Daily Big Picture : Realty Stock Continues Outperformance; Eicher Motor Appoints New CEO for Royal Enfield

Today’s Action

Nifty, +0.4%; Sensex, +0.5%; Model Portfolio, -0.7%; MSI Ind 47, +0.3%; Nifty Midcap, +0.03%; Smallcap, -0.2%.

Daily Market Review

Market Status: Rally Attempt

The Nifty gapped up and continued its positive momentum, buoyed by a strong rally in realty stocks led by Godrej Properties (+9.8%). As a result, the Nifty has register gains for the fourth consecutive session.

 In a major relief to the power companies, the Supreme Court of India has set aside the Reserve Bank of India’s circular on moving defaulting power, sugar, shipping, and other sector companies to insolvency. In effect, most of the power companies such as Adani Power (+2.8%), Power Grid Corp.Of India (+2.2%), and Gail (India) (+2.2%) rallied strongly.

On the sectoral front, Nifty Realty (+2.3%) was the top gainer, followed by Nifty PSU Bank (+1.2%), Auto (+1.1%), and IT (+0.9%). Nifty Media (-0.9%) was the top loser, led by a correction in Zee Entertainment Ents. (-3.2%). Among the others, Nifty Pharma (-0.8%), Metal (-0.4%), and FMCG (-0.4%) closed lower.

The advance-decline ratio was in favor of losers. Of the 2,089 stocks traded on the NSE, 826 advanced, 899 declined, and 364 remained unchanged.

Stocks in News

Eicher Motors gained 5% intraday on management changes at Royal Enfield. The Company appointed Vinod K Dasari as the CEO of Royal Enfield with immediate effect. The Company also plans a capex of Rs 700 crore on its Royal Enfield unit for the construction of the technology center in Tamil Nadu and development of new products. The stock closed 2.7% higher.

Bajaj Auto reported sales data for March which grew 18% to 393,351 units. On the motorcycle front, domestic sales grew 39%. However, on the commercial vehicle front, the Company reported a 13% drop in domestic sales. Exports on commercial vehicles grew 56%. The stock closed 2.2% lower.

Leaders Up on Volume: Godrej Properties (+9.8%), Creditaccess Grameen Ltd (+3.8%), and Bharat Financial Inclusion Ltd (+1.9%)

Leaders Down on Volume: Manappuram Finance (-2.4%), Aditya Fash.& Retail (-2.0%), and Heidelbergcement India (-1.6%)

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