In a fluctuating trading session marked by weekly expiry, markets ultimately closed higher, continuing momentum from Monday’s rebound. Analysts noted that the Nifty index has successfully regained its 20-day exponential moving average (20-DEMA) at around 25,600 points. If the Nifty maintains its position above this critical threshold, it could potentially rise toward the 25,800 to 26,000 range. Conversely, a decline below this level may lead to profit-taking activities.
The ongoing strength in banking stocks, coupled with robust performances from IT sectors, is fostering optimism for traders, encouraging a stock-specific approach alongside vigilant risk management strategies amid the current market volatility. Industry analysts recommend keeping an eye on certain companies as they announce their respective second quarter results today.
Among the companies capturing market attention are BSE, Hindustan Aeronautics Limited (HAL), Asian Paints, Tata Power, and Tata Steel, largely due to diverse news developments and quarterly earnings results. BSE has reported a striking 61% increase in its consolidated net profit for the second quarter, totaling Rs 558 crore, an impressive rise from the prior year’s Rs 347 crore. The operational revenue during this period reached Rs 1,068 crore, showcasing a 44% increase year-over-year.
In corporate news, the Competition Commission of India (CCI) has approved Wilmar International's proposal to acquire a 20% stake in AWL Agri Business from the Adani Group for Rs 7,150 crore, marking a strategic shift as Adani exits the FMCG segment.
Pharmaceutical firms, particularly Cipla, Hetero Labs, and Natco Pharma, have made significant inroads in the Chinese market by winning tenders to supply critical medications, including Dapagliflozin, thus enhancing their international presence.
Furthermore, Tata Power is set to establish the largest solar wafer and ingot manufacturing facility in India, aiming for a capacity of 10 gigawatts, contributing to its comprehensive manufacturing capabilities in the solar energy sector.
Torrent Pharma is also focused on growth, targeting chronic therapy innovations and expanding into promising drug markets. Meanwhile, Zydus Lifesciences has received approval from Chinese health authorities for a medication aimed at treating major depressive disorder.
In a less favorable update, state-owned RVNL reported a nearly 20% drop in its consolidated net profit due to increased operational expenses. Additionally, Bharat Forge's board has approved raising up to Rs 2,000 crore through various financial instruments to support its strategic operations. The markets remain vigilant as multiple companies gear up to release their quarterly results today.