Pre Market Analysis 25-10-2021

Market Opening - An Overview

Nifty futures on the Singapore Exchange were trading 0.13% higher at 18,167.50, signalling that Dalal Street was headed for a flat to positive start on Monday.

Most Asian shares were trading lower as investors awaited corporate earnings and also were cautious over risks related to rising inflation. Japan’s Nikkei and Topix were down 0.99% and 0.25%, respectively. China’s CSI 300 fell 0.14% and Hang Seng edged up 0.12%.

Indian Rupee lost 3 paise to close at 74.90 against US dollar on Friday. 

Upcoming Earnings

Tech Mahindra, Coforge, HDFC Asset Management Company, Aditya Birla Sun Life AMC, Ceat, Colgate-Palmolive (India), ICRA, Kansai Nerolac Paints, Ramco Cements, ANG Lifesciences India, Aurionpro Solutions, CSB Bank, Dwarikesh Sugar Industries, Gujarat Mineral Development Corporation, Goodluck India, Home First Finance Company India, Indus Towers, Jagran Prakashan, Karda Constructions, LKP Securities, Maharashtra Scooters, Mangalam Organics, Newgen Software Technologies, Orient Cement, Prakash Industries, Quick Heal Technologies,Shriram Asset Management, SRF, Suven Life Sciences and Welcure Drugs & Pharmaceuticals.

FII/DII trading data on Friday (22-10-2021)

CategoryBuy ValueSell ValueNet Value
*All numbers are in INR crore

Stocks in News Today

Reliance Industries: The conglomerate posted a significant jump of 46% in its consolidated net profit to Rs 15479 crore in the second quarter of FY22, from Rs 10602 crore in the year-ago period. The jump was attributed to good performance of its oil business and better-than-expected sales in its retail business as demand rebounded. Consolidated revenue surged almost 50% year-on-year to Rs 1.74 lakh crore. Its retail arm’s sales stood at Rs 45,450 crore in Q2FY22, as against Rs 41,124 crore in the year-ago period. The net profit in the quarter was Rs 1,695 crore, 74.2% higher year-on-year.

ICICI Bank: The private-sector lender posted a 30% year-on-year jump in net profit at Rs 5511 crore during Q2FY22, helped by robust net interest income (NII), other income and lower provisions. It posted a net profit of Rs 4,251 crore in the same period last financial year. NII rose 25% to Rs 11,690 crore in the same period and non-interest income gained 26% to Rs 4,400. Net NPAs declined to 0.99% in Q2FY22, from 1.16% in the preceding quarter.

JSW Steel: The company plans to levy a surcharge on sale of its steel products to its long-term OEM (original equipment manufacturer) customers to offset the rising input cost. There is a huge pressure on the cost of production as the cost of per tonne steel production went up by 19 per cent or Rs 6,600 per tonne quarter-on-quarter in July-September 2021, Seshagiri Rao, Joint Managing Director and Group CFO, JSW Steel, said.

Dish TV: The company’s survival depends on the Rs 1000 crore rights issue as it needs funds to upgrade technology and replace old set-top boxes with the new-age smart connected boxes, a top company official said, adding, otherwise its subscriber base would shrink. The dth provider is already witnessing churn of the subscribers in the last 1.5 years due to the pandemic and low capital expenditure on subscriber acquisition as it had to pay huge bank loans in the last 15 months, the official added.

Tata Elxsi: The technology firm said its net profit increased 58.9% YoY to Rs 125.3 crore in Q2FY22, as against a net profit of Rs 78.8 crore in the year-ago period. Operating revenue from rose to Rs 595.3 crore in the quarter, from Rs 430.1 crore in the corresponding period last financial year. The strong results was on the back of good business from its Embedded Product Design division which is also the company’s largest division.

Dodla Dairy: the company’s second-quarter consolidated net profit fell 31% to Rs 29.39 crore, from Rs Rs 42.56 crore in the year-ago period. Its total income rose to Rs 569.47 crore in the quarter of this fiscal year from Rs 462.02 crore in the corresponding period of last year.

MCX: The company’s Q2 consolidated net profit fell 44% to Rs 32.66 crore, from Rs 58.55 crore in the year-ago period. The commodity exchange firm’s total income fell to Rs 99.27 crore in the quarter, from Rs 137.52 crore in the same period of last year.

ICRA: The company in a regulatory filing said that N Sivaraman, managing director and group Chief Executive, of the rating agency has resigned with immediate effect citing personal reasons. He joined ICRA last year in July 2020. Ramnath Krishnan has been appointed as new MD and group CEO, the rating agency said in a statement.

Ashok Leyland: The company reinforced its commitment towards the youth of Jammu and Kashmir under the union territory’s ‘Project Mumkin’ by providing them a fleet of 500 small commercial vehicles called ‘Dost’. The keys of some of the vehicles were handed over to youths by Union Home Minister Amit Shah. Managing director and chief executive officer, Ashok Leyland, Vipin Sondhi, said, “This partnership is indeed a privilege and an opportunity for the company to contribute towards the welfare of the youth.”

Hindustan Zinc: The company said that the prioritisation of domestic coal supply to the power sector has to “some extent” hit the company. However, it has cushioned itself by tying up imported dry fuel supply till March, a top official of the company said. He added in another two or three months of time domestic coal should be available in sufficient quantity.