If Nifty stays above 6000, which 8 stocks will be in focus???

If Nifty stays above 6000, which 8 stocks will be in focus???

The NSE benchmark 50-share Nifty on Friday reclaimed the 6000-mark encouraged by better-than-expected trade data and Infosys April-June quarter earnings.

The index rose 73.90 points or 1.25 percent to finish at 6009, continuing its uptrend for the second consecutive session. The BSE Sensex advanced 282.41 points or 1.44 percent to end at 19958.47 after hitting an intraday high of 19991.94.

On the macro front, industrial production delivers a rude shock as it contracts 1.6 percent in May and retail inflation for June rises to 9.87 percent. Meanwhile, the June wholesale price index (WPI) is expected today.

Oil marketing companies (OMCs) will be in focus today as weak rupee forces the OMCs to hike petrol prices again by Rs 1.55 per litre.

Stock in news

Meeting between Bajaj Auto management, labour union and Commissioner ends inconclusive. The company says that Labour minister will summon the management this week

Sources indicate that EIL has filed prospectus to sell 10 percent stake via follow on public offer (FPO). The government aims to raise Rs 500 crore via the FPO. 

The Tamil Nadu Chief Minister appoints a team to discuss modalities of divestment in Neyveli Lignite . Further discussion on NLC divestment will be held today.

According to reports Kuwait Airways enters fray to buy stake in Spicejet. It is likely to pick stake short of the 25 percent mark. The deal value is pegged around Rs 1000 crore.

Sadbhav Engineering gets orders worth Rs 184 crore from Gujarat government.

Sources say YES Bank's Rana Kapoor writes to RBI seeking declassification of Madhu Kapoor as non-promoter. Rana Kapoor says Madhu Kapoor does not hold management/board position Rana Kapoor's request part of the Dilution Plan submitted to RBI in 2012.

Earnings

Exide's April-June quarter earnings will be announced today. A CNBC-TV18 poll sees profit rising 5 percent to Rs 160 crore from Rs 152 crore. 
 
Revenue may rise over 7 percent as the company will benefit from demand uptick in 4-wheeler replacement battery segment and that will offset slowdown in OEM batteries and industrial battery segment. Margins are likely to be stable since despite the lead prices rising by 7 percent YoY in rupee terms in first quarter, this will be offset by price hikes taken in Q4 to the tune of 5-6 percent, which are expected to aid margins in Q1 due to lag effect.

Oberoi Realty too will report numbers today. It expects a drop in sales, firstly on account of a general slowdown coupled with a delay in receiving the nod for Esquire and secondly on account of exhaustion of inventory at Splendour.

Global cues

In Asia, China has reported second quarter gross domestic product (GDP) at 7.5 percent (Y-o-Y) and up 1.8 percent Q-o-Q. This is inline with what was being estimated.

Asian markets are mixed ahead of China's second quarter GDP as well as industrial production data expected today. Japanese markets are shut for trade.

Federal Reserve Chairman Ben Bernanke is to appear for the semi-annual congressional testimony on Wednesday and Thursday.

The euro is holding above 1.30 to the dollar. The dollar index is around 83 levels. In commodities, Brent Crude is trading close to USD 109 after touching a low of USD 107.28 per barrel. Nymex too saw a one dollar gain but it's still below the 16-month high.

From precious metals space, gold is trading at USD 1280 an ounce.

To know more what's happening in the market contact NIVA CAPITAL ADVISORY or visit www.nivaca.com. PHONE NUMBER:- 

+91 90360 55100/200/300

Read More

Hold Hexaware Technologies, says Sanjeev Agarwal

Sanjeev Agarwal, CEO of Dynamix Research & Capital Management told CNBC-TV18, "Hexaware Technologies  had given a breakout at Rs 94 and this has been one of the very strong shares. I have been advocating most of the shares that belongs to IT pack should do very well. Overall this move is not going to end. We have a target of around 67 by next September as per the technical structure of the rupee/dollar chart and whatever RBI is going to do may succeed in a short-term in holding dollars for little lower price but overall I feel the dollar has to go up to 65-67 by next year."

"Seeing that I feel these IT stocks should do very well particularly those stocks where the hedging has not been done completely so as to get the benefit of complete rise on that. Overall, I feel these stocks will get much better order also because they will be much cheaper comparatively to other players like local players in US or anywhere in the world because of the rupee's very fast depreciation," he said.

"I feel in the coming year, we are going to get the benefit of the rupee depreciation in all these stocks. So definitely, one should hold and add more towards Rs 95-100 if at all it comes back to that level."

To know more what's happening in the market contact NIVA CAPITAL ADVISORY or visit www.nivaca.com.
 PHONE NUMBER:- 

+91 90360 55100/200/300

Read More

Global markets near 5-yr high on Abe 

win, though earnings weigh

NEW YORK: World stock prices rose near five-year highs on Monday on growing investor optimism after Japanese Prime Minister Shinzo Abe strengthened his power base, adding weight to his plans to jumpstart the world's third-biggest economy.

Investors' mood was also helped by a pledge from G20 nations on Saturday to put growth before austerity to revive the global economy, which the bloc said was "too weak."

The yen rebounded after an initial dip in Tokyo, but many traders viewed the bounce as temporary in view of Abe's upper house election win on Sunday.

Riskier assets, including peripheral euro zone bonds, got a boost after Portugal's president moved to keep the country's coalition government intact, patching over recent troubles.

However, disappointing earnings from McDonald's mitigated the upbeat mood as the US fast-food giant posted weaker-than-expected results.

"McDonald's (earnings) headlines were a little weak but I think we are still in the strong start of the earnings season," said Ryan Detrick, senior technical strategist at Schaeffer's Investment Research in Cincinnati, Ohio.

News of a surprise drop in US existing home sales also tempered the initial buying ofequities and other risky assets.

"The risk is the macro backdrop doesn't come through quite as strong as some of the companies are looking at, and that could be a negative factor for them," said Investececonomist Victoria Clarke in London.

MSCI's world index, which tracks stocks in 45 countries, gained 0.44 per cent to 375.51, helped by a 0.47 per cent rise in Tokyo's Nikkei index. It was about 7 points below a five-year high set in late May.

In midday trading, the Dow Jones industrial average was up 12.56 points, or 0.08 per cent, at 15,556.30. The Standard & Poor's 500 Index was up 3.27 points, or 0.19 per cent, at 1,695.36. The Nasdaq Composite Index was up 11.69 points, or 0.33 per cent, at 3,599.31. Both the S&P 500 and the Dow hit all-time highs last week.

In Europe, upbeat results from Dutch electronics maker Philips and Swiss Banks UBS and Julius Baer boosted European share prices, but some profit-taking emerged, reducing their early gains.

The pan-European FTSEurofirst 00 index provisionally closed 0.14 per cent higher at 1,210.70, adding to its month-to-date gain of 5.5 per cent.

"We might consolidate here a bit after the rally but we are not entering a correction or anything. The market is shaking off the bad news from Google and Microsoft already," and that shows the upward momentum is strong, Schaeffer's Detrick said, referring to sub-par results from the two technology companies last week.

The slight pause in the summer stock rally provided a boost for low-risk government debt in the wake of remarks from US Federal Reserve Chairman Ben Bernanke that signaled the central bank will leave short-term rates near zero for a long time.

The benchmark 10-year US Treasury note yield dipped to 2.473 per cent, its lowest level in over two weeks. German Bund futures were little changed at 144.24.

CHOPPY YEN The yen bounced back after an initial dip in Tokyo trading on some dollar selling by Japanese investors, which in turn triggered stop-loss selling in thin summer conditions.

"Japanese portfolio outflows is what will drive the yen lower in coming months... Confidence from this victory can be constructive but these outflows will be a slow-moving process," said Ned Rumpeltin, head of G-10 FX strategy at Standard Chartered Bank in London.

The dollar was down 1 per cent on the day at 99.61 yen , a turnaround from an Asian session high of 100.70. The euro was 0.4 per cent lower at 131.42 yen, well off an early high of 132.29.

The dollar index was 0.5 per cent lower, slipping further away from a 3-year high set earlier this month.

Commodities were mostly firmer thanks to the softer dollar. Spot gold rose to its highest level in a month and last traded up 2.8 per cent at $1,332.36 an ounce, while copper gained 1.6 per cent to $7,023.75 a tonne.

Oil prices turned lower, erasing early gains. Brent crude in London fell 23 cents to $107.84 a barrel, while US crude was down $1.11 at $106.94 after hitting a near 16-month peak of $109.32 earlier.

To know more what's happening in the market 

contact NIVA CAPITAL ADVISORY or visit 

www.nivaca.com. 

PHONE NUMBER:- 

+91 90360 55100/200/300

Read More

World stocks near 5-year high on Japan elections; yen jumps

                               

NEW YORK: World stock prices rose to near five-year highs on Monday on growing investor optimism after Japanese Prime Minister Shinzo Abe strengthened his power base, adding weight to his plans to jumpstart the world's third-biggest economy.

Investors' mood was also helped by a pledge from the Group of 20 on Saturday to put growth before austerity, seeking to revive a global economy that the bloc described as "too weak."

The yen rebounded after an initial dip in Tokyo, but many traders viewed the bounce as temporary in view of Abe's upper house election win on Sunday.

Riskier assets, including peripheral euro zone bonds, got a boost after Portugal's president moved to keep the country's coalition government intact, patching over recent troubles.

However, disappointing earnings from McDonald's mitigated the upbeat mood for equitiesas the US fast-food giant posted weaker-than-expected results.

"McDonald's (earnings) headlines were a little weak, but I think we are still in the strong start of the earnings season," said Ryan Detrick, senior technical strategist at Schaeffer's Investment Research in Cincinnati, Ohio.

Data showing a surprise drop in US existing-home sales in June also tempered the initial buying of equities and other risky assets.

"The risk is the macro backdrop doesn't come through quite as strong as some of the companies are looking at, and that could be a negative factor for them," said Investec economist Victoria Clarke in London.

MSCI's world index, which tracks stocks in 45 countries, gained 0.43 per cent to 375.47, helped by a 0.47 per cent rise in Tokyo's Nikkei index. It was about 7 points below a five-year high set in late May.

In late afternoon trading, the Dow Jones industrial average was up 7.72 points, or 0.05 per cent, at 15,551.46. The Standard & Poor's 500 Index was up 3.46 points, or 0.20 per cent, at 1,695.55. The Nasdaq Composite Index was up 11.89 points, or 0.33 per cent, at 3,599.51.

Both the S&P 500 and the Dow hit all-time highs last week following a moderate pullback of fears that the Federal Reserve might reduce its bond-purchase stimulus later this year if the economy improves further.

In Europe, upbeat results from Dutch electronics maker Philips and Swiss banks UBS and Julius Baer boosted European share prices, but early gains were pared as profit-taking emerged.

The pan-European FTSEurofirst 00 index ended 0.14 per cent higher at 1,210.70, adding to its month-to-date gain of 5.5 per cent.

"We might consolidate here a bit after the rally but we are not entering a correction or anything. The market is shaking off the bad news from Google and Microsoft already," and that shows the upward momentum is strong, Schaeffer's Detrick said, referring to sub-par results from the two technology companies last week.

The slight pause in the summer stock rally provided further support for low-risk government debt in the wake of remarks from US Federal Reserve Chairman Ben Bernanke that signaled the central bank will leave short-term rates near zero for a long time even if it stops purchasing bonds.

The benchmark 10-year US Treasury note yield earlier touched 2.465 per cent, its lowest level in over two weeks, before turning back to 2.493 per cent, which was unchanged from late on Friday.

German Bund futures were little changed at 144.19.

Choppy yen

The yen bounced back after an initial dip in Tokyo trading on some dollar selling by Japanese investors, which in turn triggered stop-loss selling in thin summer conditions.

"Japanese portfolio outflows is what will drive the yen lower in coming months. ... Confidence from this victory can be constructive but these outflows will be a slow-moving process," said Ned Rumpeltin, head of G-10 FX strategy at Standard Chartered Bank in London.

The dollar was down 1 per cent on the day at 99.62 yen , a turnaround from an Asian session high of 100.71. The euro was 0.45 per cent lower at 131.35 yen, well off an early high of 132.43.

The dollar index was 0.45 per cent lower at 82.235, slipping further away from a three-year high set earlier this month.

Commodities were mostly firmer thanks to the softer dollar. Spot gold recorded its biggest-single day gain in more than a year to its highest level in a month. It last traded up almost 3 per cent at $1,333.49 an ounce.

Copper gained 1.6 per cent to $7,023.75 a tonne. Oil prices were mostly lower, erasing early gains. Brent crude in London eked out an 8 cent, or 0.07 per cent, gain at $108.15 a barrel, but US crude settled down $1.14, or 1.06 per cent, at $106.91 after hitting a near 16-month peak of $109.32 on Friday.

To know more what's happening in the market contact NIVA CAPITAL ADVISORY or visit www.nivaca.com. PHONE NUMBER:- 

+91 90360 55100/200/300

Read More

JK Lakshmi Cement may move up 8-10%: SP Tulsian

                                                     
SP Tulsian of sptulsian.com told CNBC-TV18, "Expecting positive numbers in JK Lakshmi Cement  because of their margins and the profitability they have been delivering. It used to rule at a level of about Rs 100 or so, but having corrected to Rs 75 and generally with the good numbers we have been seeing, the informed buying coming in into the stock."

"So keeping a positive view on the stock that after the results it may move up by about maybe 8-10 percent," he said.

Monsoon hit sales; see 6% demand growth in FY14: JK Lakshmi

Early onset of monsoons and low demand has hit sales volumes in June says Shailendra Chouksey, wholetime director, JK Lakshmi Cement  . In an interview to CNBC-TV18, Chouksey says rural demand will pick up post the monsoons.

                                

He says the company can grow around 5.5-6 percent. However, he has ruled out the possibility of any price correction in the products.

"With heavy dependence on rail, the surge in the railway freight increase has definitely impacted the costing of both the input and the output. Hence, it has already put lot of pressure on the pricing.

To know more what's happening in the market contact NIVA CAPITAL ADVISORY or visit www.nivaca.com. PHONE NUMBER:- 

+91 90360 55100/200/300

Read More

Angel Broking neutral on Rallis India

"For 1QFY2014, Rallis India (RAIL)'s consolidated net sales grew by 20.0 percent yoy to Rs 409cr. The OPM for the quarter stood at 12.9 percent, i.e an expansion from 11.0 percent in 1QFY2013. The yoy expansion in the OPM resulted in a 22.8 percent yoy rise in the company's adjusted net profit to Rs 35cr. Going forward, we expect RAIL to register a CAGR of 14.8 percent and 12.4 percent in net sales and profit respectively, over FY2013-15."

"RAIL's revenue for the quarter grew by 20.0 percent yoy to Rs 409cr. On the operating front, the gross margin came in at 48.3 percent, up 3.1 percent. The OPM expanded to 12.9 percent in 1QFY2014 vs 11.0 percent in 1QFY2013. This resulted in a growth in the adjusted net profit by 22.8 percent yoy to Rs 35cr."

Outlook and valuation: "The Management is confident about the long-term prospects of the agrochemicals industry. We expect RAIL to register a CAGR of 14.8 percent and 12.4 percent in net sales and profit respectively, over FY2013-15. At the current levels, the stock is trading at a fair valuation of 20.0x FY2015E EPS. Hence, we maintain our Neutral recommendation on the stock," says Angel Broking research report.

To know more what's happening in the market contact NIVA CAPITAL ADVISORY or visit www.nivaca.com. PHONE NUMBER:- 

+91 90360 55100/200/300

Read More

Accumulate Larsen and Toubro; target Rs 1091: P Lilladher

"L&T has changed its presentation style, giving subcategories within the E&C segment. Broadly, the E&C division in Q1FY14 registered a revenue growth of 9.6 percent, E&E business at 3.9 percent, MIP and others segment reported a de-growth of 5.4 percent and 11 percent, respectively. Within E&C, Infrastructure (EBITDA margin at 11.8 percent, up 30bps YoY), Hydrocarbon (EBITDA margin at 6.7 percent, down 240bps YoY) and Heavy engineering (EBITDA margin at 13.4 percent, down 1730bps YoY) grew by 23 percent, 23 percent and 67 percent, respectively. On the other hand, MMH (EBITDA margin at 16 percent, up 300bps YoY), Power (EBITDA margin at 8.6 percent, up 120bps YoY), and Others (EBITDA margin at 0.7 percent, down 2190bps YoY) de-grew by 17 percent, 44 percent and 15 percent, respectively. E&A sales and margins were flat YoY, while MIP sales were up by 8 percent, with 230bps margins dip YoY."

 

Valuations and our take: "The key to the stock performance ahead would be the pickup in domestic execution. E&C margins in Q1FY14 were down by 60bps YoY, which again would be a worry, especially if the international revenues go up in FY14E. However, margin erosion should be arrested, considering share of International orders in the order book is 12 percent. On core P/E basis, L&T is trading at 12.1x FY14E and 10.3x FY15E. On a consolidated basis, it trades close to 13.4x FY15E (consensus estimates). However, the stock has corrected sharply post results and thus it gives an opportunity to enter as the long term story still remains intact. Maintain 'Accumulate' with a target price of Rs 1,091," says Prabhudas Lilladher research report.

To know more what's happening in the market contact NIVA CAPITAL ADVISORY or visit www.nivaca.com. PHONE NUMBER:- 

+91 90360 55100/200/300

Read More

Accumulate Supreme Industries; target Rs 420: Dolat Capital

"Supreme Industries (SIL) for Q4FY13 has reported net revenues at Rs 10.2bn (Dolat Est. Rs 11.1bn), growth of 11.9 percent YoY on the back of decent revenue growth of ~13.4 percent YoY in its plastic piping segment. On the other hand, while packaging & consumer product segment grew 7 percent & 6 percent YoY respectively, the industrial product segment de-grew by 2.7 percent YoY for the quarter under review. Overall the volume growth was quite impressive with 17.7 percent YoY growth at 80,327 tonnes (Dolat estimates at 79,500 tonnes)."

"In Q4FY12, SIL had an outstanding operating performance with margins in excess of 19 percent largely attributed to high inventory gains. Despite the higher base effect on YoY basis, SIL continued to post healthy operating performance with strong EBIDTA margin of 18.4 percent in Q4FY13. This resulted in EBIDTA growing by 7.1 percent YoY to Rs 1.88bn (Dolat estimates at Rs 1.63bn). SIL’s operating margins were lower by 80bps YoY but higher by 350bps QoQ (Dolat estimates at 14.8 percent) due to: a) strong 19 percent margins (an increase of 200 bps YoY) reported by plastic piping segment (55 percent of overall revenues) and b) inventory gains."

"Profits from the core business (adjusted for construction business profits & excluding share of associates) grew by 5.6 percent to Rs 990mn (Dolat estimates at Rs 835mn) as compared to Rs 937mn. On consolidated basis (including share of associates & construction business), SIL has reported a YoY growth of 14.6 percent to Rs 1.09bn from Rs 950mn YoY."

To know more what's happening in the market contact NIVA CAPITAL ADVISORY or visit www.nivaca.com. PHONE NUMBER:- 

+91 90360 55100/200/300

Read More

mcx tips nivaca

Gold:-

MCX Goldpetal August contract trades lower

At 16:09 hrs MCX GOLDPETAL July contract was trading at Rs 2733 down Rs 3, or 0.11 percent. The GOLDPETAL rate touched an intraday high of Rs 2745 and an intraday low of Rs 2730. So far 12324 contracts have been traded. GOLDPETAL prices have moved up Rs 17, or 0.63 percent in the July series so far.

MCX GOLDPETAL August contract was trading at Rs 2747 down Rs 4, or 0.15 percent. The GOLDPETAL rate touched an intraday high of Rs 2755 and an intraday low of Rs 2742. So far 7224 contracts have been traded. GOLDPETAL prices have moved up Rs 40, or 1.48 percent in the August series so far.

MCX GOLDPETAL September contract was trading at Rs 2755 down Rs 2, or 0.07 percent. The GOLDPETAL rate touched an intraday high of Rs 2762 and an intraday low of Rs 2750. So far 567 contracts have been traded. GOLDPETAL prices have moved up Rs 178, or 6.91 percent in the September series so far.

Silver:-

Silver prices on MCX declined. At 14:59 hrs MCX SilverSeptember contract was trading at Rs 41885 down Rs 349, or 0.83 percent.

                    

                                                    

The Silver rate touched an intraday high of Rs 42222 and an intraday low of Rs 41865. So far 8419 contracts have been traded. Silver prices have moved down Rs 15434, or 26.93 percent in the September series so far.

Crude oil:-

Crude oil futures extended the rally rising to 16 month high above USD 108 a barrel in the Asia electronic session today buoyed by strong data from US and the fall in inventories. Light, sweet crude for August delivery are trading up 10 cents at USD  108.12 per barrel on the New York Mercantile Exchange. Yesterday, it settled USD 1.56, or 1.5 percent, higher at USD 108.04 a barrel. That's its highest finish . The clearest sign of the development has been a steep drop in U.S. oil inventories, down 27 million barrels in the last three weeks, after setting records earlier this year.

Analysts said the contract took cues from economic headlines pointing to stronger growth in the U.S., the world's largest oil consumer. The market was also lifted by a rising U.S. stock market, seen as a barometer of broader economic health.

The Labor Department said initial claims for unemployment benefits in the U.S. fell by 24,000 to a seasonally adjusted 334,000 . Economists had expected 340,000 new jobless claims. Separately, the Philadelphia Fed’s manufacturing survey in July surged to 19.8 from 12.5, marking the highest level .

Natural gas:-

The natural gas pricing reforms initiated by the government will help bring to production at least 12 Trillion cubic feet or nearly four KG-D6-sized gas fields, Bank of America Merrill Lynch said in a report.

The government on June 27 approved pricing of domestic gas at an average cost of imported LNG into India and global gas hub prices from April 1, 2014 which would double the rate of USD 4.2 per million British thermal unit.

                                                     

Nickel :-

Nickel prices have been continuously taking support around Rs 790 mark and couldn’t close below 800 since last 12-14 weeks on MCX. Prices bounced back last week to 843 and made a highest weekly close after 6 weeks. MACD which has given a positive crossover and difference in histogram also turned positive indicating that the prices are more likely to move further up. We believe nickel prices are more likely to trigger upside to Rs 930-960 levels in the coming weeks.

Outlook: We expect the Nickel prices to test Rs 930-960 levels in the short run, Buy Nickel on dips Aug Contract between Rs 840-850 stoploss below Rs 800 on daily closing basis for the target of Rs 930-960.

Zinc:-

Hind Zinc Q1 net up 5% on good show from lead & zinc biz

Hindustan Zinc  has reported a 5 percent year-on-year rise in June quarter profit to Rs 1660 crore on improved margins in its copper, lead and silver business. The Vedanta-group company’s sales also rose 8 percent YoY to Rs 2939 crore on higher volumes and weaker rupee, partly offsetting lower metal prices.

Its income from 'zinc, lead and silver division grew 9 percent to Rs.2,874 crore. However, wind energy segment witnessed 8 percent decline to RS 65 crore.

EBITDA (earnings before interest, tax, depreciation and amortisation) grew 6 percent to Rs 1506 crore.

The firm said itachieved integrated refined zinc production of 173,000 MT, up around ten percent YoY on higher smelter utilisation rate, while integrated refined saleable silver production was up  nine percent to 77 MT on higher contribution from Sindesar Khurd and Zawar mines.However,integrated refined lead production during the quarter was flat at 29 MT.

The company said it has cash and cash equivalents of Rs.22,365 crore, of which Rs.14,743 crore is invested in debt mutual funds, Rs.2,217 crore in bonds, and Rs.5,398 crore in fixed deposits with banks

Agnivesh Agarwal, chairman Hindustan Zinc said that the firm is committed to consistently delivering superior performance in future too. 

Shares of the company declined over two percent to Rs 104.20 post earnings announcement.

To know more what's happening in the market contact NIVA CAPITAL ADVISORY or visit www.nivaca.com. PHONE NUMBER:- 

+91 90360 55100/200/300

Read More