Page 7 - The Compass

IT firms in a flux over H-1B visa fees, but levers exist to mitigate impact

Analysts say Indian IT firms can offset the impact of the $100,000 H-1B visa fee through higher offshoring, reduced new applications, and client cost sharing over the medium term

Strong growth, improving profitability bode well for Eternal's stock

The Eternal Food Delivery business (EFD) is also seeing improving profitability in the duopoly FD market

Multiple tailwinds for aluminium majors as Fed rate cut lifts prices

Aluminium prices have gained on tight supply, Fed rate cuts and reforms, favouring Hindalco, Vedanta and NALCO, though risks from bauxite supply and trade barriers remain

Infrastructure players poised to benefit from strong order momentum

Despite delays, FY26 budget supports ₹11.2 trillion capex with strong order pipeline in power, transport and real estate

Attractive valuations largely limit downside risks for upstream players

Despite weak crude prices and policy risks, ONGC and Oil India trade at steep discounts to global peers, with growth projects and NWG premiumisation offering upside potential

Bajaj Finance stock fully priced amid some challenges, opportunities

Bajaj Finance posted robust Q1 FY26 AUM growth and efficiency gains but higher credit costs, MSME stress and regulatory risks suggest the stock is fully priced

Near-term weakness in Coal India stock seen as buying opportunity

More thermal capacity is expected to come onstream, and the country's largest coal miner will remain the biggest player by far

Gold, silver could shine brighter with investor demand, geopolitical risks

Gold and silver extended gains on Fed rate cut expectations, weak US data, ETF inflows and geopolitical risks, with investors seeing further upside despite short-term volatility

After difficult first half, remaining year may be better for life insurers

LIC's weak performance pulls down industry APE growth, while mid-sized private insurers like Axis Max and HDFC Life expand market share

Sun Pharma stock concerns may be overstated as domestic growth holds

Analysts say Sun Pharma's stock concerns are overdone, with strong domestic growth, broad-based chronic portfolio gains and resilient Q1FY26 earnings offsetting US market worries

Camso acquisition at $225 mn valuation a long-term positive for Ceat

CEAT has acquired the Camso brand from Michelin for $225 million, strengthening its OHT portfolio, boosting capacity and expanding global presence in key markets

L&T Finance's strategic moves paying off, strong returns & growth expected

L&T Finance is strengthening its market position with a focus on asset quality and leveraging AI-powered platforms like Project Cyclops

Indus Towers' revenues hinge more on Vi turnaround than Africa plan

Indus Towers eyes Africa entry but analysts remain split on growth outlook as Vodafone Idea's turnaround and high capex weigh on sentiment

Favourable winds for steel stocks as China moves to cut production

Production curbs in China and a 3-year safeguard duty strengthen prospects for Indian steelmakers

Better demand, tailwinds keeping Street positive on 2-wheeler stocks

Stronger rural demand, festive inventory build-up and GST cut optimism are boosting sentiment on two-wheeler stocks, though valuations now near long-term averages

RIL's growth plans, Jio listing can lead to re-rating of its stock

RIL targets retail revenue growth of over 20 per cent CAGR for three years and has ambitions of becoming India's biggest FMCG player

Barring a few macro risks, oil marketing firms seem to be in a sweet spot

China today has the largest refining capacity globally, with its refining capacity to reach 21 million barrels per day (mb/d) in 2025

Paint companies hope for revival strokes amid demand surge after lull

Paint makers posted marginal Q1 growth after four quarters of decline, with demand aided by softer raw material prices and early festive season, though margins remain under pressure

Higher volumes, margins potential rerating triggers for FMCG companies

FMCG companies are seeing structural growth since categories like shampoos and detergents are under-penetrated

Volume recovery, attractive valuation positive triggers for Petronet LNG

Adjusted PAT, excluding the impairment adjusted for tax, was ₹945 crore in Q1FY26. Reported PAT of ₹842 crore includes the impairment