Bharat Forge drops on buzz of a foreign brokerage retaining reduce rating on the stock

Bharat Forge lost 0.89% to Rs 744.45 at 12:54 IST on BSE on reports that a foreign brokerage has retained its reduce rating on the stock with a target price of Rs 636.

Meanwhile, the S&P BSE Sensex was down 13.50 points or 0.05% at 26,829.53.

On BSE, so far 29,000 shares were traded in the counter as against average daily volume of 76,297 shares in the past one quarter. The stock was volatile. The stock lost as much as 1.88% at the day's low of Rs 737 so far during the day. The stock rose as much as 0.31% at the day's high of Rs 753.50 so far during the day. The stock had hit a 52-week low of Rs 705 on 24 May 2016. The stock had hit a 52-week high of Rs 1,292.50 on 20 August 2015. The stock had underperformed the market over the past one month till 3 June 2016, sliding 5.63% compared with Sensex's 6.39% rise. The scrip had also underperformed the market in past one quarter, declining 9.14% as against Sensex's 9.09% rise.

The large-cap company has equity capital of Rs 46.56 crore. Face value per share is Rs 2.

The target price of Rs 636 for the Bharat Forge stock set by the foreign brokerage is substantially lower than the ruling market price of Rs 744.45.

Bharat Forge's net profit fell 19% to Rs 164.52 crore on 17.4% decline in net sales to Rs 987.07 crore in Q4 March 2016 over Q4 March 2015.

Bharat Forge is the flagship company of Kalyani Group. It is a global provider of high performance, innovative, safety & critical components and solutions to various industrial sectors including automotive, oil & gas, power, construction & mining, aerospace and rail & marine.

Powered by Capital Market - Live News