of India, Syndicate Bank, Venky’s, and V-Mart, etc. among others.

Eicher Motors: PAT likely to fall by 16% YoY to Rs 542 crore

SBI: Bank is likely to report a profit of Rs 3649 crore

L&T: PAT likely to grow by 16% YoY to Rs 3475 crore

(All the estimates from Motilal Oswal)

Technical View:

Nifty forms a bearish candle for the seventh day in a row

The index managed to hold on to 11300 levels

The way we bounced back from 100-days EMA suggest that the downside could be limited from here

The next support for the index is placed at 11100 levels while on the upside resistance is placed at 11500 levels

Three levels: 11255, 11357, 11500

Max Call OI: 12000, 12500

Max Put OI: 11000, 11500

Stocks in news:

HCL Technologies has registered a net income of Rs 2,568 crore, up 15.3 percent year-on-year for the quarter ended March 31, 2019. The profit fell 1.7% sequentially though.

Apollo Tyres May 9 reported 66.41 percent plunge in consolidated net profit at Rs 83.99 crore for the fourth quarter of 2018-19, hit by Rs 100 crore write-off related to IL&FS.

Consumer durables firm Voltas posted a 27 percent drop year-on-year (YoY) in its March quarter (Q4) net profit at Rs 141.74 crore. This was on account of flat growth in its revenue.

Technical Recommendations:

We spoke to IIFL and here's what they have to recommend:

Britannia Industries: Buy| Target: Rs 2870| Stop Loss: Rs 2610| Upside 7.5%

Hindustan Unilever: Buy| Target: Rs 1775| Stop Loss: Rs 1670| Upside 4.5%

Divi’s Laboratories: Sell May Futs| Target: Rs 1553| Stop Loss: Rs 1662.5| Downside 5%

Disclaimer: The views and investment tips expressed by investment expert on Moneycontrol.com are his own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Get Stock Market Tips and MCX Tips to start from 2 Days Free Trial Click Here- Stock Market Tips, MCX Tips “We Provide Secure, and Smooth Deals You Can Trust”

No comments

Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 56 points or 0.49 percent. Nifty futures were trading around 11,482-level on the Singaporean Exchange.

The Nifty50 is likely to open with a gap on the downside on Wednesday following a weak trend seen in other Asian markets as the latest developments in the U.S.-China trade conflict fanned fresh fears about global growth slowdown.

The S&P BSE Sensex closed 323 points lower at 38,276 while the Nifty50 ended 100 points down at 11,497 on Tuesday.

Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 56 points or 0.49 percent. Nifty futures were trading around 11,482-level on the Singaporean Exchange.

US stocks slid on Tuesday as escalating trade tensions between the United States and China triggered global growth fears and drove investors away from riskier assets, said a Reuters report.

Asian equities tracked Wall Street’s slide on Wednesday as the latest developments in the US-China trade conflict fanned fresh fears about global growth, driving support for safe-haven government bonds, it said.

As many as 43 companies will declare their results for March quarter which include names like Alembic Pharma, Dhanlaxmi Bank, Gillette India, JK Paper, Titan Company and Tata Communications among others.

Stocks in news: Neogen Chemicals will debut on the bourses on May 8. The issue price is fixed at the higher end of the price band of Rs 212-215 per share. The Rs 132-crore public offer that was open from April 24-26, 2019, was oversubscribed 41.18 times.

Metals & mining firm Vedanta's March quarter consolidated profit fell a sharp 43.3 percent year-on-year (YoY) to Rs 3,218 crore. Profit in the year-ago period stood at Rs 5,675 crore.

Citi maintains a Neutral rating with a target of Rs 195

Morgan Stanley maintained its Equal Weight rating with a target of Rs 176

Engineering and power firm ABB India May 7 reported over 13 percent jump in its net profit to Rs 116.19 crore during the quarter ended March 31, 2019, helped by higher income.

Technical Recommendations: We spoke to SMC Global Securities and here's what they have to recommend:

Chennai Petroleum Corporation Limited: Sell| Target: Rs 230| Stop Loss: Rs 260| Downside 7%

Blue Star Limited: Buy| Target: Rs 815| Stop Loss: Rs 680|Upside 11%

Mold-Tek Technologies Limited: Buy| Target: Rs 63| Stop Loss: Rs 51| Upside 14%

Disclaimer: The views and investment tips expressed by investment expert on Moneycontrol.com are his own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Quality stocks at low valuations, dividend growth at a discount and high growth at an attractive price Click here watch more- Stock Market Tips

No comments

Move to restructure group companies-

Tata Realty and Infrastructure (TRIL) will acquire Tata Sons’ stake in Tata Housing (THL) for about ₹3,000 crore. Both TRIL and Tata Housing are 100 percent subsidiaries of Tata Sons. The two real estate firms were competing for projects in the same cities in the past, which is a factor behind the integration.

This is part of Tata Sons’ overall plans to restructure group companies to streamline the internal shareholding structure and businesses.

Rights issue

To raise funds for the real estate deal, TRIL will first come up with a rights issue, which will be subscribed by Tata Sons. TRIL will then pick up Tata Sons’ stake in Tata Housing. A Tata Sons spokesperson did not comment on the restructuring.

The plan is to integrate TRIL’s commercial real estate division with Tata Housing’s residential business. Both TRIL and Tata Housing have overlapping business interests due to planned residential projects in Delhi, Pune, and other cities.

Tata Housing’s project portfolio mainly comprises a housing in various income group segments, ranging from low-cost to premium/luxury projects. These are spread across metros and tier-I cities, including Mumbai, Delhi NCR, Bengaluru, Kolkata, Chennai, and Pune.

Going forward, Tata Housing plans to focus only on premium and luxury projects, while low-cost and affordable projects will be undertaken by its wholly-owned subsidiary Tata Value Homes.

Henceforth, all of TRIL’s housing projects would be implemented by Tata Housing. TRIL will focus on large mixed-development retail or commercial developments along with its current portfolio of special economic zones, logistics parks, airports and road, and highway projects.

Tata Group may also look to monetize the real estate and infrastructure assets for which the integration was even more important. It may look at listing a public real estate investment trust (REIT) or a private REIT in which an institutional investor may acquire a strategic stake. A REIT is an entity that owns, operates or finances income-producing real estate.

According to information available with the Registrar of Companies, Tata Housing had a loss of ₹81 crore in 2016-17, while its revenue from operations stood at ₹727 crore. In the fiscal year 2015-16, the company had posted a net profit of ₹27 crore and revenue of ₹790 crore.

Get Stock Cash Tips to start from 2 Days Free Trial Click Here- Stock Cash Trading Tips “We Provide Secure, and Smooth Deals You Can Trust”

No comments

The appellate tribunal said the country’s largest lender had “clapped with RCom” or, in other words, worked with the telecom player.

The National Company Law Appellate Tribunal (NCLAT) on Monday admonished State Bank of India (SBI), saying the lender had given a false impression that the RCom-RJio deal would fetch about `37,000 crores.

The NCLAT bench wondered why should there not be proceedings against the lender for painting a rosy picture of RCom. “SBI created a false impression, gave a rosy picture before us,” the two-member NCLAT bench, headed by chairperson SJ Mukhopadhyay observed.

The appellate tribunal said the country’s largest lender had “clapped with RCom” or, in other words, worked with the telecom player.

“You (SBI) have failed. JLF has failed. No sale took place. You clapped with RCom and claimed that you would recover around Rs 37,000 crore from the sale to Jio. You cited losses of crores per day. You failed and now will seek to recover `260 crores,” the bench observed.

The appellate tribunal pulled up SBI for not releasing the Rs 260-crore income tax returns lying with it, which could be used by RCom to pay Swedish telecom equipment maker Ericsson. The bench was hearing a plea by RCom seeking the tax refund be released in favor of Ericsson.

The release would help RCom to clear a part of its Rs 550-crore dues to Ericsson. The Supreme Court had, on February 20, held RCom chairman Anil Ambani and two others guilty of contempt for violating its order by not paying dues of `550 crores to Ericsson. The apex court had said that they would face a three-year jail term if the company failed to pay up within four weeks.

It also reminded the lenders that once the corporate insolvency resolution process (CIRP) begins, lenders would not get the `260 crores since it would go to the corporate debtor. The NCLAT had earlier halted insolvency proceedings against RCom after the case was admitted by the Mumbai bench of National Company Law Tribunal (NCLT) on May 15, 2018. The apex court had on October 23 asked RCom to clear the dues by December 15, 2018.

RCom has already deposited Rs 118 crore with the Supreme Court. Moreover, it has asked lenders to release the income tax refunds of Rs 260 crore directly to Ericsson. The company is planning to raise Rs 200 crore to pay Ericsson Rs 550 crore including interest.

“Why should SC orders not be respected? Sending someone (Anil Ambani) to jail will not solve the problem before us. The SC has directed the company to repay the money,” it observed.

On February 4, the NCLAT had allowed Ericsson to file its reply on RCom’s plea for withdrawal of the appeals. The appellate tribunal had also directed the company not to sell, transfer or alienate any moveable or immovable property of the company without the prior permission of the NCLAT.

Quality stocks at low valuations, dividend growth at a discount and high growth at an attractive price Click here watch more- Stock Cash Trading Tips

No comments

The Insolvency and Bankruptcy Board of India (IBBI) has said it did not find any contradiction in approvals of resolution for Essar Steel and Binani Cement in the context of “value maximization”, reports PTI.

The Insolvency and Bankruptcy Board of India (IBBI) has said that it did not find any contradiction in approvals of resolution for Essar Steel and Binani Cement in the context of “value maximization”. The Ahmedabad bench of National Company Law Tribunal (NLCT) has approved the ArcelorMittal’s Rs 42,000 crore resolution plan, rejecting the Ruias settlement offer of Rs 54,389 crore.

Recently, in the case of Binani Cement, the Kolkata bench of NCLT approved the resolution plan of UltraTech Cement which was higher than what the Dalmia Bharat group had to offer even after the Committee of Creditors (CoC) earlier selected them as the higher bidder. The case debated a lot on value maximization in a corporate resolution plan.

“In Binani, the one which was approved was within the rules. The one which was rejected was because it was not balancing the interest of the stakeholders,” IBBI chairman M S Sahoo told PTI when asked about resolutions of Essar Steel and Binani Cement. “Value maximization is the assets of the debtor and not of the creditor. This is not a recovery by finance institutes but value maximization is for the corporate debtor,” he said. If the CoC has approved “within the process”, then it is valid for both Binani as well as ArcelorMittal.

The Committee of Creditors (CoC) is supreme in commercial matters but that supremacy has to be within the framework of law, he pointed out. “We continue to believe that our settlement proposal of Rs 54,389 crore is the most compelling one available to Essar Steel creditors and fulfills the IBCs declared overriding objective of value maximization, which has been established time and again by courts at all levels,” Essar said in their reaction after the NCLT approval.

“EXIM Bank decided to pursue the case before the adjudicating authority, with a prayer for equitable and fair treatment to all, while maximizing the value detected …We are happy that the judgment has agreed with the basic tenets of our stand and cemented a new perspective to the IBC,” a senior Exim Bank official had commented.

Are you interested in learning stock market from basic to professional trader can contact for 2 days free trial>>>> Indian Stock Market Tips

No comments

The Food and Drug Administration on Tuesday greenlighted Johnson & Johnson’s nasal spray Spravato, a close chemical cousin of the anesthetic ketamine that works quickly to alleviate symptoms of depression.

Severely depressed patients will have a new, fast-acting treatment option after the U.S. approved a breakthrough drug that has the potential to upend how the condition is treated.

The approval of the first major breakthrough drug for depression since Prozac in 1987 could usher in a wave of new fast-acting treatments. Existing options typically take weeks to work and aren’t effective for all patients. Companies like Sage Therapeutics Inc. and Allergan Plc are also testing depression drugs that work quickly.

“We’re working tirelessly here to ensure that we have resources available to support bringing treatment centers up to help patients with treatment-resistant depression because this is truly a devastating disease, and these patients have been waiting for quite some time for therapies to provide relief for them,” said Courtney Billington, president of J&J’s Janssen neuroscience division.

Medical centers that would like to administer the drug will have to be certified under J&J’s Risk Evaluation and Mitigation Strategies program. The product could be available within days at centers that complete the REMS certification and are properly equipped. J&J estimates that hundreds of centers could be ready to give the drug within the first year.

The certification safeguards have been put in place because ketamine is sometimes abused. Ahead of approval, a panel of experts weighed the abuse potential of ketamine, which at much higher doses is a party drug and can put users into a so-called K hole in which they’re unable to interact with the world around them. In a report, agency staff called ketamine abuse “relatively uncommon,” with just 1.3 percent of people over age 12 abusing the drug, lower than the abuse rates for other hallucinogens like ecstasy and LSD.

The drug is also being tested in suicidal people. That data is expected later this year. Spravato was developed by J&J after a group of researchers discovered that ketamine, which was off-patent, had a surprisingly rapid antidepressant effect. Some of the first research showing that dates back to the 1990s, and that work was furthered by the National Institutes of Health before being developed into a pharmaceutical treatment by J&J.

A Special Offer for a Special Season! Get Stock Cash Tips to start from 2 Days Free Trial Click Here- Stock Cash Trading Tips “We Provide Secure, and Smooth Deals You Can Trust”

No comments

Indian equity benchmarks are trading marginally in red in early deals on Tuesday after US President Donald Trump said he intends to end India’s preferential trade treatment under the Generalized System of Preferences program (GSP) that allows $5.6 billion worth of Indian exports to enter the United States duty-free. Traders remain concerned with the Finance Ministry’s statement that Goods and Services Tax (GST) collections in February dropped to Rs 97,247 crore from Rs 1.02 lakh crore in the previous month. The government has lowered the GST collection target for current fiscal to Rs 11.47 lakh crore in the revised estimates, from Rs 13.71 lakh crore budgeted initially. However, losses remain capped as traders took some solace with Economic Affairs Secretary Subhash Chandra Garg stating that spurt in PMI indicates strong inflow of new orders and strengthening of manufacturing sector growth.

Global cues too remained sluggish with most of the Asian counters are trading in red at this point of time after China cut its economic growth target and pledged measures to support the economy amid growing challenges from rising debt and a dispute over trade and technology with the US. The US markets ended in red on Monday, following weak US construction data and investors awaited more details on an expected US-China trade deal.

Back home, market participants remained on sidelines ahead of the Nikkei India Services PMI for February 2019 will be released later in the day. Services PMI dipped to a three-month low of 52.2 in January 2019 from 53.2 in December 2018. On the sectoral front, stocks related to NBFC sector remained in focus with Crisil’s report that the RBI's move to align risk weights of banks' exposure to non-banking finance companies (NBFCs) with their respective credit ratings will help banks to create a lending headroom of Rs 1.4 lakh crore.

The BSE Sensex is currently trading at 36020.19, down by 43.62 points or 0.12% after trading in a range of 35926.94 and 36141.07. There were 17 stocks advancing against 14 stocks declining on the index.

The broader indices were trading in green; the BSE Mid-cap index gained 0.77%, while Smallcap index was up by 1.18%.

The top gaining sectoral indices on the BSE were Metal up by 1.23%, Basic Materials up by 1.18%, Power up by 1.11%, Utilities up by 0.95% and PSU was up by 0.86%, while IT down by 0.58%, TECK down by 0.57%, Capital Goods down by 0.16% and Energy was down by 0.05% were the few losing indices on BSE.

The top gainers on the Sensex were Tata Motors up by 2.14%, Tata Motors - DVR up by 1.83%, Tata Steel up by 1.26%, NTPC up by 1.08% and Hero MotoCorp up by 1.02%. On the flip side, Larsen & Toubro down by 1.04%, Infosys down by 0.69%, Mahindra & Mahindra down by 0.67%, Bharti Airtel down by 0.57% and Reliance Industries down by 0.51% were the top losers.

Meanwhile, the Finance Ministry has stated that Goods and Services Tax (GST) collections slipped below Rs 1 lakh crore mark to Rs 97,247 crore in the month of February from Rs 1.02 lakh crore in the previous month. The number of sales return or GSTR-3B filed for the month of January up to February 28, 2019 is 73.48 lakh. For the current fiscal year, GST collections till February touched to Rs 10.70 lakh crore.

The Ministry said the total gross GST revenue collected in February 2019 is Rs 97,247 crore of which Central GST (CGST) is Rs 17,626 crore, State GST (SGST) is Rs 24,192 crore, Integrated GST (IGST) is Rs 46,953 crore and Cess is Rs 8,476 crore.

For the current financial year, the Centre has lowered the GST collection target to Rs 11.47 lakh crore in the revised estimates, from Rs 13.71 lakh crore budgeted initially. For the next fiscal 2019-20, the government has pegged GST collection target at Rs 13.71 lakh crore.

The CNX Nifty is currently trading at 10846.80, down by 16.70 points or 0.15% after trading in a range of 10817.00 and 10864.85. There were 26 stocks advancing against 24 stocks declining on the index.

The top gainers on Nifty were Indiabulls Housing up by 2.65%, Tata Motors up by 2.30%, HPCL up by 1.74%, JSW Steel up by 1.74% and BPCL up by 1.43%. On the flip side, Wipro down by 1.85%, Tech Mahindra down by 1.78%, Eicher Motors down by 1.45%, Dr. Reddys Lab down by 1.17% and Larsen & Toubro down by 1.04% were the top losers.

Asian markets are trading mostly in red; Nikkei 225 decreased 100.52 points or 0.46% to 21,721.52, Straits Times shed 10.27 points or 0.32% to 3,240.81, Hang Seng slipped 8.82 points or 0.03% to 28,950.77, Taiwan Weighted dropped 29.26 points or 0.28% to 10,320.62, KOSPI declined 12.58 points or 0.57% to 2,178.08 and Jakarta Composite was down by 60.87 points or 0.94% to 6,427.55. On the flip side, Shanghai Composite was up by 3.42 points or 0.11% to 3,031.00.

Quality stocks at low valuations, dividend growth at a discount and high growth at an attractive price Click here watch more- Stock Cash Trading Tips

No comments

Ripples Advisory News Update's

Stock Cash - Free Trial

Follow Us

Recent posts

Categories

About me