HDFC MF, FIIs Dump Stake In Texmaco Rail

HDFC Mutual fund and foreign institutional investors (FII) have reduced their ownership in Texmaco Rail and Engineering, according to the latest shareholding data.

What Happened: Texmaco Rail and Engineering's shareholding data for the June quarter shows FIIs reduced their stake in the company. FIIs reduced their stake in the railway company to 9.09% from 11.05% in the March quarter. 

BofA Securities Europe SA ODI reduced its stake to 1.25% from 1.94% in the previous quarter while Abu Dhabi Investment Authority-Monsoon trimmed stake to 1.05% from 2.07%. 

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Although mutual funds overall increased their ownership, HDFC Mutual Fund sold some shares by the June quarter. Overall mutual fund ownership in the stock increased to 7.52% from 6.86% in the March quarter.

HDFC Balanced Advantage Fund slashed its stake to 1.83% from 2.5% in the March quarter. Nippon Small Cap fund's ownership remained unchanged at 2.86% and LIC Large and Midcap fund increased its stake to 1.13% from less than 1% in the previous quarter. 

In July, Nuvama Institutional Equities initiated coverage on the stock with a "buy" call and target price of ₹331. The brokerage sees the company hitting its projected profit numbers on the back of Increasing railway capex, strong wagon ordering and net cash balance. 

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