Tata Teleservices (Maharashtra), RCom, Dena Bank hit 52-week lows

STOCK MARKET - Shares of Tata Teleservices (Maharashtra) and Reliance Communications (RCom) hit their respective 52-week lows on the BSE in an in any other case firm market.

Tata Teleservices (Maharashtra) dipped 15% to Rs 4.25, extending its 18% decline of the last three buying and selling classes, after the media reviews cautioned that Tata Teleservices is in all likelihood to close down its operations this month. The stock is trading close to its 49f67066cd05458a974d4cc1f8ab519f of Rs 4 touched on March 26, 2013 at the BSE.

“Tata Teleservices continues to explore all alternatives in respect of its business given the tough business surroundings in the telecom industry,” the company said in a rationalization on news file on Wednesday, October four, 2017.

At this level, Tata Teleservices has no longer made any firm decision on the way ahead for its telecom enterprise, it delivered.

Tata Teleservices (Maharashtra), in conjunction with Tata Teleservices, spearheads the Tata organization’s presence within the telecommunication region. Tata Teleservices (Maharashtra) is one of the main cell telecom carrier carriers delivering mobile connectivity and offerings to consumers throughout Mumbai and Maharashtra circles.

RCom hit a new low of Rs 16.40, down 3% on BSE in intra-day change. thus far in five trading periods of October, the stock slipped 15% after the merger of RCom’s mobile commercial enterprise with Aircel turned into referred to as off.

On October 1, 2017, RCom announced that the merger agreement of its cell business with Aircel, signed in September 2016, had lapsed, attributable to legal and regulatory uncertainties, interventions through vested pastimes, and delays in the receipt of applicable approvals.

Steel stocks in focus as Tata Steel posted good sales, production in Q2FY18

Shares of frontline steel companies were up in the range of 2% to 7% after the Tata Steel reported a good sales and production in July – September quarter of the current fiscal (Q2FY18).

Tata Steel, Steel Authority of India (SAIL), Jindal Steel & Power (JSPL), JSW Steel, Jindal Saw and Jindal Stainless (Hisar) from the S&P BSE500 index were up between 2% and 4% on the BSE. Vardhman Special Steels, Prakash Industries, Maharashtra Seamless, Surya Roshni, Sarda Energy & Minerals and Mukand were up in the range of 3% to 9%.

Tata Steel rallied 5% to Rs 691 on BSE in intra-day deal, trading close to its 52-week high of Rs 697 touched on September 21, 2017.

The company’s sales volume increased 17% on a year-on-year (yoy) basis to 6.4 million tonne (MT) and production grew by 4.7% yoy to 6.22 MT in Q2FY18, according to the provisional production and sales performance figures released by the company on Wednesday after market hours.

Tata Steel said it blast furnaces and sinter plants at the Jamshedpur achieved the best-ever second quarter production of 2.8 MT and 2.9 MT, respectively. The previous best for both had been reported in Q2FY16.

Meanwhile, Tata Steel Europe deliveries were higher, reflecting stable market conditions and improved finishing processes, it added.

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Tata Group shares in focus after huge block deals; Tata Motors up 4%

Shares of select Tata Group companies such as Tata Motors, Tata Chemicals and Tata Global Beverages were in focus and rallied by up to 4% on BSE in early morning trade after a huge block deals executed on these counters.

Tata Motors has rallied 4.5% to Rs 424 on BSE in intra-day trade. Till 09:29 AM; a combined 55.85 million shares representing 1.93% of total equity of Tata Motors have changed hands on BSE and NSE.

Tata Global Beverages was up 2% at 218 after 43.19 million or 7% of total equity of the company changed hands on BSE via block deals.

On Tuesday, September 12, 2017, Tata Global Beverages said that Tata Sons will acquire up to 43.1 million shares or 6.84% stake in Tata Global Beverages from Tata Chemicals as a part of restructuring of its investment portfolio.

The transaction is expected to be executed on or after September 18, 2017 at or around the prevailing price on the date of proposed sale, it added.

The funds received from this sale will allow Tata Chemicals to focus its investments in strategic growth areas in consumer foods and specialty products.

Tata Chemicals too up 1% to Rs 649 on BSE after Tata Sons bought 10 million shares of the company from Tata Global Beverages.

“The company proposes to sell up to 10.5 million equity shares of face value of Rs 10 each of Tata Chemicals to Tata Sons. The transaction is expected to be executed on or after September 18, 2017 at or around the prevailing price on the date of proposed sale,” Tata Chemicals said in regulatory filing.

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Top technical calls for today's trade: Buy Escorts, Glenmark Pharma

STOCK MARKET - Few trading ideas by Vaishali Parekh, Research Analyst - Technical Research at Prabhudas Lilladher:

TATA GLOBAL BEVERAGES

CMP: Rs 178.75        
TARGET: Rs 200      
STOP LOSS: Rs 162
The stock after having a small correction has pulled back strongly and the two big positive candles indicate strength and potential to run further upward and scale new targets. The RSI indicator also has given a strong reversal in the trend signaling a buy and with good volume activity visible, we recommend a buy in this stock for an upside target of 198 keeping a stop loss of 160.

ESCORTS - BUY  
CMP: Rs 611.55        
TARGET: Rs 665      
STOP LOSS: Rs 560
The stock has made a lower bottom formation pattern in the daily chart and now it has recovered strongly to make a pullback rally. We anticipate further upward movement in the coming days and with RSI indicator also making a positive trend reversal and with decent volume participation, we recommend a buy in this stock for an upside target of 665 keeping a stop loss of 560.

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Option strategy on Tata Steel by Motilal Oswal Securities

STOCK MARKET - Option Strategy on Tata Steel by Chandan Taparia, Derivatives and Technical Analyst at MOSL:

TATA STEEL – BULL CALL SPREAD
BUY TATA STEEL 620 CALL @ 15.00
SELL TATA STEEL 630 CALL @ 11.20
BEP : 623.80
KEEP SL : 4000
KEEP TARGET : 8000

Rationale:
1. Positive sector outlook and a fresh breakout in the stock
2. Put writing at 620 and 600 strike is supporting it to move higher
3. Call unwinding at 600, 610 and 620 strikes could take it to higher levels.
4. However, maximum Call OI at 640, may restrict its upside
5. Thus low risk Bull Call Spread is recommended

Disclaimer: The analyst may have positions in any or all the stocks mentioned above.

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LIC reduces 2.14% stake in Tata Global Beverages, sells 1.35 crore shares

STOCK MARKET - Life Insurance Corporation (LIC) has reduced its stake in Tata Global Beverages by 2.14 per cent, selling 1.35 crore shares in the market.

The public sector insurer, which had 9.85 per cent stake earlier, brought down its shareholding in the company to 7.70 per cent by selling shares between July 20, 2016, and July 4, 2017, Tata Global Beverages (TGBL) said in a filing to BSE.

TGBL's tea brand includes Tata Tea, Tetley, Good Earth Teas, Vitax, teapigs and JEMCA.

It is the world's second-largest manufacturer and distributor of tea with significant brand presence in over 40 countries across Asia, Europe, North America, the Middle East, Africa and Australia.

In coffee segment, it has brands as Eight O'Clock and Grand. The Tata group firm also operates a coffee chain with Starbucks in India in a 50:50 joint venture.

Shares of TGBL were trading at Rs 175 apiece, down 1.02 per cent, on BSE.

Jaguar Land Rover sells record 583,313 cars in 2016

Latest Business News - Britain's biggest carmaker Jaguar Land Rover (JLR) sold a record 583,312 cars last year as the Indian-owned firm continues its rapid expansion with the aim of building 1 million vehicles a year at the turn of the decad.

Sales were up 20% from the previous year, although sales growth slowed to 12% year-on-year in December, the carmaker said.

The automaker, which spent years in the doldrums before being bought by India's Tata in 2008, has since invested heavily in new models and expanded production with plants in China and Brazil and construction of a new site in Slovakia under way.

Sales of luxury Jaguar models rose 77% to 148,730 units in 2016 due to strong demand for a range of new high-end products including the F-PACE, the brand's first off-roader which was launched last year.

Europe was the carmaker's biggest overall market, accounting for almost a quarter of total demand.

The firm said its line-up will continue to expand but it has warned about the negative effect any tariffs on its business imposed as part of a Brexit deal could have if Britain were to lose unfettered access to the single market.

Its annual profit could be cut by 1 billion pounds ($1.23 billion) by 2020 if Britain returned to World Trade Organisation rules for trade with the continent, two sources told Reuters last year.(Read More)