Weak rupees,
FII numbers, recession fears and inflationary pressures continue to weigh on sentiment. However, strong auto sales and decent GST collection in June boosted sentiment.
The benchmark indexes – BSE Sensex and Nifty50 – are up less than half a percent each, while the mid- and small-cap indexes are up as much as one percent each.
Among the gainers, electricity, utilities and capital goods rose 3%, followed by the FMCG, real estate and metals indexes, up 2% each. In contrast, telecom and banking stocks were the biggest disappointments.
VK Vijayakumar, Investment Strategy Manager at
.
“Short-term stock price movements predict better-than-expected Q1 results in these segments. Metals are likely to bottom out due to poor Q1 results,” he added.
In the BSE 500 index, 300 stocks yielded positive returns. However, only 10 stocks can deliver double-digit gains. increased around 14% to Rs 1041.3 as the company announced the formation of a unified lighting business segment by combining the consumer lighting business and the professional lighting business. was another top company, growing 13% to Rs 1543.9 after the company appointed Nikunj Kedia as Product Manager. Recently, CCI approved the acquisition of shares by BC Asia Investments.
Automotive Auxiliary Company
also up 13% for the week thanks to a good growth outlook. Amid rising auto sales, this scenario has stabilized at Rs 124.9 for the week.
Led by Gautam Adani
rose about 12% to Rs 2,402.70 for the week. The company has been on the radar of traders due to its strong technical setup.
India’s Pipe Investment,
BASF India, Metro Brands, and others posted double-digit profits for the week.
In contrast, only 5 stocks decreased by 10% or more. Zomato tops the list of discounts, dropping about 20% to Rs 56.1 after the company’s board approved the acquisition of Blinkit in an all-stock deal.
Market analysts and investors have underestimated the deal of Rs 4,447.5 crore Blinkit due to higher valuation and more burning, which will affect Zomato’s path to profitability.
Credit Suisse said the deal is going as expected, adding that the acquisition will likely increase Ebitda’s losses for the next two fish. Another brokerage, Edelweiss notes that Blinkit’s annual cash burn stands at Rs 1,290 crore.
down 12% to Rs 346 after profit booking. The script traded around Rs 390-400 mark last week.
Despite announcing a partnership with
, Star Health & Allied Insurance Co backed by Rakesh Jhujhunwala fell 11% to Rs 473.65 for the week. It has adjusted more than 47% from the issue price of Rs 900.
In the last month,
has issued a buy rating to the company with a target price of Rs 840, while Emkay Global has recommended a buy of the stock with a target price of Rs 945.
Indian oil fell 11% to Rs 213.95 after the government imposed an additional excise tax on fuel.
Johnson Controls – Hitachi Air Conditioning India, Bharat Dynamics,
and Blue Star are the others that are down 8-10% for the week.
Yesha Shah, Head of Equity Research, Samco Securities, said that the domestic stock market is expected to remain volatile due to a series of market-changing events. She added: “Investors should pay attention to management comments and choose companies with strong foundations to focus on the long-term picture.
(Disclaimer: Recommendations, suggestions, views and opinions expressed by experts are their own. These recommendations do not represent the views of The Economic Times)
