Newsletter: 03rd March 2025

TVS Motors Reports Strong Growth

Aaj Ka Bazaar

Wall Street indices ended higher on Friday, driven by gains in tech stocks. The S&P 500 rose by 1.59%, the Nasdaq was up by 1.63%, and the Dow Jones Industrial Average increased by 1.39%. Markets in the Asia-Pacific region opened higher despite concerns about tariffs on Canada, Mexico and China. Following the strong positive trend in global markets, Indian benchmark indices are expected to open on a positive note, as indicated by the GIFT Nifty trading in positive territory. The recovery in GDP growth from a seven-quarter low is also expected to boost market sentiment.  On the stock-specific front, RailTel Corporation of India has received a work order worth ₹26.4 crore from the Cuttack Development Authority. Additionally, it has secured another work order valued at ₹37.2 crore from the Madhya Pradesh State Electronics Development Corporation. The company will provide 14 units of a billboard system, including hardware and AMC, along with command and control support for three years at various locations in Cuttack City.

Markets Around Us

BSE Sensex73,397.63 (0.27%)

Nifty 5022,187.35 (0.28%)

Bank Nifty48,257.35 (-0.18%)

Dow Jones43,178.43 (-0.14%)

Nasdaq 18,550.63 (-2.75%)

FTSE 8,756.21 (0.28%)

Nikkei 22536,999.65 (-3.28%)

Hang Seng 23,139.65 (-2.40%)

Sector: 2/3 Wheelers

TVS Motor share price rises 3% on better sales data

TVS Motor Company’s share price rose 3% after the company reported strong sales for February 2025. At 09:24 AM, the stock was trading at Rs 2,287.55, up 2.79%. The company’s overall sales increased by 10% to 4,03,976 units, compared to the same month last year. In the two-wheeler segment, sales grew by 10%, with domestic sales up 3%. The motorcycle segment saw a 5% growth, while the scooter segment rose by 24%. Electric vehicle sales jumped 34%. TVS also reported a 26% rise in international exports. Additionally, the company launched new three-wheeler models in Mexico and signed an agreement with Karnataka for a Rs 2,000 crore investment in a global capability centre. TVS Motor had a 4.2% profit increase for Q3 and a 10% rise in revenue. Its stock is currently trading 24.77% below its 52-week high and 18.81% above its 52-week low.

Why it Matters:

TVS Motor’s strong sales growth signals a healthy business performance, boosting investor confidence. The company’s expansion into international markets and new product launches also suggest future growth potential. The positive financial results and strategic investments make the stock attractive to traders and investors.

 NIFTY 50 GAINERS

M&M– 2652.55 (2.61%)

ULTRACEMCO – 10388.40 (2.57%)

GRASIM – 2358.10 (2.23%)

NIFTY 50 LOSERS

INDUSINDBK – 995.85 (-3.46%)

COALINDIA – 358.95 (-2.82%)

RELIANCE – 1168.70 (-2.62%)

Sector: Fintech

Paytm Faces ED Show Cause Notice

Shares of Paytm’s parent company, One97 Communications, are in the spotlight on March 3 after it received a notice from the Enforcement Directorate (ED) for violating the Foreign Exchange Management Act (FEMA). The notice is related to the company’s acquisitions of Little Internet Private Limited (LIPL) and Nearbuy India Private Limited (NIPL) between 2015 and 2019. The ED has accused the company and its subsidiaries of breaching FEMA rules during this period, involving transactions worth over Rs 245 crore for One97 Communications, Rs 345 crore for LIPL, and Rs 21 crore for NIPL. The notice also involves some of the company’s past and current directors. Paytm clarified that this issue will not affect its services to consumers or merchants, which remain secure and fully operational. The company is seeking legal advice to resolve the matter in line with the law.

Why it Matters:

The ED’s notice on FEMA violations raises regulatory concerns for Paytm’s parent company, potentially affecting investor confidence. The legal issue could lead to financial penalties or operational restrictions if not resolved. However, Paytm reassured that its services remain unaffected, minimizing immediate risks.

Desh Duniya Bazaar

Around the World

Asian stocks rebounded at the start of the month, following a strong finish on Wall Street, with Chinese shares rising after positive factory activity data. Investors were cautiously waiting for U.S. President Trump’s decision on trade tariffs, which is expected this week, but there’s some hope for softer measures. Last week, U.S. stock indexes ended higher, with inflation data meeting expectations. Despite a tough previous session for Asian stocks, including a tech sell-off, the mood improved after U.S. Commerce Secretary hinted at less aggressive tariffs. Major Asian markets, including Japan’s Nikkei and Hong Kong’s Hang Seng, saw strong gains on Monday. China’s Shanghai Composite also rose after better-than-expected manufacturing data showed a 3-month high in activity. Investors are closely watching China’s upcoming Two Sessions meetings for signals on economic policies, with expectations for measures to stabilize the economy, amid slow growth and a struggling property sector.

Option Traders Corner

Max Pain

Nifty 50 – 22450

Bank Nifty – 49100

Nifty 50 – 22226 (Pivot)

Support – 22,002, 21,881, 21,657

Resistance – 22,348, 22,572, 22,693

Bank Nifty – 48332 (Pivot)

Support – 48,090, 47,836, 47,594

Resistance – 48,586, 48,828, 49,082

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India’s Retail Investor Surge: Market Participation Hits Record Highs in 2024

India’s stock market has seen a 36% rise in retail participation, with over 50 million investors active by 2024. This surge is driven by increased financial literacy, digital trading platforms, and government initiatives. Systematic Investment Plans (SIPs) have also gained popularity, with monthly contributions hitting ₹14,000 crore in early 2025. These trends reflect growing confidence in India’s equity markets.

Newsletter: 28th February 2025

Transrail Bags ₹2,752 Cr Orders

Aaj Ka Bazaar

The sell-off on Wall Street also came as President Donald Trump clarified that previously paused 25% tariffs on imports from Mexico and Canada will go into effect on March 4. Asian equities fell Friday after heavy selling on Wall Street as traders grappled with underwhelming Nvidia Corp. results, further details on US tariffs and mixed economic data. Indian market may also drift lower on Friday after US President Donald Trump said his proposed 25% tariffs on Mexican and Canadian goods would take effect on March 4, along with an extra 10% duty on Chinese imports over the fentanyl opioid crisis. India’s Q3 GDP data is due later in the day, and it is estimated that weak urban consumption, along with moderation in real estate activity, will likely drag economic growth. On stock-specific news, A Singrauli Punarasthapan charge of Rs 300 per tonne, over and above the notified price of coal, will be levied uniformly across all mines of Northern Coalfields (Coal India subsidiary) effective May 1. The expected additional revenue will be around Rs 3,877.50 crores.

Markets Around Us

BSE Sensex74,607.56 (0.01%)

Nifty 5022,324.95 (-0.98%)

Bank Nifty48,308.95 (-0.89%)

Dow Jones43,178.43 (-0.14%)

Nasdaq 18,550.63 (-2.75%)

FTSE 8,756.21 (0.28%)

Nikkei 22536,999.65 (-3.28%)

Hang Seng 23,139.65 (-2.40%)

Sector: Heavy Electrical Equipment

Transrail Secures ₹2,752 Cr Orders, Shares Surge

Transrail Lighting’s stock surged over 6% in early trade on Friday after securing ₹2,752 crore worth of new orders in the Transmission & Distribution (T&D) segment, pushing its total order book beyond ₹7,400 crore. This marks a nearly 90% growth in order inflows compared to last year. The company, a key player in EPC projects across T&D, Civil, Railways, and Lighting, has a strong execution track record with over 200 completed projects in 58 countries. Despite this boost, Transrail’s stock has declined 3% in the past month and over 11% year-to-date. The stock had a strong IPO debut in December 2024, listing with a 36% gain, but has since dropped over 11% from its peak of ₹719.15 in January. With a growing order pipeline, solid manufacturing capacity, and execution strength, the company expects positive growth in the coming quarters, making it one to watch for traders and investors.

Why it Matters:

Transrail Lighting’s ₹2,752 crore order win significantly strengthens its order book to ₹7,400 crore, reflecting a strong growth trajectory in the Transmission & Distribution sector. This highlights the company’s increasing competitiveness and ability to secure large projects, reinforcing confidence in its long-term potential.

 NIFTY 50 GAINERS

COALINDIA– 372.45 (2.36%)

SHRIRAMFIN – 618.00 (1.85%)

GRASIM – 2347.95 (0.34%)

NIFTY 50 LOSERS

INDUSINDBK – 990.30 (-5.39%)

M&M – 2631.10 (-3.50%)

TECHM – 1533.05 (-3.48%)

Sector: Pharma

Mankind Pharma's Merger Approved by NCLT

Mankind Pharma has received approval from the National Company Law Tribunal (NCLT) for the merger of Shree Jee Laboratory, JPR Labs, and Jaspack Industries, with the official merger date set as April 1, 2024. Once the order is filed with the Registrar of Companies, the three companies will be dissolved and integrated into Mankind Pharma. The company, known for pharmaceutical formulations and consumer healthcare brands like Manforce, Prega News, and Unwanted 72, continues to hold strong market positioning. Mankind Pharma’s stock had a strong debut in May 2023, listing at ₹1,422 per share—a 31.7% premium over its issue price. It later peaked at ₹3,054 in December but has since declined by 25% to ₹2,294 due to a broader market sell-off. Despite recent weakness, the merger is expected to strengthen the company’s operations, potentially improving long-term growth prospects.

Why it Matters:

Mankind Pharma’s merger with Shree Jee Laboratory, JPR Labs, and Jaspack Industries strengthens its business by integrating key subsidiaries, enhancing operational efficiency. The stock, which once peaked at ₹3,054, has dropped 25% due to market sell-offs, making it a crucial watch for investors. This consolidation could drive long-term growth, reinforcing Mankind Pharma’s leadership in pharmaceuticals and consumer healthcare.

Desh Duniya Bazaar

Around the World

Asian stocks fell sharply on Friday, led by declines in Japan and South Korea, as local tech shares followed a major sell-off in Nvidia on Wall Street. Despite strong earnings, Nvidia’s stock dropped due to concerns over profit margins, impacting global tech stocks. Japan’s Nikkei 225 lost 3.2%, with SoftBank and Tokyo Electron falling over 5%, while South Korea’s KOSPI declined 3.1% as Samsung and SK Hynix tumbled. Indian and Australian markets also opened lower. Meanwhile, Hong Kong stocks gained nearly 15% in February, driven by optimism around DeepSeek, a Chinese AI company rivaling OpenAI, boosting Alibaba and Xiaomi shares. In Japan, inflation slowed to 2.2% in February but remained above the Bank of Japan’s target for the fourth straight month. Industrial production fell 1.1% in January but is expected to rise in February, signaling cautious optimism. Investors are closely watching U.S. inflation data, which could influence future interest rate decisions.

Option Traders Corner

Max Pain

Nifty 50 – 22600

Bank Nifty – 49500

Nifty 50 – 22555 (Pivot)

Support – 22,497, 22,450, 22,392

Resistance – 22,602, 22,660, 22,707

Bank Nifty – 48781 (Pivot)

Support – 48,589, 48,435, 48,244

Resistance – 48,935, 49,126, 49,280

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India’s Retail Investor Surge: Market Participation Hits Record Highs in 2024

India’s stock market has seen a 36% rise in retail participation, with over 50 million investors active by 2024. This surge is driven by increased financial literacy, digital trading platforms, and government initiatives. Systematic Investment Plans (SIPs) have also gained popularity, with monthly contributions hitting ₹14,000 crore in early 2025. These trends reflect growing confidence in India’s equity markets.

Newsletter: 27th February 2025

Tata Power’s Green Push

Aaj Ka Bazaar

The US market ended mixed overnight after President Trump threatened to slap a 25% tariff on imports from the European Union and indicated that the effective date of the levies on imports from Mexico and Canada could be pushed back from March 4th to April 2nd, the same day he purportedly plans to announce reciprocal tariffs on other US trade partners. Asian markets clung to modest gains this morning, even as Chinese and Hong Kong stocks slipped into the red after sharp gains in the previous session. Indian market looks set for a muted start on Thursday due to prevailing uncertainty over US President Donald Trump’s trade policies and ongoing FII selling. Moody’s Ratings said India has a lower overall exposure to the US than others in the APAC region, although specific sectors such as food, textiles and pharmaceutical products face risks. Moody’s said most companies in its rated portfolio are domestic-focused with limited exposure to the US market.

Markets Around Us

BSE Sensex74,607.56 (0.01%)

Nifty 5022,555.00 (0.03%)

Bank Nifty48,827.55 (0.45%)

Dow Jones43,448.17 (0.03%)

Nasdaq 19,058.81 (0.01%)

FTSE 8,731.46 (0.72%)

Nikkei 22538,072.79 (-0.17%)

Hang Seng 23,535.80 (-1.07%)

Sector: Power

Tata Power Signs MoU, Shares Fall

Tata Power’s share price dropped by 1.08% to Rs 347.25 on February 27, despite the company signing an agreement with the Assam government to develop up to 5000 MW of renewable energy. The project will involve an investment of Rs 30,000 crore over the next five years and include solar, wind, hydro, and energy storage projects. The Assam government will help by providing about 20,000 acres of government land and supporting infrastructure development for better transmission connectivity. Tata Power also signed an MoU with Assam Power Distribution Company to boost renewable energy adoption. Despite the positive developments, Tata Power’s share price fell. On the financial side, Tata Power reported a 10% growth in its Q3 net profit, reaching Rs 1,188 crore, and a 3% increase in revenue to Rs 15,793 crore. Moody’s upgraded Tata Power’s outlook to positive, citing the company’s strong performance and growing renewable business.

Why it Matters:

Tata Power’s partnership with the Assam government signals major growth in renewable energy, which could boost long-term profits. The Rs 30,000 crore investment enhances the company’s clean energy portfolio. Despite positive developments, the drop in share price highlights market volatility or investor caution.

 NIFTY 50 GAINERS

SHRIRAMFIN- 598.00 (4.14%)

JSWSTEEL – 974.25 (1.62%)

BAJFINANCE– 8621 (1.56%)

NIFTY 50 LOSERS

ULTRACEMCO – 10535.05 (-3.91%)

BAJAJ-AUTO – 8264.15 (-1.83%)

M&M – 2750.70 (-0.98%)

Sector: Stockbroking

Nuvama Wealth Stock Rises as PAG Divest

Shares of Nuvama Wealth Management are being closely watched on February 27 as PAG, an Asian private equity firm backed by Blackstone, is considering selling its majority stake of over 54%. PAG is working with financial advisers to explore options, which could include a full or partial sale. Nuvama’s shares have dropped 19% this year, bringing its market value to $2.3 billion, but the stock has still risen 114% since its debut in September 2023. While talks are in the early stages, some global asset managers and financial firms have shown interest in acquiring the company. Nuvama, which was previously known as Edelweiss Wealth Management, provides wealth management and financial services to high-net-worth individuals, businesses, and institutional clients. In its latest financial report, Nuvama posted a 30% year-on-year increase in revenue and a 43% rise in net profit for the December quarter.

Why it Matters:

Akzo Nobel India’s sale of key businesses to its parent enhances financial independence by eliminating royalty payments and improving margins. The move streamlines its focus on liquid paints and coatings while securing its long-term growth. A potential full exit could significantly impact the company’s valuation and future strategy.

Desh Duniya Bazaar

Around the World

Asian stocks mostly fell on Thursday, with investors not reacting strongly to positive earnings from Nvidia, which reported strong results but saw its stock drop 2% in after-hours trading. The decline followed concerns over external factors affecting Nvidia’s long-term outlook, especially shifting trends in AI and the rise of more efficient models. Technology stocks in the region, including suppliers to Nvidia like TSMC and SK Hynix, also dropped. Hong Kong’s Hang Seng index fell 0.6% after reaching a three-year high, as investors took profits following a strong AI-driven rally. Mainland China’s markets also retreated amid ongoing trade concerns, particularly with the U.S. The broader Asian markets showed mixed performance, with Australia’s ASX 200 rising 0.4% on strong earnings from local companies, while Japan’s TOPIX gained 0.5%. Investors are waiting for key U.S. economic data, including GDP and inflation figures, which could influence global markets.

Option Traders Corner

Max Pain

Nifty 50 – 22535

Bank Nifty – 48939

Nifty 50 – 22562.07 (Pivot)

Support – 22,499, 22,450, 22,387

Resistance – 22,610, 22,673, 22,722

Bank Nifty – 48668.75 (Pivot)

Support – 48,474, 48,340, 48,146

Resistance – 48,802, 48996, 49,130

 Have you checked our latest YouTube Video

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India’s Retail Investor Surge: Market Participation Hits Record Highs in 2024

India’s stock market has seen a 36% rise in retail participation, with over 50 million investors active by 2024. This surge is driven by increased financial literacy, digital trading platforms, and government initiatives. Systematic Investment Plans (SIPs) have also gained popularity, with monthly contributions hitting ₹14,000 crore in early 2025. These trends reflect growing confidence in India’s equity markets.

Newsletter: 25th February 2025

Zomato Set for Growth

Aaj Ka Bazaar

The US market experienced fluctuations before closing mixed overnight. The S&P 500 declined by 0.5%, and the tech-heavy Nasdaq Composite fell by 1.2%, as significant technology stocks lost ground amid concerns regarding narratives driven by artificial intelligence. Increased trade tensions also kept investors on edge, particularly after President Trump’s announcement that the tariffs planned for Canada and Mexico would move forward as scheduled once the month-long delay concludes next week. The absence of significant US economic data may have contributed to the choppy trading ahead of the Federal Reserve’s preferred inflation readings released on Friday. This morning, Asian markets opened significantly lower, with benchmark indexes in New Zealand, Japan, and Hong Kong experiencing drops of 1-2%. The Indian market is expected to open flat on Tuesday in light of the global weakness. The Gift Nifty suggests a marginal decline at the opening. Weak sentiment may continue due to concerns over tariffs and anticipation of results from tech giant Nvidia, along with the forthcoming inflation data from the Federal Reserve.

Markets Around Us

BSE Sensex74,729.36 (0.37%)

Nifty 5022,601.25 (0.21%)

Bank Nifty48,786.25 (0.30%)

Dow Jones43,581.94 (0.28%)

Nasdaq 19,287.27 (-1.21%)

FTSE 8,658.98 (0.00%)

Nikkei 22538,370.36 (-1.05%)

Hang Seng 23,196.33 (-0.62%)

Sector: E-Retail/ E-Commerce

Bernstein Predicts Zomato Rally to ₹310

Global brokerage firm Bernstein remains positive on Zomato, maintaining an ‘outperform’ rating with a target price of ₹310, indicating a potential 39% upside. While competition in quick commerce is rising with aggressive expansion by Zomato, Swiggy, and Zepto, Bernstein believes the focus is now on both growth and profitability. Even with intensifying competition, price wars are expected to remain limited due to Swiggy’s lower margins. Bernstein sees Zomato strengthening its leadership in quick commerce, which it predicts will outpace other retail channels, especially with expansion into Tier 2 cities. Initially seen as a niche for high-end urban customers, quick commerce is now appealing to a broader consumer base. Zomato’s stock has gained attention as it will soon be included in the Nifty 50 index. Additionally, Zomato has rebranded itself as Eternal, signaling its ambition to expand beyond food delivery. At 9:16 AM, its shares were trading at ₹226.15 on the NSE.

Why it Matters:

Zomato’s strong position in quick commerce and its inclusion in the Nifty 50 index make it a key stock to watch. Bernstein’s bullish stance suggests significant growth potential despite rising competition. The company’s rebranding to Eternal signals broader ambitions beyond food delivery, making it a long-term investment consideration.

 NIFTY 50 GAINERS

M&M– 2769.75 (2.33%)

BAJAJFINSV – 1891.65 (1.82%)

BAJFINANCE– 8465 (1.32%)

NIFTY 50 LOSERS

HINDALCO – 624.8 (-2.66%)

COALINDIA – 360.15 (-1.27%)

LT – 3222.1 (-1.09%)

Secto: Paints

Akzo Nobel Sells Business to Parent

Akzo Nobel India’s stock is in focus after it agreed to sell its powder coatings business and R&D center to its Netherlands-based parent for ₹2,073 crore and ₹70 crore, respectively. The parent will also acquire intellectual property rights for the decorative paints business in India, Bangladesh, Bhutan, and Nepal for ₹1,152 crore. This move will make Akzo Nobel India more independent, eliminating ongoing royalty payments and improving margins and cash flow. The company aims to focus on liquid paints and coatings while reducing reliance on its parent. Akzo Nobel, Europe’s largest paintmaker, began reviewing its India business last year and plans to retain its industrial coatings division for now. However, a complete exit could push the total deal value to $2.2 billion. Selling the industrial coatings business may be complex due to intellectual property protections and long-term contracts, including those with the Indian Navy. Akzo Nobel India’s market cap currently stands at $1.75 billion.

Why it Matters:

Akzo Nobel India’s sale of key businesses to its parent enhances financial independence by eliminating royalty payments and improving margins. The move streamlines its focus on liquid paints and coatings while securing its long-term growth. A potential full exit could significantly impact the company’s valuation and future strategy.

Desh Duniya Bazaar

Around the World

Asian stocks mostly fell on Tuesday as technology shares declined ahead of Nvidia’s earnings report. A Bloomberg report about the U.S. tightening chip export restrictions to China added to concerns, especially after Trump called for stricter scrutiny of Chinese investments. Wall Street’s tech sell-off also weighed on Asian markets, with Hong Kong’s Hang Seng dropping 2%, Japan’s Nikkei 225 down 0.9%, and Taiwan’s TSMC slipping 1.4%. Investors are cautious about Nvidia’s earnings, which could provide insights into AI demand. China’s stock rally cooled, with the CSI 300 and Shanghai Composite falling 0.9% and 0.5%, respectively. South Korea’s KOSPI dropped 0.4%, but losses were limited after the central bank cut interest rates. Japan’s TOPIX fell 0.2%, though gains in major trading houses—boosted by Warren Buffett’s investment—helped offset losses. Australia’s ASX 200 declined 0.6%, Singapore’s market remained flat, and Indian markets faced continued selling pressure.

Option Traders Corner

Max Pain

Nifty 50 – 22590.35

Bank Nifty – 48768.60

Nifty 50 – 22580.07 (Pivot)

Support – 22,492, 22,430, 22,342

Resistance – 22,641, 22,729, 22,790

Bank Nifty – 48560.75 (Pivot)

Support – 48,373, 48,094, 47,906

Resistance – 48,839, 49,027, 49,306

 Have you checked our latest YouTube Video

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India's Mutual Fund Industry Sees 40% Growth

The total equity assets under management of India’s domestic mutual fund industry reached ₹33.4 trillion in 2024, marking a 40% increase compared to the previous year, according to Motilal Oswal’s Fund Folio Report.

Weekly Report: 24th February 2025

Weekly Trend Report

Week Gone By

The key equity indices witnessed major losses during the week, ending low due to concerns over global headwinds, including potential U.S. tariffs, persistent U.S. inflation, and the Federal Reserve’s cautious stance on rate cuts. The Nifty 50 ended slightly lower by 0.58% at 22,795.90, while the Sensex declined by 0.83% settling at 75,311.06. The HSBC Flash India Composite Output Index. Witnessed its fastest expansion since August 2024 with index rising to 60.6 in February up from 57.7 in January. Despite this, the HSBC Flash India Manufacturing PMI slipped to 57.1 in February but managed to remain above its long run average of 54.1. Globally, Japan’s GDP grew by2.8%YoY. The People’s Bank of China held the 1-year loan prime rate unchanged at 3.1%, and the 5-year LPR at 3.6%. Further, the minutes from the Fed’s January meeting showed policymakers remained hesitant about lowering interest rates amid persistent inflation and economic uncertainty.

Week Ahead

Next week, investor sentiment will be shaped by a blend of domestic and global developments, with key economic data points coming into focus. On the domestic front, India will see the release of Q4 GDP data on Friday, February 28, 2025, following a slower expansion of 5.4% in the previous quarter. The market will also be influenced by the Mahashivratri holiday on Wednesday, February 26, when the Indian stock exchanges will remain closed. Globally, the US will see several key data releases, including Durable Goods Orders for January on Thursday, February 27, and the Q4 GDP Second Estimate on the same day. Additionally, data for the US Core PCE Price Index, Personal Income, and Personal Spending for January will all be released on Friday, February 28, 2025. These developments, coupled with the ongoing concerns surrounding US tariffs, inflation, and the Federal Reserve’s cautious approach, are expected to keep markets on edge.

Technical Overview
  • Nifty closed at 22,795, losing 133 points (-0.58%) for the week, marking its weakest close since May 24.
  • The index remains in a crucial zone between 22,800 – 22,700, making it a wait-and-watch scenario.
  • Indian markets opened on a weak note and continued to decline throughout the day, dragged down by financial and auto stocks.
  • Global concerns, FII selling, and US tariff worries further dented investor sentiment.
  • After opening 146 points lower, Nifty briefly recovered to fill the gap but faced a sharp sell-off from 22,921, correcting nearly 200 points intraday.
  • Derivative data suggests a bearish bias, with strong call writing at 23,000 (1.09 Cr contracts), indicating firm resistance. Significant put writing at 22,000 (94.62 L contracts) highlights solid lower support.
  • The Put-Call Ratio (PCR) dropped to 0.73 from 0.81, signaling that sellers hold the upper hand.
  • Max Pain at 23,000 suggests that while buyers absorb declines, market stability remains uncertain.
  • Immediate resistance stands at 23,000, while 22,700 is key support. A breakout beyond this range will determine the next trend.
  • Until a clear breakout occurs, it is advisable to stay on the sidelines for index trades.

To view the detailed report click here to   Download 

Newsletter: 24th February 2025

IndiGo Stock Hits New High

Aaj Ka Bazaar

Wall Street plunged on Friday when the Dow Jones Industrial Average posted its worst day of 2025. The sell-off came after the University of Michigan released a report showing consumer sentiment in the US deteriorated by much more than previously estimated in February. Asian markets traded mixed this morning, with upcoming quarterly results from AI darling Nvidia and the Federal Reserve’s preferred readings on consumer price inflation in focus. Indian market looks set to open on a sluggish note Monday after US markets crashed on Friday amid economic slowdown worries. As we advance, continued foreign fund outflows and concerns over US President Donald Trump’s tariff stance in his second term in office may also keep investors on edge in a holiday-shortened week. On stock-specific news, Coal India has executed a non-binding shareholders’ agreement (SHA) term sheet with EDF India to form a joint venture to undertake PSP projects and other renewable energy projects in India and neighboring countries.

Markets Around Us

BSE Sensex74,568.86 (-0.99%)

Nifty 5022,573.90 (-0.97%)

Bank Nifty48,432.25 (-1.12%)

Dow Jones43,617.47 (0.44%)

Nasdaq 19,533.49(-2.15%)

FTSE 8,659.37 (-0.04%)

Nikkei 22538,776.94 (0.00%)

Hang Seng 23,289.17 (-0.81%)

Sector: Airline

InterGlobe Aviation Shares Rally Continues

InterGlobe Aviation (IndiGo) shares continued their upward streak for the sixth day, rising to ₹4,543, marking a 7% gain. Citi analysts raised their target price to ₹5,200 and maintained a positive outlook due to rising air traffic and IndiGo’s strong market share. Increased passenger traffic to Uttar Pradesh airports for Maha Kumbh has boosted demand. Despite Q3 profit falling 18% YoY to ₹2,449 crore, revenue grew 14% to ₹22,111 crore, driven by a 12% rise in available seat kilometers and a 13.5% increase in revenue passenger kilometers. Higher operational costs pushed up non-fuel costs by 23.1% YoY, impacting margins, though EBITDAR grew 10.7% to ₹6,059 crore. Jefferies also raised its target price to ₹5,260, citing IndiGo’s dominant 60% market share and capacity expansion while competitors face constraints. This, along with rival airlines’ higher cost structures, strengthens IndiGo’s market position and pricing power.

Why it Matters:

IndiGo’s strong market position and rising air traffic demand make it a key player in the aviation sector, attracting positive outlooks from analysts. Despite cost pressures, its capacity expansion gives it an edge over competitors, supporting long-term growth. The stock’s upward momentum and revised target prices indicate strong investor confidence.

 NIFTY 50 GAINERS

DRREDDY– 1167 (1.32%)

EICHERMOT – 5013.75 (1.03%)

M&M – 2689.75 (0.76%)

NIFTY 50 LOSERS

WIPRO – 296.45 (-3.23%)

HCLTECH – 1652.1  (-2.86%)

INFY – 1773.45 (-2.29%)

Secto: IT Enabled Services

IT Stocks Drop on US Slowdown Fears

IT stocks fell sharply on February 24 as concerns over a slowing US economy led to heavy selling, particularly in export-dependent firms like L&T Technology Services and Persistent Systems, which dropped up to 5.5%. US consumer sentiment hit a 15-month low, inflation expectations rose due to proposed tariffs, and business activity declined, raising fears of stagflation—slow growth with rising prices. This weak outlook impacts Indian IT companies, which rely on the US for a major share of revenue. By 10:45 AM, the Nifty IT index was down 2.5%, making it the worst-performing sector. Global uncertainty has also triggered foreign investors to pull out ₹36,977 crore from Indian equities in February, though domestic institutional investors have stepped in, buying ₹42,601 crore worth of shares. With fears of stagflation reducing foreign investment appeal, Indian IT firms face short-term pressure despite their long-term growth potential.

Why it Matters:

A weakening US economy and rising inflation fears could slow demand for Indian IT services, impacting revenue and profitability. Stagflation concerns make emerging markets like India less attractive to foreign investors, leading to potential outflows. This puts pressure on IT stocks in the short term, affecting market sentiment and valuations.

Desh Duniya Bazaar

Around the World

Most Asian stocks fell on Monday, tracking Wall Street’s decline due to concerns over a slowing U.S. economy and new trade tariffs. Tech stocks in Hong Kong paused their rally ahead of Nvidia’s key earnings, with major suppliers like SK Hynix and TSMC dropping. Alibaba limited losses after announcing a $52 billion AI investment. Australia’s ASX 200 struggled after five losing sessions but saw some recovery in bank stocks. Software firm Wisetech plunged 23% after board resignations, while Block Inc dropped 10% on weak earnings. Falling commodity prices dragged down BHP and Rio Tinto. Japan’s markets were quiet due to a holiday, but Nikkei 225 futures rose 0.4%. China’s stocks dipped slightly after strong AI-driven gains last month. Meanwhile, India’s Nifty 50 futures pointed to a positive start, as local stocks looked set for bargain buying after a prolonged selloff. Markets remain cautious ahead of key economic data and Nvidia’s earnings.

Option Traders Corner

Max Pain

Nifty 50 – 22578.25

Bank Nifty – 48427.15

Nifty 50 – 22812.4 (Pivot)

Support – 22703, 22,611, 22,503

Resistance – 22,904, 23,013, 23,105

Bank Nifty – 49017.25 (Pivot)

Support – 48,727, 48,474, 48,185

Resistance – 49,270, 49,559, 49,813

 Have you checked our latest YouTube Video

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India's Mutual Fund Industry Sees 40% Growth

The total equity assets under management of India’s domestic mutual fund industry reached ₹33.4 trillion in 2024, marking a 40% increase compared to the previous year, according to Motilal Oswal’s Fund Folio Report.

Newsletter: 21th February 2025

New Leadership Boosts Religare Stock

Aaj Ka Bazaar

The US frontlines registered a decline on Thursday’s trading session, with S&P snapping its two-day string of registering record highs and DJIA exhibiting the steepest loss amongst the three. The weak sentiments dominated the market after Walmart’s dampened forecast on consumer demand. The Asian markets remain mixed, with the Nikkei posting a weak debut on account of a stronger Yen and weakness in auto amidst the tariff concerns while Hang Seng remains strong. The Indian markets are expected to make a tepid start, as indicated by Gift Nifty, with weakness likely to persist, given the overall weak global market sentiments.

Markets Around Us

BSE Sensex75,453.16 (-0.37%)

Nifty 5022,816.45 (-0.42%)

Bank Nifty48,957.65 (-0.76%)

Dow Jones44,195.15 (0.04%)

Nasdaq 19,967.41 (-0.44%)

FTSE 8,662.97 (-0.57%)

Nikkei 22538,709.25 (0.09%)

Hang Seng 23,238.42 (2.85%)

Sector: Investment Company

Burman family secures control, shares rise

Religare Enterprises’ shares jumped over 9% on February 21 after the Burman family secured majority control and became the company’s promoters. Their ₹2,116 crore open offer to acquire an additional 26% stake saw weak response, with only 0.07% equity tendered. Despite this, the Burmans now own 25.16% of Religare through entities like Finmart, Puran Associates, VIC Enterprises, and Milky Investment. The family, known for its stake in Dabur and Eveready, had gradually increased its holdings, buying a 3.6% stake for ₹277 crore in January 2024. Moving forward, they aim to stabilize the company, improve governance, and drive sustainable growth. Religare’s leadership and board will work with them to refine strategy and maximize long-term value. Shares were trading at ₹239.09 on the NSE at 9:34 AM. Traders see this as a shift in control that could bring structural improvements, while younger investors may find it a sign of renewed direction for the company.

Why it Matters:

The Burman family’s control of Religare Enterprises signals potential stability, better governance, and long-term growth, which could boost investor confidence. For traders, this shift may lead to structural improvements and better financial performance. For young investors, it highlights how strategic ownership changes can reshape a company’s future.

 NIFTY 50 GAINERS

HINDALCO– 650.1 (1.77%)

EICHERMOT – 4948.15 (1.22%)

NTPC – 328.4 (1.00%)

 

NIFTY 50 LOSERS

M&M – 2738.55 (-3.55%)

DRREDDY – 1150.35  (-1.76%)

ULTRACEMCO – 11089.9 (-1.75%)

Secto: Hotels & Resorts

Indian Hotels rises on Morgan Stanley call

Indian Hotels’ stock rose 2% to ₹776 on February 21, continuing its five-day winning streak after Morgan Stanley maintained an ‘overweight’ rating with a price target of ₹856, indicating a 12.5% upside from its last close of ₹761. Despite a 13% drop in 2024, strong support from Mumbai’s hospitality market and rising revenue per available room (RevPAR) in key cities like Mumbai and Delhi have boosted confidence. The company reported a solid Q3 performance with a 29% YoY profit increase to ₹582 crore, driven by 29% revenue growth to ₹2,592 crore and EBITDA expansion to ₹1,020 crore. Margins improved to 39.4%, fueled by new businesses and steady demand in existing hotels. Analysts expect continued growth supported by weddings, events, and business travel. As of 9:20 AM, shares were at ₹775, up 1.8% on the NSE. For traders, this signals resilience, while young investors see long-term potential in the sector.

Why it Matters:

Indian Hotels’ strong performance and Morgan Stanley’s bullish outlook suggest potential upside, attracting traders and long-term investors. Rising revenue, profit growth, and demand resilience indicate stability in the hospitality sector. For young investors, it highlights how market trends and analyst ratings influence stock movements.

Desh Duniya Bazaar

Around the World

Asian stocks traded in a narrow range on Friday as concerns over U.S. trade tariffs and high interest rates persisted, while Alibaba’s strong earnings fueled a rally in Hong Kong. Japanese markets were flat after higher-than-expected inflation data raised expectations of more Bank of Japan rate hikes. China’s mainland stocks lagged as an AI-driven rally cooled, though Alibaba’s 8.5% surge lifted Hong Kong’s Hang Seng by over 2%, boosting stocks like Tencent andJD.com. Japan’s inflation hit a two-year high, strengthening the case for more rate hikes, but factory activity remained weak. Australia’s ASX 200 fell 0.2% as investors took profits, though Domain Holdings jumped 50% on a $1.7 billion takeover offer. South Korea’s KOSPI dipped 0.2% amid political jitters, while Singapore’s market stayed flat. India’s markets faced pressure from economic slowdown fears and potential U.S. tariffs, with Nifty 50 futures signaling a weak open.

 Have you checked our latest YouTube Video

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India's Mutual Fund Industry Sees 40% Growth

The total equity assets under management of India’s domestic mutual fund industry reached ₹33.4 trillion in 2024, marking a 40% increase compared to the previous year, according to Motilal Oswal’s Fund Folio Report.

Newsletter: 20th February 2025

Patanjali Rises on Legal Win

Aaj Ka Bazaar

The US stock market showed modest gains on Wednesday, with all three major indices registering slight increases as participants absorbed the Federal Reserve’s meeting minutes and Trump’s proposed tariffs. In Japan, the Nikkei index traded in the red, mainly due to pressure on the auto sector and a stronger yen. This negative sentiment extended across other Asian markets, including the Hang Seng index in Hong Kong, which reflected similar cautious sentiments amidst ongoing trade uncertainties. Market participants in Asia were primarily concerned about the potential ramifications of the tariff plans on global trade dynamics. Given this backdrop, it is anticipated that Indian bourses will move in tandem with their Asian counterparts. Market sentiments in India are expected to remain weak amidst heightened volatility. The GIFT Nifty, which serves as an indicator of the Indian market’s performance, is pointing towards a negative start. Investors in India are likely to be cautious as they navigate through the uncertainties related to global trade and the implications of the Fed’s meeting minutes.

Markets Around Us

BSE Sensex75,631.09 (-0.41%)

Nifty 5022,861.15 (-0.31%)

Bank Nifty49,222.65 (-0.70%)

Dow Jones44,535.67 (-0.21%)

Nasdaq20,056.84 (0.08%)

FTSE 8,712.53 (-0.62%)

Nikkei 22538,589.69 (-1.47%)

Hang Seng 22,627.51 (-1.40%)

Sector: Edible Oil

Supreme Court Relief Boosts Patanjali Stock

Patanjali Foods’ stock rose over 1% to ₹1,847 on February 20, marking its third consecutive session of gains after the Supreme Court dismissed a ₹186 crore tax demand related to the pre-CIRP period. The tax dispute, spanning multiple years, was previously struck down by the NCLT and upheld by the Bombay High Court. The Income Tax Department challenged this in the Supreme Court, which rejected the petition on January 15, 2025. Patanjali Foods only became aware of the verdict on February 18, confirming that the liability no longer exists and will have no financial impact. The stock reacted positively to the news. In Q3FY25, the company reported a 71.3% jump in net profit to ₹370.9 crore, with revenue rising 15.1% to ₹9,103 crore. However, weak demand and high costs affected FMCG sales and margins. At 9:20 AM, shares traded at ₹1,836, up 0.7% on NSE.

Why it Matters:

The Supreme Court’s dismissal of the ₹186 crore tax demand removes a financial overhang, boosting investor confidence in Patanjali Foods. Strong Q3 earnings signal the company’s growth, but challenges like weak demand and rising costs persist. The stock’s positive reaction reflects market optimism despite ongoing industry pressures.

 NIFTY 50 GAINERS

HINDALCO– 638.65 (1.97%)

SHRIRAMFIN – 566.95 (1.64%)

CIPLA – 1480.05 (1.09%)

NIFTY 50 LOSERS

MARUTI – 12430.9 (-2.01%)

HDFCBANK – 1692.7 (-2.00%)

ITC – 402.3 (-1.01%)

Secto: Microfinance Institutions

Karnataka Microfinance Woes Hit CreditAccess

Goldman Sachs reports that microfinance collection efficiency in Karnataka has dropped to 87-95% in February due to an ordinance banning unregulated microfinance activities. This has led to a liquidity crunch, rising stress, and slowing disbursements, impacting formal lenders. CreditAccess Grameen is the most affected, as Karnataka accounts for 31% of its loan book and holds a 19% market share in the state. The brokerage estimates a 15-37% hit to its pre-tax profit for incremental loss rates of 2-5% on its Karnataka portfolio. As a result, its stock fell 3% to ₹866.35 on NSE and has plunged over 40% in the past year. Other listed players with Karnataka exposure, like L&T Finance, IndusInd Bank, Bandhan Bank, and AU Small Finance Bank, are expected to see limited profit impact (1-3%). L&T Finance has macro-rural provisions of ₹900 crore, cushioning its exposure.

Why it Matters:

The drop in microfinance collection efficiency in Karnataka signals rising stress in the sector, impacting lender profitability and market confidence. CreditAccess Grameen, with high exposure, faces significant earnings risk, leading to sharp stock declines. While other lenders have limited impact, the situation raises concerns about regulatory risks and liquidity challenges in microfinance.

Desh Duniya Bazaar

Around the World

Most Asian stock markets fell on Thursday due to concerns over high U.S. interest rates and new trade tariffs. Hong Kong’s Hang Seng dropped 2.2% as an AI-driven rally lost momentum, with tech stocks like Baidu and Alibaba sliding. Japan’s Nikkei 225 fell 1.7% as Trump announced 25% tariffs on automobiles, semiconductors, and pharmaceuticals, hurting Toyota and Honda. South Korea’s KOSPI slipped 0.6%, while Australia’s ASX 200 lost 1.3% amid fears that commodity exports could be affected. Strong Australian jobs data also raised concerns that the central bank may stay cautious on future rate cuts. Chinese markets dipped slightly, with the Shanghai Composite down 0.2%, but losses were limited as Trump hinted at a possible trade deal. India’s Nifty 50 futures pointed to a flat open, reflecting trade worries. Overall, uncertainty over U.S. policies and slowing AI momentum weighed on sentiment across Asian markets.

 Have you checked our latest YouTube Video

Did you know?

India's Mutual Fund Industry Sees 40% Growth

The total equity assets under management of India’s domestic mutual fund industry reached ₹33.4 trillion in 2024, marking a 40% increase compared to the previous year, according to Motilal Oswal’s Fund Folio Report.

Newsletter: 19th February 2025

Tata Motors’ Big Upside

Aaj Ka Bazaar

After an extended weekend, the US indices highlighted a rather mixed trend, wobbling between red and green before ending their day on a flat, albeit positive note. The mixed sentiment comes after the market prepares to wrap up its quarterly earnings, with Fed minutes coming up in the week and geopolitical uncertainty. On the Asian front, Nikkei exhibited a mixed debut as well, with sell-off amidst automaker shares offset the buying in banks amidst the rising yields in Japan. Meanwhile, Hang Seng made a weak start, however, the index is on its way to make a recovery. Domestically, the D-street are expected to make a flattish start accompanying a positive bias, as indicated by GIFT Nifty. We believe that markets could be under pressure today as US tariffs expectations continue to scare the overall global sentiments.

Markets Around Us

BSE Sensex75,956.62 (-0.01%)

Nifty 5022,928.95 (-0.07%)

Bank Nifty49,383.95 (0.60%)

Dow Jones44,595.73 (0.09%)

Nasdaq20,032.62 (0.03%)

FTSE 8,766.73 (0.01%)

Nikkei 22539,098.17 (0.44%)

Hang Seng22,911.68 (-0.38%

Sector: Passenger Cars & Utility Vehicles

Stock Surge on CLSA Rating Upgrade

Tata Motors’ stock rose 1% to ₹688 on February 19 after CLSA upgraded its rating to “high-conviction outperform” with a target price of ₹930, signaling a potential 36.3% upside. Despite a 12% decline in the past month and being 50% below its all-time high, CLSA sees this as a strong buying opportunity. Jaguar Land Rover (JLR) is trading at a low valuation of 1.2x FY27 EV/EBITDA versus its usual 2.5x, offering a cushion against risks like US tariffs and weak demand. A cyclical recovery in the commercial vehicle segment from FY27 could boost valuations soon. In Q3 FY25, Tata Motors’ net profit fell 22% to ₹5,451 crore, missing estimates, while revenue rose 2.7% to ₹1,13,575 crore. EBITDA margin improved to 7.8% due to cost-cutting. EV sales grew 19%, but fleet demand dropped post-FAME II subsidy expiry. The company expects gradual demand recovery, backed by infrastructure growth and stable interest rates.

Why it Matters:

Tata Motors’ upgrade by CLSA signals strong growth potential, with a 36.3% upside despite recent stock declines. JLR’s low valuation provides a safety net against market risks, while a commercial vehicle recovery could boost future earnings. Improving margins and stable interest rates support long-term confidence in the company’s growth.

 NIFTY 50 GAINERS

BEL– 250.15 (2.27%)

TATASTEEL – 136.42 (1.40%)

NTPC – 315.3 (1.32%)

NIFTY 50 LOSERS

DRREDDY – 1151.4 (-3.84%)

SUNPHARMA – 1672.6 (-1.70%)

TCS – 3809.55 (-1.64%)

Secto: Cellular & Fixed line services

Airtel Stake Sale to Refinance Loans

Bharti Airtel conducted a block deal worth ₹8,475 crore on February 18, with promoter entity Indian Continent Investment selling a 0.9% stake. The company will use the proceeds to refinance loans taken for its investment in British Telecom (BT). Bharti Telecom, another promoter, bought 1.2 crore shares, while global and domestic investors, including Goldman Sachs, GQG Partners, SBI Life, and Vanguard, also participated. Airtel’s Q3 FY25 net profit surged 505% to ₹14,781 crore, driven by a one-time gain from Indus Towers’ consolidation, while revenue grew 19% YoY to ₹45,129 crore. The company added 0.6 million postpaid customers, expanding its base to 25.3 million. Despite a nearly 1% drop in stock price to ₹1,656 at 10:30 am, Airtel shares have gained 45% in the last year, reflecting strong market confidence. The block deal saw major institutional investors acquiring significant stakes, reinforcing positive sentiment around the company’s financial health.

Why it Matters:

Bharti Airtel’s stake sale helps refinance loans tied to its British Telecom investment, strengthening its financial position. The participation of major global investors signals strong confidence in the company’s growth. Despite a slight stock dip, Airtel’s 45% yearly gain and rising market share highlight its long-term potential.

Desh Duniya Bazaar

Around the World

Most Asian stocks fell on Wednesday after U.S. President Trump threatened new 25% tariffs on cars, pharmaceuticals, and semiconductors, but South Korea’s KOSPI surged 1.8% to a five-month high on strong tech stocks. Japan’s Nikkei and TOPIX dropped 0.4% and 0.3%, while Hong Kong’s Hang Seng was the worst performer, down 0.7%. Despite the tariff concerns, markets showed resilience, as past threats have sometimes been used as negotiation tactics. China’s markets gained 0.7%, driven by optimism in AI and government support for private businesses. Samsung and SK Hynix jumped 2-4%, helping KOSPI recover losses from political turmoil. Singapore’s Straits Times rose 0.4%, supported by strong bank earnings, though United Overseas Bank dipped. U.S. stock futures stayed steady, with the S&P 500 hitting a record high. Traders are now watching for Federal Reserve signals and key economic data, while India’s Nifty 50 faces pressure from potential U.S. trade tariffs.

Option Traders Corner

Max Pain

Nifty 50 – 22928.50

Bank Nifty – 49414.85

Nifty 50 – 22913.1 (Pivot)

Support – 22,833, 22,722, 22,642

Resistance – 23,024, 23,104, 23,215

Bank Nifty – 49076.93 (Pivot)

Support – 48,825, 48,563, 48,311

Resistance – 49,338, 49,590, 49,852

 Have you checked our latest YouTube Video

Did you know?

India's Mutual Fund Industry Sees 40% Growth

The total equity assets under management of India’s domestic mutual fund industry reached ₹33.4 trillion in 2024, marking a 40% increase compared to the previous year, according to Motilal Oswal’s Fund Folio Report.

Newsletter: 18th February 2025

EV Growth Drives Shares

Aaj Ka Bazaar

The US bourses were closed on Monday on account of President’s Day. The Asian market exhibited a positive bias, with Nikkei posting gains, tracking the optimism from the European markets, improved geopolitical outlook and upbeat GDP front. Hang Seng continues its upward trend buoyed by its tech boom. Domestically, the markets are expected to make a weak start, as per the cue from GIFT Nifty. We expect a bounce back in sentiments as the day progresses, which would largely be on the back of a positive peer outlook and easing global sentiments.

Markets Around Us

BSE Sensex75,966.07 (-0.04%)

Nifty 5022,921.80 (-0.16%)

Bank Nifty49,071.25 (-0.38%)

Dow Jones44,577.47 (0.07%)

Nasdaq20,037.25 (0.46%)

FTSE 8,768.01 (0.41%)

Nikkei 22539,437.49 (0.67%)

Hang Seng23,080.23 (-2.05%)

Sector: Auto Components & Equipments

Uno Minda Expands into EV Powertrains

Uno Minda’s shares rose 2% to ₹909 on February 18 after announcing a joint venture with Suzhou Inovance Automotive and its subsidiary to develop high-voltage EV powertrain products for passenger and commercial vehicles. As part of the deal, Inovance Automotive (HK) will acquire a 30% stake in Uno Minda Auto Innovations, which will now operate as a joint venture with Uno Minda holding 70%. The partnership will manufacture key EV components like charging units, E-axles, inverters, and motors, with operations based in India under both brands. Governance includes an eight-member board, with Uno Minda appointing five directors, including the chairman. This expands their existing collaboration after a technical license agreement in June 2024. Uno Minda recently reported a 20% increase in net profit and revenue. Despite today’s gain, the stock fell over 8% last week and 17% last month. As of 9:40 AM, shares were at ₹900, up 1.2% from the last close.

Why it Matters:

This joint venture strengthens Uno Minda’s position in the growing EV market by expanding its product portfolio with high-voltage powertrain components. Partnering with Inovance Automotive brings advanced technology and expertise, enhancing competitiveness. Despite recent stock declines, the move signals long-term growth potential in India’s evolving EV sector.

 NIFTY 50 GAINERS

TECHM– 1690.15 (1.51%)

WIPRO – 309.8 (1.46%)

APOLLOHSOP – 6359.55 (0.94%)

 

NIFTY 50 LOSERS

GRASIM – 2424.35 (-1.60%)

TATASTEEL – 132.14 (-1.60%)

BEL – 244.65 (-1.55%)

Secto: Electrical Equipment

ABB India Surges 4% on Strong Earnings

ABB India’s shares jumped nearly 4% to ₹5,440 on February 18 after reporting strong Q3 results, breaking a three-day losing streak. The company’s net profit surged 56% to ₹528.41 crore, up from ₹338.68 crore last year, driven by a 22% revenue increase to ₹3,364.93 crore—its highest December-quarter revenue in five years. Sequentially, net profit grew 20% and revenue 16%. For the full year, ABB India recorded its highest-ever order book at ₹13,079 crore and revenue of ₹12,188 crore. However, new orders for the quarter fell 14% due to large one-time orders in 2023. Growth came from strong demand across metals, mining, energy, chemicals, and renewables, with the Process Automation and Robotics segments performing well. The board proposed a ₹33.50 per share final dividend. By 9:20 AM, shares were at ₹5,230, up 3.6% from the last close, though the stock is down 25% year-to-date.

Why it Matters:

ABB India’s strong earnings and record-high order book highlight its resilience and growth potential despite a 25% stock decline this year. The company’s expansion across key industries like energy, mining, and renewables signals long-term demand. Its dividend announcement further boosts investor confidence in future performance.

Desh Duniya Bazaar

Around the World

Most Asian markets rose on Tuesday, with Chinese tech stocks leading the gains ahead of key earnings reports. Hong Kong’s Hang Seng jumped 2% as Alibaba surged nearly 5% and Baidu gained 0.4%, driven by confidence in China’s AI sector. Broader Chinese stocks also saw gains, supported by optimism over AI adoption and economic growth. Meanwhile, Australia’s ASX 200 dropped 0.5% after the Reserve Bank of Australia cut interest rates by 25 basis points but took a cautious stance on further easing due to inflation concerns. Major Australian banks declined, while mining giant BHP rose 0.5% despite reporting its weakest six-month profit in six years. Japan’s Nikkei 225 and TOPIX gained 0.6%, South Korea’s KOSPI rose 0.4%, and Singapore’s Straits Times inched up 0.1%. India’s Nifty 50 futures pointed to a weak open amid concerns over slowing growth and U.S. trade tariffs. U.S. markets were closed Monday, limiting global cues.

Option Traders Corner

Max Pain

Nifty 50 – 22846.70

Bank Nifty – 48922.10

Nifty 50 – 22886.38 (Pivot)

Support – 22,798, 22,637, 22,549

Resistance – 23,047, 23,135, 23,296

Bank Nifty – 49034.5 (Pivot)

Support – 48,750, 48,241, 47,956

Resistance – 49,543, 49,827, 50,336

 Have you checked our latest YouTube Video

Did you know?

India's Mutual Fund Industry Sees 40% Growth

The total equity assets under management of India’s domestic mutual fund industry reached ₹33.4 trillion in 2024, marking a 40% increase compared to the previous year, according to Motilal Oswal’s Fund Folio Report.