Semiconductor stock surges 40% in six sessions on record volumes but lacks institutional holding

Shares of Moschip Technologies Ltd., a semiconductor company focusing on the development and marketing of application specific integrated circuits, surged as much as 10% on Friday, September 5, thereby extending their gains for the sixth straight session.

With this move, the stock has surged nearly 40% so far this week, on volumes that have been the highest on record. As many as 5 crore shares changed hands in Thursday's trade, following the 1.7 crore shares that were traded on Wednesday and Tuesday each.

Friday's trading session has already seen 1.4 crore shares change hands in the early minutes of trade, compared to the 20-day average of 10 lakh shares.

Earlier this week, the Secretary for the Ministry of Electronics and IT confirmed to CNBC-TV18 about the Phase 2 of India's Semiconductor Mission, which will need a figure that will have to be "a bit more" compared to ₹7,600 crore of Phase 1. India also rolled out its first Made-in-India chip this week, during the Semicon event.

The Hyderabad-based company has five global centres in India and the US for R&D, along with having over 100 global clients.

As per the shareholding pattern on BSE, promoters of Moschip had a 44.28% stake in the company, while over 2.5 lakh small retail shareholders, or those, with authorised share capital of up to ₹2 lakh, had a 37.1% stake in the company.

Moschip has no institutional and mutual fund holding as of the June quarter. The stock currently has a market capitalisation of over ₹4,500 crore.

Shares of Moschip Technologies are off opening highs, currently trading 5.4% higher at ₹234.1. Courtesy of this near-40% move this week, the stock has turned positive on a year-to-date basis, currently up 15% year-to-date.