16th April 2008 KRC Market Update  

11.30 a.m.

Current News

  • HCL Tech: Impact from client budget freeze unlikely to spill over

  • L&T bags Bombay Dyeing order worth Rs 20 bn

  • Aztecsoft surged 13% to Rs 75 after the company reported 44% sequential rise in Jan-Mar net profit to Rs 31.5 mn while revenue rose 8.5% to Rs 687.1 mn

Sector/Company

Nicholas Piramal is currently trading at Rs 330 up 3%

Nicholas Piramal India and Khandelwal Laboratories announced signing of a definitive agreement for purchase of Anafortan and CEFI Brand Groups of K-Lab by NPIL for a total consideration of Rs 1,160 million. As a part of the agreement, K-Lab has agreed to provide NPIL with certain patents’ use and non-compete assurances for Cefixime and Camylofin based drugs. Anafortan and CEFI Groups had Revenues of Rs 491 million and EBIDTA of Rs 207 million for the financial year ended March 2008.

CEFI offers unique therapeutic value to patients; it is marketed in nine dosage forms, including CEFI-XL and CEFI-OD, which are based on extended release and once-a-day drug delivery systems. CEFI Group had Revenues of Rs 262 million for the year ended March 31, 2008. As per ORG-IMS, the Cefixime-based drugs segment is worth Rs 6,246 million and is growing at 25.4% on MAT-FEB-08 basis. Anafortan Group consists of six Camylofin-based formulations in pure and combination forms. Anafortan had Revenues of Rs 229 million for the year ended March, 2008. As per ORG-IMS, Camylofin-based drugs market has grown at 13.5% on MAT-FEB-08 basis.

 

 

ZEE Entertainment is currently the top looser in nifty trading at Rs 219.50 down 4.70%

The Advertisement revenue was Rs 246.6 crore for the fourth quarter ended March 31 2008, an increase of 33.4% as compared to the corresponding period last fiscal. For the full year FY2008, advertising revenues went up 32.8% to Rs 934.2 crore. Subscription revenue was Rs 207.1 crore for the fourth quarter ended March 31 2008, an increase of 12% as compared to the corresponding period last fiscal. For the full year FY2008, subscription revenues went up 10.2% to Rs 732.6 crore.The revenues from DTH increased to Rs 18.75 crore for the fourth quarter, from Rs 17.55 crore in the third quarter of the current fiscal.

The Operating profit was Rs 130.28 crore, a growth of 37% compared to corresponding quarter of last fiscal. The operating profit growth has been impacted due to higher programming & marketing costs of newly launched Zee Next.

Finance expenses are Rs 18.4 crore in the fourth quarter and include losses Rs.11.56 crore on account of Forex derivative transaction as against Rs.5.94 crore of losses during corresponding period last fiscal.

Index

Current Value

Change (Pts)

Change (%)

SENSEX

16,345.97

192.31

1.19

S&P CNX NIFTY

4,937.90

58.25

1.19

MIDCAP

6,720.44

116.02

1.76

SMLCAP

8,358.02

153.63

1.87

BSE-100

8,655.61

106.06

1.24

BSE-200

2,030.40

26.43

1.32

Technical Analysis

SENSEX (INTRADAY) Time: 11.30AM

Market has broken 1 st support at 16320 (10.45) and then given 1 st intraday low at 16238(which is now intraday support level)

After 1 st considerable intraday low market has given recovery and sustain above 16300 levels.

Market is showing range bound movement upside; consider resistance level at 16380 for further rally.

Market Activity as on 16th April 2008 at 11.30AM

Most Active Calls

Instrument Type

Symbol

Expiry

Date

Option

Type

Strike

Price

No of

Contracts

Traded

Contract

Value

(Rs. lakhs)

Last

Traded

Price

Open

Interest

OPTIDX

NIFTY

24-Apr-08

CE

5000

19494

49179.37

45.25

3680050

OPTIDX

NIFTY

24-Apr-08

CE

4900

15081

37616.76

91

2254750

OPTIDX

NIFTY

24-Apr-08

CE

4800

6721

16656.22

161.1

2343000

OPTIDX

NIFTY

29-May-08

CE

5000

3829

9857.51

150

475400

OPTIDX

NIFTY

24-Apr-08

CE

5000

19494

49179.37

45.25

3680050

Most Active Puts

Instrument

Type

Symbol

Expiry

Date

Option

Type

Strike

Price

No of

Contracts

Traded

Contract

Value

(Rs. lakhs)

Last Traded Price

Open

Interest

OPTIDX

NIFTY

24-Apr-08

PE

4900

13219

32810.29

64

1973850

OPTIDX

NIFTY

24-Apr-08

PE

4800

10603

25627.93

35.55

2765150

OPTIDX

NIFTY

24-Apr-08

PE

5000

8366

21389.31

116

902000

OPTIDX

NIFTY

24-Apr-08

PE

4700

6851

16174.7

21

3011800

OPTIDX

NIFTY

24-Apr-08

PE

4600

3616

8339.58

13.5

1996150

Top Gainers

Symbol

Open Price

High Price

Low Price

LTP

Prev Close

% Change

Total

trd qty

HCLTECH

250

264.9

249.25

263

245

7.35

849020

SATYAMCOMP

461

481.75

455

481.5

451.25

6.7

1844067

INFOSYSTCH

1525

1615

1520

1604

1510.4

6.2

1789938

CAIRN

248

256.1

247.1

255

245

4.08

2625424

REL

1315

1368

1315

1349

1301.35

3.66

934320

Top Losers

Symbol

Open Price

High Price

Low Price

LTP

Prev Close

% Change

Total

trd qty

ZEEL

233.95

233.95

218.15

219.95

230.15

-4.43

950749

ABB

1174

1185

1138.55

1142.8

1161.95

-1.65

57839

AMBUJACEM

116

117.45

113.4

114.1

115.9

-1.55

559368

DRREDDY

616.5

624.9

603.35

606.4

615.35

-1.45

113962

M&M

625.05

633

614.65

617

623.45

-1.03

143664

Most Active Underlyings

Symbol

No of Contracts Traded

Contract Value (Rs.lakhs)

NIFTY

309317

763463.02

RELIANCE

35726

70776.21

RPL

19665

63675.7

ORCHIDCHEM

15699

48109.43

RNRL

23322

46060.67

10.30 a.m.

Current News

  • Deccan Chronicle launches financial daily in Hyderabad, Chennai

  • REL shortlisted for Amritsar, Udaipur airport city side work

  • Govt says export ban on cement not applicable for sale to SEZs

  • Micro Tech to offer mobile application to MTNL users

Sector / Company

Larsen & Turbo is currently trading at Rs 2,871 up 2.33%.

Larsen & Turbo and the Tamil Nadu Government have entered into an agreement to set up a Rs 3,068 crore integrated ship building and port facility to the north of Chennai. L & T has commenced shipbuilding at its Hazira Works and also scouting for a suitable site in India to set up a world-class facility for shipbuilding and repair the same. Company also concentrate on the Defence, Nuclear Power and Aerospace sectors which show the potential and promises and L & T plans to expand its presence in the sector of construction and electrification for the railways and L&T investing Rs 2,500 crore for expansion in Shipbuilding, Manpower constraints and others. L&T have super-critical power plants, ranging between 500 MW-1000 MW.

HCL Tech Q3 net revenue up 23.3%. It is currently trading at Rs 257.70 up 5.18%.

India’s fifth largest software exporter HCL Technologies posted a 3.2% year-on-year rise in its Q3 net income at Rs 342.5 crore on a consolidated basis, even as the company clinched better-than-expected growth in the US market.

In rupee terms, the revenue at Rs 1,944.8 crore was up 23.3% year-on-year and 7.1% on a sequential basis.

The net profit was impacted by foreign exchange losses worth Rs 27.1 crore, compared with a gain of Rs 41.8 crore last year, and a gain of Rs 5.8 crore during the second quarter ended December 2007.

HCL’s quarterly EDITDA margins rose to 22.3% from 21.4% in Q2FY07, but lower than 23.3% a year ago.

Market Trend

Index

Current Value

Change (Pts)

Change (%)

SENSEX

16,368.03

214.37

1.33

S&P CNX NIFTY

4,937.10

57.45

1.18

MIDCAP

6,731.29

126.87

1.92

SMLCAP

8,365.41

161.02

1.96

BSE-100

8,668.62

119.07

1.39

BSE-200

2,033.40

29.43

1.47

Technical Analysis

SENSEX (INTRADAY) Time: 10.30AM

With Positive global clue market has given flat opening and than with good rally market has given high at 16414(time 10.19).

With first resistance at 16430, market has 1 st support level at 16320.

Market Activity as on 16th April 2008 at 10.30AM

Most Active Calls

Instrument Type

Symbol

Expiry

Date

Option

Type

Strike

Price

No of

Contracts

Traded

Contract

Value

(Rs. lakhs)

Last

Traded

Price

Open

Interest

OPTIDX

NIFTY

24-Apr-08

CE

5000

11100

28024.28

44

3508450

OPTIDX

NIFTY

24-Apr-08

CE

4900

7645

19092.55

90.95

2173400

OPTIDX

NIFTY

24-Apr-08

CE

4800

3215

7981

162

2367900

OPTIDX

NIFTY

24-Apr-08

CE

5100

1623

4155.82

19

1055150

OPTIDX

NIFTY

24-Apr-08

CE

4700

940

2329.57

250

1087400

Most Active Puts

Instrument

Type

Symbol

Expiry

Date

Option

Type

Strike

Price

No of

Contracts

Traded

Contract

Value

(Rs. lakhs)

Last Traded Price

Open

Interest

OPTIDX

NIFTY

24-Apr-08

PE

5000

6769

17296.15

117

875000

OPTIDX

NIFTY

24-Apr-08

PE

4900

6536

16208.82

64.8

1962750

OPTIDX

NIFTY

24-Apr-08

PE

4800

5748

13886.16

34.95

2751000

OPTIDX

NIFTY

24-Apr-08

PE

4700

3747

8843.69

21.5

2959500

OPTIDX

NIFTY

24-Apr-08

PE

4600

2580

5949.61

12.8

1984550

9.30 a.m. Pre Opening

Key Indices:

Indices were down 1% with prospects of sharper losses reined by a relatively positive guidance for FY09 by Infosys Technologies. Prices were expected to tumble, as the markets opened after an extended weekend holiday, due to losses on Wall Street and Asia.

Indices

Close

Advance Decline Ratio

Support 1

Support 2

Resistance 1

Resistance 2

Direction

Sensex

16,153.66

25 : 5

15,734.64

15,315.62

16,411.07

16,668.48

Nifty

4,879.65

40 : 10

4,752.93

4,626.22

4,961.73

5,043.82

Nifty Future

4,915.35

-

4,747.90

4,580.45

5,009.90

5,104.45

Outlook:

Markets are likely to be volatile with positive bias

Medium term sideways and long term remains positive.

KEY Indicators:

FII- Equity

Rs Cr for 15thApril

Mutual Fund.

Rs Cr for 12th April

Crude Oil $

INR/USD

US Markets

Asian Markets

(31.30)

NA

113.47

39.96

Positive

Positive

Market News:

  • ITC to invest Rs 3 bn for Bengal food processing unit.

  • Indraprastha aims to double piped gas users to 100,000 FY09

  • Four Soft gets order from Colvan Netherlands

  • Kotak Mahindra Bank forays into credit card business

  • Petronet in advanced talks to buy LNG from Gorgon, Australia

  • Larsen & Toubro gets orders worth Rs 20 bn

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Kisan Ratilal Choksey Shares and Securities Pvt. Ltd.
1102, Stock Exchange Tower, Dalal Street, Mumbai 400 001
Phone:91-22-56338050 / 66965555. Fax: 5633 8060
Members: BSE & NSE
www.krchoksey.com
Email: customercare@krchoksey.com / eservices@krchoksey.com

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Written by K R Choksey

April 16th, 2008 at 12:07 pm

Posted in KRC Market Updates

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