Simplex Infrastructures Gains Most In 8 Years
Shares of Simplex Infrastructures hit the 20-percent upper circuit.
Civil and structural construction company Simplex Infrastructures Ltd. rose the most in eight years to trade at its highest level in almost two years.
Its shares hit the 20-percent upper circuit for the first time since May 19, 2009, before paring some gains to end the day 17.49 percent higher at Rs 370.05. The company’s relative strength index reading is more than 70, which indicates that the stock is overbought. Trading volumes stood at 6.7 times its 20-day average.
The company, valued at more than Rs 1,800 crore, has gained over 29 percent year-to-date compared to a 19 percent rise in the NSE Nifty Infrastructure Index. The stock trades at 26.5 times its earnings in the trailing 12 months and 29 times its estimated earnings for the coming year, according to Bloomberg.