You are here: Home » News-CM » Equities » Hot Pursuit
Business Standard

Deepak Nitrite hits record high amid reports of power outage in China

Capital Market 

Deepak Nitrite jumped 9% to Rs 2,594.40, hitting a record high in intraday today.

On BSE, 90,000 shares were traded compared to its two week daily average of 46,000 shares. On NSE, 19.40 lakh shares were traded compared to monthly average of 7.7 lakh shares.

The counter hit a record high of Rs 2,618.35 in intraday today. From its 52-week low of Rs 701.85 hit on 20 October 2020, the stock has surged 270%. In the past one month, the stock has climbed 10.5% compared with 2.1% rise in Nifty 50 index.

The media reported that the power outage in China is seen impacting chemical output by as much as 25%.

China is in the grip of a power crunch as a shortage of coal supplies, toughening emissions standards and strong demand from manufacturers and industry have pushed coal prices to record highs and triggered widespread curbs on usage.

Widening power shortages in China have halted production at numerous factories including many chemical manufacturers, which could benefit Indian speciality chemical makers.

Deepak Nitrite is one of the leading suppliers of chemical intermediates. It has a diversified portfolio of intermediates that cater to the dyes and pigments, agrochemical, pharmaceutical, plastics, textiles, paper and home and personal care segments in India and overseas.

The chemical maker's consolidated net profit jumped 205% to Rs 302.6 crore on a 126% rise in net sales to Rs 1,526.22 crore in Q1 FY22 over Q1 FY21.

On the technical front, the stock's RSI (relative strength index) stood at 71.582. The RSI oscillates between zero and 100. Traditionally the RSI is considered overbought when above 70 and oversold when below 30.

The stock is trading above its 50 and 100 days simple moving average placed at 2233.03 and 2026.12 respectively. These levels will act as crucial support zones in near term.

Powered by Capital Market - Live News

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Mon, October 04 2021. 16:01 IST