SHARES of Andhra Bank were among the major gainers on Thursday. The stock rose 8.55 per cent to Rs 103.45 on BSE with volume of 19.71 lakh shares and on NSE it moved up 8.38 per cent to Rs 103.95 with volume of 88.47 lakh shares.
Dealers said the rise in the stock price is ahead of the bank's follow-up issue, which opens for public subscription on January 16. The price of the issue would be announced a day before it opens.
The talk is that stock is being bought by a section of the market players ahead of the issue. Another reason for the rise is that after the follow up issue, FIIs would be able to buy more shares of the bank.
Bongaigaon up on dividend yield hopesThe stock of Bongaigaon Refinery rose on Thursday. It closed at Rs 76.55, up 5.37 per cent, on the BSE with volumes of 8.17 lakh shares; on the NSE, it rose 5.66 per cent with volume of 16.60 lakh shares.
Dealers said the rise in the stock price was on hopes of dividend yield. The performance of the company has slightly deteriorated in the current fiscal compared to last year. But it is said that the stock is still attractive on dividend yield. Traders don't expect high dividend payout as last year, but hope that it could be around Rs 4.5-5 per share.
Some investors expect this dividend payout as good and this had attracted investors who have fancy for dividend yield stocks.
Strides Arcolab perks up on growth potentialShares of Strides Arcolab, a pharma company, are being accumulated by a section of the market players. The buying is due to the huge growth the company is expected to show in the next few quarters, it is said.
This growth is likely to come from some high-end products such as cephalosporins and penicillins.
Moreover, the market for the company's 40 products is around $6 billion. It has already inked 50 deals in the US and is planning 20 ANDA filings of which it has already completed five.
The partnership with various international companies for its drugs in different segment is also seen positive for the stock.
On Thursday, the stock rose 2.47 per cent at Rs 319.45 on the BSE with volumes of 68,687 shares and on the NSE, it rose 2.51 per cent with volumes of 1.60 lakh shares.