Share market news

2021-09-26 16:11:12 Marketing At Its Best. Open / Comment

2021-09-26 15:57:39 Open / Comment

2021-09-26 15:56:31 *Chemspec Chemicals - Upcoming Speciality chemical Company IPO*
Expected:- October 2021

One of the leading manufacturers, globally, of critical additives for fast moving consumer goods (FMCG) ingredients used in skin and hair care products, and intermediates for active pharmaceutical ingredient (APIs) used in antihypertensive drugs.

As part of its FMCG product portfolio, it manufactures active ingredients used in sunscreen lotions and creams, antibacterial soaps, anti-dandruff shampoos, and preservatives.

*** The Company is also the largest manufacturer of ‘piroctone olamine’ in India, and the largest producer of ‘chemilide’ (an antibacterial ingredient) in the world with an approximate market share of 70% market share.

Its clientele include Beiersdorf AG, Unilever Supply Chain Company AG, L’Oreal, DSM Nutritional Products, Godrej Consumers Products, Glenmark Life Sciences, Dr. Reddy’s Laboratories, CTX Lifesciences etc. Open / Comment

2021-09-26 15:55:48 LIC Housing Finance and India Post Payments Bank (IPPB) announced a strategic partnership for providing its home loan products to over 4.5 crore customers of IPPB. Buy.

Federal Bank shares have been acquired by HNIs and some funds in a big way. The bank is likely to notch an EPS of Rs 8.5+ in FY22. Accumulate.

Welspun Corp belonging to the US$ 2.7 billion Welspun Group has six manufacturing plants in India, USA and Saudi Arabia and is one of India’s fastest growing conglomerates having sizable expansions. It is likely to notch FY22 EPS of Rs 27+. Buy for 40% appreciation.

Maharashtra Seamless, belonging to the B.C.Jindal Group, is the largest manufacturer of Seamless Steel Pipes and Tubes in India for transportation of oil, gas, petro-products and water. It posted 400% higher Q1 EPS of Rs 28.6, which could lead to FY22 EPS of Rs 75 against FY21 EPS of Rs 30. The share can fetch a gain of about 40% in the medium-to short-term.

Technocraft Industries manufactures drum closures, scaffolding, formwork, yarn & fabrics and engineering and design and has a 15 MW power plant. It posted 145% higher Q1 EPS of Rs 28.6, which may lead to FY22 EPS of Rs 90 against FY21 EPS of Rs 53.2. The share has the potential to touch Rs 1125 at a P/E of 12.5x. Buy.

Morganite Crucible manufactures silicon carbide and clay graphite crucibles used for producing non-ferrous alloys having applications in auto, industrial machinery, sanitary, electrical equipment, railways, etc. It posted 1104% higher Q1 EPS of Rs 12, which could lead to FY22 EPS of Rs 60. The share could rise by over 50%. Add.

India Glycols, the largest producer of mono ethylene glycols\oxides etc, is setting up two new distilleries with ethanol manufacturing. It posted 1550% higher Q1 EPS of Rs 65 and may clock FY22 EPS of Rs 180+. The share may fetch hefty gains in the medium to short term. Add.

Ajanta Soya manufactures vanaspati and cooking oils with application products for bakery items like biscuits, puffs, pastries. It posted 1142% higher Q1 EPS of Rs 5.4, which could lead to FY22 EPS of Rs 24+ against Rs 15.6 in FY21. A reasonable P/E of 8.5x may take its share price to Rs 204 going ahead. Buy.

Coal India, the largest coal miner and refiner functions through subsidiaries in 85 mining areas across 8 states operating 345 mines. It posted 52% higher Q1 EPS of Rs 5.2, which could lead to FY22 EPS of Rs 25 as against Rs 20.6 in FY21. A reasonable P/E of 8x could take the share price to Rs 200. Buy.

Shreyans Industries has 94,000 TPA capacity of writing & printing paper with 12MW of captive power plant. It posted 35% higher Q1 EPS of Rs 6.6, which could lead to FY22 EPS of Rs20+ against Rs 6.4 in FY21. The share may touch the Rs 160 mark.

Intense Technologies with 20 years in telecom, BFSI, manufacturing, energy & utilities verticals having customers in 45 countries offers dynamic digital platforms globally to Fortune 500 clients. It has notched Q1 EPS of Rs 5.3, which could lead to FY22 EPS of Rs 18+. The share can gain 30-40%. Buy.

Spencers Retail, which now includes Nature’s Basket bought from Godrej, trades at a mktcap of just under Rs.1000cr. while D’Mart commands a mktcap of Rs. 3lakh cr. It’s a good takeover candidate for foray into Delhi NCR, Bangalore and Kolkata. Buy at declines for handsome gains.

Phillips Carbon Black, the largest manufacturer of carbon black, has gradually diversified into specialty chemicals and today derives nearly 40% revenue from specialty chemicals. The stock trades cheap at Rs.255 and has yet to participate in the rally for an easy 50% appreciation.

Deepak Fertilizers is the 2nd largest producer of nitric acid, leading manufacturer of iso propyl alcohol (IPA), largest maker of bentonite sulphur. It trades cheap at the valuation of a fertilizer co. whereas it derives nearly half its revenues from chemicals. Can it go the Deepak Nitrite way? Buy for long term multi-bagger returns. Open / Comment

2021-09-26 15:54:27 *MONEY TIMES TALK*
_September 26, 2021_

Shilpa Medicare has tied-up with Cadila Healthcare for production and supply of ZyCov-D vaccine drug. A big positive for this small cap pharma company. Buy.

Indiabulls Housing has raised $ 165 mn. by 5-year overseas bonds to boost its lending business from Rs. 800 cr. to Rs. 2000 cr. per month in one year. A good long term investment.

KPR Mill has split the FV of its share from Rs. 5 to Re. 1, which is set to rise on the big expansion initiated. An excellent buy on the back of the PLI incentives and rising demand.

A veteran marketman recommends to buy Arihant Capital Markets, Acknit, Andhra Petrochemicals, GNFC, MK Exim India, Punjab Alkali & Chemicals and National Plastic Technologies.

JM Financial to issue Rs. 500 cr. of bonds to enhance its business opportunities. The bond has been graded AA by rating agencies and the Company is a safe investment bet. Add.

IDFC to divest its MF business of asset management of around Rs. 1.28 lakh cr. It hopes to raise Rs. 6000 to Rs. 7000 cr. to add to the funds of the Company. Add.

Welspun India to raise Rs. 800 cr. over two years to expand its textile and flooring business. Its towel capacity to be rise by about 20% to meet the growing overseas demand. Add.

KEC International acquires Spur Infra, an EPC company engaged in setting up cross country gas pipeline and city gas distribution networks, for Rs. 162 cr. A positive for the Company.

Given its strong presence in railways, agriculture and construction, Escorts is poised for a leap as the economy revives. The Q1 results indicate better times ahead. Buy

Sterlite Technologies has launched of Accellus, its flagship solution for 5G ready open and programmable network built on an optical-radio architecture.

KPIT Technologies, the autonomous driving service provider, to acquire Future mobility solutions for €15.6 million. The share can rise further. Add.

HCL Tech has bagged a multi-year deal from German Lendico to help create a digital platform to speed up banking. Add.

HDFC Bank to raise upto Rs. 5000 cr. via infra bonds around 6.5% p.a. on revival of loan demand. Add.

Prospects for OIL India have improved after excise benefits to Numaligarh Refinery and its capacity expansions. The share is available below its historical PE and must be bought.

Birla Soft has turned debt-free and the share price has bounced back of excellent working. A good long-term bet.

Adani Enterprises to invest S20 bn. (Rs. 1.48 lakh crore) over ten years in the renewable energy supply chain. It hopes to triple its capacity in four years. A good long-term investment.

JBM has reportedly bagged orders for 500 E busses. This is very positive. Add.

Godrej Industries has approved raising Rs. 750 cr. via NCD for strengthening its FMGC business. Add.

New launches, power brands and digital initiatives will keep Abbot India ahead of its peers. Its Q1 was excellent and the August revenues point to good times continuing. Add.

The PFC MD sounded very optimistic at its 35th AGM while commending its highest PAT of Rs. 8444 cr. in FY21. An excellent buy at all times. Buy.

Bharti Airtel has chosen Tejas Network for its optical network. Tejas is now a part of the Tata group and must be added.

Aluminium prices are set to rise again. Add Nalco, which is the lowest cost aluminium producer. The share price has the potential to rise another 40% in six months.

INEOS Styrolution, a styrenics supplier with world-class production facilities for products in automotive, electronics, packaging, household, construction, healthcare, toys & sports has posted Q1 EPS of Rs 49, which could lead to FY22 EPS of over Rs 200 against Rs157.5 in FY21. Buy for 25% gain.

Alphageo (India), engaged in seismic survey data acquisition, processing and provides 2D and 3D interpretation for oil exploration and production entities, has posted Q1 EPS of Rs 23 v/s loss of Rs 22.5 (YoY) on its equity of Rs 6.4 cr. This could lead to FY22 EPS of Rs 50+ in FY22 and the share could cross the Rs 600 mark. Accumulate. Open / Comment

2021-09-25 15:52:11 Open / Comment

2021-09-25 12:38:52 Chief Minister Uddhav Balasaheb Thackeray says that cinemas and theaters in the state will be allowed to open after October 22 in compliance with health norms. Work is underway to prepare a detailed SOP in this regard and it will be announced soon Open / Comment

2021-09-24 20:55:07 Nifty 50 closed at 17,853.20 (30.3, 0.2%) , BSE Sensex closed at 60,048.47 (163.1, 0.3%) while the broader Nifty 500 closed at 15,191.95 (-13.5, -0.1%)

Market breadth is in the red. Of the 1799 stocks traded today, 590 were on the uptrend, and 1158 went down.

Rashtriya Chemicals & Fertilizers, Chambal Fertilisers & Chemicals, Madras Fertilizers, and National Fertilizers trade higher as reports suggest the government will increase fertilizer subsidy by Rs 25,000 crore for FY22.

Happiest Minds Technologies, Ratnamani Metals & Tubes, SJVN, and Equitas Holdings are trading with higher delivery volumes compared to Thursday.

Ircon International is rising as the construction company wins orders worth Rs 2,400 crore to set up a 500 megawatt solar power plant.

IIFL Finance plans to raise Rs 1,000 crore through debt to meet credit requirements and enhance its digital presence.

ICICI Securities maintains a 'Buy' rating on CESC and a 'Reduce' rating on Torrent Power following Torrent Power's acquisition of CESC's 156 megawatt wind power plants for Rs 790 crore.

Dilip Buildcon, Ircon International, Indo Count Industries, and Rashtriya Chemicals & Fertilizers are trading with more than three times their weekly average trading volume.

GR Infraprojects wins an order worth Rs 927 crore from the National Highways Authority of India to develop a six lane highway in Punjab.

KPR Mill is rising as the shares of the textile company turn ex-date following its 5:1 stock split on September 24.

Axis Direct maintains a 'Buy' rating on Federal Bank with a 23% target price upside because of the company's focus on increasing credit card issuance, microfinance loans, and commercial vehicle financing.

IndusInd Bank acquires 50 lakh shares (4.8% stake) in McLeod Russel India by invoking the tea manufacturer's pledged shares.

TeamLease Services' promoter HR Offshoring Ventures sells 85,400 shares (0.5% stake) worth Rs 36.3 crore in an insider trade on Wednesday.

PVR is falling as CRISIL Ratings downgrades the company's debt rating to "A+" from "AA-." The rating agency expects PVR's business to be negatively impacted due to poor content pipeline and capacity restrictions in Maharashtra.

Sansera Engineering lists at Rs 811.5 per share, a 9% premium to the issue price of Rs 744 per share. The auto-components company's IPO was a complete offer for sale of Rs 1,293 crore.

Mining company Vedanta will delist its American Depository Receipts (ADRs) from the New York Stock Exchange. The company's ADRs constitute 4% of its equity.

Upbeat trading today, as Nifty 50 was trading at 17,909.95 (87, 0.5%) , BSE Sensex was trading at 60,182.86 (297.5, 0.5%) while the broader Nifty 500 was trading at 15,266.00 (60.6, 0.4%)

Market breadth is ticking up strongly. Of the 1710 stocks traded today, 1119 were gainers and 510 were losers.

Riding High:
Largecap and midcap gainers today include Indus Towers Ltd. (317.65, 13.83%), Oberoi Realty Ltd. (932.00, 10.00%) and Vodafone Idea Ltd. (11.50, 9.00%).

Downers:
Largecap and midcap losers today include Apollo Hospitals Enterprise Ltd. (4731.80, -6.93%), Dr. Lal Pathlabs Ltd. (3889.65, -3.72%) and SBI Cards and Payment Services Ltd. (1011.20, -3.60%). Open / Comment

2021-09-24 06:39:09 *Fund Houses Recommendations*

CLSA on *Tata Steel*: Maintains Buy on company, target price at Rs 1950/Sh (Positive)

CLSA on *JSW Steel*: Maintains Buy on company, target price at Rs 810/Sh (Positive)

JP Morgan on *L&T*: Maintains Overweight on company, target price at Rs 1940/Sh (Positive)

MS on *Jubilant Food*: Maintains Overweight on company, target price at Rs 3236/Sh (Positive)

CS on *ZEE Ent*: Maintains Outperform on company, raise target price at Rs 400/Sh (Positive)

Credit Suisse's preferred picks in the Indian IT space are *Infosys, TCS & HCL Tech*. (Positive) Open / Comment

2021-09-24 05:59:44 Stocks to watch. Open / Comment