Stocks Radar: Jet Airways, Aurobindo Pharma, Eicher Motors
India’s equity benchmarks declined today, snapping a rally that’s sent them to record highs, as weighed down by drop in shares of lenders and energy companies. The S&P BSE Sensex shed as much as 0.25 percent to 37.929.62 and the NSE Nifty 50 Index fell as much as 0.24 percent to 11,443 as of 10:40 a.m.
The market breadth was tilted in favour of buyers. Nine of the 11 sectoral gauges compiled by the National Stock Exchange fell, led by a 1.7 percent decline in the NSE Nifty PSU Bank Index. The NSE Nifty Media Index was the biggest winner, up 0.42 percent.led
Here Are The Stocks Moving The Market This Morning
Jet Airways At Three-Year Low On Deferred Earnings
Shares of the airline fell to the lowest level in over three years after the carrier deferred its financial earnings for the quarter ended June 30. The stock slumped as much as 14.5 percent to Rs 283.6 apiece.
That comes a week after Economic Times reported citing unnamed people that the airline—part-owned by Etihad Airways PJSC—has told its employees that it cannot operate for more than 60 days without trimming expenses, including their salaries. In an exchange filing it admitted resorting to cost cuts, however, termed the report “incorrect”.
The stock’s trading volume is 8.3 times the 20-day average, according to Bloomberg data. It was priced at Rs 601.25 apiece at the beginning of the April-June quarter.
Jindal Steel Falls Despite Earnings Beat Estimates
Shares of the steel and cement maker lost as much as 2.19 percent to Rs 214.95 apiece.
Net profit during the June quarter stood at Rs 180.8 crore against Rs 132.7 crore estimated. The company also approved issuing Rs 10,000 crore of debentures along with further securities up to Rs 5,000 crore, according to Bloomberg.
Key Highlights (Year-on-Year)
- Revenue was up 70.5 percent to Rs 9665.4 crore.
- Net profit stood at Rs 180.8 crore compared with a net loss of Rs 387.1 crore.
- Earnings before interest, tax, depreciation and amortisation rose 68.3 percent to Rs 2,276.5 crore.
- Margin stood at 23.5 percent against 23.9 percent.
Vakrangee Gains After SEBI’s Circular On Open Offer
Shares of the retail banking and financial service provider gained as much as 4.63 percent to Rs 67.80 apiece.
Market regulator SEBI directed Vakrangee to make an open offer within 45 days for violations of takeover norms, according to a SEBI circular. The regulator found that in 2013 Vakrangee Holdings increased its stake in its subsidiary Vakrangee and triggered the takeover code but failed to make an open offer.
The stock trades at 0.9 times trailing 12-month earning per share, according to Bloomberg data.
Aurobindo Pharma Rises Even As Earnings Miss Estimates
Shares of the drugmaker gained as much as 1.9 percent to Rs 605.45 apiece.
The company’s profit in the quarter ended June missed analysts estimates. Net profit fell 12.1 percent from the year-ago period to Rs 456 crore, the drugmaker said in its exchange filing. That compares with Rs 533-crore consensus estimate by analysts tracked by Bloomberg.
Key Highlights (Year-on-Year)
- Revenue rose 15.5 percent to Rs 4,250.3 crore.
- Ebitda fell 7.4 percent to Rs 779.2 crore.
- Margin stood at 18.3 percent against 22.9 percent.
The stock trades at 14.6 times trailing 12-month earning per share, according to Bloomberg data.
Eicher Motors Jumps On First Quarter Earnings
Shares of the Royal Enfield bike maker rose as much as 3.32 percent to Rs 28,350 apiece.
The company reported its highest quarterly profit in at least a decade during the April-June period. Yet, it missed estimates. Net profit rose 25 percent from the year-ago period to Rs 576.2 crore, the Royal Enfield motorcycle maker said in its exchange filing. That compares with Rs 606 crore consensus estimate of analysts tracked by Bloomberg.
Revenue rose 27 percent to Rs 2,547 crore, in line with Rs 2,525-crore estimate. This was driven by 22.5 percent volume growth for Royal Enfield.
The stock trades at 39.3 times trailing 12-month earning per share, according to Bloomberg data.