- #AaavasFinanciers in focus
- #Sensex #Nifty flat in trade
Get all your stock-related queries answered by our technical and fundamental guests with Alex Mathew and Smriti Chaudhary on Ask Profit. #NDTVProfitLive
- #Sensex #Nifty flat in trade
Get all your stock-related queries answered by our technical and fundamental guests with Alex Mathew and Smriti Chaudhary on Ask Profit. #NDTVProfitLive
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TVTranscript
00:00 (upbeat music)
00:02 - Hello and welcome.
00:16 You're watching Ask Profit on NTV Profit.
00:18 I'm Smriti Chaudhary,
00:19 and this show is all about your stock related questions.
00:22 So write to us on any of our social media channels
00:25 or on the WhatsApp number
00:26 that will be on your screen in a minute.
00:29 You can also write to us through the YouTube live chat
00:32 and we'll take your questions from there.
00:34 Be it a long-term query or a short-term strategy,
00:37 write to us and we'll get them answered by our guests.
00:40 But before we do that,
00:41 let's take a quick check
00:43 on where the markets are currently at.
00:44 The benchmark index is pretty much flat right now
00:49 and it's trading.
00:50 It's a range-bound day for the market.
00:52 It's trading between those 100 points.
00:56 A slight negative bias on the benchmarks today,
00:59 but all in all, not too much happening on the benchmarks.
01:03 But let's look at some of the constituents of the benchmark
01:07 and see what's moving there.
01:10 If you look at the laggards,
01:11 there's the likes of BPCL that's down about 2%,
01:14 followed by Bajaj Finance on the back of a business update,
01:18 down about 1.5%.
01:19 Then there's L&T also down about 1.5%.
01:22 Among gainers, you have HDFC Bank.
01:25 Again, the largest gainer,
01:28 the biggest gainer on the benchmark today,
01:31 up about over a percent.
01:33 There's SBI Life also up about over a percent.
01:35 Then there's Hero Motocorp, up about a tenth of a percent.
01:39 Among sectors, you have the realty sector
01:42 that's doing pretty well today.
01:45 If we can pull up the constituents
01:49 of the realty sector as well,
01:51 and it's up about 1.5%.
01:54 And you look at the constituents,
01:55 you have Mahindra Life that's up 5%.
01:59 Godrej Properties up 3%, Oberoi up 2%.
02:03 There are some stocks in the negative,
02:04 something like a Sobha.
02:06 And this is on the back of the business update
02:11 that has come.
02:12 And let's also pull up the breadth of the market today.
02:16 And it's a bit of a flattish day.
02:20 And there you can see a bit of chop and churn in the markets.
02:23 We started off with the favour and advances.
02:26 It's still continuing that way.
02:28 Took a shift, took a hit in the middle in the morning trade,
02:32 but we're back with the total,
02:35 the breadth in the favour of the advances itself.
02:40 But let's look at some stock specific action
02:43 and what's moving there.
02:45 But before I move on to that,
02:46 let me first mark the mid cap and the small cap index.
02:50 You look at the broader end of the spectrum
02:53 and mid cap is doing better than the benchmark.
02:56 It's up about half a percent
02:57 and small cap also up about half a percent.
03:01 Now let's move on to some specific names,
03:03 something like a Bajaj Finance,
03:05 which is moving today on the back of its business update.
03:08 Now, strong growth,
03:09 but customer additions were disappointing.
03:13 Then there's something like a Sheila Foam.
03:15 If we can pull that up,
03:16 we're seeing strong gains in Sheila Foam as well.
03:19 This comes on the back of insurance compensation
03:21 of about 21.4 crores, up about 3%.
03:26 Then there's Rashi Peripherals
03:28 that has received an order of 1500 crores
03:31 from NMDC data centre.
03:33 Now the market cap, pretty big order, it's up 5%.
03:36 The market cap of the company is somewhere around 2,300 crores
03:39 so a larger order there.
03:42 Then you have something like a Purvankara
03:44 that's moving within the realty space
03:48 and that's on the back of sales value
03:50 that's up 90% in FY24 and even in Q4.
03:54 The sales value stands in the fourth quarter
04:00 at 1,947 crores.
04:03 But the focus for today is Avas Financiers.
04:06 This also is on the back of business update.
04:09 It's up 6% and the intraday high was somewhere around 9%.
04:13 And to elaborate on that,
04:15 I'm joined by my colleague, Harsh Saita.
04:18 Harsh, strong growth there for Avas
04:20 but do break down the numbers for us.
04:23 - Well, yes, a strong set overall,
04:26 22% growth on the AUM front
04:29 and a good comeback when it comes to the disbursement growth.
04:32 Disbursements, mind you, over the last couple of quarters
04:34 took a bit of a knock because of the tech stack
04:37 which the company was trying to improve on.
04:41 That seems to be now behind them
04:43 because they've gone back
04:44 and they've disbursed a solid set of loans.
04:47 And therefore, this largely according to Citi
04:51 means that going forward, the growth is set to continue.
04:56 Citi is building in a 25, 24 to 26 kind of,
05:00 26% kind of growth number for FY25 and 26
05:04 which is impressive for Avas.
05:06 Now, already given the fact that
05:08 your loan growth is strong,
05:12 your GS3 is falling, which is gross stage three,
05:15 gross NPAs have fallen around 14 odd bips
05:18 on a sequential basis.
05:20 That's the other positive.
05:21 What you're expecting or what Citi is expecting to see
05:25 is a lower credit cost number.
05:27 They are putting credit costs at roughly 15 basis points
05:32 which is 0.15% which is as low as it can possibly get.
05:36 And the other piece that Citi is projecting
05:40 is ROA improvement in this quarter.
05:43 So therefore quite bullish on Avas.
05:46 They have a 1830 rupee target price on Avas
05:49 which is still at least 20% away
05:52 from the current market price.
05:53 So plenty of upside still left
05:55 despite the six and a half, 7% move today.
05:58 - Right, thank you so much, Harsh, for that.
06:00 Now to discuss more on this,
06:02 we're joined by Vaishali Parekh from Prabhudas Leeladhar
06:05 and Ashish Maheshwari from Arihant Capital Market.
06:09 Thank you to both of you for joining us today on the show.
06:12 But let's start with you, Ashish, on Avas.
06:15 You heard about the numbers
06:17 and seasonally this is a strong quarter as well.
06:21 But the question remains, is this growth sustainable?
06:24 How are you looking at these numbers
06:26 and what kind of, do you also see this sort of target
06:29 that Citi has provided at 20% growth in the stock price
06:33 in the next one year itself?
06:35 - Yes, as far as Avas is concerned,
06:38 just one month back, its stock was at 52-week low
06:41 on account of a large block deal which happened.
06:45 So from that price, the stock has already moved
06:48 up by 200 odd rupees.
06:51 Now, as far as fundamentals are concerned,
06:53 the Avas is not something like where you can see 50%
06:58 kind of season, et cetera.
07:00 They are slow in a study because they are targeting
07:03 a certain state of society where you need to have
07:06 a lot of accounts to get the kind of growth
07:09 is warranted for.
07:11 Even if you see last three quarter numbers also,
07:13 they're very static and steady kind of numbers.
07:16 Am I expecting similar trend will continue
07:19 in this quarter also?
07:21 If we see last two years from 355 to 430
07:24 and this year also, I'm expecting 450 low kind of profit.
07:28 So it will move in narrow range,
07:30 you know, as the sector outlook is quite robust.
07:34 So 1800 cannot be ruled out,
07:36 which is 50 degree higher for Avas financial.
07:38 So on any decline, the stock should be added
07:42 not in this case.
07:43 - All right, fair point.
07:45 Let's start with the questions now.
07:46 The first one's coming from Prasanna Raj from Pondicherry.
07:50 This one's on Hoodco.
07:53 Now they say they bought the stock at 42 and sold at 200.
07:57 So they made a big profit there,
07:58 but they wanna know if this is a good time
08:01 to enter the stock once again.
08:03 Now, Vaishali from the charts,
08:05 would you suggest this is an ideal buying range for Hoodco?
08:09 - Well, no, actually the stock has already run up.
08:14 I mean, after a bit of a consolidation,
08:17 I think the stock has really run up right from 170 levels.
08:21 So I would say we've seen a run up
08:23 of around 30 to 40 rupees from here on.
08:25 Better to buy in decline
08:28 at around 190 levels if the opportunity arises,
08:31 because yes, the long-term trend still shows strength
08:34 and this can go towards 220 to 250 levels from here on.
08:39 But as far as the technical levels are concerned,
08:42 I would say better to buy it in decline.
08:45 - Any specific target?
08:46 - Well, I just said that the first target
08:49 that I would be looking at is around 225.
08:53 The next projected target that we would witness,
08:56 well, 240 to 250.
08:57 - Got it.
08:58 Next up, we have a question on L&T Finance.
09:01 Now this is coming from, I'm not sure,
09:04 do mention your names, viewers.
09:07 This one's from Nandini from Tamil Nadu.
09:09 Now, this is, the question is,
09:13 from a longer-term perspective, Ashish,
09:15 would you suggest buying the stock?
09:18 It's currently down about over a percent.
09:20 - If you see, the stock is also at a striking distance
09:25 of their 52-week high of around 178.
09:29 And from two days, we have seen a very good journey
09:33 in L&T Finance.
09:34 And the way the company has cleaned their stressed book
09:38 in the last few years is quite commendable.
09:41 And they are also falling now more on retail loans
09:45 instead of more institutional loans.
09:47 Along with, if you might have noticed,
09:49 they are coming out with a bike loan
09:51 at less than 6% kind of ROI
09:53 to get the more market share in that particular space.
09:57 So my session will be to remain invested in L&T Finance.
10:00 Don't look at two rupees here and there,
10:02 but this stock has potential to touch 200 rupees
10:06 in maybe next six months' time.
10:08 So I'm quite bullish as far as L&T Finance prospects
10:12 are concerned.
10:13 - All right.
10:14 Next up, we have a question from Deepak Sharma from Punjab.
10:17 This one's on Devyani.
10:19 They've already bought the shares, 500 shares at 192 apiece.
10:22 Currently, the price is below that.
10:26 Now, Ashish, within the QSR space,
10:29 we've seen the stock getting downgrades
10:32 from brokerages as well, I think last month or so.
10:36 If somebody's already invested into the stock,
10:39 would you suggest shifting to some other stock
10:41 within the space?
10:42 - Yes, Devyani is a stock where we saw some promoter sailing
10:48 and blog leads, et cetera, recently also.
10:51 And the stock is moving in a very narrow range.
10:54 So instead of this, I'll prefer Sapphire, Food, or Zomato,
10:58 which can give you much better return
11:00 than Devyani International,
11:01 because the growth is not there
11:03 as far as Devyani International businesses are concerned,
11:06 and they are facing tough competition also.
11:09 So Sapphire or Zomato, pick your bet.
11:12 - All right, got it.
11:13 Next up, we have a question from Vinod from Chennai,
11:18 and this one's on IDFC First Bank,
11:22 where, Shalini, they've bought the shares at 58 apiece.
11:25 And can you pull up the chart for IDFC First
11:28 and see where the stock is currently trading at?
11:31 Yes, it's up about, not doing too much in trade today,
11:35 but a considerable profit there.
11:37 From a shorter-term perspective,
11:38 would you suggest buying into,
11:40 would you suggest holding onto this one?
11:42 - I would say so, because actually long-term trend
11:45 is very much in tact.
11:46 In fact, we are recommending this stock once again
11:49 from these levels,
11:50 because I think it's ready for the way
11:53 the banking stocks are doing,
11:54 and this has been quite a laggard.
11:55 So I think the risk-reward ratio-wise,
11:57 also 75 holds as a very good support level.
12:00 And once the stock moves about 80 to 83,
12:02 I think it's ready for a target of 88.
12:05 So that's quite a return for a short-term period also.
12:09 So yes, with 75 as stop-loss, I would recommend to add.
12:13 - All right, next up, so that's an add on IDFC First Bank,
12:17 but let's talk about Vedanta.
12:19 This one's from Meeta Prajapati from Gujarat,
12:23 and they've already bought in the shares.
12:25 They've bought 250 shares at 4,000.
12:27 This from a longer-term perspective for about five years.
12:31 That's the holding period.
12:32 Okay, it's at 250 apiece and 4,000 quantity.
12:40 Apologies for that.
12:41 The price is currently around 313.
12:44 From a longer-term perspective, Ashish, Vedanta,
12:47 would you continue betting on this metal counter?
12:50 - Yes, I will continue to bet on Vedanta.
12:55 And again, the reasons are many.
12:58 First of all, this is a company
12:59 which holds multiple commodities,
13:02 like they are into alumina, into big-way copper,
13:05 into zinc, into nickel, into silver,
13:10 along with oil, which they got because of an acquisition.
13:14 So multiple businesses, multiple profitable businesses,
13:17 and good and high-dividend distribution policy.
13:22 So in my view, worst is over now for Vedanta,
13:24 and surely if you're having a five-year perspective,
13:27 then you can play for more than double in Vedanta,
13:32 but I think in 2024 also,
13:35 you can expect 400 rupees in Vedanta.
13:38 Even I am buyer at this price.
13:40 - All right, fair point.
13:41 Stick with us, Ashish and Vaishali.
13:43 It's time for a short break,
13:45 and viewers, we'll be back in a couple of minutes
13:48 and take your queries on the other side.
13:50 Stay tuned.
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15:47 - Welcome back.
15:56 You're tuned into Ask Prophet,
15:57 and if you haven't sent us your questions,
16:00 do write to us on any of our social media channels
16:02 or on the WhatsApp number that's on your screen.
16:05 You can also write to us on the YouTube live chat.
16:08 But let's jump into the questions again.
16:10 This one's from Shrikar from Hyderabad.
16:13 The question is on Sriram Pistons and Rings,
16:16 and Ashish, would you have coverage
16:18 on this particular stock?
16:20 The question is, is this a good time to buy?
16:23 Shrikar says that it's trading at an attractive valuation
16:27 compared to its peers within the space.
16:30 - Yes, certainly if I see financial of this company,
16:34 they are quite robust.
16:36 The stock has also rewarded the investors very well.
16:39 If you see the last one,
16:40 we had a from 900, the stock went up to 2,300 rupees.
16:44 And the kind of profitability,
16:46 almost 100 pro kind of profit,
16:49 they are reporting quarter over quarter.
16:51 So the stock is good.
16:52 Only thing is a slightly liquid stock.
16:55 So like typically you can't trade,
16:58 but in long run,
16:59 surely you can continue to remain invested.
17:02 - Target on this?
17:04 - Yeah, I think you can continue to remain invested.
17:08 One year, 2,800 to 3,000 rupees also possible.
17:12 Because the way their order book has grown in last one year,
17:15 and the way end user industries are doing,
17:18 this is bound to do well.
17:20 - All right, fair point.
17:21 Next up, we have a question from Ratna from Kolkata.
17:25 This is on HDFC Bank.
17:26 They bought the shares at 1,435.
17:30 We saw the business update
17:31 and we have spoken about the fundamentals
17:34 of the company in detail since then.
17:36 But this is a shorter term query.
17:39 How does the charts look, Vaishali,
17:41 from a three month perspective for HDFC?
17:44 - Well, if you're looking at three months,
17:46 actually overall we are quite upbeat on the banking sector.
17:50 So HDFC Bank per se right now,
17:54 it has shown a good upward move
17:56 and is rallying towards the 200 day
17:58 moving average resistance.
18:00 So I would say for now,
18:01 if it's really for a short term period,
18:03 1,560 level is the level to be watched
18:07 because that is where some profit booking can emerge.
18:10 But if this stock moves above 15, 16 levels and sustains,
18:14 then I would be looking at a target of 1,600 to 1,620.
18:18 So that is the way the trader should be looking
18:21 at this stock for now.
18:22 - All right, fair point.
18:23 Next up, we have a question from Nikhil from Bangalore.
18:27 This is on Zomato.
18:29 Now we have seen the stock rally in the last month
18:34 and Ashish, brokers continue to remain very upbeat
18:38 on this stock, but would you suggest buying at these levels?
18:41 - In fact, this is one of the,
18:46 if you ask me about the QSR segment,
18:49 is one of my favorite pick here.
18:51 And the way now, first of all,
18:53 the trigger which are going to act in the favor
18:56 is Swiggy is also planning for an IPO.
18:59 So if Swiggy IPO will come,
19:00 Zomato valuations will further get on our trajectory.
19:06 Along with now they are into profits
19:09 or whatever the stigma related to loss making,
19:11 startups, getting higher valuation, et cetera, are over.
19:15 And Blinkit has also started performing.
19:17 So my views are, there's a stock,
19:21 if you ask me, new age businesses,
19:23 this is one of my favorite pick.
19:25 And my target for next one year is 275 to 300 here.
19:29 Even I'll advise to buy at any decline Zomato.
19:33 - All right.
19:34 Would you have a similar view
19:37 where Shalini on this specific stock,
19:40 what are the buying levels you would suggest for Zomato?
19:45 - Well, the new round of momentum
19:47 had begun right from 150 levels.
19:50 So, but of course that gets too far.
19:52 So now for a near-term perspective,
19:55 I think 170 acts as a crucial support, 175.
19:59 So that is a level that I would recommend to buy.
20:02 And well, for near-term target resistance comes to around 200.
20:06 About that we have other targets of 220, 240 and so on.
20:10 - All right.
20:11 Next up, we're gonna talk about RCF.
20:15 Now, Rashtra Chemicals and Fertilizer.
20:17 This one's from Namita Singh.
20:19 They say that they're holding the stock,
20:21 but they're in losses on this specific counter.
20:25 From a technical standpoint,
20:26 where Shalini they wanna know
20:28 if they should continue holding
20:29 from a three to six month perspective.
20:31 Do you see any upside of recovery?
20:33 Now, I'm not sure what kind of losses they have,
20:36 but do you see some sort of upside in the stock?
20:40 - So well, actually now that the person is in loss,
20:43 I'm seeing the longer term time frame chart
20:46 like right from the monthly to weekly.
20:48 Most of it is showing a lot of strength.
20:51 And right now I would say that yes,
20:53 overall if you see chemical and fertilizer stocks
20:56 have shown good strength, good momentum
20:58 and bounce signs of reverses.
21:01 So same goes for RCF also.
21:02 We saw the stock right in the recent past
21:05 from 190 levels it's corrected
21:07 and we saw a low at around 118, 120.
21:10 From there on we are seeing a bounce coming in.
21:12 So I would say continue holding.
21:14 In fact, if the stock goes a bit again
21:16 into a corrective mode and keeping in mind 120
21:19 as a support this can be added.
21:21 - All right.
21:22 Next up, we have a question from, okay.
21:25 They haven't mentioned their name again
21:28 and viewers a request,
21:29 do please mention your name
21:31 and from where you're writing from.
21:33 This is on ITC and okay, Hemant.
21:36 Hemant has written to us from West Bengal
21:38 and they have bought 250 shares of ITC.
21:42 Not sure of what the buy price here is,
21:45 but Ashish, we saw the governor talk about consumption
21:50 and how rural consumption is picking up
21:52 and ITC seems to be doing well
21:54 in comparison to its peers.
21:58 But from a longer term perspective,
22:00 would you suggest holding on to ITC?
22:05 - I'll recommend to hold ITC for longer term perspective
22:09 and I agree with you,
22:10 like the way consumption is going up
22:13 and this time we should not forget
22:14 there's an election quarter, et cetera.
22:17 So a lot of money will go in hands of rural population.
22:21 And second thing, this is a record summer time.
22:24 So their FMC product will get good traction
22:27 and as we are expecting good monsoon also this time.
22:31 So it will again benefit to their equity portfolio.
22:34 So overall I am bullish,
22:35 I think the worst is over for ITC
22:37 related to bad selling mistake, et cetera.
22:39 But it's time to accumulate gradually such a stock.
22:42 - All right, time to accumulate ITC
22:45 and interesting factors Ashish mentioned
22:47 about heat waves being predicted
22:49 and how that will be a positive for a stock like ITC.
22:53 But unfortunately we're completely out of time
22:56 on this edition of Ask Profit.
22:58 Thank you so much Ashish and Vishali for joining us
23:00 and for answering so many questions for us.
23:02 And viewers, thanks for tuning in
23:04 and we'll be back on Monday, same time 11.30 AM.
23:09 Till then do keep writing us your queries
23:11 and we'll definitely try and take most of your queries.
23:16 And don't go anywhere,
23:19 there's lots more lined up here on ATTV Profit.
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28:05 - Hello and welcome.
28:06 You are watching NDTV Profit.
28:08 I'm Agam Akhil.
28:09 Let's start with how the market's panning out.
28:12 Well, we have the verdict from the Reserve Bank of India
28:15 that it has been no change
28:16 as far as interest rates are concerned.
28:18 But plenty of commentary,
28:20 plenty of factors to look forward to
28:23 through the course of the next few months
28:25 and of course years.
28:26 And of course, we're also gonna have
28:28 the Reserve Bank of India Governor,
28:30 Shakti Kanta Das, address a press conference.
28:33 In fact, there you have it on the screen
28:35 where he is about to take questions from the media.
28:40 In the meantime, of course,
28:41 to mark out how things have panned out,
28:43 as far as the markets are concerned,
28:44 they're very, very flat.
28:45 We haven't seen too much traction overall.
28:48 Of course, we are keeping an eye
28:50 on the interest rate sensitives
28:53 and we have in fact seen a relatively quiet day of trade.
28:57 But we are looking forward
29:00 to what the Reserve Bank of India's Governor says
29:04 with respect to some of the questions
29:07 that will be coming through.
29:08 I reckon a lot will be focused on inflation coming in,
29:13 even though there are no severe concerns
29:15 that are being raised.
29:17 Besides that, several other factors
29:21 which would include production
29:23 as well as perhaps how the elections
29:28 can play out and what implications can it have
29:32 in the near term as far as the economy is concerned.
29:35 Several other aspects there,
29:37 but here let's move on to that.
29:39 Welcome to the first policy of 24-25.
29:43 Today with us we have Governor,
29:46 Shri Shakti Kanta Das,
29:48 Deputy Governors, Dr. M.D. Patra,
29:51 Shri M. Rajeshwar Rao,
29:53 Shri T. Ravi Shankar,
29:55 Shri Swami Nathan Jai,
29:57 and two Executive Directors,
29:59 Dr. O.P. Mal and Dr. Rajiv Ranjan.
30:02 So as is customary,
30:03 I would request Governor to make some opening remarks
30:06 and then we'll go for the Q&A.
30:08 Good morning.
30:13 Namaskar.
30:15 I guess I will not be off the mark
30:20 if I say that the policy overall is on expected lines.
30:24 So it demonstrates that I think
30:28 the Reserve Bank,
30:30 the market participants,
30:32 the market players,
30:33 and perhaps the media and analysts and all,
30:36 every stakeholder,
30:37 I think the thinking is at the moment well aligned
30:41 so far as the monetary policy is concerned.
30:44 But having said that,
30:45 I just want to make five observations.
30:47 First, inflation is moderating
30:50 and the GDP growth is robust.
30:53 Number two,
30:56 the Monetary Policy Committee remains focused
30:59 on aligning inflation to the target.