Sun TV rides high on positive signals, jumps 6.2%

This was Sun TV's highest intra-day level since April 2006

Shares of the Kalanithi Maran-owned Sun Television Network jumped as much as 6.2 per cent to its highest intra-day level since April 2006.

This was after brokerages upgraded their rating on the stock, on digitisation-led improvement in revenue and earning prospects. 

The recent trigger is the go-ahead to the Tamil Nadu government-controlled Arasu Cable TV Corporation to offer digital cable services. This the first time a state government is getting a Digital Addressable System (DAS) licence. Analysts at Edelweiss Securities say it is a positive trigger for Sun TV and other broadcasters, as it will hasten digitisation in a state