2nd June, Morning Brief

SGX Nifty was up 41.50 points, indicating a positive start for the day.

🎯 News & Impact 🎯

🎯 Hindustan Petrolium : 
State-run HPCL has sought shareholders’ nod for issuing one bonus share for every two held, capitalising reserves of about Rs 508 crore. 
Positive for the stock. 👍

🎯 Bharti Airtel :
Gets SEBI & stock exchanges approval for merger with Telenor India.
Filed application with National Company Law Tribunal for nod to scheme of merger.
Positive for the stock. 👍

🎯 Hero Motocorp :
Commencement of commercial production at Bangladesh plant.
Sells 633,884 units in May 2017, up 8.7 % YoY.

🎯 May auto sales:

👉 Maruti :
Maruti Suzuki May 2017 dispatches were up 11% YoY  on the back of a strong 15.5% growth in the domestic markets; exports declined by 36.3%. The numbers were below estimates.
The compact segment segment volumes for the month were up by 4.3%, slower than the previous months primarily due to the transitionary impact of the Dzire. 
Cautious on the stock.

👉 Tata Motors :
Total JLR US sales up 13.9 % at 8,106 units versus 7,114 units (YoY).
Total Jaguar US Sales up 43.9 % at 3,113 units versus 2,164 units (YoY).
Total Land Rover US sales up 0.9 % at 4,993 units versus 4,950 units (YoY).
Positive for the stock. 👍

👉 TVS Motor :
Total sales up 16 % at 2.82 lakh units versus 2.44 lakh units (YoY).
2-Wheeler sales up 15.6 % at 2.75 lakh units versus 2.38 lakh units (YoY).
3-Wheeler sales up 20.5 % at 6,581 units versus 5,463 units (YoY).
Total exports up 14.3 % at 40,617 units versus 35,545 units (YoY).
2-wheeler exports up 11 % at 34,899 units versus 31,434 units (YoY).
Motorcycle sales up 22.3 % at 1.18 lakh units versus 96,485 units (YoY).
Scooter sales up 30.9 % at 85,681 versus 65,434 units (YoY).
Positive for the stock. 👍

👉 Eicher Motors :
Eicher Motors 2 wheeler division (Royal Enfield) dispatches for the month of May 2017 were up 25% YoY to 60,696 units.
Positive for the stock. 👍

👉 Escorts :
The domestic tractor volumes were up 28.9% YoY on the back of Normal monsoon forecast and a good Rabi crop season.
Positive for the stock. 👍

👉 Ashok Leyland :
Ashok Leyland May 2017 sales volumes dipped 8.1% YoY to 8071 units on account of a sharp decline of 17.8% YoY in the MHCV sales attributable to supply constraints of the components for the new BS 4 emission norms and postponing of purchases post the GST implementation.
The LCV Sales however were up impressively by 21.9% YoY attributable to a demand improvement as the Hub and spoke model gathers tractions.

🎯 Reliance Communications :
Fitch Ratings has revised Rcom's long-term foreign and local-currency issuer default ratings (IDRs) to 'CCC' from 'B '.
Negative for the stock. 👎

🎯 Bank India :
Weighed down by sticky loans and net losses, the state-run BOI has decided to go for one-time settlements (OTS) of loans with errant borrowers as one of the key recovery strategies.

🎯 L&T, Reliance Infra, ILFS and Jaiprakash Ventures :
These companies are in the race for the Government of India’s ambitious Rs 10,000-crore project to build the Zojila tunnel connecting Srinagar and LehLadakh, two sources told ET.
Stocks to watch.

🎯 Bayer Cropscience :
The board meeting on June 6 to consider buyback

🎯 Hindustan Copper :
The company inaugurated Banwas Mine located at Khetri Copper Complex, production capacity of the mine is 6 lakh tonne per annum of copper ore.

🎯 Steelco Gujarat :
The company commences commercial production of new color coating line, introduces pre galvanized iron coils and sheets.

🎯 NBCC :
NBCC e-auctioned upcoming commercial and office space, sees inflow of Rs 1,100 crore in Stages.

🎯 Abirla Nuvo :
NCLT approves scheme of arrangement between Aditya Birla Nuvo, Grasim and Aditya Birla Financial Services.
Stocks to watch.

🎯 Cipla :
Cipla Vet and Cipla Agrimec cease to be step down subsidiaries of Cipla.

🎯 NDTV :
NDTV to suspend current trading hours programming on NDTV Profit.

🎯 Manugraph :
Manugraph's employees go on strike w.e.f June 1.

🎯 Hotel Leela :
America's Marigold Capital may check into Leela Chennai.

🎯 ONGC :
ONGC likely to buy government's stake in HPCL.

🎯 SREI Infra :
The company says to ink USD 500 million venture with Russias VEB.

🎯 HDFC :
Housing Development Finance Corporation buys 15 % stake in Tanzania's first housing finance company.

🎯 Yes Bank, ICICI Bank, Axis Bank in focus:
SEBI seeks clarification from these banks on NPA issue.

🎯 Bosch :
Baidu & Bosch sign strategic agreement to deepen cooperation in automated driving.

Edited by Sharp.
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