– Foreign tourists to be allowed in India from Nov 15
– Fitch cuts India’s FY22 growth forecast to 8.7%
– PE group TPG may invest $1-billion in Tata EV unit
– TCS bidding for a slice of $50 billion US NIH contracts
Now lemme give you a quick glance on the state of the markets.
Dalal Street is likely to have a positive start this morning. Nifty futures on the Singapore Exchange traded 33 points higher at 8:30 hours (IST). Asian shares rose on Friday as Chinese shares returned from a one week holiday upbeat, tracking a global rally, while investors also eyed key US jobs data for any fresh insight into the timing of Federal Reserve tapering. MSCI’s broadest index of Asia-Pacific shares outside Japan rose by 0.31 per cent.
Elsewhere, the yield on 10-year Treasuries advanced about one basis point to 1.59%. The safe-haven dollar hovered below a one-year high to major peers on Friday amid improved risk sentiment, while traders awaited clues on the pace of Federal Reserve policy normalization from a closely watched monthly payrolls reports. Oil prices rose on Friday, tracking towards a 4.2 per cent gain for the week on signs some industries have begun switching fuel from high priced gas to oil and on doubts the US government would release oil from its strategic reserves. Brent crude futures jumped 80 cents, or 1 per cent, to $82.75 a barrel.
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That said, here’s what is making news.
The stock of Dishman Carbogen, a midcap pharma company, has gained 32 per cent in a month on hopes of a business turnaround. After reporting a drop in revenue and a net loss for FY21, the company is expected to benefit from high potential new molecules that are currently under the late phase three clinical trial. If monetised successfully, they would improve the company’s performance in the coming quarters thereby reducing its valuation gap with peers. The company expects to clock EBITDA of Rs 480 crore for the current fiscal year. Analysts estimate it to increase to Rs 600 crore in the next fiscal year. Net profit growth may be even higher due to operating leverage.
Watches-to-jewellery maker Titan Company’s market value crossed Rs 2 lakh crore on Thursday driven by the near 11% run-up in the stock after the company reported a strong recovery in demand in the September quarter. The company is the second in the Tata Group after Tata Consultancy Services (TCS) to cross this milestone. The current market value of TCS stands at Rs 14.4 lakh crore. The stock has gained 52% since January and 516% in the past five years, making it among the best performing stock bets on India’s consumer story. Credit Suisse has increased earnings estimates by 5-8% and target price to Rs 2,150 from Rs 2,000.
Bharti Airtel is likely to steal a march over rival Reliance Jio by reporting stronger sequential growth in mobile revenue and average revenue per user (ARPU) in the fiscal second quarter, helped by a robust India wireless business show on the back of tariff hikes for some users taken late-July, analysts said. Jefferies estimates Airtel’s India mobile revenues “to grow 7.1% sequentially compared to Jio’s 4.7% in the July-September period,” and its ARPU to also jump “7.3% on-quarter to Rs 157,” while Jio is slated to report muted growth – 1.3% – to Rs 140 on this metric.
LASTLY,
Meme tokens have been in buzz recently ever since Elon Musk, CEO of Tesla and SpaceX tweeted the photo of his new pet dog, which is the mascot of Shiba Inu. The digital token category has been on a roll for the last few days. The price of Shiba Inu has rallied over 325 per cent in the last week, making its way into the top 15 tokens. Crypto veterans suggest investors to stay away from the euphoria-based token. They said that value creation happens in the long run and investors should follow a buy-in-dips approach. Market experts said that investors should analyze how much community is linked to it, before investing in such joke tokens.
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NOW Before I go, here is a look at some of the stocks buzzing this morning…
Private equity group TPG is in advanced discussions with the Tata Group to invest $1 billion or more in the electric vehicles (EV) division of Tata Motors, ET reported.
Tata Consultancy Services (TCS) is vying to participate in a massive $50 billion information technology procurement contract floated by the US Government’s National Institute of Health (NIH), alongside other global IT majors including Capgemini, official documents reveal.
Four individuals and one entity, including CEO of Indiabulls Ventures, paid around Rs 5 crore as settlement charges to market regulator Sebi to settle a case of alleged insider trading in shares of the firm.
The National Company Law Appellate Tribunal on Thursday directed the NCLT to provide “reasonable and sufficient opportunity” to Zee Entertainment Enterprises Ltd (ZEEL) to reply to Invesco’s plea seeking convening a meeting of the company’s shareholders.
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Do also check out over two dozen stock recommendations for today’s trade from top analysts on ETMarkets.com.
That’s it for now. Stay with us for all the market news through the day. Happy investing!
