Sunday, September 06
Mumbai: Bank Nifty crossed the 59,000-mark for the first time and closed at a record high on Wednesday, as investor optimism in banking stocks strengthened on expectations that earnings pressure from the interest rate cut cycle has bottomed out and valuations remain relatively modest compared to other sectors. The index ended 0.5% higher at an all-time closing high of 59,216, while the benchmark Nifty advanced 0.6% to 26,052. "The momentum in banking stocks is expected to continue, with modest gains likely as valuations remain reasonable," said Pankaj Pandey, head of retail research, ICICI Direct. Out of the 12 stocks in the index, 10 advanced and two declined. Punjab National Bank gained 2.4%, while Bank of Baroda and Canara Bank rose 1.8% and 0.9%, respectively. Fund managers said the pr
Tesla's gaudy $1 trillion executive-compensation package for CEO Elon Musk has obscured a more pressing concern: Musk's 2018 pay package -- still tied up in court -- could eat up years' worth of the electric vehicle maker's future profits. The Delaware Supreme Court will soon decide whether to reverse a lower-court ruling invalidating Musk's previous record-breaking compensation package. If Tesla's appeal fails, it could trigger a $26 billion hit to profits over two years to account for the replacement stock-compensation package it has promised Musk - at today's much higher stock price. For comparison, $26 billion would equal more than half of Tesla's total net income since becoming profitable in 2019. Even if Tesla prevails in court, its profits could be squeezed over the next decade if M
