Shares of HPCL rose 4 per cent to hit an intraday high of Rs 272.30 on BSE after the State-run Convergence Energy Services Ltd signed an agreement with Hindustan Petroleum Corporation Ltd for setting up of EV charging points in metro cities across India.
At 12:52 hours, the stock was trading at Rs 271.40, up 3.85 per cent on BSE. Market cap of the firm rose to Rs 38,499.40 crore.
It has gained 26 per cent in the last one year and risen 24 per cent since the beginning of this year. The share stands higher than 5 day, 10 day, 20 day, 50 day, 100 day, and 200 day moving averages.
"Convergence Energy Services Limited (CESL) - a wholly-owned subsidiary of Energy Efficiency Services Limited (EESL) - has signed an agreement with Hindustan Petroleum Corporation Limited (HPCL) for setting up of charging infrastructure in selected retail outlets in several cities across the country," a statement said.
The charging points will have one or more types of chargers with fast, slow or moderate speed capacity. They will be operated through an app of CESL, which will facilitate better control and monitoring of all charging stations. CESL and HPCL will also identify major highways across India where adequate charging infrastructure can be installed and established.
Mahua Acharya, MD & CEO, CESL, said, "Having a technologically-advanced and well-equipped charging infrastructure, with efficient accessibility is an important factor for making the transition to electric vehicles. This agreement is a part of our endeavour to help India achieve its e-mobility mission, and to decarbonise transport sector in totality. HPCL's long-standing heritage and established presence in several cities will be a key in our goal to propel an ecosystem for EVs and enable their widespread adoption."
According to MarketsMojo, the company has healthy long-term growth as Operating profit has grown by an annual rate 18.54%. The stock is trading at a premium compared to its average historical valuations and has an Attractive valuation with a ROCE of 16.6. It has high institutional holdings at 34.12%.
However, the technical trend has deteriorated from Bullish on July 19, 2021, and the Stock is technically in a Mildly Bullish range right now.
(With Inputs from PTI)
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