HDFC Bank, Maruti Suzuki, Hindustan Unilever, IndusInd Bank hit record high

These four stocks have rallied between 48% to 61%, so far in calendar year 2017

HDFC Bank, Maruti Suzuki India, Hindustan Unilever (HUL) and IndusInd Bank from the Nifty50 index hit their respective record high on the National Stock Exchange (NSE), after a strong rally in equity market.

These four stocks have rallied in the range of 48% to 61%, so far in calendar year 2017, as compared to 22% rise in the Nifty50 index. 

At 12:27 PM, the benchmark index up 0.74% at 10,006, crossing 10,000 mark after a gap of one month. The index last hit 10,084 on August 8, 2017 in intra-day trade, had corrected nearly 4% to close at 9,710 on August 11.

IndusInd Bank surged 6% to Rs 1,792 after the bank and Bharat Financial Inclusion said they entered into an exclusivity agreement for agreeing to have an exclusive discussion about the proposed potential strategic combination by way of amalgamation through a scheme of arrangement, or any other suitable structure.

The management of IndusInd Bank has been authorized to explore strategic opportunities for the expansion of business of the bank and to assess the viability of strategic partnership, collaboration, or restructuring opportunities from time to time,” IndusInd Bank said in a statement.

Maruti Suzuki India was up 2% to Rs 8,119 in intra-day trade, extending its 6% gain in past eight trading sessions. The country’s biggest car maker has reported a strong double digit growth of 26% in domestic passenger vehicle sales for August as dealerships prepare for the festive demand that begins later this month.

HDFC Bank, too, was up nearly 2% to Rs 1,824 in noon deal. According to analyst at Choice Institutional Research, after adequate expansion in network, bank is likely to focus on operating efficiencies along with digital initiative which we think to boost profitability and business.

“Aggressive expansion in liability franchise in last fiscal has started yielding benefits with business growing at higher pace. Focus on high yielding retail and less risky working capital loans coupled with strong traction in low cost deposits provided boost to bank’s margin. Bank is well capitalized and assets quality is expected to remain stable going forward,” the brokerage firm said in Q1FY18 results update with potential price of Rs 1,945.

HUL was up 1% at Rs 1,224 after hitting a new high of Rs 1,232 in intra-day trade. The stock of fast moving consumer goods (FMCG) company was up 6% in past one month, against 2% rise in the Nifty50 index.

Notwithstanding trade inventory correction due to Goods & Service Tax (GST), HUL reported a robust growth of 5% in revenues and 14.6% growth in net profits in April-June quarter (Q1FY18). Continued focus on premiumization, strong new product funnel, consistent focus on cost rationalisation and higher share of organised players post GST would drive accelerated growth for HUL in coming years, Reliance Securities said in a note.

The brokerage firm recommended ‘buy ‘ rating on the stock with a target price of Rs 1,296 as it expect HUL to sustain premium valuations on the back of improved growth trajectory and superior return ratios compared to peers.

COMPANY	LATEST	ALL TIME HIGH	PREV HIGH	PREV DATE	31/12/2016	% chg
HDFC BANK	1816.00	1823.75	1809.15	01-Aug-17	1204.20	50.8
HIND. UNILEVER	1224.60	1232.00	1222.80	31-Aug-17	826.30	48.2
INDUSIND BANK	1780.90	1792.45	1715.15	07-Sep-17	1107.45	60.8
MARUTI SUZUKI	8111.00	8118.80	7979.75	08-Sep-17	5323.00	52.4
Nifty	10006.20	-	10137.85	02-Aug-17	8185.80	22.2
Latest price on NSE in Rs at 12:27 PM