View on market: Stay Cautious, be with quality business:
Asian stocks were mixed and Treasuries trimmed losses Thursday as investors evaluated Federal Reserve Chair Jerome Powell’s signal of a March interest-rate liftoff and the possibility of hikes at each policy meeting. Equities fluctuated in Japan and slipped in Australia and South Korea, where Samsung Electronics Co. missed profit estimates. U.S. contracts edged higher after the fallout from the Fed wiped out a Wall Street rally on Wednesday. The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, fell 1.86% to 16900.00 as of 8:15 a.m. Elsewhere, Brent oil surged above $90 for the first time in seven years before paring the advance. Gold held a drop. Bitcoin traded around $37,000.
Economic Calendar:
- INR: Bank Loan Growth on 28st January, 2022.
- INR: Bank Deposit Growth on 28st January 2022.
- USD: Core Price Index on 28th January, 2022.
- USD: Manufacturimg PMI on 1st Febuary, 2022.
Earnings: Arvind,HSIL,BHEL,LIC Housing Finance,KEI,Canara Bank,RBL Bank,Birlasoft, IIFL Finance, Dalmia Bharat Ltd
Results:
Cipla: Q3FY22 (Consolidated, YoY) Revenue up 6% at Rs 5,478.86 crore Vs Rs 5,168.69 crore Net profit down 3% at Rs 728.60 crore Vs Rs 748.15 crore Ebitda flat at Rs 1,230.97 crore Vs Rs 1,230.88 crore Margins at 22.5% Vs 23.8% To transfer India-based U.S. business undertaking to Cipla BioTec for Rs 1,400 crore and consumer business undertaking to Cipla Health for Rs 80 crore as a going concern on a slump sale basis.
United Spirits: Q3FY22 (Consolidated, YoY) Revenue up 6% at Rs 8,917.20 crore Vs Rs 8,410.30 crore Net profit up 4% at Rs 299.60 crore Vs Rs 287 crore Ebitda up 13% at Rs 518.70 crore Vs Rs 457.60 crore Margins at 5.8% Vs 5.4%.
Macrotech Developers : Q3FY22 (Consolidated, YoY) Revenue up 36% at Rs 2,059.44 crore Vs Rs 1,514.10 crore Net profit up 26% at Rs 285.59 crore Vs Rs 227.25 crore Ebitda up 3% at Rs 485.78 crore Vs Rs 472.68 Margins at 23.6% Vs 31.2%.
Torrent Pharmaceuticals: Q3FY22 (Consolidated, YoY) Revenue up 6% at Rs 2,108 crore Vs Rs 1,995 crore Net profit down 16% at Rs 249 crore Vs Rs 297 crore Ebitda down 11% at Rs 538 crore Vs Rs 607 crore Margins at 25.5% Vs 30.4%.
Brokerage Radar:
MACQUARIE ON PIDILITE: Underperformer, TP Rs 2200 Cut FY22 EPS by 6% to factor in gross margin-led 3Q miss 4Q challenging given input cost pressures & 3rd-wave linked disruptions PIDI hopeful of these headwinds moderating by end-4Q/ start-1Q.
JEFFERIES ON SRF: Underperformer, Target Price Rs 1890 3Q Ebitda 14% ahead of JEFe on 1) multi-year high realizations in ref-gas & commodity fluorochem 2) better than expected margin in packaging films Performance could be difficult to sustain with packaging film & refgas margins weaker QTD 4QFY22.
CREDIT SUISSE ON MARUTI: Outperformer, TP raised to Rs 10389(on roll fwd) Raise FY23/24 EPS by 3-4% Up ahead—supply pick-up, return of replacement demand, market share gains, & margin uplift Stay O-P on healthy demand, strong new model cycle, margin normalisation, &benign valuation.
CITI ON CIPLA: Buy, TP Rs 1120 3Q EBITDA/PAT 6%/7% ahead, maintained strong momentum in key markets (India, SA & US) EBITDA margins at 22.5% (+30bp QoQ) Expect earnings growth to remain strong (c18% CAGR over FY22-24E), even on a high base of FY22E.
International Markets:
U.S & Europe
| Particulars | 26th Jan | Chg | Chg(%) |
| Nasdaq | 13,542.12 | 2.82 | 0.02 |
| Dow | 34168.09 | -129.64 | -0.38 |
| FTSE | 7,469.78 | 98.32 | 1.33 |
| CAC | 6,981.96 | 144 | 2.11 |
| DAX | 15,459.39 | 335.52 | 2.22 |
| Dow Fut.* | 33826.9 | -341.2 | -1.00 |
Asian markets:
| Particulars | 27th Jan | Chg. | Chg(%) |
| SGX Nifty | 16,900.00 | -321 | -1.86 |
| Nikkei | 26,321.33 | -690 | -2.55 |
| Straits Times | 3,253.89 | -17.68 | -0.54 |
| Hang Seng | 23,744.80 | -545.1 | -2.24 |
| Shanghai | 3,412.95 | -42.72 | -1.24 |
ADR Watch:
| Particulars | 27th Jan | Chg. | Chg.(%) |
| Dr Reddy | 58.09 | -1.01 | -1.71 |
| HDFC Bank | 65.99 | -1.35 | -2 |
| ICICI Bank | 20.87 | -0.07 | -0.33 |
| Infosys | 22.39 | -0.09 | -0.4 |
| Tata Motor | 31.75 | -0.15 | -0.47 |
| Wipro | 7.31 | -0.09 | -1.22 |
Commodities & Currency:
| Particulars | Current Price | Chg(%) |
| USD/INR | 74.78 | 0.29 |
| Brent | 88.21 | -0.36 |
| Gold | 1815.55 | -0.77 |
| Silver | 23.323 | -2.03 |
FIIs & DII
| Particulars | 25th Jan | 24th Jan |
| FIIs | -7094.48 | -3751.58 |
| DIIs | 4534.53 | 74.88 |
News Update:
GE T&D India: The company has agreed to sell Global Engineering Operations Division (India for Global) to GE India Industrial (a related party) together with the assets and manpower along with its corresponding liabilities by way of a slump sale on an “as is where is” basis.
Phoenix Mills: The company’s subsidiaries Vamona Developers and Offbeat Developers have entered into Share Subscription and Shareholders Agreement with Renew Surya Kiran and Renew Green Energy Solutions for subscribing 19.97% and 11.23% equity shares respectively in Renew Surya Kiran. The company has also d has collaborated with ReNew Power to generate 5 MW of solar power.
ICRA: The company appointed Amit Kumar Gupta as the interim Chief Financial Officer after Vipul Agarwal’s resignation.
Source: Moneycontrol, Livemint,, Bloomberg, Investing
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