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Recent market gains have lifted investor sentiment, but experts caution that challenges like liquidity pressures could limit further upside.
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00:00good afternoon and welcome to market closing on our collab show between business today and
00:17india today television i'm sakshi patra this is 3 p.m show and we are here to get you all
00:22the market closing action first up let's look at what's hot in the corporate as well as the
00:26financial space america's closest ally rejects donald trump's dead economy claim for india
00:36british prime minister kia stama hails india's remarkable growth story says he wants to be
00:41partners in this journey prime minister modi says the trades deal with uk will give the world
00:47economic stability in these uncertain times
00:50pharma stocks gain after reports suggest that trump may shelve tariffs on generics
01:00world street journal says decision follows internal debate and could change nifty pharma
01:05index back home is up by one percent or ubindo pharma lupin piramal all gaining anywhere between
01:11two to three percent easing the pressure on firms supplying nearly half of
01:20two percent and six is up over 250 points hovering the other 82 000 mark while the nifty is also
01:31gained a strong move and now is hovering around 25 000 180 broader markets also show strength
01:37with gains in mid caps as well as the small cap indices
01:40tcs stata consultancy services trades in the green right ahead of its q2 earnings today street
01:51expects no major surprises in this quarter nifty it index is up by about one percent with hcl tech
01:58persistent and oracle financial services gaining up to two percent in trade
02:02lg electronics india ipo has been subscribed 33 times so far on the final day gray market premium is
02:14at 27 strong investor response has been seen the price band is anywhere between 1080 to 1100 rupees 40
02:21rupees and also the company aims to raise 11607 crores through an entire offer for sale issue
02:28let's straight away take a look at how the stock markets are trading in the last 25 minutes of trade
02:40it's a green screen viewers you can see the nifty that's inched to the high point of the day half
02:45odd percent higher right amid all that choppiness that we've been seeing right from the morning trade
02:49all the sectors are now pulling up higher look at the metals look at the it index look at the pharma
02:53these are the top three sectoral movers at this point even the banks are participating so are the
02:59mid and the small caps all the sectors are into the green at this point in time when we look at the
03:05top movers on the nifty you have the metal counters like jsw steel tata steel and even hcl technologies
03:10from the it pack up by about two and a half percent odd spi life ultra tech cements and pharma these are
03:16the other top movers in trade at this point any top lacards well you have some banking names like
03:22taxes bank that's down by one percent tata consumer products and titan are also reeling under some
03:27pressure at this stage in time we're also looking at maruti and bharti et al among these other top
03:32drags in trade right now but let's quickly welcome our guest on board mr g chokalingam the founder and
03:37md of equinomics research who's joining in on the program with us warm welcome good afternoon to you
03:42mr chokalingam help us understand with your fresh view in the markets how are you assessing this
03:47constant attempt by the bulls to come back above 25 000 25 100 200 or sorts do you think there is
03:55renewed optimism in the markets and by diwali this festive season we could yet again make an attempt
04:01to go back to our erstwhile all-time highs on the markets too that would be a periodic of 10 but i
04:08doubt whether that would be sustained i have been perennially optimistic and bullish on this market for
04:15more than 10 years in a row except last september but once again i am a little nervous not because
04:21of u.s tariff bar uh i completely agree with the you know the finance minister's statement that
04:26the domestic story is so strong we can overcome yes it will give a pain no doubt at all for the
04:33economy and market but we can overcome my concern is more on the liquidity front the promoters have
04:38sold the shares in the last one year the fys have sold the shares in more than three lakh
04:43crore worth in the last two three years and ipos have chunged out you know close to one lakh crore
04:48in the current calendar year so the liquidity is getting you know drained out of the secondary market
04:54and that is going to cause a lot of volatility with the downward bias till end of the current calendar
05:02year till december so another three months i feel we will have a lot of volatility with the downturn
05:08yes there will be upturned and that is not likely to be sustained so only when the ipo boom burst out
05:16and it becomes it takes a modest position in the sense you know not every issue is getting
05:22wall subscribed and not every issue is getting phenomenal wall subscription unless such thing
05:26happens you know this is going to have volatility with the downward bias so therefore the valuation
05:33of individual stock is the most important at this juncture valuation is the most important point to
05:39keep in mind but pharma stocks are back in action and let's keep an eye out on what is really moving
05:44the healthcare sector higher pharma stocks on a strong footing today this is after reports are
05:49suggesting that donald trump administration is considering shelving off tariffs on generic drugs let's just find
05:55out how much relief could this bring to the indian pharma companies i'm now joined by my colleague
06:00neetho chandra sharma for more on this neetho we do know that the last time around there was news on
06:06tariffs on the pharma space in india all the exporters of branded and patented drugs there was a sharp
06:13knee-jerk reaction on the stocks back home today they are seeing all across the board one to five percent
06:19odd kind of a move on the higher side on the pharma related stocks is this a big news that's coming in
06:24as a big relief for the indian pharma companies uh yes actually so the there is now more clarity on
06:32this issue so now the trump administration's decision to spare generic drugs from import tariffs
06:37it's a huge relief for both american patients as well as the indian pharmaceutical industry
06:41which supplies nearly 40 percent of the generics to the u.s market so now if had tariffs been imposed
06:48it could have disrupted supplies and you know raise drug prices and hit india's 25 billion dollars
06:53export market hard so this exemption is essentially protects uh you know india's role as a pharmacy of
06:59the world and while ensuring affordability in the u.s so however if you look at this move this also
07:06shows that the u.s wants to reduce the long-term dependence on foreign manufacturing for critical
07:11drugs now i have spoken to many analysts in the sector what they have said that after this move indian
07:17pharma will you know need to invest in quality innovation and partnerships to stay ahead in the u.s
07:23market after this move yeah back to your section thanks a lot neetu for all that update coming back
07:28to mr chokalingam how do you see mr chokalingam this move for the indian pharma companies now we do
07:33know even at the time of the announcement of a hundred percent tariff on some of the pharma exports that
07:38mr donald trump had announced especially for the branded and the patented drugs uh we were trying to
07:44assess how much of an impact would there be there were names like sun pharma could be impacted because
07:48they have a branded formulations portfolio that exports uh to the u.s as well but a large part of
07:54indian pharma companies actually export generics and the big question was that after branded and
08:00after patented drugs will generics also come under the fold of tariffs today that clarity
08:04clarification has come in and the trump administration is saying that generics will stay
08:09out of it big coverage and big news for the indian pharma space how would you look at it
08:14i would still have a little cautious approach because okay uh mr trump you know very clear in
08:22his mind that uh even on the domestic front he has already warned u.s pharma companies on the high
08:29profit margin so definitely it is not going to be aggressive 50 percent or 100 percent for indian
08:35pharmaceutical exports i'm pretty confident on that same way it is not going to be you know zero or
08:41in single digit duty it is going to be somewhere in between uh you know the duty and also there
08:49will be a lot of pressure on the price front not only for uh you know american american companies even
08:54on uh you know you know exporting uh uh countries so therefore i would still uh you know advise a little
09:01cautious approach particularly on exporters and therefore i would suggest focus more on domestic demand
09:08driven uh domestic farmers fair point so you are saying that you know it's better at this point
09:16in time to still stay cautious on the export oriented sectors focus more on the domestic themes i'll talk
09:22about one more export oriented sector and that's it that has been in momentum over the last couple of
09:26sessions today is when the focus starts on the q2 earnings tcs stata alexi start off uh and kickstart
09:33this q2 earnings season for the it industry at large as well as far as tcs is concerned remember
09:39viewers this is the largest indian software exporter company that we are talking about the largest listed
09:45company with market capitalization in the indian stock markets and therefore a result coming in from tcs
09:53will also have an impact on the entire sector as well this time around because of the reasons that
10:00the tcs results are coinciding with the mr ratan tata's death anniversary the customary press
10:06conference has been cancelled but what we are still hoping to see is the commentary especially on the
10:12client spends on the economic growth outlook and the deal pipeline as well also the wage structure
10:18going forward from here mr chokalingam to you on tcs what's your big expectation for the quarter
10:25two earnings and on the overall it sector what's your approach it is very easy to make a judgment
10:32on it sector for any analyst i believe firmly because things are very clear the last two three years
10:38they have been growing in a four single digit in dollar revenue exports and there is no optimism on
10:45that that is not going to change at all but added to that you have a problem of h1b visa issue which is
10:52going to be marginally negative and then there is also fear of any possible tax on id service exports
10:58and therefore the expectation is that the single digit growth syndrome which we are seeing
11:03in terms of dollar revenue exports is going to continue in the short to medium term so even the
11:10rupee depreciation in the last three five years has not helped the indian id companies to improve the
11:15margin substantially it seems so the customers have become very smart they are also part of the
11:21benefits beneficiary of this falling rupee over the last three four years so i would say that at
11:27best it would be defensive or it can make a trading profit but the wealth creation story is over at
11:33least for next one to two years that's my fault one should focus more on small mid-sized quality
11:40companies within the it sector because once again i expect major and acquisition to get a momentum
11:45like what in 14 to 19 okay let's actually talk about the primary market space mr chokalingam you
11:52began by talking about it and referring to that as well uh this is one space where average retail
11:58investors those who have just started investing in the stock markets uh begin uh to start uh trying
12:04their luck in the ipo space because historically it was always believed that ipos give you an early entry
12:11into a stock and therefore you have a lot of opportunity to create wealth for yourself because
12:17you are an early entry come now the time when large ipos of the likes of tata capital ipo lg all of them
12:25are upwards of 10 000 odd crore rupees are actually coming in with a major chunk also of an offer for
12:30sale so the companies themselves are not raising uh the funds as such but these belong to big conglomerates
12:36larger than life companies that have been existing in the uh indian uh domestic space people have been
12:42using their uh products as well how would you really look at such ipo opportunities lg's got
12:48subscribed or 33 times already that actually goes on to show the kind of interest that retail investors
12:54also have in such companies how would you look at the ipo space right now would you pick anyone
12:59between tata although that's uh done and dusted today the allotment will come in and lg is the last day
13:04today yeah couple of insights which i learned in the last 32 years i can share probably it can be
13:11useful to the retail investors you know starting from ashatmetha boom tank you know the primary
13:16market boom was there uh you are right the early entrant used to make a lot of money in the through
13:22primary market but that was until the time we had a control on pricing but now we have a freedom to
13:30price to an enormous extent so a lot of stocks are debuting in the secondary market through ipo
13:36already at the rich valuation so therefore if the research capability becomes very important in
13:42identifying which is a great opportunity at the early entry so not every stock will give you
13:48phenomenal return that is one point and second uh you know in a bull market in the primary market of
13:54course everybody who applies makes money on listing and that has been happening consistently from 93
13:59but at the you know the primary market bull market peaks out at some point in time because of the
14:05now i think this is the time for being extremely cautious already some signs are visible some
14:11stocks are down even 30 35 percent from the offer price now this time has come for being very
14:18cautious in terms of picking up the primary issues in terms of value because as i already listed out
14:24the liquidity has been drained out so now it is only the fundamentally sound companies will make
14:29money on listing many would uh you know uh will have a lot of risk for the investors okay fair point
14:37uh we'll come back to the markets discussion but remember viewers it's an important day because
14:41prime minister narendra modhi has already hailed the growing trade partnership with the united
14:46kingdom as the perfect fold to the global economic uncertainties the two countries today have signed
14:5212 deals in areas of tech and innovation education trade and investment even climate health and research
14:59as well in a joint statement after a bilateral summit at the raj bhavan in mumbai the british prime
15:05minister has hailed india's economic growth as remarkable and has also said the uk has wanted to partner
15:12india in the journey ahead as well mr shokhi lingam how are you looking at all of this as well when it
15:19comes to the trade deals that are taking place with the uk in fact we have enumerated all the free trade
15:27bilateral trade agreement with every country this is a very phenomenal achievement because you know
15:33you will say usa is the biggest trading partner if you had a service sector and their service sector
15:39also some disruption started happening so therefore signing free trade agreement through bilateral talk
15:45is the most important we already achieved you know milestone in terms of agreement with you know
15:51countries like japan uae now with uk and this is not going to mitigate fully the risk coming from the
15:58u.s trade war but certainly it is going to mitigate to a large extent that is coming from the u.s so this is
16:06going to be big positive for the market to marry up to long term absolutely let's actually go on to
16:12listen to the prime ministers of both the nations as to what they had to really say on this trade
16:17partnership
16:45Our knowledge is trustworthy, talent and technology is given.
17:16And everything I've seen since I've been here is absolute proof to me that you're on track to succeed in that.
17:23So we want to be partners on that journey.
17:27When we leave India later on tonight, I expect that we will have secured major new investments,
17:34creating thousands of high-skilled jobs in the sectors of the future for both of our nations.
17:41The UK and India stand side by side as global leaders in tech and innovation.
17:51The demand for the best quality higher education is very high.
17:57So I'm really pleased that we're announcing today that more British universities will be setting up campuses right here in India,
18:06making Britain India's leading international provider of higher education
18:11and delivering on our vision, 2035, that we set out in July.
18:19All right. So the big trade partnership that's underway between India and the UK.
18:24Moving on to talking about the tech space and what's really buzzing there.
18:28Paytm is revolutionizing the payment world through AI Now.
18:32The company has unveiled the AI sound box designed to transform small businesses and digital payments across the country.
18:40In an exclusive conversation with Business Today Television's Asta Chopra,
18:44Vijay Shekhar Sharma, the CEO of Paytm, has now shared why the company is betting big on AI.
18:49Let's listen in.
18:51Can you tell us about what changed, why the user will love this product and it's a game changer in the ecosystem?
18:58Well, up till now, Paytm has been known as acquiring payments, sound box, QR codes.
19:03But in the AI generation, I call it intelligence generation, we've created a device that will become the chief operating officer,
19:10chief finance officer or everything that the shopkeeper needs.
19:13So we launched Paytm AI sound box today and this leaf rocks it to an AI device from a payment device.
19:19Well, just before I let you go, Vijay, in 2026, we are talking about you have been a game changer all throughout the years,
19:26whether it's 23, 24, 25, we have witnessed this.
19:29What can we expect more from you?
19:32Everything AI.
19:33The kind of products that we will build haven't been able to be built before because the power of AI models is exemplary.
19:39You saw is that we launched consumer product where we gave this playback product, which is cannot be customized music based on customer's portfolio.
19:48We talked about sound box, which is like giving millions of merchants, hundreds of million merchants, AI device on the counter.
19:55That is the mission that we want to take.
19:56All this comes with the security as well.
19:58Is it secure enough to people to trust everything?
20:01That's the best part about it that India's payment are not just inclusive.
20:04They are more secure and safe also.
20:06All right.
20:08So the parent company of Paytm197 Communication is already reacting to this big AI move by Paytm.
20:14The stock is already up by about three odd percent right now.
20:17Let's go back to Mr. Choklingam and try and find out what does this really mean for Paytm as a company.
20:22Right now, 2 percent high.
20:23You can actually look at the day's high move that we are seeing at this point in time.
20:281,250 is the current level at which Paytm is trading at.
20:32Now, when we look at the last one month, it's been largely flat.
20:36But let's see whether this move can usher in a fresh trajectory of growth for the stock as well as for the company too.
20:42In the last three months, we've actually seen the stock move up by about 30 odd percent.
20:47In the recent past, we've actually seen Paytm undergo a lot of volatility because a lot of issues that had erupted as well.
20:54How would you look at Paytm right now as it goes into newer charter territories of AI and completely wants to transform from just being a payment-related company to an AI company at large?
21:07What would that mean for the shareholders and prospective investors, Mr. Choklingam?
21:11Yeah, the company has come a long way.
21:13In the last few quarters, it has improved the margin and the market also rewarded.
21:18But still, valuations are stretched.
21:21So, these are good initiatives, no doubt.
21:23But from investors' perspective, I would say that at least wait for September, December reserves and see whether there is any further improvement.
21:31Because in terms of EBITDA, it's quite stretched in valuations.
21:34So, one can at best hold the stock.
21:37Okay.
21:38How about the entire tech universe at this point in time?
21:41We have so many new-age technology companies that are listed on the exchanges.
21:46We have Zomato by the name of Eternal, its parent company.
21:49We have Swiggy.
21:50We also have Nykaa from the beauty tech space.
21:53We have PB FinTech from the insurance tech space.
21:56So many of these new-age businesses that have now got into the households as household names and have now changed the way we usually function on an everyday basis.
22:07This entire space seems to be buzzing.
22:09Look at what's happening with Swiggy today.
22:10Three and a half percent higher in trade.
22:12So, a lot of buzz in the new-age tech, quick commerce space too.
22:16How would you look at some of the other players?
22:18Any favorites there?
22:20One has to admit the fact that it's a massive structural change happening in the country.
22:25Some of them already became a part of benchmark index.
22:28Few more would join.
22:29But at the same time, the risk also would increase.
22:31Because let us do not forget the fact that India is a service economy.
22:35There are a lot of young entrepreneurs waiting to jump in into all the kind of business which we are talking about.
22:40So, only a few of them would really make it very big.
22:44So, I would say that if we are paying 100 PE, see that profit grows at least by 25%.
22:50Traditionally, the profit should grow by 100%.
22:52I am willing to compromise, at least ensure that profit grows by 25% if you are paying 100 PE.
22:58If you are paying 40 PE, at least profit should grow at 10%.
23:01To that action, one can make compromise and then look at the stocks and invest.
23:06Otherwise, there is could be enormous.
23:08What we will do is actually look at how the markets are trading in the last two minutes.
23:16Oh.
23:16Okay, I think we can go across to UK Prime Minister who is speaking right now.
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