February 28, 2024

December 28, 2023 / 04:40 PM IST

The Indian equity benchmarks closed in green on December 28, Sensex was up 0.52 percent at 72410.38, and the Nifty was up 0.57 percent at 21778.70. About 1,736 shares advanced, 1,921 shares declined and 116 shares remained unchanged.

Zomato Ltd | CMP Rs 123.20 | Zomato shares ended 3 percent lower on December 28 after the food delivery aggregator received a Rs 402-crore show-cause notice from the goods and services tax (GST) authorities over unpaid dues. The tax amount alleged in the notice is based on the sum collected by the company as ‘delivery charges’ from customers on behalf of the delivery partners. The show-cause pertains to an alleged tax liability worth Rs 401.7 crore along with interest and penalty for the period between October 29, 2019, and March 31, 2022. The tax demand has been made under Section 74 (1) of the Central Goods and Services Tax Act, 2017. The stock has risen nearly 10 percent in the last month.

Gainers & Losers

Coal India Ltd | CMP Rs 380.95 | Shares of Coal India surged 4 percent on December 28 after brokerage firm Motilal Oswal reiterated its ‘buy’ rating on the stock with a target price of Rs 430 (premised on 5x FY26e EV/EBITDA). The brokerage said, “We believe COAL is well placed to capitalize on the growth opportunity”. As per the report, COAL is ramping up production to meet rising power sector demand, targeting 780mt in FY24 and 850mt in FY25. E-auctions, constituting about 10 percent of sales, are seeing premiums spike to 80-100 percent due to increased demand and global prices. COAL’s substantial capex hike to INR186b in FY23 focuses on enhancing infrastructure. Around INR165b is earmarked for FY24 across various areas like railways, land acquisition, and machinery, with already INR105b spent by Nov’23, surpassing yearly targets.

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Azad Engineering Ltd | CMP Rs 677.50 | Sachin Tendulkar-backed Azad Engineering made a strong debut on bourses on December 28, ending with a 30 percent premium to its issue price of Rs 524. The strong listing comes from the interest shown by investors in the Rs 740-crore public issue. Qualified institutional buyers took the lead, buying 179.66 times the allotted quota. At the same time, high networth individuals (non-institutional investors) and retail investors picked shares 87.55 times and 23.71 times the portions set aside for them.

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Hindustan Petroleum Corporation Ltd | CMP Rs 417.65 | Shares of Hindustan Petroleum surged over 9 percent on December 28 as crude oil prices slid below $80 a barrel. The lower input cost will aid in the widening of margins for Oil Marketing Companies (OMCs). Oil prices dropped as investors monitored developments in the Red Sea, where shippers returned after the US and the UK Navy started patrolling to ward off attacks by the Houthi rebels. With a drop in crude prices in the latter part of the year, OMCs have already up by quite a bit with HPCL reporting an 82 percent gain.

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Sula Vineyards Ltd | CMP Rs 497.90 | Shares of Sula Vineyards Limited traded nearly 5 percent higher on December 28 after the company announced that its wine tourism business received over 5,000 customers on Christmas Eve, marking an all-time high. During the festive weekend from December 23 to 25, there was a notable increase in the number of visitors, setting records for single-day, two-day, and three-day attendance. Over 12,000 individuals explored Sula’s wine tourism facilities in Nashik and Bengaluru during this period. Since the start of the year, the stock has gained over 45 percent on the bourses.

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Lupin Ltd | CMP Rs 1,339.95 | Lupin share price gained 4 percent on December 28 after the company received the United States Food and Drug Administration (USFDA) approval for Loteprednol Etabonate Ophthalmic Suspension. This drug is a generic equivalent to the reference listed drug (RLD) Alrex Ophthalmic Suspension, 0.2 percent, of Bausch & Lomb Inc. The product will be manufactured at Lupin’s Pithampur facility in India. Avendus Spark, a research house, has recently upgraded the stock rating to ‘buy’ with a target of Rs 1,440 per share.

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Housing & Urban Development Corporation Ltd | CMP Rs 128.00 | Shares of Housing & Urban Development Corporation (Hudco) surged 12 percent on December 28 on signing a Memorandum of Understanding (MoU) with the State Government of Gujarat. The MoU for an investment of up to Rs 14,500 crore for financing the housing and urban infrastructure projects in the western state. The stock also hit a fresh record high of Rs 136.80 on the same day. The stock has rallied 144 percent so far this year, massively outperforming the benchmark Nifty 50 which has risen over 19 percent during this period.

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KP Energy Ltd | CMP Rs 653.60 | The share price of KP Energy was locked at 5 percent upper circuit on December 28 on the news that the company’s board would consider bonus shares at its meeting on December 30. The board will also consider and approve an increase in the authorised share capital of the company to accommodate the issue of bonus equity shares, if any. The company’s board will consider and approve the appointment (regularisation) of Dukhabandhu Rath as non-executive independent director of the company and the appointment of Amitkumar Subhashchandra Khandelwal as whole-time director of the company. Last week, KP Group received a supply order for wind turbines of 193.2 MW to Suzlon Energy, which comprises 92 wind turbines of the S120-140-HLT model, with a rated capacity of 2.1 MW each, to be supplied by Suzlon.

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Man Industries (India) Ltd | CMP Rs 266.75 | The share price of Man Industries (India) zoomed 5 percent on December 28 after the company announced the successful testing of its pipes for safe hydrogen transport. The testing has been conducted by a leading European research centre for hydrogen transport, ensuring structural integrity and safety for the fuel, the company said This accomplishment marks a critical milestone in addressing a major hurdle in the shift to a hydrogen-based ecosystem i.e. efficiently delivering hydrogen gas to the point of use. During the quarter ended September 2023, Man Industries (India) recorded an 867 percent jump in its net profit at Rs 39 crore. In October, the company secured orders of around Rs 400 crore from a domestic customer for various types of pipes.

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KEI Industries Ltd | CMP Rs 3286.70 | Shares of KEI Industries surged 5 percent on December 28 after research firm Sharekhan released its bullish report on the stock with a retained ‘buy’ rating and revised target price of Rs 3600. The bullish stance comes on the back of a strong earnings outlook shown by KEI’s higher PE multiples amidst tailwinds from the power sector. As per the report, government infrastructure spending in power and core sectors, coupled with capacity expansion, will fuel KEI’s 15-16 percent revenue growth. By FY2026, new greenfield capacity could yield Rs. 4,500 crore, while export growth via the “China +1” policy and developed markets will enhance KEI’s expansion.