The share prices of two companies - Unilever Consumer Care and Islami Insurance Bangladesh - have been soaring despite no undisclosed price sensitive information.
Unilever Consumer Care: Within five trading sessions, share price of Unilever Consumer Care, previously known as GlaxoSmithKline, jumped about 34 per cent or Tk 767 each to close at Tk 3,023.60 on Monday. The food sector company's share price was Tk 2,256.50 in five days ago on November 29.
Following the 'abnormal' price hike, the Dhaka Stock Exchange (DSE) served show-cause notice on the company.
The company, however in a knee-jerk response informed the bourse on Monday that there was no undisclosed price sensitive information for recent unusual price hike of its shares.
Even after being served show-cause notice, the company's share price has not stopped rising, soaring 4.99 per cent further on Monday.
Now the Unilever Consumer's stock is the second highest pricey stock on the DSE after Reckitt Benckiser (Tk 3,782.10).
Market analysts advised the investors to make their valuable investment decisions based on company fundamentals, technical analysis, price level, disclosed information and most importantly, avoiding rumour-based speculations.
The investors should not pay heed to any rumours related to companies and take their investment decisions prudently, said a merchant banker, adding that the investors should carefully invest in stocks and should analyse the fundamentals of the companies beforehand.
Senior executives of the company could not be reached over telephone.
GlaxoSmithKline (GSK) Bangladesh was recently named as Unilever Consumer Care as Unilever has purchased 81.98 pc stake of the GSK Bangladesh from SETFIRST Ltd, one of the corporate directors of the GSK Bangladesh.
Islami Insurance: The share price of Islami Insurance Bangladesh is also soaring without having any undisclosed price sensitive information.
The non-life insurer's share price more than doubled within three months to close at Tk 49.50 on Monday. Its share price was Tk 24 in three months ago on September 8.
The company's share traded between Tk 17.80 and Tk 54.20 each in the last one year, according to data from the DSE.
Following the 'abnormal' price hike, the DSE served show-cause notice on the company. The company echoed the same: There was no undisclosed price sensitive information for recent unusual price hike of its shares.
The Islami Insurance, which was listed on the DSE in 2009, disbursed 5.0 per cent cash and 5.0 per cent stock dividend for the year ended on December 31, 2019.
The general insurer's earnings per share (EPS) stood at Tk. 0.63 for July-September, 2020 as against Tk. 0.35 for July-September, 2019.
In nine months for January-September, 2020, its EPS was Tk 1.41 2020 as against Tk 1.15 for January-September, 2019.
The net operating cash flow per share (NOCFPS) was Tk 4.04 for January-September, 2020 as against Tk 1.79 for January-September, 2019.
The net asset value (NAV) per share was Tk 16.25 as on September 30, 2020 and Tk 14.85 as on December 31, 2019.
The company's paid-up capital is Tk 374.23 million and authorised capital is Tk 1.0 billion, while the total number of securities is 37.42 million.
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