Market View 30th November 2022

View on market: Stay Cautious, be with quality business:

Asian stocks followed US equities lower as investors weighed Covid developments in China and awaited a speech from Federal Reserve Chair Jerome Powell later Wednesday. Shares fell in Japan, South Korea and Australia while futures contracts for Hong Kong slid, indicating a pause in the optimism that drove a gauge of the region’s shares higher on Tuesday. The weakness in Japan followed data showing a sharper-than-expected decrease in industrial production. Meanwhile, U.S. stocks dropped, with largest technology companies in the world leading losses. S&P 500 declined 0.4%, while the tech-heavy. Nasdaq fell 0.7%. Yield on 10-year Treasuries rose four basis points to 3.72%. Oil was up 1.2% after shedding gains on reports that OPEC+ with maintain its output. Gold futures rose 0.5%, while Bitcoin increased 1.1% to trade near $16,400-level.The Indian benchmark indices Sensex and Nifty continued their journey upwards for the sixth session in a row and closed at fresh new highs. Gains in FMCG stocks led the rally as domestic markets favoured the bears.Rupee reversed its gains from the day to close lower against the U.S. dollar as rising oil prices took a toll on the forex market sentiment. At 7:07 a.m., the Singapore-traded SGX Nifty — an early barometer of India’s benchmark Nifty 50 — lost 0.08% to 18,743.5.

Economic Calendar:

• USD : GDP (QoQ) (Q3) on 30th November, 2022
• USD : JOLTs Job Openings (Oct) on 30th November, 2022
• INR : Infrastructure Output (YoY) (Oct) on 30th November, 2022
• INR : GDP Quarterly (YoY) (Q2) 30th November, 2022

Brokerage Radar:

MACQUARIE ON SUN PHARMA: BO-P, TP Raised to Rs 1275 (add to Marquee buy list); Catalysts: Growth in specialty biz, Successful completion of clinical trials for innovation portfolio, In-licensing of additional innovation molecules

MS ON DELHIVERY: Upgrade to OW, TP Cut to Rs 450; See competitive moats around integrated logistics network & low cost structure to be intact

Notwithstanding near-term volatility due to lock-up expiry for pre-IPO investors, risk reward favourable

GS ON GLAND PHARMA: Buy, TP Rs 2530; Announces acquisition of Cenexi; as per management acquisition will help to expand Gland’s CDMO offerings in EU market; Buy on Pickup in RoW & India sales improvement in US/core markets, increasing production/utilisations at its key facilities.

International Markets:

U.S & Europe:

Asian markets

ADR Watch:

Commodities & Currency

FIIs & DIIs:

News Update:

New Delhi Television: Founders Prannoy Roy and Radhika Roy resigned from the board of the company’s promoter group RRPR Holding.

Gland Pharma: The company entered into a put option agreement to acquire 100% stake in France-based Phixen SAS, doing business under the brand name Cenexi, for 210 million euros (Rs 1,775.37 crore).

Biocon: The company’s subsidiary Biocon Biologics completed the acquisition of the biosimilars businesses and assets of Viatris.

SBI/ HDFC Bank/ICICI Bank/Yes Bank/IDFC First Bank/Bank of Baroda/Union Bank of India/Kotak Mahindra Bank: The Reserve Bank of India will start the pilot of for retail digital rupee on Dec. 01 through these eight banks.

IDFC: SEBI has approved handing over control of IDFC Mutual Fund to a consortium led by Bandhan Financial Holdings.

Inox Wind/Inox Green Energy Services: The companies have started the process of deleveraging their balance sheets, reducing a total debt of Rs 411 crore.

Krishna Institute of Medical Sciences: The company raised its shareholding in subsidiary Arunodaya Hospitals to 65.62% by acquiring additional 7.79% stake.

Dhanlaxmi Bank: MS Param Value Investments picks 0.6% stake in Dhanlaxmi Bank. MS Param Value Investments acquired 15 lakh equity shares or 0.6% stake in the lender at an average price of Rs 15.96 per share. The stock surged nearly 9% to close at Rs 16.25 on Tuesday.

Source: Moneycontrol, Bloomberg Quint, Investing

Disclosure in pursuance of Section 19 of SEBI (RA) Regulation 2014

Elite Wealth Limited does/does not do business with companies covered in its research reports. Investors should be aware that the Elite Wealth Limited may/may not have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only information in making their investment decision and must exercise their own judgment before making any investment decision.
For analyst certification and other important disclosures, see the Disclosure Appendix, or go to www.elitewealth.in. Analysts employed by Elite Wealth Limited are registered/qualified as research analysts with SEBI in India.( SEBI Registration No.: INH100002300)
Disclosure Appendix
Analyst Certification (For Reports)
Israil Khan, Elite Wealth Limited, suhail@elitewealth.in
The analyst(s) certify that all of the views expressed in this report accurately reflect my/our personal views about the subject company or companies and its or their securities. I/We also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report. Unless otherwise stated, the individuals listed on the cover page of this report are analysts in Elite Wealth Limited.
As to each individual report referenced herein, the primary research analyst(s) named within the report individually certify, with respect to each security or issuer that the analyst covered in the report, that:
(1) all of the views expressed in the report accurately reflect his or her personal views about any and all of the subject securities or issuers; and
(2) no part of any of the research analyst’s compensation was, is, or will be directly or indirectly related to the specific recommendations or views expressed in the report.
For individual analyst certifications, please refer to the disclosure section at the end of the attached individual notes.
Research Excerpts
This note may include excerpts from previously published research. For access to the full reports, including analyst certification and important disclosures, investment thesis, valuation methodology, and risks to rating and price targets, please visit www.elitewealth.in.
Company-Specific Disclosures
Important disclosures, including price charts, are available and all Elite Wealth Limited covered companies by visiting https://www.elitewealth.in, or emailing research@elitestock.com with your request. Elite Wealth Limited may screen companies based on Strategy, Technical, and Quantitative Research. For important disclosures for these companies, please e-mail research@elitestock.com.
Options related research:
If the information contained herein regards options related research, such information is available only to persons who have received the proper option risk disclosure documents. For a copy of the risk disclosure documents, please contact your Broker’s Representative or visit the OCC’s website at https://www.elitewealth.in
Other Disclosures
All research reports made available to clients are simultaneously available on our client websites. Not all research content is redistributed, e-mailed or made available to third-party aggregators. For all research reports available on a particular stock, please contact your respective broker’s sales person.
Ownership and material conflicts of interest Disclosure
Elite Wealth Limited policy prohibits its analysts, professionals reporting to analysts from owning securities of any company in the analyst’s area of coverage. Analyst compensation: Analysts are salary based permanent employees of Elite Wealth Limited. Analyst as officer or director: Elite Wealth Limited policy prohibits its analysts, persons reporting to analysts from serving as an officer, director, board member or employee of any company in the analyst’s area of coverage.
Country Specific Disclosures
India – For private circulation only, not for sale.
Legal Entities Disclosures
Mr. Ravinder Parkash Seth is the Managing Director of Elite Wealth Ltd (EWL, henceforth), having its registered office at Casa Picasso, Golf Course Extension, Near Rajesh Pilot Chowk, Radha Swami, Sector-61, Gurgaon-122001 Haryana, is a SEBI registered Research Analyst and is regulated by Securities and Exchange Board of India. Telephone:011-43035555, Facsimile: 011-22795783 and Website: www.elitewealth.in
EWL discloses all material information about itself including its business activity, disciplinary history, the terms and conditions on which it offers research report, details of associates and such other information as is necessary to take an investment decision, including the following:
1. Reports
a) EWL or his associate or his relative has no financial interest in the subject company and the nature of such financial interest;
(b) EWL or its associates or relatives, have no actual/beneficial ownership of one per cent. or more in the securities of the subject company, at the end of the month immediately preceding the date of publication of the research report or date of the public appearance;
(c) EWL or its associate or his relative, has no other material conflict of interest at the time of publication of the research report or at the time of public appearance;
2. Compensation
(a) EWL or its associates have not received any compensation from the subject company in the past twelve months;
(b) EWL or its associates have not managed or co-managed public offering of securities for the subject company in the past twelve months;
(c) EWL or its associates have not received any compensation for investment banking or merchant banking or brokerage services from the subject company in the past twelve months;
(d) EWL or its associates have not received any compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company in the past twelve months;
(e) EWL or its associates have not received any compensation or other benefits from the Subject Company or third party in connection with the research report.
3 In respect of Public Appearances
(a) EWL or its associates have not received any compensation from the subject company in the past twelve months;
(b) The subject company is not now or never a client during twelve months preceding the date of distribution of the research report and the types of services provided by EWL