Shares of Housing & Urban Development Corporation (HUDCO) soared nearly 11 per cent in Tuesday’s trade, with technical charts hinting at an uptrend in the near term. The stock jumped 10.75 per cent to hit a day high of Rs 54.60 over its previous close of Rs 49.30. A total of 48.27 lakh shares changed hands today, amounting to a turnover of Rs 26.59 crore. At this price, the market capitalisation (m-cap) of the company stood at Rs 10,990.43 crore.
At today’s high level of Rs 54.60, the stock was just 0.36 per cent shy away from its 52-week high of Rs 55.15, hit on November 30. The scrip is quoting 79.58 per cent above its one-year low of Rs 30.60, hit on February 24 this year.
The stock has climbed 4.83 per cent in the last five trading sessions. On a year-to-date (YTD) basis, it has surged 36.60 per cent.
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Analysts largely felt that the HUDCO stock has support around Rs 50 levels. One analyst expected “a congestion” around Rs 56 levels, while another suggested that investors could book profits at current levels.
Osho Krishan, Sr. Analyst (Technical & Derivative Research) at Angel One, said, “HUDCO has seen a vertical rally from the zone of Rs 36, and since then, it has been in a cycle of higher highs – higher lows. Recently, the stock has surged from its 21 DEMA (Double Exponential Moving Average), which even coincides with the previous highs, signifying the stock is in an uptrend. On technical levels, the stock has strong support near the Rs 49-50 odd zone, and till it is sustained, the northward journey is expected to continue.”
Anand James, Chief Market Strategist at Geojit Financial Services, “Given the series of continuation patterns in weekly charts, HUDCO looks set to put behind the disappointments of this year and is poised to breach the 2021 peak. We sense congestion in the Rs 56 vicinity, but are encouraged to look ahead towards Rs 66 as a potential near-term target with a downside marker below 50.”
A R Ramachandran from Tips2trades, said, “With rising interest rates and improving credit cycle, the NBFC (non-banking financial company) stocks have also done very well since the past few weeks, including HUDCO. HUDCO stock prices could move up to Rs 56.5-58 in the near term. Investors should book profits at these levels and wait for a dip near Rs 43 to initiate fresh buy positions.”
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Meanwhile, Indian equity benchmarks surged in today’s deals, riding on the back of strong buying interest in state-owned lenders.