Helping You Build Wealth With Honest Research
Since 1996. Read On...

MEMBER'S LOGIN

MEMBER'S LOGINX

     
Invalid Username / Password
   
     
   
     
 
Invalid Captcha
   
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Revealed
India's Third Giant Leap

This Could be One of the Biggest Opportunities for Investors




Important: We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
By submitting your email address, you also sign up for Profit Hunter, a daily newsletter from Equitymaster
covering exciting investing ideas and opportunities in India.

AD

Metal and Banks drag markets lower
Fri, 25 Jun 11:30 am

After starting today's session on a negative note, Indian indices are still lingering in the red. Key Asian markets are also in the negative territory. Stocks from metals and banks space are trading in the red while stocks from the healthcare and consumer durables space are witnessing buying interest.

The BSE-Sensex is trading down by around 112 points, while the NSE-Nifty is down by about 33 points. However, mid and small cap stocks are trading flat as the BSE-Midcap and BSE-Smallcap indices are trading higher by 0.04% and 0.3% respectively. The rupee is trading at 46.49 to the US dollar.

Banking stocks are trading in the red. Major losers include HDFC Bank and ICICI Bank while Canara Bank and Yes Bank are trading flat. As per a leading business daily, SBI is planning to increase its home loan portfolio by 31% this year. The bank had managed to achieve similar growth rate in the previous fiscal due to the launch of special home loan schemes. It should be noted that HDFC managed to grow its home loan portfolio by 15-16% in the last fiscal. This is significantly lower than SBI. In the home loan segment SBI has a clientele of 1.5 m and aims to add 0.4 m this fiscal. However, there is no clarity whether the bank will offer more teaser-rate type home loan products to meet its internal target. Both HDFC and SBI enjoy a market share of 17% in the home loan segment. These, together with ICICI Bank and LIC Housing Finance dominate the domestic mortgage market with a combined market share of 55%.

Investment and Financing companies are trading in the red with Shriram Transport, HDFC, LIC Housing leading the declines. IDFC was recently classified as an infrastructure finance NBFC (IFC) by RBI. On the back of this announcement, the company declared that it will be raising US$ 750 m via a qualified institutional placement (QIP). In April, the company's board approved the raising of this amount through equity or equity linked instruments. It will be using this money to fund further growth and expansion. Since it has achieved the status of an IFC, it will be able to grow its loan book in focused areas. It will also receive concessions in terms of cheap borrowings and will not be subject to borrower limitations

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

View all commentaries | Archives

Read the latest Market Commentary


Equitymaster requests your view! Post a comment on "Metal and Banks drag markets lower". Click here!

  
ABOUT EQUITYMASTER

Since 1996, Equitymaster has been the source for honest and credible opinions on investing in India. With solid research and in-depth analysis Equitymaster is dedicated towards making its readers- smarter, more confident and richer every day. Here's why hundreds of thousands of readers spread across more than 70 countries Trust Equitymaster.

PREMIUM PRODUCTS
QUICK LINKS
POPULAR TOPICS
TRENDING TOPICS
FREE NEWSLETTERS
EQUITYMASTER SUPPORTS
  • HelpYourNGO
  • You Tube
  • Linkedin
  • Twitter
  • Telegram
  • Google Play

Copyright © Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited).

Whitelist | Refer | Terms | Privacy | Contact | About | Sitemap

Phone +91-9136015013

Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited) (Research Analyst)
SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Email: info@equitymaster.com. Website: www.equitymaster.com.
CIN:U74999MH2007PTC175407

Name of the Compliance & Grievance Officer: Ms Sonal Ramachandran
Telephone: +91-22-61434003 | Email: compliance@equitymaster.com

LEGAL DISCLAIMER:
Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.

All rights reserved. Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited) (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA, Canada or the European Union countries, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.