Stocks to Watch: SBI, Vodafone Idea, Paytm, ITC, IndiGo, DCB Bank, Marico

Following Friday’s rally, equity benchmarks may start the new week on a quiet note as indicated by the SGX Nifty futures, quoting 50 points below the previous close at 17,800.

This week, the Reserve Bank of India’s policy decision on Wednesday will be closely watched out by the Street. The central bank is expected to raise rates by a modest 25 basis points, as per a Reuters poll, following a gradual decline in CPI for November and December to below 6 per cent.

Wall Street ended lower on Friday following a strong jobs report that raised concerns over the Fed having more room to continue rate hikes. The US economy added 517,000 jobs in January, above estimates of 187,000 for the month.

The S&P 500 declined 1.04 per cent, the Nasdaq shed around 1.59 per cent while Dow Jones slipped 0.38 per cent.

Asian indices were mixed in early trade as Nikkei rose around 1 per cent while Kospi and Strait times fell up to 0.7 per cent.

Here are some stocks to watch out in trade today:

Q3 earnings watch: Tata Steel, Adani Transmission, AGS Transact Technologies, Balaji Amines, Easy Trip Planners, Infibeam Avenues, JK Paper, Kolte-Patil Developers, LIC Housing Finance, Monte Carlo Fashions, Muthoot Finance, Nuvoco Vistas Corporation, OnMobile Global, Shankara Building Products, SJVN, Tejas Networks, Unichem Laboratories, and Varun Beverages will release their quarterly earnings today.

SBI: India’s biggest government-owned lender, State Bank of India (SBI), reported a 68.5 per cent year-on-year surge in net profit for the October-December quarter of financial year 2023 (Q3FY23). The bank reported a standalone net profit of Rs 14,205 crore in Q3FY23, its highest ever in a quarter, as against a net profit of Rs 8,432 crore in Q3FY22.

Vodafone Idea: The Centre on Friday approved the conversion of the telco’s dues linked to interest on spectrum and adjusted gross revenue (AGR) worth Rs 16,133 crore into equity. With this, the government will have a 33 per cent stake, making it the biggest shareholder in the financially-stressed telecom. This has removed an overhang on the company while large fund infusion from promoters/investors will be crucial to repay near-term dues and sustain investments. READ

ITC: The company registered a 21 per cent year-on-year growth in profit at Rs 5,031 crore for the quarter ended December FY23 supported by healthy operating performance. Revenue for the quarter grew by 2.3 per cent to Rs 16,226 crore aided by cigarettes, FMCG, hotels and paper segments, but agribusiness fell 37 per cent YoY to Rs 3,124 crore. EBITDA rose 22 per cent to Rs 6,223 crore while the operating margin expanded by 620 bps from last year.

IndiGo: InterGlobe Aviation swung to a record Rs 1,422 crore net profit in Q3FY23, after three consecutive loss-making quarters. For the same period last year, the airline posted a net profit of Rs 129 crore. READ

Paytm: One97 Communications (Paytm owner) has narrowed its consolidated net loss to Rs 392 crore in the third quarter ended December 2022. The company had posted a net loss of Rs 778.4 crore in the same period a year ago. Its revenue from operations jumped about 42 per cent to Rs 2,062.2 crore during the quarter from Rs 1,456.1 crore in the year-ago period.

Tata Power: The company reported a 91 per cent year-on-year growth in consolidated profit at Rs 1,052 crore for Q3FY23. Consolidated revenue grew 30 per cent YoY to Rs 14,339 crore for the quarter driven by capacity addition in renewables, higher generation in thermal plants and higher sales in distribution companies.

M&M Financial Services: The NBFC posted a 30 per cent YoY fall in its standalone profit to Rs 629 crore for Q3 due to high base in the year-ago period. Net interest income rose 7 per cent YoY to Rs 1,650 crore with the loan book increasing by 21 per cent to Rs 77,344 crore.

Marico: The FMCG company registered a 5 per cent year-on-year growth in consolidated profit at Rs 333 crore for Q3FY23. Revenue for the quarter rose 2.6 per cent to Rs 2,470 crore with the India business rising 1.9 per cent YoY to Rs 1,851 crore and international segment growing 5 per cent to Rs 619 crore.

DCB Bank: The RBI has granted approval to DSP Investment Managers (DSPIM) to raise its stake to 9.99 per cent in the bank through the schemes of DSP Mutual Fund. The approval is valid for a period of one year that is up to February 2, 2024. Currently, DSP MF holds 4.23 per cent in the bank.

Tata Motors: Hike in interest rates by central banks globally is expected to enhance financing costs for consumers and could impact future demand, Jaguar Land Rover said in a report. READ

Natco Pharma: The company announced the completion of a regulatory inspection from the United States Food and Drug Administration (USFDA) for its Formulation facility in Ramky SEZ, near Visakhapatnam (Vizag), India, which was conducted during the period 30 January 2023 to 3 February 2023. At the end of the inspection, the facility received two observations, one on written production process control procedure and the other on investigation procedure.

Oberoi Realty: The firmhas acquired land admeasuring approximately 32.20 sq meters (approximately 8 acres) from Blue Star (BSL) for Rs 192.31 crore along Pokhran Road 2, Thane.

Balaji Amines: The government has granted the Environment Clearance to the proposed expansion of Organic and Specialty Chemicals manufacturing Unit IV of Balaji Amines in Solapur, Maharashtra.

Manappuram Finance: The gold loan financing company has registered a 50 per cent year-on-year growth in profit at Rs 392.2 crore for quarter ended December FY23 as impairment on financial instruments dropped by Rs 54 crore for the quarter. Revenue from operations for the quarter increased by 15.5 per cent to Rs 1,714 crore over a year-ago period.

Comfort Fincap: The company’s board has approved sub-division (stock-split) of each of the existing equity shares of face value of Rs 10 each, into 5 equity shares of face value of Rs 2, i.e, a stock split of 1:5.

Krsnaa Diagnostics: The company reported that Dhule Municipal Corporation and the company has entered in to an agreement for installation, operation and maintenance of Radiology and Pathology Center at Late R. R. Patil Commercial Complex located at Dhule, a city in Maharashtra on Public Private Partnership (PPP) basis.

Aurionpro Solutions: The company stated that its trusted partner Webwerks has announced the inauguration of Tier 3 data centres (DC) in Navi Mumbai, Hyderabad and Bangalore simultaneously. This is a part of their DC expansion plan across multiple cities in India, including Bangalore, Hyderabad, Pune, Chennai and Mumbai.