Smooth sailing for SCI on bonus buzz

Shipping Corporation of India rose 9.75% to Rs 242.35 at 15:17 IST on BSE on reports the company may consider a bonus issue in the near future.

The stock hit a high of Rs 248 and a low of Rs 227 so far during the day. The stock had a 52-week high of Rs 332 on 3 January 2008 and a 52-week low of Rs 154 on 22 January 2008.

The company’s current equity is Rs 282.3 crore. Face value per share is Rs 10.

The current price of Rs 242.35 discounts Q3 December 2007 annualised EPS of Rs 25.05 by a PE multiple of 9.67.

Shipping Corporation of India (SCI)’s net profit declined 22% to Rs 176.78 on 11.5% fall in net sales to Rs 915.27 crore in Q3 December 2007 over Q3 December 2006.

Reports claimed bonus proposal could be linked with the proposal of Shipping Corporation of India (SCI) seeking ‘Navratna’ status, which is likely to be taken up over the next few days. Navratna status would provide SCI with greater autonomy in financial and operational decisions, while allowing it to set up joint ventures internationally relatively faster. SCI, had surplus and reserves of Rs 4,817.14 crore as on 31 March 2007 reports added.

SCI, a state-run shipping company, operates and manages a fleet of line vessels, tankers, bulk carriers, passenger vessels and off shore vessels.