HDFC, YES Bank, HDFC Bank, Maruti Suzuki, Eicher Motors hit new highs

IndusInd Bank, Bajaj Finance, Godrej Consumer and L&T Finance from Nifty500 index also hit new highs

Housing Development Finance Corporation (HDFC), YES Bank, HDFC Bank, IndusInd Bank, Maruti Suzuki India and Eicher Motors from the Nifty 50 index hit their respective new highs on the National Stock Exchange (NSE) on Thursday.

YES Bank surged 5% to Rs 1,797, extending its Wednesday’s 6% rally on NSE, after the bank’s gross non-performing assets (GNPAs) has come down by Rs 654 crore in absolute terms and 55 bps QoQ to 0.97% during April-June (Q1FY18) quarter.

“For five consecutive quarters the bank has been delivering loan growth above 30%, with growth in Q1FY18 coming in at 32%. Deposit growth also remained strong at 22.6%. With asset quality concerns easing and core operations remaining strong the earnings visibility of the bank has improved,” Angel Broking said in a note.

Meanwhile, the board of directors of the bank has approved stock split in the ratio of 5 for 1 i.e. sub-division of existing 1 equity share of face value of Rs 10 each fully paid up into 5 equity shares of Rs 2 each fully paid up.

HDFC was up 4% to Rs 1,700, despite the housing finance company reported lower than expected net profit of Rs 1,560 crore in Q1FY18 on slower revenue traction and higher tax provision.

“Net interest income (NII) growth continued to be soft at around 16% YoY, which, coupled with weak net fee income (down >27% YoY), led to subdued revenue momentum. However, there are signs of pick up— overall loan growth was pegged at around 18% YoY (around 15% average run-rate over past 6 quarters)—driven by individual (up around 16% YoY) and non-individual (up around 22% YoY) segments, analysts at Edelweiss Securities said in result update.

“Given its market leadership, HDFC is likely to be key beneficiary of government’s/regulator’s thrust on the housing sector, providing growth visibility. Best-in-class cost ratios and adequate provisioning buffer will ensure steady operational performance. However, with stress in a couple of non-individual accounts, asset quality in this segment is a monitorable,” the brokerage firm said with maintain ‘hold’ rating on the stock.

Besides these, Bajaj Finance, Bajaj Finserv, Godrej Consumer Products, Somani Ceramics and L&T Finance Holdings are among 15 stocks from the Nifty 500 index that too hit new highs on NSE today.

COMPANY	LATEST	ALL TIME HIGH	PREV HIGH	PREV DATE
BAJAJ FIN.	1735.00	1739.80	1695.75	26-Jul-17
BAJAJ FINSERV	5079.05	5098.00	5044.70	24-Jul-17
EICHER MOTORS	29571.55	30162.50	30051.00	08-Jun-17
GODREJ CONSUMER	1029.35	1038.70	1033.60	26-Jul-17
H D F C	1696.00	1699.70	1682.20	13-Jun-17
HDFC BANK	1768.10	1770.00	1759.00	25-Jul-17
HONEYWELL AUTO	12538.00	12698.00	12698.00	26-Jul-17
INDRAPRASTHA GAS	1171.00	1179.00	1163.45	17-Jul-17
INDUSIND BANK	1609.75	1610.75	1585.00	26-Jul-17
L&T FIN.HOLDINGS	164.00	167.45	165.00	26-Jul-17
MARUTI SUZUKI	7677.20	7677.70	7595.00	26-Jul-17
MERCK	1292.35	1318.00	1314.00	26-Jul-17
SOMANY CERAMICS	805.00	851.95	840.00	10-May-17
UFLEX	454.30	458.65	451.70	24-Jul-17
YES BANK	1788.95	1797.00	1724.00	26-Jul-17