Stocks To Watch: HDFC Bank, Muthoot Finance, M&M Financial, Yes Bank, ACC

Stock markets across Asia have begun the new trading week on a mixed note as earnings season continues to gather steam.

Markets in Japan and South Korea have opened with a positive bias while those in Australia are declining.

Futures on the Dow Jones are trading higher by 40 points. The index ended slightly lower on Friday but registered its third straight weekly advance.

Here are the stocks to watch out for in today’s session:

• HDFC Bank: Net Interest Income up 17.8% while net profit rose 19.5% compared to the previous year. Gross NPA at 1.36% from 1.26% while net NPA at 0.33% from 0.36% in the previous quarter. Provisions at Rs 3,891.5 crore from Rs 3,784.4 crore last quarter. 9% of customers in number and value are under moratorium.
• Yes Bank: FPO subscribed 95% on day 3. QIB portion subscribed 1.9 times, HNI portion subscribed 0.63 times while retail portion subscribed 0.47 times. The bank has raised Rs 14,267 crore through the FPO.
• Muthoot Finance: Board unanimously decided to defer the proposal to sub-divide the equity shares to a future date despite the share price movement over the last few months and financial indicators were found to be ideal for a stock split.
• M&M Financial: Board approves rights issue not exceeding Rs 3,089 crore. The issue price for the same has been set at Rs 50 per share. The rights issue will open on July 28 and close on August 11.
• Vodafone Idea: The company has paid a further sum of Rs 1,000 crore towards the AGR dues. The company had so far deposited Rs 6,854 crore in three tranches. TDSAT has also stayed TRAI's order which had asked the company to put on hold its premium offering RedX.
• Reliance Industries: To shut down one of the crude distillation units at its refinery at Jamnagar for planned routine maintenance and inspection activities for 3-4 weeks starting the fourth week of July. Other refinery units are expected to operate normally during the period.
• Cadila Healthcare: Zydus gets final approval from the U.S. FDA to market butalbital, Acetaminophen and caffeine tablets. The drug is used to treat symptoms of headache. The drug will be manufactured at Nesher Pharma's manufacturing facility at St. Louis.
• L&T Finance Holdings: Board approval to wind up offshore wealth management arm in the United Arab Emirates.
• HUDCO: Achieved loan sanctions of Rs 1,172 crore and loan releases of Rs 2,284.76 crore as on June 30.
• GMR Infra: JV gets original proponent status for developing the Ninoy Aquino International Airport by Manila International Airport Authority.
• IndiaMART InterMESH: Accion Frontier Inclusion Mauritius sold 3.7 lakh or 1.28% stake at Rs 2,077.53 per share.
• Non-Nifty Earnings Today: ACC, SBI Cards and Payment Services, Bombay Dyeing, Den Networks, NRB Bearings, Swaraj Engines, State Trading Corporation.

Earnings Reported After Market Hours

ICICI Lombard General Insurance Q1FY21

• Gross premium down 5% at Rs 3,394 crore
• Net income up 28% to Rs 398 crore
• Solvency at 2.5 times from 2.17 times in the previous quarter
• Combined ratio at 99.7% from 100.4%
• Net earned premium from health insurance up 10% to Rs 588 crore
• Net earned premium from motor insurance down 2% to Rs 1,452 crore
• All numbers are standalone and compared on a year-on-year basis

Hathway Cable and Datacom Q1FY21

• Revenue down 6.7% to Rs 419.6 crore
• Net profit of Rs 65.9 crore from net loss of Rs 9.7 crore
• Ebitda up 26.9% to Rs 118.3 crore
• Ebitda margin at 28.2% from 20.7%
• Higher finance costs in the base quarter impacted the bottomline
• Broadband revenue up 9% to Rs 146.5 crore
• Cable television revenue down 14% to Rs 273 crore
• All numbers are consolidated and compared on a year-on-year basis

M&M Financial Q1FY21

• Total income up 8% to Rs 3,056.6 crore
• Net profit up more than four times to Rs 431.7 crore
• AUM up 14% to Rs 81,000 crore
• Exceptional gain of Rs 229 crore post dilution of 49% stake in JV agreement with Manulife Asset Management
• Gross Stage 3 assets at 9.19% from 8.17% last year
• Net stage 3 assets at 5.72% from 6.27% last year
• Provision Coverage Ratio at 40.1% from 24.9%
• Provisions for Covid-19 at Rs 664 crore
• Total value of assets financed during the quarter at Rs 3,489 crore
• 40% of moratorium availed customers repaying installments
• All numbers are consolidated and compared on a year-on-year basis

Pledged Share Details

• Dish TV: Promoter Direct Media Distribution invoked pledge of 1.09 crore shares on July 9.
• JSW Steel: Promoters revoked pledge of 17.54 lakh shares on July 13.
• JSPL: Promotes revoked pledge of 16.5 lakh shares on July 13.
• Future Consumer: Promoter Future Capital Investment invoked pledge of 1.8 crore shares on July 15.
• Future Retail: Promoter Future Corporate Resources invoked pledge of 17.32 lakh shares on July 15.

As reported on July 17

Trading Tweaks

• AGM Date: CSB Bank, Maharashtra Scooters, Security & Intelligence Services, Swaraj Engines, Tejas Networks, Graphite India, Newgen Software Tech, L&T Finance Holdings
• Price Band Revised From 20% To 10%: Ksolves
• Price Band Revised From 10% To 5%: BF Utilities, Eveready Industries
• Move Into ASM Framework: Kuantum Papers, Swelect Energy Systems
• Move Out Of ASM Framework: BGR Energy Systems, Sadbhav Engineering, Shree Rama Newsprint, TCI Developers, AU Small Finance Bank, DB Realty
• Move Into Short-Term ASM Framework: Future Consumer
• Move Out Of Short-Term ASM Framework: IG Petrochemicals, Ujjivan Small Finance Bank, Indiabulls Real Estate, Asian Granito

F&O Cues

• Nifty July futures end at 10,905; Premium narrows to 3 points from 26 points
• Nifty July futures shed 0.3% and 35,000 shares in Open Interest
• Nifty Bank July futures end at 21,971; Premium narrows to 5 points from 26 points
• Nifty Bank July futures shed 2.2% and 33,000 shares in Open Interest
• Enter F&O Ban: BHEL, Glenmark, Nalco
• Stocks In F&O Ban: BHEL, Canara Bank, Century Textiles, Glenmark, Vodafone Idea, L&T Finance, Nalco, PNB, Sun TV

Nifty: July 23 Expiry

• Maximum Open Interest on Call side at 11,200 strike (21.8 lakh shares)
• Maximum Open Interest on Put side at 10,000 strike (21 lakh shares)
• Active Options: 10,700 Put (18.9 lakh shares) and 11,200 Call (12.5 lakh shares)

Nifty: July 30 Expiry

• Maximum Open Interest on Call side at 11,500 strike (25.3 lakh shares)
• Maximum Open Interest on Put side at 10,000 strike (34.4 lakh shares)

F&O Buzzers & Fund Flows