Indian equity markets are likely to open on a positive note ahead of the session on Monday, with the SGX Nifty gaining ground, with benchmark indices suggesting a gap-up start for the BSE Sensex, NSE Nifty 50. At first, global signals were positive for trade. “Investors reacted to rising inflation data and its impact on economic growth. Markets hit a roller coaster last week. The expected growth cycle remains a key overhang for the global equity market. Also relentless FII sales in the domestic market have added to the overall downward trend. Although markets are selling well, we expect both weakness and weakness to continue this week and weak global signals. Also, continued FII sales on the index’s heavyweights could limit any potential bounce, “said Siddharth Khemka, Head – Retail Research, Motilal Oswal Financial Services.
Focus stock on Monday, May 16th
Tech Mahindra: IT services firm Tech Mahindra posted a consolidated net profit of 12.15% to Rs 1,545.3 crore for the fourth quarter ended March 31, due to contract wins and vertical growth. In comparison, the firm posted a net profit of Rs 1,378.2 crore for the consecutive quarter ended December 31, 2021. Tech Mahindra had a consolidated net profit of Rs 1,044.3 crore in the fourth quarter a year ago.
Maruti Suzuki: Maruti Suzuki India has completed the process of allocating 800 acres of land in Haryana for its proposed plant, according to a statement from the exchange. It plans to invest over Rs 11,000 crore in the first phase. The first plant with a production capacity of 2.5 lakh vehicles per year is expected to be commissioned by 2025 There will be space to expand the capacity of the site to include more manufacturing plants
Ambuja Cements: The Adani Group said on May 15 that it had entered into a specific agreement to acquire Swiss Cement chief Holcim Ltd.’s business in India – Ambuja Cements and ACC Ltd. – in a deal that would run the infrastructure company run by billionaire Gautam Adani as the second. – The largest cement manufacturer in the country. The deal will be through the Offshore Special Purpose Vehicle, with Holsim Stack and the open offer considered worth about $ 10.5 billion for Ambuja Cements and ACC, making it Adani’s largest acquisition of all time and India’s largest M&A transaction in infrastructure. And materials space, according to a company statement. With this, Adani has now become the second largest cement producer in India with an annual capacity of about 70 metric tons (MTPA).
Eicher Motors: On 13 May, Eicher Motors announced a post-tax profit (PAT) of Rs 610 crore for the quarter ended March 2022, up 16% from Rs 526 crore in the year-ago period. On a sequential basis, profit growth was 34% from Rs 456 crore in the previous quarter. The maker of the iconic Royal Enfield reported 8.6% year-on-year growth in its consolidated revenue, up from Rs 2,940 crore in the same period last year to Rs 3,193 crore. For the full year, from April 2021-March 2022, PAT FY21 jumped 25% to Rs 1,677 crore from Rs 1,347 crore.
Avenue Supermarkets (DMart): Avenue Supermarkets, which owns and operates retail chain D-Mart, increased its consolidated net profit by 3.11% on Saturday to Rs 426.75 crore for the fourth quarter ended March 2022. A year ago, in the January-March quarter, Avenue Supermarkets said in a BSE filing. Its revenue from operations increased by 18.55% to Rs 8,786.45 crore in the quarter under review from Rs 7,411.68 crore in the same quarter of the previous fiscal. Total cost of Avenue Supermarkets rose 18.71% to Rs 8,210.13 crore in the 4th quarter of FY2021-22 from Rs 6,916.24 crore a year ago.
Bank of Baroda: State-owned Bank of Baroda on Friday reported a distinct profit after tax of Rs 1,779 crore for the quarter ended March 2022, helped by higher interest income and the fall in bad debts. The lender had incurred a loss of Rs 1,047 crore in the year-ago period.
Nazara Tech: Digital gaming and sports platform Nazara Technologies on Friday reported a 4.7 crore increase in consolidated profit for the quarter ended March 2022, up nearly 17%. The company had earned Rs 4.2 crore in the same period a year ago.
Quint Digital Media: AMG Media Networks, a unit of billionaire Gautam Adani’s conglomerate Adani Enterprise, will acquire a 49% stake in Raghav Bahal-curated digital business news platform Quintillion Business Media Pvt Ltd for an undisclosed sum, according to a regulatory filing.