Stocks Radar: GM Breweries, Hindalco, Jet Airways,  Westlife Development, Yes Bank
Brokers watch their screens during trading hours inside a dealing room. (Photographer: Abhijit Bhatlekar/Bloomberg News)

Stocks Radar: GM Breweries, Hindalco, Jet Airways, Westlife Development, Yes Bank

Indian equity benchmarks opened higher ahead of India’s Union Budget. HDFC twins were among the top gainers.

However, the S&P BSE Sensex traded flat at 39,904 and the NSE Nifty 50 Index declined 0.1 percent to trade at 11,938.80 as of 10:35 am.

The market breadth was tilted in favour of buyers. Six out of the 11 sectoral gauges compiled by the National Stock Exchange declined, dragged down by a 0.72 percent loss in the Nifty Metal Index. Nifty Realty Index was the top sectoral gainer, up 0.51 percent.

Yes Bank Hits Five-Year Low

Shares of the private lender extended losses for the fourth consecutive trading session. The stock fell as much as 6.1 percent to Rs 90.35, the lowest since May 2014.

Yes Bank Ltd. trades at 5.6 times its estimated earnings per share for the coming year, according to data compiled by Bloomberg.

The lender bought a 9.47 percent stake in Eveready Industries Ltd. after invocation of pledge of 68.8 lakh shares on July 3, it said in an exchange filing. The lender also said that it is a one-time transaction.

Also read: Yes Bank Acquires Over 9% Stake In Eveready By Invoking Pledged Shares

Hindalco Falls After Unit Gets EU Objections Over Takeover

Shares of the aluminium manufacturing company fell 1.2 percent to Rs 204.50.

Billionaire Kumar Mangalam Birla’s Hindalco Industries Ltd. faces European antitrust
objections on its plan to buy aluminum producer Aleris Corp. to expand as a supplier to the car industry, Bloomberg reported.

The stock trades 22 percent below the Bloomberg consensus one-year target price. Its trading volume was 60 percent above the 20-day average for this time of the day.

GM Breweries Slumps After Q1 Results

Shares of the liquor maker slumped 7.8 percent intraday to Rs 455 apiece, its lowest since October 2017. The company announced its June quarter results on Thursday.

GM Breweries (Q1, YoY)

  • Revenue rose 7.4 percent to Rs 118.6 crore.
  • Net profit declined 26.6 percent to Rs 16.3 crore.
  • Ebitda declined 23.9 percent to Rs 25.8 crore.
  • Margin at 21.8 percent versus 30.7 percent.

The trading volume was more than 12 times its 20-day average for this time of the day, Bloomberg data showed.

Jet Airways Hits Lower Circuit For The Third Day

Shares of the cash-strapped airline touched the lower circuit for the third straight day after declining 4.96 percent to Rs 62.25 apiece.

Serious Fraud Investigation Office will probe Jet Airways (India) Ltd. after instances of fund diversions and large-scale irregularities were found, according to a PTI report.

The stock declined 81 percent in the past 52 weeks. That compares with 12 percent gain in the Sensex.

Also read: Keep Jet Airways Headquarters Out Of Resolution Plan, HDFC Tells NCLT 

Westlife Development Gains After Block Deal

Shares of Westlife Development Ltd. rose for the third day in a row after it advanced 2.9 percent to Rs 315.05.

About 3 lakh shares, or 1.9 percent equity, changed hands in a block deal, Bloomberg data showed. Buyers and sellers were not known immediately.

The trading volume was 7,911 times its 20-day average, Bloomberg data showed. The stock traded at 69 times its estimated earnings per share for the coming year.

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