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Indian Stock Market News, Equity Market and Sensex Today in India | Equitymaster
Indian share markets have remained in green during the previous two hours of trade. The most noticeable upward movements have been witnessed in consumer durables and banks' shares.
The BSE Sensex is up by 155 points and the NSE-Nifty is up by 50 points. BSE Mid Cap is up by 0.5% and BSE Small Cap is up by 0.3%. The rupee is trading at 59.66 to the US dollar.
Except Tube Investments and Escorts, all Automobiles' shares are trading in green with Mah. Scooters and Eicher Motor leading the gains. According to a leading financial news medium, Tata Motors' Chairman, Cyrus Mistry cautioned that the company will continue to face challenges this fiscal year too. The Company's passenger vehicles sale was significantly lower as compared to expectation. The car and utility vehicles sales witnessed 31% decline last year. Rapid changes in customer preferences and de-regulation in diesel pricing were the reasons cited by the management. According to the sales data provided by the Society of Indian Automobile Manufacturers (SIAM), the passenger vehicles sales stood at 229,325 units for the Company last financial year. That accounted for merely 8.9% of the market share. Tata Motors' fall in car sales included a 28% slump in sales of the Nano brand during the previous financial year.
The sales pressure is expected to continue this year as the competition continues to intensify. Overall, the domestic auto industry has reported a growth of 2% in the last financial year.
Profitability for the company declined by 76% to Rs 3 bn in the last financial year. That said, the management is confident of a turnaround for the company on the back of new product launches. The Company is already working on a slew of new products with strategic plan in place till 2020. This includes increased emphasis on alternate fuels, hybrids and electric vehicles. Tata Motors' share is up by 0.03%.
Except few, such as Torrent Pharma, Cadila Healthcare and Sun Pharma, most of the Indian pharma shares are trading in green with Fresenius Kabi OncoandPanacea Biotech leading the gains. According to a leading financial news daily, Lupin Ltd, the pharmaceutical major, has received US health regulator's approval to sell its generic version of Glumetza HCI ER tablets, a diabetes drug, in the American market. As per IMS health data, Glumetza HCI ER tablets of 500 mg and 1000 mg has reported sales of nearly USD 144 mn in the US market in 2012-13.The Company's U.S. subsidiary Lupin Pharmaceuticals Inc., has received final approval for its Metformin Hydrochloride extended release tablets (HCI ER) 500 mg and 1000 mg from the United States Food and Drugs Administration (FDA). Metaformin tablets are indicated as an adjunct to diet and exercise to improve glycemic control in adults with type 2 diabetes mellitus.
This comes as a positive development for Lupin. Going forward, the growth for the Company would be largely driven by new launches in US segment and in the domestic market. However, increasing competition in global generics, penetration in oral contraceptive space, higher tax rates and exposure to currency risks are the major concern areas for the company. Lupin Ltd's share is up by 0.6%.
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