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 60.77% of traders are net-long, while the number of traders net-short was 39.23%. FII’s created very few longs 879 & created huge 55721, while retailers created huge longs 7984 & decent shorts 2930. We typically take a contrarian view to crowd sentiment, and the fact retailers are net-long suggests Index may continue to fall.
Nifty50: 14,696 ▼ -154(-1.0%) Sensex: 48,690 ▼ -471 (-0.9%)
The markets opened weak and remained negative throughout the day, with selling intensifying towards the closing bell. The market breadth was negative, with 35 of the Nifty50 stocks closing in the red. Among the sectoral indices, the Nifty PSU Bank (+3.3%) and Nifty Media (+0.6%) remained the top gainers for the second consecutive day. Meanwhile, Nifty Metal (-2.9%) and Nifty Bank (-1.2%) receded the most today.
Top gainers Today’s change
Tata Motors ▲ 3.1%
Titan ▲ 1.6%
Maruti ▲ 1.3%
Top losers Today’s change
Tata Steel ▼ 4.7%
Hindalco ▼ 3.4%
JSW Steel ▼ 3.4%
Godrej Consumer soars on strong Q4
Godrej Consumer Products’ shares soared 21.4% after a strong Q4. It posted Q4 consolidated sales of ₹2,705 crore, 27% higher YoY. Net profit rose nearly 60% to ₹365 crore.
The sales was driven by 35% growth in the India business, with the hygiene segment, which includes soaps and sanitisers, growing 38%. The investor sentiment was also upbeat by the change in the top management.
Siemens hits record high on strong quarter
Shares of the engineering company soared nearly 10% intraday, and hit their lifetime high of ₹2,143.5. For the March quarter, it reported revenue from operations at ₹3,298 crore, 30% higher YoY. Meanwhile, profit for the quarter jumped 92% to ₹315 crore.
Profit was boosted by a decline in employee costs and other expenses. Further, the company’s power transmission, digital grid and distribution systems businesses witnessed strong demand. Its order book stands at ₹12,677 crore. The stock closed 3% higher and has risen 27.5% so far this year.
Dr Reddy’s to make Covid-19 drug
Pharma major Dr Reddy’s (+0.2%) has entered into a royalty-free, non-exclusive voluntary licensing agreement with US-based Eli Lilly for the manufacture and sale of the drugbaricitinib in India.
Barictinib has received restricted emergency use approval from the Central Drugs Standard Control Organization (CDSCO) for use in combination with remdesivir for the treatment of Covid-19. Earlier this week, Eli Lilly had announced similaragreements with Sun Pharma (-0.7%), Cipla (+1.0%) and Lupin (+1.0%) to manufacture the drug in India.
Saregama’s Q4 profits surge
The music label and film production house reported revenue from operations of ₹123 crore in Q4FY21, up 14% YoY. During the same period, profit after tax surged 151% to ₹37 crore.
The rise in revenue was supported by a 27% rise in revenue from films and TV. Further, the company Profits got a boost from lower advertisement, royalty and other expenses. The stock is down 5% today but has gained 126% so far in 2021.
The Indian markets extended yesterday’s fall, and aligned themselves to the weakness in key international markets over the last few days. Among the sectoral indices, the Nifty Metal index cracked the most. This was the first significant correction seen in metals since the steep rise that began mid-April. While there are concerns over the rising inflation in the US, in India inflation numbers for April are expected to show signs of cooling off. Further, the index of industrial production (IIP) for March is expected to register a strong rise given last year’s low base. Whether this positive momentum will be maintained remains to be seen.