Market Headstart: Nifty likely to open flat; 3 stocks which could give 4-18% return

The Nifty50 is likely to open flat on Wednesday tracking mixed trend seen in other Asian markets. The index closed

Overnight, U.S. stocks closed lower as the likelihood of a prolonged trade war between the United States and China once again kept risk appetite in check, said a Reuters report.

Trends on SGX Nifty indicate a flat to negative opening for the broader index in India, a loss of 19 points or 0.16 percent. Nifty futures were trading around 11,910-level on the Singaporean Exchange.

The rupee May 28 declined by 18 paise to close at 69.69 against the US currency, weighed down by month-end dollar demand from importers and rising crude oil prices. Forex traders said that weakened Asian currencies also added to the pressure on the domestic unit.

As many as 617 stocks will declare their results for the quarter ended March which include names like Aban Offshore, Adani Power, Bharat Electronics, Cadila Healthcare, Finolex Cables, GMR Infrastructure, Havells India, IDFC Ltd, IPCA Laboratories, Max India, NBCC etc. among others.

Stocks in news:

India's largest drugmaker Sun Pharmaceutical Industries reported a 53 percent year-on-year (YoY) drop in net profit to Rs 635.9 crore in the fourth quarter primarily due to a one-time charge of Rs 1,085 crore related to the change in the distribution for India business.

Information technology company Mphasis posted an 11.9 percent increase in consolidated net profit to Rs 266.14 crore in the March 2019 quarter.

Low-cost carrier SpiceJet reported a 22 percent year-on-year growth in profit at Rs 56.3 crore in the quarter ended March 2019 aided by Jet Airways fiasco. However, the company reported a triple-digit loss in the financial year 2018-19.

Technical Recommendations:

We spoke Religare Broking Ltd and here’s what they have to recommend:

Indian Oil Corporation Ltd: Buy| LTP: Rs 163.45| Target: Rs 172| Stop-Loss: Rs 155| Upside 6%

RBL Bank Limited: Buy| LTP: Rs 701| Target: Rs 730| Stop-Loss: Rs 680| Upside 4%

India Cements Limited: Buy| LTP: Rs 112| Target: Rs 132| Stop-Loss: Rs 106| Upside 18%

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