Idea soars 10 percent; becomes Top Telecom Gainer!
Idea gained nearly 10 per cent on a volatile day and helped BSE Telecom index become the top sectorial index gainer on Friday.
Idea gained nearly 10 per cent on a volatile day and helped BSE Telecom index become the top sectorial index gainer on Friday. BSE Telecom index was up by more than 1.47 per cent on Friday when most of the sectorial indices slipped in the trade on Friday. Idea jumped by Rs 0.90 per share or 9.86 per cent on Friday, thus becoming a Top Telecom Gainer on Friday.The market was abuzz with the rumors that the company may be very close to finalizing the funding options for its business operations. There were no confirmed reports seconded by the company however, on this development.
With funding options explored and finalized the investors think that the company will be out of danger and its business operations may flourish as the business environment improves for the telecom players.
Idea has been reporting net losses for the 4th Quarter in a row, thus destroying shareholder’s wealth. Company has reported a negative ROE for 3 consecutive years. On the expectation of positive news the stock jumped ~10 per cent, in the process managing to cross its 200 days moving average. It is considered bullish when any stock price moves and settles above its 200 days moving average. It also indicates a change in trend for the underlying.
IDEA made a 52-week high of Rs 13.80 and the 52-week low was made at Rs 7 per share. The stock is up by nearly 21 per cent in one month while the stock has gained 6.15 per cent in one year. IDEA has declined by nearly 89.77 per cent in past years.
Telecom stocks rallied on Friday with Bharti Airtel and Idea put together contributed most to the BSE Telecom Index gains. RCOM, Optiemus and GTL Infra were all locked in upper circuit on Friday.