BSE Sensex, which opened over 100 points lower on Tuesday, recovered almost 200 points from its day’s low. Weak cues from the global markets dented investor sentiment in early trade. However, strong buying in shares of Coal India, HDFC, Bharti Airtel, Asian Paints, TCS, LT among others pared Sensex losses. The NSE Nifty 50 traded flat-to-positive at 10,770.55 points.
Shares of Coal India rose almost 2%, while Bharti Airtel, HDFC and Asian Paints stocks traded with gains of over 1%. The IPO (Initial Public Offering) of the Aurangabad-headquartered auto component maker Varroc Engineering Ltd opened today, 26 June 2018, for subscription with a target to raise up to Rs 1,955 crore. Varroc Engineering IPO is the biggest IPO in FY19 so far.
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In the IPO of the Aurangabad-headquartered auto component maker Varroc Engineering, Tata Group may sell shares. According to a PTI report, Tata Group will offload equity shares worth Rs 1,786 crore. On the first day of bidding, Varroc Engineering IPO was subscribed 32.55% while the portion reserved for QIBs got subscribed more than 100%.
Bidding details as at 4:10 pm:
QIBs: 1.376 times
NIIs: 0.63%
Retail investors: 4.3%
Employees: 9.67%
India’s share market ended flat on Tuesday with BSE Sensex and NSE Nifty finishing marginally higher led by the uptick in shares of HDFC, TCS, Maruti Suzuki and Infosys. Blue-chip shares of RIL and Tata Motors emerged as the biggest laggards amid the components of benchmark Sensex. Six out of eleven sectoral indices of NSE concluded in negative territory while Nifty FMCG advanced more than 1%. The S&P BSE Sensex and NSE Nifty ended up 0.06% at 35,490.04 and at 10,769.15 on Tuesday, respectively.
The benchmark BSE Sensex pared off the morning gains following the massive decline in the share price of Reliance Industries (RIL). The stock of heavyweight scrip RIL fell as much as 2.8% to a day’s low of Rs 975.5 in the late afternoon deals. Following the drop, RIL share alone wiped off around 85 points from Sensex.
Shares of Tata Motors fell as much as 4.99% to a 40-month low of Rs 275.1 on NSE. This is the lowest level since 12 February 2016. According to a Reuters report, Tata Motors share is expected to move towards Rs 260.68. For more than two years, stock’s movement is confined to a descending trend channel, movement within which may lead to further downside, Reuters said in a report.
Fitch retains Airtel’s rating at BBB-, outlook stable; says telco will increase India’s revenue share to 36%
International rating agency Fitch today retained its ratings on Bharti Airtel at BBB- along with a stable outlook, citing the unlikelihood of a further drop in tariffs coupled with its rising non-telecom revenue streams. The agency has a BBB- ratings on Bharti’s long-term foreign-currency issuer default rating (IDR) and senior unsecured rating along with a BBB- ratings on the bonds issued by its subsidiary Bharti Airtel International Netherlands.
Shares of India’s largest telecom company Bharti Airtel were trading nearly 2% higher at Rs 381 on BSE Sensex after the global credit rating agency Fitch maintains the rating at ‘BBB-‘. Fitch Ratings has also maintained a stable outlook.
This Rakesh Jhunjhunwala stock available for below Rs 100! May gain 50% in coming days
Federal Bank’s shares have fallen about 24% from January 2018 so far. According to the latest shareholding data available with the stock exchange, Rakesh Jhunjhunwala owns 3.47 crore equity shares of the Federal Bank, equivalent to 1.79% of the total paid-up capital, at the end of 31 March 2018. Shares of Federal Bank are trading around a level of Rs 83 (current market price: Rs 82.75 per equity share). Research and brokerage company Motilal Oswal Securities has given a ‘buy’ rating to the stock of Federal Bank with a potential upside of as much as 53% to a target price of Rs 127.
Varroc Engineering IPO update: Varroc Engineering IPO has been subscribed by only 3% so far, data from the stock exchanges showed. Shares allotted for institutional buyers were subscribed by 11%. Varroc Engineering IPO is the biggest IPO in FY19 so far.
The S&P BSE fast moving consumer goods (FMCG) index gained almost 1% during mid-afternoon trade session on Tuesday giving a boost to the BSE Sensex index which traded higher by over 100 points. On the FMCG index, Avanti Feeds was the top gainer, shares of which rose almost 20% to a high of Rs 625.25. Among other stocks on the FMCG index, GSK Consumer Healthcare share was up 3.40%, Godrej Consumer Products was up 2.48%, Marico up 1.65% and Britannia up 1.56%.
Bajaj Finance, Abbott India, Astral Poly Technik, Electrosteel Steels, Godrej Consumer Products and Tata Elxsi Limited stocks scaled new 52-week highs on the National Stock Exchange on Tuesday. Shares of Aditya Birla Capita, Adani Green Energy Limited, Allcargo Logistics, Allsec Technologies, Bank of India and Bank of Baroda touched new 52-week lows.
Tata Group to sell Voltas stake? Voltas shares jump 1% after falling to 11-month low. ‘News is not negative’
Shares of Voltas Ltd slipped over 4% to a low of Rs 493 on the National Stock Exchange on reports by CNBC TV18 that promoter Tata Group is exploring opportunities to divest up to 9% in the AC manufacturing company. The level is the lowest since July last year.
Top five BSE Sensex gainers: Coal India (up 2.68%), HDFC (up 1.39%), Bharti Airtel (up 1.28%), ITC (up 1.22%) and Asian Paints (up 1.18%).
Top five losers: Tata Motors (down 2.62%), Tata Motors DVR (down 1.51%), Reliance Industries (down 1.45%), ICICI Bank (down 1.23%) and Hero MotoCorp (down 1.08%).
Varroc Engineering Rs 1,955 crore IPO opens today: Should you subscribe?
The IPO (Initial Public Offering) of the Aurangabad-headquartered auto component maker Varroc Engineering Ltd is all set to open today for subscription with a target to raise up to Rs 1,955 crore. Varroc Engineering IPO is the biggest IPO in FY19 so far. Varroc Engineering IPO is a complete offer for sale from the existing promoters and investors. Varroc Engineering has expected to raise up to Rs 1,955 crore at the upper end of the price band.
Jaiprakash Associates was the most traded stock on the NSE in early trade on Tuesday with over 1 crore shares changing hands. It was followed by Vakrangee with 0.75 crore shares traded, RCOM with 0.74 crore, Idea with 0.60 crore and PNB with 0.45 crore Tata Motors with 0.42 crore and GMR Infrastructure with 0.40 crore shares traded.
The BSE Sensex trimmed earlier losses and recovered over 150 points to a high of 35,496.08 aided by strong buying in shares of Coal India, Asian Paints, M&M, Bharti Airtel, LT and HDFC among others. The Nifty 50 recovered 44 points to an intra-day high of 10,776.60 points.
Oil prices inched up on Tuesday on uncertainty over Libyan oil exports, although plans by producer cartel OPEC to raise output continued to drag, Reuters reported. Brent crude futures were at $74.81 per barrel at 0311 GMT, up 8 cents, or 0.1 percent, from their last close. U.S. West Texas Intermediate (WTI) crude futures were at $68.24 a barrel, up 16 cents, or 0.22 percent.
Shares of Bank of Baroda, ICICI Bank, Karur Vysya Bank, Gujarat NRE Coke, KRBL, Jet Airways in focus today. India’s share markets opened lower on Tuesday but recovered partly within minutes following the surge in share prices of heavyweight companies such as Kotak Mahindra Bank, ITC, Infosys, TCS.
The Indian rupee fell by 7 paise to 68.20 against the US dollar in early trade. A lower opening in the Indian stock markets, as well as dollar-demand from importers and banks weighed heavy on the domestic currency. The rupee had ended sharply lower by 29 paise at 68.13 against the US currency on Monday.