Nifty, Sensex, Top Gainers, Top Losers, BPCL, Bharti Airtel, Tech Mahindra: The Indian markets for the third straight session on Monday closed negative as both the benchmark indices declined by nearly 1 per cent amid a sell-off across the board. The frontline indices – Nifty and Sensex – ended below 18200 and 61,500 levels today.

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Meanwhile, the broader markets such as Nifty Midcap and Smallcap closed mixed on Monday, the former down 0.05 per cent and the latter up nearly a quarter per cent. The 12-share banking index – Nifty Bank also closed lower by 0.2 per cent to 42,346 levels today.

Except for Nifty Media, PSU Bank, and Consumer Durables, all other sectoral indices closed in the red. Nifty IT dragged the market most along with Metal and Auto. Among stocks – BPCL, Bharti Airtel, and Axis Bank were among the top gainers, and Adani Ports, Tech Mahindra were laggards.

Bharat Petroleum Corporation Limited (BPCL): BUY – Target: Rs 375; Upside: 21%

Shares of BPCL closed as a top gainer on the Nifty50 index, up over 2 per cent to Rs 310.50 apiece on the NSE as compared to a nearly 1 per cent fall in the benchmark index.

Domestic brokerage Sharekhan believes that the first half of FY23 factors in the worst for OMCs (Oil Marketing Companies) and a gradual normalisation of refining and marketing margins would lead to overall earnings recovery. 

Moreover, BPCL’s valuation of 7.2x its FY2024E EPS and 1.3x its FY2024E P/BV is attractive and FY24E DPS implies a 5 per cent dividend yield. The brokerage maintains a Buy call on BPCL with a target price of Rs 375 apiece, implying a 21 per cent upside in the counter.

Bharti Airtel: Add – Target: Rs 875; Upside: 3%

Shares of Bharti Airtel ended as top gainer on Sensex, up around 2 per cent to Rs 851.2 per share on the BSE in an otherwise weak market, as the benchmark index fell by around 1 per cent.

Bharti has shown good growth in operating cashflow in past few years, but we believe accelerated 5G capex will cap free cash flow/organic deleveraging till FY24E, ICICI Securities said. 

The brokerage has marginally increased EBITDA estimates by 1-2 per cent for FY23E/FY24E and maintained ADD rating with a target price of Rs 875 apiece, implying 3 per cent upside in the stock. 

Tech Mahindra: Sell – Target: Rs 980; Downside: 6%

Shares of Tech Mahindra closed as among the top losers on NSE and BSE, down around 2 per cent to Rs 1038.5 apiece on the NSE and Rs 1042.3 apiece on the BSE. 

Mitul Shah, Research Analyst, Reliance Securities said, IT Services would not remain immune to worsening global macros in terms of rising inflation, economic slowdown, currency headwinds, and likely cut on spending.

Revenue growth would taper down to a low double-digit in FY24E and expect a sequential decline in a deal win, clear margin pressure, and lower pricing power going ahead which would impact the company’s performance, the analyst said, maintaining SELL rating with a target price of Rs 980 apiece. 

Nifty50 Top Gainers:  

1) BPCL shares ended at Rs 310.50, up over 2 per cent on the NSE from Friday’s closing price.  

2) Bharti Airtel shares ended at Rs 851.70, up around 2 per cent on the NSE from Friday’s closing price.  

3) Axis Bank shares ended at Rs 869.30, up over 1 per cent on the NSE from Friday’s closing price.  

4) IndusInd Bank shares ended at Rs 1,141.25, up over 1 per cent on the NSE from Friday’s closing price.

5) HUL shares ended at Rs 2,502.10, up around 1 per cent on the NSE from Friday’s closing price  

Nifty50 Top Losers:  

1) Adani Ports shares ended at Rs 870.00, down over 2 per cent on the NSE from Friday’s closing price.  

2) Tech Mahindra shares ended at Rs 1,038.50 down over 2 per cent on the NSE from Friday’s closing price.  

3) Hero Moto shares ended at Rs 2,668.25, down 2 per cent on the NSE from Friday’s closing price.  

4) Hindalco shares ended at Rs 430.10, down around 2 per cent on the NSE from Friday’s closing price.  

5) Reliance shares ended at Rs 2,548.00, down around 2 per cent on the NSE from Friday’s closing price.  

Sensex Top Gainers:  

1) Bharti Airtel shares ended at Rs 851.20, up around 2 per cent on the BSE from Friday’s closing price.  

2) Axis Bank shares ended at Rs 869.70, up over 1 per cent on the BSE from Friday’s closing price.  

3) IndusInd Bank shares ended at Rs 1141.85, up over 1 per cent on the BSE from Friday’s closing price.  

4) HUL shares ended at Rs 2502.00, up over 0.5 per cent on the BSE from Friday’s closing price. 

5) Power Grid shares ended at Rs 219.10, up around 0.4 per cent on the BSE from Friday’s closing price  

Sensex Top Losers:  

1) Reliance shares ended at Rs 2550.05, down around 2 per cent on the BSE from Friday’s closing price.  

2) HDFC shares ended at Rs 2618.95, down around 2 per cent on the BSE from Friday’s closing price.  

3) TCS shares ended at Rs 3282.30, down around 2 per cent on the BSE from Friday’s closing price. 

4) Tech Mahindra shares ended at Rs 1042.30, down around 2 per cent on the BSE from Friday’s closing price.  

5) Infosys shares ended at Rs 1567.20, down over 1.5 per cent on the BSE from Friday’s closing price.