Capital Goods Stocks Outlook for the Week – 09 to 13.02.2015
( www.rupeedesk.in )
Trading
in stocks of capital goods is seen volatile next week after sector bellwether
Larsen &
Toubro
details Oct-Dec earnings on Monday and result of Delhi state election comes out
on
Tuesday.
The week will also see release of key inflation and industrial output data,
which may impact stocks of this sector. L&T, which will detail earnings
after market hours on Monday, is seen reporting standalone net profit of 12.93
bln rupees, up only 4% on year and net sales of 159.87 bln rupees, up 11% on
year.
We
expect L&T to report 9% YoY (year-on-year) growth in revenues at 15,682
crore (156.82
bln
rupees) on the back of reasonable execution in the infrastructure segment and
export markets... however high interest costs of 20% YoY as PAT will grow 7%
YoY to 1,323 crore
(13.23
bln rupees). Tata sons promoted Voltas will also detail its Oct-Dec earnings
next week on Wednesday. The company is seen reporting a 3% on year fall in
consolidated Oct-Dec net profit and 1% fall in revenues to 11.02 bln rupees.
Apart from the earnings, the results of Delhi elections will be keenly eyed by
market participants.
