RIL, Info Edge, Bharti Airtel, Vodafone Idea, Mindtree, Tatva Chintan IPO, bank stocks in focus
Market participants will first react to IIP and CPI inflation data, that were released post market hours.
Nifty futures surged higher and were trading 137.50 points or 0.88 per cent up at 15,825.50 on Singaporean Exchange. Market participants will first react to IIP and CPI inflation data, that were released post market hours. Moreover, investors will watch first-quarter earnings of FY22, stock-specific development, pace of vaccination drive, new delta variant of COVID, rupee movement against US dollar and crude oil prices. Technical analysts say that for almost 27 days, the market has been consolidating within the trading range of 300 points, which is remarkable and indicates a make or break in the near term. “The Nifty/Sensex would go to the level of 15500/15450 (51600) after dismissal. The 15700/52400 and 15780/52700 levels, on the other hand, would be the main levels of resistance,” Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities, said.
Stocks to watch
Mindtree, Tata Metaliks: Companies such as Deccan Health Care, Gagan Gases, Mindtree, Tata Metaliks, Shree Ganesh Remedies, TPI India, and WS Industries will release quarterly earnings on July 13.
Info Edge: Zomato IPO will open for anchor investors on July 13. The issue would open for subscription for public on Wednesday, July 14, at the price band of Rs 72-76 per share. Naukri.com’s parent company, Info Edge holds a stake of about 18.55 per cet in the food delivery platform.
RIL: Reliance Industries Ltd has invested Rs 1 lkah in cash in 10,000 equity shares of Rs 10 each of Reliance New Energy Solar Limited, a newly incorporated wholly owned subsidiary. RNESL is incorporated to undertake activities relating to solar energy. RNESL is yet to commence its business operations.
Airtel, Vodafone, RIL: Reliance Jio continued to lead the market in mobile subscriber additions as it gained 4.7 million users in April even as troubled Vodafone Idea lost 1.8 million customers during the same period, as per the latest TRAI data. Bharti Airtel added just 0.51 million mobile subscribers in April.
Tatva Chintan Pharma Chem: Tatva Chintan Pharma Chem Ltd has fixed a price band of Rs 1,073-1,083 a share for its Rs 500-crore IPO. The public issue will open on 16 July and close on 20 July. It comprises fresh issue of shares worth Rs 225 crore and an offer of sale (OFS) worth Rs275 crore by existing promoters and shareholders.
Bank stocks: Armed with Supreme Court order, banks may invoke personal guarantees of tycoons ranging from Venugopal Dhoot to Kapil Wadhawan to recover unpaid loans from their delinquent firms, sources said Monday. According to an estimate, top 10 personal guarantors have guaranteed debt of over Rs 1.6 lakh crore.
Info Edge share price: Buy Info Edge (India), target price Rs 6300: ICICI Securities
Did you Know? Stock score of Info Edge (India) Ltd moved up by 3 in a month on a 10-point scale. View Latest Stock Report »
ICICI Securities has buy call on(India) with a target price of Rs 6300. The current market price of Info Edge (India) Ltd. is Rs 4933.Time period given by analyst is one year when Info Edge (India) Ltd. price can reach defined target.Info Edge (India) Ltd., incorporated in the year 1995, is a Large Cap company (having a market cap of Rs 64104.87 Crore) operating in Services sector.For the quarter ended 31-03-2021, the company reported a Consolidated Total Income of Rs 359.33 Crore, up 15.39 % from last quarter Total Income of Rs 311.42 Crore and up 2.78 % from last year same quarter Total Income of Rs 349.60 Crore. Company reported net profit after tax of Rs 332.65 Crore in latest quarter.Naukri will be a key beneficiary given its near monopoly positioning (80%+ traffic share) in white collar hiring. Potential for price increases and operating leverage should translate into buoyant EBITDA margins. The brokerage upgrades FY22-23E EPS by ~5%. Reiterate Info Edge as TOP BUY idea. Impending IPOs of investee firms (Zomato & Policybazaar) should be key catalysts for value unlocking.Promoters held 38.4 per cent stake in the company as of March 31, 2021, while FIIs held 39.6 per cent, DIIs 11 per cent and public and others 11 per cent.
Info Edge share price: Brokerages post mixed sentiment for this stock- check target price
The brokerage firms posted a mixed call for the shares of Info Edge, as the company reported over 60 per cent rise in standalone net profit to Rs 66.68 crore on over 10 per cent decline in net sales to Rs 290.04 crore in the fourth quarter of the financial year 2020-2021.
The revenue from the Recruitment Solutions segment of the company at Rs 198.64 crore, down around 14 per cent year-on-year, while from 99acres for real estate also dipped by over 11 per cent to Rs 50.09 crore in Q4 FY21.
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Goldman Sachs maintained a Sell call on Info Edge, while downgrades the target from the current market price of Rs 4960 per share. It raises FY22-24 revenue estimates by up to four per cent, as it has a strong outlook for recruitment business.
The brokerage, however, sees a mismatch between growth outlook and valuations, and points out that it is well placed to capture upside from B2B spends in India moving to digital.
Similarly, downgrading the target from the current market price to Rs 4220 per share, Macquarie maintains an Underperform call on Info Edge. It pointed out that sequential improvement in the core business is continued and raises FY22-23 EPS estimates see a revision of less than one per cent.
On the other hand, CLSA maintains an Outperform call on Info Edge, and expects the company’s revenue growth to bounce back sharply by the second quarter. It raises the price target to Rs 5470 per share. It’s bullish on the stock as Zomato and Policybazaar are actively working on public listing.
The brokerage firm further adds, operating leverage in the business model should ensure its flow-through into margin and management remains on the lookout for consolidation or expansion.
Info Edge (India) is among the leading internet companies in India. The company runs leading internet businesses viz. Naukri.com, Jeevansathi.com, 99acres.com, and Shiksha.com.
The company also owns Quadrangle and Naukri Gulf and has made significant strategic investments such as zomato.com, policybazaar.com and happily unmarried.com etc.