Street signs: Will Nifty sustain 15,000 levels, QSRs underperform, and more

Will Nifty sustain 15,000 levels?

The Nifty has broken its decisive support around 15,600 after last week’s brutal correction. Analysts say this could result in the benchmark index dropping below 15,000 levels. Since markets are already oversold, some believe there could even be a sharp reversal due to short covering. According to analysts, short-term support for the Nifty on the downside is around the 14,800-15,000 zone. On the upside, it faces resistances around the 15,500-15,750 area.

Delhivery anchor freeze to lift

Shares of logistics major Delhivery may come under pressure on Monday as a freeze on shares allotted to anchor investors ends. Anchor investors hold 6.6 per cent stake in the company. The lock-in ends for only half these shares; the other half will remain under freeze for 60 more days. The stock fell 10 per cent last week amid sell-off in the broader market. Shares of Delhivery last closed at Rs 467, slipping below its issue price of Rs 487. Meanwhile, anchor lock-in also ends for two more companies this week — Venus Pipes and Tubes and Paradeep Phosphates.

QSR stocks whet investor appetite

Shares of quick service restaurants (QSR) have underperformed the market this year. Analysts say investors with a high-risk appetite can consider buying these shares at beaten-down levels. They say price hikes affected by QSR companies have been absorbed well, and demand momentum continues to be impressive in the first quarter of 2022-23. Moreover, with the dine-in channel performing well, QSR players are also focusing on menu innovation and planning accelerated store expansion. Sapphire Foods (down 22 per cent year-to-date, or YTD) and Jubilant FoodWorks (down 33 per cent YTD) are preferred picks by analysts.

Compiled by Sundar Sethuraman