China devalued its currency on August 11 and made world markets dance to its tune, but Indian benchmark indices showed strong resilience to the global shock.
While CNX Nifty and CNX 500 declined close to 6 per cent since then,, key emerging markets dropped 8-20 per cent. But if one goes beyond the frontline companies, the picture is different.
CNX Midcap and CNX Small indices are down 6.8 per cent and 10.4 per cent respectively.
Out of the CNX 500 companies, 316 companies fell more than CNX 500 while only 177 companies have outperformed. In other words, the latter have either fallen less or given positive returns. Out of the 177 companies, 68 companies have managed to give flat to positive returns.
Companies, which figure among the top gainers or losers, are there for stock specific reasons. This is applicable for at least top three gainers and losers.
Shrenuj and Company has turned out to be a star performer amid the massacre.
The stock not only gained 18 per cent prior to the mayhem, but gained further momentum after August 11. This is partly because the stock had touched its 52-week low level of ₹31.50 on July 30 and the company announced Q1 results on August 12 wherein it reported a decent performance with consolidated sales and net profit growth of 5.6 per cent and 2.5 per cent respectively.
Visagar Poletex is another stock which withstood the storm.
The company’s shares rose 16.3 per cent between August 3-10 and further jumped 22.9 per cent between August 11 and 31. The company’s sales and net profit jumped 20 per cent and 25 per cent, respectively.
The results were announced on August 14.
Mercator jumped 18 per cent as the company’s subsidiary Mercator Petroleum announced an oil discovery in well Jyoti-2, Block CB-ONN-2005/9 of Cambay basin.
This is following its recent success of Jyoti-1. The block was awarded during NELP-VII bidding.
LosersAmtek Auto is the worst performing stock, losing 66.9 per cent on combination of factors. Besides, the exclusion of the stock from the derivative segment by the NSE and weak financial performance, talks of default on debt payment aggravated the selling in the counter.
Net sales of Castex Technologies, the second biggest loser with a decline of 51 per cent , dropped 13.9 per cent in Q1 and the company incurred adjusted net loss of ₹80.40 crore compared with profit of ₹63.44 crore in same quarter last year. The company announced its results on August 14.
Jyoti Structures is the third biggest loser with a drop of 50.30 per cent, as the company announced on August 20 that SBI, leader of consortium banks, sent an email on August 19 to say that the company’s strategic debt restructuring has been invoked.
Also the company announced terrible Q1 financial performance on August 13. While sales dropped 13 per cent, net losses jumped ten fold to ₹151.97 crore.