Sensex lifeline: high beeps and pratfalls

Sensex lifeline: high beeps and pratfalls

Hindustan Motors (7.5% down)

The Hindustan Motors stock fell 7.5% after accumulated losses for the fiscal year to 31 March resulted in the erosion of more than 50% of its peak net worth during the preceding four fiscal years. The company has said that it will report to the Board for Industrial and Financial Reconstruction.

ABB (5.97% down)

Shares of ABB closed down 5.97% after the firm reported dismal results. Sales rose 11.6% to Rs1,455 crore for the quarter to March, while net profit fell 91% to Rs6.6 crore. The firm reported the sixth straight quarter of hedging losses. It also incurred cost overruns in couple of large orders.

Dish TV (6% up)

Dish TV rose 6% after Citi started coverage on the firm with a buy rating and a target price of Rs48 per share. Citi expects recent capital issues will ensure funding for the next 18 months. It also expects the overall DTH subscriber base to double over the next two years to around 32 million.

Gujarat NRE Coke (4.3% down)

Shares of Gujarat NRE Coke closed down 4.3% after Australia announced a 40% tax on resource profits, which will start from 2012 and raise $11 billion in its first two years. Gujarat NRE has mining operation in Australia under its subsidiary Gujarat NRE Coking Coal.