Markets & Models
Benchmark Index Nifty50 ended flat this week, with a sharp fall in the indices today.
The index still managed to close above the psychological number of 18,000, we'll have to keep an eye on that number to see if it holds.
This week the mid and small-cap space noticed more action with the Nifty 500 benchmark closing in green at +0.39%.
Moving to the models, Quick Short is back on track with 1.9% gains this week. Trailing it is Alpha Ally with 1.76% gains, Alpha Ally was always thought to be an underdog of sorts, but as of this week, the model actually beats the index on a YTD basis.
The BTST model finally got started, however, it's still limping in terms of returns.
Telecom and hotels were the leading sectors this week, while on the other side, healthcare and hardware tech seem to be under slight pressure.
Lastly, Nifty Rider turned short today, ending the long trade that held on for eight days and closed with a good 150 points in green. The model has held its promise of offering NIFTY+ returns by closing 5.1% YTD.
Leaders & Laggards
For this week, the two leading stocks were CHOLAFIN and ABB.
CHOLAFIN's (Cholamandalam Investment and Finance Company) stock price jumped on the back of positive news about its quarterly returns. The company has reported a 24% rise in standalone profit for the quarter ending March 31 at ₹852.8 crore. This stock is currently in the Buy High Sell Higher model.
The second-best stock this week is ABB. ABB India's shares rose by 6% to a 52-week high following the publication of Q1 results. The company reported a post-tax profit of Rs 245 crore, up from Rs 149 crore last year. This stock currently is a part of the Alpha Ally model.
Talking about the laggards, we have WELSPUNIND and MARKSANS.
WELSPUNIND is one crazy stock. Welspun India shares have been on a rollercoaster ride since April. The stock hit a 52-week low of ₹62.20 on March 29, 2023, and a 52-week high of ₹104.90 on May 2, 2023, clocking a whopping 69 per cent in a month. Perhaps one reason why it got picked up by the momentum model BHSH. Hope it gains strength in the coming weeks.
The next script is MARKSANS which is a part of the Sector Superstars model.
FIIs raised their holding in Marksans Pharma to 15.11% in the March quarter from 4.23% in the December quarter of FY23. The stock is down a bit from its 52-week high of Rs 83.3 per share trading at 76.95 currently.
In other news
What's with these airline companies, the list of bankrupt airlines today is much longer than the ones that are still flying. In the case of Go First, they seem to be blaming ‘faulty’ Pratt & Whitney engines for the grounding of about half its fleet.
With all the banking turmoil, many on the street expected a pause this time but looks like the Fed wants to tame the inflation further.
If you are an Apple fanboy or girl you may like this GQ Interview of Tim Cook
Cook says when Apple decides to enter a market, he asks himself the following questions: “Can we make a significant contribution, in some kind of way, something that other people are not doing? Can we own the primary technology? I’m not interested in putting together pieces of somebody else’s stuff. Because we want to control the primary technology. Because we know that’s how you innovate.”
This is an interesting story that came out about an almost unknown shipping company that has become one of the world's largest vessel owners.
With that mystery news of sorts, the week comes to an end.
The weather is getting better, it's been raining and the heat is gone, hopefully, the market too keeps its cool in the coming week.
Rest well and see you all back on Friday.