Asian Paints stock gains over 2% after firm raises prices to offset input costs

Asian Paints stock rose over 2% in early trade today after the firm hiked prices by 4-5 percent  effective from December.

Asian Paints shares gained 2.44% to Rs 3,229 against the previous close of Rs 3,152 on BSE. It opened at Rs 3,153 on BSE today.

The large cap stock trades higher than 5 day, 20 day, 100 day and 200 day moving averages but lower than 50 day moving averages.

The share has gained 47.65% in one year and risen 16.8% since the beginning of this year. Total 0.66 lakh shares changed hands amounting to a turnover of Rs 21.10 crore on BSE.

Market cap of the firm rose to Rs 3.09 lakh crore.

The share hit 52-week low of Rs 2,116 on November 26, 2020 and a 52-week high of Rs 3,504 on September 24, 2021.

Asian Paints had raised prices of its products by 7-10 per cent with effect from November to offset the impact of rising input costs. Asian Paints has raised prices by 19 percent this financial year so far, according to Edelweiss.

The Q2 earnings of the firm were also affected by high input costs.

 The market leader reported a 29% fall in net profit for the quarter ended September. Consolidated net profit fell to Rs 605.17 crore in Q2, on account of higher expenses, especially input costs.

The company had reported a consolidated net profit of Rs 851.9 crore in the corresponding period of last fiscal. Consolidated revenue from operations in Q2 stood at Rs 7,096.01 crore against Rs 5,350.23 crore a year ago.