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quarterly earnings reports reveal mixed results across various sectors

The Q2 earnings season for FY25 is underway, with major companies like Apollo Hospitals, Kansai Nerolac Paints, and Trident set to release their results. While many firms have reported, the overall corporate earnings scorecard has been weak, with only 62% meeting or exceeding profit expectations, particularly in the consumption sector. Notably, GAIL's earnings missed expectations due to lower gas trading margins, while Power Grid's profit remained flat year-on-year.

Indian markets poised for volatility amid US election dynamics and historical trends

Indian markets are experiencing heightened volatility as the U.S. election approaches, with historical trends indicating that Democratic victories often lead to positive outcomes for Indian equities. Joe Biden's 2020 win exemplified this, resulting in a remarkable 128% surge in the Nifty and a 117% rise in the Sensex, driven by post-COVID recovery and global liquidity inflows. The upcoming election could similarly influence market dynamics, making it a critical factor for investors to watch.

q2 earnings season heats up with major companies reporting results

Dabur is currently trading at 46x/40x on FY26/FY27E P/E, with a 2-3% EPS trim for FY25-27E. Despite a slight miss in Q2FY25 results due to distributor inventory corrections and adverse weather impacting beverage sales, the company anticipates a recovery in revenue growth and stable margins in H2FY25. Analysts maintain a positive outlook, citing favorable risk-reward dynamics following a stock price correction.
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