BL Kashyap and Sons sizzles on 'pledges shares release'

B L Kashyap and Sons announced release of 75 lakh shares

Jan 03, 2017 01:01 IST India Infoline News Service

B L Kashyap & Sons, a construction and infrastructure development company, announced release of 75 lakh shares, held by its promoters.

Currently the promoters’ stake stands at 67.41% i.e. 13.85 crore shares, of which 99.81% were pledged so far.

B L Kashyap & Sons has surged nearly 7% at Rs 21.40 post the news, and thereby has trailed above its 100 days EMA at 20.75 levels.

Company has initiated a reversal since last two weeks after reporting a low of Rs 18. This was driven by a rise of 47.5% in its Q2FY17 net profit.

Moreover, the company recently has received a letter of approval on its corporate debt restructuring plan. The stock is likely to follow a  positive trend once it breaks out of 22 levels in the medium term.

Stock commentary:

B.L.Kashyap & Sons Ltd is currently trading at Rs 21.3, up by Rs 1.35 or 6.77% from its previous closing of Rs 19.95 on the BSE.

The scrip opened at Rs 20.5 and has touched a high and low of Rs 22.35 and Rs 20.5 respectively. So far 404467(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs 409.85 crore.

The BSE group 'B' stock of face value Rs 1 has touched a 52 week high of Rs 28 on 01-Nov-2016 and a 52 week low of Rs 11.45 on 29-Feb-2016. Last one week high and low of the scrip stood at Rs 20.55 and Rs 18.25 respectively.

The promoters holding in the company stood at 67.41 % while Institutions and Non-Institutions held 9.77 % and 22.81 % respectively.

The stock is currently trading above its 100 DMA.

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