Stocks In News Today: Allcargo, Gati, MMTC, Shree Renuka Sugars, Yes Bank
Indian equity benchmarks opened higher on Friday, in line with Asian peers as traders awaited news on the U.S. job market and a looming scheduled U.S. tariff hike on Chinese goods.
At The S&P BSE Sensex was 0.10 percent higher at 40,818.49 points and the NSE Nifty 50 was 0.23 percent up 0.02 percent at 12,016.40. Bharti Infratel Ltd. was the top gainer on the Nifty 50 index while Yes Bank Ltd. was the top loser.
Here’s a look at the stocks in news moving the markets today:
Yes Bank Shares Plunge After Moody’s Downgrade
Shares of Yes Bank Ltd. extended declines for the second consecutive trading session, falling as much as 5.80 percent to Rs 58.50 apiece, a day after Moody’s downgraded the private sector bank’s ratings.
The Moody’s Yes Bank downgrade “takes into account Moody’s expectation that the bank’s pool of potential stressed assets and low loss-absorbing buffers against those assets will add pressure to its funding and liquidity, creating additional risks to its standalone credit profile or BCA”, the ratings agency said on Thursday.
The outlook for the bank has been retained at negative, Moody’s said. It had put the bank’s rating on review last month.
The Yes Bank stock has declined 64 percent in the past 52 weeks, Bloomberg data shows.
Allcargo-Gati Deal Moves Their Shares In Opposite Directions
Shares of Allcargo Logistics Ltd. rose as much as 3.82 percent to Rs 97.80 while Gati Ltd. fell 5.53 percent intraday to Rs 62.40.
Allcargo's board has approved acquisition of 19.43 percent stake in Gati, effectively taking over management control of the Hyderabad-based supply chain solutions company. Allcargo Logistics will acquire the stake for Rs 177.9 crore from promoters and via preferential issue of equity shares, according to its exchange filing.
Trading volumes for the Allcargo and Gati stocks were 10 times and 9 times higher than the 20-day averages for this time of the day, Bloomberg data shows.
MMTC Surges To Highest In 11 Weeks, Trading Volume At 50 Times
Shares of MMTC Ltd. advanced for the second consecutive trading session, rising as much as 19.78 percent to Rs 21.50—the highest since Sep. 16, 2019.
Trading volume was almost 50 times the 20-day average for this time of the day, Bloomberg data shows. Of the shares that were traded, 20 percent were at the ask price and 29 percent were at the bid.
In the past year, the stock has had a similar or greater gain three times at the close. It declined after all the three ocassions.
On Dec. 1, MMTC placed an order of 11,000 tonnes of onion from Turkey as part of its efforts to boost domestic supply and ease soaring prices, the Press Trust of India said, quoting sources as saying. That was the second onion import order placed by MMTC. It is already importing 6,090 tonnes from Egypt.
Shree Renuka Sugars Surges After Exiting Short-Term ASM Framework
Shares of Shree Renuka Sugars Ltd. gained the most since Nov. 13, rising as much as 9.49 percent to Rs 8.65 apiece. The stock was moved out of the exchanges’ short-term Additional Surveillance Measure Framework.
Renuka Sugars’ shares are up 2.5 percent in the past five days and rose 4.4 percent in the past 30 days, Bloomberg data shows. The stock has declined 32 percent in the past 52 weeks, according to the data.