MARKET WRAP: Sensex gains 127 pts, Nifty ends at 11,624 on last day of FY19

In the broader market, the S&P BSE Midcap index surged 151 points or 0.99 per cent to close at 15,480. The S&P BSE SmallCap rose 109 points or 0.73 per cent to end at 15,027.
The benchmark indices ended on a positive note for the second straight day on Friday, the last trading day of the financial year (FY19) 2018-19 amid buying in metals, pharma, and auto stocks. 

The S&P BSE Sensex ended at 38,673, up 127 points or 0.33 per cent with Vedanta being the top gainer and IndusInd Bank the biggest loser.

The NSE's Nifty50 index closed above the crucial 11,600 level at 11,624, up 54 points or 0.47 per cent.

On a weekly basis, Sensex gained around 1.30 per cent while Nifty added 1.45 per cent.

During the financial year, Sensex climbed 17 per cent and Nifty50 index gained around 15 per cent. 

In the broader market, the S&P BSE Midcap index surged 151 points or 0.99 per cent to close at 15,480. The S&P BSE SmallCap rose 109 points or 0.73 per cent to end at 15,027.

BUZZING STOCKS

Shares of Ipca Laboratories, Varun Beverages, Merck, Adani Gas, Future Lifestyle, Gujarat Fluorochemicals and Muthoot Finance were among 14 stocks hitting their respective all-time highs on the BSE on Friday.

DLF shares hit an over six-month high of Rs 207 in the intra-day deal on the BSE after the real estate developer successfully raised Rs 3,173 crore through qualified institutional placement (QIP). The stock, eventually, closed at Rs 201.60, up nearly 4 per cent.

SECTOR WATCH

Metal stocks advanced the most, followed by pharma and auto counters. The Nifty Metal index ended over 2 per cent higher at 3,044. 

GLOBAL CUES

Global stocks rose on Friday on optimism over trade talks between the United States and China and were set to post their best quarterly performance since 2012, while global bond yields moved higher after a prolonged slide on growth worries.

Oil prices rose on Friday amid the ongoing OPEC-led supply cuts and US sanctions against Iran and Venezuela, putting crude markets on track for their biggest quarterly rise since 2009.

(With inputs from Reuters)

3:39 PM IST

3:39 PM IST

3:37 PM IST The S&P BSE Sensex ended at 38,673, up 127 points or 0.33 per cent while the NSE's Nifty50 index ended at 11,624, up 54 points or 0.47 per cent.  

3:19 PM IST Among the individual stocks, Varun Beverages (VBL) surged 6 per cent to Rs 857, surpassing its previous high of Rs 849 touched on September 21, 2018, on the BSE in intra-day trade. READ MORE

3:06 PM IST At this juncture, we maintain our estimates and expect sales & PAT to grow at a CAGR of 16.3% and 21.5%, respectively, in FY18-20E. We value Wabco at Rs 7,000 i.e. 33x P/E on FY20E EPS of Rs 212.3 per share and retain our HOLD rating on the stock. We draw comfort from debt free, cash surplus balance sheet at Wabco with healthy return ratios matrix (20 %+) and healthy cash flow generation.

2:48 PM IST Accenture (ACN) impressed with strong 9% c/c revenue growth, record bookings and further increase in FY2019 (August year-end) revenue growth guidance. Growth was skewed towards resources and communications verticals while financial services and heath & public services verticals underperformed. Read-through for other IT names—demand environment is reasonable even as there are rough edges visible in weak financial services growth.

2:34 PM IST

2:23 PM IST In an e-mail sent to MFs, the regulator has asked MFs to disclose the details so that it can assess how large is the quantum of such exposures held by MFs to these structures, which have come under pressure due to sharp erosion in value of the promoter shares. READ MORE

2:10 PM IST

2:00 PM IST

LIVE UPDATES

Sectoral gainers and losers on NSE


Top gainers and losers on S&P BSE Sensex


MARKET AT CLOSE

The S&P BSE Sensex ended at 38,673, up 127 points or 0.33 per cent while the NSE's Nifty50 index ended at 11,624, up 54 points or 0.47 per cent.  

Bajaj Finance, ICICI Bank, Ipca Labs, Varun Beverages hit record high

Among the individual stocks, Varun Beverages (VBL) surged 6 per cent to Rs 857, surpassing its previous high of Rs 849 touched on September 21, 2018, on the BSE in intra-day trade. READ MORE

ICICI Direct on Wabco India

At this juncture, we maintain our estimates and expect sales & PAT to grow at a CAGR of 16.3% and 21.5%, respectively, in FY18-20E. We value Wabco at Rs 7,000 i.e. 33x P/E on FY20E EPS of Rs 212.3 per share and retain our HOLD rating on the stock. We draw comfort from debt free, cash surplus balance sheet at Wabco with healthy return ratios matrix (20 %+) and healthy cash flow generation.

Kotak Securities on IT Services

Accenture (ACN) impressed with strong 9% c/c revenue growth, record bookings and further increase in FY2019 (August year-end) revenue growth guidance. Growth was skewed towards resources and communications verticals while financial services and heath & public services verticals underperformed. Read-through for other IT names—demand environment is reasonable even as there are rough edges visible in weak financial services growth.

Heatmap: S&P BSE Sensex


Sebi asks mutual funds to disclose details of promoter funding

In an e-mail sent to MFs, the regulator has asked MFs to disclose the details so that it can assess how large is the quantum of such exposures held by MFs to these structures, which have come under pressure due to sharp erosion in value of the promoter shares. READ MORE

IDBI Bank rises 6%


Market check


Stocks that hit 52-week low on BSE500

COMPANY PRICE(rs) 52 WK LOW CHG(rs) CHG(%)
CENTRUM CAPITAL 32.50 27.00 -0.10 -0.31
TVS SRICHAKRA 2229.25 2170.00 -0.90 -0.04
» More on 52 Week Low

Stocks that hit 52-week high on BSE500

COMPANY PRICE(rs) 52 WK HIGH CHG(rs) CHG(%)
ASIAN PAINTS 1489.00 1507.95 -5.50 -0.37
BAJAJ FIN. 3008.00 3023.40 18.35 0.61
DCB BANK 204.95 208.50 0.00 0.00
FUTURE LIFESTYLE 487.15 499.90 1.65 0.34
GODFREY PHILLIPS 1162.90 1176.50 25.80 2.27
» More on 52 Week High

Power Finance Corporation extends rally on acquisition of REC

Power Finance Corporation (PFC) shares hit a fresh 52-week high of Rs 124, up 6 per cent, on the BSE, after the company concluded the acquisition of Rural Electrification Corporation (REC) by paying Rs 14,500 crore to the Central government. PFC surpassed its previous high of Rs 123 recorded on March 19, 2019 in intra-day trade. READ MORE

Sectoral trends on NSE


DLF hits 6-month high on successful QIP issue; stock surges 25% in a month

DLF shares hit an over six-month high of Rs 207, up 6.5 per cent, on the BSE after the real estate developer successfully raised Rs 3,173 crore through qualified institutional placement (QIP). The stock was trading at its highest level since September 18, 2018. READ MORE



Market share focus to weigh on Dabur India's near-term profitability

Dabur India’s (Dabur) focus on market share gains at a time when demand is slowing, coupled with last year’s high base, could weigh on its March 2019 quarter (Q4) profitability. Dabur CFO Lalit Malik says consumer sentiment is a down, and overall consumer demand (rural as well as urban) has slowed down in Q4. There is also marginal inflationary pressure. READ MORE

Market check


Oil prices set for biggest Q1 gain since 2009 on US sanctions, OPEC cuts

Oil prices rose on Friday, pushed up by ongoing supply cuts led by producer club OPEC and US sanctions against Iran and Venezuela, putting the crude markets on pace to post their biggest first quarter gain since 2009. READ MORE

Top gainers on BSE at this hour


MARKET COMMENT :: Chris Wood of CLSA

Tactically, GREED & fear would still give the benefit of the doubt to the resumption of the stock market rally in the US and a re-test of last year’s double top in the S&P500. That is despite the seemingly negative signal of last Friday’s inversion of the yield curve. The 10-year Treasury bond yield fell below the three-month T-bill yield last Friday for the first time since 2007 and is now 7bp below the three-month yield. The base case here remains that a Sino-US trade deal will be agreed and the positive news here is that the two sides continue to talk. GREED & fear also remains hopeful that a deal will lead to the dropping of existing tariffs.

(Source: Wood's weekly newsletter, GREED & fear)

Christopher Wood, Managing Director & Equity Strategist, CLSAChristopher Wood, Managing Director & Equity Strategist, CLSA

CD Equisearch on Vanati Organics Limited (VOL)

The stock currently trades at 31.7x FY19e EPS of Rs 51.30 and 28.9x FY20e EPS of Rs 56.22. Going forward, positive outlook of the global speciality chemical industry, the rising demand for VOL’s key products owing to its diverse applications and the unveiling of new speciality chemical products would enable VOL to report revenue growth of over 40% in FY19 and 20% in FY20. Yet, delay in commercialisation of its product pipeline could hinder its growth trajectory.

VOL’s technical association with Institut Francais du Petrole (IFP), France, Saipem, Italy and National Chemical Laboratories (NCL), Pune assists it to maintain its market leadership and integrate its business model. Therefore, weighing odds, we advise buying the stock with a target of Rs 1799 (previous target: Rs 1209) based on 32x FY20e earnings over a period of 9-12 months

Kotak Securities on banks

As per RBI’s latest release on system-wide average lending and deposit rates, fresh lending rates increased 15 bps MoM in January 2019 to 9.9% driven by 20 bps hike for private banks. Term deposits maintained a slow upward movement; weighted term deposit rates increased 5 bps MoM. The gap between outstanding loan and fresh loan rates decreased to 45 bps. As such, NIM compression is arrested and is expected to improve further going ahead.

Elara capital on banks

We interacted with management of 10 banks (private, regional private & public sector) as well as industry veterans from South India to get a clearer view of the banking industry’s dynamics. Although banks are following different strategies, focus areas are external benchmarking of loans, constraints on term deposit mobilization, excess statutory liquidity ratio (SLR) securities with public sector banks (PSB) and credit expansion in retail segments on balance sheet-side. And, margin expansion in FY20 would be led by lower net slippages and interest reversals on the profitability front

Reliance Securities on Orient Cement

We believe Orient Cement is currently in Catch-22 situation considering the urgency of capacity expansion and financial constraints, which could be similar with India Cements. Further, sustainability of recent price hikes in its key markets may improve its unitary EBITDA from Rs251 to Rs750-850 in ensuing quarters, which bodes well for higher cash flow.

Though the stock has witnessed a decent rebound after the price hike announcements in its key markets, valuations appears to be comfortable. However, ambiguity over capacity expansion will remain an overhang in the medium-term, in our view. We have no rating on the stock

Reliance Securities on NBCC

We continue to view NBCC as a robust growth story owing to its PWO status and niche presence in redevelopment of government’s old colonies. Further, a debt-free balance-sheet and superior return ratios augur well for the Company. Therefore, we continue to believe that NBCC should trade at premium to its peers.

Stock has gained ~30% since our last update in Feb’19 post result. However, considering the ambiguity over the progress on redevelopment projects and overhang on Jaypee Infra deal there is no scope for further re-rating. Hence, considering limited upside hereon, we downgrade our recommendation on the stock to HOLD from BUY with an unrevised SOTP-based Target Price of Rs 62 (20x EPS FY21E).

Slowing sales in key markets could derail Bharat Forge's growth curve

After falling 37 per cent over the last year, Bharat Forge’s stock could see further downside due to a slowdown in the commercial vehicle segment as well as a muted outlook for other key verticals. The slowing North American truck sales are a key worry. Order inflows for Class 8 trucks in North America in February at 16,900 units were down 58 per cent over the year-ago period, according to trade body ACT. READ MORE

Vodafone Idea goes ex-date for rights issue; stock pares gain

Vodafone Idea shares surged 17 per cent to Rs 20.45 on the BSE in early morning trade on Friday on the back of heavy volumes. The stock turned ex-date for rights issue today. At 10:33 AM, the stock had erased its early morning gain and was trading 6 per cent higher at Rs 18.50 on the BSE. It touched an intra-day low of Rs 17.85, and is just 4.4 per cent away from its record low price of Rs 17.06 (adjusted to rights issue) touched on Thursday, March 28. READ MORE



Adani Enterprises up 8%


Sensex, Nifty set to post double-digit return for third consecutive year

The benchmark indices are set to report double-digit return for the third consecutive financial year, led by financials, information technology (IT), fast moving consumer goods (FMCG) and Reliance Industries (RIL). Thus far in the financial year 2018 - 19 (FY19), the S&P BSE Sensex and Nifty 50 have moved up 17 per cent and 14 per cent, respectively - outpacing the 11.3 per cent and 10.2 per cent rise seen in these indices in the previous financial year. READ MORE



MSTC locked at 5% upper circuit after weak stock market debut

Shares of MSTC were locked in the upper circuit of 5 per cent at Rs 117 in intra-day trade on the BSE, after making a weak debut. The stock was listed at Rs 111, a 7.5 per cent below its issue price of Rs 120 on the BSE. It has hit intra-day low of Rs 110 so far. Till 10:11 am, around 31,000 equity shares had changed hands and there were pending buy orders for 13,128 shares on the BSE. READ MORE

Nifty Auto index is trading over 1% higher


Rail Vikas Nigam IPO opens today: Why analysts suggest subscribing to it

The Rs 482 crore initial public offering (IPO) of state-run Rail Vikas Nigam (RVNL) will open on Friday and close on April 3. The price band has been fixed at Rs 17 - Rs 19 per share. The issue is entirely an offer for sale (OFS) of 25.35 crore shares (12.2 per cent of post-dilution equity) by Government of India. Of the total issue, 0.3 per cent, or 6,57,280 shares, are reserved for the employees of RVNL. Retail investors and employees will be offered a discount of Rs 0.5/share. READ MORE



Motilal Oswal Securities on ONGC

We marginally revise our estimates to take into account 
 
(a) change in the exchange rate assumptions; and 
 
(b) change in production assumptions. 
 
The stock is trading at 5.3x FY21E consolidated EPS of INR29.6. We move our valuation from Dec’20 to FY21. Valuing the company at 8x standalone EPS (excluding other income) and adding the value of investments, we reiterate our Buy rating with a target price of Rs196 (earlier: Rs 182). 

Nifty set to hit touch new high! 12,000 on the cards: Pritesh Mehta, YES Securities

Nifty internals suggest that recent rally has been broad-based compared to previous ones as 29 stocks from the index have outperformed Nifty so far – a perfect ingredient for a sustained rally. We expect Nifty to continue its northbound journey and attempt 12,100 levels as per extension calculations, which coincides with three-digit Gann number of 121(00).  

Market check


JSW Steel up over 2.5%


ICICI Securities on Banking sector

We retain our confidence in banks rather than NBFCs at this current juncture as balance sheet management and lower growth will take next two to three quarters to stabilise. We prefer SBI (revised target), Axis Bank and City Union Bank within banking sector coverage. Among NBFCs, we recommend M&M Financial Services, being largely a pure rural financier. Despite recent rally in financials, we still believe there are enough gains left on the table.

SBI Life Insurance falls 6% on BNP Paribas stake sale

SBI Life Insurance shares slipped 6 per cent to Rs 577 on the BSE in early morning trade on reports that BNP Paribas Cardif had sold its stake in the company through the open market. At 09:15 am, around 52.23 million shares, representing 5.2 per cent of total equity, of SBI Life Insurance changed hands on the counter on the BSE at the price of Rs 582 via block deals, BSE data shows. READ MORE

Momentum Picks by ICICI Securities

 

Most active stocks by volume (BSE500)

COMPANY PRICE(rs) CHG(rs) CHG(%) VOLUME
SBI LIFE INSURAN 582.75 -34.00 -5.51 57094500
VODAFONE IDEA 19.30 1.78 10.16 3424568
RELIANCE POWER 11.28 0.61 5.72 2146194
PUNJAB NATL.BANK 96.30 0.95 1.00 938406
SUZLON ENERGY 6.38 -0.12 -1.85 898250
» More on Most Active Volume

Opening losers on S&P BSE Sensex

COMPANY PRICE(rs) CHG(rs) CHG(%) VOLUME
VODAFONE IDEA 19.65 -9.35 -32.24 2919056
REL. COMM. 4.14 -0.21 -4.83 286354
SBI LIFE INSURAN 587.25 -29.50 -4.78 56832837
BAJAJ HOLDINGS 3410.05 -142.95 -4.02 1331
MAGMA FINCORP 116.35 -3.15 -2.64 670
» More on Top Losers

Opening gainers on BSE Sensex

COMPANY PRICE(rs) CHG(rs) CHG(%) VOLUME
WABCO INDIA 6750.00 387.40 6.09  
KALPATARU POWER 499.00 25.75 5.44  
TATA METALIKS 655.00 26.10 4.15  
J & K BANK 55.00 2.05 3.87  
RAJESH EXPORTS 698.00 25.35 3.77  
» More on Top Gainers

Federal Bank trades over 2% higher


Nifty Pharma index is trading 1.40%


Graphite India gains nearly 4%


Rupee opens 6 paise higher at 69.24 against US dollar

The rupee opened 6 paise higher at 69.24 against the US dollar on Friday. The domestic unit slumped 42 paise to end at 69.30 on Thursday, its second straight session of decline, in line with other Asian currencies amid strengthening of the greenback. READ MORE



WABCO India rises over 7%


HPCL rises 3.5% higher


Nifty Metal Index is trading over 1.5% higher


SBI Life stock slips over 4%


Vodafone Idea surges 14% ahead of rights issue


Sectoral gainers and losers on NSE


Top gainers and losers on S&P BSE Sensex


MARKET AT OPEN

At 09:17 am, the S&P BSE Sensex was trading 149 points or 0.39 per cent higher at 38,694.36 while the NSE's Nifty50 index was trading above 11,600 levels at 11,623, up 53 points or 0.45 per cent. 

Market at pre-open


Rupee opening

Rupee opens higher at 69.24/$ vs its previous close of 69.34 against the US dollar



Stocks in focus

AstraZeneca Pharma: AstraZeneca Plc has inked $6.9 billion breast, gastric cancer therapy deal with the Japanese drugmaker Daiichi Sankyo Co.
 
Britannia: The company will replace HPCL in Nifty50 index today, as per reports.

READ MORE

Derivative strategy on Siemens by HDFC Securities

Buy SIEMENS APRIL 1100 CALL at Rs 42
 
TARGET: Rs 60
STOP LOSS: Rs 33

READ MORE

Top trading calls by Anand Rathi

BEML: BUY
TARGET: Rs 1,060
STOP LOSS: Rs 967
 
The stock has reversed from the neckline support of the bullish inverse head and shoulders pattern with a clear buy crossover in its momentum indicator MACD both on the daily as well as weekly charts. It is now likely to inch towards the short term target of Rs 1,060 levels. READ MORE

Commodity outlook by Tradebulls Securities

Buy Copper
TARGET: Rs 445
STOP LOSS: 432
 
Copper has bounced from levels of Rs 434 and made ‘hammer’ candlestick pattern on the daily scale. Just like Lead, Copper also has corrected from highs of Rs 468 to Rs 434. RSI_14 is trading at 40 and the short-term moving average has started flattening out indicating selling pressure has subsided. READ MORE

Today's picks

Asian Paints
 
Current price: Rs 1,497
Target price: Rs 1,525
Keep a stop at 1,485 and go long. Add to the position between 1,515-1,520.
Book profits at 1,525.
 

SGX Nifty

At 8:25 AM (IST), Nifty futures on Singapore Exchange (SGX) were trading at 11,662.50, down 7.50 points, indicating a negative start for the domestic market

FII/FPI & DII trading activity on NSE, BSE and MSEI


Bulk deals on NSE as on Thursday

28-Mar-2019 AGROPHOS Agro Phos India Limited MADHAV STOCK VISION (P) LTD. BUY 2,00,000 72.37 -
28-Mar-2019 AGROPHOS Agro Phos India Limited SAH FINTRADES SELL 2,00,000 72.38 -
28-Mar-2019 AMJUMBO A and M Jumbo Bags Ltd NISHA JIGARBHAI SHAH BUY 14,000 58.49 -
28-Mar-2019 BLISSGVS Bliss GVS Pharma Ltd ACHINTYA SECURITIES PRIVATE LIMITED BUY 6,31,534 174.90 -
28-Mar-2019 BLISSGVS Bliss GVS Pharma Ltd ACHINTYA SECURITIES PRIVATE LIMITED SELL 6,31,534 175.40 -
28-Mar-2019 BRITANNIA Britannia Ind Ltd. SBI MUTUAL FUND A/C - SBI ETF NIFTY - SCHEME 483 BUY 12,97,000 3098.97 -
28-Mar-2019 DHFL Dewan Housing Fin Corp CENTILLION RESEARCH INDIA LLP BUY 17,56,323 149.14 -
28-Mar-2019 DHFL Dewan Housing Fin Corp CENTILLION RESEARCH INDIA LLP SELL 17,56,323 149.18 -
28-Mar-2019 DHFL Dewan Housing Fin Corp CROSSLAND TRADING CO BUY 21,27,554 148.04 -
28-Mar-2019 DHFL Dewan Housing Fin Corp CROSSLAND TRADING CO SELL 21,27,554 148.11 -

Click here for the full list

Asian Markets check

Asian shares posted narrow gains on Friday on revived hopes of progress in US-China trade talks.
 
MSCI’s broadest index of Asia-Pacific shares outside Japan edged up 0.1 per cent while Japan’s Nikkei rose 1.0 per cent. The S&P 500 on Thursday gained 0.36 per cent and the Nasdaq Composite added 0.34 per cent.

Wall Street check

US stocks climbed on Thursday as Treasury yields rose off 15-month lows, with investors optimistic about the latest round of US-China trade talks.

The Dow Jones Industrial Average rose 91.87 points, or 0.36 per cent, to 25,717.46, the S&P 500 gained 10.07 points, or 0.36 per cent, to 2,815.44 and the Nasdaq Composite added 25.79 points, or 0.34 per cent, to 7,669.17.
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