Stock Market Live Updates July 3, 2024: Sensex, Nifty change concern in primeval session; banking stocks shine, HDFC Bank up over 2% – Notice Global Internet

Antique on Patanjali Foods

Buy Call, Target Rs 2,144

Co Has Approved The Proposal To Acquire Patanjali Ayurved’s HPC Biz For Rs 1,100 Cr

Believe The Acquisition Is A Positive Move And Should Add To Co’s Growth Levers

The Acquisition Is Expected To Improve The Profitability Of Overall Business

The Acquisition Is At A Very Attractive Valuation Of 0.4x FY24 Sales/ 2.2x FY24 EBITDA

In Our View, HPC Biz Profitability Is Stable & Sustainable Compared To The Oil & Food Biz

Jefferies on HDFC Bank

Buy Call, Target Rs1880

HDFC Bank’s shareholding for June’24 points that external shareholding lapse to 54.83% vs 55.54% in Mar’24

MSCI’s boundary to improve external body bourgeois (FIF) from 50% to 100%

With that, slope haw be suitable for move in finger coefficient at incoming analyse in Aug’24

This could be constructive near-term accelerator in stock

In job term, brawny installation ontogeny and rising NIMs should be key drivers

Citi on M&M Fin Svcs

Neutral Call, Target Rs 310

Co’s June Disbursements/Business Assets Growth Broadly In-line With Estimates

For Q1FY25, Disbursements Of Rs 12,730 Cr Saw Growth Of 4.6% YoY

Business Assets Saw A Growth Of 3.7% QoQ In Q1

Collection Efficiency Of 95% In Jun’24 Was Below 96% Each In May’24 And Jun’23

For Q1, The Collection Efficiency Stood At 94%, Stable YoY

As Expected, With Seasonality Q1, Witnessed An Increase In GS3 To 3.6% From 3.4% As Of FY24

We Bake-In Credit Cost Of Nearly 2.4% For Q1 And Estimate RoA Of 1.5%

NIMs, Are Anticipated To Moderate From A High Base

Citi on Avenue Supermarts

Sell Call, Target Rs 3,400

Q1GY25 Update Shows No Sign Of Growth Acceleration; Watch Out For Margin Trajectory

Co’s Q1FY25 Update Highlighted 18.4% YoY Revenue Growth

Revenue Per Store Saw 3% Five-Yr CAGR (5.3% YoY)

Rev/sqft Saw -1.5% 5-Yr Cagr (5% YoY Assuming Avg Store Size Of New Stores In-line With TTM Store Size)

Believe Revenue/sqft Continues To Be Impacted Due To Adverse Product Mix

Believe Revenue/sqft Continues To Be Impacted Due To New Store Additions In Smaller Towns

Store Additions During The Quarter Were 6, 3/10 In Q1FY24/Q1FY23 And 41/40 In FY24/FY23

Remain Cautious On Co At The Current Valuation Given Risks Around Store Additions

Maintain Sell Rating, Implying 56x Mar’26 P/E (Vs Current Valuation Of 78x Mar’26 P/E)

CLSA on ICICI Lombard

Upgrade To Outperform From Hold, Raise Target To Rs 2,000

Co’s Motor Insurance Premiums Registered 31% YoY Growth In 2MFY25

Co’s Motor Ins Premiums Far Ahead Of Ind’s 15%

Worsening Of Peers’ Motor Third Party Loss Ratio Leading Them To Curtail Growth

Premiumisation Of Cars & Benefits From Motor Vehicle Act Could Also Be Aiding Motor Book

Have Raised Our Overall Premium Growth Estimate By Only 2% In FY25

believe strength in locomote aggregation could persist.

We Lift Our Tgt Price As We Raise Our Gordon-Based Target PE Multiple To 30x

See 11% Potential Upside From Here

Bernstein on REC, PFC

Initiates Buy disposition on REC, Target Rs 653

Initiates Buy disposition On PFC, Target Rs 620

They Are One Of Our Most Preferred Plays In Power Cycle

Investors Are Under-Estimating The Duration And Intensity Of This Power Cycle

NPA Risk For Both Is Much Lower This Cycle

Both Have Better ROEs (>20%) & Growth (15%) Than Power Peers

They Are Trading Cheaper Than All Of Them, Despite The Rally

[8:41 am, 3/7/2024] +91 98330 43598: Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd

Yesterday, Nifty dropped sharply after touch an all-time broad of 24,236.35 cod to acquire booking. FIIs were gain sellers by ₹2000 crores, patch DIIs bought ₹648 crores. Nifty is probable to change between 23,500-24,500, with 24,500 as a field status level. agent Reserve Chairman Powell’s remarks on inflation declare a cagy mart outlook. attorney events allow FOMC gathering transactions on weekday and the Nonfarm Payrolls inform on Friday. We propose purchase Nifty at 24,124 with targets of 24,251/24,501 and Bank Nifty between 51,900-52,000 with targets of 52,501/53,181. Top have pick: HDFC AMC (CMP 4096) with targets of 4,187/4,301.