ReutersShares of Timken India tumbled 11% to Rs 3,100 in Tuesday's trade on BSE after Timken Singapore, the parent of Timken India, sold up to 8.4% stake, or 63 lakh shares, in its India-listed firm for 1,890 crores through an open market transaction.
According to the term sheet issued by BofA Sec, Timken Singapore fixed the floor price at 3,000 a share, a 14% discount to Monday’s closing price of Rs 3,485.5. BofA Securities is the sole book-runner for the transaction.
Timken Singapore owned a 67.8% stake in Timken India, as per shareholding data for the quarter ending March 2023.
At 10.35 am, the scrip was trading 7% lower at Rs 3,232 on BSE. However, the stock has surged nearly 40% in the last year.
In Q4 FY23, Timken India's revenue from operations increased by 20% year-on-year (YoY) to Rs 802.5 crore. However, its PAT declined by 13.8% YoY to Rs 104.5 crore but the same increased by 48% quarter-on-quarter (QoQ).
Meanwhile, gross margins contracted sharply by 924 bps YoY to 38.5%; mainly on account of the higher share of traded goods which carry lower margins. EBITDA declined by 15% YoY to Rs 152.9 crore on lower margins.
As per Trendlyne data, the average target price of the stock is Rs 3,507, which shows an upside potential of 8% from the current market prices. The consensus recommendation from 6 analysts for the stock is a buy.
Technically, the stock's day RSI (14) is at 69.7. The RSI below 30 is considered oversold and above 70 is overbought, Trendlyne data showed. MACD is at 93, which is above its center and signal Line, this is a bullish indicator.
Timken India was incorporated in 1987 as Tata Timken, a joint venture between Tata Iron and Steel Company (TISCO) and The Timken Company, a world leader in bearings. It commenced commercial production at its Jamshedpur plant in March 1992. The Timken Company is a world leader in tapered roller bearings.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
According to the term sheet issued by BofA Sec, Timken Singapore fixed the floor price at 3,000 a share, a 14% discount to Monday’s closing price of Rs 3,485.5. BofA Securities is the sole book-runner for the transaction.
Timken Singapore owned a 67.8% stake in Timken India, as per shareholding data for the quarter ending March 2023.
At 10.35 am, the scrip was trading 7% lower at Rs 3,232 on BSE. However, the stock has surged nearly 40% in the last year.
In Q4 FY23, Timken India's revenue from operations increased by 20% year-on-year (YoY) to Rs 802.5 crore. However, its PAT declined by 13.8% YoY to Rs 104.5 crore but the same increased by 48% quarter-on-quarter (QoQ).
Meanwhile, gross margins contracted sharply by 924 bps YoY to 38.5%; mainly on account of the higher share of traded goods which carry lower margins. EBITDA declined by 15% YoY to Rs 152.9 crore on lower margins.
As per Trendlyne data, the average target price of the stock is Rs 3,507, which shows an upside potential of 8% from the current market prices. The consensus recommendation from 6 analysts for the stock is a buy.
Technically, the stock's day RSI (14) is at 69.7. The RSI below 30 is considered oversold and above 70 is overbought, Trendlyne data showed. MACD is at 93, which is above its center and signal Line, this is a bullish indicator.
Timken India was incorporated in 1987 as Tata Timken, a joint venture between Tata Iron and Steel Company (TISCO) and The Timken Company, a world leader in bearings. It commenced commercial production at its Jamshedpur plant in March 1992. The Timken Company is a world leader in tapered roller bearings.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Tuesday, 20 Jun, 2023Experience Your Economic Times Newspaper, The Digital Way!
- Front Page
- Pure Politics
- Companies & Economy
- ET Markets
- More
PM Modi’s US Visit may Boost Semicon Supply Chain PactPrime Minister Narendra Modi's visit to the US this week is likely to give a boost to the Indo-US technology partnership, especially on the establishment of a new semiconductor supply chain where major announcements are expected.
Adani Looks to Rope in More Lenders to Refinance $3.8 bThe Adani Group is in discussions to rope in at least five new international banks as it looks to refinance $3.8 billion of loans of varying tenors taken for the acquisition of ACC Limited and Ambuja Cement last year, said people aware of the ongoing discussions.
IndiGo Gives Airbus Record 500-Plane OrderIndiGo has placed an order for 500 Airbus A320 family of aircraft, worth $50 billion at list price and the largest in the history of global aviation.
Read More News on
(What's moving Sensex and Nifty Track latest market news, stock tips and expert advice on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds.)
...moreDownload The Economic Times News App to get Daily Market Updates & Live Business News.
Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share PricePick the best stocks for yourself
Powered by 
Get Unlimited Access to The Economic Times 
