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

Asian stocks and U.S. equity futures made a steady start early Monday as traders weighed the volatile slump in cryptocurrencies and the inflation outlook. Shares edged higher in Japan but fluctuated in Australia and South Korea. S&P 500 futures posted modest gains after U.S. stocks closed mixed Friday. The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, fell 0.44% to 15,155.20 as of 8:18 a.m. Oil traded above $63 a barrel amid further signs the U.S. is recovering from the pandemic.

Key Data/ Action, Result, and Board meeting to watch

Major economic Data:

  • INR: Foreign Exchange Reserves on 28th May, 2021
  • INR: Infrastructure Output on 31st May, 2021
  • INR: GDP Growth Rate YoY Q1on 31st May, 2021

Earnings to Watch:

Nifty Earnings: Grasim Industries

Non-Nifty Earnings: ADF Foods, Balaji Amines, Barbeque-Nation Hospitality, Dalmia Bharat Sugar and Industries, IG Petrochemicals, India Cements, JK Paper, JSW Holdings, Karda Constructions, Lakshmi Machine Works, Mahanagar Gas, Poly Medicure, The Ramco Cements, Ramco Industries, Shanthi Gears

International Markets:

U.S & Europe

Particulars    21st May. Chg Chg(%)
Nasdaq 13,470.99 -64.75 -0.48
Dow 34207.84 123.69 0.36
FTSE 7,018.05 -1.74 -0.02
CAC 6,386.41 42.83 0.68
DAX 15,437.51 67.25 0.44
Dow Fut.* 34,263.00 116.15 0.34

Asian markets:

Particulars    24th May. Chg Chg(%)
SGX Nifty 15,155,20 -66.80 -0.44
Nikkei 28,383.28 65.45 0.23
Straits Times 3,129.35 11.46 0.37
Hang Seng 28,329.13 -129.31 -0.45
Shanghai 3,478.05 -8.51 -0.24

ADR Watch:

Particulars       21st May. Chg Chg(%)
Dr Reddy 72.34 -0.22 -0.3
HDFC Bank 76.44 3.05 4.16
ICICI Bank 17.64 0.42 2.44
Infosys 18.72 0.07 0.38
Tata Motor 21.3 0.13 0.61
Wipro 7.54 -0.02 -0.26

Commodities & Currency

Particulars Current Price Chg(%)
USD/INR        72.83 -0.37
Brent 66.91    0.83
Gold 1,886.85 0.54
Silver 27.83 1.26

FIIs & DII

Particulars   21st May.      20th May.
FIIs 510.16    71.04
DIIs 649.10 -876.0

Results:

JSW Steel Q4FY21 (Consolidated, QoQ) Revenue up 23.2% at Rs 26,934 crore Vs Rs 21,859 crore (Bloomberg estimate: Rs 26,009.6 crore) Net profit up 56.6% at Rs 4,198 crore Vs Rs 2,681 crore (estimate: Rs 4,325 crore) Ebitda up 43.9% at Rs 9,280 crore Vs Rs 6,450 crore (estimate: Rs 7,952 crore) Margin at 34.4% Vs 29.5% Approved dividend of Rs 6.50 per share Approved up to Rs 7,000 crore equity shares/convertible securities issue Approved issuance of equity shares on right basis for Rs 5,000 crore

Shree Cement (Standalone, QoQ) Revenue up 19% at Rs 3,930.81 crore Vs Rs 3,309.43 crore Net profit up 23% at Rs 767.65 crore Vs Rs 626.23 crore Ebitda up 8% at Rs 1,177.16 crore Vs Rs 1,088.95 crore Ebitda margin at 29.9% Vs 32.9% Recommended final dividend of Rs 60 per share

Dr Lal Pathlabs (Consolidated, QoQ) Revenue down 5% at Rs 431 crore Vs Rs 452.40 crore Net profit down 12% at Rs 83.40 crore Vs Rs 94.50 crore Ebitda down 12% at Rs 122 crore Vs Rs 138.8 crore Ebitda margin at 28.31% Vs 30.68% Recommended final dividend of Rs 8

Godrej Industries Q4 (Consolidated, QoQ) Revenue up 11% at Rs 2,610.69 crore Vs Rs 2,356.47 crore Net loss at Rs 15.81 crore Vs net profit of Rs 131.93 crore Ebitda loss at Rs 15.97 crore Vs Ebitda gain of Rs 92.3 crore

Brokerage Radar:

CLSA on SBI:

Maintain Buy with Target Price of Rs. 650, Best in class; Still at PSU Price Visibility of 15% RoE High New Current Valuation at o,7x March 2023 Book are Undemanding FY21 Slippages at Less Than 1.2% of Loans were Best in Class

Nomura on SBI:

Maintain Buy with Target Price of Rs. 550, Asset Quality continues to Surprise Growth is the Missing Piece in Trinity with NIM & Credit Cost FY22 could Still Witness RoA of 80 bps & RoE at 14%

News Update:

L&T:

Transferred Tata Steel to replace ONGC in S&P BSE Sensex from June 21.

InterGlobe Aviation:

IndiGo has selected CFM International’s LEAP-1A engines to power its fleet of 310 new Airbus A320neo, A321neo, and A321XLR aircraft. The agreement includes 620 new installed engines and associated spare engines, as well as a long-term, multi-year service agreement.

Hero MotoCorp:

To resume production at all manufacturing plants in India from May 24. Single-shift operations to resume at Rajasthan, Gujarat, Andhra Pradesh plants.

JSW Steel:

Media reports saying that we are weighing a bid for Liberty Steel’s assets in the U.K. are “speculative” and “misleading”, the company said.

GHCL:

Suspended operations at Yarn division plants at Paravai and Manaparai in Tamil Nadu due to the lockdown in the state. The plants will till May 31.

Bharat Parenterals:

Received license and authorisation from Drugs Controller General of India and Central Drugs Standard Control Organisation for the manufacturing and marketing of Favipiravir Oral Suspension l00mg/ml, which will be used to treat Covid-19.

Natco Pharma:

The company’s marketing partner, Breckenridge Pharmaceutical Inc., has received final approval for its Abbreviated New Drug Application for Everolimus Tablets from the U.S. FDA. It also received final approval for Lenalidomide Capsules. Further, the company has initiated a Phase-III clinical trial of Molnupiravir capsules for Covid-19.

Source: Moneycontrol, Livemint,, Bloomberg, Investing, Business Standard

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