View on market: Stay Cautious, be with quality business:
Asian markets were mixed and U.S. equity futures retreated Wednesday amid high inflation, a hawkish U.S. Federal Reserve and China’s pandemic challenges. Nasdaq 100 contracts lost 1% following an after-hours Netflix Inc. slump on poor subscriber numbers. Asian stocks, led by Japan, managed to harness a tailwind from a U.S. rally on Tuesday ahead of the streaming app’s results. The Singapore-traded SGX Nifty, an early barometer of India’s benchmark Nifty 50, rose 0.66% to 17,042.50 points as of 7:00 a.m. Treasury yields rose as expectations of sharp Federal Reserve policy tightening to damp price pressures hardened. Oil pared a portion of overnight losses while bitcoin hovered around $41,300.
Economic Calendar:
- INR: RBI MPC Meeting on 22nd April 2022.
- INR: Bank Loan Growth on 22nd April 2022.
- USD: API weekly crude 20th April, 2022.
- USD: Crude Oil Inventories 20th April, 2022.
Quarterly Result Today:
ICICI Securities, Angel One
Q4Fy22 Earning:
Tata Steel Long Products Q4 FY22: (Consolidated, YoY) Revenue up 16.3% to Rs 1,799.4 crore vs Rs 1,546.7 crore EBITDA falls 67% at Rs 164.34 crore vs Rs 497.82 crore EBITDA margin 9.13% vs 32.19% Net Profit fell 88.5% to Rs 59.62 crore vs Rs 339.85 crore Approved dividend of Rs 12.50 per share.
ACC Q4 FY22 (Consolidated, YoY) Revenue up 2.5% to Rs 4,321.86 crore vs Rs 4,213.28 crore EBITDA falls 32.1% to Rs 529.98 crore vs Rs 781.55 crore EBITDA margin 12.26% vs 18.55% Net profit falls 9.4% to Rs 396.33 crore vs Rs 437.5 crore
L&T Infotech Q4 FY22 (Consolidated, QoQ) Revenue up 3.7% at Rs 4,301.6 crore vs Rs 4,137.6 crore EBIT up 0.26% at Rs 744.5 crore Vs Rs 742.6 crore EBIT Margin 17.31% Vs 17.95% Net Profit falls 5.84% at Rs 637 crore Vs Rs 676.5 crore Approved dividend of Rs 30 per share of Rs 1.
Mastek Q4FY22 (Consolidated, QoQ) Revenue up 5.37% at Rs 581.53 crore vs Rs 551.91 crore EBIT margins at 18.66% vs 19.14% PAT up 5.73% at Rs 88.23 crore vs Rs 83.45 crore.
Brokerage Radar:
JP MORGAN ON LTI : OW, TP Cut to Rs 6400 Supply lead miss; cut margins proactively, but keep the faith as expect it stay sector growth leader Cut revenues by 2-4% & margins by 80-150bps, driving 6% EPS cuts over FY23-24E.
NOMURA ON LTI : Neutral, TP Rs 5970 Mixed bag in 4QFY22 Rising onsite attrition to be a key challenge in near term Rev growth softer than expected due to onsite supply side challenges EBIT largely meets est Lower FY23-24F EPS by 3%, prefer Persistent.
MACQUIRE ON ACC: O-P, TP Rs 2530 EBITDA beat led by 1% higher realization vs estimate Expansion on track; new WHRS projects approved – medium-term cost & carbon +ve In near term, news flow related to Holcim’s plans to sell stake in India biz is key.
JEFFERIES ON ACC: Buy, TP Rs 2400 Reported in-line Op. Ebitda for 1QCY22 Vol declined 3% YoY, & grey realisation increase qoq was muted at <1% (6% YoY) EBITDA dipped 26% YoY to Rs6.3bn Cut CY23e EBITDA by 7%
International Markets:
U.S. & Europe:
Particulars | 19th Apr | Chg | Chg(%) |
Nasdaq | 13,619.66 | 287.3 | 2.15 |
Dow | 34911.69 | 499.51 | 1.45 |
FTSE | 7,601.28 | -15.1 | -0.2 |
CAC | 6,534.79 | -54.56 | -0.83 |
DAX | 14,153.46 | -10.39 | -0.07 |
Dow Fut.* | 34892.00 | -19.2 | -0.05 |
Asian markets:
Particulars | 20th Apr | Chg. | Chg(%) |
SGX Nifty | 17,032.00 | 102 | 0.6 |
Nikkei | 27,139.99 | 154.9 | 0.57 |
Straits Times | 3,329.72 | 22.59 | 0.68 |
Hang Seng | 20,985.70 | -42.06 | -0.2 |
Shanghai | 3,178.78 | -15.25 | -0.48 |
ADR Watch:
Particulars | 19th Apr | Chg. | Chg.(%) |
Dr Reddy | 55.48 | 0.16 | 0.29 |
HDFC Bank | 54.57 | 0.32 | 0.59 |
ICICI Bank | 19.95 | 0.4 | 2.05 |
Infosys | 20.42 | -0.14 | -0.68 |
Tata Motor | 28.19 | -0.36 | -1.26 |
Wipro | 6.95 | 0.05 | 0.72 |
Commodities & Currency:
Particulars | Current Price | Chg(%) |
USD/INR | 76.51 | 0.32 |
Brent | 108.52 | 1.20 |
Gold | 1947.95 | -0.57 |
Silver | 25.185 | -0.81 |
FIIs & DII:
Particulars | 19th Apr | 18th Apr |
FIIs | -5871.69 | -6387.45 |
DIIs | 3980.81 | 3341.96 |
News Update
Reliance Industries: Jio Fiber postpaid users to get OTT subscriptions for Rs 100-200 per month; users can get access to up to 14 OTT apps. Reliance Brands Ltd. has also signed a deal to take a majority stake in ‘Abu Jani Sandeep Khosla’ to accelerate the couture house’s growth plans.
Punjab and Sind Bank: The lender has classified SREI Infrastructure Finance and SREI Equipment Finance as fraud accounts with loan exposure worth Rs 510.16 crore and Rs 724.18 crore, respectively. The accounts have been declared as fraud to the Reserve Bank of India and have been fully provided for.
Escorts: The company’s agri-machinery division will increase prices of its tractors due to a steady rise in commodity prices.
VRL Logistics: The company has signed an MoU with Ratna Cements for transfer of the wind power undertaking along with all underlying assets and liabilities as a going concern on a slump sale basis for Rs 48 crore.
IRCON: The company has appointed Ragini Advani as director (finance) for a period of five years, effective April 19.
VA Tech Wabag: International Water Treatment LLC, Oman–a special purpose vehicle for implementing EPC contracts for water desalination in Muscat–has been liquidated.
Source: Moneycontrol, Livemint,, Bloomberg, 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