Except for Nifty Realty and Nifty Auto indices, all the sectoral indices ended in the green led by Nifty Media and Nifty Metal indicesShare Market News Today | Sensex, Nifty, Share Prices HIGHLIGHTS: Domestic equity market benchmarks BSE Sensex and Nifty 50 ended higher in Monday’s session led by buying in PSU Bank and metal stocks. BSE Sensex ended at a fresh record high of 46,253.46, up 154.45 points or 0.34 per cent while the broader Nifty 50 gained 44.30 points or 0.33 per cent to settle at 13,558.15. Out of 30 Sensex stocks, 19 scrips ended in the green. ONGC was the top Sensex gainer, up nearly 5 per cent followed by L&T, NTPC, ICICI Bank, Sun Pharma, HCL Tech, Titan Company and State Bank of India (SBI). On the flip side, M&M, Bajaj-Auto, Tech Mahindra, HDFC Bank, Reliance Industries Ltd (RIL), Bharti Airtel were the BSE Sensex laggards. Except for Nifty Realty and Nifty Auto indices, all the sectoral indices ended in the green led by Nifty Media and Nifty Metal indices. Burger King shares made their Dalal Street debut today at Rs 115.35 per share, up 92% from the issue price of Rs 59-60 per share. The stock ended 131 per cent higher from the issue price. Burger King’s initial public offering was massively oversubscribed by investors across categories earlier this month.
Highlights
We have closed within the resistance range of 13400-13700. Until we do not get past 13700 or break 13400 we will not witness any meaningful trading move. Since the bias is on the upside, falls or corrections can be utilised to accumulate long positions. 13350-13400 is a good support for the Nifty: Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments
The increasing trend in wholesale price inflation is essentially a mixed bag. At one end hopefully the price rise is on the back of increased demand and not because of increase in input cost for manufacturing, because that would be a cause of concern as it would mean that the logistics and supply chain cost are driving inflation. If it is not that and is driven purely by demand, then it is a welcome sign as it signals an improvement in the economy, however one would have to watch with caution whether the RBI decides to tighten the monetary policy in view of the rising inflation: Sanjay Kumar, CEO & MD, Elior India
BSE Sensex ended at fresh record high of 46,253.46, up 154.45 points or 0.34 per cent while the broader Nifty 50 gained 44.30 points or 0.33 per cent to settle at 13,558.15.
The lacklustre movement in the market and an attempt to break the resistance level around the Nifty 50 Index level of 13580. The short-term technical condition of the market appears like a sideways correction in the process. Sustaining above 13400 levels, we expect the market to gain momentum, that could lead to an upside projection till the 13730 level. The momentum indicators like RSI, MACD to show divergence, indicating a likelihood of further consolidation around the current market level: Ashis Biswas, Head of Technical Research, CapitalVia Global Research Ltd.- Investment Advisor
At the upper price band of Rs 288, Mrs Bectors Food Specialities is available at a P/E of 22x on FY21E EPS (annualized), which looks attractive, given its higher profitability compared to similar-sized peers. Considering its future growth prospects in packaged biscuits and QSR segment, we recommend a “Subscribe” rating with a long-term perspective
Positive data flows along with persistent FPI flows have been quite supportive for the markets. Further, better than expected IIP data for Oct’20 along with sharp jump in electricity suggests that industrial activities are back on growth track, which bodes well for equities. However, rich valuations of market do not offer much comfort and any threat to earnings recovery may lead to a reversal and broad-based rally will be difficult to sustain. Hence, we remain cautiously optimistic about market and advice investors to concentrate more on quality names with strong corporate governance and healthy margins of safety: Binod Modi, Head Strategy at Reliance Securities
For the next few years, we expect the domestic biscuit and bakery market to grow by 9% due to urbanization, increase in disposable income, favorable government policy. On the other hand, the institutional Indian bakery industry is expected to grow by 20% due to increasing market share of QSR chain. We think Mrs Bectors Food Specialities should be able to grow in line with the industry managed by the promoters having more than 25 years of sector knowledge. Company results were better than the industry in the first half of the fiscal 2021. Company peers such as Britannia Industries, Nestle India, Prataap Snacks and DFM Foods are trading at trailing PE of 50.2, 85.6, 57.1 and 97.6 respectively. On the other hand, the company is priced at trailing PE of 27.9. Given the significant discount compared to listed peers there is comfort on the valuation. We are positive on the long term growth prospects of the industry and the company, and hence recommend to “Subscribe” to the issue for long term as well as for listing gains: Keshav Lahoti, Associate Equity Analyst, Angel Broking Ltd
While the world is battling a pandemic, investors will look back at 2020 as an extraordinary year. However, with equity markets now at all-time highs, it might be time for investors to trim holdings. Morgan Stanley’s Chief Investment Officer and Chief US Equity Strategist Mike Wilson said in his latest podcast that he would advise against committing new capital, even though he retains a positive outlook for 2021. “I would advise against committing new capital at this point and would even consider trimming your biggest winners where the moves have become unsustainably strong,” he said.
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Half an hour before the closing bell, Mahindra & Mahindra, Tech Mahindra, and Bajaj Auto were the worst performing Sensex constituents.
CRISIL now sees India's fiscal 2021 real gross domestic product (GDP) contracting 7.7% compared with a contraction of 9% forecast in September. A faster-than-expected revival in activity in the second quarter, which continues into the festive season, is one of the reasons for the revision. Consistent decline in the overall Covid-19 case load is the other. ~ Crisil
The order value of Covid-related products from the Amazon of public procurement – Government eMarketplace (GeM) by the government organisations, departments, ministries, etc., has declined significantly in November after peaking in October since March 2020. The government’s purchase of such goods including medical and auxillary products through GeM stood at Rs 389.4 crore in November down 61 per cent from Rs 996.9 crore in October, based on the analyses of the data sourced from GeM. The government had enabled the procurement of medical and auxillary goods via GeM to cater to the immediate need of ventilators, Covid kits, and masks amid initial shortage of such products and spiralling Covid cases post February.
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Integrated Infrastructure consultancy firm REPL (Rudrabhishek Enterprises Limited) today got listed on National Stock Exchange (NSE). prior to this, REPL was listed on the NSE-Emerge platform under SME section.
The double whammy of fall in employment and household incomes have together hit the consumer sentiments in the month of November 2020. While employment fell by 0.9 per cent or 35 lakh during the month, only 4.3 per cent of the households reported an increase in their nominal incomes compared to a year ago, according to the Centre for Monitoring Indian Economy (CMIE). Higher inflation is believed to be one of the major reasons behind the shrinking household income. Lesser income has restricted households from buying consumer durables. The fall in income has also hit another nail in the household conditions while there was a resurgence of coronavirus infections in the month.
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While Sensex and Nifty were trading flat, broader markets were outperforming the benchmark indices.
Shares of FMCG major ITC have faced a lot of heat from investors in 2020 for being one of the worst performing Sensex constituents in 2020. ITC’s stock price dived a massive 40% between the middle of January and the end of March as the world came to understand the gravity of the coronavirus. After recovering some losses in the initial weeks of April, ITC was again a laggard on Dalal Street, slipping 12% between the middle of April and the end of October. However, since then the stock has mounted a comeback and gained 32% so far. This recent performance, clubbed with other factors has attracted global brokerage firms towards the stock.
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“The increasing trend in the wholesale price inflation is essentially a mixed bag. At one end hopefully the price rise is on the back of increased demand and not because of increase in input cost for manufacturing, because that would be a cause of concern as it would mean that the logistics and supply chain cost are driving inflation. If it is not that and is driven purely by demand, then it is a welcome sign as it signals an improvement in the economy, however one would have to watch with caution whether the RBI decides to tighten the monetary policy in view of the rising inflation," said Sanjay Kumar, CEO & MD, Elior India.
Y. Viswanatha Gowd has assumed charge as Chief Operating Officer of LIC Housing Finance Ltd. (LIC HFL). Viswanatha Gowd, joined LIC of India as a direct recruit officer in 1988 and has risen through the ranks to this senior position. Prior to taking over as COO of LIC Housing Finance, he was Regional Manager of LIC HFL’s South Eastern Region since 2017. Under his leadership South Eastern Region was the top performing Region of the Company and the loan book of the Region grew by 63%.
Sensex was down over 80 points while Nifty gave up 13,500 levels during Monay's session.
Share prices have corrected more than 40% as all theatres are closed down due to covid-19 issue. Although, long term fundamentals are intact. Covid-19 can lead to further consolidation in the industry.
~ Angel Broking
Burger King's valuations might be a little stretched when compared to peers at the current market price of Rs 125 per share.
Domestic benchmark indices gave up all gains to trade flat, dancing between gains and losses on Monday morning. ONGC, L&T, and NTPC were the top gainers on Sensex while M&M, Tech Mahindra, and Bajaj Auto were the top drags.
The coronavirus pandemic has ushered in an opportunity for India’s electronic manufacturing and consumer durables market. Currently worth Rs 4 lakh crore, it is estimated to grow to Rs 6.5 lakh crore by financial year 2025, according to global brokerage and research firm Credit Suisse. “Import intensity is high, and the government is trying to capture more value domestically by imposing duties, standards/non-tariff barriers, and focussed incentives such as production linked incentives,” Credit Suisse said in a recent report. To capture the trend, the brokerage firm has initiated the coverage of Amber Enterprises and Dixon Technologies with an ‘Outperform’ rating.
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"Burger King made a stellar listing on the exchange by listing at 87.5% above issue price. Such listing was in line with our expectation as the company issue was priced at a significant discount compared to listed peers such as Jubilant FoodWorks (Domino’s Pizza) and Westlife Development (McDonald). Short term investors can book profit. We advise long term investors to stay invested in the company as there is ample scope available for the company to increase its business in India. Even after such bumper listing, there is no issue with the valuation of the company. In the future, we expect the company to gain market share by opening more stores compared to the competitors. As the store count will increase, operating leverage will kick in and the company will be able to report profit and it will lead re-rating of the multiple for the stock," said Keshav Lahoti Associate Equity Analyst, Angel Broking.
FPI buying continues unabated pushing the benchmark indices to record levels. FIIs have invested Rs 12300 crores so far in December on top of the record Rs 60300 crores invested in November. When money flows like this, market has only one way to go - up. But investors should remember that valuations are high and risky. Sharp surge in Covid infections in US, recent spike in infections in Germany, S Korea etc, the farmer agitation lingering without a settlement and the possibility of a Brexit without a deal are areas of concern. Investors have to be cautious: V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services
Mrs Bectors Food Specialities IPO is scheduled to open for subscription on Tuesday. The Rs 540-crore public issue will be sold in the price band of Rs 286-288 apiece. The IPO would consist of a fresh issue of Rs 41 crore and an offer-for-sale (OFS) of Rs 500 crore by the existing PE investors. The company markets and sells a range of bakery products in savoury and sweet categories which include breads, buns, pizza bases and cakes under the brand ‘English Oven’. Ahead of IPO subscription, Mrs Bectors Food shares were seen trading with Rs 200-202 premium over the issue price of Rs 288 apiece in the grey market today.
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Burger King shares made Dalal Street debut today at Rs 115.35 per share, up 92% from the issue price of Rs 59-60 per share. The stock zoomed further on opening bell and was seen trading at Rs 119.5 apiece minutes later. Burger King’s initial public offering was massively oversubscribed by investors across categories earlier this month. Overall, the issue was subscribed 156 times, making it the second most subscribed IPO of 2020.
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While the markets have opened on a positive note this morning, we must not lose sight of the fact that we are in a patch of resistance. This range is between 13400-13700. The Nifty is currently trading around the upper end of this range. Unless we do not get past 13700 or break 13400, we will not see a convincing rally up or down. There is strong support around the 13350-13400 range and as long as that holds, traders can utilise dips to accumulate long positions: Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments
COMEX gold trades marginally lower near $1839/oz after a 0.3% gain in the previous session. Weighing on gold price is progress on the vaccine front, continuing ETF outflows and delay in US fiscal stimulus deal. However, supporting price is rising virus cases, Brexit uncertainty, US-China tensions and loose monetary policy stance of major central banks. Gold may witness choppy trade amid mixed cues however general bias may be on the downside unless there is pick up in ETF buying or more clarity on US stimulus: Ravindra Rao, VP- Head Commodity Research at Kotak Securities
Rupee is likely to open stronger around 73.65 and trade a 73.50-73.90 range. Asian currencies are stronger and Asian stocks are trading in the green with gains of up to 0.5%. The RBI announced a Rs 10000crs OMO twist on Friday and that should keep the sentiment in the bond market up beat. The key trigger for the bond markets would be the November CPI data. The key event to look forward to this week would be the Fed monetary policy on Wednesday late evening. The BoE rate decision is due to Thursday: Abhishek Goenka, Founder and CEO, IFA Global
Barring Nifty Realty index, all the sectoral indices were trading higher led by Nifty Metal and Nifty PSU Bank indices. Nifty Pharma index too gained nearly one per cent.
Nestle India, Tech Mahindra and Bajaj-Auto were the top BSE Sensex laggards in today's upbeat trading session.
Top Sensex gainers are ONGC, L&T, NTPC, Tata Steel, Power Grid of India, ICICI Bank, Sun Pharma, State Bank of India (SBI), HCL Tech among others.
BSE Sensex jumped over 250 points to hit a new record high of 46,346.90 while the broader Nifty 50 was ruling at all-time high of 13,583 on Monday.
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For the December series, maximum Call Open Interest (OI) is placed at 13,000 strike with 23.93 lakh contracts, followed by 13,500 strike with 21.37 lakh contacts. Put OI is most at 13,000 strike with 38 lakah contracts. The 13,200 strike has 23.94 lakh contracts.
BSE Sensex jumped 106 points to trade at 46,217 while the broader Nifty 50 was ruling above 13,550, up 44 points in pre-opening session on Monday.
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The swift ~20% recovery in the stock after the recent fall has triggered deliberations on its earnings outlook, the possibility of a tariff hike, and capex intensity. Based on our recent channel checks, we note that: BHARTI’s earnings outlook remains strong, given the steady 4G subscriber additions, which are likely to see 2-3% q-o-q ARPU growth, and strong Ebitda growth.
Motilal Oswal Financial Services
Nifty futures were trading 48.50 points up at 13,582.50 on Singaporean Exchange in the early deals on Monday. The trends suggested that BSE Sensex and Nifty 50 may open higher today. A host of factors such as macroeconomic data, COVID-19 vaccine related news, coronavirus cases, oil prices, rupee trajectory and other global cues, will set the market tone for today.
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Excess liquidity, attractive valuations and weakness in the US dollar propelled foreign investors to flock to the Indian stock market in a big way with the highest-ever net inflow of Rs 1.4 lakh core in 2020, but they also dumped debt securities worth a record amount amid pandemic-driven stress in the economy.
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In the overnight trade on Wall Street on Friday, the S&P 500 and Nasdaq closed with modest declines. The Dow Jones Industrial Average 0.16 per cent while the S&P 500 lost 0.13 per cent, and the Nasdaq Composite dropped 0.23 per cent.
The industrial production of India grew at 3.6 per cent in October, which is the highest level since February 2020. A significant rise in the factory output is witnessed after it consecutively fell for the six months till August, and rose marginally by 0.5 per cent in September 2020. The eight-month high IIP is mostly driven by the improvement in the manufacturing and electricity sectors.
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