PSU banks, Magma Fincorp drive S&P BSE SmallCap index near record high

The S&P index hit a fresh 52-week high of 20,064 points, up 1 per cent on the BSE in the intra-day trade on Thursday, on the back of continued upward movement in public sector undertaking (PSU) banks. The smallcap index is 133 points away from its all-time high level of 20,183 points touched on January 15, 2018.

Indian Overseas Bank and Central Bank of India rallied 20 per cent each while Bank of Maharashtra was up 10 per cent on the BSE today. In the past one week, these banks have surged between 64 per cent and 67 per cent on report that the government has shortlisted these mid-sized state-run banks, along with Bank of India, for privatisation.

Apart from PSU banks, OnMobile Global, Goldiam International, Magma Fincorp, Adani Total Gas, Shankara Building Products, Majesco, Greaves Cotton, HLE Glascoat, Linde India, Sadbhav Engineering, Mayur Uniquoters and HEG have rallied over 25 per cent in the past one week. The S&P index has advanced 2.04 per cent, as compared to a 1.9 per cent gain in the S&P BSE Midcap and 0.44 per cent rise in the S&P BSE Sensex during the period.

Among the individual stocks, OnMobile Global shares hit a fresh 52-week high of Rs 113.90, up 9 per cent in intra-day trade today. The stock of the telecom services provider has soared 58 per cent during the week. In the past one month, it has rallied 103 per cent after its net profit more-than-doubled to Rs 12 crore in Q3FY21 from Rs 6.5 crore in Q3FY20. Earnings before interest, taxes, depreciation, and amortization (EBITDA) margin improved 500 bps to 12.7 per cent from 7.7 per cent.

OnMobile provides end-to-end mobile entertainment solutions that include platform, apps, content partnerships, and professional services to carriers across the globe. Based on current deployments, OnMobile has over 100 million active subscribers and an addressable base of more than 1.68 billion mobile users across several geographies.

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

Source link