Shares of Vodafone Idea Ltd jumped nearly 10% on Friday's trade following the news of Kumar Mangalam Birla's return to the company's board as an additional director, and also the new prepaid plans rolled out by the company recently added to the positive sentiment of the stock.
Vodafone Idea stated in an exchange notification that Birla, who served as the organisation's chairman from August 2021 until his departure, has been brought back as a non-independent and non-executive additional director, subject shareholder approval.
He also serves as the chairman of conglomerate Aditya Birla Group, which held an 18.07% stake in Vodafone Idea as of December 31, according to data on Vodafone Idea's website.
Additionally, the company on Thursday launched two new data plans for its prepaid customers. For customers, the telecom provider has launched prepaid recharge options at ₹368 and ₹369. Both plans have unlimited calling and data benefits.
On the technical front, the stock hit a intraday high of ₹6.65 and low of ₹6.15 at 9:56 IST.
However, the stock lost about 11% of its value in the past three months, and the stock price fell 38.5% and underperformed its sector by 36.3% in the past year.
"The stock is up around 8% at the time of writing backed by strong volumes. This has been an underperformer where any bounce back has seen selling pressure, we need to see how prices sustain on closing , if it continue to hold on gains then the prices may see further up move in the near term towards 8," said Rajesh Bhosale - Equity Technical and Derivative Analyst, Angel One.
According to Mintgenie poll, 18 analysts recommend 'sell' rating for the stock.
