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

Banks pull markets in red
Thu, 24 Jun 01:30 pm

Indian indices pared their opening gains as investors booked profits in heavy weights during the last two hours of trade. Stock in FMCG and capital goods are trading firm while stocks from the banking and IT space are trading weak.

The BSE-Sensex is down by 30 points while NSE-Nifty is trading 10 points below the dotted line. BSE-Midcap index is up by 0.1% while BSE-Smallcap index is trading 0.5% above yesterday's closing. The rupee is trading at 46.42 to the US dollar.

FMCG stocks are trading up led by Paper products and Pidilite Industries. As per a leading financial daily, there are concerns regarding Godrej Consumer Product Limited's (GCPL) integration of its buyouts. The company has acquired 7 companies in the last 5 years. However, the success of these buyouts lies in the integration of these acquisitions. GCPL to address this concern has already set up a separate team to develop, process and execute the integration of GCPL's international empire. The team, headed by Shailesh Deshpande, with experience in handling international operations of Asian paints, is expected to have a blueprint ready by July. While it seems that GCPL went on an indiscriminate buying spree, the fact is that the company did its due diligence. In fact, all buyouts took place only after confirming whether there was a cultural fit with the company. Needless to say, for GCPL, the crucial part will be the smooth transition of its business empire under a common umbrella so that its business can function as a whole and it can exploit the synergies from its acquisitions.

Metal stocks are trading flat. Major gainers include SAIL and Jindal Saw while Hindalco and Jindal Steel have lost some ground. As per a leading business daily, SAIL is in talks with Japan’s Kobe steel for a technology deal. Kobe steel has the technology which uses low-cost iron ore fines and steaming coal to produce steel. The agreement between the two companies is in the initial stages and the announcement is expected in the coming months. It should be noted that SAIL is undertaking capacity expansion plans to raise its capacity to 25 m tonnes over the next few years. If SAIL is successful in inking the deal with Kobe steel, it will be able to expand capacity at a lower cost with the help of improved technology. This should be margin accretive for the company.

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 "Banks pull markets in red". 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.