Shares of Shriram Finance Ltd. hit record high on Wednesday after Piramal Enterprises Ltd. sold its entire stake through a large trade.
"The company has sold its entire direct investment of 8.34% in the fully paid-up share capital of Shriram Finance Ltd. to third party investors, on the floor of the stock exchange," Piramal Enterprises said in an exchange filing. Piramal Enterprises Ltd. shares rose the most in over three years after the deal.
At least 3.12 crore shares, or 8.3% of equity, changed hand in a large trade, according to Bloomberg.
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As of March 31, Piramal Enterprises owned 8.3% stake in the company, while Shriram Capital held 18%, Bloomberg data showed.
Shares of Shriram Finance advanced 11.47% to Rs 1,738.6 apiece as of 09:36 a.m., compared to a 0.24% advance in the NSE Nifty 50. The stock hit its upper circuit of 15%, intraday.
The average traded volume so far in the day stood at 7.7 times its monthly average. The relative strength index was at 84, implying that the stock may be overbought.
Out of the 34 analysts tracking the company, 24 maintain a 'buy' rating, nine recommend a 'hold' and one suggests to 'sell' the stock, according to Bloomberg data. The average 12-month consensus price target implies a potential downside of 8.2%.
Shares of Piramal Enterprises Ltd. surged 11.53% to Rs 935.2 apiece as of 10:23 a.m., compared to a 0.18% advance in the NSE Nifty 50. The scrip rose as much as 14.73%, intraday, the most in over three years since June 1, 2020.
The average traded volume so far in the day stood at 24.7 times its monthly average. The relative strength index was at 84, implying that the stock may be overbought.
Eight analysts tracking the company maintain a 'buy' rating on the stock, according to Bloomberg data. The average 12-month consensus price target implies a potential upside of 2.7%.
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