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    Ambani Bros, Adanis lead the bull run; Tatas play catch-up

    Synopsis

    Five of Reliance Group stocks have rallied up to 112 per cent since March 24.

    Six of Gautam Adani group stocks have spurted up to 93 per cent, sending the group's market-cap 44 per cent higher to Rs 1.78 lakh crore from Rs 1.23 lakh crore.

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    NEW DELHI: Back-to-back investments in telecom venture Jio Platforms, notwithstanding a challenging environment, have given a major push to the Mukesh Ambani-owned Reliance Group stocks on Dalal Street from their March lows.

    Younger brother Anil Ambani’s Adag group stocks, otherwise a pack of underperformers, have also responded well, rising 32 per cent since March 24, largely in line with BSE Sensex's 33 per cent rise.

    Gautam Adani group stocks rallied, but shares of Tata and Bajaj groups have lagged behind, data compiled from corporate database Ace Equity suggests.

    While the number of coronavirus cases has hit the 2 lakh mark in India, the government’s decision to 'unlock' the economy in a phased manner following two months of rigorous lockdown has lifted market sentiment over the past few weeks.

    "Globally, equity markets are likely to be supported by strong liquidity and growth stimulus. Investors may be willing to look past near-term earnings declines, hoping for a revival in FY22," said Nomura India.

    Five of Reliance Group stocks have rallied up to 112 per cent since March 24, and RIL was not among top three gainers. Hathway Cable & Datacom has vaulted 112 per cent, followed by Hathway Bhawani Cabletel & Datacom (up 96 per cent) and Den Networks (up 88 per cent). Reliance Industrial Infrastructure has rallied 68 per cent. Reliance Industries gained 73 per cent, which pushed the group’s market capitalisation past the Rs 10 lakh crore mark at Rs 10,45,843 crore, up 74 per cent over March 24's Rs 6,01,424 crore.

    Six of Gautam Adani group stocks have spurted up to 93 per cent, sending the group's market-cap 44 per cent higher to Rs 1.78 lakh crore from Rs 1.23 lakh crore. Adani Green jumped 93.41 per cent, followed by Adani Gas (51.77 per cent), Adani Ports (46 per cent) and Adani Power (44 per cent). However, two other group stocks -- Adani Enterprises (up 15 per cent) and Adani Transmission (up 0.99 per cent) -- did not enthuse investors as much.

    Aditya Birla group gave two multibaggers during this period: Vodafone Idea (up 130 per cent) and lesser known Tanfac Industries (105 per cent). Hindalco (up 59 per cent), Aditya Birla Money (up 51 per cent) and Grasim (up 50 per cent) helped the group raise its market cap by 36 per cent to Rs 2.26 lakh crore from Rs 1.65 lakh crore on March 24.

    In the case of Anil Ambani stocks, Reliance Power (up 95 per cent), Reliance Capital (up 89 per cent) and Reliance Infra (up 88 per cent) and Reliance Home (up 45 per cent) -- have pushed the group market-cap higher by 31 per cent. Reliance Naval was the only exception during this period, falling 35 per cent.

    Among Bajaj stocks, five of 10 names beat Sensex returns. Bajaj Hindusthan Sugar rallied 84 per cent, Bajaj Electricals 46 per cent, Bajaj Auto 44 per cent, Bajaj Holdings & Investment 44 per cent and Hercules Hoists 37 per cent. But Bajaj Finance, the largest group company by market capitalisation fell 5 per cent during the period, thus weighing on the group market-cap, which rose a mere 12 per cent during this period to Rs 3.39 lakh crore from Rs 3.01 lakh crore.

    From among its 28 listed stocks, Tata group could deliver only one multibagger during the period, Tata Communications (107 per cent). The group emerged most-impacted by the coronavirus crisis with a total market capitalisation at Rs 10.61 lakh crore, beating Reliance’s Rs 10.45 lakh crore. Group stocks Tayo Rolls, Tata Chemicals, Nelco, TRF, Tata Coffee, Tinplate Company of India, Rallis India, Tata Elxsi, Tata Consumer Products, Tata Teleservices (Maharashtra) and Tata Motors gained 40-80 per cent.

    The group’s most-valued stock, TCS, with a market-capitalisation of Rs 7.68 lakh crore underperformed the market with just 20 per cent gain, which resulted in just 22 per cent rise in the group's aggregate market-cap.
    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds.)

    3 Comments on this Story

    Ramesh Juvekar38 days ago
    Both the houses running on hot Air.
    misdeeds always catch-up.
    You can brush it aside.
    The old business houses are buried in history.
    you can stack wealth,real or other wise,all over the world.
    The day of reckoning is not far behind.
    China and Chinese are an Eye opener.
    Crime'and Punishment go hand in hand.
    Ky Sridhar38 days ago
    Tatas take the country along as they grow... The other two grow and let the country catch up...
    So the headline is not surprising
    Pankaj 39 days ago
    within three month's all these stock will down by 60 percent,, once corona will cross half a million,
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