The Bombay Stock Exchange Sensitive Index, or Sensex, declined 47.74, or 0.3 percent, to 17,938.16. The S&P CNX Nifty Index on the National Stock Exchange dropped 0.3 percent to 5,386.15. The BSE 200 Index fell 0.3 percent to 2,282.21. The SGX S&P CNX Nifty Index futures for July delivery increased 0.1 to 5,381 at 11 a.m. in Singapore.
Real estate and telecommunications stocks: Credit Suisse Group AG raised Indian real estate and telecommunications stocks to “overweight,” saying that investors have “under-priced rapidly improving property sector fundamentals” and may have oversold shares of phone companies. The brokerage also cut its “overweight” in technology and pharmaceutical shares in the nation, analysts led by Nilesh Jasani wrote in a report, citing their valuations.
Hindustan Petroleum Corp. (HPCL IN): The state-owned refiner was cut to “neutral” from “buy” by Goldman Sachs Group Inc. analysts Nilesh Banerjee and Nishant Baranwal, who cited the “sharp rally” in government-owned oil stocks. The analysts maintained their share-price estimate of 453 rupees for Hindustan Petroleum. The stock fell 1.7 percent to 474.15 rupees.
Larsen & Toubro Ltd. (LT IN): The nation’s biggest engineering company is the lowest bidder for the Hyderabad metro rail project, Chief Financial Officer Yeshwant M. Deosthalee said in a telephone interview yesterday. The shares rose 2.5 percent to 1,883.85 rupees.
Oil & Natural Gas Corp. (ONGC IN): The nation’s largest explorer plans to spend $4.05 billion to produce gas from an ultra-deepwater area off India’s east coast, Press Trust of India reported, citing an unidentified company official.
Separately, the company’s price and earnings estimates were raised by Sanford C. Bernstein & Co. after domestic natural gas prices were increased and some fuels deregulated. The shares fell 1.5 percent to 1,258.5 rupees.
Piramal Healthcare Ltd. (PIHC IN): The company was downgraded to “underperform” from “outperform” at Batlivala & Karani Securities by equity analyst Rohit Bhat. The shares fell 1.5 percent to 503.85 rupees.
Punjab Alkalies & Chemicals Ltd. (PJAC IN): The government of the Indian state of Punjab is planning to sell its entire 44.26 percent stake in state-run Punjab Alkalies & Chemicals, according to an announcement in the Economic Times. The government holds the stake in the state-run chemicals maker through the directorate of disinvestment, it said. IFCI Ltd. is the adviser to the sale. The stock rose 5.5 percent to 32.55 rupees.
Religare Enterprises Ltd. (RELG IN): The financial services company has agreed to buy a part of Citigroup Inc.’s home loan portfolio in India for almost 5 billion rupees ($107 million), the Economic Times reported, citing Kavi Arora, chief executive officer of Religare Finvest. Religare Enterprises fell 2.6 percent to 410.65 rupees.
Tata Steel Ltd. (TATA IN): The nation’s biggest producer of the alloy plans to raise as much as 16 billion rupees selling shares and warrants to its parent. The shares fell 0.6 percent to 505.9 rupees.