Stocks Radar: TCS, Eveready Industries, Tata Motors, Infosys
Indian equity benchmarks resumed rally after a one-day blip. The S&P BSE Sensex and NSE Nifty 50 Index, however, pared opening gains and traded flat at 36,088.03 and 10,824.80 respectively, as of 10:15 a.m.
The market breadth was tilted in favour of buyers. Six of the 11 sectoral gauges compiled by the National Stock Exchange gained, led by a 0.74 percent advance in the NSE Nifty FMCG Index. The NSE Nifty Realty Index was the biggest loser, down 0.81 percent.
Here Are The Stocks Moving The Market This Morning
Jet Airways Gains After Report Of Resuming Talks With Tata Group
Shares of the cash-strapped carrier snapped their three-day losing streak and rose close to 3 percent to Rs 250 per share.
Jet Airways is said to be weighing a re-start of bailout talks with the Tata Group, Bloomberg reported quoting unnamed sources. Tata said in November that it held “preliminary” talks with Jet Airways though no proposal was made.
The stock declined 71 percent in the last 12 months compared to a 4.9 percent gain in the S&P BSE Sensex Index.
Tata Motors Rises After JLR Announces Job Cuts
Shares of the parent of Jaguar-Land Rover rose as much as 1.1 percent to Rs 187.75 apiece.
JLR, in a press release, said that its going to reduce 4,500 jobs from its global workforce as part of its cost-cutting program that will be started across U.K. first. Also, JLR’s December sales were down 6.4 percent to 56,120 units on a year-on-year basis. The company said retail sales were down due to growing trade tension between the U.S. and China.
The stock traded 22 times its estimated earnings per share for the coming year, Bloomberg data showed.
Eveready Industries Surges The Most In Nearly Three Years
Shares of the battery maker gained 17.8 percent intraday, the most since February 2016, to Rs 214 per share.
BM Khaitan-led Williamson Magor is mulling to sell majority of its 45 percent stake in the company, reported Times of India, citing people aware of the development.
The trading volume was more than 150 times the 20-day average for this time of the day, Bloomberg data showed. The relative strength index on the stock was above 70, indicating it may be overbought.
TCS Top Nifty Loser After Q3 Performance
Shares of the Asia’s largest software exporter declined nearly 2.7 percent to Rs 1,837.15 per share after its third-quarter results were announced on Thursday.
The company’s net profit rose 2.6 percent sequentially to Rs 8,105 crore, according to its exchange filing. That compares with Rs 8,154 crore consensus estimate of analysts tracked by Bloomberg.
Other Key Highlights (Q3, YoY)
- Dollar revenue up 0.7 percent at $5,250 million.
- Revenue up 1.3 percent at Rs 37,338 crore.
- EBIT down 2.2 percent at Rs 9,559 crore.
- Margin at 25.6 percent versus 26.5 percent.
The trading volume was more than 10 times the 20-day average for this time of the day, according to Bloomberg data.
Infosys Fluctuates Ahead Of Q3 Results
Shares of the Bengaluru-based IT company swung between gains and losses to trade at Rs 679.80 per share, as of 9:55 am. The company is scheduled to report its earnings for the December-ended quarter today.
Q3 Preview (Consolidated, Year-On-Year)
- Profit to rise up 0.6 percent to Rs 4,136 crore.
- Dollar revenue seen up 1.3 percent at $2,958 million.
- Revenue seen to rise 3.2 percent at Rs 21,264 crore.
- EBIT expected to rise 2.1 percent at Rs 4,996 crore.
- EBIT margin seen at 23.5 percent versus 23.7 percent.
The stock gained 29 percent in the past 12 months compared to 4.9 percent gain in the BSE Sensex Index.