Let’s dive into the latest quarterly update for some of India’s biggest companies, think Hindustan Unilever, Mahindra & Mahindra (M&M), LIC of India, and a few others. I’ve been keeping a close eye on the Q3 December 2024 results, which dropped in around February 2025, and I’m here to declutter it all down for you. Whether you’re a seasoned investor or just beginning there’s something here for everyone.
Why This Update Matters
The Indian stock market has been on a rollercoaster ride since September 2024, with a deep correction impacting most stocks. If you’ve been following the market, you know it’s been a bit of a bumpy ride, kind of like driving on a pothole-filled road during monsoon season.
Despite the market’s overall mood, some companies have posted impressive net profit growth in their Q3 results (December 2024).
But here’s the kicker, even with strong fundamentals, many of these stocks are still in correction mode, meaning their prices haven’t caught up to their growth. This creates a potential opportunity for us as investors to spot undervalued gems.
So, let’s take a closer look at the numbers, the trends, and what it all means for your portfolio.
The Data: Net Profit Growth & Price Movements
I’ve got a handy table here with the key metrics for six Indian stocks: Hindustan Unilever, LIC of India, Maruti, Mahindra & Mahindra, Hindustan Zinc, and Ambuja Cements.
We’re looking at three main columns:
- Net Profit Growth – QTR (YoY): How much the company’s net profit grew in Q3 2024 (December) compared to Q3 2023 (December).
- Net Profit Growth (TTM): Trailing Twelve Months (TTM) net profit growth compared to the last reported full-year revenue (March 2024).
- Return (3M): The stock’s return over the last three months, showing how the price has moved since the market correction began in September 2024.
| SL | Name | Net Profit Growth – QTR (YoY) | Net Profit Growth (TTM) | Return (3M) % |
|---|---|---|---|---|
| 1 | Hindustan Unilever | 19.09% | 4.65% | -7.81 |
| 2 | LIC of India | 29.39% | 4.28% | -9.38 |
| 3 | Maruti | 16.17% | 7.99% | -10.77 |
| 4 | Mahindra and Mahindra | 21.43% | 9.11% | -14.05 |
| 5 | Hindustan Zinc | 32.05% | 20.56% | -8.21 |
| 6 | Ambuja Cem | 142.48% | 14.45% | -13.70 |
Alright, let’s unpack this data and see what’s happening with each company. I’ll also sprinkle in some insights about the broader market and what these numbers might mean for your investment strategy.
1. Hindustan Unilever (HUL): Steady Growth
HUL, the FMCG giant, posted a solid 19.09% YoY net profit growth for Q3 2024, which is pretty impressive given the inflationary pressures and weak urban demand we’ve been hearing about. Their TTM growth, however, is more modest at 4.65%, suggesting that while the latest quarter was strong, the full-year picture is a bit more tempered.
Now, here’s the interesting part, despite this growth, HUL’s stock has dropped 7.81% over the last three months. That’s a classic sign of the market correction at play, investors might be overlooking HUL’s fundamentals because of the broader market sentiment.
What’s Going On? HUL has been navigating a tricky landscape with rising input costs (palm oil and tea prices) and sluggish urban sales. But their focus on premium products and smaller pack sizes to attract price-sensitive consumers seems to be paying off. I’ve noticed that rural demand is starting to pick up, which could be a tailwind for HUL in the coming quarters.
Should You Buy? If you’re a long-term investor, HUL might be worth a second look. The stock’s correction could be an opportunity to buy a fundamentally strong company at a discount. But keep an eye on urban demand, if it doesn’t recover, growth might slow down.
2. LIC of India: Strong Quarterly Jump
LIC of India is another standout with a 29.33% YoY net profit growth, that’s a big jump. However, their TTM growth is only 4.28%, which tells me that while the latest quarter was a blockbuster, the full-year performance hasn’t been as stellar. The stock price has taken a hit, down 9.38% over the last three months, reflecting the market’s overall bearish mood.
What’s Happening? LIC’s net premium income actually fell 9% to ₹1.07 lakh crore in Q3, which might have spooked some investors. But their profit growth suggests they’re managing costs well and possibly benefiting from better investment income. The insurance sector has been under pressure, but LIC’s scale and market dominance give it a bit of a buffer.
What’ in for the Investors? LIC could be a contrarian pick if you believe the insurance sector will rebound as the economy stabilizes. The stock’s correction might be overdone, but I’d wait for more clarity on premium growth before jumping in.
3. Maruti: Steady Growth
Maruti Suzuki, India’s largest carmaker, saw a 16.17% YoY net profit growth and a 7.99% TTM growth, not bad for a company in a cyclical sector like automotive. But their stock has been hammered, down 10.77% in the last three months.
What’s the Deal? The automotive sector has been grappling with weaker demand, especially in the passenger vehicle segment. Maruti’s growth is likely driven by cost controls and possibly some incentives (like the Production Linked Incentive scheme). But with rural demand still subdued and urban consumers tightening their belts, the road ahead might be bumpy.
Should You Consider It? Maruti’s a household name, and its fundamentals are solid. The deep correction might be a buying opportunity if you believe in the long-term growth of India’s auto sector. But I’d keep an eye on consumer sentiment, any signs of a demand revival could send this stock soaring.
4. Mahindra & Mahindra (M&M): Strong Growth
M&M is one of my favorites in this list, with a 21.43% YoY net profit growth and a 9.11% TTM growth. That’s a solid performance, especially for a company that’s juggling both automotive and farm equipment businesses. But here’s the shocker, their stock is down 14.05% over the last three months, the steepest drop in this group.
What’s Up with M&M? M&M has been killing it in the SUV segment, with strong order flows for their newly launched models. However, their farm equipment segment is facing headwinds due to weak rural demand, management even guided for a 10% degrowth in the next quarter. Plus, they’re capacity-constrained, which means they can’t ramp up production as fast as they’d like to meet demand. On the flip side, their focus on electric vehicles and sustainable mobility (like their Last Mile Mobility segment) is a big plus for the future.
Tesla’s potential India entry has also pressured M&M’s stock. Amid EV cars, there is a competition fears. However, analysts suggest the correction overreacted, with Tesla’s high pricing limiting its impact, supporting M&M’s long-term growth potential.
Is It a Buy? I’m really tempted by M&M right now. The correction feels overdone, and their long-term growth story—especially in the EV space—looks promising. If rural demand picks up and they sort out their capacity issues, this stock could be a winner.
5. Hindustan Zinc: A Quiet Achiever
Hindustan Zinc caught my eye with a 32.05% YoY net profit growth and an impressive 20.56% TTM growth. That’s some serious momentum! Their stock is down 8.21% over the last three months, which is relatively mild compared to others on this list.
What’s Driving This? As a leading zinc producer, Hindustan Zinc is benefiting from strong global demand for metals, especially with the push for renewable energy and infrastructure development. Their TTM growth suggests they’ve been on a roll for the past year, which is a great sign of consistency.
If you’re looking for a play on the commodity and infrastructure boom, Hindustan Zinc might be a good pick. The correction is modest, and their fundamentals look strong. Just keep an eye on global metal prices, they can be volatile.
6. Ambuja Cements: The Star Performer
Ambuja Cements is the rockstar of this group, with a jaw-dropping 142.48% YoY net profit growth and a solid 14.45% TTM growth. Their stock, however, is down 13.70% over the last three months, reflecting the market’s overall correction.
What’s Fueling This Growth? India’s infrastructure push, highways, smart cities, and metro expansions, has been a massive tailwind for cement companies like Ambuja. The government’s focus on capital expenditure is driving demand, and Ambuja seems to be capitalizing on it beautifully. Their profit growth is likely a mix of higher volumes and better pricing.
Should You Invest? Ambuja looks like a strong bet if you believe India’s infra story will continue to play out. The correction might be a golden opportunity to get in before the stock rerates. Just watch out for rising input costs—they could put pressure on margins.
The Macro View
Now, let’s zoom out for a second.
The Indian stock market has been in a deep correction since September 2024, and you can see that reflected in the 3-month returns for all these stocks, they’re all in the red, ranging from -7.81% for HUL to -14.05% for M&M.
But here’s the thing, a correction doesn’t mean the fundamentals of these companies are weak. In fact, the data shows the opposite, most of these companies are growing their profits at a healthy clip, especially on a quarterly basis.
So, what’s going on? The market is likely reacting to broader concerns, maybe fears of a global slowdown, inflationary pressures, or just profit-taking after a strong run in earlier years.
But for long-term investors like us, this could be a blessing in disguise. Stocks with strong fundamentals that are trading at a discount due to market sentiment are exactly the kind of opportunities we should be looking for.
Practical Tips: How to Approach These Stocks
Alright, let’s get practical. Here are some actionable tips based on this data:
- Look for Undervalued Gems: Stocks like M&M, Ambuja Cements, and Hindustan Zinc have posted strong growth but are still in correction mode. This could be a chance to buy quality companies at a discount. Do your own research, but these might be worth adding to your watchlist.
- Focus on Long-Term Trends: Companies like Ambuja Cements (infrastructure) and M&M (EVs and SUVs) are aligned with big structural trends in India. If you’re a long-term investor, these trends could drive significant growth over the next 5-10 years.
- Watch for Demand Recovery: HUL, Maruti, and LIC are more tied to consumer sentiment. If rural and urban demand start to pick up, these stocks could see a sharp recovery. Keep an eye on economic indicators like consumer spending and PMI data.
- Diversify Across Sectors: This list covers FMCG (HUL), insurance (LIC), automotive (Maruti, M&M), metals (Hindustan Zinc), and cement (Ambuja). Diversifying across sectors can help you manage risk, especially in a volatile market.
The market correction might not be over yet. If you’re not in a rush, consider waiting for more clarity on the macro environment before making big moves. But if you see a stock you love at a price you can’t resist, don’t be afraid to start building a position gradually.
Conclusion
The Q3 December 2024 results for these six Indian stocks show a clear trend, strong fundamentals, but prices that haven’t caught up due to the market correction. For me, that screams opportunity, but only if you’re willing to do your homework and take a long-term view.
I’ll be keeping a close eye on how these stocks move over the next few months, especially as we get more clarity on the broader market direction.
What about you? Are you eyeing any of these stocks, or do you have other favorites on your radar?
Drop a comment below, I’d love to hear your thoughts! And if you found this post helpful, don’t forget to share it with your fellow investors. Let’s navigate this market together!
Until next time, happy investing.
