LIC Shares Tumble On Listing Even As The Sensex Gains
By our team of in-house writers.
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First publised on 2022-05-17 06:56:12
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By our team of in-house writers.
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Confirming
the grey market sentiments, LIC share listed at a discount of over 8% today. It
touched a low of Rs 860 in early trades, a discount of 9.37% on the general
issue price of Rs 949 while the highest it climbed was Rs 918.65, still a
discount of over 3%. But at its highest price in intraday trades, it got a
premium of 1.6% for retail investors who had got the shares at a discount of Rs
45 and 3.3% for policy holders who had got a discount of Rs 60 per share. Till
12 noon, 3.60cr shares had changed hands and there were multiple block deals at
Rs 872 per share.
But the
overall sentiment for the stock was negative. Market operators and experts said
that the size of the issue and the lack of interest from FIIs, along with the
overall negative sentiment in the market (although the markets were positive today
with the Sensex gaining 1000 points at one point) had resulted in such a
lacklustre listing. With most shares in the green, LIC was an exception and
this was mainly because those who had applied for listing gains were in a hurry
to offload their shares.
Most
experts have pointed out with insurance penetration low in India, the prospects
for LIC are bright and those who can should hold on to the shares. They have
set stop loss at Rs 800 per share. Some have also pointed out that LIC is
expected to declare good dividend this year as it paid no dividend last year.
Overall, despite its horrible listing price, it is a share that one can hold.
