InvestorQ : Is it true that some strong hands are buying into stocks like Spencer Retail and Fortis Healthcare? Are these stocks worth adding on to?
Katherine Gonsalves made post

Is it true that some strong hands are buying into stocks like Spencer Retail and Fortis Healthcare? Are these stocks worth adding on to?

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Arti Chavan answered.
1 year ago
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Spencer’s Retail shares emerged the biggest gainers on Tuesday, as December quarter shareholding data showed Radhakishan Damani bought over 16 lakh shares in the company. Fortis Healthcare gained as data showed mutual funds, overseas investors and Rakesh Jhunjhunwala increased stake in the company during October-December. Rakesh Jhunjhunwala bought 75,00,000 shares of the company to bring his stake in Fortis Healthcare to 2.65% from 1.66% during the September quarter.

Apart from Rakesh, other mutual funds also increased their stake in Fortis Healthcare and now hold 4.99% in the hospital chain. ICICI Prudential Equity and Debt Fund and Nippon India Retirement Fund were among the major holders. Foreign portfolio investors increased their stake in Fortis Healthcare to 43.24% with a sharp increase in the number of FPIs holding shares of the company. Meanwhile, YES Bank and Axis Bank pared their stake in Fortis Healthcare.

It may be recollected that Fortis Healthcare underperformed peers in the last one year due to management issues and the mess that the Singh brothers put the company in. Fortis was almost flat in a year when Narayana Hrudayalaya was up 92.33% and Apollo Hospitals was u by 22.81%. Brokerages led by Citi had recently turned bullish on domestic hospitals considering that the investment phase for these companies was ending and the return on capital employed (ROCE) would see improvement as also see re-rating.
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