Bharat Forge hits eight-year high on Goldman upgrade

Mumbai: Shares in Bharat Forge rose as much as 1.73 per cent to their highest level since April 2006 after Goldman Sachs upgraded the auto components maker to "neutral" from "sell" as part of its preference for cyclical shares over defensive ones.

Goldman also upgraded truck maker Ashok Leyland Ltd to "neutral" from "sell," saying both stocks could be beneficiaries of any macro improvement at home and abroad. The investment bank said Bharat Forge would benefit from improved truck demand from the European Union and the United States, as well as favourable raw material and currency exchange rates.

For Ashok Leyland, Goldman said the stock would benefit from improved domestic demand at home. Bharat Forge was up 1.71 per cent to 444.30 rupees, while Ashok Leyland was up 2.82 per cent to 23.70 rupees at 11:29 a.m.