Motherson Sumi shares jump 9% after Morgan Stanley maintains overweight call
The company in a filing to the exchanges informed that more than half of its production facilities around the world have resumed operations.
April 30, 2020 / 10:07 AM IST
Share price of Motherson Sumi Systems jumped 9 percent in the morning trade on April 30 after global research firm Morgan Stanley maintained its overweight call on the stock with a target at Rs 103 per share.
It expects a sharp earnings recovery in FY22 as volumes normalise, according to a report by CNBC-TV18.
The stock price has surged over 46 percent in the last one month and was quoting at Rs 88.85, up Rs 7.45, or 9.15 percent at 09:30 hours.
The company in a filing to the exchanges informed that more than half of its production facilities around the world have resumed operations. The leading auto component manufacturer assured that its workers are taking all necessary precautions.
The company in a statement on Wednesday said that more than 80 of its 152 manufacturing plants across the world have now operational. "While 30 per cent of them are now running at more than 80 per cent capacities, rest of them are now running at up to 50 per cent capacities and slowly and steadily gearing up," Motherson Sumi said.
The board of auto components major has given in-principle approval to raise Rs 1,000 crore to enhance liquidity during uncertain times of coronavirus pandemic, according to a company statement.
Motherson Sumi Chairman Vivek Chaand said, "Our team has done a phenomenal job in almost doubling MSSL's turnover over the last five years to USD 9.6 billion on an unaudited basis.”Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.