Inventory Market Stay Updates: Sensex jumps 100 factors, Nifty nears 15,350; IT, auto shares acquire

Burger King shares fall over 7% on reporting Q4 loss of Rs 25.94 crore

Shares of Burger King India plunged over 7 percent in early trade on Thursday after the company posted a consolidated net loss of Rs 25.94 crore for the fourth quarter of fiscal 2021. The QSR (Quick Service Restaurant) chain operator, which got listed on bourses in December 2020, had reported a consolidated net loss of Rs 37.41 crore during the January-March 2020 quarter. Its total income during Q4FY21 rose marginally to Rs 199.45 crore from Rs 192.95 crore, YoY. For the full financial year 2020-21, Burger King India reported a total income of Rs 522.93 crore. It was Rs 846.82 crore in 2019-20.

After PSBs, private banks also seek restructuring relief and limited moratorium

Heads of various private sector banks raised concerns about the impact on asset quality amid the second coronavirus wave led disruptions in their recent meeting with the Reserve Bank of India, according to two people in the know. One of the private bank chiefs present in the meeting said banks have requested RBI to extend the window for one-time restructuring loans under Resolution Framework 1.0 at least until September to allow them to provide relief to more borrowers. CNBC-TV18 had earlier reported that public sector banks had sought a similar relief in their meeting with RBI. More here

Rakesh Jhunjhunwala is very bullish on the markets.

#OnCNBCTV18 | Rakesh Jhunjhunwala is very bullish on the markets.

He is bullish on commodities, believes the uptrend is here to stay for 5 years. He is also bullish on PSU banks#Sensex #Nifty pic.twitter.com/jWRUXPnjA2

— CNBC-TV18 (@CNBCTV18Live) May 27, 2021

Manappuram Finance shares fell 4% post March quarter earnings

Shares of Manappuram Finance fell over 4 percent on Thursday after the company reported its March quarter earnings. The non-banking finance company (NBFC) reported a 17.6 percent rise in its consolidated net profit at Rs 468.35 crore in Q4. It had posted a net profit of Rs 398.20 crore in the year-ago quarter. However, the net profit in the fourth quarter of the last fiscal was lower compared to Rs 483.19 crore recorded in the 2020 December quarter. For the full-year FY21, its net profit jumped 16.5 percent to Rs 1,724.95 crore versus Rs 1,480.30 crore in 2019-20, according to the regulatory filing. Total income also grew 14.8 percent to Rs 6,374.63 crore in FY21 versus Rs 5,551.19 crore in the year-ago period.

Market Watch: Ashish Kyal, Waves Strategy

– Buy Sterlite Tech with a stop loss of Rs 245 and a target of Rs 270.

– Buy FIEM Industries with a stop loss of Rs 689 and a target of Rs 760.

Buzzing | Cummins India shares fall 7% as Q4 earnings miss expectations

Shares of Cummins India fell 7 percent on Thursday after the company reported lower than expected earnings growth for the March quarter. The company’s net profit was flat, lower by a percent at Rs 168.56 crore in Q4 on the back of a sharp spike in the input costs during the quarter. It posted a profit of Rs 170 crore in the year-ago quarter. The stock fell as much as 6.9 percent to its day’s low of Rs 747.10 per share. However, the profit was also affected by the sharp spike in tax costs due to the Rs 75 crore deferred tax credit in the March 2020 quarter. Read here.

Sameet Chavan, Chief Analyst-Technical and Derivatives, Angel Broking

We expect the Nifty to continue its march higher towards our first target of 15,335 (which is almost there), followed by new highs very soon. With this gradual advance, the supports are shifting higher and now the immediate supports are placed around 15,235 and 15,163. Hence, we continue with our advice for traders to continue with a positive bias and look for buying opportunities on intraday declines.

Billionaire Investor Mark Cuban backs Indian crypto startup Polygon

American Billionaire Mark Cuban has invested in Indian crypto startup Polygon, adding to his expanding portfolio of blockchain investments. The quantum of investment remains undisclosed. A serial startup investor, Cuban is the owner of NBA’s Dallas Mavericks and one of the main investors on the reality TV show, ‘Shark Tank’. According to reports, Cuban plans to integrate Polygon into Lazy.com, a portfolio company that allows people to easily display non-fungible tokens (NFTs). In a recent interview with CNBC, Cuban expressed his deep interest in Ethereum, saying it is ‘the closest to a true currency.’ But, what prompted him to invest in an Ethereum scaling platform such as Polygon? More here

Karnataka Bank Q4 net profit rises 15% at Rs 31 cr

Private sector lender Karnataka Bank’s net profit rose by 14.8 per cent to Rs 31.36 crore in fourth quarter ended March 2021 on dip in provisions and contingencies. It had posted a net profit of Rs 27.31 crore in same quarter last year. The annual net profit for FY21 grew by 11.76 per cent to R 482.57 crore as against Rs 431.78 crore in FY20. Its board recommended a dividend of 18 percent, subject to shareholders approval. Mengaluru-based lender’s net interest income (NII) for reporting quarter was down 13.25 per cent to Rs 459.14 crore from Rs 529.3 crore a year ago. The other income also declined 8.24 percent.

Industry sources believe FY22 COVID claims could rise by as much as 4x Vs FY21. 

Industry sources believe FY22 COVID claims could rise by as much as 4x Vs FY21. FY22 COVID death claims may be 35-40% of total death claims Vs 20-25% of total death claims in FY21, reports @YashJain88 pic.twitter.com/MydRqv2r4j

— CNBC-TV18 (@CNBCTV18Live) May 27, 2021

Jeff Bezos to officially step down, Andy Jassy to take over as Amazon CEO on July 5

Jeff Bezos, the richest man on earth and the Chief Executive Officer of Amazon will step down and pass over the baton to Andy Jassy on July 5. Bezos announced the date at Amazon’s annual shareholder meeting that was being held virtually. “We chose that date because it’s sentimental for me, the day Amazon was incorporated in 1994, exactly 27 years ago,” Bezos said in the meeting. The e-commerce giant had announced that Bezos would be stepping down from the top post in February after serving the company for 30 years. Bezos would be taking the role of the executive chairman on the Amazon board as he begins to focus his other projects as well. These include Bezos Earth Fund, his Blue Origin spaceship company, The Washington Post and the Amazon Day 1 Fund. More here

Market Watch: Varun Lohchab, Head – Institutional Research, HDFC Securities

 

On BPCL

 

 

Oil marketing companies (OMCs) do offer value, they are quite attractive on valuations. Our houseview is positive. BPCL is our top pick within the OMCs. However, in our model portfolio, we are more tilted towards gas stocks and we have GAIL and Gujarat Gas as our top positions there.

 

 

On Finance

 

 

We only have large banks in our model portfolio. We don’t own any NBFC or any of the smaller banks in our model portfolio. We have ICICI Bank and State Bank of India (SBI) as our top picks.

Opening Bell: Sensex, Nifty open flat; BPCL top gainer post earnings

Indian indices opened flat on Thursday as gains in energy, IT and auto stocks were capped by losses in heavyweights HDFC twins, HUL and Asian Paints. At 9:18 am, the Sensex was up 2 points at 51,020 while the Nifty rose 9 points at 15,311. On the Nifty50 index, BPCL, Tata Motors, Tech Mahindra, UPL, and JSW Steel were the top gainers while IndusInd Bank, Asian Paints, HUL, Bajaj Finserv and Powergrid led the losses. Broader markets were also flat in early deals with the midcap index and smallcap index up 0.2 percent and 0.3 percent, respectively.

SGX Nifty indicates a lower opening on Dalal Street today. Here are a few more global cues

#CNBCTV18Market | SGX Nifty indicates a lower opening on Dalal Street today. Here are a few more global cues pic.twitter.com/9cH1uilzo5

— CNBC-TV18 (@CNBCTV18Live) May 27, 2021

GST compensation shortfall estimated at Rs 2.69 lakh cr for FY22

The shortfall in GST compensation payable to states in the current fiscal is estimated at Rs 2.69 lakh crore, of which Rs 1.58 lakh crore would have to be borrowed this year. The Centre expects to collect over Rs 1.11 lakh crore through cess on luxury, demerit and sin goods which will be given to the states to compensate them for the shortfall in revenue arising out of GST implementation. The remaining Rs 1.58 lakh crore would have to be borrowed to meet the promised compensation to states under the Goods and Services Tax (GST) regime. As per the agenda note shared with states ahead of the GST Council meeting on Friday, the Centre estimates that although the GST revenues may see a recovery in the current financial year, there will still be a gap between the compensation need and amount raised through cess. More here

Manappuram Finance Q4 results: Profit rises 17% YoY to Rs 468 crore

 

Non-banking finance company Manappuram Finance on Wednesday reported a 17.6 percent rise in its consolidated net profit at Rs 468.35 crore in the three months ended March 2021. The company had posted a net profit of Rs 398.20 crore for the corresponding period of the previous fiscal, Manappuram Finance said in a filing to BSE. However, the net profit in the fourth quarter of the last fiscal was lower compared to Rs 483.19 crore recorded in the 2020 December quarter. During the latest March quarter, total consolidated income increased to Rs 1,630.25 crore from Rs 1,618.15 crore in the same period a year ago. More here

Fugitive diamantaire Mehul Choksi captured in Dominica

Fugitive diamantaire Mehul Choksi, who had recently fled from Antigua and Barbuda, was captured in neighbouring Dominica after an Interpol Yellow Notice was issued against him, the local media reported on Wednesday. Choksi had been living in Antigua and Barbuda since 2018 after taking the citizenship, Antigua News Room reported. The Yellow Notice is issued by the Interpol to track missing persons. The efforts are on to hand him over to the Royal Police Force of Antigua and Barbuda, the local media reports stated. Choksi, who is wanted in a Rs 13,500 crore loan fraud in Punjab National Bank, was last seen going for dinner in his car in Antigua and Barbuda on Sunday. 

BPCL Q4 net profit at Rs 11,940 crore, beats estimates; declares dividend of Rs 58/share

Privatisation-bound Bharat Petroleum Corporation (BPCL) on Wednesday reported a net profit of Rs 11,940 crore for the quarter ended March 31, 2021, and declared a record Rs 12,581 crore dividend, more than half of which will go to the government. In the corresponding quarter last year, the company posted a net loss of Rs 2,958 crore. CNBC-TV18 Poll had predicted a profit of Rs 1,730 crore for the quarter under review. Its revenue from operations during January-March 2021 jumped 21.5 percent to Rs 98,755.6 crore, compared with Rs 81,296 crore in the year-ago period. The Board of Directors has recommended a final dividend of Rs 58/- per equity share (including a one-time special dividend of Rs 35 per equity share of Rs IO each) for the financial year ended March 31, 2021, subject to the approval of the shareholders at the ensuing Annual General Meeting. More here

First up, here is quick catchup of what happened in the markets on Wednesday

Indian shares ended near-record closing high on Wednesday boosted by IT and financial stocks as gains in Asian peers and continued decline in domestic COVID-19 cases also lifted the sentiment. The Sensex ended 380 points higher at 51,017 while the Nifty rose 93 points to settle at 15,301. Heavyweights Infosys, HDFC, TCS, and Bajaj finance contributed the most to the indices. Broader markets, meanwhile, were mixed for the day. While the midcap index was flat the smallcap index rose 0.7 percent. Among sectors, the Nifty IT index jumped nearly 2 percent while Nifty Auto and Nifty Fin Services were up around half a percent each. FMCG and pharma sectors were also in the green. However, the metal index lost nearly 2 percent for the day.

Welcome to CNBC-TV18’s Market Live Blog

 

 

Good morning, readers! I am Pranati Deva from the market’s desk of CNBC-TV18. Welcome to our market blog, where we provide rolling live news coverage of the latest events in the stock market, business and economy. We will also get you instant reactions and guests from our stellar lineup of TV guests and in-house editors, researchers, and reporters. If you are an investor, here is wishing you a great trading day. Good luck!

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