Nifty, Sensex Top Gainers and Losers: Markets react to Q2 results; Britannia, SBI gain most; Divis Lab among top losers – check targets

Nifty, Sensex Top Gainers and Losers: The Indian markets extended their gaining streak for the second straight session on Monday as both the benchmark indices closed higher around 0.4-0.5 per cent amid positive global cues. The market was mainly supported by strong Q2 corporate earnings.

Frontline indices – Nifty and Sensex – settled at the key levels above 18200 and 61000, respectively, today. While the broader markets such as Nifty Midcap and Smallcap outperformed the benchmarks to end nearly 1 per cent higher on Monday.

Except for Nifty Pharma, almost all sectoral indices closed positive. Nifty Metal followed by banking and financials contributed most to the market surge during today’s session. Among heavyweights - Britannia, SBI, and Adani Ent gained most, while Divi's Lab and Asian Paints were among the top laggards.

Britannia: BUY – Target: 4300; Period: Long-Term

The stock has reacted to better-than-expected second-quarter results for the financial year 2022-23 (Q2FY23) released on Friday. On Monday, the counter touched its 52-week high level of Rs 4,189.95 and closed around 9 per cent higher to Rs 4142.20.

The company has seen one of the most resilient core performances in the last three years backed by share gains. 

Going forward, the success of at least a few new segments and ramp-up of adjacent categories is imperative, ICICI Securities said, adding that the outlook appears better and upgrades to ADD with a target of Rs 4300.

SBI: BUY – Target: 365; Period: Long-Term

India’s largest lender SBI closed second highest on Nifty today, the stock touched its 52-week high level of Rs 622.9 per share and eventually closed at Rs 614 levels, up around 3.5 per cent higher. SBI shares reacted to the strong Q2 performance of the public sector bank.

ICICI Securities expects NIM (net interest margin) trajectory to sustain with the repricing of the lending book offsetting any deposit cost rise. “Credit growth of 18% / 16%, stable NIMs, operating profit growth of 22% / 19%, and credit cost of 0.8% / 0.9% will drive RoE to 18%/ 17% by FY23E/FY24E, respectively.”

The brokerage revises its target price on the stock to Rs 805 from earlier Rs 673, while maintaining a Buy stance on the stock.

Divi’s Laboratories: Hold – Target: 4300/4500; Period: Long-Term

The pharma major reported weak numbers on all fronts, which disappointed investors, and the sell-off in the stock began. It closed nearly 9 per cent lower to Rs 3413.70 on Monday.

According to the market expert Sandeep Jain, a Director at TradeSwift – a broking company, the overall pharma sector is under pressure and witnessing volatility. The fundamental of Divi’s are strong, Jain said, recommending investors to remain invested in the stock.

He gave a Hold rating, with a target of Rs 4300/4500 on a long-term basis.

Below is the list of top gainers and losers on NSE, BSE

Nifty50 Top Gainers: 

1) Britannia shares ended at Rs 4,125.00, up over 8 per cent on the NSE from Friday’s closing price. 

2) SBI shares ended at Rs 613.80, up over 3 per cent on the NSE from Friday’s closing price. 

3) Adani Enterprises shares ended at Rs 3,953.35, up over 3 per cent on the NSE from Friday’s closing price. 

4) BPCL shares ended at Rs 309.60, around 3 per cent on the NSE from Friday’s closing price. 

5) Eicher Motors shares ended at Rs 3,761.00, up over 2.5 per cent on the NSE from Friday’s closing price. 

Nifty50 Top Losers: 

1) Divi’s Lab shares ended at Rs 3,419.00, down over 8 per cent on the NSE from Friday’s closing price. 

2) Asian Paints shares ended at Rs 3,106.85, down around 2.5 per cent on the NSE from Friday’s closing price. 

3) Cipla shares ended at Rs 1,129.45, down around 1.5 per cent on the NSE from Friday’s closing price. 

4) Sun Pharma shares ended at Rs 1,026.00, down over 1 per cent on the NSE from Friday’s closing price. 

5) Adani Ports shares ended at Rs 851.60, down over 1 per cent on the NSE from Friday’s closing price. 

Sensex Top Gainers: 

1) SBI shares ended at Rs 614.20, up around 3.5 per cent on the BSE from Friday’s closing price. 

2) Tata Steel shares ended at Rs 106.65, up around 2 per cent on the BSE from Friday’s closing price. 

3) ICICI Bank shares ended at Rs 917.10, up over 1 per cent on the BSE from Friday’s closing price. 

4) UltraTech Cement shares ended at Rs 6972.35, up over 1 per cent on the BSE from Friday’s closing price. 

5) M&M shares ended at Rs 1353.40, up over 1 per cent on the BSE from Friday’s closing price. 

Sensex Top Losers: 

1) Asian Paints shares ended at Rs 3105.55, down over 2 per cent on the BSE from Friday’s closing price. 

2) Bajaj Finserv shares ended at Rs 1777.45, down around 1.5 per cent on the BSE from Friday’s closing price. 

3) Sun Pharma shares ended at Rs 1027.80, down over 1 per cent on the BSE from Friday’s closing price. 

4) Titan shares ended at Rs 2741.95, down around 1 per cent on the BSE from Friday’s closing price.

5) Kotak Bank shares ended at Rs 1883.05, down around 1 per cent on the BSE from Friday’s closing price.