Buzzing large cap stocks

Some of the large-cap stocks have shown remarkable movement in prices over the last two days. While Avenue Supermarts surged 18.6 per cent on Tuesday, Divi’s Lab plunged 14.5 per cent today.

Goldman Sachs, a global financial services firm, has evaluated Avenue Supermarts with a ‘Buy’ rating and is expecting an upside of more than 50 per cent in the price from its Monday’s closing price of Rs 1025.85. It stated that company’s EBIT might grow by 13x in the upcoming 10 years, aided by this high growth, low margin and high return strategy. This led the stock price to surge by 18.6 per cent on Tuesday and made a fresh 52-week high of Rs 1217. Later, the stock closed at Rs 1116.80.

Divi’s Laboratories Ltd's share price today plunged by 14.5 per cent from its previous closing of Rs 961.70. It opened at Rs 886 and dipped to intra-day low of Rs 840 after the company clarified that observations in the Form 483 issued by the US drug regulator against its Unit 2 of Visakhapatnam facility do not appear to be procedural in nature.

Another large-cap company, Reliance Infrastructure’s subsidiary Reliance Naval & Engineering, is focusing on naval shipbuilding and looking to bid for six submarines contracts worth Rs 40,000 crore. Reliance Infra plans to raise funds via rights issue to increase its stake in the company. Today, the share price of Reliance Naval & Engineering was up by 2.8 per cent in the morning session from its previous close of Rs 53.95.