Top gainers & losers for the week: BoB, IndusInd Bank, DLF top the charts

The market staged spectacular performance with not only Nifty & Sensex, but also Bank Nifty hitting record highs after Narendra Modi was re-elected as Prime Minister on May 23.

The BJP-led National Democratic Alliance (NDA) got a thumping majority by winning 353 seats in Lok Sabha elections 2019, which was a great show by the ruling party, very similar to the exit polls forecast.

As a result, the Nifty50 crossed the 12,000 milestone and the BSE Sensex 40,000 level for the first time in history, gaining 4 percent each to end record closing high during the week ended May 24. In addition, Bank Nifty also hit a new high of 31,705 and saw a record close by rising 6 percent in a week.

As markets rallied sharply, investors, too, became wealthier by a whopping Rs 6 lakh crore during the week. The total BSE market capitalisation increased to Rs 152.7 lakh crore on May 24, from Rs 1.46 lakh crore on May 17.

During the week, it made a 44-month high of 30.18 but after the election outcome, it fell drastically to 16.46 levels.

Another good part seen during the week was a sharp fall in the volatility index. India VIX corrected by 41 percent during the week from 28.08 to 16.46 levels.

Here's a look at the top 10 stocks which moved the most this week:

Top Gainers

Bank of Baroda, up 25 percent

Bank of Baroda narrowed its fourth quarter FY19 net loss to Rs 991.4 crore from Rs 3,102.3 crore in the same period last year on elevated provisions. The loss was despite higher NII, other income and operating profit. Net interest income grew 26.6 percent year-on-year (YoY) to Rs 5,067 crore in the January-March quarter.

PSU Banks rallied as market experts believe that the Monetary Policy Committee (MPC) may cut repo rate in forthcoming policy meeting scheduled on June 3-6, which is the key reason for the rally in PSU banks.

IndusInd Bank, up 20 percent

Share price of IndusInd Bank rallied as much as 20 percent for the week after brokerages remained strong despite weak earnings in March quarter. The management after earnings told CNBC-TV18 that the bank wanted to put IL&FS behind in FY19 and entire exposure to IL&FS has turned into NPAs in Q4.

DLF, up 16.5 percent

Share price of real estate firm DLF gained 16 percent for the week after the company reported a 76 percent jump in its consolidated net profit at Rs 436.56 crore for the quarter ended March on higher sales. Its net profit stood at Rs 247.73 crore in the year-ago period, the company said in a regulatory filing. Total income rose to Rs 2,660.95 crore in the fourth quarter of 2018-19 fiscal from Rs 1,845.92 crore in the corresponding period of the previous year.

State Bank of India, up 11.31 percent

Market heavyweight State Bank of India was up over 11 percent for the week after experts believed that the MPC may cut repo rate in

the forthcoming policy meeting scheduled on June 3-6, which is the key reason for the rally in PSU banks. With a favourable government formation, some experts feel that the RBI may cut interest rates which will help PSU banks as a whole.

Ashok Leyland, up 11 percent

Ashok Leyland added 11 percent in the week gone by despite the company reporting a 12.1 percent year-on-year degrowth in Q4 FY19 profit at Rs 653 crore. However, the stock rallied around six percent after margin touched 11 percent from 10 percent earlier. Revenue from operations grew 0.8 percent to Rs 8,846 crore led by sales volumes, which increased 1.3 percent YoY and 36 percent quarter-on-quarter to 59,523 units.

Net Sales stood at Rs 8,845.93 crore in March 2019 up 0.84 percent from Rs. 8,772.49 crore in March 2018. Quarterly Net Profit at Rs. 652.99 crore in March 2019 down 2.16 percent from Rs. 667.38 crore in March 2018.

HPCL, up 10 percent

Share price of oil marketing company HPCL gained 10 percent for the week as the company reported net sales at Rs 67,938.13 crore in March 2019, up 11.72 percent from Rs. 60,810.07 crore in March 2018. Quarterly Net Profit was at Rs. 2,969.92 crore in March 2019, up 69.91 percent from Rs. 1,747.89 crore in March 2018.

All OMCs showed some gains as crude futures are on track for their biggest weekly losses this year, with Brent set for a decline of more than 5 percent.

PNB Housing Finance, up 16.99 percent

Share price of PNB Housing Finance jumped close to 17 percent for the week after the company reported a 51 percent jump in its consolidated net profit to Rs 379.77 crore for the fourth quarter ended March 2019. The company's net profit stood at Rs 251.58 crore in the corresponding quarter of 2017-18.

Its total income (consolidated) during the quarter rose to Rs 2,148.19 crore, up by 31 percent as compared with Rs 1,638.48 crore in the year-ago quarter, the company said in a regulatory filing. Net interest income (NII) registered a growth of 13 percent to Rs 609.7 crore from Rs 540.8 crore, it said.

Top Losers

Jubilant Life Sciences, down 13.5 percent

Pharma company Jubilant Life Sciences was down over 13 percent for the week after it reported a net loss of Rs 100.65 crore in Q4FY19, on account of a one-time loan settlement with International Finance Corporation (IFC). The company had posted a consolidated net profit of Rs 152.40 crore in the year-ago period, Jubilant Life Sciences said in a regulatory filing.

Torrent Pharma, down 7.25 percent

Torrent Pharma reported a 7 percent decline in share price in the week gone by. The company reported a consolidated net loss of Rs 152 crore in Q4FY19, mainly on account of exceptional items. The company had posted a net profit of Rs 228 crore for the corresponding period of the previous fiscal, Torrent Pharmaceuticals said in a filing to the BSE.

The company's consolidated revenue from operations stood at Rs 1,856 crore for the quarter under consideration. It was Rs 1,708 crore for the same period a year ago.

Tech Mahindra, down 6.24 percent

Share price of Tech Mahindra was down over 6 percent for the week mainly on account of strengthening rupee. The company reported 8.8 percent fall in Q4 consolidated net profit at Rs 1,126.6 crore against Rs 1,230.8 in Q3FY19. The company's dollar revenue stood at USD 1,267.5 million in Q4FY19. The dollar profit of the company slumped 13.7 percent YoY to USD 162.3 million.0

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Markets give thumbs up to Modi 2.0: Nearly 200 smallcap stocks rose 10-40% in 5 days

It was a historic week for Indian markets as both Sensex and Nifty50 hit fresh record highs, and investors' wealth rose by over Rs 6 lakh crore for the week ended May 24 as Mr. Market cheered the continuity of reform process and the end of political uncertainty, as Narendra Modi is set to become the Prime Minister for a second consecutive term.

The S&P BSE Sensex which touched a record high of 40,124.96 closed the week with gains of over 1,500 points or 3.97 percent while Nifty50 which hit a record high of 12,041 closed with gains of 437 points or 3.8 percent in the same period.

The average market capitalisation of BSE listed companies rose from Rs 146.58 lakh crore recorded on May 17 to Rs 152.71 lakh crore on May 24 which translates into a rise of Rs 6.1 lakh crore in just 5 trading sessions.

The big outperformers were the small & midcaps which outperformed benchmark indices in the week gone by. The S&P BSE Midcap index rose 4.45 percent while the S&P BSE Smallcap index rallied 5.8 percent for the week ended May 24.

As many as 193 stocks in the S&P BSE Smallcap index rose 10-40 percent which include names like Jai Corp, Motilal Oswal, BEML, Orient Cements, Jet Airways, NCC, JK Cement, JMC Projects, KEI Industries, Timken India, BF Utilities, and Ramky Infra etc. among others.

Most experts feel that the big outperformance could come from the broader markets, which are already down in double digits from their respective peak. The S&P BSE Midcap index is still down by about 14 percent from its 52-week high while the S&P BSE Smallcap index is down by over 19 percent from its peak of 17,517.

"The week gone by was historic in terms of massive volatility – implied volatility and India VIX both had registered record highs but soon normalized reflecting the emotional sentiment of the Indian investors in the stock market," Jimeet Modi, Founder and CEO, SAMCO Securities & StockNote told Moneycontrol.

"Investors must ideally avoid large caps as they are in the overvalued zone while selective beaten down mid and small caps could be bought into. As of now, a wait and watch approach should be followed by markets at least till the Monetary Policy and Budget announcement by the newly elected government," he said.

As many as 20 stocks in the S&P BSE Midcap index rose 10-30 percent which include names like Tata Power, Adani Transmission, Indian Bank, Adani Power, Wockhardt, Canara Bank, Reliance Power, and Adani Enterprises, etc. among others.

In the S&P 500 index more than 100 stocks rose 10-30 percent while 38 stocks hit fresh 52-week high which includes prominent names like HDFC Bank, Titan Company, Kotak Mahindra Bank, Bajaj Finance, Axis Bank, HDFC, City Union Bank, ICICI Bank, State Bank of India, Manappuram Finance, and L&T among others.

Technical View:

The Nifty50 crossed the 12,000-level for the first time ever during the previous week on political stability as the BJP-led NDA is set to form the government for a second consecutive term.

The price action formed a bull candle with a higher high and higher low and a bullish gap between (11407- 11592) below its base signaling strength and positive bias. The index has major support at 11500 levels.

"The Nifty during previous week witnessed faster retracement of mid-April-May fall (11856-11108) by rallying over 900 points in just eight sessions," Dharmesh Shah, Head – Technical, ICICI direct told Moneycontrol.

"The faster retracement signifies a structural turnaround that makes us confident for an up move towards 12200 levels in coming weeks as it is the 138.2 percent external retracement of mid-April–May decline placed at 12142 levels," he said.

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