New India Assurance stock rises despite insurance firm slapped with Rs 2,379 crore GST show cause notice

New India Assurance Share Price: Shares of New India Assurance ended trading session on Thursday (October 5, 2023) higher by 0.81 per cent, or Rs 1.10, at Rs 137.10 despite the insurance company was slapped with a Rs 2,379 crore GST show cause notice from the Directorate General of GST Intelligence, Pune, on Wednesday.

The stocks that closed at Rs 136 on Wednesday evening opened at Rs 134.05 on Thursday morning and hit the day's high of Rs 137.80.   

New India Assurance, which has a market cap of Rs 22,651.76 crore, said in a statement on Wednesday, "We would like to inform that the Company has received a Show Cause Cum Demand Notice No. DGGI/INT/INTL/858/2021-0/o DD-DGGI-RU-KOLHAPUR from the Directorate General of GST Intelligence, Pune Zonal Unit under Section 73(1) of the Central Goods and Services Tax Act, 2017 ("theAct"), today i.e. on September 28, 2023 alleging a tax demand of Rs 2,379,13,48,877/-."

New India Assurance Share Performance

New India Assurance Shares of the insurance company have jumped 1.86 per cent in the last month.

However, their rise in the last six month has been as high as 35.35 per cent.

The stock's jump year-to-date has been just 5.02 per cent, but their performance in the last one year has been at an impressive growth rate of 55.88 per cent. 

The stock has outperformed the benchmark Nifty 50, which has fallen 0.33 per cent in the last one month. Prior to this, the benchmark was in a healthy state, rising 11.06 per cent in the six months and 7.41 per cent year to date.

The index's rise in the last one year has been at a good rate of 12.77 per cent.