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Bharti Infratel gains as foreign brokerage reiterates buy

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Capital Market
Last Updated : Sep 01 2015 | 12:02 AM IST

Bharti Infratel rose 2.44% to Rs 399.15 at 15:15 IST on BSE on reports that a foreign brokerage has reitererated buy rating on the stock.

Meanwhile, the S&P BSE Sensex was down 112.07 points or 0.42% at 26,280.31.

On BSE, so far 2.44 lakh shares were traded in the counter as against average daily volume of 4.54 lakh shares in the past one quarter.

High volatility was witnessed in the counter. The stock surged as much as 11.74% at the day's high of Rs 435.40 so far during the day. The stock rose 0.62% at the day's low of Rs 392.10 so far during the day. The stock had hit a record high of Rs 505 on 29 May 2015. The stock had hit a 52-week low of Rs 255.10 on 28 August 2014.

The stock had underperformed the market over the past one month till 28 August 2015, declining 10.59% compared with Sensex's 3.89% fall. The scrip had also underperformed the market in past one quarter, sliding 12.05% as against Sensex's 4.05% fall.

The large-cap firm has equity capital of Rs 1896.38 crore. Face value per share is Rs 10.

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The foreign brokerage reportedly said that not only does Bharti Infratel offer growth, a strong balance sheet and 3% dividend yield but also the tower industry in India is consolidating with several companies in excessive leverage. Adding to that, Bharti Infratel's planned merger and acqusition, especially to buy Idea Cellular and Vodafone's 20,000 towers, would be synergistic and add to growth, the brokerage added.

Meanwhile, Compassvale Investments Pte sold 1.73 crore shares of Bharti Infratel at an average price of Rs 380.04 per share in a bulk deal on the BSE on Friday, 28 August 2015.

On consolidated basis, Bharti Infratel's net profit rose 24.4% to Rs 575.70 crore on 6.1% growth in net sales to Rs 3015.70 crore in Q1 June 2015 over Q1 June 2014.

Bharti Infratel is a provider of telecom tower and related infrastructure.

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First Published: Aug 31 2015 | 3:17 PM IST

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