www.angelbroking.com Market Outlook February 27, 2017 www.angelbroking.com Market Cues Indian markets are likely to open flat tracking the SGX Nifty. US Markets closed up with the Dow index posting a new record closing high. The Commerce Department released a report showing that new home sales climbed by 3.7 percent to an annual rate of 555,000 in January against an expectation of an increase of 7.5 percent. Consumer sentiment pulled back by less than expected. The consumer sentiment index for February was upwardly revised to 96.3 from a preliminary reading of 95.7 against an expectation of 96.0. The European markets ended Friday's session extending the losses for the week as weak corporate earnings dampened investor sentiment. Among UK stocks financials were weak with Standard Chartered dropping 2.73 percent after its annual profit missed analyst estimates. Royal Bank of Scotland Group dropped 4.49 percent as it posted a £7bn annual loss, due to misconduct charges and restructuring costs. Indian markets opened positive but lost most of the gains of the session to close mildly positive. The Telecom sector was in focus with Bharti Airtel climbing 1.4 percent, after news that it had taken over Telenor's India operations. Idea Cellular rallied 6.39 percent on news that Softbank Corp might pick up a minority stake in the proposed Idea-Vodafone merger. IT stocks also performed well, with the IT index closing up 1.7 percent. News Analysis L&T arm wins `1,100cr contract from IOC Detailed analysis on Pg2 Investor’s Ready Reckoner Key Domestic & Global Indicators Stock Watch: Latest investment recommendations on 150+ stocks Refer Pg5 onwards Top Picks Company Sector Rating CMP (`) Target (`) Upside (%) Amara Raja Batteries Auto & Auto Ancillary Buy 846 1,009 19.2 HCL Tech IT Buy 843 1,000 18.7 Power Grid Corp. Power Accumulate 199 223 12.0 Navkar Corp. Others Buy 161 265 64.3 KEI Industries Others Buy 172 207 20.3 More Top Picks on Pg3 Key Upcoming Events Date Region Event Description Previous Reading Consensus Expectations Feb 27 US New home sales 536.00 570.00 Feb 28 US Consumer Confidence 111.80 110.90 Mar 01 Germany Unemployment change (000's) (26.00) Mar 01 US GDP Qoq (Annualised) 1.90 2.10 Mar 01 Germany PMI Manufacturing 57.00 Mar 01 UK PMI Manufacturing 55.90 More Events on Pg4 Domestic Indices Chg (%) (Pts) (Close) BSE Sensex 0.1 28 28,893 Nifty 0.1 13 8,940 Mid Cap 0.2 25 13,532 Small Cap 0.1 15 13,588 Bankex 0.1 18 23,825 Global Indices Chg (%) (Pts) (Close) Dow Jones 0.1 11 20,822 Nasdaq 0.2 10 5,845 FTSE (0.4) (28) 7,244 Nikkei (1.4) (277) 19,006 Hang Seng (0.2) (43) 23,923 Shanghai Com (0.2) (7) 3,246 Advances / Declines BSE NSE Advances 1,205 666 Declines 1,588 984 Unchanged 189 61 Volumes (` Cr) BSE 3,278 NSE 33,091 Net Inflows (` Cr) Net Mtd Ytd FII 252 8,908 8,862 MFs 887 (23) 5,192 Top Gainers Price (`) Chg (%) Idea 120 6.4 Jindalstel 117 5.9 Jpassociat 15 5.8 Edelweiss 135 5.4 Amtekauto 38 5.0 Top Losers Price (`) Chg (%) Il&Fstrans 99 (3.0) Unitdspr 2,333 (2.7) Raymond 559 (2.6) Repcohome 664 (2.5) Ramcocem* 653 (2.5) As on February 23, 2017
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www.angelbroking.com
Market Outlook
February 27, 2017
www.angelbroking.com
Market Cues
Indian markets are likely to open flat tracking the SGX Nifty.
US Markets closed up with the Dow index posting a new record closing high. The
Commerce Department released a report showing that new home sales climbed by
3.7 percent to an annual rate of 555,000 in January against an expectation of an
increase of 7.5 percent. Consumer sentiment pulled back by less than expected. The
consumer sentiment index for February was upwardly revised to 96.3 from a
preliminary reading of 95.7 against an expectation of 96.0.
The European markets ended Friday's session extending the losses for the week as
weak corporate earnings dampened investor sentiment. Among UK stocks financials
were weak with Standard Chartered dropping 2.73 percent after its annual profit
missed analyst estimates. Royal Bank of Scotland Group dropped 4.49 percent as it
posted a £7bn annual loss, due to misconduct charges and restructuring costs.
Indian markets opened positive but lost most of the gains of the session to close
mildly positive. The Telecom sector was in focus with Bharti Airtel climbing 1.4
percent, after news that it had taken over Telenor's India operations. Idea Cellular
rallied 6.39 percent on news that Softbank Corp might pick up a minority stake in
the proposed Idea-Vodafone merger. IT stocks also performed well, with the IT index
closing up 1.7 percent.
News Analysis
L&T arm wins `1,100cr contract from IOC
Detailed analysis on Pg2
Investor’s Ready Reckoner
Key Domestic & Global Indicators
Stock Watch: Latest investment recommendations on 150+ stocks
Refer Pg5 onwards
Top Picks
Company Sector Rating CMP
(`) Target
(`) Upside
(%)
Amara Raja Batteries Auto & Auto Ancillary Buy 846 1,009 19.2
HCL Tech IT Buy 843 1,000 18.7
Power Grid Corp. Power Accumulate 199 223 12.0
Navkar Corp. Others Buy 161 265 64.3
KEI Industries Others Buy 172 207 20.3
More Top Picks on Pg3
Key Upcoming Events
Date Region Event Description Previous
Reading
Consensus
Expectations
Feb 27 US New home sales 536.00 570.00
Feb 28 US Consumer Confidence 111.80 110.90
Mar 01 Germany Unemployment change (000's) (26.00)
Mar 01 US GDP Qoq (Annualised) 1.90 2.10
Mar 01 Germany PMI Manufacturing 57.00
Mar 01 UK PMI Manufacturing 55.90
More Events on Pg4
Domestic Indices Chg (%) (Pts) (Close)
BSE Sensex 0.1 28 28,893
Nifty 0.1 13 8,940
Mid Cap 0.2 25 13,532
Small Cap 0.1 15 13,588
Bankex 0.1 18 23,825
Global Indices Chg (%) (Pts) (Close)
Dow Jones 0.1 11 20,822
Nasdaq 0.2 10 5,845
FTSE (0.4) (28) 7,244
Nikkei (1.4) (277) 19,006
Hang Seng (0.2) (43) 23,923
Shanghai Com (0.2) (7) 3,246
Advances / Declines BSE NSE
Advances 1,205 666
Declines 1,588 984
Unchanged 189 61
Volumes (` Cr)
BSE 3,278
NSE 33,091
Net Inflows (` Cr) Net Mtd Ytd
FII 252 8,908 8,862
MFs 887 (23) 5,192
Top Gainers Price (`) Chg (%)
Idea 120 6.4
Jindalstel 117 5.9
Jpassociat 15 5.8
Edelweiss 135 5.4
Amtekauto 38 5.0
Top Losers Price (`) Chg (%)
Il&Fstrans 99 (3.0)
Unitdspr 2,333 (2.7)
Raymond 559 (2.6)
Repcohome 664 (2.5)
Ramcocem* 653 (2.5)
As on February 23, 2017
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www.angelbroking.com
Market Outlook
February 27, 2017
www.angelbroking.com
News Analysis
L&T arm wins `1,100cr contract from IOC
Larsen and Toubro Hydrocarbon Engineering has won orders worth `1,100cr from
Indian Oil Corporation (IOC) for its Bongaigaon refinery in Assam. The orders are
for IOC's Indane Maximisation project, under which it will set up a fluidised
cracking unit including LPG treatment facility.
The company won an onshore EPC contract from IOC worth around Rs 1,100
crore for setting up a 0.740 MMTPA Fluidised Cracking Unit (FCU) including LPG
treatment facility at their Bongaigaon refinery, Assam. The contract covers
Source: Company, Angel Research; Note: *December year end; #September year end; &October year end; Price as on February 23, 2017
www.angelbroking.com
Stock WatchFebruary 27, 2017
Research Team Tel: 022 - 39357800 E-mail: [email protected] Website: www.angelbroking.com
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