JSPL stock hits 52-week high in volatile market; here's why

Shares of Jindal Steel and Power Ltd (JSPL) hit a fresh 52-week high today amid reports that that MSCI was likely to include the firm in its standard index.

Edelweiss Alternative & Quantitative Research in its latest report said MSCI could add five stocks and remove two stocks from its Standard Index. Jindal Steel & Power, Tata Elxsi, Voltas, Varun Beverages and Astral were likely to be added in the MSCI Standard Index.

However, Indraprastha Gas and MRF (India) could get excluded, said Edelweiss. A rise in prices of steel also took the JSPL stock to its fresh high. JSW Steel has raised rebar prices by Rs 1,250/tonne from March 23, 2022

SAIL has also increased HRC and cold rolled coil (CRC) prices by Rs 1,500/tonne. Other top steelmakers are also planning to raise prices in the coming days.

JSPL stock rises 3% after firm prepays $357-million loan of Mauritius arm

In the recent sessions, sentiment behind the JSPL stock also turned positive after the firm prepaid a loan of $357 million of its wholly owned subsidiary Jindal Steel & Power (Mauritius) (JSPML). The prepayment of loan will help clear the entire debt of JSPML. The loan also had corporate guarantees from JSPL India, which will also get released, the firm said on March 20.

JSPL share touched a fresh high of Rs 529.4, rising 3.62% on BSE.  The large cap stock has gained 16.32% in the last six days.  Later, JSPL stock ended 2.42% higher at Rs 523.25 .

JSPL stock opened flat at Rs 510.90. The share has gained 39.29 per cent since the beginning of this year and risen 71.19 per cent in one year.

Jindal Steel stock is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages. A total of 3.87 lakh shares of the firm changed hands, amounting to a turnover of Rs 20.18 crore.

Market cap of the firm rose to Rs 53,233 crore on the BSE. The stock hit a 52-week high of Rs 529.40 on March 24, 2022 and a 52 week low of Rs 297.25 on March 25, 2021.

 Meanwhile, Sensex ended 89 points lower at 57,595 and Nifty fell 23 points to 17,222.