MarketBuzz
1254: Marketbuzz Podcast With Hormaz Fatakia: Vedanta, Biocon, Vodafone Idea in focus
Good morning and welcome to CNBC TV18's Market Bus Podcast. I am Hermes Patakya. It is the final full trading day of this week and it is very difficult to describe this market in words or in objectives. Now until 3 p.m. yesterday it was turning out to be just another dull day for the market even negative for the bulls as the nifty instead of crossing 20 to 300 on the upside was threatening to break 22,000 again on the downside but what followed in the next half an hour took the bears by surprise and possibly the bulls as well but for the latter in a good way the nifty recovered more than 350 points from the days low in just 30 minutes and let alone 22,300 the index even closed above the 22,400 mark that was the weekly expiry for you it gave both the bulls and the bears an opportunity provided one hand the presence of mine and of course some luck to go their way to now nifty chart observers were citing 20 to 300 as the key level for the nifty with that taken out they see upsides of at least another 200 points with the next level of resistance showing up between 20 to 500 and 20 to 600 the same is the case for the nifty bank as well but here despite that 600 point recovery that it saw from the lows of the day it continues to face resistance at that 48,000 mark it did cross that level yesterday on an intraday basis but it could not sustain above it so it remains to be seen if that level is crossed in today's trading session the bulls were hoping for a positive handover from Wall Street as well after the Dow Jones crossed the mark of 40,000 for the first time on Thursday but that is not the case it could not sustain at those levels and eventually gave up all the games and ended lower even the S&P 500 and the NASDAQ ended the session with losses modest but losses nonetheless as a result the rally across the Asia Pacific has also taken a pause with the Japanese and Korean indices have opened lower the gift nifty as we speak is indicating a flattest start for our own markets as well the plenty of big stocks are in focus today after they announced their results after market hours on Thursday and also because of their respective news flow the first up is Vodafone idea where the net lost for the March quarter widened but that is due to higher interest cost the revenue and EBITDA remained flat while ARPU saw a marginal improvement on a sequential basis to 146 rupees subscriber loss for Vodafone idea is also lesser than the earlier quarters now the company over the next three years is anticipating K-PEX to be in the tune of 50,000 crores to 55,000 crore rupees biosimilars delivered a positive surprise for Biocon in the March quarter EBITDA and margins were both higher than expectations and it also achieved the billion-dollar revenue milestone for the year led by the biologics business the company also saw increased market share for key products in the US, Europe and key emerging markets the biosimilars business also saw significant volume growth so we'll keep an eye out on Biocon as well now Vodafone has approved its first interim dividend for FY 25 which is 11 rupees a share similar to what it had announced in December of last year now this will result in a total outgo of 4,089 crores of which the promoter will get 2,533 crores now this will help the promoter which is Vedanta resources service a part of their annual debt obligations the company has also approved an equity fund raise to the tune of eight and a half thousand crore rupees and they will also invest in Vedanta Copper International to set up a 125 ktpa copper rod plant in Saudi Arabia so we'll keep an eye out on Vedanta as well now a block deal is likely to take place in PB fintech today wherein confirmation of a CNBC TV80 news break promoters are indeed planning to sell up to 1.86% of the total equity through these block deals now the offer size is set to be worth 1,053 crores and the floor price is fixed at 1,258 rupees a share the promoters are saying that the proceeds from this block deal will be used for tax purposes and ESOP exercises and the promoters have also assured investors that no further stake sale is in the offing for at least the next 12 months. JK papers results may leave the street a little disappointed as their profit fell the revenue was also flat but the Abitta fell over a quarter declining 26% from last year the margin also narrowed down to just 20.8% from 28.1% last year so it's an 800 basis point contraction when it comes to the margins the company said that a significant increase in raw material costs and lower realizations across categories has impacted the performance on a year on your basis they also said that selling prices continue to remain under pressure due to an increase in exports plenty of other names like corn core, thrivainy turbines, Crompton grease, prince pipes, endurance technologies, IFL securities, nominee metals among others will be reacting to their results that were reported after marketers yesterday among results today JSW steel is the nifty component reporting results while astral, banthan bank, Balrampulchini, GMR power, gothrich industries, phoenix mills, polyplex, RCF it's a long list and all of these broader market names will also be reporting their March quarter results today. Now keep an eye out on Mahindra and Mahindra as well because their numbers came during marketers yesterday but the stock reacted to it as well. Now Jeffries has upgraded the stock to a buy and has revised its price target higher to 2910 rupees. Morgan Stanley also remains overweight on the stock and has raised its price target to 2665. Now aside of the markets Prime Minister Narendra Modi will be in Mumbai today addressing a gathering at Shivaji Park. A traffic advisory has been issued for the same you can read more details about these traffic diversions and other details on cnbctv18.com and plan your travels accordingly. That's all for today we hope you have a wonderful trading day and Monday will be an important day as the city goes to the polls so remember to head to the polling station before you utilize that market holiday. For the sharpest market insights though stay tuned to cnbctv18 and cnbctv18.com you (upbeat music)