L&T TOO REPORTS POOR NUMBERS FOR Q4

EPC giant Larsen & Toubro has reported a 27 per cent dip in net profit to Rs 2,069.64 crore for the March quarter.

The company’s net sales grew around 4 per cent to Rs 28,022.62 crore during the quarter, as against revenues of Rs 27,024.14 crore reported in the same period of the previous fiscal.

The company's consolidated PAT for the year ended March 31, 2015 at Rs 4,765 as against Rs 4,902 crore recorded for the previous year.

The stock is likely to react negatively in tomorrow's trade.

TODAY;S QUOTE

Vital to every operation is cooperation. Frank Tyger

NSE TO CONDUCT MOCK TRADING ON 06-06-2015

NSE will conduct a Mock trading  session on Saturday, June 06, 2015, in the Capital Market Segment on Saturday,June 06, 2015 as per the following schedule:


Pre Open* 10:00 hrs 10:08 hrs

Normal Market 10:15 hrs 15:30 hrs

Call Auction Illiquid session (5 sessions of 1 hour each) * 10:30 hrs 15:30 hrs

Auction Market 14:00 hrs 15:15 hrs

Closing Session 15:40 hrs 16:00 hrs

Re-Login time 17:30 hrs 18:00 hrs

FIIs NET BUY FOR RS 2284 CR

FIIs have net bought for Rs 2284 cr in cash market, yesterday. DIIs have net sold for Rs 2268 cr in the same segment.  NIFTY stocks have clocked a turnover of Rs 20,736 cr, one of the highest in recent times.

PAGE INDUSTRIES HITS ALL TIME HIGH

Page reported robust numbers for Q4. The net profit stood at Rs. 47 cr as compared to Rs. 35 cr for the quarter ended March 31, 2014. 

Total Income has increased from Rs. 285 cr for the quarter ended March 31, 2014 to Rs. 380 cr for the quarter ended March 31, 2015.

For the full year the Company has posted a net profit of Rs. 196 cr as compared to Rs. 154 cr for the year ended March 31, 2014. 

The total Income has increased from Rs. 1194 cr for the year ended March 31, 2014 to Rs. 1551 cr for the year ended March 31, 2015.

The stock closed at Rs  16, 207 after hitting all time high of Rs 16, 500.

The company has an equity base of Rs 11.15 cr, the EPS for the whole year works out Rs 176.

MERGER EFFECT : SUN PHARMA POSTS LOWER PROFITS

Sun Pharmaceutical Industries  has posted profit of Rs 888 crore for the fourth quarter ended March 31, mainly due to Ranbaxy merger impact.

Sunpharma's net profit stood at Rs 1,587 crore for the same period of the previous fiscal.

For the year ended March 31, the company posted a net profit of Rs 4,540 crore, as against Rs 3,141 crore reported in the previous year.

Net sales of the company stood at Rs 27,286 crore for the entire fiscal. The same stood at Rs 16,004 crore in 2013-14.

The stock closed at Rs 969, up Rs 14 in Friday's trading.

MARKET TO OPEN ON FIRM NOTE

Stock markets are expected to open on firm note. Tech, pharma, financials and cement stocks will be in limelight. Being the first day of new series operators are likely to build positions in select counters.

COAL INDIA's Q4 NET UP, REVENUES DOWN

Coal India has posted a net profit of Rs. 9629 cr for the quarter ended March 31, 2015 as compared to Rs. 646 cr for the quarter ended March 31, 2014. 

Total Income has decreased from Rs. 10152 cr for the quarter ended March 31, 2014 to Rs. 9964 cr for the quarter ended March 31, 2015.

The Audited Consolidated results for the Year ended March 31, 2015

The company has posted a net Rs. 13726 cr for the year ended March 31, 2015 as compared to Rs. 15111 cr for the year ended March 31, 2014. 

Total Income has increased from Rs. 77779 cr for the year ended March 31, 2014 to Rs. 80690 cr for the year ended March 31, 2015.

ONGC's Q4 REVENUE FLAT, NET DIPS

ONGC has  reported a 19.5% drop in its net profit for January-March 2015 to Rs 3,935 crore against Rs 4,889 crore in the corresponding period a year ago.

The total income from operations grew 1.6% to Rs 21,647.5 crore in Q4FY15 compared with Rs 21,313 crore in the year-ago period.
The stock closed at Rs 328, down Rs 3 in yesterday's trading.

NSE INTRODUCES 14 MORE STOCKS TO F&O

NSE has introduced the following stocks to future and options.

 No Name of the Security Symbol Lot size

1 AJANTA PHARMA LIMITED AJANTPHARM 250

2 AMARA RAJA BATTERIES LIMITED AMARAJABAT 250

3 BAJAJ FINANCE LIMITED BAJFINANCE 125

4 BHARAT ELECTRONICS LIMITED BEL 125

5 BRITANNIA INDUSTRIES LIMITED BRITANNIA 125

6 CASTROL INDIA LIMITED CASTROLIND 500

7 CEAT LIMITED CEATLTD 500

8 DEWAN HOUSING FINANCE CORPORATION LIMITED DHFL 500

9 KAVERI SEED COMPANY LIMITED KSCL 250

10 OIL INDIA LIMITED OIL 500

11 PAGE INDUSTRIES LIMITED PAGEIND 125

12 PIDILITE INDUSTRIES LIMITED PIDILITIND 500

13 THE SOUTH INDIAN BANK LIMITED SOUTHBANK 9000

14 SRF LIMITED SRF 250

WHY PRIVATE SECTOR BANKS PERFORM BETTER THAN PSU BANKS

Private sector banks always report better numbers compared to their PSU peers. FirstChoiceIPO analysed the reasons for the same . The findings point towards the following, among others: 

There is no level playing ground. PSU banks are saddled with unremunerative business thrust by the government which is impacting productivity. Private banks motto is profit, where as PSU Banks are directed towards social banking rather than profit oriented business .

The major customer base of PSBs are in rural and semi urban who are not tech savvy as yet and selling tech products which reduces op cost is a far cry.

Large borrowers are mostly connected to the power centre and PSBs have not much way out from these. The FRP type of instructions become a fait accompli impacting the profitability. 

The Private sector do not participate in Govt sponsored schemes which is a target to the PSBs. The effort that goes from the highly efficient PSB staff  is not being factored while targeting PSBs by comparing with Public sector banks.

The priority sector targets in private sector banks are not as high as PSBs and they tend to prefer the RIDF route rather than finance those sectors given the history of defaults in Priority sector. This again is a issue since PSBs are bound to follow the directions of  owner by majority shareholding. 

First the Banks should be freed from the Govt control and allowed to function , then give some time for them to show their efficiency instead of constantly bombarding the PSBs by comparing to Private sector.

FIIs NET SELL FOR RS 935 CR

FIIs have net sold for Rs 935 cr in yesterday's cash market. DIIs have net bought for Rs 594 cr in the same segment.

TODAY'S QUOTE

There is no better measure of a person than what he does when he is absolutely free to choose. Wilma Askinas

FORTHCOMING IPO: SADBHAV INFRASTRUCTURE PROJECT LIMITED

               ISSUE DETAILS:  

ISSUE SIZE	RS 425 CR
PRICE	NOT YET DECIDED
FACE VALUE	RS 10
BUSINESS	ROAD BOT, CONSTRUCTION
PROMOTERS	SADBHAV ENGINEERING LIMITED AND VISHNUBHAI M. PATEL
LISTING	BSE, NSE
BRLM	KOTAK, INGA, ICICI SEC, EDELWIESS, MACQUARIE  CAPITAL
REGISTRAR	LINK INTIME
IPO GRADING	NA

MARKET CAP BETWEEN RIL AND TCS WIDENS

Market cap of TCS as on yesterday stood at Rs 5.11 lac cr and RIL's at Rs 2.86 lac cr. The gap between the first and the second most valued company on the indian bourses has  now  increased to Rs 2.25 lac cr.

IPO NEWS : COFFEE DAY PLANS TO RAISE RS 1000 CR, TO PARE DEBT

V.G. Siddharth promoted  Coffee Day Enterprises is planning to raise Rs.1000 through an initial public offerings. The proceeds mainly will go to pare debt. The company may file papers with the regulator in the next few weeks.

Through the IPO some of the early PE investors like KKR India Advisors, New Silk Route PE Asia Fund and Standard Chartered Private Equity Fund are likely to divest their stake partially.

BSE REVISES CIRCUIT FILTER FOR 13 STOCKS

BSE has changed the circuit filter for the following stocks with effect from May 27, 2015.

Sr. No.	Scrip Code	Scrip Name	Circuit Filter % Revised to
1	539131	Crescent Leasing Ltd	20
2	531146	Medicamen Biotech Ltd	10
3	531339	Jaihind Projects Ltd	10
4	531687	Karuturi Global Ltd	10
5	538564	James Warren Tea Ltd	10
6	531934	Supreme Tex Mart Ltd	5
7	533315	Innovassynth Investments Ltd	5
8	537954	Shri Krishna Prasadam Ltd	5
9	500256	Lok Housing & Constructions Ltd	5
10	508996	Satra Properties India Ltd	5
11	521174	Arora Fibres Ltd	5
12	522209	Yogi Sungwon (India) Ltd	5
13	520115	Brakes Auto India Ltd	2

ICICI, AXIS BANK CUT HEAD COUNTS

After many years exponential growth in employees head count,  ICICI  and Axis Bank are on the reverse gear. ICICI bank's employees strength as on March 2015 stood at 67,857, against 72,226 a year earlier.  In the period between 2010-2014, the bank’s employee base more than doubled from 35,256 to 72,226.

Similarly Axis Bank's headcount fell by 190, from 42,420 to 42,230, between 2014 and 2105.

MARKETS TO FOLLOW GLOBAL CUES, OPEN LOWER

Stock markets in India are expected to open lower, following global cues. Stock markets across globe closed in the negative zone on possible rate hike by Fed and likely default by Greece. Dow, NASDAQ and S&P indices have lost around one percent. 

ALL CARGO TIES UP WITH ALIBABA

E Commerce giant Alibaba has tied up with Delhi based Allcargo Logistics' overseas subsidiary ECU Line to ship less-than-container load or LCL consignments to India. 

CURRENCY FLUCTUATIONS HITS TATA MOTORS, NET DOWN 56%

Currency fluctuation has the Tata Motors hard. Tata Motors has  reported a 56 per cent decline in consolidated net profit for the fourth quarter ended March 31, 2015,  at Rs 1,716 crore, as against Rs 3,918 crore in the same quarter of the previous fiscal.

For the full year net profit  stood at Rs. 13986 cr as compared to Rs. 13991 cr for the year ended March 31, 2014. 

Total Income has increased from Rs. 233662 cr million for the year ended March 31, 2014 to Rs. 263695 cr for the year ended March 31, 2015.

The stock in yesterday's trading closed at Rs 497, down Rs 8.

PNC INFRA TANKS 7% ON LISTING

PNC Infra stock closed at rs 360, against IPO price  of Rs 378.

LISTING NEWS : PNC INFRA TO LIST TODAY

PNC Infra IPO shares will be listed on the bourses today. The IPO managed to scrape through thanks to high net worth investors support. The IPO in the price band of Rs 355-378 received very poor response from the retail community, subscribing just 28% of shares allotted to  the category.

The poor quality IPO was lead managed by ICICI securities and IDFC securities.

The stock is likely to settle down under Rs 200 in the near term.

FirstChoiceIPO had advised the investors to avoid the IPO.

TODAY'S QUOTE

There is nothing wrong with change, if it is in the right direction. Winston Churchill.

BUSINESS STANDARD : ONE YEAR OF MANMOHAN SINGH's RULE WAS BETTER THAN MODI

Stock markets have performed better in the first year under Manmohan Singh's rule (UPA I and UPA II) as compared to Modi's first year.

CANARA BANK REPORTS FLAT NUMBERS

Bangalore based  public sector behemoth, Canara Bank, has reported flat growth in net profit at ₹612.96 crore in the fourth quarter ended March 2015, as compared to net profit of ₹610.83 crore  reported in the corresponding year-ago quarter.

The bank for the year-ended March 2015, the bank reported an 11 per cent growth in net profit at Rs 2,703 crore (Rs 2,438 crore).

SHAREHOLDERS EMPOWERMENT SERVICES OPPOSES INFY MERGER PROPOSAL

Shareholder Empowerment Services  has recommended investors of Infosys to vote against a proposal to merge its core banking product Finacle with its products and platforms subsidiary EdgeVerve Systems.

FOUR OUT OF SIX IPOs OF 2015 ARE TRADING BELOW OFFER PRICE

Four out six IPOs that hit the market in 2015 are trading below the offer price. They are - UFO Moviez, MEP Infra, Ortel Communications and Ad Lab. 

FirstChoiceIPO had advised the investors stay away from the above IPOs.

The other two IPOs that are trading above the IPO price are - VRL Logistics and Inox Wind Power.

SEBI CLEARS NAVKAR CORP AND PRECISION CAMSHAFTS IPOs

SEBI has cleared the IPO proposals of  Navkar Corporation and Precision Camshafts. 

ITC's CONSOLIDATED NET IMPROVES, STOCK DOWN

ITC has posted a net Profit after taxes of Rs. 96631.70 million for the year ended March 31, 2015 as compared to Rs. 88913.80 million for the year ended March 31, 2014. 

Total Income has Increased from Rs. 362880.30 million for the year ended March 31, 2014 to Rs. 400913.20 million for the year ended March 31, 2015.

The stock has lost 3% in today's trade and trading around Rs 319.

INDICES DOWN, LUPIN UP

Sensx has lost  130  and NIFTY 40 points in the opening trade. Lupin has gained Rs 24 and trading around Rs 1769 as of now. Lupin will be replacing Tata power in the Sensex shortly.

CLSA MAINTAINS BUY ON SBI, TARGET RS 360

Brokerage house CLSA has maintained buy ratings on SBI, despite the banking behemoths poor performance in the last few quarters. CLSA has set a target of Rs 360 for the stock, in the medium term.

TODAY'S QUOTE

Let all your things have their places; let each part of your business have its time. Benjamin Franklin

IPO NEWS : ALKEM LAB PLANS LISTINGS

Mumbai based Alkem lab, a leading generic and specialty drug manufacturer is planning to lists shares on the bourses. The listing is expected to take place in FY 16-17. 

Alkem is India’s seventh largest pharmaceutical company with revenues exceeding USD 500 million.

Alkem is a pioneer in the acute and chronic therapeutic segments with extensive brand share in the Central Nervous System, Gastro-intestinal, Anti-diabetic, Anti-malarial, Cardiovascular, Immunosuppressants, and Neutraceuticals segments. 

Alkem’s state-of-the-art manufacturing facilities across 7 locations in India, approved by global regulatory authorities including the US FDA, UK MHRA, MCC South Africa, Alkem exports to around 50 countries across the globe.

GREECE LIKELY TO DEFAULT

Greece is likely to default in repayment to the International Monetary Fund due on 5 June as it does not have the money.

Greece needs around $ 1.80 billions to make four instalments for the IMF loans,  in June.

At present Greece treasury is almost empty. 

HERO MOTOCORP SELLS 1 LAC VEHICLES ON LINE

Hero MotoCorp has sold 100,000 motorcycles and scooters on online marketplace through Snapdeal.

At an average of Rs 50,000 for each unit, the value of the sales achieved online would be approximately Rs 500 crore. 

IPL 2015 : MUMBAI INDIANS ARE THE CHAMPIONS

Mumbai Indians beat the CSK by 41 runs to win the IPL champions trophy for the year 2015.

SENSEX : LUPIN IN, TATA POWER OUT

BSE has reconstituted the sensex stocks. It has removed Tata Power and included pharma major Lupin. Lupin is already in NSE's NIFTY.  Lupin is the top performer in the NIFTY stocks in the last 1 year. The stock has gained nearly 90%, where as the benchmark indices have appreciated around 17%.  

SBI's RS 15,000 CR FPO / RIGHTS OFFER BY OCT

Country's biggest lender, SBI, is planning to mobilise Rs 15,000 cr through rights / FPO to meet its capital requirement. The exercise is expected to be completed by Oct, 2015.

PSU BANKS WAGE SETTLEMENT FINALISED

PSU bank employees will get 31 months arrears and new salary next month. An agreement has been reached between the management of banks presented by IBA and the bank unions.

The average pay hike is 15 percent plus.

NBCC TO DILUTE FURTHER

NBCC's government stake will come down by another 10 percent. NBCC's board has necessary resolution in this respect. At present government holds 90% stake in the company. 

The funds from the FPO will be used for business expansion.

The stock closed at Rs 807 in Friday's trading.

BSE TO INTRODUCE PAIRED OPTION CONTRACTS

BSE proposes to introduce paired option contacts shortly.

Paired options contracts are 2-legged contracts that shall allow a trader to take positions on 2 different option contracts belonging to the same option product, at the same strike price and having the same expiry.

Paired option contracts shall be made available on SENSEX option and 10 single stock option products that are part of the SENSEX index. List of option products with paired options shall be communicated in due course.

Market lot, tick size and expiry of such contract shall be same as that of its corresponding   individual leg.

These contracts shall be available on current, near and far monthly contract.

Minimum 2 In-the-Money, 2 Out-of-the-Money and 1 At-the-Money paired option contracts shall be made available in the existing spread contract master file.  

Paired option contract shall comprise of one Call leg and one Put leg having same strike price and expiry.

Buying such contract implies taking a buy position in the individual Call option contract and sell position in the individual Put option contract with same strike price and expiry.

Similarly, Selling such contract implies taking a sell position in the individual Call option contract and buy position in the individual Put option contract with same strike price and expiry.

Each paired option contract shall have its own order book and order entered in such contract shall be executed as per the normal price time priority logic.

Matching in each paired contracts shall result in 2 trades – one trade in the individual Call option contract and other trade in the individual Put option contract.

The trade executed in such contracts shall be decomposed into in its respective simple contract legs, similar to the calendar future spread .

PNC INFRA TO LIST ON 26-05-2015

PNC Infra IPO shares will be listed on the exchanges on 26-05-2015.

BAJA AUTO's NET DOWN 19%, STOCK UP 8%

Bajaj Auto has posted a net profit of ₹622 crore for the March quarter  as against ₹784 crore in the same quarter of 2014.

Bajaj sold 9.36 lakh units to 7.83 lakh units which stands lower by 16.34 per cent Y-o-Y, while net income from operations too, declined to ₹4,739 crore against ₹4,932 crore in Q4 FY14.

 The company says margins for the quarter were impacted by several one-off expenses.

The stock was the star performer in yesterday's trading gaining nearly 8% and closed at Rs 2314.

CITIGROUP CUTS SENSEX TARGET FOR DEC 2015

Citigroup has lowered the Sensex target from 33,000 to 32,200 for Dec 2015. This is on account of not pursuing big reforms by NDA government. The euphoria that existed when NDA governemnt assumed power last year has vanished.

OMNICARE ON CVS RADAR?

Retail drug store giant CVS Health Corp is eyeing to buy pharmacy service provider Omnicare Inc. The deal could be in the range of $ 10-12 billions.

NESTLE MAY COME UNDER PRESSURE

Makers of Maggi noodles, Nestle, may come under pressure in today's trade as Food Safety and Drug Administration  to recall a batch of Maggi noodles from shops across the country, saying the product contained dangerous levels of lead. 

The stock closed at Rs 6949, in yesterday's trading.

RIL PLANS RS 10,000 CR NCD OFFER

Reliance Industries has plans to raise Rs 10,000 crore through NCD fund its ongoing capital expenditure. 

RIL's board will seek shareholder nod in the forthcoming meeting, on  June 12, in this regard.

IPL 2015 : RCB ELIMINATE RR

RCB has eliminated RR in the IPL match, played at Pune. RCB in the allotted 20 overs scored 190 runs, against which RR could manage only 109 runs. RCB has won the match by 71 runs. RCB will now play against CSK on 22-05-2015. The winner of this fixture will meet Mumbai in the final.

TATA STEEL REPORTS LOSS FOR FY 15

Subdued global demand has made the steel giant Tata Steel  to report hefty loss of Rs 3,926 crores in 2014-15, as compared to a profit of Rs.3,596 crore in 2013-14.

Net consolidated revenues declined by 6.1 percent at Rs.139,504 crore during the period, against Rs.148,614 crore in 2013-14.

Tata Steel stock closed at Rs 361 in yesterday's trading.

CURRENCY MANIPULATION : FOUR BIG BANKS FINED

Four big banks  have been fined of  USD 2.5 billion for criminally manipulating global currency market going back to 2007.

JPMorgan Chase, Citigroup, Barclays and The Royal Bank of Scotland conspired with one another to fix rates on US dollars and euros traded in the huge global market for currencies.

RIL TRADES ABOVE RS 900 LEVEL

RIL for the first time in recent weeks is trading above Rs 900 level. The stock has gained Rs 9 and trading around Rs 904, as of now. 

ICICI, SBI AND TATA POWER ARE UP IN THE OPENING TRADE

NIFTY has gained around 50 points in the opening trade, helped by ICICI bank, SBI, Tata Power, BOB and HDFC stocks. These stocks have gained between 1 to 2 percent in the early trade. The losers include Tata Steel, Hindalco, Lupin and Hero Motors. 

U S ELECTION 2016 : BOBBY JINDAL MAY CONTEST

Republican  Bobby Jindal, is expected to explore a presidential run. Does he jump in, Indian Americans appear ready to support him, overcoming past reservations.

The community, which has about 1.5 million votes and  has considerably more financial clout.

AMBIT CAPITAL : RIL, SBI, HDFC, L&T AMONG 15 WHICH WILL BE OUT SENSEX

Ambit Capital says Fifteen of the current Sensex constituents, including  RIL, L&T, SBI, ONGC and HDFC, may not be part of the benchmark index over the next decade, given the expected structural changes that will reset the Indian economy.

The other stocks are Bajaj Auto, Hero MotoCorp, Tata Power, Tata Steel, BHEL, Hindalco, Vedanta, NTPC, Bharti Airtel and M&M.

TIGER GLOBAL MANAGEMENT UPS STAKE IN FLIPKART

Tiger Global Management has further infused $ 550 millions to e Commerce venture Flipkart. With the latest raising of funds the Flipkart is now valued around $15 billion.

TODAY'S TRADING TIPS

 SELL CALL

COMPANY	SELL  AT	STOP LOSS	TARGET
ULTRA TECH	2975	3007	2917
HERO MOTOCORP	2590	2622	2542

TODAY'S QUOTE

Wisdom is the power that enables us to use knowledge for the benefit of ourselves and others. Thomas J Watson.

RIL SIGNS PACT WITH HUAWEI

Reliance Jio Infocomm has signed a pact with Chinese firm Huawei for sourcing various 4G devices.

BSE TRANSFERS 17 STOCKS TO 'T' GROUP

BSE transfers the following stocks to 't' group with effect from 25-05-2015.

Scrip Code	Company Name	ISIN No.	Group
507522	Mount Shivalik Industries Ltd	INE410C01019	T
511393	DFL Infrastructure Finance Ltd	INE071C01019	T
512253	Meuse Kara & Sungrace Mafatlal	INE756D01013	T
522080	Terruzzi Fercalx India Ltd	INE699C01017	T
522150	Aditya Forge Ltd	INE281H01013	T
526662	Rajdarshan Industries Ltd	INE610C01014	T
531419	Goplee Infotech Ltd	INE968B01018	T
531486	Filmcity Media Ltd	INE600B01033	T
531612	KGN Industries Ltd	INE196C01022	T
531650	Vax Housing Finance Corporation Ltd	INE761B01017	T
531886	Scope Industries (India) Ltd	INE747C01014	T
532789	Nissan Copper Ltd	INE846H01039	T
538568	Fruition Venture Ltd	INE836C01015	T
590035	Tirupati Foam Ltd	INE115G01015	T
590132	Jay Mahesh Infraventures Ltd	INE984L01014	T