Shares of two listed Adani Group stocks slipped on Monday, halting a much-needed relief rally of four consecutive sessions. ACC Ltd and Ambuja Cements Ltd fell today even as most of Adani stocks extended their gains. ACC fell 1.50 per cent to close at Rs 1,865.70, while Ambuja Cements declined 1.65 per cent to settle at Rs 385.55. The two cement makers — ACC and Ambuja — have lost 23.54 per cent and 26.76 per cent, respectively, so far this year.
Most Adani stocks started rebounding from the Hindenburg shock after US firm GQG Partners Inc, last week, picked up shares worth Rs 15,446 crore in the Indian conglomerate.
Eight out of 10 listed Adani stocks continued the recovery mode today. However, ACC and Ambuja Cements resumed fall.
Adani acquired a 63.2 per cent stake in Ambuja Cements from the Holcim Group last year. And, Ambuja Cements holds a controlling 50.05 per cent stake in ACC.
On the technical front, ACC faces strong resistance at Rs 1,932, an analyst said. “ACC looks bearish on the daily charts with strong resistance at Rs 1,932. A fall till support of Rs 1,800 looks very likely in the coming days,” said AR Ramachandran from Tips2trades.
The stock traded higher than the 5-day and 20-day moving averages but lower than the 50-day, 100-day and 200-day moving averages. The counter’s 14-day relative strength index (RSI) came at 46.40. A level below 30 is defined as oversold while a value above 70 is considered overbought. The company’s stock has a price-to-equity (P/E) ratio of 56.16.
ACC has an average target price of Rs 2,388.70, Trendlyne data showed, suggesting a potential upside of 28.03 per cent. The scrip has a one-year beta of 1.02, indicating average volatility.
In the case of Ambuja Cements, the stock has strong resistance at Rs 413. “Ambuja Cements looks bearish on the daily charts with strong resistance at Rs 413. A daily close below the support of Rs 375 could lead to targets of Rs 355-324 in the near term,” said Ramachandran.
“The counter made a high of Rs 598 on December 9, 2022. From there, it saw a sharp decline toward the Rs 315 level on February 2. Since then, the scrip has reclaimed its 20-day SMA (Simple Moving Average). The RSI is also gaining momentum, suggesting that the upside momentum is likely to continue. Hence, one can buy the stock at the current level, with a stop loss placed at Rs 350 for a target of Rs 440-470 levels,” said Mileen Vasudeo, Senior Technical Analyst at Arihant Capital Markets.
The stock traded higher than the 5-day and 20-day moving averages but lower than the 50-day, 100- and 200-day moving averages. The counter’s 14-day RSI came at 51.78. The company’s stock has a P/E ratio of 37.97.
Ambuja Cements has an average target price of Rs 457.10, as per Trendlyne data, suggesting a potential upside of 18.57 per cent. The scrip has a one-year beta of 1.01, indicating average volatility.
Meanwhile, Indian equity benchmarks rose sharply today, extending their gains for the second straight session. The domestic indices’ surge was propelled by gains in technology, energy and automobile stocks.
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