Zubu Client Sentiment Nifty50 Report:
It is a Post Market Analysis, by which one can understand Retail trader’s sentiment and discover who was going long and short, the percentage change over time, and whether market signals are bullish or bearish.
Nifty50 retail trader data shows 50.54% of traders are net-long, while the number of retail traders net-short was 49.46%. FII’s created decent longs 2229 & shorts 1730, while retailers created decent longs 2576 & shorts 2474.
After trading flat for two days, the markets picked up pace today and closed in the green. Among the sectoral indices, Nifty Metal (+1.0%) and Nifty FMCG (+0.8%) gained the most, while Nifty PSU Bank (-1.2%) and Nifty Auto (-0.4%) closed the weakest.
Bata on path to recovery
The footwear maker reported a 26% YoY contraction in revenues to ₹615 crore in Q3. Meanwhile, profits were down 78% to ₹26 crore. That said, performance in Q3 improved sequentially due to strong festive sales (Q2 had a loss of ₹44 crore).
Its sales have recovered to 74% of the pre-Covid levels. Buoyed by a pick-up in demand, its production returned to pre-Covid levels in January ‘21. The stock dropped nearly 7% intraday, but pared some losses and closed 2.6% lower.
JB Chemicals’ Q3 profits soar
The Mumbai-based pharmaceuticals company posted Q3 profits of ₹154 crore, up 133% YoY. Its revenue from operations rose nearly 28% YoY to ₹548 crore.
Its India business continued to see a positive trend in the chronic segment. Its international business grew by 31% YoY and supported overall growth. The stock gained 15.9% intraday, hitting a lifetime high, before closing with gains of 10.6%.
Coal India’s Q3 net profit drops
The world’s largest coal miner reported a21% YoY decline in net profit to ₹3,084 crore for Q3. Its revenue increased 2% to ₹23,686 crore. Both revenue and profit fell short of street estimates.
The raw coal off-take stood at 153.8 mn tonnes, up 8% YoY. Its board has approved the formation of two companies—one into the solar value-chain business and another for new and renewable energy. The stock fell 1% today but has gained over 9% this month.
Indraprastha Gas sees profits rise despite volume drop
The gas distribution company reported an 18% YoY rise in profits to ₹334 crore, edging past street estimates of ₹327 crore. The rise in profits comes despite a 6% drop in volumes, chiefly due to the lower cost of natural gas and muted LNG prices.
The company says that its numbers showed a strong resurgence compared to the first half of FY21. The stock gained nearly 2% today and has risen about 10% in February so far.
Global cues are positive and the Indian markets, too, reflected this optimism. Further, in an uptrend, no negative news is seen as good news. While most of the gains in the Nifty50 (~65 points) were primarily contributed by index heavyweight Reliance Industries (+4.4%), the positive market breadth with 28 out of 50 stocks advancing today, lends support to the overall rise. Moreover, the India VIX is not showing any signs of heightened volatility ahead. So far, so good!