Jindal Steel rallies on expansion plans, Ashok Leyland at 52 week high

Indian Markets:

• Equity barometers concluded with moderate losses on Monday due to weak global cues.
• Profit selling was spurred following last week’s strong rally.
• Investor attention was on China’s upcoming rate decision and the Fed chair’s testimony.
• The Nifty closed under the 18,800 mark despite reaching a high of 18,881.45 early in the day.
• Private banks and realty stocks experienced a dip.
• PSU banks, IT, and healthcare stocks resisted the weak market trend.

Global Markets:

• Markets in Europe and Asia tumbled on Monday as investors looked ahead to Chinas rate decision and U.S. Federal Reserve Chair Jerome Powells testimonies for clues on the path ahead from U.S. Federal Reserve policymakers.
• U.S. markets will be closed Monday for the Juneteenth holiday. U.S. stocks ended lower on Friday as comments from two Federal Reserve officials curtailed optimism that the central bank is nearing the end of its aggressive interest rate hikes.
• Richmond Fed President Tom Barkin said Friday that inflation is still too high and he needs to be convinced its slowing more quickly before he would back an end to rate increases. 
• Meanwhile, consumer inflation expectations receded for the second consecutive month, falling to 3.3% in June from 4.2% in May.

Stocks in Spotlight:

• Jindal Steel witnessed a significant surge of approximately 6% on June 19, following an upgrade to a ‘buy’ rating by Kotak Institutional Equities, with a revised target price of Rs 740. In May 2021, Jindal Steel announced expansion projects worth around Rs 24,000 crore, which are slated to commence operations from October 2023. This development will significantly bolster earnings from the second half of FY24. These expansion projects, encompassing capacity increase, backward and forward integration, will facilitate an upswing in volumes and enhance the product mix.
• IKIO Lighting recorded a remarkable 10% gain on June 19, following an extraordinary debut on June 16. The stock has already accrued an impressive 51% increase from its issue price of Rs 285. Notably, Quant Mutual Fund, through its Quant Quantamental Fund, acquired 6.01 lakh shares in the company, with an additional 6.02 lakh shares procured by its Quant Multi Asset Fund. This dual acquisition culminates in a substantial 2.15 percent stake, highlighting investor confidence in the growth potential of IKIO Lighting.
• Ashok Leyland witnessed a 2% surge on June 19, reaching a 52-week high, in response to its promising growth projection. During its Investor Day event on June 15, the company presented ambitious medium-term targets: 35% market share in the Medium and Heavy Commercial Vehicle (MHCV) segment, 25% share in the Light Commercial Vehicle (LCV) segment, and a mid-teen EBITDA margin. 

News from the IPO world🌐

• Double-Digit returns for most 2023 IPOs with some surpassing 50%
• Mukka Proteins refiles DRHP with SEBI to launch IPO
• Greenchef Appliances IPO opens on 23rd June.

Day Leader Board

Sectoral Performance

Advance Decline Ratio

Numbers📈 that matter