As Indian stock markets crashed on Friday on the back of Arun Jaitley putting LTCG under the tax net, we bring to you a large-cap share under Rs 100 to buy which may double your money in just three months.
Indian stock markets have been on a continuously rising since last 13 months with key equity indices Sensex and Nifty breaching all-new psychological levels day after day. But on Friday, 2 February 2018, Indian equities faced a knee-jerk reaction and tumbled heavily after the Finance Minister Arun Jaitley proposed to introduce a 10% tax on LTCG (Long-Term Capital Gain) on equity over Rs 1 lakh. Over the course of last one year, the S&P BSE Sensex had added 24.17% or 6,826.23 points to 35,066.75 with shares such as RIL, HDFC Bank, Maruti Suzuki, Tata Steel, Titan and DLF rising over 50%. Meanwhile today, a heavy jolt had been observed in the Indian stock markets after the Finance Minister Arun Jaitley brought LTCG under the tax net and fixed a higher fiscal deficit target for FY19.
Amid the extremely volatile market, we bring to you a large-cap share under Rs 100 to buy which may double your money in just three months. Shares of Idea Cellular have fallen about 17% in the last three-month period to Rs 87.7. The research and brokerage firm HDFC Securities has given a three-month target price of Rs 185 which implies an upside of 111% from its current market price of Rs 87.7. “Traders could start creating long positions between Rs 95 and Rs 111 level for sequential targets of Rs 130 followed by Rs 185. Traders could keep a stop loss at Rs. 84 on weekly closing basis.” HDFC Securities said.
Earlier in January last month, Idea Cellular said that group is mulling to raise up to Rs 6,750 crore which will alter the shareholding pattern of the company and have a bearing on its merger agreement with Vodafone. The board of directors of Idea Cellular approved an issuance of 32.66 crore equity shares of face value Rs 10 at a price of Rs 99.5 on a preferential basis to the promoter group entities and constituted a committee to evaluate potential routes for raising further capital of up to Rs 3,500 crore.
“The Aditya Birla Group remains committed towards the telecom business. The group is in the process of creating a large digital infrastructure and to contribute significantly towards the fulfilment of the ‘Digital India’ vision of the Hon’ble Prime Minister. At a time when the telecom industry is going through a challenging environment, this equity infusion by the group in Idea is another step towards reinforcing the group’s commitment,” said Kumar Mangalam Birla, Chairman, Idea Cellular.
In a major offshoot of Union Budget 2018 presented by Finance Minister Arun Jaitley on Thursday, the 30-share Sensex registered its biggest single-day fall in two-and-a-half years and plummeted by 840 points to settle at 35,066.75. During the week, Sensex had fallen 983.69 points below from the previous week’s closing of 36,050.44. The broader Nifty ended below the 10,800-mark, shedding as much as 256.3 points or 2.33% to finish at 10,760.6 as the post-Budget sell-off continued for the second straight day.