Heckyl

Contraction in India April Manufacturing PMI Steepest among Top 10 Economies

Posted on Updated on

The manufacturing sector accounts for just one fifth of the global economy and its share is shrinking further in developed countries. Yet, the investing community spends much time on assessing the health of the sector. The manufacturing sector, being at the forefront of economic activity, provides the direction in which the overall economy will go. This explains why the manufacturing sector grabs the attention of the investor community.

The business surveys on the manufacturing sector have often helped in providing first reliable signals of turning points in the economy. One such key indicator is the manufacturing PMI which shows what the participating purchasing managers think about future capex, job creation and overall demand of goods.

A steep contraction in the latest manufacturing PMI numbers for April wasn’t surprising given the prevalent worldwide lockdown to tackle COVID-19 pandemic. However, a contraction of 20-30% versus a contraction of 50% should be looked upon separately.

While among the major economies, the manufacturing PMI numbers have contracted for all. However, the shrinkage of almost 50% in India’s April manufacturing PMI was steepest among the top 10 economies. This shows the damage caused by the lockdown has far deeper consequences on the Indian economy than its developed counterparts.

PMI
Read the rest of this entry »

Consumer Services, Industrials and Consumer Discretionary Companies Lead Credit Rating Downgrades

Posted on Updated on

Heckyl’s analysis of the credit rating data for 4,000 companies has shown that the Companies from Consumer Services, Industrials, Consumer Discretionary, Financial Institutions and Commercial Services sectors have dominated the credit rating downgrades from Jan. 1, 2020 to Apr. 10, 2020.

Credit Ratings is one of the Datasets that has been captured in Heckyl’s Risk Analytics System (RAS) for both public and private Indian companies. Our system monitors the changes in a company’s credit ratings on a day-to-day basis. Moreover, our rule-based engine triggers alerts based on changes in the credit rating.

Sector-wise Company Downgrades

RAS has identified 120+ companies downgraded by the credit rating agencies from Jan. 1, 2020 to Apr. 10, 2020. Out of the total, the ratings for 27 companies have been downgraded from Investment Grade to Speculative Grade. From the list of 27 companies, the ratings for 4 corporates have been downgraded to Default from Investment Grade. Read the rest of this entry »

Oil & gas companies Q4 news flow most positive in past 8-quarters

Posted on Updated on

Total SA leads positive news coverage among top 10 oil & gas companies in 2017

Global oil & gas companies witnessed a significant improvement in underlying news sentiment for December 2017 quarter. Crude oil prices are at its highest level in past 8-quarters (Image 1), which has led to improvement in prospects of earnings, production and growth-oriented activities for the oil & gas companies. As a result, news coverage on top 100 global oil & gas companies during Q4 was most positive in the past 8-quarters.

OIL PRICE TREND
[Image 1: Crude Oil Price Trend]

FiND, an alternative data platform developed by Heckyl has accurately captured movement in news sentiment for the oil & gas sector. For the past 8-quarters, our positive to negative news ratio for top 100 oil & gas companies showed near perfect positive correlation (0.95) with Dow Jones Global Oil & Gas index (Image 2).

Dow Jones Global Oil & Gas - Positive to Negative News Ratio
[Image 2: Dow Jones Global Oil & Gas v/s Heckyl Positive to Negative News Ratio]

¬†(The ratio value higher than 1 indicates mostly positive news sentiment. On the other hand, the ratio value lower than 1 signals broadly negative news sentiment.) Read the rest of this entry »

Drug patent expirations: $200 bn in sales up for grabs in the next 5-years

Posted on Updated on

Patents on drugs worth over USD 200 billion are going to expire in the next 5-years, according to a study conducted by Heckyl. More than 330 drugs will lose patents issued by the US Patent and Trademark Office during CY2018-2022. These drugs constitute ~38.5% of the total number of patented drugs in the US.

A slew of impending patent expirations in the US offers a huge opportunity for generic drug manufacturers. The key beneficiaries of upcoming patent expiries are Mylan, Teva, Celgene, Wockhardt, Dr Reddy’s, Cipla, Lupin,¬†Aurobindo, Natco and Cadila.

 

Read the rest of this entry »

OMCs attract positive media coverage in Aug’17; IOCL’s news sentiment hits 5-year high

Posted on

Media coverage was overwhelmingly positive for Oil Marketing Companies (OMCs) during August 2017. Corporate growth, expansion and M&A related news flow dominated the media coverage for OMCs in the past month.

Indian Oil Corporation Ltd (IOCL), the country’s largest OMC, witnessed a marked improvement in positive media coverage during August 2017.

Read the rest of this entry »