By Vivek Kumar M and Bharath Rajeswaran
(Reuters) -Indian shares rose on Thursday, with stronger base metals prices boosting metal stocks, while information technology companies ticked higher ahead of the quarterly results of Tata Consultancy Services, the country’s top software-services exporter.
The Nifty 50 ended 0.54% higher at 25,181.8 and the BSE Sensex added 0.49% to 82,172.1.
All 16 major sectors advanced, while the broader small-caps and mid-caps gained 0.6% and 1%, respectively.
Metal stocks added 2.2% and was the biggest gainer among major sectors, as base metals prices rose on supply concerns from major mines, including Freeport’s Grasberg mine in Indonesia. [MET/L]
Heavyweight IT index rose 1.1%, taking its gains to about 6% in six sessions, with analysts citing attractive valuations despite a tepid earnings outlook for the sector.
Tata Consultancy Services rose 1.1% ahead of its September-quarter earnings report due later in the day.
“Overall, the September quarter results season is set to signal the onset of earnings upcycle after a sharp moderation in the recent quarters,” Bino Pathiparampil and Saharsh Kumar, analysts at Elara Capital, said in a note.
“India’s macro setup points to steady domestic momentum, led by improving demand environment, strong monsoon and government tax cuts, aiding sentiment,” they said.
Among individual stocks, drugmaker Lupin climbed 2.7% after announcing plans to set up a new pharmaceutical plant in the United States.
Food delivery firm Swiggy gained 3.6% after Citi Research raised price target, citing a potential 21% growth in the September-quarter revenue.
Its peer Eternal rose 1.1% and hit a record high after Citi hiked its price target as well, citing unit Blinkit’s “stellar growth momentum.”
Alcohol maker GM Breweries jumped 19.1% after logging a 61% year-on-year rise in the September-quarter profit.
Real estate developer Prestige Estates added 4.7% after reporting 50% growth in second-quarter sales.
(Reporting by Vivek Kumar M and Bharath Rajeswaran; Editing by Sumana Nandy, Janane Venkatraman, Mrigank Dhaniwala and Eileen Soreng)
