Markets in Post -Budget scenario…Scaling new Highs

Markets in Post Budget Scenario Scaling New Height

Markets are in peak mode. LIC shares goes above IPO issue rate.

Mid cap and small cap scale new Highs.

LIC shares surge to new heights, breach ₹1000 mark with a 8.8% jump

Shares of Life Insurance Corporation (LIC), India’s largest life insurer, soared 8.8% in today’s intraday, crossing the ₹1000 level for the first time, touching a record high of ₹1,028 apiece.

Shares of Life Insurance Corporation (LIC), India’s largest life insurer, soared 8.8% in today’s intraday, crossing the ₹1000 level for the first time, touching a record high of ₹1,028 apiece. 

Shares of Life Insurance Corporation (LIC), India’s largest life insurer, soared 8.8% in today’s intraday, crossing the ₹1000 level for the first time, touching a record high of ₹1,028 apiece.

Following a subdued performance post-listing, LIC shares experienced a notable upswing in November, concluding with a substantial gain of 12.83%. This positive trend continued into the next two months, with an impressive rise of 22.52% in December and 14% in January.

On January 23, the company’s shares exceeded the IPO price of ₹949 per share, marking a notable milestone post-listing. Since then, the stock has maintained its upward momentum, consistently achieving fresh record highs. This sustained surge has proven to be rewarding for early investors who have retained their positions since the listing.

Surging to a new all-time high, the company’s market capitalization reached ₹6.50 lakh crore, securing its position as the sixth-largest listed company in India and the foremost among government-listed PSU companies.

In December, the government granted a one-time exemption to LIC to achieve the required 25% minimum public shareholding (MPS) within 10 years. The originally required to meet the 25% MPS rule by 2027.

The government held a 96.5% stake in the company at the end of Q3 FY24, while retail investors and domestic institutional investors each held 2.4% and 1% stake, respectively.

Buy or sell stocks for today: After witnessing high volatility with a positive bias Indian stock market ended higher on Friday. The Nifty 50 index finished 156 points higher at the 21,853 level and the BSE Sensex surged 440 points and closed at the 72,085 mark. However, the Bank Nifty index lost 217 points and ended at the 45,970 level. The small-cap index rose less than the Nifty 50 index even as the advance-decline ratio rose to 1.17:1.

In the broad market, both small-cap and mid-cap indices touched a new high on Friday. The small-cap index ended 0.49 percent higher after touching a new lifetime high of 46,469 while the mid-cap index finished 0.80 percent northward after touching a new peak of 39,140.

On the outlook for the Nifty 50 today, Vaishali Parekh said, “Nifty 50 index creates history once again to hit the All-Time high of 22,126 during the intraday session but fizzled out post-lunch session to erase most of the gains to end near 21,850 levels with bias and sentiment still maintained positive. As mentioned earlier, the index has maintained the important support zone of 21,500 levels intact while on the upside, as of now, a close above 22,000 is much required to carry on with the positive note further ahead.”

“Bank Nifty witnessed heavy profit booking the second half of the trading session after resisting near the 46,900 zone to end near the low of 45,950 levels. The index would need a decisive close above the 46,l300 zone of the significant 50EMA level to establish some conviction and expect for further rise,” said Parekh.

Parekh went on to add that the immediate support for Nifty today is placed at 21,700 while the resistance would be at the 22,000 level. Bank Nifty would have a daily range of 45,500 to 46,500 levels.

Stock market today: After witnessing high volatility with a positive bias Indian stock market ended higher on Friday. The Nifty 50 index finished 156 points higher at the 21,853 level and the BSE Sensex surged 440 points and closed at the 72,085 mark. However, the Bank Nifty index lost 217 points and ended at the 45,970 level. The small-cap index rose less than the Nifty 50 index even as the advance-decline ratio rose to 1.17:1.