Overvaluation especially after nearly 7 percent rally in August so far taking the benchmark indices to new highs last week also pulled the market down. The BSE Sensex was down 107.97 points at 55,329.32 and the Nifty50 fell 78.60 points to 16,450.50. The BSE Midcap index declined 1.14 percent and Smallcap index slipped 2.27 percent.
Vedanta | The share price fell over 16 percent as The Madras High Court issued notice for Tuticorin unit. The report said that Madras HC issued a notice on remediation of contaminated sites at Tuticorin unit after a PIL was filed against the company, reported CNBC-TV18. The PIL demands Vedanta to remove all contaminated material within the Sterlite copper plant. In its regulatory filing, on Friday, Vedanta said, “This is a speculative story in the media with no contribution from Vedanta Limited. As a Company, we have no role to comment on the court proceedings mentioned in this article. Tuticorin matter is sub?judice and we are pursuing legal remedies as prescribed by law.”
Aurobindo Pharma | The scrip was down over 17 percent after the company received seven Form 483 observations from USFDA. Unit-1, located in Medak, Telangana manufactures APIs related to the cardiovascular, central nervous system, CNS, anti-allergics and non-sterile Cephalosporins. The inspection was carried out between August 2-12. Aurobindo Pharma’s Unit-1 was classified by USFDA for official action indicated in May 2019.
Aster DM Healthcare | THe stock price rose over 15 percent last week. Aster DM Healthcare is betting big on expanding its presence In India and will invest around Rs 235 crore to add 411 beds in the country in the next 18 months, company’s Founder Chairman and MD Azad Moopen said. Ruchit Jain, Senior Analyst- Technical and Derivatives at Angel Broking is of the view that the Relative Strength Index (RSI) reading has surged along with the price, indicating positive momentum. The trend for the stock has turned positive. Traders should hold on to their longs and look for buying opportunities on declines. The previous resistance around Rs 178 should now act as a support on dips. On the flip side, the reciprocal retracement indicates a probable target of around Rs 209.
Tata Elxsi | The share added 10 percent in the week gone by. Tata Elxsi collaborated with DStv Media Sales, a media sales organisation and part of MultiChoice Group, to consult and collaboratively build a vision for DStv Media Sales (DMS) that addresses challenges while positioning DMS for future growth. Tata Elxsi’s net profit soared 64.6% to Rs 113.38 crore on 39.4% surge in net sales to Rs 558.32 crore in Q1 June 2021 over Q1 June 2020. Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory at Chartviewindia.in is of the view that as long as the stock sustains above 4,428, a higher target of 5,700 can be expected. Therefore, positional traders should hold but fresh buying should be considered on a dip into the 4600–500 zone but with a stop below 4,428.
Hindustan Unilever | The stock gained over 9 percent hitting record high on August 20. The fast-moving consumer goods major’s market capitalisation crossed above the Rs 6 lakh crore mark for the first time. UBS has a buy rating with target at Rs 2,850 while Citi also has a buy call on the stock with target at Rs 2,710.
United Spirits | The stock added over 7 percent last week. The outlook for Indian alcoholic beverages continues to remain positive due to favorable demographics, expanding middle class, rising disposable income levels, greater preference for premium food and drink experiences, and greater acceptance of alcoholic beverages in social circles. Increased consumption of liquor in rural areas will be another major reason for the growth in the market, analysts said, sources said. Ruchit Jain, Senior Analyst- Technical and Derivatives at Angel Broking is of the view that the price-volume structure indicates that the stock is likely to continue its momentum and could head towards Rs 760 in the near term. On any dips, 690-680 is likely to act as a support zone.
Hinduja Global | The stock slipped 15 percent last week. Hinduja Group’s business process management entity Hinduja Global Solutions Ltd (HGS) will divest its healthcare services business to funds affiliated with Baring Private Equity Asia (BPEA), based on enterprise value of USD 1.2 billion.
Varroc Engineering | The stock price was down 14 percent in the week gone by after the company reported net loss to Rs 230.29 crore in the quarter ended June 2021 as against net loss of Rs 307.72 crore during the previous quarter ended June 2020.
Natco Pharma | The scrip fell over 10 percent after a US District Court issued a decision in favour of Pharmacyclics, a subsidiary of Chicago-based AbbVie’s Pharmacyclics LLC, the brand owner of Imbruvica in a PIV litigation involving the product. The company and its marketing partner in US for the product, Alvogen Pine Brook, USA, shall review the judgement and evaluate all options to appeal the judgement, Natco Pharma said. “We believe that we have a strong case and will continue to defend vigorously,” it added.
NLC India | The share price shed 8 percent after the PSU firm reported decline in profit to Rs 267.22 crore as against Rs 292.54 crore in the corresponding period of the previous year. According to a press release, the total income of the company for the quarter ended June 30, 2021 was Rs 2,504.45 crore as against Rs 2,386.86 crore in the corresponding year-ago period. Renewable energy power generation during the period touched 572.53 MU as against 530.69 MU in the corresponding year-ago period, a growth of 7.88 percent.