Market View 19th July, 2024

View on market: Volatility Prevails, Market is searching for better value

Most share indices in the Asia-Pacific region extended losses, taking cues from their Wall Street peers as sell off in technology stocks continued. A week of market fluctuations saw major US stock indices decline while smaller firms and those beyond the mega-cap technology sector thrived, driven by expectations of Federal Reserve rate cuts. India’s benchmark stock indices ended at a fresh record high for the fourth consecutive session amid volatility, led by gains in Tata Consultancy Services Ltd. and Infosys Ltd. Overseas Investors remained net buyers of Indian equities for the fourth consecutive session foreign portfolio investors mopped up stocks worth Rs 5,485 crore.

Economic Calendar:

• USD: Fed balance sheet on July 19
• USD: Fx Reserves, USD announcement on July 19
• INR : Budget on 23 July

 

IPO Watch:

Brokerage Radar:

Nomura Buy Infosys Target 1950

Q1FY25 was an all-round beat,. surprise revenue guidance driven by strong start, deal wins, & acquisition integration Raise our FY25-26 EPS by nearly 2-3%, target raised to Rs 1,950, reiterate as top pick.

Jefferies hold on Havells Target 1880

Q1 was in-line with estimates, strong sale (+20% YoY) was driven by good offtake in summer products, Strong sale was driven B2B offtake, albeit with intrim election impact.   Lloyed posted EBIT margin at +.35% in Q1, Strong capex housing cycles-C&W, Switchgears and Lighting sales declined by 11-15% QoQ, Cut FY25-27 EPS by 1-2%

Jefferies buy on Infosys with 2040 target

Co has raised its FY25 growth guidance which seems conservative in context of strong deal wins, initial signs of recovery in BFSI, strong deal wins suggest the worst is behind.  Q1 beat estimates, driven by Strong revenue growth of 3.6% QoQ.  Raise estimates by 3-4% & Expect co to deliver 10% EPS CAGR over FY24-27

International Markets:

U.S & Europe:

*As per 19th July.

Asian markets:

Stocks strong on Chart:

Commodities & Currency:

FIIs & DIIs:

News Update:

Company

HAL The company amended its MoU with the Aeronautical Development Agency for the completion of LCA AF Mk-2 development

GPT Infraprojects NHAI and Eastern Railway enhanced their existing contract with the company to Rs 103 crore

Vodafone Idea The telco approved the first tranche allotment of shares worth Rs 615 crore to Nokia India and Ericsson India at an issue price of Rs 14.80 per share

Tech Mahindra The company will restructure its operations in the Philippines.

Tata Technologies The company signed an MoU with Arm to develop automotive software and systems solutions for software-defined vehicles.

Source: Moneycontrol, Bloomberg Quint, Investing 

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