The Hindu Business Line : Active buying on growth hopes

According to dealers, on the back of higher price of electrodes, at home and abroad, the company's margins are expected to improve substantially in the short to medium term.

Further, because of capacity expansion and investment in power, the company is expected to meet the demand from the steel sector better and achieve greater sales volumes.

The stock on Tuesday hit the 52-week high at its closing price Rs 162.65 with a gain of 8.04 per cent.

Gains interest on merger talk

THE IFCI stock has been attracting huge volumes on Budget expectation and proposed merger talk.

According brokers, the buzz in the market is that the Government is finalising a merger plan for IFCI with Punjab National Bank. The expectation is also there that a special package would be announced before the merger to clean the balance sheet of the country's first development financial institution.

The stock on Tuesday attracted a record volume of over 2.84 shares on the NSE. Though the closing price of Rs 18.45 reflected a marginal loss of 10 paise, the day's high of Rs 19.25 was closer to the 52-week high of Rs 20.

Bidding up volumes?

Impex Ferro Tech Ltd, which listed its stock last week, got off to a flying start, thanks to a few operators, who are creating volumes through bulk buy and sale deals.

The Rs 10 at par issued stock on its first trading day closed at Rs 16 with a trading volume about three times the issue size. On Tuesday, it closed at Rs 40.90 on the NSE with jump of 20.12 per cent and a traded quantity of over 1.30 crore shares.

The bulk deal figures in the counter on the NSE since listing suggest that the active players are building positions and squaring off within a day at a slightly lower price than the buy price.

This, according to dealers, is a technique adopted by market players for creating trading volumes.

At the time of listing, the ferro alloy making company had promoter holding of 57.7 per cent, while public holding was placed at 31.24 per cent.

Jayanta Mallick

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Volatility impacts funds returns in Jan: Crisil

Bear domination

Textile stocks on radar in post-quota regime

Active buying on growth hopes

Outlook may turn negative for ONGC, positive for Mastek

Lack of direction keeps market on a wobble

Jet Airways IPO price band fixed at Rs 950-1125