Heavyweight companies underperform
The share market has lost roughly 800 points in the last 5 trading sessions on account of various reasons, ranging from the reports of price rigging in some companies, to the LIC housing finance scam affecting real estate companies to the sell out by FIIs in the last week.
Most blue chip companies have shed down by 5-7 percent with 6 of the top 10 companies in India making a combined loss of market cap worth Rs. 42,791 crore.
The maximum loss bearing companies were two of the top banks of the nation ICICI and SBI. There was a time in the market when 487 shares of SBI were to be purchased by buyers but the sellers were not there. SBI has a 52-week high of Rs 3,515 with a 52-week low of Rs 1,934.40 on 08 Nov, 2010 and 05 Feb, 2010.
The market cap of SBI has come down drastically to Rs 170,573.19 crore. The major concern for the bank is the non-performing assets which have rose to an alarming level of 3.35%.
SBI's shares declines10.89 per cent last week as compared to ICICI's which plunged by 5.44 per cent on the Bombay Stock Exchange.