Nifty50: 14,677 ▼ +18 (-0.1%)
Sensex: 48,732 ▲ +41 (+0.0%)
After a positive opening, the markets turned negative and stayed in the red for most of the day. The market breadth was negative, with 34 of the Nifty50 stocks declining today.
The Nifty FMCG (+2.1%) was the only sectoral index to close in the green, while Nifty Metal (-3.7%) declined for the third consecutive session, and was the top loser today. It was followed by the Nifty Realty index (-3.1%).
| Top gainers | Today's change |
| Asian Paints | ▲ 8.4% |
| UPL | ▲ 7.4% |
| ITC | ▲ 4.8% |
| Top losers | Today's change |
| Coal India | ▼ 4.4% |
| Tata Steel | ▼ 4.1% |
| Tata Motors | ▼ 4.1% |
Here are the top stories of the day.
Commodity price rise boosts Vedanta’s Q4
- The metal major reported a 42% YoY improvement in its revenue from operations, which stood at ₹27,874 crore, versus street estimates of ₹24,969 crore.
- Profit after tax rose 95% QoQ to ₹6,432 crore, versus estimates of ₹3,989 crore. The surge comes on account of higher volumes and commodity prices. The company had reported a loss of ₹12,521 crore last Q4. The stock was down 3% today, but has risen about 69% so far this year.
Alembic gets USFDA nod for depression drug
- Alembic Pharma announced that it has received final approval from the USFDA for its Lurasidone Hydrochloride tablets, used to treat bipolar depression.
- The drug has an estimated annual market size of $3.7 billion. Shares of Alembic Pharma fell 1.3% today and has declined over 10% so far this year.
Happiest Minds reports bumper profits
- In Q4FY21, the Bengaluru-based IT services company reported a revenue of ₹220 crore, up 14.5% QoQ. Profit after tax at ₹36 crore declined 14.5% QoQ, but was 580% higher YoY. The stock witnessed profit booking and closed 7.8% down today.
- The company added 23 clients in Q4, which took its client base to 173. Of these, 87% are repeat customers. Further, the company expects to grow at 20% in FY22. Listed in September 2020 at an issue price of ₹166, the stock has returned 340% so far.
Prince Pipes’ Q4 profit grows multifold
- The Mumbai-based plastic pipe maker reported a 77% YoY jump in revenues to ₹761 crore. The growth was supported by a 26% volume growth and higher per-unit realization due to a favourable product mix. Its net profits rose 246% to ₹97 crore.
- As of FY21, its working capital days have come down from 58 to 36 due to better inventory management. Further, it also turned debt-free in Q4. Shares of the company rose 11.1% today and have gained 113% so far in 2021.
Closing bell
While the country debates whether there should be a nationwide lockdown, the Nifty50 fell for the third day in a row. The softening of the retail inflation to 4.3% (from 5.5%) and solid factory output growth at 22.4% (up from -3.6%) did offer some respite, as the Nifty50 nearly recouped the day’s loss and ended marginally lower. Meanwhile, major Asian indices slipped 2-4% in this week, whereas the Nifty50 showed relative resilience and fell a little less than 1%. On Monday, wholesale price inflation (WPI) numbers will be released. Contrary to the drop in retail inflation, the street expects WPI to rise.
Good to know
What is working capital days?
Working capital days (WCD) is defined as the number of days needed by a company to convert working capital into sales revenue. The higher the WCD for a company, the longer it takes to generate revenue from the working capital and, as a result, the less efficient the company is considered. It is important to compare the WCD against other companies in the same industry, as different industries have different working capital standards.
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