Best Defence Stocks in February 2025: Hindustan Aeronautics Ltd, NIBE and More- Based on 5-Year CAGR

According to the Global Power Index, India ranks fourth in military strength with a firepower score of 0.0979, where 0.0 is the perfect score. The Indian government aims for a defence production target of US$ 25 billion by 2025, including US$ 5 billion from exports. India is one of the largest defence spenders globally, with a budget of US$ 74.8 billion (Rs. 6.21 lakh crore), which makes up 13.04% of the total budget. This is a 4.72% increase from the 2023-24 budget and an 18.35% rise from 2022-23.

In 2022, India’s military spending of US$ 81.4 billion was the fourth highest worldwide, reflecting a 6% growth from the previous year.

For FY 2023-24, India’s defence production value was Rs. 1,27,265 crore (US$ 15.37 billion), with public sector undertakings (PSUs) contributing Rs. 74,434 crore (US$ 8.99 billion).

Here’s a look at the top defence stocks in India for February 2025, focusing on companies with the best 5-year CAGR performance.

Best Defence Stocks in February 2025- Based on 5-Year CAGR

Name Market Cap (₹ Crore) Close Price (₹) PE Ratio 1Y Return (%) ↓5Y CAGR (%)
NIBE Ltd 2,136.77 1,494.60 115.38 77.63 169.98
Taneja Aerospace and Aviation Ltd 1,013.14 397.3 91.03 -2.55 68.56
Sika Interplant Systems Ltd 995.42 2,347.60 51.42 48.02 63.72
High Energy Batteries (India) Ltd 510.63 569.65 29.76 5.5 60.28
Hindustan Aeronautics Ltd 2,61,052.98 3,903.45 34.25 35.04 55.55

Note: The best defence stocks list here is as of January 23, 2025. The stocks are sorted based on the 5Y CAGR. 

Overview of the Defence Stocks

1. Nibe Ltd

Established in 2005, Nibe Ltd specialises in manufacturing essential components for the defence sector, electric vehicles (EVs), and software development. The company focuses on fabricating and machining components for the defence industry. It also assembles parts for EVs and offers innovative products backed by research in its EV division and the BVM R&D Foundation.

For the quarter ended September 2024, Nibe Ltd reported a revenue of ₹127.22 crore and a net profit of ₹9.40 crore. This marks an increase from the June 2024 quarter, where revenue stood at ₹109.28 crore, and net profit was ₹7.86 crore. 

Key metrics:

  • Earning per Share (EPS): ₹24.2
  • Return On Equity (ROE): 16.02%

2. Taneja Aerospace & Aviation Ltd

Taneja Aerospace & Aviation Ltd, established in 1994, is part of the Pune-based Indian Seamless Group. The company is involved in manufacturing and selling parts and components for the aviation industry. It also provides services related to airfields, maintenance, repair, and operations (MRO), along with other related services.

For the quarter ended September 2024, the company reported a revenue of ₹10.12 crore and a net profit of ₹4.09 crore. This reflects an improvement from the June 2024 quarter, where revenue was ₹9.14 crore and net profit stood at ₹3.47 crore. 

Key metrics:

  • EPS: ₹4.93
  • ROE: 9.12%

3. Sika Interplant Systems Ltd

Sika Interplant Systems Ltd is an engineering-focused company that serves the Aerospace, Defence, Space, and Automotive sectors in India. Its key business areas include engineered projects and systems, interconnect solutions, electrical module integration, maintenance, repair, and overhaul (MRO) services, and value-added distribution. The company is also a licensed defence producer and a qualified Indian Offset Partner approved by the Government of India.

For September 2024, Sika Interplant Systems Ltd reported a revenue of ₹33.24 crore and a net profit of ₹6.03 crore. In comparison, the June 2024 quarter recorded a revenue of ₹30.42 crore and a net profit of ₹5.30 crore. 

Key metrics:

  • EPS: ₹52.32
  • ROE: 20.17%

4. High Energy Batteries (India) Ltd

High Energy Batteries (India) Ltd, founded in 1979, is a part of the Esvin group. The company manufactures and exports advanced batteries for the Army, Navy, Airforce, and Launch Vehicles. It also produces commercial batteries for automotive and standby VRLA applications. 

In the December 2024 quarter, the company reported a revenue of ₹12.66 crore and a net profit of ₹0.67 crore. This compares to a revenue of ₹14.95 crore and a net profit of ₹1.80 crore in the September 2024 quarter.

Key metrics:

  • EPS: ₹11.21
  • ROE: 11.19%

5. Hindustan Aeronautics

Hindustan Aeronautics is involved in manufacturing aircraft and helicopters, as well as providing repair and maintenance services. As of FY24, its order book was ₹94,000 Cr, up from ₹82,000 Cr in FY22, with more major orders expected in FY25.

In the quarter ended September 2024, the company reported a revenue of ₹5,976.55 crore and a net profit of ₹1,490.36 crore. In comparison, for the quarter ending June 2024, the revenue was ₹4,347.57 crore and the net profit was ₹1,435.59 crore. 

Key metrics:

  • EPS: ₹126.67
  • ROE: 29.17%

Best Defence Stocks in February 2025- Based on Market Cap

Name ↓Market Cap (₹ Crore) Close Price (₹) PE Ratio 1Y Return (%)
Hindustan Aeronautics Ltd 2,61,052.98 3,903.45 34.25 35.04
Bharat Dynamics Ltd 44,614.32 1,217.10 72.81 45.79
Data Patterns (India) Ltd 12,316.19 2,199.95 67.79 23.43
Unimech Aerospace and Manufacturing Ltd 6,405.42 1,259.50 110.17 -8.48
Paras Defence and Space Technologies Ltd 4,160.32 1,032.50 129.77 41.05

Note: The best defence stocks list here is as of January 23, 2025. The stocks are sorted based on the market cap. 

 

Best Defence Stocks in February 2025- Based on Net Profit Margin

Name Market Cap (₹ Crore) Close Price (₹) PE Ratio 1Y Return (%) ↓Net Profit Margin (%)
Taneja Aerospace and Aviation Ltd 1,013.14 397.3 91.03 -2.55 36.07
Data Patterns (India) Ltd 12,316.19 2,199.95 67.79 23.43 32.11
Unimech Aerospace and Manufacturing Ltd 6,405.42 1,259.50 110.17 -8.48 27.19
Hindustan Aeronautics Ltd 2,61,052.98 3,903.45 34.25 35.04 23.59
Bharat Dynamics Ltd 44,614.32 1,217.10 72.81 45.79 22.43

Note: The best defence stocks list here is as of January 23, 2025. The stocks are sorted based on the net profit margin. 

 

Important Points to Know Before Investing in Defence Stocks

  • Advancements in Technology

India’s defence sector is evolving quickly with new technologies. Investors should focus on companies that invest in research and development (R&D) to keep up with the latest trends.

  • Geopolitical Risks

Defence stocks can be affected by global events like border issues, conflicts, and changing government policies. These factors may impact the sector’s stability and profitability.

  • Role of Government Policies

The government plays a significant role in shaping the defence sector. Investors should consider policies related to procurement, licensing, and foreign direct investment (FDI) when evaluating defence stocks.

  • Defence Budget

India’s growing defence budget is a positive sign for the sector. Increased spending on equipment, technology, and exports can boost growth. Investors should focus on companies aligned with these priorities.

Tips for Investing in Defence Stocks

  • Understand the Industry: Study government policies, defence budgets, and technological advancements.
  • Check Financials: Invest in financially stable companies with strong growth and consistent performance over five years.
  • Be Aware of Geopolitical Issues: Evaluate how global tensions and defence trends may affect the sector.
  • Seek Professional Advice: Consult a financial expert to align investments with your goals and manage risks.

Risks to Keep in Mind When Investing in Defence Stocks

  • Geopolitical Uncertainty: Stock prices can be volatile due to border tensions or international conflicts.
  • Policy Changes: Shifts in government priorities or budgets may impact growth opportunities.
  • Regulations: Stricter rules or new compliance requirements can affect operations and profits.
  • Reliance on Large Contracts: Defence companies often depend on a few big contracts, which can pose risks if there are delays or cancellations.

Future of India’s Defence Sector

  • Government Support: Strong backing from the government, with plans to spend ₹6 lakh crore, will drive growth.
  • Technological Growth: Investments in advanced tech like AI, drones, and smart weaponry will benefit the sector.
  • FDI and Global Partnerships: Increased foreign investment and collaborations with global companies are improving competitiveness.
  • Export Opportunities: India is expanding its role in the global defence market, offering long-term growth for domestic manufacturers.

Conclusion

When investing in defence stocks, look for companies with solid financials, growth potential, and a balanced risk profile. Understand the sector’s complexities and consult a financial advisor to make informed decisions in this dynamic industry.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Paytm Shares Drop Over 8% Amid ED Investigation

Paytm share price took a significant hit on Friday, falling by more than 8% after a report revealed that the company is under investigation by the Enforcement Directorate (ED) for alleged involvement in a cryptocurrency scam. Paytm’s shares dropped as much as 8.84%, reaching ₹773.90 on the BSE.

Details of the Investigation

One 97 Communications, Paytm’s parent company, is one of eight payment gateways being scrutinised by the ED. The investigation focuses on their suspected involvement in a crypto scam led by 10 Chinese nationals using the HPZ Token app. The accused are alleged to have gathered over ₹2,200 crore from individuals in 20 states by promoting cryptocurrency mining investments.

The ED has frozen around ₹500 crore in virtual accounts, and the company is looking into whether these payment gateways failed to report suspicious transactions as required by financial regulations. Among the frozen amounts, Paytm’s share was ₹2.8 crore, while PayU, Easebuzz, Razorpay, and CashFree held larger amounts.

Paytm’s Stock Performance

Despite the recent drop, Paytm shares have shown strong growth over the past 6 months, gaining 81%. In the last year, the stock price increased by 10%, and it has gained over 52% in 2 years. However, the stock has declined by 16% in the last month.

Other Developments in the Case

In a related case, a court in Nagaland declared Bhupesh Arora, a Delhi resident, a fugitive economic offender after he failed to appear for court hearings. Arora, who fled to Dubai in 2022, is linked to the cryptocurrency scam, and the ED has filed charges against 298 individuals involved.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Best Pharma Stocks in India in February 2025: Laurus Labs, Glenmark Pharmaceuticals and More- Based on 5-Year CAGR

India is the largest supplier of generic medicines globally and is widely recognised for its affordable vaccines and generic drugs. The Indian pharmaceutical industry ranks third in the world by production volume and has seen constant growth, with an average annual growth rate of 9.43% over the past nine years. This article explores some of the top pharmaceutical stocks in India for February 2025, focusing on their 5-year CAGR.

Overview of India’s Pharmaceutical Industry

India plays an important role in the global pharmaceutical market. It provides over 50% of the world’s vaccines, 40% of generic medicines used in the US, and 25% of those in the UK. The domestic industry is vast, with around 3,000 pharmaceutical companies and about 10,500 manufacturing units.

The country is also a major supplier of antiretroviral drugs, which are used worldwide to treat AIDS. In fact, Indian companies supply more than 80% of these medicines globally, earning India the nickname “pharmacy of the world” for its high-quality, affordable products.

The Indian pharmaceutical industry is a significant contributor to the economy, accounting for about 1.72% of the GDP. Globally, it ranks third in production volume and 14th in value.

According to a report by EY and FICCI, the Indian pharmaceutical market is expected to grow to $130 billion by 2030. Meanwhile, the global pharmaceutical market was projected to exceed $1 trillion in 2023.

Best Pharma Sector Stock List In India In February 2025 – 5-Year CAGR Basis

Name Market Cap (₹ in crore) Close Price (₹) PE Ratio 1Y Return (%) ↓5Y CAGR (%)
Laurus Labs Ltd 31,554.36 585.15 196.54 46.67 47.79
Glenmark Pharmaceuticals Ltd 42,637.22 1,510.95 -28.39 76.07 33.91
Ajanta Pharma Ltd 36,173.92 2,895.95 44.32 31.82 29.72
IPCA Laboratories Ltd 40,175.33 1,583.55 73.4 46.35 20.89
Aurobindo Pharma Ltd 72,298.19 1,244.80 22.79 9.81 20.5

Note: The list of top pharma stocks in India listed in the stock market here are sorted as per the 5-yr CAGR as of January 24, 2025. 

Overview of Best Pharma Company Stocks in India in February 2025

1. Laurus Labs

Laurus Labs, established in 2005, is a pharmaceutical and biotechnology company known for its research-driven approach. It holds a leading global position in producing specific Active Pharmaceutical Ingredients (APIs) for anti-retroviral, oncology, cardiovascular, and gastroenterology treatments, including high-potency APIs.

Laurus Labs reported a revenue of ₹1,184.85 crore for September 2024, an increase from ₹1,116.93 crore in June 2024, contributing to a total revenue of ₹4,812.39 crore for FY 2023-24. The net profit for September 2024 stood at ₹42.44 crore, up from ₹28.78 crore in June 2024, with a cumulative net profit of ₹223.70 crore for the fiscal year.

Key metrics: 

  • Earning per share (EPS): ₹4.36
  • Return on equity (ROE): 5.51%

2. Glenmark Pharmaceuticals Ltd

Glenmark Pharmaceuticals Ltd is a research-focused global pharmaceutical company that operates in generics, speciality medicines, and over-the-counter (OTC) products. It has a presence in more than 80 countries.

Glenmark Pharmaceuticals reported revenue of ₹2,636.10 crore in September 2024, up from ₹2,329.54 crore in June 2024, with a total of ₹7,891.12 crore for FY23-24. The net profit for September 2024 stood at ₹595.06 crore, compared to ₹453.73 crore in June 2024 and ₹5,167.29 crore for the fiscal year 2023-24.

Key metrics: 

  • EPS: ₹199.94
  • ROE: 23.56%

3. Ajanta Pharma

Ajanta Pharma is engaged in the development, manufacturing, and marketing of high-quality speciality pharmaceutical finished dosages. In India, the company generates 31% of its FY23 revenue from its branded generic business. It focuses on niche and first-to-market drugs across 4 key therapeutic areas: cardiology, ophthalmology, dermatology, and pain management. 

In September 2024, Ajanta Pharma reported a revenue of ₹1,128.91 crore and a net profit of ₹234.98 crore. In June 2024, the revenue was ₹1,077.27 crore, and the net profit stood at ₹236.03 crore. For the fiscal year 2023-24, the company achieved a revenue of ₹3,971.12 crore and a net profit of ₹807.24 crore.

Key metrics: 

  • EPS: ₹68.36
  • ROE: 24.19%

4. Ipca Laboratories

Ipca Laboratories is a fully integrated pharmaceutical company that manufactures more than 350 formulations and 80 active pharmaceutical ingredients (APIs) across various therapeutic segments. With its diverse product portfolio, the company ranks among the top 20 pharmaceutical companies in India.

In September 2024, Ipca Laboratories reported a revenue of ₹1,810.94 crore and a net profit of ₹244.12 crore. This was an increase from June 2024, when the company reported a revenue of ₹1,565.86 crore and a net profit of ₹204.13 crore. For the fiscal year 2023-24, the company achieved a total revenue of ₹6,166.46 crore and a net profit of ₹530.41 crore.

Key metrics: 

  • EPS: ₹25.62
  • ROE: 9.65%

5. Aurobindo Pharma

Aurobindo Pharma is one of the leading pharmaceutical companies in India and holds the position of the second-largest in the country. It is also the largest generics company in the United States by prescription volume. Additionally, Aurobindo Pharma ranks among the top 10 generic companies in 7 out of 11 countries in Europe. By FY22 revenues, it is counted among the top 5 listed pharmaceutical companies in India.

For the period ending September 2024, Aurobindo Pharma reported a revenue of ₹2,824.59 crore, a net profit of ₹537.53 crore, and for the full fiscal year 2023-24, the company achieved a total revenue of ₹10,645.64 crore and a net profit of ₹1,954.14 crore.

Key metrics: 

  • EPS: ₹35.62
  • ROE: 10.53%

Best Pharma Sector Stock List In India In February 2025 – Market Cap Basis

Name ↓Market Cap (₹ in crore) Close Price (₹) PE Ratio 1Y Return (%) 5Y CAGR (%)
Sun Pharmaceutical Industries Ltd 4,39,942.06 1,833.60 45.94 33.03 32.45
Cipla Ltd 1,17,196.91 1,451.15 28.44 2.99 25.55
Torrent Pharmaceuticals Ltd 1,10,460.13 3,263.75 66.69 30.9 26.43
Mankind Pharma Ltd 1,08,713.44 2,635.05 56.83 22.97
Dr Reddy’s Laboratories Ltd 1,07,422.62 1,289.40 19.26 13.62 16.24

Note: The list of top pharma stocks in India listed in the stock market here are sorted as per the market cap as of January 24, 2025. 

 

Best Pharma Sector Stock List In India In February 2025 – Net Profit Margin Basis

Name Market Cap (₹ in crore) Close Price (₹) PE Ratio 5Y CAGR (%) ↓Net Profit Margin (%)
Abbott India Ltd 59,178.88 27,849.80 49.27 16.99 19.62
Ajanta Pharma Ltd 36,173.92 2,895.95 44.32 29.72 19.01
GlaxoSmithKline Pharmaceuticals Ltd 35,365.20 2,087.60 59.95 5.07 16.41
Alkem Laboratories Ltd 61,976.52 5,183.50 34.51 17.35 13.84
Aurobindo Pharma Ltd 72,298.19 1,244.80 22.79 20.5 10.73

Note: The list of top pharma stocks in India listed in the stock market here are sorted as per the net profit margin as of January 24, 2025. 

Things to Consider Before Investing in Indian Pharma Stocks

  • Infrastructure

The growth of healthcare facilities in India significantly influences the pharmaceutical industry. As healthcare services expand and the demand for medical products rises, pharmaceutical companies have more opportunities to grow.

  • Demand

The demand for pharmaceutical products depends on factors like an ageing population, higher healthcare spending, and the spread of diseases. Evaluating both current and future demand is essential to understanding the growth potential of pharma stocks.

  • Competition and Mergers

The pharmaceutical sector is highly competitive, with companies often pursuing mergers and acquisitions to maintain their edge. It’s important to assess a company’s market position, growth potential, and recent stock performance to make informed decisions.

  • Research and Development (R&D)

Pharma companies invest a lot in R&D to develop new drugs and treatments. Checking a company’s R&D spending and pipeline of upcoming products can help determine whether they are working on promising innovations.

Conclusion

The pharmaceutical sector is a key part of India’s foreign trade and offers substantial investment opportunities. However, potential risks include regulatory changes, particularly those affecting pricing and exports, which can impact revenues. Many Indian pharma companies rely on the US market, where regulatory scrutiny and FDA inspections can influence stock prices. Additionally, since the industry depends heavily on exports, currency fluctuations can pose risks. Carefully evaluating these factors is crucial before investing in pharma stocks.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

HPCL Share Price Jumps 5% After Strong Q3 FY25 Results

Hindustan Petroleum Corporation (HPCL) shares rose by 4.9% to ₹380 on Friday, hitting an intraday high. The stock’s increase followed the announcement of a significant rise in the company’s quarterly net profit.

Profit Surge and Revenue Growth

HPCL’s net profit surged 257% year-on-year (Y-o-Y) to ₹2,544 crore in Q3, compared to ₹712.84 crore last year. Sequentially, profits increased by 16.83 times. The company’s revenue for the quarter stood at ₹1,18,513.22 crore, a 0.4% rise Y-o-Y and a 10% increase compared to the previous quarter.

Refinery Performance

HPCL’s refineries performed exceptionally well, recording their highest-ever crude throughput of 18.53 million metric tons (MMT) from April to December 2024, a 12.4% rise compared to the previous year. In Q3FY25, throughput increased by 21.2% to 6.47 MMT.

Record Sales Volume

The company also achieved a record sales volume of 37.12 MMT (including exports) for the 9 months ending December 31, 2024, showing a 7.6% growth from the previous year.

HPCL’s Green Initiatives and Low-Carbon Transition

In 3QFY25, HPCL’s Visakh Refinery launched an advanced Wet Air Oxidation (WAO) unit, a low-pressure technology for treating spent caustic streams. This new unit not only provides environmental benefits but also helps reduce operational costs.

HPCL Renewable & Green Energy Ltd., a subsidiary of HPCL, signed an MoU with the Government of Rajasthan to set up solar and wind hybrid projects. The company also partnered with the Government of Bihar for a ₹ 500 crore investment to establish 7 CBG plants in the state.

In 3QFY25, HPCL commissioned CNG facilities at 50 retail outlets, bringing the total to 1,851 outlets. Additionally, EV charging stations were added at 1,062 retail outlets, increasing the total to 5,104. Solar panels were installed at 467 retail outlets, bringing the total number of outlets with solar power to 21,334, covering 93% of HPCL’s retail network with renewable energy.

Oil Marketing Companies Benefit from Crude Oil Drop

Oil marketing companies (OMCs) like HPCL, Bharat Petroleum Corporation (BPCL), and Indian Oil Corporation (IOC) saw gains of up to 5% as crude oil prices fell. This drop followed US President Donald Trump’s call for Saudi Arabia and Opec to reduce oil prices during his address at the World Economic Forum. Brent crude futures were last down by 0.09% at $78.22 per barrel.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

RBI to Review Impact of Stricter LCR Norms on Banks’ Liquidity and Lending

The Reserve Bank of India (RBI) has asked commercial banks to evaluate how new changes to the Liquidity Coverage Ratio (LCR) norms could affect their operations. This comes after concerns from banks about the stricter regulations, according to reports.

Draft Norms Under Review

The RBI is reviewing draft norms that are expected to come into effect on April 1, following approval by Governor Sanjay Malhotra. The new rules will require banks to hold more high-quality liquid assets (HQLAs), which could reduce their ability to lend. HQLAs help banks manage sudden liquidity needs during disruptions.

Reason Behind the Proposed Changes

The new LCR regulations aim to address risks like large online withdrawals inspired by events such as the collapse of Silicon Valley Bank in 2023. Banks have raised concerns with the finance ministry that these stricter norms could impact their lending capacity.

Impact on System Liquidity

The RBI has asked large commercial banks to assess the impact of the new LCR norms compared to the current system. This exercise is aimed at understanding how the proposed changes could affect overall liquidity in the banking system.

Banks May Need Significant Investment in Government Securities

If the new LCR norms are enforced without changes, banks might have to purchase ₹4-6 trillion in government securities to meet the requirements. These securities are used as HQLAs to manage liquidity in case of a crisis.

Currently, only government securities qualify as HQLAs, and the RBI has consistently rejected proposals to include the Cash Reserve Ratio (CRR) as part of these assets. This means banks will have to divert ₹4-6 trillion into government bonds, which could limit their ability to lend to businesses and individuals.

Proposed Changes to the LCR

The RBI’s draft guidelines, released in July, suggest increasing the “run-off” factor for retail deposits accessed via internet and mobile banking (IMB). The run-off factor for stable IMB deposits would rise from 5% to 10% and for less stable IMB deposits, from 10% to 15%.

Industry Concerns

Banks have requested the finance ministry to relax or delay these guidelines, fearing negative effects on credit growth. Economists have pointed out that current economic conditions, like low growth, tight liquidity, and currency depreciation, are different from when the draft rules were first proposed.

A senior economist warned that if these norms are implemented as planned, they could severely impact the banking system. More commentary on the matter is expected during the RBI’s monetary policy announcement on February 7.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Stocks to Watch on January 24, 2025: ICICI Bank, Dr Reddy’s, HPCL, Adani Green, NHPC in Focus

Indian markets are likely to get impacted, as indicated by GIFT Nifty futures trading 45 points higher than Nifty50 futures at 23,308.

On Thursday, the markets ended in the green, with the BSE Sensex gaining 115 points (0.15%) to close at 76,520.38, while the Nifty50 advanced by 50 points (0.22%) to settle at 23,205.35.

Here are the key stocks to keep an eye on today.

  • Earnings Reports Today

Several companies, including ICICI Bank, NTPC, IDFC First Bank, Yes Bank, Balkrishna Industries, Gujarat Ambuja Exports, Go Fashion, JK Cement, Macrotech Developers, NTPC Green Energy, SBFC Finance, and Transport Corporation of India, are set to announce their quarterly earnings today.

  • Performance of Dr Reddy’s Laboratories

Dr Reddy’s Laboratories reported a 2.5% increase in Q3 net profit to ₹1,413.3 crore compared to ₹1,378.9 crore in the same period last year. Revenue grew by 15.9% to ₹8,358.6 crore, and EBITDA rose by 8.9% to ₹2,298.2 crore. However, the EBITDA margin declined to 27.5% from 29.3%.

  • UltraTech Cement’s Results

India’s largest cement maker, UltraTech Cement, recorded a 17.3% decline in Q3 net profit to ₹1,470 crore due to weak price realizations despite higher volumes. Revenue saw a modest growth of 2.7% to ₹17,193 crore year-on-year.

  • Indus Towers Sees a Strong Quarter

Indus Towers posted a significant increase in Q3 net profit, rising to ₹4,000 crore from ₹1,540 crore last year. Revenue grew to ₹7,647 crore, while the EBITDA margin improved to 92.71% from 50.31%.

  • HPCL Reports Robust Performance

Hindustan Petroleum Corporation Limited (HPCL) reported a sharp rise in Q3 standalone net profit to ₹3,023 crore, up from ₹630 crore in the previous quarter. Revenue climbed to ₹1,18,000 crore, and the EBITDA margin improved to 5.04% from 2.52%.

  • Adani Green Energy’s Growth

Adani Green Energy’s Q3 net profit increased to ₹492 crore from ₹260 crore, while revenue stood at ₹2,365 crore. However, the EBITDA margin declined to 67.7% from 72.09%.

  • NHPC Forms Green Energy Venture

NHPC formed a joint venture with Andhra Pradesh Power Generation Corporation (APGENCO) for green energy projects, with equal equity participation.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

IREDA Approves ₹5,000 Crore Fundraising via QIP

On January 23, 2025, Indian Renewable Energy Development Agency (IREDA) announced that it will raise ₹5,000 crore through a Qualified Institutional Placement (QIP). The funds will be raised in 1 or more tranches. The company’s board approved this plan during its meeting.

Conditions for the Fundraise

IREDA has specified that the President of India’s shareholding, through the Ministry of New and Renewable Energy, must not decrease by more than 7% of the company’s post-issue paid-up equity share capital.

What is QIP?

A QIP allows listed companies to raise funds by issuing other securities or equity shares to QIBs (qualified institutional buyers), such as mutual funds, foreign investors, and banks. Retail investors cannot participate in a QIP.

Previous Fundraising Efforts

In September 2024, IREDA was approved to raise ₹4,500 crore through another QIP. DIPAM (The Department of Investment and Public Asset Management) approved this fresh equity issue.

Strong Performance in Q3FY25

In Q3FY25, IREDA reported a 27% increase in net profit, reaching ₹425.38 crore. Its revenue grew by 35.6%, and net interest income rose 39% year-on-year.

IREDA stock price has gained nearly 35% over the past year. Although it’s down 35% from its 52-week high of ₹310, it has risen 66% from its 52-week low of ₹121.

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Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Biocon Share Price Gains 3% on Fundraising Announcement

Biocon’s share price rose by 2.61% to ₹398 per share on January 23, 2025, following the company’s announcement that its board will consider raising funds through commercial papers (CPs) or other private placement methods. The board meeting is scheduled for January 27, 2025.

Fundraising Plans 

The company stated that it is exploring the issuance of commercial papers or other modes of raising funds. This news positively impacted investor sentiment, leading to the stock’s increase during the day.

Credit Ratings 

India Ratings and Research (Ind-Ra) has affirmed Biocon’s credit ratings. The rating for Biocon’s non-convertible debentures (NCDs) remains at ‘IND AA+/Stable,’ while the proposed commercial papers have been rated ‘IND A1+.’ The rating agency also reaffirmed the ‘IND AA+/Stable’ rating for the company’s term loan under external commercial borrowings (ECBs).

Company Overview 

Biocon has a strong position in the global biosimilar market, particularly in the US and EU. The company recently completed the acquisition of biosimilars from Viatris Inc., enhancing its market share. Despite some debt reduction delays, the company expects significant product launches to improve credit metrics from FY27 onwards.

Stock Performance 

Biocon’s stock has underperformed the market, falling 10% in the last 6 months and 24% in the last year. However, the BSE Sensex dropped 4.9% in the last six months but rose 7.2% over the past year.

As of 1:24 PM, Biocon share price dropped by 2.28% to ₹396.70, while the BSE Sensex was up 0.31% at 76,642.01.

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Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Jupiter Wagons Shares Rise on Fundraising Plans

Jupiter Wagons share price saw a rise of 2.61% on January 23, 2025, reaching an intraday high of ₹485.75. By 12:31 PM, the stock was trading 1.50% higher at ₹480.45, while the BSE Sensex was up 0.38% at 76,696.88.

Fundraising Announcement

The company announced a board meeting scheduled for January 29, 2025, to discuss plans for raising funds through various methods. These may include issuing equity shares, convertible preference shares, bonds, debentures, warrants, or other equity-linked instruments. Potential fundraising modes include private placements, qualified institutional placements (QIPs), public issues, rights issues, or preferential allotments, subject to necessary approvals.

During the same meeting, the Board will also review and approve the company’s Q3 FY25 financial results.

About Jupiter Wagons

Jupiter Wagons provides a wide range of mobility solutions, including freight wagons, locomotives, passenger coaches (LHB), metro coaches, braking systems, and commercial vehicles. The company also manufactures ISO marine containers and components such as couplers, draft gears, bogies, and CMS crossings.

Manufacturing Facilities and Partnerships

With manufacturing facilities in Kolkata, Jamshedpur, Indore, and Jabalpur, the company has fully integrated foundry operations. Jupiter Wagons has strategic partnerships with leading global firms, including Tatravagonka (Slovakia), DAKO-CZ (Czech Republic), and Frenoplast S.A (Poland), among others.

This announcement has generated investor interest, contributing to the stock’s upward momentum.

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Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

 

Laxmi Organic Shares Jump 5% on Strong Q3 FY25 Results

Laxmi Organic shares surged by 5.45% on January 23, 2025, hitting an intraday high of ₹240.75. The rise came after the company announced robust financial results for Q3 FY25.
The stock was trading 4.49% higher at ₹238.55 as of 9:47 AM, outperforming the BSE Sensex, which was flat at 76,444.

Q3 FY25 Financial Highlights

Laxmi Organic reported a 13.3% year-on-year increase in revenue, which stood at ₹786.3 crore, compared to ₹694.3 crore in the same quarter last year. The company’s operating profit (EBITDA) soared by 59.1% year-on-year to ₹74.8 crore, up from ₹47 crore in Q3 FY24. Its EBITDA margin also improved significantly, rising to 9.5% from 6.8% in the previous year.

About Laxmi Organic

Laxmi Organic Industries is a prominent player in the chemical manufacturing sector, focusing on speciality chemicals and intermediates. The company’s product portfolio includes acetaldehyde, acetic acid, ethyl acetate, and a range of other intermediates used across various industries.

Industries and Expertise

The company serves diverse sectors such as agrochemicals, pharmaceuticals, paints, coatings, and textiles. Known for its expertise in high-performance chemicals, Laxmi Organic emphasises sustainable growth and innovation while expanding its global market reach.

Listed on both the BSE and NSE, Laxmi Organic is recognised for its commitment to deliver quality products and maintaining a strong presence in the fine chemicals and intermediates market.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.