[ad_1]
Shares in Zee Entertainment Enterprises Ltd rose sharply in late trade on Friday in heavy volume, extending gains for a fifth straight session. The stock rose 10 percent to hit an intraday high of 207.55 rupees. It last closed at Rs 206.45, up 9.41 percent from the previous close of Rs 188.70. About 2.689 million shares were traded on the BSE today, more than four times higher than the two-week average of 671,000 shares. The counter turnover was Rs 536.8 crore and the market capitalization (m-cap) was Rs 1974.828 crore. Today’s buy orders are 2,78,299 shares and sell orders are 47,019 shares.
At today’s closing price of Rs 206.45, the stock has rebounded 19.86% from its 52-week low of Rs 172.25 on June 20, 2023. Still, the stock is down 28.04 percent from its one-year high of Rs 286.90 on October 6 last year.
Nuvama Institutional Equities said, “We expect revenue to grow 4% YoY in Q1 FY2024, while EBITDA will decline by 59.30% YoY. Zee EBITDA margins will remain under significant pressure in Q1 FY2024 due to Zee . Zee5 increased losses and other costs such as salary expenses increased. We expect moderate growth in advertising this quarter. Subscription revenue may grow 2-3% YoY. With margin recovery in the FMCG industry, we expect advertising spending to gradually recover in over the next few quarters.”
The broker also said: “We continue to await approval of the Zee-Sony transaction. The Zee-Sony merger has seen significant delays and remains a key monitor for a re-rating on the stock.”
The much-hyped merger between the two giants, Zee and Sony Group, has been delayed for a variety of reasons. Zee and Sony signed a definitive merger agreement in December 2021.
On Thursday, the National Company Law Tribunal (NCLT) postponed a hearing in the Zee-Sony merger case until next week. The NCLT will hear the case on July 10.
In another development, the National Company Law Appellate Tribunal (NCLAT) dismissed the bankruptcy plea after the media giant settled with IndusInd Bank after paying all owed to financial creditors.
Meanwhile, the benchmark index of Indian stocks fell sharply after hitting a record high in early trade. The 30-share BSE Sensex lost 505 points, or 0.77%, to 65,280, while the broader NSE Nifty lost 166 points, or 0.85%, to 19,332.
Also read: TVS Motor launches TVS RONIN in Indonesia, shares rise
Also read: Olectra Greentech Shares Extended Rally Today, Rising 16% to Hit 52-Week High; Here’s Why
[ad_2]
Source link