Economy

Market Movers: As Covid cases rise, multiplex stocks catch the bug again

As India recorded a rise in covid-19 casesshare prices of multiplex operators tanked big time on Monday, as investors saw their outlook deteriorating once again.

India logged 4,518 new coronavirus infections on Sunday, which is more than double of what it recorded a couple of weeks back. An increase of 1,730 cases in the active Covid-19 caseload in a span of 24 hours.

“Multiplex industry being a highly sensitive sector, the possibilities of such reactions are inevitable. The recent rally was in anticipation of better business outlook on the back of subsiding Covid cases. However, the current spike in cases and reinstatement of restrictions forced investors to rethink the pace of such recovery. These stocks will continue to move in tandem with these developments,” said Vinod Nair, Head of Research at

,



On Monday, tumbled over 5 per cent, while PVR closed down about 2 per cent. Besides multiplexes, shares of casino operator fell over 2 per cent, hotel chain about 2 per cent and over 4 per cent.

Order keeps flowing in

Shares of

jumped about 3 per cent to Rs 540 after the company said it received new work orders worth Rs 154.89 Crores (excluding GST) in the Institutional, residential and precast segment. With this, the total work orders received during the financial year 2022-23 to date amounts to Rs 549.62 crore, the firm said in a regulatory filing.

“Further, we would also like to inform you that we have emerged as Lowest Bidder (L1 Bidder) for a government medical college and hospital in Gujarat with a bid value worth Rs 615.18 crore,” the company said.

Extends Gains

Aether Industries, which made its D-Street debut last week, extended gains to another day on Monday. The stock closed up over 3 per cent to Rs 801 per share.

The stock had jumped about 21 per cent on Friday.

Brokerage firms have mixed opinions on the counter as few consider Aether a long term play, whereas others recommend investors book profits and exit the counter. However, some of them have a strategy to book partial profits.

Santosh Meena, Head of Research,

, believes that the company deserves the premium valuations due to its phenomenal growth prospects. On the other hand, Astha Jain, Senior Research Analyst, Hem Securitiessuggested investors book partial profits and suggested investors keep the remaining portion for the long run.

Source link

Related Articles

Leave a Reply

Your email address will not be published.

Back to top button