Rakesh Jhunjhunwala retains stake in this hospitality company despite Covid-19 surge2 min read . Updated: 04 May 2021, 12:51 PM IST
- In this quarter, Rakesh Jhunjhunwala has given many surprises to those who follow his portfolio shares closely
Rakesh Jhunjhunwala portfolio went through huge overhauling in January to March 2021 quarter. In this quarter, the 'Warren Buffett of India' has given many surprises to those who follow his portfolio shares closely. In the March ended quarter, Rakesh Jhunjhunwala changed his shareholding in 12 stocks. The Big Bull of the Indian stock market cut down his stake in one of his most favourite stocks Titan Company and retained share holding in hospitality industry company Indian Hotels Company Limited.
Like Titan Company, this decision of Rakesh Jhunjhunwala, to keep Indian Hotels Company Limited stake unchanged, is surprising because due to the Covid-19 surge, hospitality industry is going to emerge as one of the worst hit sectors and Indian Hotels Company being a major player in the hospitality industry can't remain insulated from this Covid-19 heat.
Rakesh Jhunjhunwala holdings in Indian Hotels Company
As per the Indian Hotels Company shareholding pattern available with the BSE, Rakesh Jhunjhunwala net worth in terms of share holding is 2.10 per cent in which he and his wife Rekha Jhunjhunwala together holds 1.05 per cent Indian Hotels Company shares each. The total number of shares held by the market magnet duo is 2,50,20,000 (1,25,10,000 each). According to the shareholding pattern of the Hospitality Company for both December 2020 and March 2021 quarter, Rekha Jhunjhunwala and Rakesh Jhunjhunwala held same number of stocks in both quarters.
Speaking on the possible reason that could have prompted Rakesh Jhunjhunwala to keep his stake in the company unchanged Ravi Singhal, Vice Chairman at GCL Securities said, "Covid-19 will definitely hit the hospitality and tourism industry very badly. But, the major hit in the industries mentioned will be on the small players. Indian Hotels Company Limited is a larger player and it can sustain the Covid-19 wave. In the long-term perspective, this stock can be one of the sharp upside moving stocks once the market comes out of the Covid-19 impact. This could be one of the big reasons for Rakesh Jhunjhunwala keeping his holdings in the company unchanged."
On his suggestion to the Indian Hotels Company shareholders Ravi Singhal of GCL Securities said that one should maintain the stop loss below ₹88. He said that in the last fortnight, Indian Hotels shares price has been moving upward and managed to sustain above ₹100 levels. Currently, Indian Hotels share price at NSE is ₹111.90 (at 12:27 PM).
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