Stocks Radar: Biocon, CESC Ventures, Linde India, IndiGo, Spenser’s Retail, Yes Bank
Indian equity benchmarks rose for the second day and were on course for the third straight week of gains.
The S&P BSE Sensex Index rose as much as 0.77 percent to 36,474.48 and the NSE Nifty 50 Index rose as much as 0.75 percent to 10,931.70.
Nine out of 11 sectoral gauges advanced, led by the NSE Nifty IT Index’s 1.1 percent gain. On the flipside, the NSE Nifty Media Index was the top sectoral loser, down 0.4 percent.
Here Are The Stocks Moving The Market This Morning
Spenser's Retail, CESC Ventures List On Exchanges
Shares of Spencer’s Retail got listed at Rs 225 and CESC Ventures was listed at Rs 545 on the exchanges today, after their demerger from CESC Ltd.
Soon after their stock market debut, Spencer’s Retail declined 3.5 percent to Rs 217.10 while CESC Ventures declined 4.58 percent to Rs 520.
Both Spencer’s Retail and CESC Ventures will be a part of the trade-for-trade segment for 10 trading days after listing and be part of special pre-open session for IPO.
Yes Bank Extends Gain On New CEO Appointment
Shares of the Mumbai-based lender extended gains for the fourth day and rose as much as 13.7 percent to Rs 245. The stock was the best performer on Sensex and Nifty.
The bank named Deutsche Bank’s Ravneet Gill as its new managing director and chief executive officer. Gill will replace Rana Kapoor, co-founder and CEO, who is due to step down by the month-end after the Reserve Bank of India denied him another term. (more details here)
Besides, it also appointed Maheswar Sahu and Anil Jaggia as independent directors and recommended Ashish Agarwal to the Reserve Bank of India for the post of executive director.
Here’s what analysts had to say about Yes Bank:
- Maintained ‘Buy’; hiked price target to Rs 280 from Rs 260.
- Steady operating results and IL&FS pushes-up NPLs.
- New CEO comes with strong corporate banking experience.
- Clarity on strategy and capital raise could drive a rerating.
- Maintained ‘Sell’ with a price target of Rs 150.
- CEO announcement positive; NPL and liabilities still a concern.
- RBI divergence report a key near-term catalyst.
- Due to NPL risks and wholesale funding believe risk-reward is unfavourable.
- Maintained ‘Outperform’ with a price target of Rs 310.
- Appointment of Ravneet Gill removes the uncertainty.
- December quarter’s net profit down due to miss on other income and provisions taken against IL&FS exposure.
- Catalyst: divergence report, new MD’s strategic directions.
IndiGo Swings After New CEO Appointment
Shares of InterGlobe Aviation fluctuated between gains and losses to trade 1.5 percent lower at Rs 1,160.50.
The budget carrier operator appointed Ronojoy Dutta as its chief executive officer of IndiGo for five years. (More details here)
Trading volume was more than double the 20-day average, Bloomberg data showed. The stock has declined 4.8 percent in the past 12 months.
Biocon Fluctuates After Q3 Profit Jumps
Shares of the pharmaceutical company swung between gains and losses. The stock traded 1.1 percent lower at Rs 662.95 as of 9:50 a.m.
The drugmaker’s quarterly profit during the three months ended December jumped 2.4 times on a yearly basis, according to its stock exchange notification.
Key earnings highlights (Q3, YoY)
- Revenue up 45.6 percent at Rs 1,540.8 crore.
- Net profit up 2.4 times at Rs 217.2 crore.
- Ebitda up 71.7 percent at Rs 380.7 crore.
- Margin at 24.7 percent versus 21 percent.
Linde India Slumps After Promoters Reject Delisting
Shares of the specialty gas mixtures maker fell as much as 20 percent to Rs 568.65.
The company’s promoters rejected its delisting after discovering the company was worth nearly thrice its market capitalisation. (Read the full story here)
Trading volume was more than nine times the 20-day average, according to Bloomberg data. The stock traded at 147 times its estimated earnings per share for the coming year.
Other Stocks Reacting To Earnings Announcement
PNB Housing Finance (Q3, YoY)
- Stock rose as much as 3.1 percent to Rs 954
- Net interest income up 36.1 percent at Rs 667.4 crore.
- Net profit up 32 percent at Rs 303 crore.
- Net interest margin at 3.06 percent versus 3.02 percent.
- AUM up 38 percent at Rs 79,737 crore.
Quess Corp (Q3, YoY)
- Stock rose as much as 2.3 percent to Rs 660.
- Revenue up 37.1 percent at Rs 2,172.2 crore.
- Net profit up 4.4 percent at Rs 64 crore.
- Ebitda up 30.1 percent at Rs 118.4 crore.
- Margin at 5.5 percent versus 5.7 percent.
Hatsun Agro Product (Q3, YoY)
- Stock fell as much as 1.9 percent to Rs 696.40.
- Revenue up 14 percent at Rs 1154.5 crore.
- Net profit up 23.3 percent at Rs 18.5 crore.
- Ebitda up 8.9 percent at Rs 94.6 crore.
- Margin at 8.2 percent versus 8.6 percent.
Bharat Bijlee (Q3, YoY)
- Stock fell as much as 1.4 percent to Rs 1,090.60.
- Revenue down 1.3 percent at Rs 224.8 crore.
- Net profit up 34 percent at Rs 13 crore.
- Ebitda up 34 percent at Rs 18.9 crore.
- Margin at 8.4 percent versus 6.2 percent.
Pfizer (Q3, YoY)
- Stock fell as much as 2.1 percent to Rs 2,651.
- Revenue up 12.6 percent at Rs 513.8 crore.
- Net profit up 51.3 percent at Rs 131.9 crore.
- Ebitda up 31 percent at Rs 154.4 crore.
- Margin at 30.1 percent versus 25.8 percent.
- Other income up twice at Rs 64.4 crore.
Mphasis (Q3, QoQ)
- Stock rose as much as 3.9 p[ercent to Rs 904.80.
- Revenue up 3 percent at Rs 1,971 crore.
- Net profit up 2.6 percent at Rs 278 crore.
- EBIT down 1 percent at Rs 311 crore.
- EBIT Margin at 15.8 percent versus 16.4 percent.
Sun Teck Realty (Q3, YoY)
- Stock rose as much as 2.8 percent to Rs 344.95.
- Revenue down 3.4 percent at Rs 194.7 crore.
- Net profit down 21.2 percent at Rs 43.9 crore.
- Ebitda down 8.7 percent at Rs 81.3 crore.
- Margin at 41.8 percent versus 44.2 percent.