TRADE NIVESH: Shares of Jet Airways NSE 10.34 % surged nearly 9 per cent in morning trade on Tuesday, snapping the losing streak of past three consecutive sessions, during which the stock had come off 41 per cent.
The stock jumped despite financial troubles in the company that led to complete shutdown of operations with no sign of an imminent revival.
Economic Times on Tuesday reported that potential investors for the grounded carrier — Etihad Airways, TPG Capital and Indigo Partners — are having second thoughts on whether to bid for it, as questions about the bidding procedure remain unanswered.
Jet cancelled all flights temporarily last Wednesday, after failing to raise interim funding of Rs 983 crore from lenders.
Analysts say the stock has caught the attention of high-risk investors. "The stock has got into a zone where risk-reward has become favorable for high-risk investors," said Sameer Kalra, Founder, Target Investing.
It’s a tactical investment rather than fundamental as of now, he said.
These high-risk investors had earlier burnt their fingers with similar bets on companies like JP Associates and Reliance CommunicationsNSE -4.35 %.
At 10.30 hours on Tuesday, the stock traded 6.44 per cent higher at Rs 164.55 on BSE.
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The stock jumped despite financial troubles in the company that led to complete shutdown of operations with no sign of an imminent revival.
Economic Times on Tuesday reported that potential investors for the grounded carrier — Etihad Airways, TPG Capital and Indigo Partners — are having second thoughts on whether to bid for it, as questions about the bidding procedure remain unanswered.
Jet cancelled all flights temporarily last Wednesday, after failing to raise interim funding of Rs 983 crore from lenders.
Analysts say the stock has caught the attention of high-risk investors. "The stock has got into a zone where risk-reward has become favorable for high-risk investors," said Sameer Kalra, Founder, Target Investing.
It’s a tactical investment rather than fundamental as of now, he said.
These high-risk investors had earlier burnt their fingers with similar bets on companies like JP Associates and Reliance CommunicationsNSE -4.35 %.
At 10.30 hours on Tuesday, the stock traded 6.44 per cent higher at Rs 164.55 on BSE.
GET FREE INTRADAY TRADING TIPS VISIT NOW FREE EQUITY AND COMMODITY TIPS
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