Stock market analyst Rajat K Bose has suggested investors to sell Sterlite Industries stock as there are full chances of a downward trend in this stock.

The stock is trading weak after opening at Rs 559.70, against its last closure at Rs 575.70 on the Bombay Stock Exchange (BSE). Current EPS & P/E ratio stood at 15.64 and 34.68 respectively. The share price has seen a 52-week high of Rs 1140 and a low of Rs 549.90 on BSE.

Stock analysts also suggested that if the stock fell below Rs 555, it may see more weakness. So the investors must sell the stock with a stop loss above Rs 585 to achieve a target that lies between Rs 569 and Rs 558.

After selling the stock in today’s session, the interested investors can enter the stock again, but only on declines.

Shares of Sterlite Industries traded weak on Tuesday (Sep 09) and marked its closure at Rs 575.70, down Rs 46.65 on the BSE.

Vedanta Resources on Sep 9 announced a restructuring plan in which the group would shift 79.4 percent equity interest in Konkola Copper Mines Plc (KCM) to Sterlite Industries Ltd.

As a result, the group would be simplified into three commodity focused verticals including Copper and Zinc-Lead, Aluminium and Energy.

Pursuant to the scheme, for every four share held in Sterlite, the stockholders would receive seven equity shares in Malco, Sterlite Industries (SIIL).

Sterlite Energy, a division of Sterlite Industries and a group company of Vedanta Resources, has been chosen through international competitive bidding process to build up 1,980 mw Talwandi Sabo Thermal Power Plant by Punjab State Electricity Board (PSEB) on build own and operate (BOO) basis.

A special purpose vehicle of PSEB, ‘The Talwandi Sabo Power’ was made for the completion of the project and it has now been acquired by Vedanta Resources Group, via group company Sterlite Energy.

The Supreme Court (SC), on Aug 08, has authorized the floors for Sterlite Industries promoted by Anil Agarwal to mine bauxite from the ecologically fragile Niyamgiri hills for its proposed aluminum project in Orissa worth Rs 40 billion.