Equity benchmark indices plunged sharply on Tuesday extending losses for the second consecutive day following heavy selling in HDFC Bank, SBI and ITC amid fresh foreign capital outflows. In addition, deep losses in commodity, banking and financial stocks and concerns over stretched valuations added to the woes.
The BSE Sensex tumbled 692.89 points or 0.87 per cent to settle at 78,956.03. The NSE Nifty fell 208 points or 0.85 per cent to close at 24,139. Broader market also saw a sell-off and was down 1 per cent. Except for healthcare and Consumer Durables, all sectors ended in red.
“Domestic indices underperformed global equity markets as investors resorted to profit-taking in banking, IT, telecom, metals and oil & gas shares. Despite falling inflation levels, economists were of the view that inflation will rise once again, which could mean that RBI will not be in a hurry to tinker with interest rates in the near term. Also, current market valuations are very high and hence we may witness select profit booking with bouts of intra-day volatility in the near term,” said Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd.
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Here are the key stocks to watch on August 14:
Hero MotoCorp: The two-wheeler maker reported a 47.3 per cent jump in its consolidated net profit for June 2024 quarter to Rs 1,032 crore compared to Rs 702 crore in the year-ago period. Revenue from operations jumped to Rs 10,211 crore from Rs 8,851 crore. The company said it sold 15.35 lakh units of motorcycles and scooters in the April-June quarter this financial year as compared with 13.53 lakh units in the first quarter of FY24.
Hindalco Industries: The company posted a 25.26 per cent increase in consolidated net profit for June 2024 quarter to Rs 3,074 crore as against Rs 2,454 crore in the corresponding period of previous financial year. Hindalco's revenue from operations surged 7.59 per cent year-on-year to Rs 57,013 crore in the quarter ended June 30, 2024.
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Vedanta: The company’s board of directors has approved to sell up to 11 crore shares of 2.6 per cent equity in Hindustan Zinc, through an offer for sale (OFS). At the end of June quarter, Vedanta owned 64.92 per cent stake in Hindustan Zinc while the government had 29.54 per cent. The company did not disclose the details of the floor price and the date of OFS.
Nykaa: FSN E-Commerce Ventures, the operator of Nykaa brand, posted a consolidated net profit of Rs 13.64 crore for June quarter of FY25, up 152 per cent compared to Rs 5.42 crore in the year-ago period. The company’s revenue from operations grew 23 per cent from Rs 1,421.82 crore to Rs 1,746.11 crore in the June quarter.
Piramal Enterprises: The company announced a 64 per cent decline in net profit to Rs 181 crore in June 2024 quarter compared to Rs 509 crore in the year-ago period. The core net interest income rose 18 per cent to Rs 807 crore on the back of a 10 per cent increase in the overall assets under management (AUM) to Rs 70,576 crore, while the net interest margin (NIM) narrowed to 6.7 per cent from 7.3 per cent in the year-ago period.
