Bhushan Steel, Fortis, Tata Consultancy: India's Stock Market Preview
The Bombay Stock Exchange Sensitive Index, or Sensex, rose 388.43, or 2 percent, to 20,260.58. The S&P CNX Nifty Index on the National Stock Exchange climbed 2 percent to 6,101.50. The BSE 200 Index increased 1.8 percent to 2,576.98. SGX S&P CNX Nifty Index futures for October delivery climbed 0.3 percent to 6,135 as of 11:06 a.m. in Singapore.
Ambuja Cements Ltd. (ACEM IN): The unit of Holcim Ltd., the world’s second-largest cement maker, said third-quarter profit sank 52 percent to 1.52 billion rupees ($34 million), according to a statement sent to the National Stock Exchange yesterday. The shares rose 3.4 percent to 142.3 rupees.
Bhushan Steel Ltd. (BHUS IN): Sumitomo Metal Industries Ltd. is in talks to take a 40 percent stake in a steel plant planned by Bhushan Steel for West Bengal, India, the Business Standard reported, citing Bhushan Steel Managing Director Neeraj Singal. The plant, originally planned to have a capacity of 2 million tons, is now planned to be able to produce 6 million tons and may cost more than 200 billion rupees to build, according to the report. Bhushan soared 3.9 percent to 527.25 rupees.
Fortis Healthcare Ltd. (FORH IN): The hospital operator was initiated at “overweight” by Saniel Chandrawat and Sameer Baisiwala at Morgan Stanley, citing the company’s “dominant” position as a hospital operator in India. The brokerage has a share-price estimate of 205 rupees. The stock fell 1.1 percent to 164.8 rupees.
Power Grid Corp. of India Ltd. (PWGR IN): The nation’s biggest transmission company said it will start selling shares in a follow-on offering from Nov. 9 to Nov. 12, according to a statement on the Bombay Stock Exchange yesterday. The bidding period for large investors will end on Nov. 11, the statement said. The shares rose 1.3 percent to 105.6 rupees.
Tata Consultancy Services Ltd. (TCS IN): India’s largest software exporter reported second-quarter profit that beat analysts’ estimates after overseas customers outsourced more information-technology contracts. Net income rose 32 percent from a year earlier to 21.7 billion rupees ($490 million) in the three months ended in September, Mumbai-based Tata Consultancy said yesterday in results based on Indian accounting principles. The shares increased 2.4 percent to 986.2 rupees.
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