X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2017 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
Indian Stock Market News, Equity Market and Sensex Today in India | Equitymaster
  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Sensex Opens Flat, Coal India Tanks 2.4%
Mon, 13 Feb 09:30 am

Asian markets began the trading week on a strong note as recent actions by President Donald Trump helped soothe investor worries about ties between the U.S. and its key Asian trading partners. The Nikkei 225 is up 0.54%, while the Hang Seng is up 0.73%. The Shanghai Composite is up 0.49%. Stock markets in the US and Europe closed their previous session on a positive note.

Meanwhile, Indian share markets have opened the day on a flat note. The BSE Sensex is trading higher by 55 points and the NSE Nifty is trading higher by 16 points. Meanwhile, S&P BSE Mid Cap and S&P BSE Small Cap are trading higher by 0.2% and 0.4% respectively. Gains are largely seen in metal and power stocks. While consumer durables and PSU stocks lead the losses.

The rupee is trading at 66.94 against the US$.

According to an article in The Economic Times, The government plans to divest up to 10% in Coal India by August. It is likely to help the government raise around Rs 200 billion and reduce its stake to 69%.

Just Released: Multibagger Stocks Guide
(2017 Edition)

In this report, we reveal four proven strategies to picking multibagger stocks.

Well over a million copies of this report have already been claimed over the years.

Go ahead, grab your copy today. It's Free.

NO-SPAM PLEDGE - We will NEVER rent, sell, or give away your e-mail address to anyone for any reason. You can unsubscribe from The 5 Minute WrapUp with a few clicks. Please read our Privacy Policy & Terms Of Use.

Last year, Coal India offered to buy-back 1.7% (108.9 million shares) of its fully paid-up equity shares at Rs 335 per share totaling Rs 36.5 billion. After the buy-back, the government's holding in Coal India increased marginally to 79.78% from 79.68%.

This move will also allow Coal India to conform to holding norms in which a public listed company needs to have at least 25% shares listed on stock exchanges.

The company has been witnessing a fall in production as well as sales due to less than anticipated power demand growth. Against a near 10% growth in 2015-16, this year the company has not been able to attain a growth of even 2% either in sales or production.

Coal India's coal production over the years
Coal India's coal production over the years

The timing of the divestment will be crucial because the company has not been able to fulfill its targets. Revenues and profits are likely to be less than anticipated as price realization from an e-auction has been falling due to reduced demand.

Coal India share price began the trading day down by 2.4%

Moving on to news from stocks in the engineering sector. According to a leading financial daily, Siemens Ltd has won an order worth Rs 1 billion from Delhi Transco Limited. The order includes installing 220/66/33kV Gas Insulated Substation (GIS) at R.K. Puram, New Delhi.

To enhance its efficiency and productivity, Delhi Transco Limited is using state-of-the-art technologies in its operations. Siemens Ltd. focuses on the areas of electrification, automation and digitalization.

The company also recently won an order from energy giant Oil and Natural Gas Corporation Limited (ONGC) worth approximately Rs 3.66 billion. The contract includes the supply of material for overhauling of 18 Power Turbines through Zero Hour Overhaul and Time Continued Overhaul.

The Zero Hour Overhauling will be first of its kind in India and involves the overhaul of Power Turbines to zero hour status. This technology will help in reducing down-time and increase in productivity.

Meanwhile, Siemens reported Rs 1.6 billion standalone net profit for the first quarter of CY17, up 43% compared to the year-ago period. The company had posted a net profit after tax of Rs 1.1 billion for the quarter ended December 31, 2015.

Total income increased from Rs 24.4 billion for the quarter ended December 31, 2015 to Rs 24.58 billion during the quarter.

Siemens share price began the trading day up by 0.7% on the BSE.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

Read the latest Market Commentary

Equitymaster requests your view! Post a comment on "Sensex Opens Flat, Coal India Tanks 2.4%". Click here!

  

S&P BSE CAPITAL GOODS


May 22, 2017 (Close)

MARKET STATS