Morgan Stanley maintains its year-end Sensex target of 105,000 points by December 2025 despite global trade tensions and recent market volatility. Strategists suggest India's earnings growth is improving and highlight the attractiveness of stock valuations post-Covid. However, external risks like US tariff policies and dollar strength remain concerns.
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The Reserve Bank of India is anticipated to cut the repo rate by 25 basis points in its first policy decision under Governor Sanjay Malhotra. Experts believe this move aims to boost economic growth while maintaining inflation control, amid eased inflationary pressures and a stable Consumer Price Index.
HCLTech reported a 5.54% growth in consolidated net profit to Rs 4,591 crore for the December quarter of FY 2024-25, up from Rs 4,350 crore a year ago. Revenue from operations increased by 5.07% to Rs 29,890 crore. The stock closed at Rs 1,985.25 on the BSE, 0.52% lower than the previous close.
NACDAC Infrastructure's Rs 10 crore IPO received a record-breaking Rs 14,386 crore in bids, achieving a 1,976 times oversubscription. Retail investors and high-net-worth individuals showed particularly strong interest. The Ghaziabad-based construction company secured funding from two anchor investors ahead of the IPO, aiming to utilize the proceeds for working capital and general corporate purposes.
India’s IT sector is projected to grow by 5.1% in FY25, with revenues expected to reach $282.6 billion, according to Nasscom. The sector aims to surpass $300 billion in the following fiscal year. Additionally, 1.26 lakh new jobs were added, bringing total employment to 58 lakh.
Industry and law firms have suggested increasing the FDI cap for R&D and security agencies, liberalizing regulations for agriculture, and streamlining investment rules from China. These suggestions were discussed in a DPIIT consultation to make the overall investment regime in India more attractive, ahead of the Union Budget on February 1.
Aurobindo Pharma's subsidiary, CuraTeQ Biologics, received a positive CHMP opinion for its filgrastim biosimilar, Zefylti, intended to treat neutropenia and mobilize peripheral progenitor cells. Zefylti is CuraTeQ's first biosimilar to receive this positive opinion. Three additional biosimilars are currently under review with EMA and UK-MHRA, expected to be available next year.
India's public sector banks are expected to see a significant profit boost due to a new RBI directive. This allows banks to book profits on security receipts from bad loans sold to NARCL, potentially adding Rs 20,000 crore to their earnings. The change increases liquidity and acknowledges the value of government-backed SRs.
Hero Moto CEO Niranjan Gupta announced that 50% of the scooter market will be electric by 2030, despite short-term competition. Hero plans to invest Rs 1,000 crore in EVs this year. Ola Electric currently leads the market, but Gupta emphasizes that it's too early to determine long-term leaders.
Six leading firms among the top-10 most valued companies collectively gained Rs 86,847.88 crore in market value last week, with HDFC Bank and Reliance Industries leading the gains. The BSE and Nifty both saw modest increases. Meanwhile, four companies, including TCS and Infosys, faced declines in their market valuations.
Household debt in India has increased to 42.9% of GDP as of June 2024, driven mainly by a rise in the number of borrowers. Most borrowing is for consumption, asset creation, and productive activities, with highly rated borrowers prioritizing asset investments. This trend is seen as enhancing credit quality and financial resilience.