Aster DM Healthcare jumped up 4% the moment it opened for trade today morning, rising to Rs.172.45 and from there it went on to hit a new high at Rs.173.40. It remains pretty far from its 20% UC of Rs.198.75.
The stock is in the spotlight because it announced yesterday that its Board will meet on 9th Jan to consider a share buyback.
This is typical behavior before the buyback price announcement. A buyback creates a short-term spike that may not last. Most of the times, it is perceived as a vote of confidence in the company. Usually, as soon as the price is announced, profit booking comes in.
Promoters holding in the company as at 30th Sept 2019 stands at 37.80%.