BSE NSE Share Market Voices 28 July 2009

BSE NSE Share Market Voices 28 July 2009

After a positive start, the market slipped into the red this mornin RBI's decision to leave key rates unchanged did not make any impact on the market's direction today.

The Sensex, which fell to 15,240.53 rallied to 15,463.46 past mid afternoon but failed to sustain gains and ended in the red. The barometer ended at 15,334.95 (provisional) with a loss of 40.09 points or 0.26%. The Nifty closed at 4559.20, recording a loss of 13.10 points or 0.29%. It touched a high of 4599.90 and a low of 4529.15 today.

Realty stocks had a good outing once again on hopes of increased demand for homes. The finance minister's statement that the government would provide a 1% interest subsidy on home loans up to Rs 10 lakh for one year buoyed up sentiment towards the sector.

Automobile major Tata Motors ended with a hefty gain of 10%. Select metal, power and PSU stocks rallied sharply. FMCG major HUL fell on weak results. Bank, oil and IT stocks were seen struggling for a major part of the session today. Midcap and smallcap stocks had a good session.

PTC India touched an intraday high of Rs 90.90 and an intraday low of Rs 86.20. At 3:20 pm, the share was quoting at Rs 90.60, up Rs 4.15, or 4.80%. It was trading with volumes of 1,655,476 shares, compared to its five-day average of 707,721 shares, an increase of 133.92%. Yesterday the share closed up 2.25% or Rs 1.90 at Rs 86.45.

Bajaj Hindusthan is up by around 5.5% at Rs 192 on strong quarterly results. The company posted a net profit of Rs 60.08 crore for the quarter ended June 2009 as against a net loss of Rs 35.41 crore in the quarter ended June 2008. Investors holding the stock can stay invested and buy more of it at sharp declines.

Bajaj Hindusthan touched an intraday high of Rs 191.50 and an intraday low of Rs 175. At 3:06 pm, the share was quoting at Rs 191.05, up Rs 8.80, or 4.83%. It was trading with volumes of 3,934,930 shares, compared to its five-day average of 1,218,619 shares, an increase of 222.90%. Yesterday the share closed up 1.65% or Rs 2.95 at Rs 182.25.

Glenmark Pharmaceuticals is a good pick from the healthcare space.

The stock, currently traded at Rs 257, can rise to Rs 290 - 300 and a strong breakout there can lift the stock to around Rs 325 or even higher. One can hold the stock with a stop loss near Rs 215.

Grasim Industries has reported strong numbers for the April - June 2009 quarter. The stock, currently trading at Rs 2905, looks poised to test higher levels in the near to medium term. One holding the stock can stay invested. More quantities can be picked up in a staggered way.

FMCG major Hindustan Unilever Limited has posted a net profit of Rs 5431.90 million for the quarter ended June 30, 2009 as compared to Rs 5581.80 million for the quarter ended June 30, 2008. The total income of the company increased from Rs 43175.10 million for the quarter ended June 30, 2008 to Rs 45361.70 million for the quarter ended June 30, 2009. The stock has lost nearly 4% at Rs 287 following the announcement of results.

Reliance Infrastructure was among major gainers on the Sensex at 2:09 pm. It touched an intraday high of Rs 1,223.65 and an intraday low of Rs 1,157. The share was quoting at Rs 1,214, up Rs 49.55, or 4.26%.

It was trading with volumes of 808,621 shares. Yesterday the share closed down 0.56% or Rs 6.55 at Rs 1,164.45.

Indiabulls Financial Services touched an intraday high of Rs 215.50 and an intraday low of Rs 199. At 1:56 pm, the share was quoting at Rs 214.75, up Rs 13.05, or 6.47%. It was trading with volumes of 515,220 shares. Yesterday the share closed up 6.69% or Rs 12.65 at Rs 201.70.

KEC International has posted a net profit of Rs 38.40 crores, a rise of over 50% on a net profit of Rs 25.52 crores the company had recorded in the corresponding quarter last year. The company's order book stands at Rs 5155 crore. Around 58% of it is from the South Asia market and the balance 42% is from the international market.

Buy Maruti Suzuki with a target of Rs 1,550-1,600, says Ashwani Gujral, Technical Analyst on CNBC-TV18 2:10 PM: NHPC IPO price band set at Rs 30-36/sh. The IPO issue to open on August 7 and closes on August 11.

Tata Steel (Rs 463) can be bought for short to medium term. The stock can rise to Rs 530 if it manages a strong breakout at Rs 490 levels.

A stop loss can be placed near Rs 410.

CESC touched an intraday high of Rs 334.80 and an intraday low of Rs 310.90. At 12:54 pm, the share was quoting at Rs 333.45, up Rs 25.00, or 8.11%. It was trading with volumes of 264,725 shares. Yesterday the share closed up 5.67% or Rs 16.55 at Rs 308.45.

Investors looking at medium term can go in for IVRCL Infrastructure, IRB Infrastructure, Punj Lloyd and KEC International. These stocks can be accumulated in small quantities in a staggered way.

Bombay Dyeing and Manufacturing Company touched an intraday high of Rs 365.40 and an intraday low of Rs 303.90. At 12:56 pm, the share was quoting at Rs 358.20, up Rs 22.25, or 6.62%. It was trading with volumes of 354,951 shares. Yesterday the share closed up 9% or Rs 27.75 at Rs 335.95.

Kalyani Steels touched an intraday high of Rs 101.50 and an intraday low of Rs 97. At 12:58 pm, the share was quoting at Rs 97.05, down Rs 4.35, or 4.29%. It was trading with volumes of 9,679 shares. Yesterday the share closed up 0.05% or Rs 0.05 at Rs 101.40.

Cement stocks are likely to see some upside in the near term. One can keep picking up Ambuja Cements, Ultratech, ACC, Birla Corporation and Shree Cements at declines.

Automobile stocks Tata Motors, Mahindra & Mahindra and Maruti Suzuki can be picked up in small quantities at declines. Though some profit taking is likely in these stocks after recent sharp rallies, their medium to long term prospects continue to remain quite bright.

RIL is an underperformer, says Sudarshan Sukhani, Technical Analyst, on CNBC-TV18

Gammon India touched an intraday high of Rs 146.45 and an intraday low of Rs 121.25. At 12:18 pm, the share was quoting at Rs 122.25, down Rs 20, or 14.06%. It was trading with volumes of 149,320 shares. Yesterday the share closed down 2% or Rs 2.90 at Rs 142.25.

FMCG companies will do well, says Anand Tandon, Director Equities, Brics Securities, on CNBC-TV18

Tata Motors looks expensive, says Anand Tandon, Director Equities, Brics Securities, on CNBC-TV18

Do not invest in real estate stocks, says Sudarshan Sukhani on CNBC-TV18

Phoenix Mills has recommended a final dividend of 50% (Re 1 per share for every one fully paid share of Rs 2- each) for the financial year 2008-2009

Kotak Bank has posted a net profit of Rs 903.111 million for the quarter ended June 30, 2009 as compared to Rs 545.316 million for the quarter ended June 30, 2008. The stock, which was trading higher earlier in the day, declined on announcement of results and is down by 1.5% at Rs 659 now. One can consider fresh buying at sharp dips.

Global markets have run up sharply over the past few weeks on hopes of an economic revival.

A few encouraging reports on the economic front and some better than expected quarterly numbers from big companies are driving the market up these days. FIIs have been picking up stocks almost consistently. Still, one cannot rule out a few rounds of profit taking in the very short run. It is better to stay cautious and remain stock specific in the near term.

Buy JSW Steel on dips, says Sudarshan Sukhani, Technical Analyst, on CNBC-TV18

Banking space can outperform, says Sudarshan Sukhani on CNBC-TV18

Buy sugar stocks on dips, says Sudarshan Sukhani on CNBC-TV18

The Reserve Bank of India has left CRR, Repo and Reverse Repo rates unchanged at 5%, 4.7% and 3.25% respectively.

The Apex bank has revised GDP growth at 6% with an upward bias and targets inflation at 5% for fiscal 2010.

Bank stocks, which had declined sharply earlier this morning, have edged up from their lows following RBI's monetary policy statement.

Bharti Airtel (cmp Rs 426) can be retained with a long term plan. One can have a stop loss near Rs 400 for now. The stock can give a return of 30 - 40% over a medium term.

Escorts touched an intraday high of Rs 71.90 and an intraday low of Rs 69. At 10:26 am, the share was quoting at Rs 70.90, up Rs 3.40, or 5.04%.

It was trading with volumes of 581,480 shares. Yesterday the share closed up 3.37% or Rs 2.20 at Rs 67.50.

SBI (Rs 1687) can be picked up at dips for long term. Intra-day traders with a good appetite for risk can consider going long in SBI at current levels. The stock can rise to Rs 1725 - 1730 or even higher later on in the day.

Punj Lloyd: Sell below 246 with a stop loss of 248

HDFC: Sell below 2365 with a stop loss of 2380

NTPC's net profit rose over 27% to Rs 2193.62 crore in the quarter ended June 2009 as against Rs 1726.53 crore during the previous quarter ended June 2008. The company has reported a near 26% jump in sales during the quarter. The stock, currently trading at Rs 215, can be retained for long term. sharp declines can be used to increase exposure to the counter.

NTPC: Buy above 214.50 for the target of 218 / 220 / higher with a stop loss of 212.50

GMR Infra: Buy above 148.80 for the target of 150.50 / 152 / higher with a stop loss of 147.50

Rashtriya Chemicals & Fertilizers Limited has posted a net profit of Rs 315.50 million for the quarter ended June 30, 2009 as compared to Rs 190.60 million for the quarter ended June 30, 2008. Total income has decreased from Rs 15735.80 million for the quarter ended June 30, 2008 to Rs 8545.60 million for the quarter ended June 30, 2009. The stock is up by 4.2% at Rs 68.35. Investors long at the counter can stay invested and look at buying more at declines. Fairly strong returns are likely over a medium term.

Trading got off to a cautious start on the major Indian bourses this morning amid somewhat mixed global cues.

The Sensex opened more than 50 points up at 15,428.50 and edged up to 14,455 before drifting down to 15,416 netting a gain of 40.55 points or 0.26%.

The Nifty is up by 12.80 points or 0.28% at 4585.10.

Tata Motors has rallied 4.7% on strong results.

DLF, Unitech, Tata Comm, Tata Power, RPower, BPCL, NTPC, HDFC and ABB have also posted notable gains. stocks to watch: Petronet LNG, after Papua New Guinea Trade Minister Samuel Abal said the Indian firm was in talks to buy liquefied natural gas (LNG) from InterOil's project in the island nation.

Glenmark Pharmaceuticals Ltd after its board approved raising up to '250 million.

Ashok Leyland, after the truck and bus maker posted an 85 per cent decline in net profit in April-June.

Quarterly Results: Hindustan Unilever Ltd, Kotak Mahindra Bank Ltd, Tata Tea Ltd, Grasim Industries Ltd.8