Even as the Sensex and the Nifty 50 scale new highs, how have the individual nifty sectoral indices performed? In this post, we’ll take a look at the sectoral indices in order to identify the outperforming and underperforming sectors. We shall also try to unearth the ones that are setting up well and could end up being the next outperforming sector.
Indian investors looking for a high yielding InvIT option for income seekers with relative safety have very limited choices today. Infrastructure Investment Trusts or InvITs, which are a halfway house between stocks and bonds, offer such investors a shot at earning higher yields without high risk to their capital.
Federal Bank is charting a different course with a significant thrust on technology, digital adoption and diversification into new retail segments in the last five years.
On the heels of Zomato, Burger King, and Mrs Bectors comes the Devyani International IPO. This company runs the KFC and Pizza Hut chains across the country. It has other restaurant chains too, but the bulk of its revenues come from these two. Devyani International is aiming to raise approximately Rs 1,838 crore through its IPO.
Sugar stocks have been fired up lately on expectations that the industry is set to turn a corner. While the sector has seen many false dawns on reform hopes in the past, the changes we are seeing this time around could turn out to be the real deal.
Glenmark Life Sciences (GLS) is a generic API (Active Pharmaceutical Ingredients) manufacturer and a subsidiary of Glenmark Pharmaceuticals. The Glenmark Life Sciences IPO is worth Rs. 1,514 crore, comprising fresh issue of Rs.1,060 crore and an offer for sale worth Rs.454 crore by Glenmark Pharmaceuticals. Should you invest in the IPO of this high-value, non-commoditized API player?
Amara Raja Batteries Limited (ARBL) is the second largest storage battery manufacturer in India by revenue. The organised sector is a duopoly structure with two major players, ARBL and Exide Industries.
If there’s talk in the stock markets today, it’s devoted to the upcoming Zomato IPO, which aims to mop up Rs 9,375 crore. Unlike the crop of recent private equity investor backed companies doing IPOs, this isn’t primarily an offer for sale. Zomato gets a whopping Rs 9,000 crore to deploy into its business mainly through a fresh issue of shares. Only one investor, Info Edge, will offload a Rs 375 crore stake. At the upper end of the price band of Rs 72-76, the post-offer market cap of listed Zomato will be around Rs 60,000 crore.
In a bull market, when fancied sectors command premium valuations, IPOs in that space also come with a stiff asking price. We have seen this in the chemicals space. However, when a sector has been languishing for long and sees pick up only in pockets, will an IPO from such a sector leave money on the table? More specifically, will GR Infraprojects be one such offer? Read our take.
Mobility powered by electricity is fast becoming a reality. And one space that is expected to see accelerated adoption of electric vehicles is the basic commuter space, made up of 2- wheelers, particularly scooters. Scooters are mostly used for short commutes, their electric versions have a more affordable purchase price after FAME II (Faster Adoption and Manufacturing of EV) subsidy and they have lower running costs than petrol scooters. With almost 40 lakh scooters sold in India in a year, annual sales of 40,000 units for high-speed EV scooters look small. There is scope for faster adoption driven by basic commuting, e-commerce, and low speed mobility needs.
Last month, we reviewed a lesser-known a consolidation play in the commodity space play as a story fitting a ‘special situations’ theme. We now issue a ‘buy’ call on this stock and recommend accumulating the stock in phases, preferably adding on dips, if opportunities arise.
Sugar industry: Will ethanol blending prove a turning point? Commodity prices have been rallying globally in the last few weeks, with some folks speculating if this is the start of a new commodity ‘super-cycle’. With all eyes on commodity stocks, the sweetest of them all, sugar companies, too have been trending higher. Leading players such as Balrampur Chini Mills Limited, Dhampur Sugar Mills Limited and EID Parry saw their stocks hit 52-week highs in June (Balrampur Chini Mills Limited and Dhampur Sugar Mills Limited even hit all-time highs) and some stock prices even doubled in the last six months. Here we take a look at the sugar sector in India and its nuances.