Nifty50: 17,345 ▲ 5 (+0.03%)
Sensex: 58,136 ▲ 20 (+0.03%)
Hello, folks!
The markets may not have offered anything exciting today, but those looking for something to liven up their spirits may want to watch this viral video of a drummer. The drummer’s antics even caught the attention of Justin Beiber, who shared it on Instagram.
Meanwhile, investors were hungry for Zomato shares, which rose 20% on Tuesday! More on that later.
- After a gap-down opening, markets recouped early losses to close flat.
- In all, 24 of the Nifty50 stocks closed in the green.
- The rupee saw its biggest single-day gain in over a year to close at 78.60 against the dollar.
Among the Nifty sectoral indices, PSU Bank (+2.6%) and FMCG (+0.6%) saw the most gains, whereas Realty (-1.6%) and IT (-0.6%) were the top losers.
| Top gainers | Today's change |
| IndusInd Bank | 1,062 ▲ 21 (+2.1%) |
| Asian Paints | 3,388 ▲ 63 (+1.9%) |
| NTPC | 159 ▲ 2.8 (+1.7%) |
| Top losers | Today's change |
| UPL | 736 ▼ 30 (-3.9%) |
| Hero MotoCorp | 2,771 ▼ 69 (-2.4%) |
| SBI Life | 1,284 ▼ 29 (-2.2%) |
What’s trending
⭐ Two-wheeler sales rise
TVSMOTOR (NSE): 936▲ 9.3 (+1.0%), HEROMOTOCO (NSE): 2,771 ▼ 69 (-2.4%)
Two-wheeler manufacturers reported robust sales numbers for July. TVS Motor reported a 14% YoY rise in sales to 299,658 units. Meanwhile its total exports grew by 9% during the same period. Similarly, Hero MotoCorp’s sales increased by 24.1% to 18,35,773 units. The company said a normal monsoon across the country along with the upcoming festive season is expected to keep the sentiments positive.
⭐ Godrej Properties posts strong Q1
GODREJPROP (NSE): 1,459 ▼ 52 (-3.4%)
Mumbai-based real-estate developer Godrej Properties reported a 167% jump in consolidated net profit to ₹45.55 crore during the first quarter of FY23. The total income also increased by 62% to ₹426.4 crore. Despite elevated inflation and recent interest rate hikes, the company witnessed robust demand and the highest-ever Q1 bookings at ₹2,520 crore.
⭐ Kansai Nerolac shines in Q1
KANSAINER (NSE): 503 ▲ 71 (+16.5%)
The paint maker reported a net profit of ₹162.9 crore in Q1FY23, up 37% year-on-year. In the same period, the company’s revenue also grew 47% to ₹1,944 crore. The management said that there was an increase in demand from the automotive segment due to the gradual easing of the chip shortage. It added that the company is holding talks with its automotive clients for further price increases.
⭐ Thyrocare’s profit dips
THYROCARE (NSE): 634 ▼ 23 (-3.5%)
Diagnostics firm Thyrocare Technologies’ consolidated net profit declined 60% year-on-year (YoY) to ₹21.7 crore. The company’s revenue from operations also fell 22% YoY to ₹127 crore. According to the management, the drop in revenues is on account of falling Covid cases, people opting for at-home testing through kits and relaxation in travel regulations. The management also said revenues were impacted due to price caps imposed by some states.
⭐ FM bats for the Indian economy
Finance minister Nirmala Sitharaman on Monday said the Indian economy is better than most countries and is still the fastest growing. She also said there is no question of the country getting into recession or stagflation. Further, she said that the GST collection for July 2022 stood at ₹1.49 lakh crore, the second-highest monthly figure since GST was introduced.
In Focus
Investors regain appetite as Zomato breaks even
After disappointing investors for over the last few weeks, Zomato finally ‘delivered’ some good news this week. Shares of the food-delivery firm rose 20% on Tuesday, the highest single-day gain since the IPO listing.
Today’s rally comes after the announcement of its first quarter results. Zomato reported a consolidated loss of ₹186 crore during the period. However, the company’s revenue from operations rose 67% YoY to ₹1,413 crore, driven by a 10% q-o-q rise in gross order value (GOV). Moreover, the revenue per order also increased during the quarter.
Furthermore, the food-delivery segment achieved adjusted EBITDA breakeven during the quarter, which is an important milestone for the company. This is often considered a sign that the company is on the path to profitability. Even at the firm level, EBITDA loss narrowed to ₹150 crore against ₹170 crore reported in the same quarter last year.
The company’s management said that it has sharpened its focus towards profitability and is aiming for revenue growth along with reduction in losses. The company also provided clarity on the corporate governance issues with regard to the Blinkit transaction, and said that no related-party transactions took place during the acquisition.
On the cost side, the company is also facing some macro headwinds like higher fuel costs and wage inflation. Despite this, Tuesday’s rally is expected to bring some respite to investors.
Ready-made Option Strategies on Upstox
Options offer traders the potential to make a profit whether the markets are moving up, down or sideways. However, options are complex instruments, and option strategies can be even more complicated. If not used in a disciplined way, they could lead to severe capital losses.
To solve such problems and to make options trading easier, Upstox has introduced Ready-made Option Strategies, which allow traders to:
- Choose from pre-curated option strategies
- Know profit probability, maximum profit & loss, and funds required for each strategy
- Trade with unique one-click entry and exit orders
Click here to know more about Ready-made Option Strategies.
Good to know
What is operating margin?
The operating margin is a financial metric that reveals how much profit a company makes after paying its fixed and variable costs like wages and raw material costs but before paying out interest and tax. The operating margin reveals how efficiently a company’s operations are managed. It is calculated by dividing a company’s operating income or earnings by its net sales. A high operating margin shows that the company is good at turning its sales into profit.
Click here to join us on Telegram for trading and investment-related videos, daily market updates, details on upcoming IPOs and more.