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

Stocks extended a rally on Thursday, bonds rose and the dollar held losses. Shares climbed in Japan, Australia and South Korea, though the gains were more modest than in the US, where the S&P 500 rose 2.6% and the tech-heavy Nasdaq 100 had its best day since 2020. US equity futures dipped. At 7:15 am, the Singapore-traded SGX Nifty — an early barometer of India’s benchmark Nifty 50 — traded 0.6% higher at 16,760 points. The US Federal Reserve raised rates by 75 basis points for a second month. Such a move is possible again, the central bank said, and reiterated its commitment to fighting inflation.

Economic Calendar:

  • USD : FOMC Press Conference 28th July, 2022
  • USD : GDP(QoQ) 28th July, 2022
  • USD : Initial Jobless Claims 28th July, 2022
  • INR : Federal Fiscal Deficit (Jun) 29th July, 2022
  • INR : Bank Loan Growth 29th July, 2022

Q1FY23 Result Today: Vedanta, PNB, PNB Housing, Bajaj Finserv, SBI Life Insurance, TVS Motors, Dr, Reddy’s Labs, Shriram Trans., Shree Cements, Nestle, SBI Cards, Jubilant Foodworks, Motilal Oswal Financial Services, Bajaj Holdings

Q1FY23 Result:

Tata Motors Q1 FY23(Consolidated, YoY) posted a consolidated loss of Rs 5,006.6 crore for the quarter ended June 2022, widening from Rs 4,450.92 crore a year back on account of weak JLR performance. Consolidated revenue from operations grew by 8.3% YoY to Rs 71,934.66 crore during the same period, driven by domestic business. Jaguar Land Rover revenue declined 7.6% QoQ and 11.3% YoY to 4.4 billion pound impacted by semiconductor shortages and China lockdowns, but customer order book grew further to 2 lakh vehicles.

Biocon Q1 FY23 (Consolidated, YoY) recorded a 54.4% YoY growth in consolidated profit at Rs 167.40 crore for the quarter, partly aided by higher revenue & other income and lower tax cost. Revenue grew by 21.5% to Rs 2,139.50 crore during the same period.

Welspun India Q1 FY23 (Consolidated, YoY) reported a 11.6 percent year-on-year decline in consolidated revenue at Rs 1,957.3 crore for the quarter ended June 2022, impacted by home textile business but flooring business fared better. Profit fell sharply by 90.4 percent to Rs 21.36 crore on weak operating performance at home textile business.

Brokerage Radar:

NOMURA ON TATA MOTORS: Buy, TP Rs 520; 1Q miss; Deleveraging a key driver for stock; MHCV recovery on track, PVs to ramp up further; JLR to benefit from improved chip supply; Net Auto Debt increased to Rs 607bn (vs 487bn in 4QFY22)

JPM ON BAJAJ FIN: Upgrade to OW, TP Rs 8500; Strength of earnings seen from fact that 4 year CAGR on net income & PPOP stands at 33%/ 27%; All key metrics showed +ve traction with core AUM +6% q/q & NIMs improving +36bps q/q despite an increase in LCR (233%

CS ON ZOMATO: O-P, TP Rs 90; Existing core customers to drive food biz; Favourable industry structure & core user base to drive profitability; Quick commerce is an adjacency, but industry winners still not clear; Lower FY23-25E EPS by -22%/-50%/-24%

International Markets:

U.S & Europe:

Particulars      27th July Chg. Chg.(%)
Nasdaq 12,032.42 469.84 4.06
Dow 32,197.59 436.05 1.37
FTSE 7,348.23 41.95 0.57
CAC 6,257.94 46.49 0.75
DAX 13,166.38 69.45 0.53
Dow Fut.* 32,171.30 -26.3 -0.08

Asian markets:

Particulars      28th July Chg. Chg.(%)
SGX Nifty 16766 104 0.62
Nikkei 27804.21 88.46 0.32
Straits Times 3209.75 4.61 0.14
Hang Seng 20710.91 40.87 0.2
Shanghai 3301.41 25.65 0.78

ADR Watch:

Particulars       27th July Chg. Chg.(%)
Dr. Reddy 55.84 0.57 1.03
HDFC Bank 59.95 1.34 2.29
ICICI Bank 20.2 0.33 1.66
Infosys 18.71 0.8 4.47
Tata Motor 27.51 -0.04 -0.15
Wipro 5.16 0.19 3.82

Commodities & Currency:

Particulars Current Price Chg.(%)
USD/INR 79.9 0.15
Brent 103.25 1.55
Gold 1739.70 0.95
Silver 19.047 2.76

FIIs & DII:

Particulars 27th July 26th July
FIIs -436.81 -1548.29
DIIs 712.03  999.36

News Update:

Hindustan Aeronautics: HAL has signed contract worth over $100 million with Honeywell for HTT-40 Engines. The company will supply and manufacture 88 TPE331-12B engines/kits along with maintenance and support services to power the Hindustan Trainer Aircraft (HTT-40).

Shoper’s Stop: The company approved investment of Rs 20 crore in its wholly owned subsidiary Global SS Beauty Brands by Q3 FY23.

Exide Industries: Subsidiary Exide Energy Solutions (EESL) has executed the lease cum sale agreement for procuring land parcel admeasuring 80 acres in Bengaluru with Karnataka Industrial Areas Development Board (KIADB). The land will be used to set up state-of-the-art green field multi-gigawatt Li-ion battery cell manufacturing facility.

Source: Moneyontrol, Livemint,, Bloomberg, Investing

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