The decline in PSU stocks has had a significant impact on the benchmark Sensex and Nifty, with the Sensex losing over 450 points. The Nifty Bank index has also fallen below 45,000, and the PSU Bank index has seen a decrease of over 3%. This decline has not been limited to banking names, as rail PSUs like RVNL, IRFC, IRCTC, and BEML have seen drops of 8-10% each. Meanwhile, power PSUs like SJVN, NBCC, and NHPC have experienced decreases of 10-20%. However, despite this downturn in certain sectors, there have been bright spots for defensives in the I.T. and pharma sectors.
The Q3 earnings of several companies are currently in focus for investors. Hero Moto Corp is among the top gainers in the auto sector after reporting strong sales figures for the quarter ended December 31st. Meanwhile, Divi’s Labs is making headlines for its successful listing on the stock exchanges last week. In the consumer goods space, Honasa Consumers is also gaining traction after posting strong growth numbers for the quarter ended December 31st.
Brokerages are adjusting their targets for these counters based on their Q3 earnings performance. Analysts are closely watching these companies to see if they can sustain their growth momentum going forward into 2022. As trading continues on Closing Bell today