dalal street | Mango Bunch

JPMorgan forsees bright side of Indian stocks, advises taking benefit of volatility ahead elections

Sneha Sengupta — Thu, 18 Apr 2024 15:39:42 +0000

During the weeks-long election, investors should take advantage of any fluctuations in Indian stocks as a chance to purchase, advises JPMorgan Chase & Co.’s private banking division. With votes to be tabulated on June 4, the South Asian country, which has been a favored choice among investors avoiding China, is scheduled to begin statewide polls this Friday.

It is largely anticipated that the Bharatiya Janata Party, led by Prime Minister Narendra Modi, will win a third term, which will support his administration’s continued emphasis on infrastructural modernization and manufacturing growth.

This year, Indian equities have surged to all-time highs, propelled by strong economic expansion.

“We remain convinced of the structural growth opportunity in Indian equities,” Alexander Wolf, head of Asia investment strategy at JPMorgan Private Bank wrote in a note. “Long-term investors could be at least ‘neutral’ relative to the benchmark, and a strategic ‘overweight’ is warranted in our view.”

India’s $4.5 trillion stock market is now among the most expensive in the world thanks to the incredible surge.

In spite of the fact that India emerged from a recent Bloomberg survey as the most sought-after investment destination in Asia—beating out more established markets like China and Japan—the stretched valuation has forced some global asset managers to decrease their allocations to the nation.

The MSCI India Index trades at a multiple of almost 23 times projected earnings for the upcoming year, which is higher than even US shares.

Indian equities are “not attractive valuation-wise but they also do not appear euphoric at the moment,” Wolf added. “For countries with high future growth potential and a track record of impressive earnings, a higher multiple makes sense.”

Nearly 56 companies set to fetch in ₹70,000 cr via IPO in FY25

Sneha Sengupta — Mon, 01 Apr 2024 16:33:19 +0000

Fiscal year 2024–2025 is expected to be another extraordinary year for the primary market. Initial public offerings (IPOs) are expected to generate a lot of attention on D-Street for the third year running, with 56 businesses planning to raise ₹70,000 crore, or $8.4 billion, in FY25. Furthermore, 19 businesses have already received permission from the Securities and Exchange Board of India (SEBI) to raise a sizeable ₹25,000 crore.

Among the most anticipated initial public offerings (IPOs) in FY25 are Bharti Hexacom, Go Digit Insurance, Swiggy, Ola Electric, Waaree Energies, and Brainbees Solutions.

“In FY2024-25, the IPO market is poised for another exceptional year, driven by increased domestic capital, improved governance, thriving Indian entrepreneurship, favourable government policies supporting FDI, rising financial literacy, and diligent institutional investors. Many IPOs are in the pipeline, reflecting the robust support of the Indian economy. With diverse offerings and a strong appetite for capital growth, the IPO landscape in FY2024-25 promises to be dynamic and vibrant, offering exciting opportunities for investors and companies,” Mahavir Lunawat, Managing Director at Pantomath Capital Advisors Private Limited mentioned in conversation with Livemint.

“This current market condition has created an enormous opportunity for inclusive growth and capital availability to a broader spectrum of enterprises and ecosystems. We anticipate that equity raised through IPOs in FY25 will exceed ₹1 lakh crore. This figure could increase even further if no global shocks affect the Indian market,” he added.

“With favourable conditions in place, we can anticipate healthy investor engagement. The willingness of many large companies to raise capital after deferring their IPO plans also signals good participation from investors in terms of IPO subscriptions in FY25,” Lunawat mentioned.

IPO market estimated status before general elections

“These results are a positive indicator, creating a sentiment that the ruling government might return to power in the upcoming Lok Sabha election in 2024. This outcome instils confidence in both domestic and global investors, encouraging long-term investments in the Indian equity markets, given the anticipated continuity of policies and reforms,” the MD of Pantomath Capital Advisors stated.

With decisive wins in Madhya Pradesh, Rajasthan, and Chhattisgarh, the Bharatiya Janata Party (BJP) dramatically increased its political influence in the state assembly elections.

The evaluation of the present state of IPO exuberance encompasses various aspects such as the situation of the market, investor emotion, corporate performance, regulatory framework, and past patterns.

“While concerns about unsustainable levels of exuberance exist, there are opportunities for further growth, especially in sectors with strong prospects and innovative models. As per our analysis, whether from the perspective of demand or from investible funds perspective or from inclusivity point of view, India would be in dire need of 2.5 lac crores of equity capitalisation each year,” Lunawat wrapped up.

Dividend Stocks to be traded upcoming week, explore the list of companies

Sneha Sengupta — Sat, 30 Mar 2024 15:20:52 +0000

The new financial year 2024–25 (FY25) will begin on Monday, April 1, and shares of a number of firms, including Ashok Leyland, Varun Beverages, and TVS Holdings, will trade ex-dividend in the upcoming week. Ex-split, ex-rights, and ex-bonus will also be traded by a few additional corporations in addition to these, according BSE statistics.

The day on which the equity share price changes to reflect the upcoming dividend payment is known as the ex-dividend date. Today marks the day the stock goes ex-dividend, meaning that going forward, it will not be worth the amount of the next dividend payment.

The stocks that will be paying dividends in the coming week are as follows:

By the end of the record date, dividends are due to each and every shareholder whose name is included on the company’s roster.

1. Tuesday, April 2, 2024:

Bharat Dynamics Ltd: Interim dividend of ₹8.85.
GPT Healthcare Ltd: Interim dividend of ₹1
TVS Holdings Ltd: Interim dividend of ₹94.

2. Wednesday, April 3, 2024:

Ashok Leyland: Interim dividend of ₹4.95.

3. Thursday, April 4, 2024:

Sundaram-Clayton Ltd: Interim dividend of ₹5.15
Varun Beverages Ltd: Final dividend of ₹1.25.

4. Friday, April 5, 2024:

Esab India Ltd: Interim dividend of ₹24
Visco Trade Associates Ltd: Interim dividend of ₹1.

The stocks that will be splitting in the coming week are as follows:

A bonus issuance in the ratio of 1:2 was reported by Sunrise Efficient Marketing Ltd. On April 3, shares will trade ex-bonus.
Cupid Ltd. announced a bonus issue with a 1:1 ratio. On April 4, shares will trade ex-bonus.

A corporate activity known as a bonus issue is an invitation sent to the company’s current shareholders to subscribe for more shares. Rather of raising dividend payments, the corporations want to issue more shares to their investors.

Stocks to consider buying next week; here’s what bank nifty indicates

Sneha Sengupta — Sun, 24 Mar 2024 13:05:49 +0000

The Nifty recovered for two days after a bullish reversal was indicated by a doji formation on the daily chart. Additionally, the pivotal 55-day exponential moving average has been regained by the Nifty. But for there to be a noticeable increase towards the all-time high of 22,525 on the Nifty, it must clear 22,100. 22,950 may continue to be a reliable level of support for the index at lower prices. The index may go into a consolidation period below this threshold.

The recommendations has been made by Rupak De, Senior Technical Analyst at LKP Securities, as published by Mint.

Bank Nifty data

In the meantime, the BankNifty saw significant buying action from lower levels but struggled to break through the resistance at 47,000. The number for immediate assistance is 46,600–46,500. The forecast is optimistic as long as the index stays above this level. Sharp short-covering rallies towards the 48,000 level are anticipated to start if there is a breakthrough over 47,000.

Stocks to consider purchasing, next week

1. Axis Bank

Purchase at ₹1031; Target rate: ₹1140; Stop Loss: ₹1098

After a significant decline, the stock has been finding support at the crucial 200DMA on the daily chart. On the daily chart, it has also been finding support close to the last swing bottom. In the near run, the stock may see a bounce to the upside, and prospects of a robust bounce will continue to exist as long as it stays above the 200DMA.

2. Indus Tower

Purchase at ₹275; Target rate: ₹300; Stop Loss: ₹267

On the daily chart, the stock has had a swing high breakout. It has also managed to hold above the crucial short-term moving average. Positive momentum is also shown by the momentum indicator.

3. PCBL

Purchase at ₹262; Target rate: ₹285; Stop Loss: ₹252

On the daily chart, the stock has shown a consolidation breakout. There was more volume to support the most recent price hike. Positive momentum is also shown by the momentum indicator.

Disclaimer: The opinions and suggestions expressed above are those of independent analysts, specialists, and broking firms. It is recommended that you consult with licensed professionals prior to making any financial decisions.

Markets next week: 3 IPOs, 9 listings planned for subscription on Dalal Street

Sneha Sengupta — Sun, 17 Mar 2024 16:50:15 +0000

The upcoming week will see continued activity on India’s main market as nine firms will list their shares on the bourses and three companies will be open for subscription.

This week marks the opening of three IPOs in the SME sector, but there are no mainboard IPOs planned. Together, the three businesses hope to raise Rs 86.8 crore.

Chatha Foods

On March 19, Chatha Foods is scheduled to become the first initial public offering (IPO) in the SME sector on Dalal street. The price range for shares of Chatha Foods is Rs 53 to Rs 56. On March 21, the last day to bid, will take place.Through the offering, the company that processes frozen food aims to raise Rs 34 crore.

Omfurn India FPO

On March 20, Omfurn India will be available for subscription. The price range for each share designated by the FPO is Rs 71-75. March 22 is when the matter will be closed. Through its secondary offering, the furniture manufacturer and supplier hopes to generate Rs 27 crore.

Vishwas Agri Seeds

On March 21, Vishwas Agri Seeds will launch its first public offering. The issuance has a fixed price of Rs 86 per share. The IPO is set to expire on March 26. The company wants to finance Rs 25.8 crore. It processes and supplies seeds to farmers.

Listings

On March 19, shares of Popular Vehicles, a company based in Kerala, will be listed on exchanges. The company’s initial public offering brought in Rs 601.55 crore. There were 1.23 subscriptions to the issue.
On March 21, Krystal Integrated Services is anticipated to go public. In the grey market, Krystal’s shares are selling for 8.53 percent more than its upper IPO price range of Rs 715.
Pratham EPC Projects will list its shares on NSE SME on March 18, while Signoria Creation and Royal Sense will list on NSE SME and BSE SME, respectively, on March 19. On March 20, AVP Infracon is scheduled to list on the NSE SME, while on March 22, Enser Communications, Enfuse Solutions, and KP Green Engineering will be listed thereafter.

Nifty sets an all-time benchmark; auto, pharma, consumer durables driving the gains

Sneha Sengupta — Mon, 19 Feb 2024 07:04:19 +0000

At 22,135.40, the benchmark index Nifty 50 reached a new all-time high, with the automotive, pharmaceutical, and consumer durables sectors driving the gains.

The Nifty was up 101.00 points, or 0.46 percent, at 22,141.70, while the Sensex was up 296.86 points, or 0.41 percent, at 72,723.50 at 11:18 a.m. A little over 2,170 shares increased, 1,162 fell, and 110 were unchanged.

All market indices were trading higher in the overall market, while the India VIX fear gauge increased 5.14 percent to levels of 15.99.

Alongside the frontlines indices, the midcap and smallcap indices had significant increases, rising as much as 0.65 percent.

At roughly 46,572, the Bank Nifty saw a gain of nearly 200 points, with Bandhan Bank, ICICI Bank, and AU topping the gains.

“There is tremendous investor confidence among domestic investors. Even when FPIs are selling occasionally like in the months of October and November, domestic investors are showing confidence in the market, backed by fundamentals,” mentioned Nilesh Shah, CEO, Kotak MF in conversation with CNBC-TV18.

Shah continued, saying that strong market strength—along with a few pockets of exuberance—better governance relative to peers, and profits growth in the third quarter of the current fiscal year are all driving increased involvement.

On the basis of risk adjusted returns, largecaps appear much superior to mid and smallcaps, he stated. VK Vijayakumar, chief investment strategist at Geojit Financial Services, stated that although sales growth is only ordinary, EBITDA and profit after tax are increasing substantially.

There is a notable increase in credit and rising profitability in banking. According to him, PSU banks are outperforming private sector banks because of their cheap valuations, which hold true despite the current spike in prices.

IPOs listing next week: Two mainboard, three SME issues to go up for subscription

Sneha Sengupta — Sun, 18 Feb 2024 08:20:56 +0000

With five fresh initial public offerings (IPOs) scheduled to launch on Dalal Street this coming week, including two mainboard and three small and medium business (SME) issues that will go up for subscription, the primary market is expected to remain active.

The leading mid-market investment bank Pantomath Capital Advisors Pvt. Ltd.’s managing director, Mahavir Lunawat, predicted that the Indian IPO market would continue to be strong in CY2024.“Rise of the domestic capital, flourishing Indian entrepreneurship, improving governance, diligent institutional investors are among reasons likely to keep the IPO market ticking in 2024,” Lunawat stated.

Investors can anticipate mainboard initial public offerings (IPOs) from Juniper Hotels and GPT Healthcare next week, with a combined goal of raising around ₹2,000 crore. In addition, SME companies Dream Roll Tech and Zenith Drugs are getting ready to release their own products, which is adding to the market’s lively activity.

Juniper Hotels Limited IPO

The Juniper Hotels initial public offering (IPO) will go live on February 21, 2024, and end on February 23, 2024. The mainboard IPO is a fully new offering of 5 crore shares and is a book constructed issue of ₹1,800 crores. The pricing range for Juniper Hotels’ IPO is ₹342 to ₹360 per share.

GPT Healthcare Limited IPO

The subscription period for the GPT Healthcare IPO begins on February 22, 2024, and it ends on February 26, 2024. This book-built issue consists of a 40 crore share fresh issue and a 2.61 crore share offer for sale.

Zenith Drugs Limited IPO

The subscription period for the Zenith Drugs IPO begins on February 19, 2024, and ends on February 22, 2024. The SME IPO consists of a 51.49 lakh share and ₹40.68 crore book built issue. The price range for a share is ₹75 to ₹79.

Deem Roll Tech Limited IPO

The subscription period for the Deem Roll Tech IPO begins on February 20, 2024, and ends on February 22, 2024. The SME IPO is a fully new offering of 22.68 lakh shares at a fixed price of ₹29.26 crores. The IPO price per share is ₹129.

Sadhav Shipping Limited IPO

The subscription period for the Sadhav Shipping IPO begins on February 23, 2024, and ends on February 27. The IPO consists of a new issue of 40.19 lakh shares and a fixed price issue of ₹38.18 crores. The IPO price per share is ₹95

Esconet Technologies Limited IPO

The subscription period for the Esconet Technologies IPO auction began on February 16, 2024, and it will end on February 20, 2024. The SME IPO is a fully new issue of 33.6 lakh shares and is a book built issue of ₹28.22 crores. The price range for Esconet Technologies’ IPO is ₹80 to ₹84 per share.

Kalahridhaan Trendz Limited IPO

The subscription period for the Kalahridhaan Trendz IPO auction began on February 15, 2024, and it will expire on February 20, 2024. The SME IPO is a fully new offering of 49.98 lakh shares at a fixed price of ₹22.49 crores. The IPO price of Kalahridhaan Trendz is ₹45 per share.

Thaai Casting Ltd IPO

The subscription period for the Thaai Casting IPO auction began on February 15, 2024, and it will end on February 20, 2024. It is a fully new issuance of 61.3 lakh shares and a book constructed issue of ₹47.20 crores. The pricing range for the Thaai Casting IPO is ₹73 to ₹77 per share.

Atmastco Limited IPO

The subscription period for the Atmastco IPO auction began on February 15, 2024, and it will end on February 20, 2024. A fixed price issue of ₹56.25 crores is the SME IPO. The issue consists of an offer to sell 18.26 lakh shares, valued at ₹14.06 crores, and a new issue of 54.8 lakh shares, totaling ₹42.20 crores. The IPO price of Atmastco is ₹77 per share.

Interiors and More Limited IPO

The subscription period for the Interiors and More IPO auction began on February 15, 2024, and it will end on February 20, 2024. It is a ₹42 crore book constructed issue. This is a completely new 18.5 lakh share offering. The price range for Interiors and More’s IPO is ₹216 to ₹227 per share.

Fresh Listings channelized for the forthcoming week

Vibhor Steel Tubes Limited IPO: Vibhor Steel Tubes IPO’s allotment was completed on Friday, February 16, 2024. The IPO is scheduled to go public on the BSE and NSE, with a provisional listing date of Tuesday, February 20, 2024.

Wise Travel India Limited IPO: The WTI Cabs IPO allotment was completed on Thursday, February 15, 2024. The NSE SME will list the IPO on February 19, 2024.

Esconet Technologies Limited IPO: On Wednesday, February 21, 2024, the allocation for the Esconet Technologies IPO is anticipated to be completed. The IPO is scheduled to go live on NSE SME, with a provisional listing date of Friday, February 23, 2024.

Kalahridhaan Trendz Limited IPO: On Wednesday, February 21, 2024, the allocation for the Kalahridhaan Trendz IPO is anticipated to be completed. The tentative listing date for the SME IPO is Friday, February 23, 2024, and it will take place on NSE SME.

Thaai Casting Ltd IPO: On Wednesday, February 21, 2024, the allotment for the Thaai Casting IPO is anticipated to be completed. The tentative listing date for the SME IPO is Friday, February 23, 2024, and it will take place on NSE SME.

Atmastco Limited IPO: It is anticipated that allotment for the Atmastco IPO will be on Wednesday, February 21, 2024. The IPO is scheduled to go live on NSE SME, with a provisional listing date of Friday, February 23, 2024.

Interiors and More Limited IPO: On Wednesday, February 21, 2024, the allocation for the Interiors and More IPO is anticipated to be completed. The tentative listing date for the SME IPO is Friday, February 23, 2024, and it will take place on NSE SME.

4 IPOs on the verge of subscription, 9 companies to debut coming week

Sneha Sengupta — Sun, 11 Feb 2024 16:52:23 +0000

Nine firms are slated to make their bourse debut this coming week starting on February 12, and four initial public offerings (IPOs) are expected to hit Dalal Street with a fundraising target of Rs 237 crore. Despite the volatility and consolidation in the secondary markets, the mood at the main market remained positive.

There will be one initial public offering (IPO) and five firms set to make their market debut in the mainboard section, while three IPOs will open for subscription and four corporates will make their debut in the SME segment.

Vibhor Steel Tubes

On February 13, the manufacturer of steel pipes and tubes, located in Haryana, is scheduled to open subscriptions for its first public offering. The company’s sole new offering is included in the Rs 72-crore initial public offering (IPO), which closes on February 15. The offer’s price range is set at between Rs 141 and Rs 151 per share.

Wise Travel India

The company that offers transportation and car rentals will be the first of four to list on the stock exchange the following week when they publicly issue 64.41 lakh equity shares on February 12. The deadline for placing an offer is February 14. The transportation company’s initial public offering, which will solely include a new issue, is intended to raise Rs 94.68 crore. The offer’s price range is between Rs 140 and Rs 147 per share.

Thaai Casting

From February 15 to February 19, the automotive ancillary firm will be accepting subscriptions for its first public offering. Only a new issue of 61.3 lakh equity shares is included in the IPO. The Chennai-based company intends to use the money it plans to raise for general corporate objectives and capital expenditures. It is aiming to raise Rs 47.2 crore through its offer at the upper end of the pricing range of Rs 73-77 per equity share.

Kalahridhaan Trendz

Next week, the last initial public offering (IPO) will take place, with a public offering of 49.98 lakh equity shares on February 15. The deadline for placing an order is February 20. The issue has a fixed price of Rs 22.49 crore, with a share price of Rs 45.

The deadline for the Polysil Irrigation Systems initial public offering (IPO) is February 13. In the meantime, solar panel manufacturer Alphax Solar and Ahmedabad-based Rudra Gas Enterprise, who are involved in pipeline projects for city gas distribution, will close their public issues on February 12.

On February 13, Entero Healthcare Solutions, a mainboard firm that distributes medical supplies, will conclude its Rs 1,600-crore IPO.

Weekly Listings

During the period of February 5-7, Apeejay Surrendra Park’s Rs 920-crore initial public offering (IPO) received 59.66 subscriptions.

On February 14, equity shares of Rashi Peripherals, Jana Small Finance Bank, and Capital Small Finance Bank will be listed on the BSE and NSE. On February 16, shares of Entero Healthcare Solutions will be made available.

Between February 7 and 9, the Rashies IPO received 59.71 subscriptions, while Jana Small Finance Bank and Capital Small Finance Bank’s IPOs were booked 18.5 and 4 times, respectively.

Park Hotels shares were trading on the black market at a premium of about 23 percent over the issue price of Rs 155 per share, while shares of Rashi Peripherals and Jana Small Finance Bank were available for about 25 and 10 percent respectively.

On February 12, Italian Edibles is scheduled to launch shares on the NSE Emerge. On February 15, Alpex Solar and Polysil Irrigation Systems will also make their platform debuts; on February 16, Rudra Gas Enterprise trading will start on the BSE SME.