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

Asia stocks were mixed Thursday after a U.S. inflation climbed at the fastest pace since 1982, intensifying calls for interest-rate increases as soon as March. Shares rose in Hong Kong and fell in Japan. China was steady. U.S. futures fluctuated after the S&P 500 and the Nasdaq 100 ended higher Wednesday. The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, rose 0.66% to 18,336.50 as of 7:30 a.m. Elsewhere, oil rose amid signs of tighter supply. Bitcoin traded around $44,000

Economic Calendar:

  • INR: Bank Loan Growth on 14th January, 2022.
  • INR: WPI Inflation of Dec on 14th January 2022.
  • USD: Housing Permits on 19th January, 2022.
  • USD: Building Permits on 19th January, 2022.

Earnings: Mindtree, Tata Metaliks, Aditya Birla Money, CESC, Eureka Industries and GTPL Hathway

Results:

Tata Consultancy Services : The company reported a higher profit at Rs 9,769 crore in Q3FY22 against Rs 9,624 crore in Q2FY22, while revenue jumped to Rs 48,885 crore from Rs 46,867 crore QoQ. It also approved a buyback of 4 crore equity shares for up to Rs 18,000 crore, at a price of Rs 4,500 per share.

Infosys : The company reported a higher profit at Rs 5,809 crore in Q3FY22 against Rs 5,421 crore in Q2FY22, and revenue rose to Rs 31,867 crore from Rs 29,602 crore QoQ. Infosys has raised its FY22 revenue growth guidance raised to 19.5-20 percent from 16.5-17.5 percent.

Wipro : The company reported higher revenue at $2,639.7 million in Q3FY22 against $2,580 million in Q2FY22 and expects constant currency revenue growth at 2-4 percent for Q4FY22. Wipro guided for revenue growth at 2-4 percent in constant currency terms for Q4 which is in line with a CNBC-TV18 poll.

Brokerage Radar:

JP MORGAN ON WIPRO: Neutral, Target Price Cut to Rs 680 from Rs 690 Cut FY23/24E EPS by 2% 3QFY22 results mixed with a miss on revenues but in-line margins Organic CC QQ growth slowed down to 2.5% from high-water marks seen in 1Q/2Q22.

GOLDMAN SACCS ON TCS: Buy, TP Rs 4747 In-line with strong demand outlook Reiterate Buy as TCS has lowest attrition in industry & best capability among our coverage to fulfill & capture growth potential in strong demand environment.

CREDIT SUISSE ON INFOSYS: Outperformer, Target Price Raised to Rs 2350 A solid quarter with strong beat on revenue and net profit; FY22 guidance revised up Factoring in 3Q FY22 results & strong guidance revision, increase FY22E/23E/24E EPS by 2%/4%/4.5%

UBS ON INFOSYS: Neutral, TP Rs 1820 Q3 beat, stronger guide to raise expectations for sector Expect upward revisions to consensus forecasts for FY23E While stock has rallied ahead of earnings, expect investors to remain optimistic.

UBS ON TCS: Neutral rating with Target Price of Rs 4180 Revenue beats, but margin miss offsets any earnings upsides While TCS’ revenue beat is a positive, expect markets to favour Infosys, as the latter is likely to enter FY23E with better business momentum

International Markets:

U.S & Europe

Particulars 12th Jan Chg Chg(%)
Nasdaq 15,188.39 34.94 0.23
Dow 36290.32 38.30  0.11
FTSE 7,551.72 60.35 0.81
CAC 7,237.19 53.81 0.75
DAX 16,010.32 68.51 0.43
Dow Fut.* 36245.2 -45.6     -0.13

Asian markets:

Particulars 13th Jan Chg. Chg(%)
SGX Nifty 18,349.00 133 0.73
Nikkei 28,517.94 -247.72 -0.86
Straits Times 3,255.83 0.85 0.03
Hang Seng 24,523.82 121.65 0.5
Shanghai 3,595.05 -2.38 -0.07

ADR Watch:

Particulars 12th Jan Chg. Chg.(%)
Dr Reddy 63.65 -0.29 -0.45
HDFC Bank 68.1 0.86 1.28
ICICI Bank 21.15 0.27 1.29
Infosys 24.11 -0.19 -0.78
Tata Motor 32.85 0.9 2.82
Wipro 9.55 0.04 0.42

Commodities & Currency:

Particulars Current Price Chg(%)
USD/INR 73.91 0.01
Brent 84.59 -0.06
Gold 1824.70     -0.14
Silver 23.227 0.12

 

FIIs & DII

Particulars 12th Jan 11th Jan
FIIs -1001.57 111.91
DIIs 1332.01 378.74

News Update:

Tata Motors : JLR retail sales dropped nearly 38 percent YoY to 80,126 units in October-December 2021, with China sales falling 7 percent and Europe sales down 7 percent QoQ.

Kotak Mahindra Bank : The bank passed a resolution to cap promoters’ voting rights at 26 percent.

Lumax Industries : The company has commenced its commercial production, of electronic components for automotives, at its new manufacturing plant situated at Bawal, Haryana.

PB Fintech : Paisabazaar has reached an annualised loan disbursal rate of $1.1 billion (excluding credit card issuance). In December 2021, the fintech disbursed around Rs 695 crore of loans, which included unsecured loans like personal and business loans and secured loans like home loans and loans against property.

Manappuram Finance : The company will meet on January 17 to consider raising funds via NCDs.

NALCO :The company said it has successfully put into operation all the 960 pots at its existing smelter plant located in Angul, Odisha.

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