Stocks Radar: Mindtree, NCC, Power Grid Corporation
Indian equity benchmarks dropped for the third-straight session, weighed down by the weakness in share prices of HDFC and Reliance Industries. The S&P BSE Sensex declined as much as 1.04 percent to 35,512.80, while the NSE Nifty 50 Index fell nearly 1.12 percent to 10,661, as of 10:15 a.m.
The market breadth was tilted in the favour of sellers. All of the 11 sector gauges compiled by NSE fell, led by the S&P NSE Realty Metal Index’s 3.02 percent decline.
Here Are The Stocks Moving The Market In Today’s Trade
Mindtree Swings After Report Of Largest Investor’s Exit
Shares of the Bengaluru-based IT company rose as much as 4.7 percent to Rs 911.95 apiece. However, the stock soon fell as much as 3.2 percent to Rs 843, to trade at Rs 858.85 as of 10.58 a.m.
Mindtree’s largest investor and Café Coffee Day’s founder V.G. Siddhartha and a few other large shareholders are looking to offload their stakes in the company, Livemint reported, citing unnamed sources. Global private equity firm KKR has also shown interest to purchase their stake, the report said.
The stock advanced 62.8 percent in the past 12 months compared to 10.7 percent gain in the S&P BSE Sensex.
Nifty Metal Index Worst Performer For Second Straight Day
The metal companies index emerged as the worst performer for the second day in a row after falling as much as 2.5 percent. The gauge declined 3.6 percent yesterday.
Vedanta, Hindalco and Tata Steel were among the top losers from this space.
Sagar Cements Gains As Board Approves Capex Plans
Shares of the Hyderabad-based cement maker rose 3.7 percent to Rs 695 apiece.
Sagar Cement’s board approved a 65 percent stake acquisition in Rs 150 crore investment in Satguru Cement Pvt. Ltd., in order to set up a cement manufacturing plant of 1 million-tonne capacity and a waste heat recovery plant in Madhya Pradesh.
The board also approved an investment of Rs 108 crore in Jajpur Cements to set up a grinding unit of 1.5 million-ton capacity in Odisha, according to an exchange filing. The company said both these projects are being planned to be completed by March 2021.
Both the projects are slated to be completed by March 2021, according the company, post which Sagar Cements will hold 65 percent in Satguru Cement and 100 percent in Jaipur Cements.
The trading volume was more than 60 times the 20-day average for the time of the day, Bloomberg data showed.
Power Grid Rises After Winning Transmission Order
Shares of the state-run power transmission company advanced over a percent to Rs 185.6 a share.
Power Grid Corporation of India was declared a successful bidder under tariff-based competitive pricing to establish transmission system for two 660MW thermal power plants and construction of a 400 kilovolt substation with associated lines in Uttar Pradesh, according to its notification to the bourses.
The stock traded at 10 times its estimated earnings per share for the coming year.
NCC Plunges, Volumes Quadruple
Share price of the construction company dropped as much as 11.03 percent to Rs 74.6 apiece. This was the largest fall in over two months.
The stock’s trading volume was nearly 4 times the 30-day average for the time of the day. According to analysts tracked by Bloomberg, 18 analysts recommend ‘buy’, and one analyst recommended ‘hold’ while none signal a ‘sell’ rating on the stock.