Weekly Market Review Top Stocks that were in Focus for the week ended 29th Nov 2024
The week started on a positive note for the bulls driven by the favourable outcome of the Maharashtra elections, where the BJP-led coalition party victory boosted investor sentiment. This is something we, too, highlighted as one of the key triggers in our last weekly update and as well at the start of the month in our monthly market review.
After failing to secure a majority in the Lok Sabha election, the resurgence in the performance of the BJP in assembly election has helped mitigate investor concerns about the government’s policy and development agenda.
The rally gained further momentum due to a global market uptrend, driven by robust US economic data, MSCI rebalance flows, hopes for upcoming interest rate cuts by the Fed, and the appointment of Scott Bessent as the new US Treasury Secretary. Scott’s selection was viewed as a reassuring development for the stability of both the US economy and its financial markets.
However, on Thursday, which was also the monthly expiry, benchmark indices dropped 1.5 per cent, erasing some of the gains witnessed during the week as tensions escalated between Russia and Ukraine and also after stronger-than-expected US inflation numbers. This fall is also attributed to the expiry-related reversal of positions and flows which came earlier.
We believe that sector-specific, along with momentum in small and midcaps, is likely to continue.
With this, let me present to you our weekly portfolio review.
On a weekly basis ended on Friday, the Indian benchmark indices ended in green. Sensex and Nifty were up 0.9 per cent, while Midcaps were up 2.3 per cent.
The coming week is expected to be very heavy as investors continue to monitor key developments taking place both globally and locally, which can have an impact on domestic bourses.
On the global front, we have the OPEC Meeting (delayed to 5th December), ISM Manufacturing & Services PMI, Initial Jobless Claims, Fed Official Speech and further development with respect to the Russia-Ukraine war.
Back in India, investors will be busy monitoring the key RBI MPC Meeting scheduled for December 4-6, auto numbers for November, the much talked about Foreign Institution Investor (FII) flows, Fiscal Deficit, India GDP Numbers, HSBC Manufacturing & Composite PMI etc.
Brent crude oil prices trade flat around USD 73/bbl as traders after a report showed a large drop in U.S. oil reserves last week while OPEC+ will meet over the weekend to consider its plan to begin returning 2.2 million barrels per day of production cuts to the market.
On the other hand, FIIs continue to be net sellers for the week.
PSU bank, realty and media remained in focus during the week.
Stock is on the verge of breaking out from a consolidation zone on the daily chart.
It is perfectly respecting its 50 DEMA with slight dips being bought into. The ADX line is headed up which confirms the strength of the bullish trend.
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Ultratech Cement:
As part of its ongoing capacity expansion programs, Ultratech has identified an opportunity for debottlenecking at its integrated unit at Kukurdih, Chhattisgarh. The unit’s capacity has increased by 0.6 mtpa, i.e. from 2.7 mtpa to 3.3 mtpa. The total cement capacity has reached 156.66 mtpa, including its overseas capacity.
Dixon Technologies:
Dixon’s wholly owned subsidiary- Padget Electronics Pvt Ltd together with Compal to launch mass production of Google Pixel (Smart phones) for Compal’s designated customer ‘Google Information Services India Private Limited’.
The said production will commence at the plant of Padget Electronics situated at Sector-68, Noida. This is a significant opportunity for Dixon and marks an exciting step in growth and commitment to delivering cutting edge, high quality products to the global and domestic market.
RVNL:
Rail Vikas Nigam Ltd emerges as the Lowest Bidder (L1) from PSPCL for development of distribution Infrastructure work for Package-3 Central Zone for execution of HT/LT Infrastructure loss reduction works under reforms-based and results-linked, revamped distribution sector scheme (RDSS) in the state of Punjab. The time period to complete the said order is 24 months, amounting to Rs 642 crore.
Macrotech Developers:
Macrotech Developers has executed a Share Purchase Agreement (“SPA”) for acquisition of 100 per cent stake in Janus Logistics and Industrial Parks Pvt Ltd (“JLIPPL”), valued at Rs 47.94 crore. Post this, JLIPPL will become a wholly owned subsidiary of the company.
This is in pursuance of Macrotech’s planned strategy for calibrated growth in annuity income through Digital Infrastructure viz. Industrial and Logistics under the LILP (Lodha Industrial and Logistics Park) brand.
GAIL:
Looking to expand its fleet of LNG carriers, GAIL has signed a long-term time charter contract with Kawasaki Kisen Kaisha, Ltd. (“K” LINE) through the ship-owning company established in Singapore for a new-built LNG ship. “K” LINE has expertise of 40 years in LNG transportation. This is the first long-term time charter contract between GAIL and “K” LINE involving a newly built vessel which is expected to be engaged in transportation of Liquified Natural Gas (LNG) for GAIL in 2027.
PCBL:
The company has informed exchanges that the second and final phase i.e, 20,000 MTPA of 40,000 MTPA specialty chemical capacity at Mundra Plant, Gujarat has been commissioned on 28th November, 2024. With this, the combined manufacturing capacity of the Company is 7,90,000 MTPA.
Max Financial Services, SBI Life Insurance & HDFC Life:
With reference to a media broadcast publishing capping of 50 per cent for the business generation of the insurance companies through their bancassuance partners, Max Life Insurance (Max Life), a material subsidiary of Max Financial Services, SBI Life Insurance and HDFC Life have clarified and confirmed that they have not received any such directive or communication by the Insurance Regulatory and Development Authority of India (IRDAI) on the capping for the business generation of the insurance companies through their bancassuance partners or any capping in Banca sale of the parent bank thereby making the said media broadcast unsupported and with no ground. Further, the companies were part of any such discussion with IRDAI.
PC Jewellers:
The Board at its meeting held on 28th November 2024 has fixed 16th December 2024 as ‘Record Date’ for the purpose of sub-division / split of equity shares of the company, such that 1 equity share having face value of Rs 10 each, fully paid-up, be sub-divided / split into 10 equity shares having face value of Rs 1 each.
NBCC:
NBCC has signed MoU with HUDCO for development of 10 acre institutional plot at Noida sector-62 having 8.71 Lakh sq ft. of built-up area with a mix of office space, studio apartments, conference space and retail & common facilities as Project Management Consultant . The tentative cost of the project is Rs 600 crore approx.
Siemens:
Siemens reported profitable growth across segments; Q4FY2024 revenue is up 11 per cent to Rs 5,894 crore and Profit after Tax up 45 per cent to Rs 775 crore. During Q4FY24, the new orders rose by 37 per cent and were at Rs 6,164 crore.
The strong orderbook was backed by healthy demand across all business segments while Digital Industries continued to experience normalization in demand. Excluding the large 9,000 HP electric locomotive order from Indian Railways received in FY23, the new orders are up by 14 per cent in FY24.
The Board has also recommended a dividend of Rs 12 per equity share.
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