Stocks To Watch Ahead Of Interim Budget 2024: Paytm, Jindal Steel & Power, Glenmark, Punjab & Sind Bank And Others

Stocks To Watch Today: The Sensex and Nifty indices are expected to open flat to positive on February 1, with indications from the GIFT Nifty suggesting a solid beginning for the broader index despite a minor setback of 35 points.

BUDGET 2024: Catch all the live action on Budget 2024-25 here

On January 31, both the Sensex and Nifty experienced a one percent surge, driven by widespread buying activities on the eve of the budget and in anticipation of the outcome of the US Federal Reserve meeting.

Closing figures showed that the Sensex gained 612.21 points, or 0.86 percent, reaching 71,752.11, while the Nifty increased by 203.60 points, or 0.95 percent, closing at 21,725.70.

Here’s a slew of stocks that will be in focus on February 1 for various reasons;

• One 97 Communications (Paytm): The Reserve Bank of India has implemented additional measures against Paytm Payments Bank, declaring that, effective from February 29, 2024, customers will be prohibited from making further deposits, engaging in credit transactions, or topping up various accounts such as prepaid instruments, wallets, FASTags, NCMC cards, etc. Exceptions include any interest, cashbacks, or refunds that may be credited at any time.

The termination of the nodal accounts for One97 Communications and Paytm Payments Services is scheduled to occur promptly, with a deadline no later than February 29, 2024. The Reserve Bank of India issued a directive on March 11, 2022, instructing Paytm Payments Bank to cease onboarding new customers immediately.

• Punjab & Sind Bank: The public sector bank recorded a 69.4 percent year-on-year decrease in net profit, amounting to Rs 114.3 crore for the October-December period of FY24. Provisions and contingencies totaled Rs 96.3 crore for the quarter, in contrast to provisions write-back of Rs 207.5 crore. Net interest income witnessed an 8.2 percent year-on-year decline, reaching Rs 739.3 crore, while deposits showed an 8.09 percent growth, and advances rose by 7.5 percent during the same period. There was an improvement in asset quality, with gross NPA decreasing by 53 basis points quarter-on-quarter to 5.7 percent, and net NPA declining by 8 basis points sequentially to 1.80 percent for the quarter.
• Glenmark Pharmaceuticals: Glenmark has collaborated with Pfizer to introduce Abrocitinib in the Indian market. Abrocitinib is prescribed for the management of moderate-to-severe atopic dermatitis.
• Jindal Steel & Power: The firm reported a consolidated profit of Rs 1,928 crore for the quarter ending December in FY24, marking a substantial 272 percent increase compared to the profit of Rs 518 crore in the corresponding period of the previous year. The lower base in Q3 FY23 was attributed to exceptional losses and increased tax costs. Consolidated revenue from operations experienced a 6 percent year-on-year decline, amounting to Rs 11,701.3 crore.
• Mankind Pharma: In the third quarter, revenue increased by 25% to reach Rs 2,606.9 crore, and Ebitda saw a 39% rise, reaching Rs 606.5 crore. The Ebitda margin increased to 23.3% from 20.9% compared to the previous year. Net profit also experienced a 55% growth, reaching Rs 459.8 crore compared to Rs 295.7 crore in the corresponding period last year. The domestic revenue witnessed a 20% increase, reaching Rs 2,400 crore, while export revenue surged by 118% to Rs 207 crore.
• Gujarat Gas: The gas distribution firm has entered into a Memorandum of Understanding (MoU) with Hindustan Petroleum Corporation (HPCL). According to the agreement, HPCL will supply liquid fuels, automotive lubricants, greases, and specialties at Gujarat Gas outlets. In reciprocation, Gujarat Gas plans to establish a Compressed Natural Gas (CNG) mother facility at HPCL outlets.
• Dixon Technologies: The electronic manufacturing services firm posted a remarkable 87 percent year-on-year increase in consolidated net profit, amounting to Rs 97 crore for the October-December quarter of FY24. This growth was fueled by a robust topline, even though the operating margin faced weakness due to elevated input costs. The revenue from operations witnessed a substantial 100 percent surge, reaching Rs 4,818.3 crore compared to the corresponding period in the previous year.
• India Pesticides: Quant Mutual Fund and Quant Active Fund divested 5,76,800 equity shares, equivalent to half a percent of the paid-up equity, in the chemical manufacturing company through an open market transaction. The shares were offloaded at an average price of Rs 376.12 per share. As of December 2023, Quant MF maintained a 1.59 percent stake in the company.