Sensex Today Live Updates: Sensex down 200pts, Nifty at 22,520; Bank, Financial services drag, IT, Cons. Durables gain

Sensex Today Live : Rating: BUY | CMP: ₹136 | TP: ₹180

DCBB saw a strong quarter with beat on all fronts. Core PPoP was higher to PLe by 12.8% led by better NII and fees while GNPA too declined by 20bps QoQ to 3.2% driven by reduction in slippages. Reported NIM, that had fallen sharply by 21bps QoQ in Q3’24 to 3.48%, normalized to 3.62% due to better loan mix, collection efficiency, liquidity management and repricing of loans. Fee income profile too has improved YoY in FY24 with PSLC income being substituted by core fees.

While guidance to double balance sheet over 3-4 years has been maintained, deposit accretion would outpace loan growth; we are factoring a 17/18% CAGR in loans/deposits over FY24-26E.

Asset-liability management has been efficient with LCR at 125% and LDR at 83% indicating no challenges to grow. While we maintain multiple at 1.0x, as we roll forward to Mar’26, our TP increases to ₹180 from ₹160. Retain ‘BUY’.

Sensex Today Live : Revenue increased by 20.6% year-over-year to ₹1,005.5 crore

Gross profit at ₹268.6 crore. Gross margin at 26.7%

Adjusted EBITDA at ₹187.7 crore. Adjusted EBITDA margin at 18.7%. Reported EBITDA at ₹160.4 crore

Adjusted Profit after tax increased by 10.4% year-over-year to ₹136.1 crore. Adjusted Profit after tax margin at 13.5%. Reported PAT at ₹130.2 crore

Sensex Today Live : On Thursday, April 25, KPI Green Energy reported a significant increase of nearly 36% in its consolidated net profit for the March quarter, amounting to ₹43.04 crore, primarily due to higher revenues. The company’s consolidated net profit for the same period last year was ₹31.77 crore, as stated in a BSE filing.

The total revenue of the company rose to ₹292.96 crore during the quarter, up from ₹184.41 crore a year ago. The consolidated net profit for the entire FY24 also saw an increase, reaching ₹161.65 crore from ₹109.62 crore in the previous year.

The board has proposed a final dividend of 2%, which translates to Re 0.20 per equity share with a face value of ₹10 each for the financial year 2023-24. This is subject to the approval of the shareholders at the company’s forthcoming annual general meeting.

Sensex Today Live : For the quarter ending in March FY24, Som Distilleries and Breweries announced a consolidated net profit of ₹20 crore. This represents a nearly 26% increase compared to the same period last year.

The company’s operational revenue for the quarter saw a year-on-year growth of 51%, reaching ₹381.6 crore.

Sensex Today Live : Indian benchmark indices were trading in the red on Friday.

At 11 am, Sensex was down 113.22 points, or 0.15%, at 74,226.22, and Nifty was down 22.40 points, or 0.1%, at 22,547.95.

Sensex Today Live : For the January-March FY24 quarter, Zensar Technologies reported a consolidated net profit of ₹173.3 crore, marking a 45.4% increase from the same period in the previous fiscal year. This growth was achieved despite a subdued topline, and was primarily driven by other income and operating margin. The company’s operational revenue saw a year-on-year growth of 1.4%, amounting to ₹1,229.7 crore for the quarter.

Sensex Today Live : Sandur Manganese & Iron Ores today said it has entered into a share purchase agreement with Arjas Steel to acquire 80% stake in the company at an enterprise value of around ₹3,000 crore.

In an exchange filing, the company said, “the Board of Directors… considered and approved strategic business acquisition through purchase of 80% equity share capital of Arjas Steel Private Limited (ASPL), by entering into a Share Purchase Agreement. Accordingly, the Company has entered into the Share Purchase Agreement. Additionally, 19.12% (approx.) stake in Arjas Steel Private Limited will be acquired by BAG Holdings Private Limited (an entity owned by Mr. Bahirji A. Ghorpade, one of the promoters of The Sandur Manganese & Iron Ores Limited)”.

The company added, “Enterprise value of ASPL is ~ Rs.3,000 crore. To acquire an 80% equity stake in ASPL, equity value will be decided basis customary and agreed adjustments to the enterprise value at the closing date”.

Sensex Today Live : Net profit: ₹393.22 crore in Q4FY24, vs. ₹373.6 crore in Q3FY24, up 5.25% QoQ, and ₹405.31 crore in Q4FY23, down nearly 3% YoY

Sensex Today Live : Indian benchmark indices were muted but green on Friday, led by positive cues from global peers.

At 10 am, Sensex was up 27.24 points, or 0.04%, at 74,366.68, and Nifty was up 11.50 points, or 0.05%, at 22,581.85.

Sensex Today Live : L&T Technology Services (LTTS) announced on Thursday a slight increase of 0.2% in its net profit for the March quarter, amounting to ₹340 crore, attributed to slower revenue growth and contracting margins. The company disclosed plans to augment its workforce by 500 employees during the April-June period.

The net profit of the engineering services company for FY24 witnessed a growth of 7.6%, reaching ₹1,303.7 crore. In the reported quarter, its revenue saw a 7% increase to ₹2,537.5 crore, marking a 5% growth compared to the previous quarter. Amit Chadha, LTTS Managing Director and Chief Executive, stated that the revenues in the corresponding period of the previous year were higher due to the profits derived from the acquisition of the company, Smart World. Regarding the margin, he indicated a “slightly muted” figure in the near future as the company intensifies investments in areas deemed crucial for its future.

He mentioned that the company has previously reported an operating profit margin of 17-18%, but this figure may decrease due to investments. For the quarter under review, the operating profit margin was recorded at 16.9%, compared to 17.9% in the same period of the previous year and 17.2% in the preceding quarter.

Sensex Today Live : “BankNifty also indicated a big bullish candle on the daily chart, breaching above the hurdle of the 48,300 zone, improving the bias, and anticipating a further upward move to targets of 49,000 and 49,400 levels in the coming days. Bankex has closed above the 54,770 level, which is acting as a resistance, and the 20 DMA level of 54,130 is good support for Bankex. Banknifty would have a daily range of 48,000–49,000 levels, with Bankex support at 54,400 and resistance at 55,500 levels.”

–Vaishali Parekh, Vice President – Technical Research, Prabhudas Lilladher

Sensex Today Live : “Nifty, after opening on a weak note, surged significantly to close on a strong note above the 22550 zone, forming a “bullish engulfing” candle formation to signify strength and anticipate further rises in the coming days. With the bias maintained strong, the index is expected to retest the previous peak zone of 22775 levels, with major support maintained near 22150 levels of the important 50EMA zone. Sensex has given a range breakout and almost reached 78.6% retracement from the recent fall. A dip towards the 20 DMA level of 73770 will be a good buying opportunity for the day. The support for the day is seen at 73800/22400 levels, while the resistance is seen at 74800/22700 levels.”

–Vaishali Parekh, Vice President – Technical Research, Prabhudas Lilladher

Sensex Today Live : ACC announced a significant 216% increase in its standalone net profit for the fourth quarter of FY24, reaching ₹748.54 crore, a substantial rise from ₹236.57 crore during the same period the previous year.

The company’s operational revenue for Q4FY24 also saw an increase, growing by 12.67% to ₹5,398.11 crore from ₹4,790.77 crore on a year-on-year basis. ACC’s consolidated sales volume for the quarter also improved, rising to 10.4 million tonnes from 8.5 million tonnes in the corresponding quarter of the previous year. For FY24, the sales volumes escalated to 36.9 million tonnes from 30.7 million tonnes.

The operating performance of the Adani Group company witnessed an enhancement during the quarter. Its EBITDA surged by 79.5% to ₹837 crore from ₹467 crore, while the EBITDA margin expanded by 570 basis points to 15.5% from 9.8% on a year-on-year basis.

The Board of Directors of ACC has proposed a dividend of ₹7.50 per fully paid-up equity share with Friday, 14 June as the record rate.

Sensex Today Live : The company experienced a significant drop in profits for the March quarter compared to the previous year. This decrease was attributed to lower commodity prices, increased borrowing costs, and certain exceptional charges. The company’s profit, which amounted to ₹1,369 crore, was down by 27% compared to the previous year. The lower prices of metals such as aluminium and zinc during the quarter led to a 6% YoY decrease in the company’s top line, which stood at ₹34,937 crore. The company’s EBITDA also saw a similar decrease, amounting to ₹8,196 crore. The EBITDA margin remained relatively stable at 23.5%, dipping by just 6 basis points compared to the same period last year. Vedanta’s borrowing cost for the quarter was ₹2,415 crore, a 34% increase that negatively impacted its bottom line. This increase occurred after the company’s net debt rose to ₹56,338 crore as of 31 March, up from ₹45,260 crore a year ago. However, Vedanta managed to reduce its net debt by ₹6,155 crore during the January-March quarter, despite its

Sensex Today Live : Barring Financial Services, and Realty indices, all other sectoral indices were in the green. The IT, Metal and Consumer Durables indices had gained the most, all three trading more than 1% up.

Sensex Today Live : The broader market was in the green, with the BSE MidCap index up 0.59%, and the BSE SmallCap index up 0.55%. 

Sensex Today Live : On April 25, Bajaj Finance, the leading non-banking lender in India, announced a 21% increase in its consolidated after-tax profit for the fourth quarter of FY 2023-24, amounting to ₹3,825 crore, up from ₹3,158 crore in the same period last year. The consolidated figures encompass the operations of its subsidiaries, Bajaj Housing Finance and Bajaj Financial Securities.

On an individual basis, the net interest income for Q4FY24 surged by 29% to ₹7,340 crore from ₹5,669 crore in Q4FY23. The net total income on a standalone basis for Q4FY24 increased by 25% to ₹8,904 crore from ₹7,105 crore in Q4FY23.

As of March 31, 2024, the gross non-performing assets (NPA) were reported at 0.85%, a decrease from 0.94% in the same period last year. The net NPA remained steady at 0.37% as on March 31, compared to the same period a year ago. The company maintains a provision coverage ratio of 57%

Sensex Today Live : 15 of the 50 stocks on the Nifty 50 were in the red. Bajaj Finance, Bajaj Finserv, Tata Consumer Products, Mahindra & Mahindra, and Eicher Motors, were the top drags, while Tech Mahindra, Divi’s Laboratories, LTIMindtree, Hindalco, and Tata Steel, were the top gainers.  

Sensex Today Live : On Thursday, April 25, Tech Mahindra reported a 41% drop in its consolidated net profit in Q4FY24, which stood at ₹661 crore. The company’s revenue from operations also fell 6.2% to ₹12,871.3 crore in the fourth quarter compared to the previous year. In comparison to ₹1,117.7 crore in the corresponding period last year, Tech Mahindra’s net profit for the March quarter plummeted by 41%. The company’s revenue also experienced a 6.3% decrease in the fourth quarter, amounting to ₹13,718 crore compared to the same period last year. For FY24, the consolidated net profit decreased 51.2% YoY, amounting to ₹2,358 crore. The company’s revenue for FY24 was ₹51,996 crore, marking a 2.4% decline from the previous fiscal year. The board of the company proposed a final dividend of 560%, which equates to ₹28 per equity share with a face value of ₹5 each.

Sensex Today Live : Seven of the 30 stocks on the Sensex were in the red. Bajaj Finance, Bajaj Finserv, Kotak Mahindra Bank, ICICI Bank, and SBI were the top drags, while Tech Mahindra, Tata Steel, ITC, HDFC Bank, and Wipro, were the top gainers. 

Sensex Today Live : Indian benchmark indices opened in the green on Friday, led by positive cues from global peers.

At opening bell, Sensex was up 48.77 points, or 0.07%, at 74,388.21 and Nifty was up 15.10 points, or 0.07%, at 22,585.45.

“Markets are likely to shrug off overnight weakness in US gauges and log gains in early Friday trades amid optimism in other Asian indices. However, investors would be wary of the US 10-year Treasury note yield rising above 4.7%, the highest since early November. Traders have scaled back their expectations regarding the timing of a Fed rate reduction, now completely factoring in the first cut by December. Also, FII selling has gathered pace as uncertainty over rate cut and stubborn inflation is prompting overseas funds to offload their holdings in emerging equities, including India. With regards to benchmark Nifty, traders can buy between 22350-22375 zones with a stop at 21921, while aggressive targets are seen at 22901-23000 level.”

–Sensex Today Live : Prashanth Tapse, Senior VP (Research), Mehta Equities

Sensex Today Live : Indian benchmark indices were green at pre-open on Friday, led by positive cues from global peers.

Sensex was up 169.87 points, or 0.23%, at 74,509.31 and Nifty was up 50.05 points, or 0.22%, at 22,620.40 during pre-open.

Sensex Today Live : The Indian stock market indices, Sensex and Nifty 50, are projected to commence Friday’s trading session on a high note, buoyed by favorable global market indicators. The Gift Nifty trends also suggest a promising start for the Indian benchmark index, trading around the 22,694.50 level, a premium of 49.15 points from the previous close of Nifty futures.

On Thursday, the domestic equity indices marked their fifth consecutive session of gains on the monthly F&O expiry day, with the Nifty closing above the 22,500 level. The Sensex surged by 486.50 points, or 0.66%, to conclude at 74,339.44, while the Nifty 50 rose by 167.95 points, or 0.75%, to settle at 22,570.35.

The Nifty 50 charted a long bull candle on the daily chart, surpassing the significant overhead resistance of the opening downside gap of April 15th around 22,500 levels and closed higher.

Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, stated, “This is a positive sign and is anticipated to lead to further market gains. A positive chart pattern like higher tops and bottoms is expected. With the Nifty forming a new higher bottom last week at 21,777, it is projected to ascend from here to form a new higher top of the pattern around 22,800 levels.” (Read the full story here.)

Sensex Today Live : The domestic stock market indices, Sensex and Nifty 50, are anticipated to kick off Friday on a positive note, with GIFT Nifty rising over 24 points from Thursday’s close on Nifty Futures, amidst mixed global indicators.

Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, commented, “On the monthly F&O expiry day, investors made more optimistic wagers, leading to a rally in benchmark indices for the fifth consecutive session, driven by gains in leading banking and metal stocks. Despite the decline in other Asian and European indices and a sharp drop in US Dow Futures, local investors remained undeterred. While outflows from FIIs have been a concern, India’s robust growth prospects and the expectation of a majority victory for the incumbent party in the upcoming elections have attracted many domestic investors to equities.” (Read the full story here.)

Sensex Today Live : The Indian markets were headed for a positive open after global peers were boosted on the back of robuts results from technology companies.

The Gifty Nifty futures was trading at 22,698, more than a 100 points ahead of Nifty 50’s Thursday close of 22,570, indicating a positive open for the benchmark indices.

Asian shares rose cautiously on Friday as markets sobered up to the idea that U.S. rate cuts were most likely some time away, while the yen and Japanese government bonds struggled ahead of a closely watched policy decision by the Bank of Japan.

U.S. stock futures jumped after tech giants Alphabet and Microsoft reported quarterly results that beat Wall Street estimates. Nasdaq futures advanced more than 1%, while S&P 500 futures rose 0.7%.

The highlight of the Asia day was on the BOJ’s rate decision at the conclusion of its two-day monetary policy meeting, as well as Governor Kazuo Ueda’s news conference thereafter.

In stocks, Japan’s Nikkei edged a marginal 0.02% higher.

MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.27%, while Australia’s S&P/ASX 200 index fell more than 1%.

Hong Kong’s Hang Seng Index gained 0.3%.

Elsewhere, investors were digesting the implications of Thursday’s data which showed the U.S. economy grew at its slowest pace in nearly two years in the first quarter, though inflation accelerated. That reinforced expectations that the Federal Reserve would not cut interest rates before September.

U.S. Treasury yields surged to five-month highs in the previous session and remained elevated in Asia. The two-year yield hovered near the 5% level, while the benchmark 10-year yield steadied at 4.7019%.

The dollar, however, slipped on the back of the weaker U.S. growth, and was nursing some of those losses on Friday.

Focus now turns to March’s core PCE price index data due later on Friday – the Fed’s preferred measure of inflation – for further clues on the U.S. rate outlook.

In commodities, Brent rose 0.38% to $89.35 a barrel, while U.S. crude gained 0.35% to $83.86 per barrel. Gold eased 0.08% to $2,329.50 an ounce.