Published on: January 23, 2025
Indian frontline indices are expected to open on a negative note as Asian markets show mixed trends, despite a positive close on Wall Street. Investors are still evaluating the impact of US President Donald Trump’s early actions, including tariff threats against China and spending initiatives on artificial intelligence, which have sent mixed signals to the market.
In today’s trading session, several key stocks are in focus due to their earnings reports and corporate developments. Go Digit, a general insurance firm, saw its net profit nearly triple to ₹119 crore for the December 2024 quarter. Paras Defence signed an MoU with the Maharashtra government for a new Optics Park Project set to begin in 2028.
HUDCO reported a 42% increase in its net profit to ₹735 crore, while BPCL posted a 20% rise in profits, boosted by better margins. Bharti Airtel received a positive outlook from Moody’s, and RattanIndia Power turned profitable with a net profit of ₹4.33 crore, reversing last year’s loss.
Hindustan Unilever (HUL) posted a solid 19.18% rise in its net profit to ₹2,989 crore, and Persistent Systems reported a 30.35% year-on-year increase in its profit after tax for Q3 FY25. Investors will also be watching for UltraTech Cement’s quarterly performance announcement, expected to be released during market hours today.
Published on: January 23, 2025
Amazon Web Services (AWS) has committed to investing $8.3 billion in its Cloud infrastructure in Maharashtra, with a projected contribution of $15.3 billion to India's GDP by 2030. This initiative will support over 81,300 full-time jobs annually in the local data centre supply chain. The investment is part of AWS’s broader $12.7 billion plan for India’s Cloud infrastructure.
The deal was formalized through a memorandum of understanding (MoU) signed at the World Economic Forum summit in Davos, Switzerland, with Maharashtra's Chief Minister, Devendra Fadnavis, calling it a pivotal moment for the state’s digital ambitions.
AWS’s investment follows its previous $3.7 billion spend in Maharashtra between 2016 and 2022. It aims to enhance digital access for enterprises, startups, and public sector organizations in India, including major companies like Axis Bank, HDFC Bank, and Coal India. In another major development, Blackstone has entered the data centre sector with a ₹4,500 crore investment to build a 150 MW facility in Hyderabad.
An MoU was signed between Blackstone Lumina, the data centre arm of Blackstone, and the Telangana government at the WEF. This project positions Telangana as a prime destination for global enterprises and promises to attract significant foreign investment, contributing to India’s growing digital infrastructure landscape.
Published on: January 23, 2025
India’s Reserve Bank is expected to make another significant windfall payout to the government, estimated to be between ₹1.5 trillion and ₹2 trillion for the fiscal year ending in March. This follows the RBI’s intervention in currency markets to stabilize the rupee, which has seen heavy depreciation. The payout is derived from the RBI's surplus income, generated from foreign exchange transactions, investment earnings, and currency printing fees.
The transfer, which stood at ₹2.1 trillion in the previous year, comes at a crucial time for the Indian government, which is grappling with sluggish consumption, weak private investment, and declining tax revenues. Economists believe the RBI dividend will help offset budget shortfalls, particularly in corporate tax and divestment proceeds. The transfer is expected to be significant due to the RBI's increased dollar sales—nearly $196 billion between April and November of the current fiscal year to stabilize the rupee.
Though the final payout will be ratified by the RBI's central board in May, the government has already factored this windfall into its budget calculations. While some economists anticipate a slightly lower payout due to provisions the RBI may set aside for contingency reserves, the general consensus remains that the central bank’s dividend transfer will provide crucial fiscal support for the Indian economy.
Published on: January 23, 2025
Amazon Web Services (AWS) has announced an $8.3 billion investment in its Cloud infrastructure in Maharashtra, aiming to contribute $15.3 billion to India’s GDP by 2030. The investment will also support over 81,300 full-time jobs annually in the state’s data centre supply chain by the end of the decade. The investment plan is part of AWS’s broader $12.7 billion commitment to strengthen its Cloud infrastructure across India by 2030.
At the World Economic Forum (WEF) summit in Davos, Switzerland, AWS and the Maharashtra government formalized the deal through a memorandum of understanding (MoU). Maharashtra’s Chief Minister, Devendra Fadnavis, welcomed the decision as a pivotal moment for the state, citing the potential to advance Maharashtra’s digital ambitions.
AWS has already invested more than $3.7 billion in Maharashtra’s Cloud infrastructure between 2016 and 2022. The company’s services are widely used by major Indian enterprises, including Axis Bank, HDFC Bank, and ICICI Lombard, as well as startups and public sector companies like Coal India and Maharashtra State Electricity Distribution Co.
In a related development, Blackstone announced its foray into India’s data centre ecosystem with a ₹4,500 crore investment to build a state-of-the-art 150 MW facility in Hyderabad. Blackstone Lumina, in partnership with Telangana's government, aims to position the state as a preferred destination for global enterprises in the data centre sector.
Published on: January 23, 2025
Indian frontline indices are expected to open on a negative note as Asian markets show mixed trends, despite Wall Street’s positive close. Investors continue to assess the impact of US President Donald Trump's policies, particularly his stance on China’s trade relations. While US markets saw optimism driven by Trump’s AI spending plans, global investors remain cautious.
Several major Indian companies have reported strong earnings for the December 2024 quarter. Go Digit’s net profit surged nearly three-fold to ₹119 crore, while HUDCO’s profit jumped by 42% to ₹735 crore, bolstered by higher income. Hindustan Unilever (HUL) also saw a 19.18% increase in its consolidated net profit, reaching ₹2,989 crore.
Other noteworthy updates include Paras Defence and Space Technologies signing an MoU with the Maharashtra government for an optics park in Navi Mumbai, and BPCL seeing a 20% rise in net profit due to better margins. Additionally, Bharti Airtel’s outlook was upgraded to positive by Moody’s, and RattanIndia Power posted a profit turnaround with ₹4.33 crore in Q3 FY25.
Investors are also keenly awaiting UltraTech Cement’s earnings announcement today, which is expected to offer insights into the company’s performance in the competitive cement sector.
Published on: January 22, 2025
In Wednesday's trading session, Zomato, HDFC Bank, Kalyan Jewellers, and Dixon Technologies were among the most traded securities on the National Stock Exchange (NSE), with high volumes witnessed across key stocks.
The NSE Nifty index rose by 130.7 points, closing at 23,155.35, while the BSE Sensex gained 566.63 points, ending at 76,404.99. Leading the Nifty index gains were Wipro, Infosys, TCS, Tech Mahindra, and Sun Pharmaceutical, with Wipro gaining 3.61%.
On the flip side, Bharat Electronics, Tata Motors, Trent, Power Grid Corp, and Axis Bank were among the top losers, with Bharat Electronics declining by 3.11%. Despite the mixed performance of individual stocks, the overall market showed positive momentum with strong gains in the benchmark indices.
Published on: January 22, 2025
Housing and Urban Development Corp. (Hudco) reported robust financial performance for the third quarter of fiscal 2025, with net profit rising 41.6% year-on-year to Rs 735 crore, compared to Rs 519.2 crore in the same period last year. Revenue surged 37% to Rs 2,760 crore from Rs 2,013 crore.
The company also saw a 34.1% increase in EBITDA, reaching Rs 925 crore. Hudco declared a third interim dividend of Rs 2.05 per equity share and raised its borrowing plan for FY25 to Rs 55,000 crore.
Additionally, the company improved its asset quality with NPAs dropping to 0.27% from 0.44% in the previous year. Hudco also plans to raise $400 million via Japanese yen bonds in Q4. Despite a slight dip in its share price, analysts remain optimistic with a 'buy' rating and a potential upside of 58.7%.
Published on: January 22, 2025
Indian benchmark indices closed in positive territory on Wednesday, with the Nifty 50 adding 135.85 points or 0.59% to settle at 23,160.50 and the BSE Sensex rising by 614.57 points or 0.81% to 76,452.93. Despite the overall rally, the broader indices underperformed, with the Nifty Midcap 100 closing 1.36% lower.
The Nifty Realty index was the biggest laggard, falling over 4.5%, while the Nifty IT index outperformed, gaining more than 2%. The Bank Nifty ended 0.32% higher, and small-cap stocks witnessed the most significant losses. The India VIX cooled off by 1.65% to 16.77.
Sectoral movers included Wipro, Infosys, TCS, Tech Mahindra, and HDFC Bank, which saw gains, while BEL, Tata Motors, Trent, Power Grid, and Axis Bank underperformed. Analysts are optimistic about further market recovery, with key support levels pegged at 23,000 and 75,850, and resistance levels near 23,250-23,325 and 76,700-76,900.
Published on: January 22, 2025
HDFC Bank reported a 2.2% year-on-year increase in standalone net profit for Q3FY25, totaling Rs 16,736 crore, though it fell short of Street estimates of Rs 17,233 crore. The bank's Net Interest Income (NII) grew by 7.7% to Rs 30,650 crore, and net revenue rose 6.3% to Rs 42,110 crore.
Deposits saw a robust 15.9% growth, while advances grew 7.6%. HDFC Bank's gross non-performing assets (GNPAs) slightly increased to 1.42%, up from 1.36% in Q2FY25. Despite lower-than-expected profit, HDFC Bank shares gained over 1%, reaching Rs 1,659.90.
The bank's CASA deposits saw a growth of 6%, contributing to the solid performance in core banking activities. The bank's balance sheet size reached Rs 37.59 lakh crore, with a steady growth trajectory in both deposits and advances.
Published on: January 22, 2025
Shares of Bharat Dynamics Ltd (BDL) have seen a 32% recovery since hitting a low of Rs 917 in November 2024, after falling from a peak of Rs 1,794.70 in July 2024. The stock has broken above its downward trendline and is forming higher highs and lows, signaling a bullish trend.
Analysts highlight the Rs 1,090 level as immediate support, with resistance at Rs 1,300. The stock is trading above significant short, medium, and long-term moving averages, which further supports a positive outlook.
Technical experts predict further upside, with price targets of Rs 1,405 and Rs 1,520. However, a resistance zone between Rs 1,360 and Rs 1,420 could pose a challenge. Despite a 5% dip in intraday trading, the stock's momentum and increased trading volumes suggest continued investor interest.
Published on: January 22, 2025
Essar Renewables Ltd (ERL), the green energy arm of Essar Group, has signed a significant agreement with the Maharashtra government to invest Rs 8,000 crore in renewable energy projects. Under the memorandum of understanding (MoU), ERL will develop 2 gigawatts (GW) of renewable energy capacity in the state, with projects set to begin in FY 2026-27.
The investment will support the electric vehicle truck charging ecosystem of Blue Energy Motors and Greenline. The collaboration aims to enhance green mobility and sustainable energy solutions, generating over 2,000 direct jobs.
ERL’s target is to surpass 8 GW of renewable energy capacity in the next five years. The MoU was signed at the World Economic Forum 2025 in Davos, in the presence of Maharashtra’s Chief Minister Devendra Fadnavis and other key officials.
Published on: January 22, 2025
The BSE Realty index fell to a 10-month low of 6,719.36 on January 22, 2025, marking a sharp 5.7% drop amid a widespread correction in real estate stocks. The index has plummeted 24% from its December 2024 peak, with stocks of major players like Prestige Estates Projects, Oberoi Realty, Macrotech Developers (Lodha), Sobha, and Godrej Properties losing between 21% and 26% in the past month.
On Wednesday, the realty sector emerged as the biggest loser among sectoral indices, with a 4.5% decline, while the BSE Sensex rose by 0.75%. Oberoi Realty saw a particularly steep 7% drop, following its Q3FY25 results that showed slower presales growth than expected.
Analysts remain cautious, with some firms, like Elara Capital, maintaining a 'Buy' rating despite a presales miss. HSBC Global Research also noted a shift in demand toward mid-income housing, with potential challenges ahead for 2025 growth.
Published on: January 22, 2025
Aditya Birla Real Estate's shares fell 7.84% to Rs 1,820.05 on January 22, 2025, following the company's disappointing Q3FY25 results. The company reported a net loss of Rs 42.37 crore for the quarter, a significant reversal from the Rs 79.95 crore profit in Q3FY24.
Revenue for the quarter fell 16.7% year-on-year to Rs 946.21 crore, while total expenses rose 8.1%, driven by increased costs related to materials, land, and construction activities.
Despite strong sales growth from its real estate division, Birla Estates, which posted a 116.6% annual increase in sales to Rs 185.98 crore, the company saw a 96.5% drop in sequential profits and a 26.7% decline in sales from the previous quarter. The stock has underperformed the market, falling 15% over the past six months, as the BSE Sensex dropped just 5.3% in comparison.
Published on: January 22, 2025
IndiaMART InterMESH's shares plunged 9.99% to a 52-week low of Rs 2,064.10 on January 22, 2025, following disappointing Q3FY25 results. The company reported a surprising decline in paid subscribers, with a net reduction of 3,715, and weak revenue growth of just 8% year-on-year for its standalone business.
As a result, major brokerages such as Nuvama and Nomura revised their earnings forecasts downward, with Nuvama reducing the target price to Rs 1,970 and maintaining a ‘Reduce’ rating. Nomura followed suit with a lowered target of Rs 1,900, citing the need for substantial growth in subscriber additions for the stock to rebound.
Despite this, IndiaMART reported a 47.9% increase in consolidated profit to Rs 121 crore, alongside a 16.1% rise in revenue to Rs 354.2 crore. Analysts highlighted concerns about subscriber churn and cash collection recovery, although Motilal Oswal maintained a 'Buy' recommendation with a revised target price of Rs 2,600.
Published on: January 22, 2025
RailTel Corporation of India’s shares are set to attract attention on January 22 after the company announced it had received a Rs 46.79 crore work order from North Western Railway for signaling work. This contract follows a series of recent wins, including a Rs 78.43 crore order from Bharat Coking Coal Ltd and a Rs 144.88 crore contract from the Gujarat government for CCTV installations.
RailTel, which was recently upgraded to 'Navratna' status by the Indian government, continues to expand its portfolio of projects. However, despite these achievements, the stock has faced a 22% decline in the last six months and is currently rated a 'Strong Sell' by analysts, with a target price suggesting a 28% downside from its current level.
RailTel’s market capitalization stands at Rs 15,116 crore, and its strong financial performance has led to its 'Navratna' upgrade, granting the company greater decision-making autonomy and empowerment.