After opening the day marginally higher, Indian share markets extended gains as the session progressed and ended on a bullish note.

Benchmark indices climbed for the eighth straight session amid continuous foreign fund inflows and record GST collection in April 2023.

Also, a larger firm trend in Asian gauges and buying in index major Reliance Industries and IT counters added to the optimism.

At the closing bell, the BSE Sensex stood higher by 242 points (up 0.4%).

Meanwhile, the NSE Nifty closed higher by 83 points (up 0.5%).

ONGC and Tech Mahindra were among the top gainers today.

Sun Pharma and Tata Motors, on the other hand, were among the top losers today.

The SGX Nifty was trading at 18,214, down by 58 points, at the time of writing.

The BSE Midcap index ended 0.7% higher. While the BSE SmallCap index ended 0.6% higher.

Sectoral indices ended on a mixed note with stocks in the energy sector and metal sector witnessing most of the buying.

While stocks in the telecom sector and FMCG sector witnessed selling.

Shares of Bajaj Auto and L&T hit their 52-week highs today.

Asian share markets ended the day on a positive note. The Hang Seng rose 0.2%, while the Shanghai Composite index ended 1.1% higher. The Nikkei edged marginally higher.

The rupee is trading at 81.91 against the US$.

Gold prices for the latest contract on MCX are trading higher by 0.9% at Rs 59,895 per 10 grams.

Meanwhile, silver prices for the latest contract on MCX are trading down by 0.9% at Rs 74,775 per kg.
 

Why Varun Beverages' share price is rising

In news from the food and tobacco sector, shares of Varun Beverages hit a fresh 52-week-high after the company announces a stock split and healthy topline for the March 2023 quarter.

The company's board announced to split its shares in the proportion of 1:2, Which means two additional shares will be issued for every share held.

The stock split is likely to be completed in two months from the date of approval of the company's shareholders.

Further, for the March 2023 quarter, Varun Beverages reported a 37.7% YoY rise in revenue to Rs 38.9 bn, supported by robust volume growth and an increase in net realization.

Net profit for the quarter came in 68.8% YoY higher to Rs 4.3 bn, driven by robust topline growth, margin improvement, and transition to a lower tax rate.

Its net realization increased by 10.4% to Rs 173.7 per case primarily due to price increases in selected SKUs.

Its gross margin for the quarter improved by 0.8% to 52.4% YoY, driven by marginal savings in raw material prices and an improved product mix.

The company is one of the largest PepsiCo franchisees outside the United States.

From 8 February 2022 to 8 February 2023,  Varun Beverages' share price has rallied over 100%, making it among the top midcap stocks to watch out for in 2023.

Being a major participant in the beverage industry, it stands among the top FMCG stocks in India.
 

Why Sun Pharma's share price is falling

Moving on to news from the pharma sector, shares of Sun Pharmaceutical Industries fell 1.5% after the US Food and Drug Administration (FDA) put a partial clinical hold on its application for an experimental dermatological drug due to the potential of thrombotic events.

The pharma giant also clarified that there have been no thrombotic events reported to date for the 8 mg BID dose and US FDA has not placed the 8 mg BID dose on hold.

No thromboembolic events were observed during Phase-2 or Phase-3 trials.

The company is working closely with the FDA to address the agency's concerns.

The US regulator is expected to state the concerns in a formal letter which is expected within the next 30 days.

In addition to Breakthrough Therapy designation for the treatment of adult patients with moderate to severe Alopecia Areata, the US FDA has also granted deuruxolitinib Fast Track designation for the same.

Sun Pharma is one of the leading players in the chronic therapies segment in India. In the past five years, the stock has gained 84.7%, and is a strong candidate among the 4 pharma stocks to watch out for potential multibagger return.

Increasing demand for chronic conditions and ailments will be the growth driver for Sun Pharma in the future.

If you want to bank on a specialty pharma story, Sun Pharma is your best bet.
 

NMDC's April output rises 11%

Moving on to news from the mining sector, state-run miner NMDC on Tuesday reported an 11.4% YoY growth in production to 3.5 million tonnes against 3.1 million tonnes a year back.

Sales growth also saw strong growth at nearly 10%, increasing to 3.4 million tonnes against 3.1 million tonnes a year back.

However, compared to the previous month, production has come down sharply by 37.3%.

NMDC is the largest iron ore producer in the country.

The company is primarily engaged in the exploration of iron ore, copper, limestone, tin, and diamond. It also produces and sells sponge iron and generates wind power.

NMDC is a dividend paymaster, making it among the top 6 midcap stocks with high dividend yield.

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