Shoppers Stop falls 11% & More on Today’s Market

Shoppers Stop falls 11%

On August 25, Shoppers Stop experienced an 11 percent decline in its shares during morning trade following the resignation announcement of Managing Director Venugopal Nair. The retail company revealed that Nair's departure, effective August 31, stemmed from personal reasons, aiming to dedicate more time to family and explore different opportunities. Kavindra Mishra, formerly Chief Commercial Officer of the in-house brand HomeStop, has been elevated to the role of Executive Director and Chief Executive Officer, assuming the position for a three-year term according to the company's press filing.

Sun TV stock hits 52-week high

Sun TV Network's shares achieved a 52-week high of Rs 615.85 on August 25 before retracing slightly to Rs 611.70 at 12:41 pm, displaying a 5 percent rise from the prior day's close. The day saw a trading volume of around 68 lakh shares, notably surpassing the average monthly volume of 17 lakh shares. Analysts maintained their buy rating for the stock, underlining the positive impact of the successful Rajnikanth movie 'Jailer,' produced by the company, which contributed to higher income from the movie distribution business. With 'Jailer' achieving a record-breaking opening day in the Tamil industry, the stock's prospects were further boosted by a 6 percent subscription revenue growth year-on-year due to price hikes resulting from the implementation of NTO 3.0. This led ICICI Securities to raise their target price to Rs 651, and the management's projection of increased advertisement spending in Q2FY24 also bolstered investor confidence. In the Q1FY24 report, the company disclosed a 10 percent YoY rise in revenue to Rs 1349.22 crore, nearly 20 percent growth in net profits to Rs 591.93 crore, and a 4.69 percent increase in Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) to Rs 918.35 crore. An interim dividend of Rs 6.25 per equity share was declared on August 11.

Jio Financial’s exclusion postponed by another 3 days

The exclusion of Jio Financial Services from the Sensex and other BSE indices has been rescheduled to September 1, extended by three days from the initially planned date of August 24. This adjustment comes as a result of the stock experiencing lower circuit limits on both August 24 and 25, prompting the postponement according to the S&P Dow Jones Indices. Initially set to be removed from the Nifty 50 and Sensex on August 24, the removal was first deferred to August 29 due to continued lower circuit triggers. However, given the consecutive lower circuit hits, the removal will now take effect before the start of trading on September 1, as communicated by the S&P Dow Jones Indices in an August 25 release.

Kaynes Technology zooms 14%

On August 25, Kaynes Technology witnessed a remarkable 14 percent upswing in its share price, reaching a 52-week peak of Rs 2,122.85 during early trading. This surge came following the company's signing of a memorandum of understanding (MoU) with the Karnataka government's electronics and IT department. The MoU outlines a substantial investment of Rs 3,750 crore, intended for the establishment of a semiconductor assembly and testing facility, along with a printed circuit board (PCB) manufacturing plant. These initiatives will be carried out through the company's step-down subsidiaries.

Conclusion

In today's market landscape, the Indian stock market witnessed a decline for the third consecutive session, as the benchmark indices, Sensex and Nifty, experienced losses. The Sensex concluded with a drop of 417.45 points (0.65%), closing at 64,799.95, while the Nifty decreased by 138.50 points (0.72%) to reach 19,227.30. Various sectors, including financial services, IT, and metal stocks, faced downturns, with the Nifty Financial Services index, Nifty IT index, and Nifty Metal index falling by 1.50%, 1.30%, and 1.15% respectively. Shoppers Stop encountered an 11 percent decline in shares due to the resignation of Managing Director Venugopal Nair, followed by Sun TV Network's shares hitting a 52-week high driven by the success of the movie 'Jailer' and positive subscription revenue growth. The exclusion of Jio Financial Services from indices was postponed, and Kaynes Technology's stock surged by 14 percent due to a strategic MoU with the Karnataka government. These events collectively highlight the dynamic shifts and developments in the Indian stock market, impacting various sectors and companies.

Source - Moneycontrol