Heard on the Street: Indian Hotels gains despite weak market

Indian Hotels gains despite weak market

Selling by a large institutional investor had little impact on Indian Hotels shares on Wednesday . Shares of the Tata Group-owned firm gained over 3% to . 106.70 in a falling market on three times the twoweek average trading volumes.

The buzz is that ‘Big Daddy’ of the domestic insurance industry was a seller in the stock on Wednesday. In the past, the insurance giant has sold in a rising market and purchased in a falling market. The company clocked a net loss of Rs 6.3 crore in the second quarter against a profit of Rs 11.9 crore in the corresponding quarter last year. Analysts said that this was due to subdued occupancy in some of its key markets.

A broker hardsells Hindalco to clients

‘Reward’ Brokerage has been accumulating shares of Hindalco Industries in sizeable quantities over the past few days. Analysts said Hindalco is expected to do well, with its US-based subsidiary Novelis showing improvement in earnings .

The broking firm, which has been a staunch supporter of Hindalco for a while, has drawn flak in the past for pushing the stock to its clients after the acquisition of Novelis. Hindalco has also witnessed a drop in debt, largely on the back of currency volatility, analysts said. Shares of Hindalco ended 1.6% lower at . 228 on Wednesday.

Contributed by Harish Rao & Shailesh Menon