Stocks In News: Bandhan Bank, Bharti Airtel, IndusInd Bank, Nalco, Wipro, Vedanta, Yes Bank
Indian stocks fluctuated between gains and losses on a day two private sector lenders—IndusInd Bank Ltd. and Bandhan Bank Ltd.—reported their December quarter results.
At 2:40 pm, S&P BSE Sensex was trading 0.05 percent higher at 41,872.49 points while the NSE Nifty index was up 0.07 percent at 12,338.60. Vedanta Ltd. was the top gainer on the Nifty 50 index while Yes Bank Ltd. was the top loser.
Here’s a look at the stocks in news moving the markets today.
Airtel Gains For A Second Day As Board Meets To Consider QIP Price
Shares of Bharti Airtel Ltd. rose for a second consecutive trading session, rising as much as 0.80 percent to Rs 472.65 apiece.
A special committee of the company’s board is meeting today to determine the issue price of its $2-billion qualified institutional placement, or QIP. The committee will also discuss the issue price and other terms of the up to $1 billion foreign currency convertible bonds offer.
Also, two million shares of the telecom operator changed hands in opening trade, Bloomberg reported. Buyers and sellers weren’t immediately known.
Trading volume in the stock was 13 percent below the 20-day average for this time of the day, Bloomberg data shows. Of the shares that were traded, 44 percent were at the ask price and 45 percent were at the bid, according to the data.
Bandhan Bank Shares Fall Most In Three Weeks After Q3 Results
Shares of Bandhan Bank Ltd. declined the most since Dec. 23, 2019, falling as much as 3.07 percent to Rs 498.20 apiece after the lender announced its December quarter results.
The private bank’s profit after tax stood Rs 731 crore in the December quarter while net interest income was Rs 1,540.28 crore. Bloomberg had estimated net profit of Rs 805 crore and net interest income of Rs 1,619 crore.
The figures are not comparable sequentially or with same period a year ago as the Kolkata-based lender’s merger with Gruh Finance came into effect from October.
Bandhan Bank Q3 Results 2019-20: Key Highlights
- Net profit at Rs 731 crore vs an estimate of Rs 805 crore
- Net interest income at Rs 1,504.30 crore vs estimate of Rs 1,619 crore
- Gross NPAs at 1.93% vs 1.76% a quarter ago
- Net NPAs at 0.81% vs 0.56% a quarter ago
- Provisions at Rs 294.90 crore
The company made additional provisions of Rs 200 crore on standard advances in the microfinance portfolio due to risk observed in North Eastern states. Read the detailed Bandhan Bank results here.
Trading volume in the Bandhan Bank stock was quadruple the 20-day average for this time of the day, Bloomberg data shows.
IndusInd Bank Rises To Highest In Over Five Weeks After Q3 Results
Shares of IndusInd Bank Ltd. pared losses to trade 2.49 percent higher at Rs 1,578.00 apiece—the highest since Dec. 3, 2019—after the lender reported its December quarter results.
The company's net profit fell 6 percent quarter-on-quarter to Rs 1,300 crore on the back of net interest income that rose 5.6 percent quarter-on-quarter to Rs 3,074 crore.
IndusInd Bank Q3 Results 2019-20: Key Highlights (QoQ)
- Net profit fell 6% to Rs 1,300 crore
- Net interest income rose 5.6% to Rs 3,074 crore
- Other income rises 3.6% to Rs 1,790 crore
- Gross NPAs fell to 2.18% from 2.19%
- Net NPAs fell to 1.05% from 1.12%
- Provisions rose 41% to Rs 1,043 crore
The bank’s performance cannot be compared with the corresponding year-ago period since it merged with Bharat Financial Inclusion Ltd. in July 2019. Click here for the detailed IndusInd Bank results.
Trading volume in the stock was 84 percent above the 20-day average for this time of the day, Bloomberg data shows. Of the shares that were traded, 43 percent were at the ask price and 37 percent were at the bid, according to the data.
Nalco Shares Surge After Vedanta Allowed To Bid For Its Alumina Tender
Shares of National Aluminium Co. Ltd., or Nalco, rose 2.4 percent to Rs 46.90 apiece—the highest since Nov. 8, 2019.
A three-judge Supreme Court bench, headed by Chief Justice S.A. Bobde has allowed Vedanta Ltd.’s foreign units to bid for Nalco’s alumina meant for exports, Bloomberg reported.
If Vedanta’s bid is successful, the company can use the alumina at its plant in the Jharsuguda SEZ in Odisha, the top court said, adding that Vedanta will have to pick up Nalco’s alumina from Visakhapatnam port as well.
Trading volume in the Nalco stock was 9 percent below the 20-day average for this time of the day, Bloomberg data shows. Of the shares that were traded, 58 percent were at the ask price and 39 percent were at the bid.
Religare Surges To Highest In Six Weeks After Axis Bank Sells Stake
Shares of Religare Enterprises Ltd. gained for the fourth consecutive trading session, rising as much as 4.99 percent to Rs 49.45 apiece—the highest since Nov. 29, 2019.
Axis Bank Ltd. has sold 3.51 percent stake in Religare Enterprises, a move that reduces its holding in the company to 1.67 percent, according to Bloomberg. The lender’s shares rose 1.26 percent intraday following the development.
Wipro Shares Rise To Highest Since Nov. 13 Ahead Of Q3 Results
Shares of Wipro Ltd. rose 1.24 percent intraday to Rs 257.95 apiece—the highest since Nov. 13, 2019.
Both the companies will report their December quarter results later today.
Wipro Q3 Results 2019-20: Preview (QoQ)
- IT services revenue seen up 2.6% at $2.103 billion vs $2.049 billion
- Revenue seen up 2% at Rs 15,434 crore vs Rs 15,130 crore
- EBIT seen up 2.6% at Rs 2,682 crore vs Rs 2,614 crore
- EBIT margins seen at 17.4% vs 17.3%
- Net profit seen down 4.3% at Rs 2,451 crore vs Rs 2,561 crore
Yes Bank Falls To Lowest In More Than Three Months
Shares of Yes Bank Ltd. fell as much as 7.96 percent to Rs 38.75 apiece—the lowest since Oct. 11, 2019.
This after 1.78 million shares of the private lender changed hands in a bunched trade on the National Stock Exchange. Buyers and sellers weren’t immediately known.
Yes Bank had hired Radha Dhir, a 24-year veteran of Deutsche Bank AG, as it seeks to bolster its top management team amid efforts to boost capital buffer and curtail bad loan ratios, Bloomberg reported Monday, citing people aware of the matter.
Dhir has joined Yes Bank to oversee coverage of multinational companies, the people said, asking not to be named as they were not authorized to speak to media.
Tranding volume in the private lender’s stock was 99 percent above the 20-day average for this time of the day, Bloomberg data shows. Of the shares that were traded,60 percent were at the ask price and 39 percent were at the bid.