Markets closed higher compared to Friday’s closing point.
Nifty and Sensex opened lower but managed to end the session in green.
Metal stocks and cement stocks rose the most today. Media stocks and consumer durable stocks fell the most.
Global markets: US markets fell on Friday. Asian markets traded mixed on Monday. Most European markets opened in green (as of 6 pm IST).
News
The government approved the rollout of flex fuel vehicles capable of running on E20 to E100 ethanol blends under the new Central Motor Vehicles Rules, 2026.
A total of Rs 17.73 lakh crore was spent on 1,853 infrastructure projects from a total budget of Rs 37.56 lakh crore, as of September. Transport and Logistics accounts for the highest number of ongoing projects (1,320 projects) worth Rs 20.07 lakh crore.
The government cleared acquisition proposals worth Rs 2.12 lakh crore for defence forces. About 82% of the procurements will be made from the Indian industry.
The due date for companies to file financial statements for FY25-26 is extended up to 31 December without payment of additional fees. Annual returns can be filed up to 31 January.
EAAA India Alternatives’ Rs 1,200 crore IPO was subscribed 0.11 times on day 1. Retail subscription: 0.04 times. The IPO will close for subscription on 28 Oct.
Stock Updates
Mankind Pharma: net profit rose 39.09% year-on-year to Rs 711.48 crore in the July-Sept quarter. The board also approved the merger of two wholly owned subsidiaries, Prolijune Lifesciences Pvt Ltd and Pavi Buildwell Pvt Ltd, into Mankind Pharma, subject to approvals.
Kotak Mahindra: net profit rose 26.34% year-on-year to Rs 5,645.38 crore in the July-Sept quarter.
Sun Pharma: raised Rs 7,816.02 crore through unsecured NCDs (Rs 2,003 crore at 8.05% interest and Rs 5,813 crore at 8.20%), maturing in October 2031.
HCLTech: partnered with Japan’s Rapidus Corporation and inaugurated two semiconductor engineering development centres in Bengaluru and Hubli.
Grasim: Bombay High Court quashed an income-tax reassessment notice relating to Rs 329 crore of alleged unassessed income from its participation in Vodafone Idea’s FY20 rights issue.
Reliance Industries: subsidiary Jio Platforms fixed its IPO issue price at Rs 1,119 per share, the top of its price band.
Tata Consumer: net profit rose 16.03% year-on-year to Rs 469.30 crore in the July-Sept quarter.
Lupin: the USFDA completed an inspection of its Goa manufacturing plant with one observation.
REC: net profit fell 21.23% year-on-year to Rs 3,477.73 crore in the July-Sept quarter. Dividend declared: Rs 3.50 per share. Record date: 30 Oct.
Word of the Day
Phantom Stocks
These are mock shares used to reward senior executives in companies without actually creating new shares
We commonly hear of senior executives of companies receiving stocks as part of their compensation.
Rewarding these shares requires creation of new shares.
Doing so results in shareholding percentage diluting for other investors.
Many companies prefer to give phantom stocks instead of real stocks.
Phantom stocks do not really exist.
They simulate the value of real shares.
Whenever the executive is due for the phantom stocks, he/she is given the cash amount matching the value of his phantom shares.
This does not require creation of new shares and therefore does not affect shareholders’ percentage ownership and voting rights in the company.
6 Day Course
Theme: different kinds of funds in India
Day 1: Monday
We all know that there are different kinds of funds that exist in India.
The mutual funds category is one of the most well-known ones.
This week, we’ll explore the different kinds of funds that exist in India.
Let’s start with mutual funds (MFs).
MFs can invest in various kinds of assets including stocks, derivatives, bonds, deposits, gold and silver, ETFs, and even REITs and InvITs.
REITs: Real Estate Investment Trusts are funds that invest in commercial real estate. Mutual funds cannot invest in real estate directly but they can invest in REITs.
InvITs: Infrastructure Investment Trusts are funds that invest in infrastructure projects like power transmission, highways, tolled roads, etc.
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What If
The stock market has its favourite sectors.
Sometimes it’s IT, sometimes banks, and sometimes some other sector.
But when a sector performs badly for a long time, investors often start seeing it as an opportunity.
Investing at such a time might seem like a good deal. And if a sector has been struggling for years, one might assume it will rise at some point.
But does this actually work?
In today’s What If, we looked at 9 Indian sectors using 20 years of market data.
We tested what happened when investors bought a sector after three years of underperformance or a fall of at least 30% from its highest point. We then compared its returns over the next 1, 3 and 5 years with the Nifty 50.
The information presented in this post has been compiled and prepared by Groww Invest Tech Pvt Ltd and is intended solely for informational purposes. It is not tailored to any specific investment objectives, financial situations, or needs of any individual investor. The content should not be construed as investment, financial, legal, or tax advice and should not be relied upon as a substitute for professional consultation.
Investing in securities markets involves inherent risks. Investors are advised to carefully review all relevant documents and consider their own risk tolerance before making any investment decisions.
Mutual fund investments are subject to market risks; please read all scheme-related documents carefully. Past performance of financial instruments, schemes, or markets is not indicative of future results.
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