Atul Chaturvedi of Shree Renuka Sugars sees very strong demand for ethanol
See very strong demand for ethanol and 20% of revenue comes from ethanol currently, said, Atul Chaturvedi, Executive Chairman of Shree Renuka Sugars. The total investment made by the company in ethanol capacity will be closer to Rs 700 crore. The company is in the process of doubling its existing capacity of ethanol, after which the revenue from ethanol will rise to 30 percent. The oil marketing companies will have to pay Rs 1.5 per litre extra to ethanol suppliers between June to September 2022.
Shares of Shree Renuka Sugars were trading at Rs 51.6, down Rs 0.3 at 10:17 am on June 10
#OnCNBCTV18 | We have commissioned a pilot plant for green hydrogen. Gas prices are expected to rise further from October 2022, Harish Madhav of Oil India tells CNBC-TV18 pic.twitter.com/qRtrjWM372
— CNBC-TV18 (@CNBCTV18Live) June 10, 2022
Teva settles patent dispute with Aurobindo Pharma
US affiliates of Israel-based Teva Pharmaceutical Industries Ltd on June 9 announced that they have reached an agreement with India’s Aurobindo Pharma to resolve a legal patent infringement dispute regarding Teva’s Austedo medicine. The litigation in the United States will end and Aurobindo will have a licence to sell its Austedo generic product beginning April 2033. Austedo is the first and only US FDA (Food and Drug Administration)-approved product prescribed for adults for involuntary movements associated with the degenerative Huntington’s disease, and for uncontrollable movements in the face, tongue or other body parts, known as tardive dyskinesia. Shares of Aurobindo Pharma were trading flat 0.19 percent down at Rs 528.85 at 10:03 am on June 10.
Market at 10.00 AM
Indices trade lower amid volatility, Sensex trading lower by more than 700 points, Nifty above 16,250
The Sensex was trading lower by 743.2 points or 1.34% at 54,577 and the Nifty was lower by 212.45 points or 1.29% at 16,265.65. About 998 shares have advanced, 1780 shares declined, and 129 shares are unchanged.
Source: BSE
Goldman Sachs recommends a ‘buy’ for Infosys
Goldman Sachs recommends a ‘buy’ for Infosys with a revised 12 month tarfer prices of Rs 1,703, implying 11% potential upside. The global investment bank believes Infosys remains the fastest growing large cap IT services company globally and it expect its revenue to grow at 16.6%/12.6% in CC terms over FY23E/24. Management commentary around its deal pipeline and demand remained strong in the recent analyst meet on 31st May’22. Key to watch for Infosys during Q1FY23 results (apart from annual guidance) would be the 3rd party software/hardware packaging cost which was at 7% of sales during Q4FY22 and the single biggest factor for its margin miss vs. both its own and consensus forecasts.
IT stocks likely to be in focus amid fears of ‘stagflation’
IT stocks in focus after Tata Consultancy, the biggest software exporter, warned of a “stagflationary impulse” following the war in Ukraine and this leading to low growth and high inflation. Stocks like Tata Consultancy, Infosys, Wipro, Tech Mahindra, HCL Technologies may move.
Indian Rupee hits a fresh low against the USD
The Indian Rupees hits a fresh low against the USD in the early morning trade today. Experts had expected the Indian currency to open near a record low of 77.80 and expected it to trade in a range of 77.60 to 78.00 with a weakening bias. The Rupee was currently trading at 77.81. Experts suggest that higher than expected US inflation could again send US yields higher, equities lower and the US dollar higher against the DM and EM currencies. Against this backdrop, RBI’s approach could suppress the aggressive volatility and rates. Overall, they expect the pair to face resistance near 77.80-77.85 levels. If it convincingly trades above this level then further move towards 78-78.10 can be expected. On flipside, 77.40-50 zone will act as a crucial short-term support.
Mohit Nigam, Head – PMS, Hem Securities
Benchmark Indices are expected to open on negative note as suggested by trends on SGX Nifty. US stock markets ended lower on Wednesday as investor anxiety heightened ahead of data on Friday that is expected to show consumer prices remained elevated in May. Selling picked up toward the end of the session. Mega-cap growth stocks led the drop, with Apple Inc and Amazon Inc falling 3.6% and 4.2%, respectively. Dow Jones was down by 638 points, whereas NASDAQ was down by 2.74% to 12269.0 levels.
Asian markets are trading on a negative note as Chinese inflation data for May came in largely in line with expectations. Investors also looked ahead to US CPI data which is going to be released today. Nikkei is trading 1.27% lower whereas Kospi is down by 1.34%. The European Central Bank raised its inflation projections once again on Thursday but cut its growth outlook as the conflict in Ukraine continues to weigh on confidence, consumption and investment.
On the technical front 16,100 and 16500 are immediate support and resistance in Nifty 50. For Bank Nifty 34400 and 35200 are immediate support and resistance respectively.
Citibank recommends a ‘buy’ for Adani Ports
The global investment bank Citibank recommends a ‘buy’ for Adani Ports stock, with a target price of Rs 981 a share after the company reiterated FY23 volume guidance of 350-360 million tons & it was observed that the underlying April/May volumes are inline with guidance
The management of the company also emphasized on being net FCF +ve, maintaining comfortable leverage ratio & investment grade rating. The management also intends to have a 20-25% dividend payout ratio
Prashanth Tapse, Vice President (Research), Mehta Equities Ltd
Domestic equity markets may see a sharp fall in early Friday trades amid weakness across the global markets. Soaring inflation, recession fears, and the prospect of the Federal Reserve getting even more hawkish is making investors nervous worldwide. The negativity can also be attributed to yesterday’s weak session at European stock markets which closed sharply lower, with Germany’s DAX retreating 1.7% after the ECB set the path to start raising borrowing costs next month. ECB confirmed asset purchases will end from July 1st and a 25bps rate hike will follow in July as well. The U.S 10-year Treasury which has already doubled this year to roughly 3%, is expected to flirt with 4% by the end of 2022. Even if Nifty moves up, the overwhelming trend is down. Nifty’s immediate downside risk is seen at 16121 mark.
Escorts received all approvals to change its name to Escorts Kubota
Farm machinery and construction equipment maker Escorts said it has received requisite approvals for changing its name to Escorts Kubota Ltd.
The name change comes in the wake of Japan’s Kubota Corporation increasing its stake in Escorts to 44.8 per cent by subscribing to new equity shares and through an open offer to the public shareholders of Escorts. Kubota has also become a joint promoter of the company along with existing promoters, the Nanda family, whose shareholding in the company remains unchanged. Nikhil Nanda continues to be the Chairman and Managing Director (CMD) of the company.In December last year, shareholders of Escorts Ltd had approved preferential allotment of nearly 94 crore shares to Kubota, as part of a deal, allowing it to become a joint promoter in Escorts.
#StocksToWatch | Here’s the list of stocks that are in focus going into trade today pic.twitter.com/2YObtZTHaK
— CNBC-TV18 (@CNBCTV18Live) June 10, 2022
