Stocks Radar: SBI, Cadila Healthcare, L&T
Indian equity benchmarks rose in early trade, beginning the week on firmer footing, after having recorded their worst losses over 10 trading sessions in two years.
The S&P BSE Sensex index rose as much as 0.7 percent to 34,269.18, while the NSE Nifty 50 index climbed by as much as 0.8 percent to 10,538.10.
The market breadth was tilted in favour of buyers. All the 19 sector gauges compiled by BSE Ltd. rose, with the realty index leading gains at 1.5 percent.
Here Are The Stocks Moving The Market This Morning:
State Bank of India: Down After Posting First Loss In 17 Quarters
Shares of the state-owned lender fell by as much as 3.8 percent to Rs 285, after it posted a surprise loss, the first in at least 17 quarters, as its treasury income turned unprofitable and provisions for bad loans surged.
The stock has declined in three of the last six trading sessions. In today’s trade, volume was six times higher than the 30-day moving average, while the price crossed below the 200-day moving average.
Most brokerages maintained their ratings on State Bank of India after it posted its first-ever quarterly loss, even as they expect the future earnings to remain subdued on the back of high provisions and deteriorating asset quality.
Key Q3 Earnings Highlights:
- NII flat at Rs 18,688 crore.
- Net Loss at Rs 2417 crore versus net profit of Rs 1581.5 crore.
- Domestic NIM at 2.61 percent.
- GNPA at 10.35 percent.
- NNPA at 5.61 percent.
Cadila Healthcare: Up On Clean-Chit From U.S. FDA
Shares of the drug maker surged as much as 5.4 percent to Rs 434 after the U.S. Food and Drug Administration reported no observations at its key Moraiya facility, Bloomberg reported. The stock was the best performer on the NSE Nifty Pharma Index in early trade.
Trading volume was nearly 13 times the 30-day average. At current prices, the stock is at an unusually high 23 percent discount compared to its peers. Over the last two years, the average discount stood at 3 percent.
Last week, the drug regulator had conducted a surprise audit at the company’s Moraiya plant, its largest, after multiple recalls of a drug made at the unit.
Kitex Garments: Down As Profit Drops
Shares of the garments manufacturer and exporter fell as much as 10.4 percent to Rs 260.30, the most in over six months. The decline in prices follows a 45 percent fall in the company’s third quarter profit.
Traded volume in today’s session has so far been 19 times higher than the 30-day average. Its price has now fallen below its 200-day moving average.
Key Q3 Earnings Highlights:
- Revenue up 3.5 percent at Rs 147 crore.
- Net profit down 45 percent at Rs 17.6 crore.
- Ebitda down 24 percent at Rs 36.7 crore.
- Margins at 24.9 percent versus 34.1 percent.
L&T Gains After Unit Wins Order
Shares of the construction major rose as much as 1.5 percent to Rs 1,348. The engineering giant signed an engineering, procurement, construction contract worth more than 2,200 crore with Abu Dhabi-based Al Dhafra Petroleum Operations, according to a stock exchange notification.
The scope of the contract includes the setting up of flow lines, gathering facilities, and pipelines to transfer crude oil and gas from the Haliba fields east of Abu Dhabi to a processing facility at Asab. It also includes installation of 132 kV and 33 kV overhead electrical transmission lines to supply power.
As on December 31, the company’s consolidated order book stood at Rs 2.71 lakh crore, with the hydrocarbon division accounting for 11 percent of the pending orders.
L&T is currently trading at at a little over 30 times the trailing 12-month earnings per share and 27 times its estimated earnings for the coming year, Bloomberg data showed.
TCS: Gains After Block Deal
Shares of the information technology major rose as much as 1.3 percent to Rs 3,010 apiece after nearly 11 lakh shares changed hands in a block deal this morning. Buyers and sellers were not known immediately.
Trading volume was seven times the 30-day average, Bloomberg data showed.
More Stocks Reacting To Earnings
Coal India (Q3, YoY)
- Stock was up 1.62 percent to Rs 305
- Revenue up 5 percent at Rs 20,708.47 crore.
- Net Profit up 4.21 percent to Rs 3004.8 crore.
- Ebitda up 18.23 percent to Rs 4,617.9 crore.
- Ebitda Margin at 21.3 percent versus 19.08 percent.
Tata Steel (Q3, YoY)
- Stock was up 4.77 percent to Rs 718
- Revenue up 21 percent at Rs 33,447 crore.
- Net profit up 433 percent at Rs 1,294 crore.
- Ebitda up 57 percent at 5,697 crore.
- Margins at 17 percent versus 13.1 percent.
Bata India (Q3, YoY)
- Stock was up 2.95 percent to Rs 736
- Revenue up 6 percent at Rs 674 crore.
- Net profit up 79 percent at Rs 68 crore.
- Ebitda up 42 percent at Rs 112 crore.
- Margins at 16.6 percent versus 12.4 percent.
Mahindra & Mahindra (Q3, YoY)
- Stock was up 2.66 percent to Rs 770
- Revenue up 10.3 percent at Rs 11,491.5 crore.
- Net Profit up 16.8 percent at Rs 1305 crore.
- Ebitda up 19.6 percent at Rs 1693 crore.
- Margins 14.73 percent versus 13.6 percent.
Marico (Q3, YoY)
- Stock was up 3.55 percent to Rs 307
- Revenue up 15 percent at Rs 1624 crore.
- Net profit up 17 percent at Rs 220.5 crore.
- Ebitda up 8 percent at Rs 319 crore.
- Margins at 19.4 percent versus 20.6 percent.
Capacite Infraprojects (Q3, YoY)
- Stock was up 1.31 percent to Rs 353
- Revenue up 16 percent at Rs 366.5 crore.
- Net profit up 40 percent at Rs 22.7 crore.
- Ebitda up 9 percent at Rs 50 crore.
- Margins at 13.6 percent versus 14.4 percent.
Bank of Baroda (Q3, YoY)
- Stock was up 6.24 percent to Rs 166
- NII up 40 percent at Rs 4,394 crore.
- Net Profit down 56 percent at Rs 111.8 crore.
- NIM at 2.72 percent versus 2.31 percent (QoQ)
- GNPA at 11.31 percent versus 11.16 percent (QoQ)
- NNPA at 4.97 percent versus 5.05 percent (QoQ)
BPCL (Q3, QoQ)
- Stock was down 1.7 percent to Rs 467
- Revenue up 13.7 percent at Rs 60,616.4 crore.
- Net Profit down 9.1 percent at Rs 2144 crore.
- Ebitda down 9.6 percent at Rs 3188 crore.
- Margins at 5.3 percent versus 6.6 percent.