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

Most Asian markets have opened lower this morning, despite the S&P 500 scaling another record high overnight. Sentiment in the U.S. was boosted by the Federal Reserve’s commitment to supportive policy. Benchmark indices in Japan and South Korea fell, which in-turn weighed on the MSCI Asia Pacific index. Australian markets outperformed. The U.S. Dollar held gains while the treasury yields were steady. The Singapore-traded SGX Nifty, an early indicator of the Nifty 50 Index’s performance in India, rose 0.3% to 14,911, as of 7:00 a.m.

Key Data/ Action, Result and Board meeting to watch

Major economic Data:

  • INR: Deposit Growth on 9th April 2021
  • INR: Bank Loan Growth on 9th April, 2021
  • USD : Initial Jobless Claims on 8th April, 2021

International

Markets:U.S & Europe

Particulars 7thApril Chg Chg(%)
Nasdaq 13,688.84 -9.54 -0.07
Dow 33446.26 16.02 0.048
FTSE 6,885.32 61.77 0.91
CAC 6,130.66 -0.68 -0.01
DAX 15,176.36 -36.32 -0.24
Dow Fut.* 33377 49 0.15

Asian markets:

Particulars 8thApril Chg Chg(%)
SGX Nifty 14,913.50 50 0.34
Nikkei 29,598.42 -132.37 -0.45
Straits Times 3,193.97 -1.79 -0.06
Hang Seng 28,758.50 83.7 0.29
Shanghai 3,468.71 -10.92 -0.31

ADR Watch:

Particulars 7th April Chg Chg(%)
Dr Reddy 62.56 -0.38 -0.60
HDFC Bank 74.59 -0.84 -1.11
ICICI Bank 15.59 0.11 0.71
Infosys 19.21 -0.13 -0.67
Tata Motor 20.45 -0.39 -1.87
Wipro 6.54 0.01 0.15

Commodities & Currency

Particulars Current Price Chg(%)
USD/INR 74.55 1.53
Brent 62.73 -0.68
Gold 1735.85 -0.33
Silver 25.087 -0.63

FIIs & DIIs

Particulars 7thApril. 6th April
FIIs         227.42   -1092.75
DIIs 381.08      416.59
     

 

Brokerage Radar:

Jefferies On Indian Metals:

Steel companies should deliver a new high on Ebitda margins driven by sharp rally in steel prices India HRC steel prices rose 46% YoY and are up 20% QoQ LME Aluminium prices also improved 24% YoY and were up 9% QoQ Expect Q4 Ebitda for Tata Steel & JSW Steel to rise ~25% QoQ and ~150% YoY Hindalco’s Q4 Ebitda should rise 33% YoY but should be flattish QoQ Coal India’s blended realisations may improve 7% QoQ but still remain 4% lower YoY

Motilal Oswal On Indian I.T.:

Gartner revised its 2021 I.T. services spend higher for the third straight quarter ISG index starts CY21 with all-time high Annual Contract Value (ACV); maintains double-digit guidance Expect significant uptick in traditional I.T. for CY21 Industry may witness growth-led talent crunch Strong commentary on AAS and managed services is encouraging for Indian I.T. services industry from a revenue perspective Build-in

double-digit growth across both largecap and midcap I.T. services vendors Like Infosys & HCL Tech among tier-I and L&T Technology Services &Cyient among tier-II companies.

Emkay:

On Titan Maintains buy rating Price target of Rs 1,650 Jewellery segment growth has exceeded expectations and is likely to remain strong Lockdowns in Maharashtra, which contributes 15-20% of overall revenue may see a short-term impact Strong momentum and pent-up demand will drive further upgrades to forecasts Remains preferred pick in the discretionary space.

News Update:

I.T. Stocks:

ISG and Gartner released a strong forecast for industry growth in 2021. While Gartner revised its I.T. spend forecast higher for the third straight quarter, ISG hinted at a likely upward change over the next three quarters during its industry outlook call.

Bharti Airtel: Has launched ‘Airtel loT’:

an integrated platform that enables enterprises to harness the power of Internet of Things and be ready for the emerging era of connected things. Airtel loT is an end-to-end platform with the capability to connect and manage billions of devices and applications in a secure and seamless fashion. MG Motor, Pine Labs, Paytm, Kirloskar, BSES, Genus, and Kentare among the many businesses across manufacturing, logistics, automobiles, BFSI and utilities that are already using Airtel’s loT solutions.

Godrej Consumer Products:

Demand trends in categories in key countries remained stable. Expect sales growth in the thirties for the India business, driven by strong volume growth and price hikes. Expect constant currency sales growth in the mid-twenties on a consolidated business. Indonesia business likely to post mid-single digits constant currency sales growth. Africa, U.S. and Middle East business may see constant currency sales growth close to the thirties. Latin America business will remain strong in constant currency terms.

Hindustan Copper:

Board has approved opening of QIP of equity shares of face value of Rs 5 each on April 7. The floor price of Rs 125.79 per equity share is at a 13.33% discount to Wednesday’s closing price.

Hindustan Construction Company:

The company’s loan default amount as of March 31 stands at Rs 1,959.41 crore and the total outstanding borrowing from lenders stands at Rs 4,010.93 crore.

IRCTC:

Has temporarily suspended Lucknow-New Delhi Tejas Express until April 30, due to recent increase in coronavirus cases.

Prakash Industries:

Achieved highest ever sale of around 2.72 lakh tonnes of steel, up 8.8% QoQ and 31.1% YoY. For FY21, the company’s sales stood at 9.54 lakh tonnes, up 3.1% year-on-year. DRI production was also the highest ever at 9.05 lakh tonnes, up 10.7% year-on-year.

Source: MoneyControl, Business Standard, 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 an y 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, advisory 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 Advisory 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 Advisory or his associate or his relative has no financial interest in the subject company and the nature of such financial interest;
(b) EWL Advisory or its associates or relatives, have no actual/beneficial ownership of one %. 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 Advisory 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 publicappearance;
2. Compensation
(a) EWL Advisory or its associates have not received any compensation from the subject company in the past twelve months;
(b) EWL Advisory or its associates have not managed or co-managed public offering of securities for the subject company in the past twelve months;
(c) EWL Advisory or its associates have not received any compensation for investment banking or merchant banking or brokerag e services from the subject companyin the past twelve months;
(d) EWL Advisory or its associates have not received any compensation for products or services other than investment banking or merchant banking or brokerageservices from the subject company in the past twelve months;
(e) EWL Advisory 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 Advisory 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 Advisory