- 4 months ago
As markets stabilise, green shoots emerge in banking, metals, and hospitality, offering investors hope for the second half, says expert.
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00:00good afternoon and welcome to the market closing show this is our collab show between business
00:20today and india today television it's 3 p.m i'm sakshi batra and we are going to be getting you
00:24all the market closing action right here first up let's take a look at what's hot in the corporate
00:28and the financial space markets trade weak as sensex slips over 400 points and the nifty also
00:39falls 140 points to near 25 600 mark on the weekly expiry session selling pressure is visible across
00:47key sectors it autos banking metals also dragging in pace you're also looking at the broader markets
00:54now trading subdued india's largest lender state bank of india reports better than expected quarter
01:06two results profit jumps by 10 percent as its asset quality has improved stock is trading in the green
01:13mahindra and mahindra also has reported strong quarter as its suvs have driven higher margins
01:19in stronger profits for the company it's a hot day for ipos investment app grows ipo has opened for
01:30subscription retail portion has got fully subscribed on day one overall bids are at 45 percent so far
01:36company has raised 2 984 crore rupees from anchor investors meanwhile lens cut ipo has got 15 times
01:45subscription subscription so far on the final day gray market premium although has slipped to 59
01:54the government may scrap nearly 20 percent of planned renewable capacity as 42 gigawatts of green
02:00projects lack buyers among state utilities bloomberg has reported citing sources that the power ministry has
02:08advised shelving unviable projects in big relief for flyers dgca has proposed allowing air passengers to cancel
02:19or modify tickets within 48 hours without extra charges draft norms mandate refunds within 21 days free name
02:27corrections within 24 hours
02:38let's straight away look at the big breaking that's with respect to adani enterprises the flagship company
02:44of the adani group that has reported its quarter two rivers results right now the profit is up by 84
02:50percent now at 3199 odd crore rupees this is a year-on-year surge of 84 for the company on the bottom line
02:57that we are seeing look at the revenue figure this has come at six percent lower at 21 248 odd crore rupees
03:04so the profitability jump has come in despite the dip on the top line look at the ebitda this is the
03:10operational profit that the company is looking at this has slipped by 23 percent at 3 407 odd crore rupees
03:19margins have lowered at 16 percent vis-a-vis 19.7 percent this reflection clearly being seen on the stock price right now
03:272004 24 as the current level for adani enterprises that's down by about one and a half to almost two percent lower in trade
03:34so you are seeing mixed numbers coming in even though the bottom line has improved it is coming at the cost of the
03:40operational hits that the company has managed to give at this point in time as well and therefore you do see that sharp spike
03:46cut down um that in trade that we saw for adani enterprises just moments before we started the show
03:52as well there is however some uptick now from that bottom line that we are looking at at this point uh
03:58for the markets let me also look at how some of the other sectors and stocks are moving in the last half
04:04an hour of trade all the sectors are down into the red viewers talk about psu banks financial services
04:10broader markets it auto metals everything is in a sea of red as of now only a handful of names about
04:17eight ten stocks on the nifty that are still managing to hold themselves into the green titan
04:22post earnings is up it's the top mover two and a half percent higher titan is the eyewear to even
04:28jewelry maker from tanishq that is uh uh you know you know hovering high about two and a half percent up
04:33bharti airtel is also up in trade about two percent higher you have bachaj finance state bank of india
04:38has reported its results and therefore you can see an almost uptick of one odd percent m&m from the
04:44auto space is also higher by nearly a percent after reporting better than expected results there too
04:50but what is dragging on the street clearly when we look at the top drags in terms of the stocks that
04:55are falling you have power grid you have eternal that's the parent company of zomato not doing well
05:00today you're also looking at hero moto down by about four odd percent ongc tata motors these are all the
05:05stocks that are truly dragging in trade but let me help you just get a sense of what kind of
05:10earnings have we been seeing at this point in time apart from adhani enterprises let's look at spi
05:16the profit is jumped by about 10 year on year to now come in at 20 000 160 crore rupees this has
05:22beaten estimates uh for the street as well as we are going to giving given to understand and this is
05:26also in sync with a lot of psu banking earnings that we have been getting as well let me also look at
05:33some of the other earnings m&m that's mahindra and mahindra has uh posted a profitability figure
05:39that's profit after tax which has jumped by 16 year on year to 3673 odd crores so those are the two big
05:46numbers that have come in from the adhani pack you also have had adhani ports report its numbers today
05:51net profit here has jumped by 27 year on year at 3 109 odd crores but let's get our guest now shayna
05:59ukaddam joins in market expert to give us a sense of how the markets are looking at this point in time
06:03uh shayna warm welcome good afternoon to you uh well first up 25 600 has been breached on the lower end
06:09we have been seeing a long haul of a lackluster move on the d street it's the weekly expiry we have
06:15a truncated holiday tomorrow's the stock markets won't function on account of guru nanak jainty
06:19what do you think is the key reason why the markets are consistently slipping breaking all
06:28sorts of important levels at this point in time and not really bouncing back to that attempted 26 000
06:34mark yeah so we are actually seeing some uh fi selling that has started coming in and uh while
06:42october was a good month now the levels that we are i think these are uh support levels so uh i hope
06:48that you know we will close above uh these levels uh or close to these levels because uh any fall beyond
06:55that will actually take us another 100 200 points lower on the nifty so uh let us see how the market
07:02will close okay uh shayna help me understand what are you making of the earnings uh so far uh you have
07:10seen today adani enterprises adani ports coming in adani enterprises just now coming in mixed set of
07:15numbers there's a stock has slipped after that we have state bank of india we have m mms these are the
07:20big numbers that have actually come in today what has stood out for you well the numbers have been
07:26quite uh good uh adani enterprises is actually also announced simultaneously a rights issue so that could
07:33maybe keep the you know stock at uh you know or consolidate at current levels for some time
07:39but uh there's a lot happening in adani enterprise also so if one was to participate i would say you could
07:45participate in the rights uh adani ports came out with good numbers in my view while volumes were
07:50slightly lower but i think overall the numbers were good and in terms of uh you know the projects that
07:55they have on hand in terms of uh going forward uh i think it's pretty good so adani ports also looks
08:01good in that space otherwise the numbers were good for sbi my view to an extent yes we did see the
08:08impact of uh you know the positive impact of the sale of the yes bank uh sort of supporting
08:13the overall profits and if you excluded that there was some bit of disappointment but i think with
08:19the asset quality being so good and improving actually for the quarter uh both on yoy as well
08:25as a few bases i think valuations are very attractive for sbi so if one is looking to invest it makes
08:33sense to invest for the longer term uh definitely at current levels m m numbers were also good but their
08:40valuations are a bit expensive on the higher side so if one was to look to add i would say that better
08:46to add it at lower levels they have been pretty well in terms of volumes both in tractors as well
08:50as of their series but i would say okay you can wait uh to add it at lower levels okay fair point and
08:57let's also focus on some of the other conglomerates and the stocks there too reliance group this is the
09:02anil durubai ambani group of stocks that are back in focus although for the negative reasons reliance infra was at
09:09the lower circuit all day reliance power is also down more than six percent this is all after the
09:15action by enforcement directorate that we've seen on the companies now remember the probe agency
09:21yesterday has attached over 132 acres of land belonging to dirubai ambani knowledge city in
09:28navi mumbai worth 4 463 crore rupees this was also in connection with the bank fraud case involving
09:35anil ambani's reliance communications the attachments were made under the provisions of
09:41prevention of money laundering act and followed earlier seizures of 42 properties worth 3083 crore
09:48in related to the cases of reliance communications reliance commercial finance and reliance home finance
09:54this also takes the cumulative attachment of properties in the group to 7 500 crore rupees and over that
10:01reliance infra has already clarified that the seizures have had no impact on the business
10:06and that anil ambani is not on the board of the company for the past three and a half years but the
10:11stocks are definitely lower
10:19china let me come to you with the and reaction to what's happening in the adag group for that matter
10:26remember in the beginning of this year there were a lot of positive news flows that pulled up these
10:31stocks higher in trade in hopes that perhaps the bad news is already done and dusted it's buried things
10:38are looking up for the company a lot of statements coming in from the company that how they have
10:43attained a debt-free status as well all of that really pulled up the stock pretty much the stocks of
10:50the company is pretty much higher and it's now again when these newer developments are coming to
10:56four more attachment of properties in the money laundering cases that have further led to pulling
11:01down off the sentiments there what are you advising investors at this point on this group well it is
11:08better to avoid even if you see something like a reliance and the stock has corrected quite a bit
11:14from its highs in the last couple of weeks but same at the same time i would say better to avoid you
11:19know it's never good to start investing uh when the stock or when the promoter group is involved
11:26in uh government uh you know litigation so i would say it's better to avoid fair point um let's
11:33actually move forward and now focus on the aviation space in fact there's some good news coming in for
11:39all the travelers and flyers out there remember the hefty charges used to pay on cancellation or modifying
11:46air tickets that could soon be a thing of the past in a major relief for flyers aviation regulator
11:53the dgca has now proposed a 48 hour window in which passengers can now cancel or amend their
12:01tickets without any additional charges this has now increased flexibility detailed in the draft rules
12:08known as civil aviation requirement now seek to make refunds faster fairer and more transparent for
12:15passengers as well remember this facility will only be available for flights departing after a minimum of
12:21five days after the cancellation or change has been incurred for international flights the period is now
12:2815 days and further tickets will have to be refunded now within 21 working days as well in fact
12:34karishma is joining in uh for more on this entire detail issue as well my colleague karishma sudhani is
12:39with us karishma seems like good news finally for travelers coming in uh there are so many times that viewers and
12:46you know all the flyers are stuck with an emergency situation and they have to take a measure to cancel
12:52their tickets or to modify their tickets um what was the scenario so far what kind of charges used to apply
12:59and now seems like we are going to be seeing this good news come in when we do have a 48 hour window to
13:05make any of those modifications uh sakshi until now uh the purview was mostly relying and resting with
13:16the individual airlines because let's not forget that aviation is a regulate is a deregulated sector
13:23and despite the fact that we have a regulated dgc it cannot freely personally intervene in the affairs and
13:30decisions of uh private airlines uh and and now if we look at it all the airlines in the country are
13:36uh uh vested in the hands of private sector so uh dgc is this uh recommendation or amendment that's
13:45coming in with the civil aviation regulation it's coming in because of the numerous complaints that
13:51have come in in the past uh few months in fact dgc has also said that despite the fact that it's
13:57deregulated they want to involve in this and and seek comments until the end of this month to
14:03understand if the airlines are on board with this structure now uh what we're picking up from our
14:09sources with the aviation companies is that it's not going to be a very sweet spot situation for them
14:14because this not only requires a lot of resources but we'll also do away with the fact that they may
14:19have to let go of a lot of revenue which by by the way has also been a way that was fetching them so
14:25quite a see-saw situation but let's see what happens after the consultation is completed
14:30absolutely well we will have to wait for the aviation companies to also come on board there
14:35and agree to all of this and then see whether this will be implemented soon thank you so much
14:40karishma for that but keeping our fingers crossed that at least for the consumers at large this good
14:44news is here to stay uh coming back to china china aviation industry as a whole um right now we hope
14:51we only have one large aviation player it's a monopoly of sorts indigo that has already been seen as a
14:58big wealth creator of the past uh you know goes on to show that uh you know even the industry has to
15:04consolidate even now it's a difficult industry to be in difficult business to be in and to be
15:09profitable at that as well but indigo has managed to do that so far so well let's try and find out
15:15whether there is still an opportunity for investors to invest on indigo's parent inter globe aviation
15:21at this level as well and what are you expecting on the overall aviation space
15:27today the results are supposed to be out somewhat later in the day so you would probably have a good
15:32chance to quiz the management on that having said that i think you know if you see the corresponding
15:36previous year september uh the the numbers there were losses actually so if you see optically i'm
15:43definitely sure that the numbers will look much better uh today uh also given the fact that you
15:49know uh crude oil aviation or aviation fuel is the major component of cost for uh in the globe as well
15:55as the aviation companies there i believe uh the they should benefit from lower prices and they have
16:02about 64 65 percent market share as of now the only major competitor being the tata group so i think uh
16:09competition is going to be limited between these two uh i would say i would say that it could be a buy
16:15but you know aviation stocks are always i would say you have to keep re-looking at them and i would
16:21call them more of trading stocks rather than the portfolio stocks because they're so dependent on
16:25where the crude oil prices go so you have to keep a regular track as of now i think uh yes you could make
16:31a bet for the next couple of quarters okay got that so that's the aviation space tackled which are the
16:38other sectors uh shayna that uh you're really looking at at this point in time for um you know
16:44green shoots for an uptake or you know a positive cycle that's just probably starting out are you
16:49looking at any key sectors that are giving you that sign already i would say of course banking remains
16:57a good sector to be in uh given the fact that i would say second half will be better but i see green
17:02shoots coming out in the metal space till now we have not really seen much happening out there
17:07but i see metal prices forming up you have copper you have aluminium so i think if one is a stock
17:13picker you can start nibbling into some of these stocks with a medium to longer term also in fmcg i
17:19think some of the industry sectors done pretty badly in the last year so uh i would say that some
17:25selective stocks you could start picking up of course i would say that you know the hotel industry has
17:31continued to do well good numbers so there so it's basically a uh you know uh i would say bottom
17:37top approach that you could take going forward okay fair point uh let's actually also focus on the other
17:44buzzing space and that's the ipo space as well shayana first up let's actually listen into the
17:49management of grow this has been the most highly anticipated ipo for a long time now this is billion
17:56brains garage ventures this is the parent company of grow platform uh which you all must be knowing
18:02in case you track the stock markets and invest in mutual funds as well as stock markets via the
18:06platform it's one of the biggest fintech offerings of this year it is already open for subscription
18:12this uh is of course a 6 632 crore rupees book built ipo with large part of it coming in as offer
18:20for sale giving an opportunity for existing investors to exit partially priced at 95 rupees to 100 rupees
18:27per share remember the retail portion is already fully subscribed on day one reflecting the strong
18:32investor uh you know interest as well the company's already raised 2009 84 crores from the anchor investors
18:39and the anchor book was subscribed over 16 times too remember i also spoke to harsh jain the whole time
18:45director and ceo of grow uh to talk about the ipo the company's growth plans going forward what he
18:53feels about the increasing competition in the discounted brokerage space and whether the company
18:59will continue to sustain its growth path it has achieved as far let's listen into what he had to say
19:07our growth has been uh coming because of the the nature of the platform you know when you build a
19:12platform for the first four years we had zero revenue i mean yeah so uh but then our product
19:18market fit was happening a lot of customers were coming and then they uh took uh you know they uh
19:24they retained over the platform for so long and we keep kept on offering new and new products so as a
19:29platform there's a lot of resilience that gets built uh in the business and also a lot of value for
19:35the customers to stick around for uh say for example someone starts their journey with say stocks you
19:41know over time they will want to do sips also they won't invest in etfs they will put some of their
19:47wealth in the bonds also so they will diversify over time uh so that becomes a powerful and every
19:53product has its own monetization so you're you will see in the most of the tech companies you'll see a
19:58slightly delayed monetization but when they start getting revenues the operating leverage is very
20:03strong so if you'll see our you know last three years data which you're referring to even from the
20:08revenue growth point of view but even from a bit of margin point of view also we've seen significant
20:12growth which will continue happening because every time you launch a new business or a new product
20:17you already have a lot of customers plus your cost to offer another thing is not uh i mean it's
20:23almost negligible because you are completely taken you are direct to customers as a platform
20:28so going forward also we see that there's a lot more potential you know what we've seen the last
20:32few years from a customer growth point of view was a good good start i would say because a lot of
20:37people have become aware they become knowledgeable about it they got a feel because around them also
20:42people started investing in parts betting capital market but when we see from here on where india
20:47deserve to be there you know there's still a good uh 5x to 10x growth available from the number of
20:53participants itself now for each participant to be able to participate in different products of capital
20:58market and engage will also drive over time so over time the penetration the adoption of different
21:04products and then our revenue and our profitability will follow just by the nature of the uh you know
21:10platform business that we are running at this point in time when larger players larger conglomerates like
21:16there is a chance that reliance industries could be also getting into a big fashion into this space
21:21how are you looking at the increased competition and what would that do to your own strategies
21:25see first thought that comes is that we are right you know in thinking that the industry will go 10x from
21:31here otherwise you know you will see that if the all the uh you know a lot of people coming in is a
21:37signal that you're thinking right in some way you're validating that industry is still yet to scale a lot
21:44so there's a significant growth financial services uh see we we are in a overlap of a financial services and
21:51in a tech you know the way we build our uh company it's a significantly tech company in terms of how
21:56we operate how the financials look like an operating marginal but we are solving financial need of
22:01customers so it's in financial services now in the the two space you know there is a there is a significant
22:06mode that comes from a tech point of view we have all our technology built in-house almost everything so
22:11that gives us a strong uh way to kind of it makes us agile it makes us uh you know very very resilient
22:19to the changes that are happening and also gives us a significant uh committed advantage in terms of
22:24the customer experience all right china let me come to you how are you looking at the opportunities
22:30within the ipo space there is enough and more action taking place uh there's a tug war tug of war
22:35that's taking place between lens card and grow today uh there's spine labs that's opening in later this
22:40week you have had many uh big ones that have opened this year already more to follow this month alone
22:46is expected to have 76 000 odd quad rupees being raised via the ipos too so how are you looking at
22:52the opportunity there i think most of the issues that are coming up for example we have let's cut we have
22:58grow they have shown uh tremendous uh you know performance in terms of what they have achieved in the
23:04short period of time uh at the same time i think now that they're coming up with the issue and
23:09re for retail investors i'm talking of retail investors who look to buy small quantities
23:14they have not really left much on the table you know for any retail investor to go and buy today
23:19and expect uh good returns uh over the next uh i would say two to three quarters or even a year
23:26so in my view if an investor is buying small quantities um if you're looking at the very long term
23:32yeah you could but i think both of them are grossly overpriced uh for the shorter term uh so i would
23:38say if you're looking to flip then it's better to avoid uh i would in fact if i'm looking at the
23:44capital market like for example grow i'm very positive i totally agree with the promoter that
23:48you know the long term prospects are very good but for brokers the competition is going to be intense
23:53as you yourself pointed out geo is coming in a big way and a lot of existing ones who are also
23:58actually upgrading their technology to become more competitive so i would say better than if you want to
24:04participate in the capital markets like for example what i have done uh you know invest in the uh
24:10exchanges like for example bsc it's equally expensive but you know whichever way the market
24:16goes and the competition is going to remain limited nsc will come up with its ipo by the year end
24:20hopefully so i would have invested in both of them and i think these are the places you need to be
24:25invested in you have cdsl you have nsdl so i would prefer being in a space where you know the
24:32competition is going to be limited rather than get into such high valued stocks as of now
24:37fantastic shahida so hold that thought i'll just quickly wrap up the markets 175 points lower in
24:43trade for the nifty we've ended below the 25 587 mark right now about 175 points lower we're at the
24:52lowest point of the day so this is the weekly expiry session that's actually panned out to be
24:56uh pretty weak for the markets and in a truncated week as well half what percent decline for the nifty
25:02bank it's been a complete choppy ride uh throughout the course of the day and we've ended again on the
25:06lower note this is led by uh you know heavy weight sectors like it for instance that stopped by about
25:12one odd percent in trade others that have dragged our metals autos also losing their sheen in trade
25:17today one and a half percent lower in fact all the sectors have actually lost their ground in trade
25:21today as well only india wicks that's up that actually uh goes on to show that the fear is rising in
25:27the markets handful of the stocks that managed to pull up are titan bharti etel bajaj pincel
25:32bajaj finance hdfc life state bank of india but top drags coming in clearly from the it pack from
25:39the auto pack as well uh power grid adani enterprises poster earnings look at coal india tata motors these
25:45are all the stocks that have dragged in trade today but uh let's quickly um you know wind up but before
25:52that uh asking you uh shana to pick up one or two stock ideas that you would want to highlight for
25:56all our viewers today so that they can prepare for for the next day that's day after i think the
26:03market is closed on a weak note so one needs to be cautious because it can go down by another
26:08150 200 points on the nifty uh i think bharti came out as you pointed out with very good numbers
26:14so one is looking for safe bet i would say bharti uh could look like a decent bet if you're looking at the
26:20shot of town fantastic china thank you so much then for being with us on the show and of course for
26:25highlighting all these insights for all our viewers to see viewers time for a break but we actually
26:30leave you with the visuals of two indian american entrepreneurs adhar shiramat as well as surya midha
26:36who's actually become both of whom have actually become world's youngest self-made billionaires just
26:4122 years old the two have broken meta founder mark zuckerberg's record of having become a billionaire
26:49at 23. the ai recruiting startup mercury recently secured 350 million dollars in funding valuing the
26:59company at 10 billion dollars the duo who began as high school debate champions in silicon valley
27:05now represent a new age of technology disruption and wealth creation
27:10with that it's a wrap on the business today show do stay tuned with a lot more news coverage on india
27:24today and of course i'll be seeing you now next on thursday after the market holiday tomorrow
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