Live: Sensex, Nifty Up 1%; Nifty Bank Up 700 Points From Day’s Low
Stock Reaction: VST Tiller Tractors
The company informed the exchanges that it managed to sell 761 units in the month of April, a 2.6 times increase compared to the 289 units sold in April last year.
However, tractor sales declined 24 percent year-on-year to 328 units from 432 units in April 2019.
Shares gained as much as 10 percent to Rs 947.75 and are up for the second straight day.
Active Stock Options
- Reliance Industries' 1,500 Call: Premium up 8.55 percent to Rs 66. The contract has added 1.37 lakh shares in Open Interest.
- Axis Bank's 400 Call: Premium falls 4.8 percent to Rs 29.6. The contract has added 3.52 lakh shares in Open Interest.
- State Bank of India's 160 Put: Premium falls 16.7 percent to Rs 8.2. The contract has shed 5.31 lakh shares in Open Interest.
How Are The Sectoral Indices Faring
Services PMI For April
India's Services Purchasing Managers Index fell to 5.4 in the month of April, hitting single digits for the first time, according to data published by IHS Market. The services sector makes up for more than half of India's GDP.
It is clear that the economic damage of Covid-19 has been deep and far reaching in India but the hope is that the economy has endured the worst and things will begin to improve as lockdown measures are gradually lifted.Joe Hayes, Economist, IHS Markit
Bloomberg Economics is projecting a 4.5 percent contraction in India's GDP for the year, Standard Chartered Plc is projecting a 2 percent contraction.
Earnings Reaction: Persistent Systems
The company reported its fourth quarter earnings overnight where it saw a 1.8 percent sequential decline in its dollar revenue to $127.05 million. Revenue in rupee terms was largely flat at Rs 926.36 crore, up 0.4 percent from the previous quarter. Net profit for the full year fell 4.7 percent from the previous quarter to Rs 83.8 crore.
For the full year of FY20, the company reported a topline growth of 5.9 percent while crossing half billion dollars in revenue.
We had particular strength in our Technology Services Unit, which delivered a robust quarter driventhrough solid expansion. We continued a strong expansion of new logos across the business. While Covid-19 is presenting challenges, it is also unearthing business opportunities as every organization now understands that the status quo is not a viable option.Christopher O’Conner, CEO & ED, Persistent Systems
Shares gained as much as 10.1 percent to Rs 515. The stock is up for the second straight day and is the second best performer on the Nifty Smallcap index.