Stocks Radar: DHFL, Reliance Infra, Rites, Titan
Indian equity benchmarks opened higher paced by gains in Indiabulls Housing and IndusInd Bank.
The Sensex rose 0.70 percent at 39,894.70 and Nifty traded at 11,951.15, 0.71 percent higher, as of 10:00 am. The market breadth was tilted in favour of buyers.
Ten of the 11 sectoral gauges compiled by the National Stock Exchange advanced, led by a 1.38 percent gain in the NSE Nifty IT Index. The NSE Nifty Media Index was the only sectoral loser, down 0.36 percent.
DHFL Rises After Clearing Dues Of Retail Investors
Shares of the non-banking lender snapped its three-day fall and rose 6.6 percent intraday to Rs 88.80 apiece.
Dewan Housing Finance Corporation Ltd. paid investors and depositors part of repayments due after missing the deadline earlier this week. DHFL paid investors around Rs 276.05 crore on its principal and interest obligations towards its non-convertible debentures, according to its exchange filing late on Friday.
The relative strength index on the stock was below 30, indicating indicating it may be oversold.
Rites Gains After Winning Sri Lankan Order
Shares of the state-owned engineering services provider rose as much as 1.4 percent to Rs 286 apiece.
The company bagged an order worth Rs 200 crore from the Sri Lankan government for the supply of passenger coaches, according to an exchange notification.
The stock advanced 32 percent in the past 12 months compared with the Sensex’s 12 percent gain.
SBI Advances Launching New Product; Lowering Charges
Shares of the country’s largest state-owned bank gained for the second-straight day after it rose 1.5 percent to Rs 347.30 per share.
State Bank of India cuts rate for cash credit /overdraft of above Rs 1 lakh by 25 basis points to 8 percent, according to a PTI article quoting company statement. The bank also launched a home loan product linked to repo rate, the filing said.
The stock traded at 11 times its estimated earnings per share, Bloomberg data showed.
Titan Hits Lifetime High
Shares of India’s largest branded jewellery maker rose 1.4 percent intraday to a record Rs 1,286.60 apiece.
The stock advanced 43 percent in the past 12 months compared with the Sensex’s 13 percent gain. The relative strength index stock was above 70, indicating the stock may be overbought. The stock traded 61 times estimated earnings per share for the coming year, Bloomberg data showed.
Reliance Infra Slumps After Board Defers Q4 Results
Shares of Reliance Infrastructure extended their fall for the fifth consecutive trading session and are poised for their longest losing streak in over nine months. The stock fell as much as 9.2 percent to hit an all-time low at Rs 67.15.
The board meeting to approve the fourth quarter results, originally scheduled to be held on May 30, has already been postponed twice. The company said the audit committee has sought time to review and incorporate financials of Reliance Power which came out with its March quarter results on June 8.
Trading volume was more than six times its 20-day average, Bloomberg data showed.