WEEKLY TRENDSETTER ( AUG 1,2025)
| 2025 | JULY 18 | JULY 25 | Ch % |
| NIFTY | 24968 | 24837 | -0.52 |
| BANK NIFTY | 56283 | 56529 | 0.44 |
| USD/INR | 86.15 | 86.59 | 0.51 |
MARKET REVIEW-The market showed signs of recovery till mid-week and despite good global cues sharp selling was seen largely on the back of disappointing corporate results which belied the high valuations. By close of week Nifty had breached the critical 25000 level. With monthly expiry next week, sentiments look subdued.
BACK TO RESULT SEASON
June quarter results are trickling in. Let’s explore some of them to get cues of where the stocks could be heading.
Rs in cr, Bracket indicates ch in % against June,24 quarter.
| Company | Revenue | Net profit |
| Syrma SGS | 568(-30) | 27(+800) |
| Orient Cement | 866(24) | 205(+454) |
| Blue Jet | 355(+117) | 91(+139) |
| Trident | 1707(-2) | 140(+89) |
Syrma SGS (728)-The company is into electronic manufacturing, engineering and technology, medtec ODM services and magnetics. Recently it was in the news for partnering with a S. Korean company for manufacture of PCB and CCL (copper clad laminate) manufacturing facility in Andhra Pradesh. The June quarter results has shown a strong surge in profitability despite a fall in revenue. The company is focusing on improving EBIDTA margins as indicated earlier. It has been on a strong growth path with revenue surging from Rs 438 cr in FY21 to Rs 2277 cr in FY25.However profits have not kept pace as it grew from Rs 28 cr to 79 cr. The June quarter results has attracted investor attention as the stock surged to an all-time high. With a trailing P/E multiple above 100, lower levels should be used to add the stock.
Orient Cement (247)-The company has come under the Adani fold which now holds 72.66% stake in the company. The June quarter saw a good jump in revenue and with EBIDTA margins increasing from 13.8% to 21% bottom-line saw a multifold jump. At current levels the stock looks attractive.
Blue Jet (789) –The company has been in the limelight for steady growth in topline and profits y-o-y. With presence in contrast media, pharma and API, sweetener, the company enjoys high margins in excess of 40% though the management has in general guided for a mid-30s level of margins. The quarter saw some compression in margins which is attributed to some overheads absorption at the inventory level. The management continues to be confident of sustaining the growth. With an EPS of Rs 5.2 for the quarter the stock enjoys a high valuation even at current levels. However, with a strong growth track record lower levels should attract investor attention.
Trident –The company supplies home textiles to global majors like Walmart and Target. Cotton prices, which posed headwinds in the prior year, have moderated which helped in margins improving from 12.9% to 17%. The stock price is witnessing good buying at around 30 levels.
NIFTY –The index broke below 25000 towards close of week which pushes it into a fresh zone of weakness. A close above 25300 could signal an upside for now while lower levels of 24300-500 could be revisited in the weeks to come.
BANK NIFTY-The index was a relative outperformer but still looks vulnerable as it has slipped below 57000 repeatedly. With monthly expiry next week, a fall below 56000 looks likely and even 55000 could be under threat in the coming weeks.
STOCK PICKS
BHEL (240)-The stock has been struggling in the 250-60 zone and a sharp selloff has pushed it down to 240.The stock looks heading towards levels of 225-30 in the coming days. Selling could be considered accordingly with a SL of 247.
NIFTY-The index has failed to sustain above 25000 and with heavy call writing at the strike, lower levels could be seen in the coming days. Accordingly, one could buy 24600 strikes put at around 30-35 for a possible target of 60 and stop-loss of 15.
Wishing all readers a great week ahead!
Note: Any queries /clarifications may be addressed to stockmasala@gmail.com .
Krish Subramanyam