Cipla Spins Down To New 52-Week Low On Fi Sales
Stocks of Cipla touched a new 52-week low of Rs 791 on the BSE on Wednesday. Earlier, the scrip opened at Rs 803 and touched a high of Rs 804, before closing 0.75 per cent lower at Rs 795.05. Up to 8,137 shares of the company changed hands on the BSE, while 22,842 shares were traded on the NSE. Since the second week of January the scrip has depreciated by nearly 16 per cent, though there have been some rallies in between.
Domestic institutional investors were known to be selling in the counter, dealers said. The scrip is currently trading at a P-E multiple of 17.8 based on its nine month (April-December 2002) annualised EPS of Rs 44.60. During the last quarter the company recorded a 6 per cent rise in net profits, which disappointed the markets. Net sales also improved by only 5 per cent, compared to the corresponding period of the previous year.
Hopes of hike in FII limit lifts SBI
Stocks of State Bank of India closed 1.92 per cent higher at Rs 300.05 today on speculation that RBI would be amending its FII ceiling.
The scrip opened at Rs 296.20 and touched an intra-day high of Rs 304. Around 43.5 lakh shares of the company changed hands on the BSE, while more than 94 lakh shares were traded on the NSE. Credit Lyonais is rumoured to be a big buyer in the stock and is said to have purchased over 15 lakh shares in the derivatives segment.
The confusion has been compounded by conflicting views from different quarters. Sebi has said that positions in the derivatives segment do not come under the FII ceiling, while in a clarification issued today it said that the limit on individual foreign fund investments in local companies excluded their holdings in derivatives instruments such as options and futures.
But this rule will hold only as long as derivatives contracts continue to be settled in cash, it said.
Currently, there is a cap of 20 per cent for FIIs in SBI. The GDR holding also comes under the overall ceiling of 20 per cent.
At present, the FII limit stands exhausted as they hold a 19.63 per cent stake in SBI. The holding of FIIs includes the 7.88 per cent holding of GDR holders in the bank.