United Breweries: Re-opening of bars, cash reserves augur well for the stk

Analysts at ICICI Securities believe that apart from re-opening of the economy and the subsequent business revival in the medium-to-long term, the company's virtual debt-free status provides comfort

Shares of liquor-maker United Breweries extended its gains into second straight day, adding 3.6 per cent in the intra-day trade, to quote at Rs 1,008.6 apiece on the BSE on Tuesday. In two days, the stock has rallied nearly 5 per cent on the BSE, as against 1.6 per cent gain in the benchmark S&P BSE Sensex.

The stock eventually settled 3.2 per cent higher, at Rs 1,004, on the BSE. In comparison, the S&P BSE Sensex ended 477 points, or 1.26 per cent, higher at 38,528 level.

On Friday, August 14, the Bengaluru-based firm posted a consolidated net