Indus Towers, Sun Pharma and TCS scaled a fresh 52-week high; here’s why

On Friday afternoon, over 164 stocks advanced to 52-week highs, the benchmark indices, NIFTY50 traded at 24,750 level, soaring 1.5%, SENSEX is at 81,000 level, up 1.2% and the Nifty Bank at is hovering at 51,200 level, up marginally 0.6%, while the fear gauge India VIX fell to 12.46 levels.

The broad market indices remained in green with Nifty Midcap 100 up 1.76% and Nifty Smallcap 100 up 0.99%. Majority of the sectoral indices traded in green except private banks.

Three stocks that hit a fresh 52-week high on Friday, July 26, 2024

Indus Towers Ltd- India’s leading telecom tower’s stock of Friday’s morning session scaled fresh 52-week high at ₹447.35, surging around 5.30%.

The stock prices witnessed positive momentum as the company announced buyback of shares. In an Exchange filing the company informed that it has scheduled a board meeting on July 30, 2024 to consider the proposal of buyback.

The last buyback was carried out in June 2016 when the telecom tower company was named Bharti Infratel.The timing of buyback would be a strategic decision to benefit shareholders, as the recent Union Budget proposed tax on buyback in recipients hand,i.e shareholders. However the said provision of tax on buyback would be applicable from October 1, 2024. Therefore to benefit shareholders, the company might have decided to launch buyback before October 1.

In FY24 the company posted over 195% jump in net profit against muted revenue growth at 1% on YoY basis, the substantial rise in operating margin boosted the net profit.

The company’s Q1FY25 results are also expected to be out on July 30, 2024.The stock price has gained over 24% in the last one month and 90% in the last 6 months.

Sun Pharmaceuticals Industries Ltd - The pharma major's stock price on Friday’s early trade peaked to fresh 52-week high at ₹1,695.55, up around 1.8%.Today’s surge in share price, helped the pharma giant to cross ₹4 lakh crore mark in terms of market capitalisation

In today’s exchange filing the company informed, that the U.S. Food and Drug Administration (FDA) approved LEQSELVI™ (deuruxolitinib) 8 mg tablets for the treatment of adults with severe alopecia areata.

Alopecia areata is a common autoimmune disease in which hair loss is thought to occur due to the collapse of immune privilege, leading to the immune system targeting the hair follicles and causing sudden hair loss on the scalp, face and sometimes other areas of the body. Alopecia areata affects around 700,000 people in the United States, and 300,000 have severe alopecia areata, the press release by company stated.

In FY24 the company reported over 10% growth in consolidated revenue and around 18% growth in net profit on YoY basis. The stock price has soared over 52% in last 12 months

Tata Consultancy Services Ltd - India’s largest IT company’s stock price witnessed a spike of 1.6% on Friday with the stock price scaling to a fresh 52-week high at ₹4392.45. The IT stock seems to be building a positive momentum with last one month gain in stock price at 13.5%.

The Q1FY25 earning company reported a robust order book and transformational deals mark surprising the street. The Q1 results reported a decent growth with 8.72% rise on YoY in net profit at ₹12,040 crore against ₹11,074 crore in the corresponding period last year. Revenue grew at 2.24% YoY at ₹62,613 crore from ₹61,237 crore in the corresponding quarter last year. Operating margin for the quarter came at 24.7%. Net margin stood at 19.2%. The workforce strength stood at 6,06,998 with net addition of 5,452.

TCS recently announced that it expanded its partnership with Rolls-Royce to research hydrogen fuel system technology, continuing to prove hydrogen could be a zero-carbon aviation fuel of the future.