Stocks to Watch on July 3: HDFC Bank, Zomato, Concor, RVNL, M&M Financial Services, Britannia

Indian equity markets are set for a strong start on Wednesday, July 3, 2024, with GIFT Nifty trading over 100 points higher at 24,330 levels as of 7:50 AM.

Globally, key indices in the Asia-Pacific region were up by as much as 0.6%, following comments from US Federal Reserve Chair Jerome Powell about progress in controlling inflation.

Here are the stocks to keep an eye on today, July 3, 2024:

HDFC Bank: Recent data released on Tuesday, July 2, shows that foreign institutional investors (FII) have reduced their holdings in HDFC Bank to 54.83%. This could lead to an increase in the bank’s weight in the MSCI index, with brokerages predicting an inflow of $3-4 billion in MSCI’s August update.

Rail Vikas Nigam Ltd (RVNL): The railway company has secured a Rs 132.6-crore contract from Central Railways. RVNL has also emerged as the lowest bidder for modifying overhead equipment (OHE) to upgrade the existing 1 x 25-kilovolt electric traction system to a 2 x 25-kilovolt AT feeding system in the Wardha-Ballarshah section of the Nagpur division. This upgrade aims to meet a loading target of 3,000 MT.

Zomato: The food and grocery delivery giant has decided to abandon its plans to enter the lending business. Zomato Financial Services, a wholly-owned subsidiary, has withdrawn its application for a non-banking financial company (NBFC) license from the Reserve Bank of India (RBI), stating that it no longer intends to pursue lending.

Britannia Industries: The FMCG major has approved the appointment of Sunil Siddharth Lalbhai and former RBI Governor Urjit Patel as additional non-executive independent directors for a five-year term. These appointments are subject to shareholder approval at the company’s Annual General Meeting scheduled for August 12, 2024.

Container Corporation of India (Concor): The central government is reportedly considering selling a 5-7% stake in Concor after plans for a strategic sale to privatize the company received a lukewarm response. The divestment has been put on hold indefinitely due to a lack of potential buyers.

M&M Financial Services: The non-banking financial company’s disbursements in June were Rs 4,370 crore, a 3% increase year-on-year, bringing total disbursements for the quarter to Rs 12,730 crore, up 5% year-on-year. Asset quality has likely improved, with stage-3 assets estimated at about 3.6% at the end of June, down from 4.3% a year ago. Stage-2 assets were around 6.1%, down from 6.4% year-on-year.

Force Motors: The automobile company’s total sales in June fell by 3% year-on-year to 2,553 units.