GIFT Nifty alluded to a propitious commencement for Indian equity indices BSE Sensex and NSE Nifty 50 on Monday. Here’s an elucidation of the paramount stocks to observe in trading.
Prominent Stocks in Focus: GIFT Nifty witnessed a decrement of 8.50 points or 0.04%, settling at 23,031, presaging a tepid opening for domestic indices NSE Nifty 50 and BSE Sensex on Monday. In contrast, the preceding Friday saw NSE Nifty 50 conclude with a decline of 10.55 points or 0.05%, stabilizing at 22,957.10, while BSE Sensex marginally retracted by 7.65 points or 0.01%, ending at 75,410.39.
Vinod Nair, Head of Research at Geojit Financial Services, remarked, “Global market sentiments remained subdued as the recent US FOMC minutes suggest a continued hawkish stance on policy rates. US jobless claims fell more than expected, corporate profits remained healthy, and stubborn inflation persists, giving the Fed no reason to cut rates.”
Nair further elucidated that the domestic market is attaining new zeniths, with large caps playing a secondary role to the broader market rally, indicating sustained momentum in the short term. The BSE PSU index has experienced significant rerating due to strong performance and enhanced visibility, propelled by PSU banks and defense stocks.
Key Stocks to Observe on May 27, 2024
Adani Ports
On May 24, the operator of the S&P BSE Sensex divulged that Adani Ports and Special Economic Zone will supplant Wipro Ltd in the 30-stock blue-chip index effective June 24.
Divi’s Lab
Indian pharmaceutical titan Divi’s Laboratories proclaimed a 67% escalation in consolidated net profit, reaching Rs 538 crore for the January-March quarter of FY24, up from Rs 321 crore in the corresponding quarter of the preceding year. The company’s revenue for the quarter burgeoned by 18%, climbing to Rs 2,303 crore from Rs 1,951 crore in the same period last year. Furthermore, EBITDA saw a noteworthy augmentation, ascending to Rs 731 crore from Rs 473 crore in the same period a year ago.
Aurobindo Pharma
Aurobindo Pharma reported an 80% surge in consolidated net profit, reaching Rs 909 crore for the January-March quarter of FY24, compared to Rs 508 crore in the corresponding period of the previous year. The company’s consolidated revenue for the quarter amplified by 19%, escalating to Rs 7,580 crore from Rs 6,473 crore in the same quarter last year. Additionally, EBITDA rose by 68% year-on-year to Rs 1,687 crore.
NTPC
State-run power generator NTPC Ltd disclosed a consolidated net profit of Rs 6,490.05 crore for the fourth quarter of FY23-24, marking a 33% increase from Rs 4,871.5 crore in the corresponding period last year. The profit boost is attributed to higher electricity generation and increased power demand. Sequentially, the consolidated net profit rose by 24.5% from Rs 5,208.87 crore in the December quarter. Revenue from operations in the March quarter was Rs 47,622.06 crore, up 7.6% from Rs 44,253.17 crore reported in the previous year.
Manappuram Finance
On May 24, Manappuram Finance revealed a net profit of Rs 561.53 crore for the March quarter, marking a 35.84% increase compared to the same period last year. However, the profit decreased by 2% sequentially from Rs 572.87 crore in the December quarter. The Kerala-headquartered non-banking finance company recorded a revenue of Rs 2,359.77 crore, reflecting a 33% rise.
Hindustan Copper
Hindustan Copper, a state-owned enterprise, announced a 6% decline in its consolidated net profit to Rs 124.33 crore for the March quarter. This compares to a consolidated net profit of Rs 132.31 crore reported in the corresponding period last year. Furthermore, the company’s consolidated income for the January-March period decreased to Rs 585.22 crore from Rs 611.37 crore in the previous year.
Torrent Pharma
On May 24, Torrent Pharmaceutical disclosed a 57% surge in its consolidated net profit for the March quarter, reaching Rs 449 crore compared to Rs 287 crore in the corresponding period last year. Revenue also experienced a 10% growth, reaching Rs 2,745 crore from Rs 2,452 crore a year ago. Additionally, its earnings before interest, tax, depreciation, and amortization (EBITDA) rose by 21% to Rs 883 crore.
Indiabulls Housing Finance
Indiabulls Housing Finance announced a 21% increase in consolidated net profit, reaching Rs 319 crore for the March quarter. This compares to a net profit of Rs 263 crore reported in the same period last year. Furthermore, its revenue from operations grew to Rs 2,205 crore for the March quarter, up from Rs 2,075 crore in the previous year.
Glenmark
Glenmark Pharmaceuticals reported a widening of its consolidated net loss to Rs 1,238.6 crore for the March quarter, compared to a net loss of Rs 549.4 crore in the corresponding period a year ago. Despite this, revenue saw a two percent increase from the previous year, reaching Rs 3,063 crore compared to Rs 3,000.5 crore in the same period a year ago. Additionally, earnings before interest, tax, depreciation, and amortization (EBITDA) showed a notable increase of 26.7% to Rs 504.2 crore. The EBITDA margin expanded to 16.5 percent from 13.3% a year ago.
Cochin Shipyard
On Friday, state-owned Cochin Shipyard reported a multifold growth in its consolidated net profit to Rs 258.88 crore for the March 2024 quarter, attributed to higher income. This is a significant increase from the Rs 39.33 crore profit recorded in the year-ago period. The company’s total income also surged to Rs 1,366.16 crore from Rs 671.32 crore in the January-March period of FY23.
