Stocks in Focus on October 14: Wipro, Karnataka Bank, Federal-Mogul to IRCTC; here are the 5 Newsmakers of the Day
The benchmark indices ended a tad above the flat line on Tuesday, October 13, 2020. The S&P BSE Sensex, rose 31.71 points or 0.08% at 40,625.51. The Nifty 50 added 3.55 points or 0.03% at 11,934.50. But certain stocks came in news after the market was closed. These stocks can impact the indices when it reopens on Wednesday, October 14, 2020
The benchmark indices ended a tad above the flat line on Tuesday, October 13, 2020. The S&P BSE Sensex, rose 31.71 points or 0.08% at 40,625.51. The Nifty 50 added 3.55 points or 0.03% at 11,934.50. But certain stocks came in news after the market was closed. These stocks can impact the indices when it reopens on Wednesday, October 14, 2020. List of such five stocks:
Triggers: Certain events, like Results to be announced today and Moratorium hearing, can create positive/negative reactions in the share market when it opens today. Find them in detail:
Results Nifty: Wipro (post-market)
Cash: Tata Elxsi, Goa Carbon, Aditya Birla Money, Titagarh Wagons (Q1FY21), RIIL, Tata Steel BSL.
Loan Moratorium Case: Scheduled to be heard in the Supreme Court today at 10.30 am.
Wipro: The information technology company on Tuesday reported a 3.2% quarter-on-quarter rise in consolidated profit at Rs 2,465.7 crore for the quarter ended September 30, 2020. It had posted a net profit of Rs 2,390 crore in the previous quarter, i.e. June quarter of the same financial year. The revenue from operation grew by 1.2% to Rs 15,096 crore against Rs 14,923 crore posted in the previous quarter. $ revenue of the company grew by 3.6% to $ 199.2 crore against $ 192.2 crore posted in June quarter. EBIT stood at Rs 2,779 crore, up 8% from Rs 2,573.7 crore posted in the previous quarter. The EBIT margin grew to 18.4% in Q2FY21 against 17.2% in Q1FY21. The CC revenue grew (IT services revenue) grew by 2% QoQ. Q3FY21 guidance stands at 1.5%-3.5%. IT Services Operating Margin stood at 19.2% vs 19% QoQ. Besides, the board of the company has approved a share buyback proposal worth Rs 9,500 crore. The buyback price has been fixed at Rs 400 per share. In another update, the company announced that it has signed a definitive agreement to acquire Eximius Design, a leading engineering services company with strong expertise in semiconductor, software and systems design, for $8 crore. Its acquisition will strengthen its market leadership in VLSI and systems design services. The acquisition is likely to be completed by Q3FY21
Karnataka Bank: The private lender Karnataka Bank on Tuesday reported a 12% year-on-year rise in net profit at Rs 119 crore in the quarter ended September 30, 2020. It had posted a net profit of Rs 106 crore in the same quarter last year. Net interest income (NII) grew by 15% YoY to Rs 575 crore in the quarter against Rs 499 crore posted last year in the same quarter. The bank made provision of Rs 322 crore against Rs 262 crore provisioned last year. It made provision of Rs 509 crore in the June quarter of the same year. Gross non-performing assets (NPAs) remained stable at 3.9% of the gross advances at the end of September quarter as against 4.6% posted in the previous quarter, i.e. Q1FY21. Net NPAs declined to 2.2% from % in the previous quarter.
Federal-Mogul Goetze (India) (OFS Update): The OFS for 1.21 crore shares (about 21.83% equity) of Federal-Mogul which opened for retail investors on Tuesday has seen a sluggish response and saw subscription of just 9.45%. It has received bids for just 1,14,734 shares, while maximum bid quantity was 1,21,45,391. The non-retail quota of the OFS, which opened on Monday filled only 4.47%. The floor price for the OFS was fixed at Rs 342 per share. Promoter's stake will be reduced from 96.82% to 74.99% through OFS.
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IRCTC: The Ministry of Railways on Tuesday approved Zonal Railways' proposal for the operation of additional 392 trains (196 pairs) of Festival Special trains. The trains will be operated between October 20, 2020, to November 30, 2020. The fare applicable for these services will be that of the earlier special trains allowed to run by the ministry, said Indian Railways. The timing of these trains will be as per regular trains.
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