Stocks To Watch: Canara Bank, Tata Steel, Tech Mahindra, IOCL, Bajaj Auto & More

On Thursday, 25th January hot stocks like TVS Motor Company, DCB Bank, Dalmia Bharat, DLF, and Titagarh Rail Systems are among the top stocks likely to be in focus of the market watchers.

Canara Bank

The bank claimed that its net profit for December 2023 was Rs 3,656 Cr, compared to Rs 2882 Cr for the same month in 2022. Its net interest income climbed by 9.50% to Rs 9,417 Cr, while its net interest margin climbed by 9 basis points to 3.02%. At Rs 9,50,430 Cr, gross advances jumped by 11.69%. The bank said that as of December 2023, its domestic deposit had grown to Rs 11,66,848 Cr, or 8.07% (y.o.y).

The ratio of gross non-performing assets (GNPA) was 5.89% in December 2022, 4.76% in September 2023, and 4.39% in December 2023. The percentage of net non-performing assets (NNPA) was 1.32% in December 2023 compared to 1.41% in September 2023 and 1.96% in December 2022. From 86.32% in December 2022 to 89.01% in December 2023, the Provision Coverage Ratio (PCR) climbed.

Tata Steel

On January 24, Tata Steel said that its third-quarter FY24 consolidated net profit was Rs 522 crore compared to the net loss of Rs 2,501.95 crore in the same quarter the year before. The company's second-quarter net loss for the current fiscal year was Rs 6,511.16 crore. Year-on-year (YoY) comparison shows that revenue from operations fell by 3% to Rs 55,312 crore compared to the Rs 57,084 crore reported in the same quarter of the prior year. EBITDA margin reached 11.3% in Q3FY24 compared to 7.1% in Q3FY23.

Tech Mahindra

On Wednesday, Tech Mahindra revealed a drop of 61 per cent in its third-quarter net profit for the fiscal year 2023-2024. According to the firm, it made Rs 510.40 crore in profit as opposed to Rs 1,297 crore in the same time in 2022. Revenue for the IT behemoth was Rs 13,101 crore, up 1.8% on a QoQ basis and down 4.6% on an annual basis. Tech Mahindra posted earnings per share (EPS) of Rs 5.8, while EBITDA came in at Rs 1,146 crore, up 6.9% on a QoQ basis and down 46.5% on an annual basis.

Indian Oil Corporation Ltd

On January 24, Indian Oil Corporation Limited (IOCL) announced a standalone net profit for the October-December 2023-24 period of Rs 8,063.39 crore, which is higher than the profit for the same period a year earlier of Rs 448.01 crore. IOC's revenue from operations from October to December was slightly less than the previous year's amount of Rs 2.28 lakh crore, coming in at Rs 2.23 lakh crore. Earnings before interest and taxes, or EBIT, climbed to Rs 12,100 crore in the third quarter from Rs 1,971 crore in the corresponding period of the previous year.

Bajaj Auto

Bajaj Auto revealed a 37% YoY rise in net profit, or Rs 2,042 crore, in its quarterly results. Bajaj Auto's revenue from operations increased by 26% to Rs 12,165.33 crore in the third quarter. According to the company's documents, Bajaj Auto reported a net profit of Rs 1,491 and revenue of Rs 9.315 crore for the same period last year. Bajaj Auto's EBITDA climbed by 36.8% to Rs 2,430 crore in the third quarter of the fiscal year ending in March 2024.

Titagarh Rail Systems

Titagarh Rail Systems Limited of Kolkata and Amber Group of Delhi-NCR established an important strategic partnership in which they decided to enter the railway component and subsystem market through a joint venture company/SPV.

In accordance with this agreement, TRSL and the Amber Group will invest up to Rs 120 crores apiece through their wholly owned subsidiaries, Sidwal Refrigeration Industries Pvt Limited, to gain equal control over the SPV that will be used to establish the new railway component business and to raise new equity in Firema, Italy. In addition to making new equity investments into Titagarh Firema SpA, an associate of the Titagarh Group, this SPV will establish a new facility in India to manufacture critical railway components and subsystems used in the manufacture of railway and metro coaches.

New investments will also be made by the Italian government's investment arm, Invitalia, for which an in principle nod has already been obtained. In accordance with the terms of the agreement, Firema will provide the JVC-SPV, Sidwal, and Titagarh Rail preferred supplier status and right of first refusal (ROFR) for all of their products.

DCB Bank

On Wednesday, January 24, DCB Bank reported that its net profit for the third quarter of FY24 jumped by 11.2% to Rs 126.6 crore from Rs 113.9 crore during the same time the previous year. In Q3FY24, the net interest income (NII) was Rs 474 crore, up from Rs 446 crore during the same time in the previous fiscal year. The net interest income (NII) of the bank increased by 6.3%. Compared to 3.36% in the prior quarter, the gross non-performing asset (NPA) ratio was 3.43% this quarter. The net NPA ratio for Q3FY24 was 1.22%, compared to the previous quarter's 1.28%. As of December 31, 2023, the capital adequacy ratio (CAR) was 15.72%.

DLF

On January 24, DLF Limited revealed a consolidated net profit for the third quarter of the current fiscal year of Rs 649 crore, a 26% YoY growth. According to a regulatory filing, the company's consolidated sales increased from Rs 1559.66 crore in the same time last year to Rs 1644 crore in October-December of 2023-24. EBITDA stood at Rs 633 crore in Q3 which was at Rs 591 crore in Q2FY24.

TVS Motor Company

According to financial data released by the two-wheeler company on January 24, TVS Motor had a standalone net profit of Rs 593 crore for the quarter ending in December 2023, which is 68 per cent more than Rs 352 crore in the same time last year. The company's revenue from operations for the third quarter of FY24 was Rs 8,245 crore, which is 26% more than the Rs 6,545 crore recorded for the same time in the previous fiscal year. To reach Rs 924 crore, earnings before interest, taxes, depreciation, and amortisation (EBITDA) jumped by 40% year on year. The EBITDA margin for the quarter was 11.2 per cent, up from 10.1 percent at the same time last year.

Dalmia Bharat

Dalmia Bharat Ltd, a cement manufacturer, announced on Wednesday, January 24, that its net profit for the third quarter ended December 31, 2023, climbed 24.3% YoY to Rs 266 crore. Dalmia Bharat had a net profit of Rs 214 crore during the same period the previous year, the company said in a regulatory filing.

Compared to the same time in the previous fiscal year, when it was Rs 3,355 crore, the business's revenue from operations climbed by 7.3% to Rs 3,600 crore in Q3FY24. In comparison to Rs 644 crore during Q3FY23, EBITDA climbed by 20.3% to Rs 775 crore in the third quarter of the current fiscal year. During the reporting quarter, the EBITDA margin was 21.5%, compared to 19.2% during the same time last year.