Shares of SG Finserve Ltd surged 20% in early trade on Tuesday, reaching the upper circuit limit, following a significant investment by renowned investor Madhusudan Murlidhar Kela. Kela acquired 9.51 lakh shares, representing a 1.7% stake in the company, through a bulk deal on the Bombay Stock Exchange (BSE) at Rs 350.01 per share on Monday.
Meanwhile, investor Dinesh Pareekh divested 3 lakh shares, equivalent to a 0.53% stake, at Rs 350 per share, indicating a shift in ownership within the firm.
CRISIL Ratings Upgrade and Market Performance
In another development, SG Finserve announced that CRISIL Ratings Limited has converted its provisional ratings to final ratings for certain bank loan facilities and reaffirmed ratings for others. The company’s CRISIL AA (CE)/Positive rating has now been confirmed as final, reflecting a strong financial outlook.
On Tuesday, SG Finserve shares jumped to Rs 432.65, marking a significant increase from the previous closing price of Rs 360.55 on BSE. In the last session, the stock had already gained 6.26%, closing at Rs 360.55 per share. Over the past year, the stock has seen a decline of 1.58% but has gained 1.69% on a year-to-date basis. The company’s market capitalization rose to Rs 2,352.34 crore.
Technical Indicators and Volatility
SG Finserve’s stock has exhibited high volatility, with a one-year beta of 1.1. From a technical standpoint, the relative strength index (RSI) stands at 57.2, suggesting that the stock is neither in the overbought nor the oversold zone. Additionally, the shares are currently trading above multiple key moving averages, including the 5-day, 10-day, 20-day, 30-day, 50-day, 100-day, 150-day, and 200-day moving averages, indicating a strong bullish trend.
About SG Finserve
SG Finserve Ltd is a Reserve Bank of India (RBI)-registered Non-Banking Financial Company (NBFC) that specializes in offering business financing solutions. The company caters to a wide range of clients, including dealers, distributors, retailers, buyers, suppliers, and transporters/logistics partners, leveraging technology to provide inclusive financial services.
With a recent surge in investor confidence and a positive ratings outlook, SG Finserve remains a key player in the financial services sector.
