At today’s high price, Tata Teleservices shares have gone up by 28.11 percent in just two days. Today, around 29.21 million shares were traded on BSE, which is more than five times the average of 5.79 million shares traded every two weeks. With a market capitalization (m-cap) of Rs 15,465.43 crore, the stock had a turnover of Rs 22.22 crore.
Shares of Tata Teleservices (Maharashtra) Ltd shot up by more than 18% on Thursday. This was the second day in a row that the company’s stock rose sharply. The stock rose 18.43% from its previous close of Rs 68.30 to a day high of Rs 80.89. At its high price today, the scrip has gone up by 28.11% in just two days. Today, about 33,355,000 shares were traded on BSE, which is more than five times the average of 5.79 lakh shares traded every two weeks. The counter’s turnover was Rs 25.46 crore, and the company’s market capitalization (m-cap) was Rs 15,281.67 crore.
The company will hold its Annual General Meeting (AGM) after the market closes on June 27, 2023. In comparison to a sequential — quarter-over-quarter (QoQ) — basis, Tata Tele reported a net profit of Rs 277.07 crore in the quarter ending in March 2023 (Q4 FY23). In Q4 FY23, businesses brought in Rs 280.13 crore in income. From a technical point of view, most experts thought that the stock looked “weak.” One of the experts said that Rs. 71 could be a short-term support level.
Vaishali Parekh, Vice-President of Technical Research at Prabhudas Lilladher, said, “After a short period of consolidation, the stock has shown a strong positive candle pattern on the daily charts to move past the resistance zone of Rs 70 and is going strong. It faces resistance near Rs 84.50, where it may find some stability or profit-taking, which could cause it to fall to Rs 71, which is a short-term support zone.
Ravi Singh, Vice President and Head of Research at Share India, said, “Based on the stock’s current technical setup, there may be some selling pressure.” The momentum signs show that the counter is moving in a weak direction. In the near future, the stock price may reach 60.”
Tata Teleservices is bullish on the daily charts but also overbought, with the next barrier at Rs 81.50, according to AR Ramachandran of Tips2trades. Investors should take their gains now, because it looks like the price could drop to Rs. 63 in the next few weeks.
As of the March quarter of 2023, the owners owned 74.36 percent of the business. Of the entire shareholding, Tata Teleservices had 48.30%, while Tata Sons (19.58%) and Tata Power (6.48%) each held a stake in the Tata Group.
Tata Teleservices helps business customers link to the Internet and talk to each other. Under the brand name Tata Tele Business Services (TTBS), it gives a range of ICT services to businesses in India. These services include connectivity, collaboration, cloud, security, IoT, and marketing solutions. TTBS offers one-stop-shop business solutions and managed services, as well as combined telecom solutions for businesses.
In a separate development, the Union Cabinet has cleared a Rs 89,047 crore revival package for Bharat Sanchar Nigam Ltd (BSNL), a state-owned telecom company that has been losing money. This package will help BSNL deploy 4G and 5G services in a market where private companies are the main players.
The move came just a few days after BSNL teamed up with Tata Consultancy Services (TCS), the crown jewel of the Tata Group, to help set up the 4G network. This is a big difference from the telecom industry, where its bigger competitors are putting in place the next-generation 5G network.
The standards for Indian stocks went down today, even though the Reserve Bank kept the key policy (repo) rate at 6.50 percent at its twice-monthly policy meeting in June. The local indices, which were moving close to their record closing highs from yesterday, went down in the afternoon as people took profits.