GLOBAL CUES
US and European markets end positive
Asia starts muted but SGX Nifty down on Dow Futures weakness
Crude down 0.4% in morning trade; Base metals on LME muted
DCE Iron ore down 1.2%
RESULTS TODAY
TCS (post market), IndusInd Bank (around 1), GM Breweries
PREVIEWS
TCS Q2FY20 PreviewEstimates (Consolidated, QoQ)
$ Revenues seen up 1.9% at $5587 bn vs 5485 bn
Income from ops seen up 3.3% at Rs 39427 cr vs Rs 38172 cr
EBIT seen up 7.5% at Rs 9907 cr vs Rs 9220 cr
EBIT margins seen at 25.1% vs 24.2%
Net profit seen up 2.1% at Rs 8304 cr vs Rs 8131 cr
INDUSIND BANK Q2 PREVIEW YoY
NII seen at Rs 3003 cr vs Rs 2203.3 cr; up 36.3%
PAT seen at Rs 1417 cr vs Rs 920.3 cr; up 54%
PPoP seen at Rs 2598 cr vs Rs 1992.4 cr; up 30.4%
STOCKS TO WATCH
Indiabulls Housing, Lakshmi Vilas Bank
RBI disallows merger of Lakshmi Vilas Bank with Indiabulls Housing Finance
Macq: RBI is not comfortable with the group and the promoter; RBI has done the
right thing
Macquarie: Place investment case for Indiabulls Housing under review
MS: stock has come off meaningfully in recent weeks but will likely remain volatile
Reliance Industries
Jio has introduced IUC recharge top-ups vouchers in the range of Rs 10-100
Post-paid customers will be billed at 6 paise per minute for off-net outgoing calls
This tariff will be in effect until the TRAI moves to a zero termination charge regime (1st Jan 2020)
Move will turn EBITDA impact to EBITDA gain for Jio and tariff discount to incumbents will shrink
CS: Jio’s IUC vouchers effectively increase ARPU by around 15%
JPM: Jio’s move is an indirect tariff hike and would be margin accretive
Telecom Sector (Bharti Airtel, Vodafone Idea and Grasim)
Current move by Jio is positive for sector as it provides room for a price hike
Analysts believe incumbents (Bharti/VodafoneIdea) may also follow Jio in IUC pass through
EBITDA impact as per UBS if all charge 6 paise: 13-15% for Bharti, 55-60% for VIL and 32-36% for Jio
Torrent Pharma
Received warning letter from USFDA for its Indrad facility in Gujrat
Indrad is the largest US exporting facility which is 80% of US sales
Indiabulls Housing Finance
To consider share buy-back plan on October 14
Ashok Leyland
To observe non-working days between 2-15 days in all plants in October
Transformers & Rectifiers
Received orders worth Rs 126 crore from Power Grid Corporation
OTHERS
Dearness Allowance For Govt Employees Hiked To 17% From 12%: PTI
BROKERAGES
UBS raises Dr Lal target to Rs 1660 from Rs 1375, Maintain Buy
Macquarie raises Siemens target to Rs 1730 from Rs 1298, Maintain Outperform
To newly updated Stock tips and Free stock tips visit Our website.
The Stock Market Tips 