Market Highlights: Gift Nifty Rises 58 Points | HCL Tech & IREDA Q1 Performance | Cyient Expands Semiconductor Operations | Leading Stocks to Watch Today

Positive Momentum in Indian Share Markets

The Indian stock markets demonstrated a robust performance, continuing their upward trajectory throughout the session, culminating in a strong close.

Benchmark Indices Surge

On Friday, both the Sensex and Nifty50 indices reached new record highs, driven by a vigorous rally in the information technology (IT) sector. The BSE Sensex rose by 622 points, marking an increase of 0.8%, while the NSE Nifty gained 186 points, also up by 0.8%.

Prominent gainers included major IT firms such as TCS, Wipro, and Infosys. Conversely, Maruti Suzuki, BPCL, and Coal India were among the top losers.

Sectoral Performance

The BSE MidCap index ended flat, while the BSE SmallCap index declined by 0.2%. Sectoral indices displayed mixed trends, with significant buying observed in the power, banking, and IT sectors. Meanwhile, the realty sector faced selling pressure.

Commodity Update

Gold prices on the MCX saw a 0.3% increase, trading at Rs 73,120 during the closing hours of the Indian market on Friday.

Gift Nifty Indicates a Positive Start

As of 7:35 AM today, the Gift Nifty was up by 58 points, trading at 24,603, suggesting a positive opening for Indian share markets.

Buzzing Stocks to Watch

Rashtriya Chemicals and Fertilizers Ltd (RCFL)

RCF’s share price surged by approximately 10% to a record high of Rs 244.9 on the NSE. This spike followed the company’s announcement of a significant development: the Board of Directors approved a purchase order worth Rs 5.2 billion for Topsoe A/s to procure a Basic Engineering Design Package (BEDP) and supply proprietary equipment and catalysts.

Cyient

Shares of Cyient saw a substantial increase of over 7% to Rs 1,905 after announcing a strategic expansion in its Semiconductor business by establishing a fully-owned subsidiary. Cyient, a Hyderabad-based multinational technology company, focuses on engineering, manufacturing, data analytics, networks, and operations.

Key Financial Results

HCL Technologies (HCLTech)

HCLTech reported a 20% rise in its consolidated net profit for Q1FY25, amounting to Rs 42.6 billion, compared to Rs 35.3 billion in the same period last year. The company’s revenue from operations increased by 6.7% to Rs 280.6 billion from Rs 262.9 billion in Q1FY24. Additionally, HCLTech declared an interim dividend of Rs 12 per equity share, with the record date set for 23 July 2024 and payment scheduled for 1 August 2024.

The company maintained its constant currency revenue growth guidance for FY25 at 3-5%, and its EBIT margins guidance at 18-19%. Notably, HCLTech’s headcount decreased by 8,080 employees in Q1 due to divestiture, bringing the total workforce to 2.19 lakh. The attrition rate stood at 12.8% on a last-twelve-month (LTM) basis, down from 16.3% a year ago.

Indian Renewable Energy Development Agency (IREDA)

IREDA reported over 30% growth in its net profit for the June quarter, reaching Rs 3.8 billion compared to Rs 2.9 billion in the corresponding quarter of the previous year. As the largest pure-play green financing NBFC in India, IREDA achieved a milestone by publishing its audited financial results within 12 days, setting a new industry standard.

The company’s net non-performing assets reduced to 0.9% in Q1 FY25 from 1.6% in Q1 FY24. IREDA’s net worth as of 30 June 2024, was Rs 91.1 billion, reflecting a year-on-year growth of 44.8%, while its loan book increased to Rs 632.1 billion from Rs 472.1 billion in the same period last year.

SME IPO Subscriptions

All four SME IPOs that opened recently were fully subscribed on the first day. The IPOs of Three M Paper Boards, Prizor Viztech, Sati Poly Plast, and Aelea Commodities received robust investor interest. Sati Poly Plast’s IPO received the highest subscription at over 10x, followed by Prizor Viztech at 6.3x, Three M Paper Boards at 3.93x, and Aelea Commodities at 2.49x.

In Conclusion, The Indian stock markets continue to exhibit strength, driven by gains in key sectors and positive corporate earnings. Investors remain optimistic about the market’s trajectory, supported by favorable economic indicators and robust financial performances from leading companies. Keep an eye on the buzzing stocks and market movements to stay informed and make informed investment decisions.