Stocks Radar: IL&FS, Hathway Cable, Eicher Motors, Mphasis
Indian equity benchmarks are trading lower amid a weak rupee, which hit a new low of 73 against a dollar for the first time ever. The S&P BSE Sensex and the NSE Nifty 50 Index traded at 36,201.17 and 10,907.10, respectively, as of 10.50 a.m.
Asian stocks, too, traded mixed following a volatile U.S. session as investors weighed continuing concerns in Indonesia and Italy and strength in commodity prices.
Yet, the market breadth was tilted in favour of buyers. Eight of the 11 sectoral gauges, however, declined, led by a 1.95 percent fall in the Nifty Auto Index. The Nifty Metal Index was the biggest sectoral gainer, up 1.30 percent.
Here Are The Stocks Moving The Market This Morning
IL&FS Group Stocks Hit Upper Circuit For Second Session
Shares of the Infrastructure Leasing & Financial Services group companies hit upper circuit for the second straight session after the National Company Law Tribunal allowed the government’s petition to replace all board members.
The present board has been replaced by six new members who have to meet on or before Oct. 8 and submit a road map to the NCLT before the next hearing on Oct. 31. The new board is tasked with the responsibility of preparing a robust and time bound resolution plan for the troubled shadow banker.
Also read: Can A Satyam-Style Rescue Work For IL&FS?
Eicher Motors Slumps On Loss Of Production
Shares of the Royal Enfield maker fell as much as 6.77 percent to Rs 23,072 apiece.
The Delhi-based company reported a loss of production of 10,000 motorcycles in September after a section of its workforce didn’t report to work since Sept. 24 at its Oragadam factory near Chennai, according to its exchange filing.
The stock declined 22 percent so far this year, according to Bloomberg data.
Mphasis Gains After Board Fixes Buyback Price
Shares of the IT services provider rose as much as 2 percent to Rs 1,183.85 apiece.
The company’s board approved a share buyback at Rs 1,350 a share, according to its filing with the bourses. The record date was fixed as Oct. 25.
The trading volume was 16.5 times times the 20-day average, Bloomberg data showed.
Hathway Surges On Reports Of Deal With Reliance
Shares of the country’s largest cable operator rose nearly 10 percent to Rs 27.80 apiece.
Reliance Industries is said to be in talks to buy Hathway Cable to launch its GigaFiber high-speed home broadband services, according to an Economic Times report. The deal, according to the report, is still at a nascent stage.
The stock trades 29 percent above the Bloomberg consensus one-year target price.
Glenmark Rises After Unit Sale
Shares of the drugmaker rose nearly a percent to Rs 641.80 apiece.
Glenmark Pharma completed the sale of its orthopaedic and pain management business in India and Nepal to private equity firm True North, according to an exchange filing.
The stock trades at 22.3 times trailing its 12-month earnings per share and 20 times its estimates for the coming year, Bloomberg data showed.