Rakesh Jhunjhunwala, the big bull of domestic stock markets, has trimmed his stake in Tata Motors in the April-June quarter, booking some profits after the massive rally in the Tata group stock. On the other hand, the big bull has added more shares of Federal Bank, reiterating his support for banks stocks. The ace investors bought shares of Tata Motors last year during the July-September quarter when the stock had plummeted to record lows helped by the covid-19 pandemic. On the other hand, Rakesh Jhunjhunwala has been a shareholder of Federal Bank since 2016.
Big bull trims stake in Jaguar’s parent
According to BSE filings, Rakesh Jhunjhunwala held 3,77,50,000 equity shares or 1.14% of Tata Motors at the end of June 2021. This was down from 4,27,50,000 shares that the big bull was holding at the end of March this year. The big bull sold 50 lakh equity shares of Tata Motors. The stock hit a 52-week high of Rs 360.55 per share during the previous quarter. At that price, Rakesh Jhunjhunwala may have pocketed as much as Rs 180 crore for 50 lakh shares. Tata Motor’s share price has since corrected 15%.
Rakesh Jhunjhunwala’s current stake in Tata Motors is valued at Rs 1,140.5 crore down from Rs 1,170.25 crore at the beginning of the previous quarter. Big bull appeared on Tata Motor’s shareholding pattern on BSE last September, owning 4 crore shares of the company. Back then, Tata Motors share price was down at Rs 110 per share, valuing Rakesh Jhunjhunwala’s investment at Rs 440 crore.
Buys more of Federal bank shares
On the other hand, Rakesh Jhunjhunwala has added 75 lakh equity shares of private sector lender Federal Bank. At the end of the April-June quarter, big bull owned 5,47,21,060 equity shares of Federal Bank, up from 4,72,21,060 equity shares at the end of the January-March quarter. Federal Bank shares zoomed 14.9% during the previous quarter. The stock currently trades at Rs 83.80 per share. Rakesh Jhunjhunwala had earlier cut his stake in Federal Bank two quarters ago.
Big bull’s current stake in Federal Bank is valued at Rs 458.3 crore. With the stock surging higher the value of Rakesh Jhunhunwala’s portfolio has increased by Rs 137.22 crore since the beginning of this year.
(This story was first published on Financialexpress.com on July 21.)