Tata group market cap crosses Rs 30 lakh crore: Daily Market Update - 7 Feb 2024 | Globe Capital Market LTD.
Tata group market cap crosses Rs 30 lakh crore: Daily Market Update – 7 Feb 2024

The Tata Group companies' combined market capitalisation crossed the milestone of Rs 30 lakh crore as technology stocks rallied on Tuesday. This makes it the first conglomerate to touch this landmark. The market cap of the conglomerate touched a high of Rs 30.52 lakh crore intraday and later closed at Rs 30.38 lakh crore. Tata Consultancy Services Ltd has about half of the group's market cap with Rs 15.13 lakh crore, followed by Titan Co. and Tata Motors Ltd. Shares of TCS hit a lifetime high on Tuesday, rising as much as 4.4% before paring gains to close 4.09% higher at Rs 4,136 per share on the NSE. The market cap of TCS also crossed Rs 15 lakh crore for the first time.

Overview and Outlook

Global Stock Market Today

  • US equity markets settled on a flat to positive note.
  • European equity markets ended higher in range 0.5% to 1%.
  • Asian markets are trading higher.
  • GIFT Nifty is up by 150 points, Nifty futures are likely to open around 22100 levels (as on 8:30AM).


News highlights from across the globe

  • Most of the Asian markets are trading higher in early trade on Wednesday, taking cues from overnight gains on Wall Street.
  • The U.S. bond market bounced back after a two-day rout, with investors awaiting a slew of Federal Reserve speakers for clues on whether the latest economic reports will impact their rate outlook.
  • Brent crude was trading 0.77% higher at $78.59 a barrel.


Important news updates from the domestic front

  • Britannia Industries Q3 FY24 (Consolidated, YoY) – Revenue up 1.4% to Rs 4,256.3 crore vs Rs 4196.8 crore.  Ebitda up 0.4% to Rs 821.09 crore vs Rs 817.58 crore. Margin at 19.3% vs 19.5%. Net profit down 40.4% to Rs 555.6 crore vs Rs 932.4 crore.
  • Berger Paints Q3 Earnings FY24 (Consolidated, YoY) – Revenue up 6.98% at Rs 2,881.83 crore vs Rs 2,693.59 crore. Ebitda up 37.29% at Rs 480.04 crore vs Rs 349.65 crore. Margin up 367 bps at 16.65% vs 12.98%. Net profit up 49.2% at Rs 300.16 crore vs Rs 201.17 crore.
  • UPL: Moody’s Investors Service downgraded the company’s senior unsecured rating to ‘Ba1’ from ‘Baa3’ on deterioration in the agrochemical industry fundamentals.
  • JB Chemicals & Pharmaceuticals appointed Narayan Saraf as chief financial officer effective Feb. 23.
  • Biocon received USFDA tentative approval for Dasatinib tablets, which are used in the treatment of the Philadelphia chromosome.
  • Lupin received USFDA approval from ANDA for bromfenac ophthalmic solution, which is a generic of bromsite.
  • Power Finance Corp incorporated Bhadla-III and Bikaner-III transmission as a wholly owned subsidiary for the development of transmission system strengthening for interconnections of the Bhadla III and Bikaner-II complexes.
  • Karnataka Bank received an RBI nod for exercising the call option on bonds.
  • Mahindra Life received a Rs 2.3 crore penalty for non-adherence to forest norms.


Nifty Overview & Outlook

Benchmark Nifty index opened with a gap on the higher side, kept the bullish momentum rolling till the end, and settled above 21900 levels after adding over 150 points to its previous closing values.

Midcap index outperformed the benchmark as it was up over 1% while Small cap index traded in line with the benchmark, rose 0.79%.

Majority of sectoral indices, tracked at NSE, settled higher. Amongst them, Nifty IT and Oil & Gas index was at the top of the tally up, 2.92% and 2.67% respectively followed by Nifty Auto, Metal and Pharma index that settled higher in range 1% to 1.5%. On the other hand, Nifty Pvt Bank led the decline, fell nearly 0.5%.

Technically, Nifty index is well placed on multiple chart frames. Going ahead, we expect it to trade with sideways to positive bias and suggest traders to maintain buy on dips trading approach till it is trading above 21600 levels on closing basis.


Derivatives Overview & Outlook

Yesterday, long buildup was seen in Nifty futures with increase in open interest by 2.8%, whereas short covering was seen in Finnifty futures with decrease in open interest by 10.4%. In Banknifty futures, there was no change on price front while open interest increases by 7.4%

On the sectoral front, long buildup was observed in Oil & Gas, Power and Textile stocks, whereas short covering was seen in Infrastructure and Telecom stocks.

On the options front, put writing was seen at multiple strikes and maximum positions are at 21000 PE closely followed by 21700 PE and 22500 CE.


Institutional Trading Activity

Yesterday, FIIs bought stocks worth Rs 93 Cr in the cash segment, sold stocks futures worth Rs 1892 Cr and bought index future worth Rs 568 Cr. DIIs were net buyer in the cash segment to the tune of Rs 1096 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 22080-22200; Supports 21800-21700

Banknifty – Resistances 46300-46550; Supports 45700-45400

Finnifty – Resistances 20550-20640; Supports 20340-20210






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