Top 10 trending Stock Market news you must knowThe Indian stock exchanges will track the results of the Delhi elections, Coronavirus updates and macroeconomic data releases this week. Industrial production and retail inflation data is due on Wednesday, while WPI inflation numbers will be released on Friday. Results for the Delhi Assembly polls held on Saturday will also be in keen focus. The results for the elections in the India’s capital will be revealed on Tuesday. Meanwhile, the updates on Coronavirus outbreak will be carefully scrutinized, after China reported that the over 811 people have succumbed to the deadly virus, surpassing the number of fatalities in the 2002-03 SARS epidemic. Nearly 37,000 people have been confirmed as being infected with the deadly virus that has spread to more than 25 countries. Let us look at the stocks that will be in focus as markets open on Monday:
- YES Bank: Private sector lender YES Bank has said it has received shareholders' nod to raise capital up to Rs10,000cr via issuance of equity shares or other convertible securities. At the Extraordinary General Meeting (EGM) held on Friday, the lender has also received approval to increase authorised share capital of the bank to Rs1,100cr. The current authorised share capital of the bank is Rs800cr. As per the filing to the stock exchanges, the bank had proposed to raise the authorised share capital to Rs1,100cr divided into 450cr equity shares of Rs2 each amounting Rs900cr and 2cr preference shares of Rs100 each, amounting to Rs200cr.
- Steel Authority of India Ltd (SAIL): The government is planning to sell 5% stake in Steel Authority of India Ltd (SAIL) through an offer for sale, which could fetch about Rs1,000cr to the exchequer, an official said. Officials from the Department of Investment and Public Asset Management (DIPAM) and steel ministry are planning roadshows in Singapore and Hong Kong for SAIL stake sale. The government holds 75% stake in SAIL. It had last sold 5% stake in the steel CPSE in December 2014.
- Maruti Suzuki Ltd: India's largest carmaker Maruti Suzuki India Ltd (MSIL) is banking on introduction of petrol variants of existing models such as Vitara Brezza besides exploring more CNG options to make up for lost numbers as it discontinues diesel options while moving to BS-VI emission norms. The company, which last week showcased the petrol version of its popular compact SUV Vitara Brezza that was earlier available only in diesel option, is also gearing up to bring petrol version of its S-Cross model. MSIL is launching Vitara Brezza in petrol option powered by a 1.5 litre engine later this month, while it is gearing up to bring its premium crossover vehicle S-Cross, which was also available only in diesel option, with a petrol engine, in March.
- Cipla Ltd: Mumbai based pharma company Cipla said it has acquired 4 brands Wanbury to expand its presence in the women's health segment. In a filing to the stock exchanges on Saturday, Cipla did not disclose financial details of the acquisition. Meanwhile, Wanbury in an exchange filing said it has raised Rs88.60cr by selling a few brands to Cipla. Cipla has acquired four brands, namely CPink, CDense, Productiv and Folinine, to further strengthen its presence in women's health portfolio. These brands, previously commercialized by Wanbury, have a market size of Rs3,100cr in India with sales value of Rs59.6cr.
- Tata Steel Ltd: Tata Steel reported a consolidated net loss of Rs1,229cr for the quarter ended December 31, 2019, due to headwinds in European business. The steel major had posted a consolidated profit of Rs1,753cr in the corresponding period last fiscal. In a filing to the stock exchanges post market hours Friday, the company said its consolidated revenues declined 8.58% to Rs35,520cr during Q3FY20, as compared to Rs38,854cr in the year-ago period. Consolidated earnings before interest, tax, depreciation and amortisation (EBITDA) shrunk more than 45% on annual basis in the quarter under review to Rs3,659cr, as opposed to Rs6,726cr in the year-ago period.
- Britannia Industries Ltd: Biscuit maker Britannia Industries on Friday reported a 23.26% jump in consolidated net profit for the December quarter at Rs369.88cr as it improved its reach and distribution to parts of the country in the quarter when growth in India’s fast-moving consumer goods market remained tepid. For the three months ended December 31, 2019, the maker of Good Day and Tiger biscuits posted a 5% jump in total revenue from operations at Rs2,982.68cr, up from Rs2,842.44cr it reported in the year ago period.
- Reliance Industries Ltd: Reliance Industries and its partner BP plc of UK will this month offer for sale more natural gas from its KG-D6 block to users as it prepares to put into production second wave of discoveries in the eastern offshore block. Reliance-BP is likely to offer as much as 5mn standard cubic meters per day (mmscmd) of natural gas for bidding from newer discoveries in KG-D6 in next few days, media reports suggested. The volume to be offered is the same as the one the company bid out in November last year. Like in the previous auction, Reliance-BP will seek bids from potential users for the 5 mmsmcd of natural gas it plans to produce from the R-Cluster Field in KG-D6 block from mid-2020.
- Dr Reddy’s Laboratories Ltd: Dr Reddy’s Laboratories (DRL) says it would keep focusing on emerging markets (which includes Russia and the CIS countries) and India for business growth, organically and via acquisitions. The idea, it says, is to minimise dependence on any single region. Its growth was affected in the aftermath of a warning letter in 2015 from the American sector regulator, the Food and Drug Administration (FDA). At the time, US revenues were half its global sales of generic medicines and largely drove Dr Reddy’s generics formulation business.
- Indiabulls Housing Finance Ltd: Rating agency CRISIL has downgraded Indiabulls Housing Finance’s (IBHFL) long-term rating from “AA+” to “AA” citing continued challenges on funding access diversity faced by the firm. CRISIL also revised the outlook on the long-term ratings to ‘Stable’ from ‘Negative’. The rating on the commercial paper (CP) issue and short-term non-convertible debenture programme has been reaffirmed at ‘A1+’. Secondary market yields for IBHFL paper continue to remain elevated. High dependence on bank funding (largely working capital and securitisation lines) has reduced the diversity in resource profile, CRISIL added.
- Oberoi Realty: Net profit of Oberoi Realty jumped 7% to Rs148.24cr for the quarter ended December despite a fall in total income. Its net profit in the year-ago period stood at Rs137.93cr, company said in a regulatory filing. Total income, however, fell to Rs536.53cr in the third quarter of 2019-20 from Rs548.79cr in the same period a year ago, the statement added. Similar to the total income, company’s sales also witnessed a slight dip to Rs527.43cr in the quarter ended December 2019 as against Rs528.62cr during the previous quarter ended December 2018.
Let us look at the developments which took place on the global front:
China’s National Health Commission on Friday confirmed more than 31,000 cases of the deadly pneumonialike virus in the country, with more than 630 deaths. The disease also continues to spread outside the country. The People’s Bank of China has injected 1.7 trillion yuan ($243.88 bn) of liquidity into the financial system to stem the impact from the Wuhan virus that has hurt travel and economic output, and the government is considering additional stimulus to stem any downturn, according to the Associated Press.