Street signs: HDFC Bank back in 'red flag' list, Sansera GMP at 15% & more

HDFC Bank back in ‘red flag’ list
 
Private sector lender HDFC Bank’s stock has been once again put in the ‘red flag' list, following an increase in shareholding of overseas investors. Last week, the stock was removed from the list — maintained by the NSDL— after the aggregate foreign investment in the stock fell below 71 per cent. A red flag gets activated whenever the foreign shareholding is less than 3 per cent of the permissible limit, which in HDFC Bank’s case is 74 per cent. As per NSDL’s website, the available headroom for FPI investment as on September 8 in HDFC Bank was 165.9 million shares. Over the past one month, shares of HDFC Bank are up 4 per cent, while the Sensex has gained 7 per cent.

 
Infosys buyback support ends
 

Some analysts have turned cautious on the Infosys stock following the closure of its Rs 9,200-crore share repurchase programme. Last week, the IT major announced the closure of its buyback after it utilised almost the entire amount. Under the buyback programme, which had commenced on June 25, Infosys bought back and extinguished 55.8 million shares at an average price of Rs 1,648.5 per share. The company had set the maximum buyback price of Rs 1,750. “Shares of Infosys have rallied sharply this year. The buyback gave solid support to the stock. Going ahead we could see an increase in volatility,” said an analyst.

 
Sansera GMP at 15%
 
Shares of Sansera Engineering are trading at a premium of 15-20 per cent in the grey market ahead of its IPO opening on Tuesday. The auto component maker has priced its issue between Rs 734 and Rs 744 per share. In the unofficial market, the stock is trading hands between Rs 860 and Rs 890, said people in the know. Sansera’s IPO is entirely an offer for sale worth Rs 1,283 crore. At the top-end of the price band, the company’s market cap translates to Rs 3,823 crore. In FY21, the company had clocked a net profit of Rs 110 crore on revenue of Rs 1,550 crore.