Several prominent Indian stocks, including Adani Power, Tata Motors, and IndusInd Bank, experienced significant declines on Friday, with some falling as much as 5%. The market reaction came as investors positioned themselves ahead of the anticipated release of the companies' September quarter financial results, for which analysts have provided various earnings forecasts.
Market Sees Pre-Earnings Sell-Off
The pre-earnings jitters led to a notable sell-off across several sectors. Tata Motors saw the steepest drop among the listed companies, falling 5.25% to Rs 392.30 per share. Adani Power followed closely, tumbling 5.10% to Rs 175.50 apiece. IndusInd Bank also trended downwards, trading 1.78% lower at Rs 835.15.
The steel sector was not immune, with JSW Steel Ltd and Jindal Steel Ltd each recording declines of over 2% by the end of Friday's trading session.
Q2 September Quarter Earnings Forecasts
Analysts have compiled consensus estimates for the September quarter, offering a glimpse into expected financial performances:
Tata Motors
- Adjusted net profit is projected at Rs 1,553 crore.
- Revenue is anticipated to rise 28.34% year-on-year (YoY) to Rs 23,851 crore.
- EBITDA is forecasted at Rs 2,665 crore, with operating income at Rs 2,311 crore and gross margin at 31.11%.
Adani Power
- Adjusted net profit is expected to increase by 4.63% YoY to Rs 3,111 crore.
- Sales are estimated to climb 17.41% YoY, reaching Rs 15,799 crore.
- Pre-tax profit is seen at Rs 4,043 crore.
IndusInd Bank
- Consensus estimates peg net profit at Rs 952 crore.
- Net interest income (NII) is projected at Rs 4,537 crore.
- Provisions for the quarter are estimated at Rs 2,135 crore, with a Net Interest Margin (NIM) of 3.48%.
- Interest income is forecasted at Rs 11,426 crore.
JSW Steel
- Net profit is predicted to surge 168% YoY to Rs 4,349 crore.
- Revenue is expected to increase by 16.87% to Rs 52,767 crore.
Jindal Steel
- Net profit estimates stand at Rs 687 crore, a 7.76% YoY increase.
- Sales are forecasted to grow 33.70% YoY to Rs 15,630 crore.
These projections, compiled from Bloomberg consensus data, provide investors with critical insights as they await the official announcements, which could further sway market sentiment in the coming days.