Jindal Stainless shares zoom 215% from 52-week low in eight months; can they rally further?
Jindal Stainless share price today: In over eight months, investors have gained nearly Rs 13,900 crore in market cap.
- Mar 8, 2023,
- Updated Mar 8, 2023 8:37 AM IST
Shares of Jindal Stainless have trebled investor wealth in less than a year. The steel stock, which hit a 52-week low of Rs 95.05 on June 20, 2022 reached an all-time high of Rs 304.05 on March 6, 2023. In over eight months, investors have gained nearly Rs 13,900 crore in market cap. Jindal Stainless stock’s market cap rose to Rs 15,735 crore on March 6, 2023 against the market cap of Rs 1,907 crore on June 20 last year, translating into a gain of Rs 13,828 crore during the period.
Jindal Stainless stock is the top performer in the steel sector in terms of returns in the last six months. The stock zoomed 124% in the last six months outperforming peers such as Tata Steel, JSW Steel Ltd, Tata Steel Ltd, SAIL, Hindalco Industries Ltd and NMDC during the period.
In a period of three and five years, the Jindal Stainless stock has zoomed 628% and 215%, respectively.
Jindal Stainless Ltd shares hit an all-time high of Rs 304.05, rising 8.78% in the previous session. Later it ended 7.14% higher at Rs 299.45 on BSE. The stock has gained 17% in the last five sessions.
The stock of the stainless steel maker has gained 25.21% this year and risen 51.74% in the last one year. Total 2.05 lakh shares of the firm changed hands amounting to a turnover of Rs 6.04 crore on BSE. Market cap of Jindal Stainless rose to Rs 15,735 crore.
In terms of technicals, the relative strength index (RSI) of Jindal Stainless stands at 74, signaling it's trading in the overbought zone. Jindal Stainless stock has a one-year beta of 1.1, indicating high volatility during the period. Jindal Stainless shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages .The stock is technically trading in a bullish range.
Here’s a look at what experts said on the outlook of the stock.
Dr. Ravi Singh, Vice President and Head of Research, Share India said, “Jindal Stainless is trading above all its key moving averages (5, 20, 50, 100 and 200) and has been in uptrend since June 2022. However, the stock may witness some profit booking in next trading sessions and may touch the levels of Rs 580.”
Abhijeet from Tips2trade said, "Jindal Stainless looks bullish but also slightly overbought on the Daily charts with next resistance at 306. Investors should book profits at current levels and wait for a dip near support of Rs 240-243 to initiate fresh buy positions."
Vaishali Parekh, Vice President - Technical Research, Prabhudas Lilladher said, “The stock has given a decent run up from the bottom made near Rs 96 levels and has gained much strength to breach above the previous peak zone of Rs 225 levels to indicate a breakout on the daily chart. Recently, there has been some resistance witnessed near Rs 274 levels and had the near-term support zone near Rs 240 levels, but has continued with the uptrend further and has the next target of Rs 305-310 levels in the coming days. The RSI is also well placed and can anticipate for further rise in the coming days. The trend shall turn down or weaken only a decisive breach below the Rs 260 zone and one can think of exiting from their holding. At the same time, a decisive breach above Rs 305 levels would further trigger for fresh upward move for next target of Rs 335-345 levels.”
Jindal Stainless reported a 28% fall in net profit to Rs 314 crore ($38.58 million) for the third quarter ended December 31 from Rs 435 crore a year earlier.
However, the New Delhi-based company's revenue from operations climbed 12% to Rs 6,350 crore in Q3 from Rs 5,670 crore a year earlier.
Exports fell to nearly 5% in the December quarter following the government's decision to introduce an export tax on certain steel intermediaries in May. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) fell 34.14% to Rs 524.79 crore in Q3 against Rs 796.82 crore in the December quarter of the previous fiscal.
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Shares of Jindal Stainless have trebled investor wealth in less than a year. The steel stock, which hit a 52-week low of Rs 95.05 on June 20, 2022 reached an all-time high of Rs 304.05 on March 6, 2023. In over eight months, investors have gained nearly Rs 13,900 crore in market cap. Jindal Stainless stock’s market cap rose to Rs 15,735 crore on March 6, 2023 against the market cap of Rs 1,907 crore on June 20 last year, translating into a gain of Rs 13,828 crore during the period.
Jindal Stainless stock is the top performer in the steel sector in terms of returns in the last six months. The stock zoomed 124% in the last six months outperforming peers such as Tata Steel, JSW Steel Ltd, Tata Steel Ltd, SAIL, Hindalco Industries Ltd and NMDC during the period.
In a period of three and five years, the Jindal Stainless stock has zoomed 628% and 215%, respectively.
Jindal Stainless Ltd shares hit an all-time high of Rs 304.05, rising 8.78% in the previous session. Later it ended 7.14% higher at Rs 299.45 on BSE. The stock has gained 17% in the last five sessions.
The stock of the stainless steel maker has gained 25.21% this year and risen 51.74% in the last one year. Total 2.05 lakh shares of the firm changed hands amounting to a turnover of Rs 6.04 crore on BSE. Market cap of Jindal Stainless rose to Rs 15,735 crore.
In terms of technicals, the relative strength index (RSI) of Jindal Stainless stands at 74, signaling it's trading in the overbought zone. Jindal Stainless stock has a one-year beta of 1.1, indicating high volatility during the period. Jindal Stainless shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages .The stock is technically trading in a bullish range.
Here’s a look at what experts said on the outlook of the stock.
Dr. Ravi Singh, Vice President and Head of Research, Share India said, “Jindal Stainless is trading above all its key moving averages (5, 20, 50, 100 and 200) and has been in uptrend since June 2022. However, the stock may witness some profit booking in next trading sessions and may touch the levels of Rs 580.”
Abhijeet from Tips2trade said, "Jindal Stainless looks bullish but also slightly overbought on the Daily charts with next resistance at 306. Investors should book profits at current levels and wait for a dip near support of Rs 240-243 to initiate fresh buy positions."
Vaishali Parekh, Vice President - Technical Research, Prabhudas Lilladher said, “The stock has given a decent run up from the bottom made near Rs 96 levels and has gained much strength to breach above the previous peak zone of Rs 225 levels to indicate a breakout on the daily chart. Recently, there has been some resistance witnessed near Rs 274 levels and had the near-term support zone near Rs 240 levels, but has continued with the uptrend further and has the next target of Rs 305-310 levels in the coming days. The RSI is also well placed and can anticipate for further rise in the coming days. The trend shall turn down or weaken only a decisive breach below the Rs 260 zone and one can think of exiting from their holding. At the same time, a decisive breach above Rs 305 levels would further trigger for fresh upward move for next target of Rs 335-345 levels.”
Jindal Stainless reported a 28% fall in net profit to Rs 314 crore ($38.58 million) for the third quarter ended December 31 from Rs 435 crore a year earlier.
However, the New Delhi-based company's revenue from operations climbed 12% to Rs 6,350 crore in Q3 from Rs 5,670 crore a year earlier.
Exports fell to nearly 5% in the December quarter following the government's decision to introduce an export tax on certain steel intermediaries in May. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) fell 34.14% to Rs 524.79 crore in Q3 against Rs 796.82 crore in the December quarter of the previous fiscal.
Also read: Axis Bank shares: Is India's third largest private lender headed for 45% upside?
Also read: Carborundum, Tata Motors & Gujarat Gas: What should be your strategy?