Market View 21st June, 2024

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

Benchmarks in Asia-Pacific region declined in early trade Friday, taking cues from overnight stock moves on Wall Street before Eurozone PMI data, and Federal Reserve official’s speech. The Nikkei 225 was 6.49 points or 0.02% higher 38,639.51 and the KOSPI was 21.62 points or 0.77% lower at 2,786.01 as of 06:48 a.m.

US Tech stocks had been lifted by the continued AI frenzy and resilient economic growth that should continue to support corporate earnings. However, the S&P 500 lost traction after briefly topping the 5,500 mark to set new record.

The S&P 500 Index and Nasdaq Composite fell 0.25% and 0.79%, respectively, as of Thursday. The Dow Jones Industrial Average rose 0.77%.
Overseas investors continued their buying streak for the fourth straight day on Thursday. Foreign portfolio investors mopped up stocks worth Rs 415.30 crore, while domestic institutional investors turned net sellers after three days of buying and selling equities worth Rs 325.81 crore.

Securities in ban period: BALRAMPUR, BIRLASOFT, GNFC, HAL, INDUSTOWER, HINDCOPPER, PEL

Economic Calendar:

• INR: FX Reserves, USD on 21^st June, 2024
• INR: RBI MPC Meeting Minutes on 21^st June, 2024

Brokerage Radar:

MS ON SUZLON

OW, TP Rs 58.5

Plant visit takeaways

Plant to date has produced ~12GW nacelle out of Suzlon’s 20.7GW installed asset base.

The plant has capacity to produce 2.5GW of turbines per year (3 nacelle/day)

Nacelle & hub forms 65% of cost of equipment (ex of EPC and land)

NOMURA ON IT

Accenture FY24E rev growth guidance tightened to +1.5% to +2.5% from +1.0 to +3.0%

Order booking strong driven by large projects

GenAI opportunity continues to mature

Deal wins robust driven by large cost takeout projects

Retain cautious stance & remain selective

CITI ON ENDURANCE TECH

Buy TP Rs 3000

Management meet takeaways

Multiple revenue growth drivers ahead, Growth opportunity in ABS sub-segment.  Co open to M&A given it has Rs5bn of net cash on b/s

Broader demand momentum in Europe remains sluggish

International Markets:

U.S & Europe:

Asian markets:

ADR Watch:

Commodities & Currency:

FIIs & DIIs:

News Update:

Voltas: The company executed a share purchase agreement with Singapore-based step-down arm Universal MEP.

JM Financial: SEBI said that the company will continue to face restrictions on acting as lead manager for public debt issues until March 31, 2025.

Triveni Engineering And Industries: The company acquired an additional 36.34% stake in Sir Shadi Lal Enterprises for Rs 44.83 crore

Amara Raja Energy And Mobility: The company invested Euro 20 million to raise a stake in Norway-based InoBat to 9.32%

Source: Moneycontrol, Bloomberg Quint, Investing 

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