Benchmark equity indices extended the losing streak to the fourth consecutive session following profit booking in banking and financial stocks after the government announced a hike in securities transactions tax (STT) and capital gains tax in the budget 2024.
The BSE Sensex declined 280.16 points or 0.35 per cent to settle at 80,148.88. The NSE Nifty fell 65.55 points or 0.27 per cent to close at 24,413.50. Sector-wise it was a mixed bag with buying seen Oil &Gas, Consumer Durables, Pharma and Realty amid relief measures announced in the Union Budget.
“Markets experienced some decline after investors' mood turned soured post an unexpected increase in short and long-term capital gains. With markets at new highs, the budget further strengthens India’s macroeconomic position amid a fragile global economy. We anticipate the market to quickly discount the budget and shift its focus to the trajectory of corporate earnings growth, which has remained marginally below our expectations so far in 1QFY25. Thus, we expect the market to consolidate in the near term,” said Siddhartha Khemka, Head of Retail Research at Motilal Oswal Financial Services Ltd.
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Here are the key stocks to watch on July 25:
Larsen & Toubro: The company reported a 12 per cent YoY rise in consolidated net profit to Rs 2,786 crore in the June quarter on the back of higher revenues. Its consolidated revenue for the first quarter of the financial year grew 15 per cent YoY to Rs 55,120 crore.
Axis Bank: The private sector bank reported a 4 per cent increase in net profit to Rs 6,035 crore in the June 2024 quarter, compared to Rs 5,797 crore in the year-ago period, mainly due to higher interest income. The lender’s interest income in the first quarter increased to Rs 30,060.73 crore against Rs 25,556.77 crore in the year-ago period.
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SBI Life Insurance: The company reported a net profit of Rs 520 crore for the June 2024 quarter, up 36.48 per cent compared to Rs 381 crore in the corresponding quarter of previous fiscal. SBI Life said it registered a new business premium of Rs 7,033 crore in the reported quarter compared to Rs 6,207 crore in the June 2023 quarter.
JK Paper: The company reported a 54.8 per cent YoY decline in net profit at Rs 139.7 crore for the June quarter against Rs 308.7 crore in the year ago period. The company’s revenue increased 8.2 per cent to Rs 1,713.7 crore in the reported quarter compared to Rs 1,584.4 crore in the corresponding quarter of previous financial year.
Indraprastha Gas: The country’s largest city gas operator posted an 8 per cent YoY decline in net profit to Rs 401 crore for the June quarter, compared to Rs 438.40 crore in the year–ago period. However, the revenue increased 3 per cent to 3,520 crore compared to Rs 3,407 crore in the corresponding quarter of the previous fiscal.
