From Advisory Desk : Vikash Sahay
27th January 2021 Market Outlook: US markets ends mildly in red. Asian markets are trading flat to positive. Indian Market is expected to open in red by 70 points. In the current week, we have monthly expiry and union budget on Monday. This event has spiked up VIX and thus volaitility would increase. IMF GDP projection of 11.5% and 6.8% for FY21 and FY22 respectively is encouraging, which makes India as the fastest growing economy in the world. In short term, we make see volatility and some correction, however long terms remains bullish.
Actionable: Buy L&T,Apollo Hospital
Investment: Max financial
MAX FINANCIAL SERVICES | Bridging the gaps! Given its strong business performance and likely partnership with Axis bank, we expect the re-rating to continue in the stock.
(MAXF IN, Mkt Cap USD3.3b, CMP INR696, TP INR830, 19% Upside, Buy)
L&T TECHNOLOGY SERVICES| Play on ER&D’s growing Digitization
(LTTS IN, Mkt Cap USD3.5b, CMP INR2342, TP INR2830, 21% Upside, buy)
SGX NIFTY: +100 (prev.close 14081)
NIFTY 50 : 14238
Sensex : 48347
FII: -765 Cr
DII: -388 Cr
Advances: 901 / Declines: 2076
Dollar: $ 72.94
Dollar Index: 90.19
Gold: $1844 per ounce
Crude: $55.75 per barrel
10 year US bond rate: 1.04
10 year Indian Bond rate: 5.95
Today’s results announcement: Axis bank, HUL, Bank of Baroda, Canara bank, ICICI Pru Life, India cements, JK paper, Marico, PNB Housing, Poly medicure, Quess corp, Tata coffee, United spirits.
Above estimates: L&T, ICICI securities, Aarti drugs, Can fin homes
Inline estimates: Kotak mahindra bank, Navin Flourine
Auto Stocks: Government approves Scrappage policy for govt vehicles and Green tax to all vehicles older 15 years that are polluting the environment. According to the policy of green tax, Transport vehicles older than eight years can be charged at the time of renewal of fitness certificate, at the rate of 10-25% of the road tax and PC’s at the time of Registration certificate after 15 years.
Securities in Ban: NALCO, PNB, SAIL.
Derivative View : VIX closed at 23.24. Max Put OI is at 14200 then 14000. Max Call OI is at 14400 then 14300. Option data suggests a trading range between 14000 to 14400.