Stocks to Watch: HDFC Bank, Adani Wilmar, REC, Adani Total, Canara Bank

Stocks to Watch: Life Insurance Corporation of India has increased its shareholding in Bank of Maharashtra from 4.05 per cent to 7.10 per cent following the allotment of shares during a QIP.

Stocks to Watch, Monday, October 7, 2024: GIFT Nifty futures at 7 AM were ahead by around 80 points, indicating that markets in India were headed for a positive start, on the back of gains in Asia and improving investor sentiment ahead of the MPC policy announcement scheduled for Wednesday, October 9. 

Markets in the Asia-Pacific region were higher on Monday. 

Japan's Nikkei 225 was leading the region, up 2.06 per cent as investors anticipated a week filled with central bank decisions. 

South Korea’s Kospi was up 0.73 per cent, while the small-cap Kosdaq index was up 0.37 per cent. 

Australia’s S&P/ASX 200 inched up 0.11 per cent. 

However, Hong Kong Hang Seng index futures traded at 22,640, below the previous close of 22,736.87.

In the US, stocks advanced on Friday, driven by a stronger-than-expected jobs report that boosted investor confidence in the economy. The S&P 500 rose 0.9 per cent, the Nasdaq Composite climbed 1.22 per cent, and the Dow Jones Industrial Average added 0.81 per cent.

Meanwhile, here are a few stocks likely to be in focus on Monday, October 7:

HDFC Bank: The private lender has reported deposit growth of over Rs 1.2 trillion in Q2FY25, surpassing expectations. Deposits rose 5.1 per cent sequentially, with the total deposit base reaching Rs 25 trillion, a 15.1 per cent YoY increase. While gross advances stood at Rs 25.19 trillion, marking a 7 per cent YoY rise, the bank is focusing on reducing its loan-to-deposit ratio post-merger with HDFC. Analysts also anticipate significant inflows as HDFC Bank is set to see an increased weight in MSCI indices, potentially attracting over $1.8 billion.

One97 Communications: The company has appointed Deependra Singh Rathore as CTO of payments, amidst a series of management changes. This transition comes as Paytm aims to enhance its financial services and integrate AI into its operations. Separately, the company is reinvesting in consumer payments business to recover user base after RBI regulatory constraints. It aims to enhance its digital payments services and expand its Third-Party Application Provider (TPAP) model.

IndiGo Airlines: The airline faced a substantial system outage on Saturday, leading to delays and stranded passengers across multiple airports. The airline is working to resolve the issues and minimise customer inconvenience as travel increases during the festive season.

Honasa Consumer: The Mamaearth parent announced that no assets will be attached in the UAE due to ongoing litigation there, as the company has no assets there. Despite a recent court ruling related to its distributorship dispute, the company is appealing and expects no adverse financial impact during the proceedings.

State Bank of India: THe bank plans to recruit around 10,000 new employees to bolster its banking and tech capabilities, its chairman and managing director CS Setty said. SBI plans to open 600 new branches and continues to enhance its digital services to meet changing customer expectations.

REC: The state-owned company has disbursed loans totaling Rs 90,955 crore in H1FY25, reflecting a 20.1 per cent YoY increase. Green loans constituted a significant portion, highlighting REC's commitment to renewable energy financing, which accounted for 13 per cent of total disbursements in Q2FY25.

Adani Total Gas: The company has started the blending of green hydrogen with natural gas at its Ahmedabad facility to reduce emissions. The project marks a significant step in the transition to cleaner energy solutions, with plans to gradually increase hydrogen blend levels.

Hindalco Industries, JSW Steel: Both the companies are vying for two copper mines in Jharkhand set to be auctioned this month. With a combined capacity of three million tonnes per annum, these mines could enhance domestic copper production and reduce reliance on imports.

Adani Wilmar: The company expects a 16 per cent growth in standalone revenue for the second quarter, driven by increased sales volumes in its edible oil segment and expanding food business. Edible oil prices are showing recovery signs, further bolstering prospects for the company.

Bank of Maharashtra: Life Insurance Corporation of India has increased its shareholding in Bank of Maharashtra from 4.05 per cent to 7.10 per cent following the allotment of shares during a QIP. LIC acquired 3.376 per cent equity at an average cost of Rs 57.36, reflecting its confidence in the bank’s prospects.

Larsen & Toubro: L&T is expanding into the international space market, particularly for the next International Space Station being planned by NASA. L&T aims for significant turnover growth in the space economy, driven by government policies supporting private sector participation.

Canara Bank: The bank is inviting expressions of interest (EoIs) for a Swiss challenge auction to divest its exposure in three NSL group companies: NSL Sugar Ltd, NSL Krishnaveni Sugar Ltd, and NSL Textiles Ltd. The total reserve prices for these assets amount to Rs 394.59 crore.

SpiceJet: Amid financial struggles, SpiceJet had raised Rs 3,000 crore through a Qualified Institutional Placement (QIP) recently. Following the fundraise, it has recently cleared pending salary and GST dues, along with depositing ten months' worth of provident fund contributions. However, it continues to operate with a smaller fleet due to ongoing challenges.

Godrej Properties: The company posted strong sales performance, with bookings surpassing Rs 13,800 crore in H1FY25. It aims to achieve a target of Rs 27,500 crore for the fiscal year, capitalising on the growing demand for premium homes.

Macrotech Developers: The realty firm achieved record pre-sales of Rs 4,290 crore in Q2FY25, a 21 per cent YoY increase, despite the traditionally inauspicious ‘Shradhh’ period. The company also reported collections of Rs 3,070 crore, up 11 per cent YoY. 

SAMHI Hotels: The company has approved the acquisition of Innmar Tourism and Hotels for Rs 205 crore, expanding its portfolio with an operating hotel and potential for additional rooms. The transaction is expected to close soon.

Eco Hotels and Resorts: The company is aiming for profitability by FY26 while expanding its portfolio with eco-friendly properties. The company has recently acquired three new properties and aims for a total of 5,000 rooms in five years.