TBZ rallies on heavy volumes, stock soars 24% in three days

The stock has been almost doubled in past two month from Rs 88 on August 16 on the BSE.

Tribhovandas Bhimji Zaveri (TBZ) has soared 6% to Rs 173, extending its over 16% rally in past two trading days on back of heavy volumes in otherwise subdued market.

As many as a combined 1.47 million shares have already changed hands on the counter in early noon deals against an average sub one million shares that were traded daily in past two weeks.

The company a leading jewellery retailer has outperformed the market by gaining 24% in past three trading sessions on the BSE compared to 0.47% fall in the benchmark Sensex on hopes of higher demand in festival seasons.

The stock has been almost doubled in past two month from Rs 88 on August 16 after the company opened four new showrooms, two each in Gujarat and Kolkata.

The management expects sales to witness marked improvement during the third quarter (September-December) of current financial year 2013 with 22% higher wedding dates.

“The management is looking to increase store count to 57 by FY15 versus 14 in FY12. Out of these 12 stores are expected to be added during FY13,” J P Morgan said in its recent company visit note.