Select textile stocks gain in weak market; RSWM, Nandan Denim up over 5%

Nahar Spinning Mills, Welspun India, Aditya Birla Nuvo, Reliance Chemotex and Nahar Polyfilms were up 3%-20%.

Shares of select textile companies were trading higher by up 20% on the bourses in other wise weak market. Nadan Denim, Nahar Spinning Mills, RSWM, Welspun India and Aditya Birla Nuvo were up 3%-12% on the BSE as compared to 0.52% decline in the S&P BSE Sensex.

Reliance Chemotex Industries and Nahar Polyfilms have locked in upper circuit of 20% each at Rs 68 and Rs 52.85, respectively.

Nandan Denim rallied 12% to Rs 166 on the BSE in intra-day trade. In past one-week, the stock surged 25% after the company made allotment of 2.5 million equity shares to Polus Global Fund following the exercise of convertible warrants at a conversion price of Rs 200 each.

RSWM surged nearly 9% to Rs 419, extending its 13% rally in past four trading sessions post March quarter results. The company reported 7% growth in profit at Rs 32 crore, while margins for the quarter came in at 15.2% versus 14.4% Q4FY15.

Meanwhile, thus far 58 textiles companies so far declared their Q4FY16 results, have posted a strong 78% year on year growth in aggregate net profit at Rs 1,566 crore. These companies had a combined net profit of Rs 879 crore in Q4FY15