BHEL, Cochin Shipyard, NBCC, HUDCO, EIL: Is Narendra Modi effect working? PSU stocks rise from the rubble as stage set for Modis third term as PM

PSU Stocks in News: Even in the age of artificial intelligence, extremely busy newsfeeds, and brokerages keeping a close watch on companies' minute details of accounts and functioning, nothing beat market sentiment. It often defies the logic that the best AI software will fail to detect. When the Bharatiya Janata Party (BJP) failed to get majority on its own after Lok Sabha Elections 2024 vote counting on Tuesday (June 4, 2024), PSU stocks started collapsing like house of cards.

The stocks that were scaling greater heights every other day were plumbing the depths of despair, touching lower circuits once, twice, or thrice on June 4.

Their ailing performance continued on Wednesday (June 5) as clouds of uncertainty about the formation of the new government and selection of the PM were hovering over the market till close.

But things became clear when National Democratic Alliance (NDA) allies extended their support to Modi to become the PM for the third time in a row.

The news injected a booster to temporarily ailing stocks that were gasping for breath till a day ago.

As market opened on Thursday (June 6, 2024), many of PSU stocks made a sturdy start, a stark difference from their weak performance in the last two sessions.

The PSU stocks that were touching the lower circuits a day before touched the upper circuit or heading for it today.

Here's how stocks such as BHEL, HUDCO, Cochin Shipyard, NBCC (India), and Engineers India are performing on Thursday.

BHEL share price

Bharat Heavy Electricals Ltd touched an upper circuit of 10 per cent on the back of an order from Bhabha Atomic Research Centre (BARC) for 50 kW alkaline electrolyser system.

BHEL shares that touched the lower circuit three times on June 4 rose by 14.57 per cent to Thursday's high of Rs 292.45 after closing the previous Rs 255.25. 

The stock closed trading higher by 8.97 per cent, or Rs 22.90, at Rs 278.15 on Thursday.

HUDCO share price

After closing at Rs 232.85, the stock soared by 11.68 per cent to the day's high of Rs 260.05 on Thursday. 

HUDCO shares closed trading up by 7.21 per cent, or Rs 16.80, at Rs 249.65.

Cochin Shipyard share price

Cochin Shipyard that touched the lower circuit for the two consecutive sessions hit an upper circuit of 10 per cent on Thursday.

Cochin Shipyard shares closed trading higher by 10 per cent, or Rs 168.45, at Rs 1,853.25 on Thursday.

NBCC (India) share price

The PSU stock that touched a lower circuit for the two consecutive days jumped by 8.38 per cent to Thursday's high of Rs 141.00.

NBCC shares closed trading up by 6.84 per cent, or Rs 8.90, at Rs 139.00 on Thursday.

Engineers India Limited share price