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[00:00:02]mixed after trading in a narrow range through the day. The Nifty finished around 24200 even as broader markets kept the market breath in favor of the advances.

[00:00:10]It was a strong first quarter for two-wheeler makers both Bajage Auto and TBS Motors beat street expectations driven by robust export demand while margins came in at multi-quarter highs.

[00:00:23]>> SBI funds listed at a 7% premium to its offer price after the IPO was subscribed more than 41 times. SBI's joint venture partner Amundi dispels speculations over further stake sale. Says it plans to stay invested for the long term.

[00:00:46]Hello and welcome to Markets Forward, your goto show where we aim to get you all of the key data points to gear you up for the next trading day. I'm Batra and with me is my colleague Hormus Fedaka. Well, hormones it turned out to be a session where it was absolutely mixed but you know it's deja vu because we spoke about this yesterday as well at the same time where the broader markets managed to hold up quite well. So the midcap index was up around 3/10en of a percent. It didn't build on its gains as the day went on and an advanced decline ratio which turned in favor of the advances as the day went on to around 2,300 stocks advancing to around 2,100 stocks declining. So overall yes the bank nifty was under pressure. Nifty was under pressure but broader markets did have a spark.

[00:01:30]>> Deéjà vu indeed and it was neither here nor there sort of a session at least for the benchmark index and the nifty continuing to hover around that 24200 level not gone anywhere over the last couple of days now still in wait and watch mode. The broader markets yes they are building onto the gains. Every dip that is happening in either in the midcap or the small cap index is getting bought into and they ended at or near the highs of the day and the bulls will take that. There are plenty of earnings reactions. It's a busy week ahead in terms of earnings as well. So, a lot will depend on how a lot of these broader market constituents and a nifty constituents perform as well as we go into midweek trading tomorrow. But here's what is lined up in store for you today. The top movers and shakers of the day as always with Vive. Start with the day's key earnings. And of course, with SBI funds making its last debut, we will compare its valuations with its listed peers. And last but not the least, we delve into the key market events to watch going into tomorrow's trading session. But onto our first segment. As always, Vive is here at the wall to tell us the top movers and shakers of the day. Vive, well, thank you so much for that very a very sharp intraday reversal, especially in the broad end of the market's advanced decline ratio, especially in the second half skewed very much in favor of the advances after trading most of the first couple of hours of the trading session largely flattish or near the flat line. In terms of individual stocks, well, you can't look past the one of the largest listings that we've seen in recent times. SBI funds opened up very strongly over 6% upside for this particular name on day one of its street debut. The other stock on the radar of course was a construction very strong Q1 strong expansion both on topline as well as margin over 5% upside over there. United Breweries was the other stock seeing a good up move lot of alcohol makers today on very good volumes moving higher almost 4%. Karu Vaisha Bank a clear standout performer as far as midcap private financials were concerned 13% higher on good volumes and TVs motors came out with its numbers during the course of the session extremely strong set you can see the spike in the stock you know as soon as the results announced over 5% higher as far as TVs motors was concerned on the other hand quite a few lagards as well trill or you know transformers and rectifiers muted set of numbers disappointing the street once again almost 5% down cartridge tech on high volume saw a bit of a sell-off cartridge tech is the name that we're talking and PTM again saw a bit of a sell off for profit booking post what was essentially a strong Q1.

[00:03:49]>> Okay. All right Vive thanks very much for that. So those are all of the stocks in focus in our buzzing stock segment.

[00:03:54]Bajage auto reported what was a strong set of numbers in the first quarter led by robust export demand. Margins expanded to over 20% this quarter versus 19% yearonear. Sudaran is here with the analysis. Sudaran.

[00:04:10]So Bajage auto it has come out with very strong set of warnings. Stock is seeing profit booking because it has outperformed the peers just ahead of numbers. But talking about this some of the major internal this is the first quarter where export volumes for Bajage auto are more than domestic volumes. Now exports form almost 51% to their total volumes. Now second part is the margin expansion. Margin has come at multi-quarter high of around 21%. It's at 20.9%. And now that has been supported by increase in the export volumes and also the rupee depreciation against dollar that has helped. Now talking about the chuck earlier till Q Q4 FY26 EV both electric two wheelers and three-wheers combined used to form 20% to their domestic revenue. Now that has seen an increase. It has increased to 30% to their total revenue. Now coming to the headline numbers for Bajto profit has seen an increase by 42%.

[00:05:04]Revenue has increased by 37%. AITA has seen a jump of 45% and margin as I told you has come at a multi-quarter high of 20.9% versus 19.7%. For Bajazoto overall volumes have increased 29% Y and 5% sequentially. Realization the important parameter up 6% Y and up 3% on a sequential basis. for Baj2. We'll be watching out for what exactly company talks about the outlook and if it can sustain the margin increase that it it has seen in Q1 FY27.

[00:05:34]>> Sudan, thank you for that update there.

[00:05:37]Bajage Auto strong quarter. TVS Motors doing very well for itself after the results announcement closing in on its record highs in today's trading session.

[00:05:47]6% higher for TVS Motors. Bajage Auto though ending close to the lows of the day. to take this conversation forward.

[00:05:53]We are now being joined by Jay Bala from cash the chaos and Sudep Bandupadhai.

[00:05:57]Gentlemen, good afternoon. Thank you for joining in. Jay, you mentioned the fact that the uncertainty around the index will continue till it crosses past its previous or the most recent swing high which is 24601. But for the Nifty Bank though uh still in that 1,00 point range 57500 58500 is that the one that will take the index eventually past that 24600 mark going forward.

[00:06:23]>> Um yeah that's possible. Um um I would I would think the Nifty IT index that's the thing that's causing more uncertainty than the banking index. Yes, you're right. uh bank index is definitely slightly better off when it comes to uh the large cap names and even there too uh HFC Bank if it were to uh you know trade below uh 730 that will complete a a short-term price structure and a medium-term price structure so that can bring in a reversal uh but the main uncertainty for the nifty is probably emanating from um nifty IT index probably needs to go and finish a climatic sell off below the July 1 low on the nifty IT index once that's done I think that it has a strong potential for a reversal. Uh so yeah, watch out for uh Infosys reserve which comes out on 23rd after hours. So probably the markets are going to react on the 24th Friday.

[00:07:14]>> Okay. All right. Well, SBI funds management share price made a moderate debut on the exchanges. The stock listed at around a 7% premium over the IPO price. Let's get in Dani to break down how the stock compares with its peers and what might the risks be also. Divani >> SBI funds listed at a premium of 7% over its issue price at around the 613 rupees per share mark. This implies a price to earnings of around 41 times its FI26 earnings and a market cap of 1.27 lakh crores. Now uh at these levels it is trading between HGFC AMC which trades at 40 times its FI26 earnings and ICI AMC which trades at about 20 46 times its FI26 earnings. Now that is in spite of the fact that it has a higher AUM and market share overall. But keep in mind it also has structurally lower yields than than its peers due to a higher 32% passives exposure. Now coming to this passive exposure this is likely to reduce going forward because of their SIP book which uh stands at a strong 4,000 crores and is activives heavy. Now that said also the CKYC 2.0 to rules which are expected to roll out very soon is something that the management is counting on to help reduce onboarding friction going forward and as a result also be able to convert more SBI customers into mutual fund investors which currently just stands at about 2% penetration which could increase going forward. Now there are also certain risks to keep in mind uh specifically the regulatory risks especially with SEBI tightening its measures going forward uh including the recent expense ratio changes that came into place and along with that keep in mind AMC business by itself is cyclical in nature and moves with market movements which directly impact the AUM as well as the investor sentiment and that said the mutual fund business is growing but so is competition with it with Geo Black Rockck Grow AMC and Angel1 AMC all ramping operations and uh companies such as Anandrati setting up their own AMC going forward.

[00:09:16]>> Okay. All right, Dyani. Well, SBI has made it st it will continue to sell only SBI live products through its branch network. This comes days after we reported that the government isn't looking at mandatory open architecture for bank insurance. Let's listen in to the chairman CS set on the same.

[00:09:34]the product suitability is approved at the highest level in SBI and I I don't think we are looking at competing products as I mentioned I think we our focus continues to be on core activity of deposit mobilization and lending nothing uh distracts us from there uh as far as the open architecture is concerned I think broadly we believe that we have portfolio product portfolio across insurance uh life non-life uh mutual fund. I think every product is in our portfolio and it it gives us confidence that you know when our own products are being sold at counters both for customers and so for the time being I think we we will stick to our own subsidies product.

[00:10:18]>> Well over to Sudep now. Sudep thank you for taking out time. Baj and TVs first up to you. Uh both of them came out with numbers. Which one do you feel were the better ones? Both of them came out with strong numbers. But on the valuation front, Bajage or TVS or neither?

[00:10:35]>> Well, I I like Baj and in fact the numbers also were pretty good. In fact, what is most interesting almost is their export revenue has crossed the domestic revenue and this is a very interesting development particularly considering the fact that the way the currency has depreciated and the way that Indian currency normally depreciates in a normal year 3 4%. Uh so I think this will add further uh uh uh zinc to their uh bottom line. Uh I I do like that.

[00:11:01]Also uh the domestic business has been picking up uh there. Uh I would definitely like to hear uh from the management about what they're planning on the KTM side and the EV side even further going forward. But fundamentally at uh looking at the valuations, I do like Bajage Auto at current level.

[00:11:19]Nothing wrong with TVS Motors. They also came with a stellar set of numbers. But the valuation is a bit too rich.

[00:11:26]>> Okay. All right. J, what's your view on the entire auto space?

[00:11:30]>> Yeah. Uh I I think I think both are looking good set for record highs, but I think uh Marati offers a much better risk reward from current levels. Uh so I would prefer Marati within the space and within the um I also like auto ancillaries. So you might would want to look at tire space. Um and I'm anticipating um crude prices to crash uh soon. So that will also give a fill to the tire stocks. So um Mari within the um um auto space and auto select tires.

[00:12:02]>> So what about SBI funds then? Uh the new listing today. Well the IPO had a very strong uh subscription. The GMP was also indicating of course at the speculative rates yes but a fairly subdued listing uh in comparison to the expectations.

[00:12:18]There's still more value left on the table in comparison to a lot of the other AMC peers. We just saw numbers from Aditya AMC and they were not very impressive. The stock got smashed after its numbers. What about uh SBI funds or better options within the AMC space?

[00:12:33]>> Well, I think SBI funds there is fundamentally nothing wrong with SBI funds. uh they are uh you know of course the passive funds are more so the yield is at this stage lower compared to an HDFC as well as uh ICICI but the way their strategy they have outlined during the IPO and they are talking about taking the yield to 45 basis points which is close to where HDFC is I think the strategy is sounds right but as far as valuation is concerned I think they are properly valued at this stage or at the listing price and even today after that five six% which it went up I think it's properly valued so I would uh recommend taking fresh exposure but if somebody has SPI and wants to remain invested there's nothing wrong amongst the AMC uh stocks we continue to like ICICI and we will uh uh recommend ICICI at this stage >> okay all right uh well um guests hold on because the earning season continues at full pace from autos and pharma to energy and retail. Several companies have announced their Q1 report cards.

[00:13:40]Anya joins in with the key highlights.

[00:13:44]>> Well, yes, a busy day of earnings today.

[00:13:45]Uh let me first start with TBS Motor.

[00:13:47]So, they uh came out with their results today. They delivered a strong beat with revenue up 38% yearon-year and profit surging to 51%. Although the stock reaction remained muted, uh Granules India also reported a healthy quarter.

[00:14:02]they post posting 22% revenue growth and 60% jump in profit here uh driven by margin expansion. Now coming to Mahindra and Mahindra financial services which was also the key highlight and the stock surged up to like 5% in the trading session session they reported a strong quarter as well with NI up nearly 20% and profit surging almost 70% supported by healthy business growth and resilient asset quality. One thing to notice that this is seasonally weak quarter for them. So as compared to that it is a really good set of numbers. Now Adani energy solution they also reported a strong quarter with revenue of 42% and profit more than doubling the though operating margins moderated here. Now urban fashions they delivered healthy revenue growth and ITA growth but uh but higher depreciation finance cost and minority interest led to a decline in attributable profit uh resulting in a negative market reaction. Now lastly, Atlanta Electricals also posted a robust quarter with revenue of 48% and profit rising 50% but the stock remained under pressure today. So that's the earnings uh scorecard for today.

[00:15:12]>> Arana, thank you for that update.

[00:15:14]There's just only until now there are still plenty of earnings that are lined up for the rest of the evening as well.

[00:15:20]This is a busy evening uh that we can promise you for sure. uh Jay you know beyond the results you know the one stock that uh comes to the radar is Kar Visia Bank was a top performer today on uh the Nifty 500 13% higher is where the stock ended at 340 and the stock has done fairly well for itself uh this year uh what are the levels you are tracking now uh on the stock considering the runup uh that it has had >> it's still very bullish uh but risk rewards aren't that favorable I'm anticipating this to scale past 400. Uh but it's likely to get a bit choppy uh before it gets to 400 and the next if it does cross 400 the next level comes to about 440. So uh yeah quite still bullish but uh risk rewards you know the stop loss somebody want to get in fresh is quite wide so that way it's it's unfavorable.

[00:16:14]SE what about Eminem financial numbers on the stronger side the stock did very well of Bajach Finance and the likes but on on first glance is Eminem Finance and is is the turnaround story now starting off to finally gather steam uh with the legacy issues behind it now. Oh, absolutely. Look at the asset quality and this will be apparent on us because Eminem financial also the asset quality on and off has been a challenge but I think things have improved quite a bit there and you know numbers were pretty good. uh so it's it's nothing to complain as far as M&M financial numbers are concerned the market is also cheering that but if I have to look at the entire NBFC space considering the uh uh the momentum and the business volume and the fund raise which happened in the recent past I will uh still prefer the kind of the one of the top two which is Sundaram I think uh uh that's one uh uh uh NBFC sorry Finance which is where I will put my bet on.

[00:17:17]>> Okay. All right. Uh well, Sudep, uh the other stock which is going to come out, you know, company that's going to release numbers tomorrow is Dr. Ready's and that's really going to kick off the numbers from the pharmaceutical space as well. Uh what is your sense in terms of what we can expect from pharma earnings this quarter? Anything that you would suggest to your clients at this point?

[00:17:40]>> Well, we have been positive on pharma for quite some time and we've been recommending buy on multiple pharma stocks. uh uh you know Dr. has its ups and downs and challenges but I think uh the the quarterly numbers from most of the pharma companies particularly uh have considering they have a significant export and it should be good because the currency depreciation tailwind will add to their profit profitability and performance. uh overall I think it should be a good quarter for pharma and uh we will look forward to the earnings from some of the uh CDMO players as well as uh the domestic pharma companies like mankind also of the uh uh you know the larger pharma plays Sun Pharma has been our favorite and we'll kely watch them J you know uh beyond equities you know the only talking point has been gold and silver you know gold has again seen a rebound from the 4,000 level that it fell L2 yet again and silver too is finding support at that $55 mark. Uh is the bottom in place at least for the short term for both gold and silver at 4,000 and at 55?

[00:18:49]>> I think the bottom may be in for gold but uh silver could drop uh one more time below the recent low but both of them are very close to an important uh turning point. Uh so basically the takeaway from this precious metal space is that we are probably uh very close to reentering an inflationary phase. That inflationary phase will lift all asset classes. So you know um yeah um if there's further downside for gold it's very limited and uh same for silver but it's more likely silver is uh you know gold might diverge from silver when silver makes a new low. Uh I'm quite bullish on gold and silver from current levels. So limited downsides probably heading back to record highs from a one year one year time frame.

[00:19:32]>> Okay. All right. Uh J as well as Sudep we're going to leave it on that note.

[00:19:35]Thanks very much for joining in and take us through your views. We'll on that note um take a short break. We'll get you all of the top corporate voices along with key market [music] events to watch out for on uh the other side. Stay tuned.

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