1. L&T Technology Services:

This IT consulting & software firm surged over 8% on Thursday following the announcement of its Q3 results. Eight large deals secured over the past quarter drove this increase. CEO Amit Chadha further fueled the rise by assuring investors that the company is on track to achieve its $2 billion revenue target in the medium term with an EBIT margin of 17-18%.

In Q3, the company reported sequential revenue growth of 1.8%, reaching Rs 2,687 crore, while net profit rose by 0.9% to Rs 322 crore. The profit remained flat QoQ, primarily due to wage hikes and one-time costs associated with the Intelliswift acquisition. Although revenue for the quarter aligned with Forecaster estimates, net profit fell short of estimates by 3.1%. 

LTTS operates across three segments: mobility, sustainability, and technology, with each segment contributing roughly equal revenue. Over the past quarter, the firm won two large deals in mobility. It also secured two new deals in the sustainability segment. Additionally, it announced three deal wins in the technology segment. 

Regarding future deals, CEO Amit Chadha said, “LTTS is seeing a good number of large deals in the pipeline across all three segments.” He also emphasised that FY26 will outpace FY25 in terms of deal wins. Chadha is confident in the firm's outlook of achieving 10% revenue growth in FY25, including the contribution of Intelliswift.

Post Q3 results, Sharekhan maintains a ‘Buy’ rating on LTTS. Analysts at Sharekhan expect the firm to witness a higher growth trajectory supported by the Intelliswift acquisition, which opens avenues to service three new sectors: retail, fintech, and healthcare. With a target price of Rs 6,500, the stock has a potential upside of over 20%.

2. Biocon:

This biotechnology company has risen by over 6% in the past week and touched a 52-week high of Rs 397.8 today. On January 12th, the company's Malaysian subsidiary received USFDA approval for its insulin units. Motilal Oswal notes that after this approval, all the company’s key biosimilar sites are USFDA-compliant, improving its prospects in the US market. The approval of the Malaysian site opens up commercial opportunities for its ‘B-Aspart’ (synthetic insulin) drug, whose US market size is estimated at $800 million (approximately Rs 6,640 crore).

The company had reported a net loss and a flat revenue in Q2FY25 due to delayed approvals for the US market and increased financial leverage. However, Trendlyne Forecaster estimates the company’s revenue to rise by 9.2% in Q3FY25. HSBC Securities expects an operational turnaround for Biocon driven by multiple catalysts, including its strong pipeline of biosimilars and a recovery in the generics sector, fueled by high-value launches such as generic GLP-1 products (used for weight loss and diabetes treatment). The company also appears on a screener of stocks with strong momentum.

Kedar Upadhye, Chief Financial Officer of the company, discussed the high debt situation in the biologics space, “Net debt in Biologics, which was around Rs 10,800 crore, has now decreased by about Rs 410 crore as of September 30th. Capex for the year is expected to be between Rs 750-830 crore, with half allocated to maintenance and the other half to expanding insulin capacity in Malaysia, driven by strong demand and pricing in global markets.” 

Motilal Oswal has upgraded Biocon to a ‘Buy’ rating with a target price of Rs 430. The brokerage forecasts a 21% EBITDA CAGR over FY25-27. Given the focus on compliance and the potential business from upcoming products, it has raised the EV/EBITDA multiple for the biologics business to 22x on a 12-month forward basis. Additionally, it notes that timely approval of 'B-Aspart' could offer further upside to biologics sales over FY25-27. It expects Biocon’s potential sales from this product to reach at least $80-100 million (approximately Rs 664 crore to Rs 830 crore).

3. PCBL Chemical:

This petro-products maker has declined by 9.8% over the past week after announcing its Q3FY25 results on January 10. During the quarter, its net profit fell 37.1% YoY to Rs 93.1 crore due to higher material and finance costs, employee benefits and other expenses. Revenue was up 21.3% YoY at Rs 2,010 crore. The company’s net profit missed Forecaster estimates by 7.2%, while revenue missed estimates by 2.3%.

During the December quarter, revenue growth was driven by increased volumes (up 5% YoY at 143,500 MT) and the inclusion of the Aquapharm business. PCBL Chemical acquired Pune-based specialty water chemicals maker Aquapharm Chemicals in January 2024, marking its foray into the global specialty segments including water treatment chemicals and oil & gas chemicals.

PCBL’s carbon black segment (which contributes to over 81% of the total revenue) grew by 2% YoY during the quarter. Sales growth was slower compared to Q2FY25 (up 21.5% YoY) due to a drop in realizations amid crude oil price fluctuations. Commenting on this, Raj Gupta, CFO of the company said, “Volatility in crude prices has affected our realizations, as our main raw material is derived from crude. Additionally, a change in product mix during the quarter also impacted our performance”. Meanwhile, the power segment declined by 1.5% YoY during the quarter. 

During Q3FY25, the company commissioned the second and final phase of its 20,000 MTPA (metric tons per annum) specialty chemical capacity at the Mundra Plant in Gujarat, increasing its total installed capacity to 790,000 MTPA. 

Following PCBL’s results announcement, Nuvama lowered its rating to ‘Hold’ with a target price of Rs 397. The brokerage believes PCBL’s long-term growth prospects look promising with business diversification, but high debt levels and a potential turnaround in Aquapharm remain key factors to monitor.

4. Anand Rathi Wealth:

This capital markets company fell 3.5% on January 13 following the announcement of its Q3FY25 results. Anand Rathi Wealth's (ARW) revenue increased by 29.9% YoY to Rs 237 crore, but it missed Trendlyne Forecaster estimates by 2.6%. Net profit grew 33.3% YoY to Rs 77.3 crore for the quarter. The company also declared a 1-for-1 bonus share issue, offering one bonus share for every equity share held.

The firm’s assets under management (AUM) grew by 38.8% to Rs 76,402 crore. Equity mutual funds (MF) made up 55% of the total AUM, up from 52% in Q3FY24, while debt MF accounted for 5%, down from 9%. The company had initially set an AUM guidance of Rs 72,000 crore for the year, but having exceeded this target, management has revised the guidance to Rs 80,000 crore.

The company’s MF AUM stands at Rs 45,875 crore, which accounts for 1.37% of the total market, valued at around Rs 30 lakh crore. Deputy CEO, Feroz Aziz mentioned that the company aims to increase its market share to 4%. He outlined that achieving this target relies on two key factors: attracting funds faster than the industry average and ensuring the company’s portfolio outperforms the average equity MF. He highlighted that ARW’s portfolio, consisting of 14 schemes, has outperformed the Nifty by around 7.5-8% this financial year, which should help achieve the target.

The company added 1,785 new client families over the past year, increasing its total client base to 11,426. While ARW's stock price has declined by 7.3% in the last month, it outperformed its industry by 4%.

Post results, Motilal Oswal maintains its 'Neutral' rating on the stock. The brokerage projects a revenue and AUM CAGR of 26%, and 28% for PAT over FY25-27, supported by the company’s strong cash flow of Rs 890 crore, a return on equity (RoE) above 40%, and a healthy balance sheet. With a target price of Rs 4,200, the stock has a potential upside of 5.7%.

5. Angel One:

This brokerage company has fallen 6.5% over the past week. The stock faced selling pressure after the company reported its lowest quarterly profit increase (8.1% YoY) in Q3FY25 since its 2020 listing, due to stricter regulations in the derivatives market. 

SEBI introduced new rules in October 2024 that limit retail investor participation in Futures & Options (F&O). These changes included raising the minimum contract size, cutting weekly expiries, requiring upfront premium payments, and stopping popular contracts. Angel One reported a 13% QoQ drop in F&O brokerage to Rs 662.7 crore, with the segment contributing 52.5% to the company’s total revenue in Q3FY25.

Angel One’s revenue increased by 19.1% YoY to Rs 1,263.8 crore. The company also announced a dividend of Rs 11 per equity share, totaling Rs 99.3 crore. This represents 35.3% of the consolidated net profit for Q3FY25.

Dinesh Thakkar, Managing Director of Angel One, stated, “Although a few regulations introduced this quarter caused a temporary industry-wide impact, our aggressive client acquisition strategy, along with the normalization of client activity, will fuel renewed growth momentum in the coming quarters.”

Motilal Oswal lowered its target price while maintaining a ‘Buy’ rating. The revised target price of Rs 3,200 suggests a potential upside of 28.2% from the current market price. The brokerage says that Angel One has managed to maintain its profitability by changing its pricing to cover the impact of fee transparency regulations.

Trendlyne's analysts identify stocks that are seeing interesting price movements, analyst calls, or new developments. These are not buy recommendations.