Latest news with #Gorakshkar
Mint
4 days ago
- Business
- Mint
ICICI Lombard, Go Digit to New India Assurance: Why are general insurance stocks rising? EXPLAINED
Stock Market Today: ICICI Lombard, Go Digit to New India Assurance, the general insurance stocks, gained during the intraday trades on Wednesday despite weak markets. The gains in the general insurance stocks, such as ICICI Lombard General Insurance Company Ltd., Go Digit General Insurance Ltd , The New India Assurance Company Ltd., and others, are fueled by the fact that there are speculation about the Government of India (GoI) approving the Insurance Regulatory and Development Authority of India or IRDAI's proposal to raise term plan insurance premiums. Led by these expectations, the general insurance stocks are rising today. Avinash Gorakshkar, Head of Research at Profitmart Securities, attributed the rise in general insurance stocks to the buzz about the Government of India (GoI) considering approving IRDAI's suggestion for a hike in the term plan insurance premiums by around 18%. This has triggered buying buzz in general insurance stocks, as Dalal Street believes the GoI move would fuel revenue and profit of the general insurance companies by around 4% to 5%, said Gorakshkar. However, it is completely speculative, as the GoI has yet to make any announcement, added Gorakshkar. Those who have a high risk appetite can look at ICICI Lombard shares, as it has the highest market share and business volume, said Gorakshkar. The general insurance industry posted growth of 6.5% year-on-year in May '25, as per JM Financial Institutional Securities data. The segmental data continued to signal positive signs in May 2025—fire grew 17% year-on-year to ₹ 26000 crore, engineering grew 35% to ₹ 520 crore, and health grew 9% year-on-year to ₹ 9100 crore, as per JM Financial. Despite the general insurance sector's modest like-to-like growth of 8.6%, FY26 got off to a robust start in April and May, with YoY growth of 10% plus as per JM Financial. Their preferred insurer at the current market price is ICICI Lombard, which they value at 32 times FY27 estimated earnings per share of ₹ 67 with a target price of INR 2,150 for growth of 13% and 15% in FY26 and FY27, respectively, and an RoE that is continuously over 17%. General insurance stocks, such as ICICI Lombard General Insurance Company Ltd., Go Digit General Insurance, and The New India Assurance Company, among others, gained up to 1.5% during the intraday trades on Wednesday despite weakness in the Indian stock markets. Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of individual analysts or broking companies and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Mint
5 days ago
- Business
- Mint
Tanla Platforms buyback: Price, date, acceptance ratio, other details. Should you participate?
Tanla Platforms, on June 16, announced that the board has approved a share buyback of 20 lakh shares, which accounts for approximately 1.5 per cent of the company's total equity. The buyback will be conducted at a price of ₹ 875 per share, which is 33 per cent premium over the previous closing price of ₹ 657.15 on the National Stock Exchange (NSE). 'We wish to inform that the Board of Directors of the Company in its meeting held on June 16, 2025, considered and approved the proposal for buyback of up to 20,00,000 fully paid up equity shares of the Company having a face value of INR 1/- (Indian Rupee One Only) ('Equity Shares') representing up to 1.49 % of the total number of Equity Shares in the existing total paid-up Equity Share capital of the Company, at a price of INR 875/- (Indian Rupee Eight Hundred and Seventy Five only) per Equity Share ('Buyback Offer Price'), payable in cash for an aggregate amount not exceeding INR 175,00,00,000/- (Indian Rupee One Hundred and Seventy Five Crore only) (the 'Buyback Offer Size'), being 24.81% and 7.78% of the aggregate paid-up Equity Share capital and free reserves of the Company as per the latest audited standalone and consolidated financial statements of the Company as on March 31, 2025, respectively (the 'Buyback'),' the company said in an exchange filing. The company will circulate the postal ballot notice exclusively through electronic means. Remote e-voting will begin at 9:00 a.m. on Tuesday, June 17, 2025, and conclude at 5:00 p.m. on Wednesday, July 16, 2025. The record date for the share buyback has not been decided yet. The buyback price of ₹ 875 is almost same to the stock's trading level in 2022, when the company had announced its previous buyback. Avinash Gorakshkar, Head of Research at Profitmart Securities, recommends investors to apply for the Tanla Platforms buyback offer. However, he believes that Tanla Platform buyback size is small, and more applications for the buyback offer can be expected. 'The Tanla Platform's buyback size is just 1.49% of the total paid-up shares of the company. So, the Tanla Platform buyback size is small, and we expect more applications for the buyback offer. Hence, the Tanla Platform's buyback ratio of acceptance is expected to remain low. But, looking at the premium and market conditions, Tanla Platforms shareholders are advised to apply for the Tanla Platforms buyback offer,' Gorakshkar said. On the other hand, Anshul Jain, Head of Research at Lakshmishree Investments, pointed out that volumes during the base formation have been broadly accumulative, the recent Tanla Platforms buyback announcement failed to ignite momentum. 'Tanla Platforms share price is developing a 107-day-long rounding bottom pattern on the daily chart and is gradually approaching the neckline resistance at ₹ 776. This indicates that traders are awaiting a technical breakout above the neckline. A strong close above ₹ 776, supported by volume, will confirm the pattern and open upside potential toward the ₹ 850 to ₹ 875 zone,' Jain said. Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
Mint
10-05-2025
- Business
- Mint
India-Pakistan war buzz: Sensex tanks 880 points, Nifty 50 near 24K; why is Indian stock market falling? 5 key reasons
Stock market today: Despite showcasing resilience against the India-Pakistan war buzz, the Indian stock market witnessed sell-off pressure on the last two sessions last week. After going off on Thursday, key benchmark indices of Dalal Street came under sharp selling pressure on Friday. On Friday, the BSE Sensex tumbled 880 points, or 1.10%, marking its steepest intraday fall since April 7, to settle at 79,454. Meanwhile, the Nifty 50 crashed 265 points, or 1.1%, to close slightly above the 24,000 mark at 24,008. For the week, both indices lost over 1.30%, snapping their four-week winning streak. The mid-cap index however, stood resilient. Although it started the session with deeper cut, it swiftly recovered in the following hours of trading. The Nifty Midcap 100 index rebounded 1,130 points to settle with just a 0.01% drop at 53,223, while its peer, the Nifty Smallcap 100 index, recovered 320 points from the day's low but concluded the session with a 0.61% drop at 16,085 points, still outperforming the benchmark indices. In terms of individual stocks, 39 constituents of the Nifty 50 ended the session in the red, while the remaining 11—led by Tata Group stocks including Titan Company and Tata Motors—finished the session in the green despite weak market conditions. According to stock market experts, this fall in the Indian stock market for the last two straight sessions can be attributed to five major reasons: the Indian-Pakistan conflict rising beyond an expected limit, weak global cues, rise in the US dollar rates, value buying in the crude oil prices and no concrete outcome from India-US trade deal talks. Speaking on the reasons for the Indian stock market fall on Friday, Avinash Gorakshkar, Head of Research at Profitmart Securities, said, 'It's true that the Indian stock market is falling, but we can't call it a crash as the Nifty 50 index is still above 24,000 levels. However, it's for sure that the market has become highly volatile after India's drone strikes in Pakistan. The India-Pakistan conflict has gone beyond the market estimates, and hence, investors are not in the mood to take any risk when the US Dollar Index has regained the crucial 100 levels. Crude oil prices have also surged, and major Asian indices like Shanghai and Hang Seng are under pressure.' Asked about the top five reasons that are dragging Indian stock market today, Gorakshkar said, 'There are the top 5 reasons that are dragging Dalal Street indices: Escalation in India-Pakistan conflict after drone strikes in Pakistan, weak global cues, rebound in US dollar rates, bottom fishing in crude oil, and not any concrete outcome from the India-US trade deal talks.' 1] India-Pakistan war buzz: 'The escalation in the India-Pakistan conflict after India's drone strikes in Pakistan has raised fears of an India-Pakistan war. Earlier, the market was expecting a surgical strike-like retaliation from the Indian government, but the tension seems more prolonged than expected earlier,' said Avinash Gorakshkar. On how much correction in the Indian stock market can be expected in the backdrop of India-Pakistan war buzz, Seema Srivastava, Senior Research Analyst at SMC Global Securities, said, 'The escalating tensions between India and Pakistan in 2025, marked by events such as the Pahalgam terror attack and India's Operation Sindoor, have introduced fresh volatility into the Indian stock market. However, historical trends suggest that Indian equities, particularly the Nifty 50, have demonstrated resilience during past geopolitical conflicts, with corrections typically limited to 5–10% and recoveries often swift.' 2] No concrete outcome from the India-US trade talks: 'Despite soon coming breakthrough claims from both sides, there is no such concrete evidence of a fruitful outcome from the India-US trade deal talks. So, the tariff uncertainty is still persisting, and hence, investors are not in the mood to keep their money in risky assets like equity,' said Gorakshkar. 3] Value buying in crude oil price: 'After the fall in the crude oil prices from around $75 per barrel to around $60 per barrel in the international market, some value buying is taking place in the black gold. This is also a reason for investors squaring off their positions in the Indian equity market,' said Anshul Jain, Head of Research at Lakshmishree Investment and Securities. 4] Rise in US dollar rates: 'After the 90-day pause in Trump's tariffs, the US dollar index witnessed a sharp decline and came around 98 levels. However, the American currency has once again become bulls' favourite and the US dollar index has regained the crucial 100 levels, which is also a major trigger for selling pressure on Dalal Street,' said Anshul Jain. 5] Weak global market cues: Avinash Gorakshkar of Profitmart Securities said that Asian markets are also mixed as Shanghai and Heng Seng indices are trading red since morning. This could also be a reason for Dalal Street investors squaring off their positions. Stock market outlook amid India-Pakistan war buzz Asked about the outlook of the Indian stock market amid rising geopolitical tension, Rajesh Bhosale, Equity Technical Analyst, Angel One, said, 'Going ahead, market direction will remain highly sensitive to developments on this geopolitical front. The sharp rally from the April lows of 21700 has now lost momentum, with the index slipping towards the key moving averages like the 20DEMA and the 200DSMA. Despite this, the market has shown some resilience, as the correction has been relatively contained given the magnitude of the geopolitical risks. The previous breakout level around 23800 now becomes a key support. A breach of this level could trigger further downside, with the next major support zone seen between 23600 and 23500, a confluence of the 50DEMA, 89DEMA, and the 38.2% Fibonacci retracement of the recent upmove. On the upside, immediate resistance lies between 24250 and 24300. A broader recovery may only unfold once Nifty decisively surpasses the stiff hurdle at 24600, which marks the 61.8% retracement of the fall from all-time highs. Given the ongoing uncertainty, volatility is expected to remain elevated. Hence, traders are advised to focus on intraday opportunities and avoid aggressive overnight positions.' Loud explosions were heard in parts of Jammu and Kashmir early Saturday, 32 airports have been shut for civilian flight operations, and a complete blackout has been imposed in Punjab's Jalandhar and in several districts of Jammu & Kashmir as tension between India and Pakistan continue to escalate. Meanwhile, the International Monetary Fund (IMF) approved the first review of Pakistan's economic reform program under the Extended Fund Facility (EFF), enabling a disbursement of approximately US $1 billion. India, however, firmly opposed providing funds to a country that continues to sponsor cross-border terrorism. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.
