Auto ancillary shares hit 52-week high on good Q2 results


Auto ancillary shares hit 52-week high on good Q2 results

  Shares of mid and small-sized auto ancillary companies were trading higher by up to 19% in intra-day trade in an otherwise range-bound market after they reported robust earnings for the quarter ended September.

LG Balakrishnan & Bros, Jay Bharat Maruti, Harita Seating Systems, Triton Valves, Hindustan Composites, JBM Auto, ZF Steering, Bharat Seats, IP Rings, India Nippon Electric, Munjal Showa, Schrader Duncan and Ucal Fuel Systems were among trading between 5%-19% on BSE. Most of these stock quoting at their 52-week highs. At 11.39 am, the S&P BSE Sensex was up 0.13% at 28,113 points.

Total eight auto ancillary companies thus far announced their July-September (Q2FY17) quarter results, have posted more than doubled aggregate net profit at Rs 187 crore. These companies had profit of Rs 89 crore in the same quarter last fiscal.

The auto ancillary sector is looking attractive as the companies from this space will benefit due to the healthy outlook for the auto industry, as it translates into healthy demand from OEMs and replacement markets.

LG Balakrishnan & Bros surged 19% to Rs 699 after the company posted profit of Rs 21 crore in Q2FY17 against Rs 17 crore in a year ago quarter.

Jay Bharat Maruti soared 18% to Rs 351 on back of six-fold jump in trading volumes. The company posted 30% year on year (YoY) jump in net profit at Rs 13 crore in Q2FY17 against Rs 10 crore in previous year quarter. Triton Valves rallied 15% to Rs 1,700 after posted 23% YoY growth in profit at Rs 2.63 crore in Q2FY17.

COMPANY LATEST 52 WK HIGH PREV HIGH PREV DATE ALICON CAST. 452.20 452.20 440.00 18-Oct-16 BHARAT SEATS 68.60 71.50 67.20 21-Oct-16 EXIDE INDS. 203.00 207.00 204.80 21-Oct-16 HARITA SEATING 699.00 708.00 676.25 08-Aug-16 INDIA NIPP.ELEC. 632.50 642.00 619.60 21-Oct-16 JAY BHARAT MAR. 343.00 351.00 298.20 21-Oct-16 JBM AUTO 304.60 313.00 288.00 21-Oct-16 L G BALAKRISHNAN 682.10 698.50 653.10 04-Oct-16 LUMAX AUTO TECH. 518.00 524.00 523.00 21-Oct-16 LUMAX INDS. 890.90 895.00 888.00 21-Oct-16 MENON PISTONS 22.85 22.85 22.85 21-Oct-16 MUNJAL SHOWA 247.00 250.35 245.60 19-Oct-16 SUNDARAM CLAYTON 3414.00 3414.00 3410.00 21-Oct-16 TALBROS AUTO. 158.35 164.00 162.20 23-Sep-16 TRITON VALVES 1635.00 1700.00 1548.00 20-Oct-16 UCAL FUEL SYS. 204.90 207.20 202.10 13-Oct-16 Z F STEERING 1760.00 1815.00 1760.00 26-Nov-15