Domestic stock markets remained volatile on Thursday, the monthly expiry day, and ended nearly flat, continuing the ongoing consolidation trend. The focus today, Friday, July 26th, will be on several companies reporting their first-quarter earnings and other news developments.
Domestic Stock Markets in Focus Today
Earnings Season: The domestic stock markets benchmark indices are expected to open in the green today on the back of a positive sentiment surrounding earnings releases. Several key companies, including IndiGo, IndusInd Bank, Cipla, Power Grid, InterGlobe Aviation (IndiGo), Bandhan Bank, Amber Enterprises, Sanofi, and Shriram Finance, are scheduled to announce their June quarter results.
Strong Earnings Performances: Investors will be keen to analyze the financial performance of companies that have already declared their results. Tech Mahindra reported a 23% jump in its net profit, while DLF witnessed a 23% increase in consolidated profit. PNB Housing Finance and AU Small Finance Bank also reported significant growth in net profit, by 25% and 30% respectively. Tata Motors’ market capitalization crossed the ₹4 lakh crore mark for the first time, reflecting investor confidence in the auto major.
Other News: Mahanagar Gas reported a 7.4% rise in net profit, while Texmaco Rail acquired Jindal Rail Infrastructure for ₹615 crore. Cyient, however, saw a drop in first-quarter profit due to project execution delays. Beer maker United Breweries reported a 27.47% increase in net profit, and VST Industries announced a bonus share issue. Cupid Limited announced an enhanced e-commerce presence on major online platforms.
This mix of earnings reports and corporate developments is likely to keep investors engaged throughout the trading session. Analysts expect the market to remain volatile but with a positive bias as the earnings season progresses.
Earnings Season in Full Swing
The ongoing earnings season continues to dominate domestic stock markets activity. A slew of companies are scheduled to release their quarterly results over the next two days.
A host of companies, including IndusInd Bank, Power Grid Corporation, Shriram Finance, Cipla, IndiGo, Bandhan Bank, Aarti Drugs, Amber Enterprises India, Cholamandalam Investment and Finance, City Union Bank, Equitas Small Finance Bank, ESAF Small Finance Bank, KEC International, KFin Technologies, Latent View Analytics, Nuvama Wealth Management, Piramal Pharma, SBI Cards and Payment Services, TTK Prestige, and Zenotech Laboratories, are set to announce their quarterly earnings on Friday.
The earnings calendar for Saturday, July 27, also features a significant number of companies. ICICI Bank, Dr Reddy’s Laboratories, NTPC, Punjab National Bank, REC, IDFC First Bank, MCX India, Anant Raj, Finolex Industries, Genus Power Infrastructures, Jammu & Kashmir Bank, Meghmani Organics, SBFC Finance, Spandana Sphoorty Financial, Sumitomo Chemical India, and Transport Corporation of India will be in focus as they unveil their quarterly performance.
Other Market News
- Power Sector Boost: The government has granted a Letter of Intent for the Darzo Lui pumped storage project to a company (name not specified). With an estimated cost of ₹13,947.50 crore, the project will have an installed capacity of 2,400 MW.
- FII Activity: Foreign institutional investors (FIIs) have shown mixed interest in Indian equities. Morgan Stanley Asia Singapore Pte and Societe Generale increased their stake in an undisclosed bank, while Maple II B V exited its entire holding in RBL Bank.
These developments, coupled with the ongoing earnings season, are expected to influence market trends in the coming days.
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