Crompton Greaves is trading higher by 4% at Rs 125 on hopes that the benefits of recovery are likely to improve earnings of the company over the next few quarters.
The stock opened at Rs 120 and touched high of Rs 127, also its 52-week high in noon deals on the BSE. A combined 6.79 million shares have changed hands on the counter till 1350 hours on the BSE and NSE.
Since November 8, shares of heavy electrical equipment maker has rallied 20% after the company reported 30bps operating margins improvement led by cost reduction for the quarter ended September 30, 2013. The benchmark S&P BSE Sensex has lost 0.58% during the same period.
The management expects its international subsidiaries to improve performance in H2FY14, largely driven by improved profitability in Belgium and Hungary. While Canada and USA subsidiaries continue to post losses, management is working on their rescue plan, says analyst at Prabhudas Lilladher in report.
Strong traction in exports from standalone power business and consumer businesses are expected to support growth and profitability in the standalone entity in the near term. Company’s strong product portfolio, improved its geographical reach and better manufacturing footprint should help the company deliver once the cycle turns, add analyst.
The stock opened at Rs 120 and touched high of Rs 127, also its 52-week high in noon deals on the BSE. A combined 6.79 million shares have changed hands on the counter till 1350 hours on the BSE and NSE.
Since November 8, shares of heavy electrical equipment maker has rallied 20% after the company reported 30bps operating margins improvement led by cost reduction for the quarter ended September 30, 2013. The benchmark S&P BSE Sensex has lost 0.58% during the same period.
The management expects its international subsidiaries to improve performance in H2FY14, largely driven by improved profitability in Belgium and Hungary. While Canada and USA subsidiaries continue to post losses, management is working on their rescue plan, says analyst at Prabhudas Lilladher in report.
Strong traction in exports from standalone power business and consumer businesses are expected to support growth and profitability in the standalone entity in the near term. Company’s strong product portfolio, improved its geographical reach and better manufacturing footprint should help the company deliver once the cycle turns, add analyst.
