The Hindu Business Line : SAIL up ahead of results

Dealers said there was buying in the stock on expectation of another strong financial performance and also payment of interim dividend. Talks are that the company is likely to report net profit of around Rs 1,900 crore - Rs 2,000 crore for the December quarter.

On the dividend front, market expectations are 15-20 per cent dividend. The payment of dividend by the company would be after a gap of 15 years and this has led to further bullish sentiment towards the stock. On Tuesday, the stock of SAIL gained 5.85 per cent at Rs 58.80 on the BSE with volumes of 98.13 lakh shares and on the NSE it closed at Rs 58.80, up 5.76 per cent with volumes of 2.89 crore shares.

Falls on ACC stake sale talk

IF the Holcim deal has turned market players bullish towards the ACC and Gujarat Ambuja Cement stocks, it has also led to bearish sentiment towards the Everest Industries stock.

ACC holds majority stake in Everest Industries and media reports say that after the Holcim deal is completed, ACC might divest its stake in the company. Dealers said the stock was getting a good valuation due to holding by ACC and market players are not too optimistic that the new players who will take stake would offer much value to the company. Talk is that the deal for ACC stake in Everest is likely to be clinched around Rs 140-145 and the existing shareholders would be getting the same price for exit. On Tuesday, the stock was down by 13.07 per cent at Rs 143.30 on the BSE with volume of 1.38 lakh shares and on the NSE it closed at Rs 143.40, down 13.2 per cent, with volumes of 1.03 lakh shares.

Shedding, to get thru' IPO?

ANOTHER stock that is continuously on a downward trend is that of textile company Alps Industries. Dealers said the stock is continuously falling on indications that it may go for a public issue.

The buzz is that some players who bought the shares around Rs 60 levels have been selling the shares, as they are not impressed with the company's decision to float a public issue. Another reason for the fall is that some brokers are selling the shares so that they can buy the share at lower price in the public issue. On Tuesday, the stock was locked in 5 per cent lower circuit. It closed at Rs 82.65 on the BSE with volumes of 5,968 shares and on the NSE it closed at Rs 82.05 with volumes of 9,210 shares.

Virendra Verma

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