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Aviation stocks showcase resilience even after Govt pours cold water on increasing FDI cap

18 Jun 2012 Evaluate

Aviation stocks managed to hold the fort even after Government ruled out the possibility of raising the 49 per cent FDI cap in the Indian aviation, which the beleaguered industry was eagerly vying for. Bringing cheer to the financially troubled airline industry, Delhi based oil marketing companies have slashed jet fuel prices from Friday Midnight by a good 5%, the steepest rate reduction since February 2010.

Kingfisher Airlines is currently trading at Rs 13.98, up by 0.27 points or 1.97% from its previous closing of Rs 13.71 on the BSE. The scrip opened at Rs 14.00 and has touched a high and low of Rs 14.14 and Rs 13.84 respectively. So far 1055078 shares were traded on the counter.

Spicejet is currently trading at Rs 32.05, up by 0.55 points or 1.75% from its previous closing of Rs 31.50 on the BSE. The scrip opened at Rs 32.10 and has touched a high and low of Rs 32.50 and Rs 31.60 respectively. So far 768055 shares were traded on the counter.

Jet Airways (India) is currently trading at Rs 376.50, up by 7.55 points or 2.05% from its previous closing of Rs 368.95 on the BSE. The scrip opened at Rs 372.80 and has touched a high and low of Rs 380.00 and Rs 372.80 respectively. So far 66530 shares were traded on the counter.

Civil Aviation Minister, Ajit singh, reported that the 1934 Civil Aviation Act says management has to be in Indian hands, majority of directors have to be Indian. Whatever worries people have, government will still decide the routes, government will still give at what time they fly and where.

Peers
Company Name CMP
Interglobe Aviation 4638.75
SpiceJet 13.88
Raymond 422.05
Global Vectra Helico 203.85
Taneja Aerospace 281.55
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