Amid the ongoing Q1 results season for the financial year 2024-25, several companies have reported a turnaround on the earnings front. Zee Entertainment and PB Fintech are among the prominent firms to report profit in the June 2024 quarter against a net loss in the year ago quarter.
Zee Entertainment reported a net profit of Rs 118.10 crore for Q1FY25 as against a net loss of Rs 53.42 crore in Q1FY24. Meanwhile, the parent company of PolicyBazaar – PB Fintech posted a profit of Rs 60 crore in the June 2024 quarter as against a loss of Rs 12 crore in the corresponding period a year ago.
Can the turnaround on the earnings front result in a gain in the stock price on the bourses? Here’s what the charts suggest for select such turnaround companies.
Zee Entertainment
Last close: Rs 137
Support: Rs 130
Resistance: Rs 155
On the bourses, Zee stock has been a major underperformer and has tumbled almost 50 per cent so far in this calendar year. In comparison, the BSE Sensex has gained around 10 per cent.
PB Fintech
Last close: Rs 1,514
Upside Potential: 6.7%
Support: Rs 1,462
Resistance: Rs 1,530; Rs 1,572
The stock has been trading on a bullish note on the weekly scale post the breakout in mid-February 2023. The stock has since surged over 213 per cent from levels of Rs 485.
Graphite India
Current Price: Rs 520
Downside Risk: 12.3%
Support: Rs 472
Resistance: Rs 554; Rs 587
Graphite India reported a profit of Rs 237 crore when compared with a loss of Rs 30 crore in the June quarter.
The stock has witnessed a dismal run in the last four months, and has declined 14.2 per cent during this period. The overall bias of the counter remains tepid, as the stock trades below key moving averages both on the daily and weekly scale.
Delhivery
Current Price: Rs 410
Upside Potential: 7.3%
Support: Rs 393
Resistance: Rs 420
In comparison to a net loss of Rs 89.48 crore in Q1FY24, Delhivery reported a net profit of Rs 54.36 crore in Q1FY25.
Technically, the overall bias at the counter seems subdued as the short-term moving averages are seen languishing below the longer-term averages. Further, the daily and weekly chart shows presence of a strong resistance around Rs 420 levels.
Devyani International
Current Price: Rs 177
Upside Potential: 15.8%
Support: Rs 166
Resistance: Rs 177; Rs 180
Devyani International, the largest franchisee for Yum Brands (KFC & Pizza Hut) reported a net profit of Rs 22.43 crore in the June 2024 quarter as against a net loss of Rs 1.59 crore in the June 2024 quarter.
First Published: Aug 08 2024 | 9:30 AM IST