 "Bharat Forge nears 52-week high; stock up 5%")
Bharat Forge rallied 5% to Rs 964, extending its past three days 5% gain on the BSE, after the company said it completed acquisition of Walker Forge Tennessee LLC and PMT Holdings Inc., USA for a total consideration of $14 million. The acquisition was done through its wholly-owned subsidiary, Bharat Forge America Inc., USA.
The stock trading close to its 52-week high of Rs 979 touched on October 10, 2016 during in intra-day trade. A combined 1.56 million shares changed hands on the counter on the BSE and NSE till 01:11 pm.
In past one-month, post September quarter (Q2FY17) results, the stock outperformed the market by gaining 13% as compared to 3.5% decline in the S&P BSE Sensex.
The company’s focus on cost control has resulted in EBITDA (earnings before interest, tax, depreciation and amortization) margins improving by 50 basis points from 26.5% in Q1FY17 to 27% in Q2FY17.
Looking ahead in to Q3, the company anticipates improved demand condition in India across automotive & industrial segments.
“We expect export markets to remain sluggish, although we see some green shots in Oil & Gas and allied sectors. The business has clearly bottomed out and we look forward to the growth journey ahead of us,” said B N Kalyani, chairman & managing director of Bharat Forge, while announcing Q2 results.
The stock trading close to its 52-week high of Rs 979 touched on October 10, 2016 during in intra-day trade. A combined 1.56 million shares changed hands on the counter on the BSE and NSE till 01:11 pm.
In past one-month, post September quarter (Q2FY17) results, the stock outperformed the market by gaining 13% as compared to 3.5% decline in the S&P BSE Sensex.
The company’s focus on cost control has resulted in EBITDA (earnings before interest, tax, depreciation and amortization) margins improving by 50 basis points from 26.5% in Q1FY17 to 27% in Q2FY17.
Looking ahead in to Q3, the company anticipates improved demand condition in India across automotive & industrial segments.
“We expect export markets to remain sluggish, although we see some green shots in Oil & Gas and allied sectors. The business has clearly bottomed out and we look forward to the growth journey ahead of us,” said B N Kalyani, chairman & managing director of Bharat Forge, while announcing Q2 results.
