Hind Lever spurts on bargain buying

DALAL STREET SPIKES

Bargain hunting at lower levels spurted HLL counter which has been on a upside over the past few days. The stock in Thursday's trading was up 2.24 per cent to Rs 118.65 after hitting the day's high of Rs 119.90. The counter witnessed volumes of more than 18.25 lakh shares on the BSE.

The stock has bounced back from its recent low of Rs 110.85 on September 3, to Thursday's close of Rs 118.65. Volumes too have improved over the past few days.

A price war in the detergents and shampoo segment and further competition from smaller brands in the rural sector has resulted in few leading broking firms downgrading the stock.

However, market sources indicated that a leading foreign broking firm has put a buy call on the stock in its recent report citing signs of recovery in the sluggish FMCG market, historically low valuation and attractive dividend yield.