Multibagger Navratna firm shares record date for dividend; price targets signal a move above Rs 200
Multibagger stock: The stock has gained 252.33% in a year and risen 443.75% in two years. However, the Navratna stock has been in a consolidation mode for the last few weeks.
- Aug 25, 2024,
- Updated Aug 25, 2024 10:06 AM IST
Shares of multibagger NBCC India are in news since the firm has declared record date for its final dividend on September 6, 2024. The company had announced a dividend of Rs 0.63 per paid up equity share of Rs 1/-each (at 63%) for the FY 2023-24 subject to the approval of shareholders. The stock has gained 252.33% in a year and risen 443.75% in two years. However, the multibagger stock has been in a consolidation mode for the last few weeks, trading in a range of Rs 170 to Rs 195.
Those who want to enter the NBCC stock, it can provide them opportunities in the short term. The stock has a RSI of 50.4, signalling its neither oversold nor overbought on charts. It also indicates there is room for more upside in the stock.
Analysts have mixed views on prospects of the stock.
Mandar Bhojane, Equity Research Analyst at Choice Broking said, "The stock has been consolidating in a range of Rs 172 to Rs 197. However, trading volumes have increased, signaling a potential breakout above the Rs 190 level. If this breakout occurs, the stock may have the potential to reach short-term targets of Rs 220 and Rs 250. However, on the downside, immediate support is located at Rs 170, which could be seen as a buying opportunity on dips. It is advisable to set a stop-loss (SL) at Rs 165."
Aditya Agarwal, head of derivatives and technicals at Sanctum Wealth said, "NBCC is consolidating in a broad range of Rs 165-195 with no clear direction. Overall, structure for the stock remains bullish and we expect stock to move towards Rs 235/245 levels in medium to long term. However, from the short-term perspective, the stock may see a minor fall towards Rs 175/170 levels and around those levels, fresh long positions can be initiated with stop loss placed below Rs 162."
Nuvama has a buy call on the NBCC stock with a price target of Rs 198.
Nuvama said, "The management has guided for Rs 13,000 crore in revenue and 5.5–6 per cent EBITDA margins for FY25. Order wins remained strong at Rs 19,800 crore in Q1FY25; the company was awarded projects worth Rs 3,700 crore during the quarter."
"Improvement in order intake, execution and margins along with traction in real estate monetisation impel us to increase the target P/E to 50 times from 40 times earlier. Maintain ‘HOLD’ with a target price of Rs 198 from Rs 144, as we roll over the valuation to Q1FY27E," added the brokerage.
NBCC stock hit a record high of Rs 198.25 on July 9, 2024 and fell to a 52 week low of Rs 48.55 on August 25, 2023. NBCC shares are trading higher than the 5 day, 10 day 20 day, 50 day, 100 day, 150 day, and 200 day moving averages.
On Friday, NBCC stock ended 1.90% lower at Rs 178.35 against the previous close of Rs 181.80 on BSE. Market cap of the firm fell to Rs 32,103 crore. Total 3.75 lakh shares of the firm changed hands amounting to a turnover of Rs 6.78 crore in the previous session.
The multibagger stock has been highly volatile with a beta of 1.5 during the last one year.
NBCC (India) Limited provides value added services. The company operates through three segments: Project Management Consultancy (PMC), Real Estate Development, and Engineering Procurement and Construction (EPC). PMC segment is engaged in civil construction projects, infrastructure works for the national security, infrastructure projects for the civil sector, and project implementation for Pradhan Mantri Gram Sadak Yojna (PMGSY) and developmental work in Northeastern Region.
Shares of multibagger NBCC India are in news since the firm has declared record date for its final dividend on September 6, 2024. The company had announced a dividend of Rs 0.63 per paid up equity share of Rs 1/-each (at 63%) for the FY 2023-24 subject to the approval of shareholders. The stock has gained 252.33% in a year and risen 443.75% in two years. However, the multibagger stock has been in a consolidation mode for the last few weeks, trading in a range of Rs 170 to Rs 195.
Those who want to enter the NBCC stock, it can provide them opportunities in the short term. The stock has a RSI of 50.4, signalling its neither oversold nor overbought on charts. It also indicates there is room for more upside in the stock.
Analysts have mixed views on prospects of the stock.
Mandar Bhojane, Equity Research Analyst at Choice Broking said, "The stock has been consolidating in a range of Rs 172 to Rs 197. However, trading volumes have increased, signaling a potential breakout above the Rs 190 level. If this breakout occurs, the stock may have the potential to reach short-term targets of Rs 220 and Rs 250. However, on the downside, immediate support is located at Rs 170, which could be seen as a buying opportunity on dips. It is advisable to set a stop-loss (SL) at Rs 165."
Aditya Agarwal, head of derivatives and technicals at Sanctum Wealth said, "NBCC is consolidating in a broad range of Rs 165-195 with no clear direction. Overall, structure for the stock remains bullish and we expect stock to move towards Rs 235/245 levels in medium to long term. However, from the short-term perspective, the stock may see a minor fall towards Rs 175/170 levels and around those levels, fresh long positions can be initiated with stop loss placed below Rs 162."
Nuvama has a buy call on the NBCC stock with a price target of Rs 198.
Nuvama said, "The management has guided for Rs 13,000 crore in revenue and 5.5–6 per cent EBITDA margins for FY25. Order wins remained strong at Rs 19,800 crore in Q1FY25; the company was awarded projects worth Rs 3,700 crore during the quarter."
"Improvement in order intake, execution and margins along with traction in real estate monetisation impel us to increase the target P/E to 50 times from 40 times earlier. Maintain ‘HOLD’ with a target price of Rs 198 from Rs 144, as we roll over the valuation to Q1FY27E," added the brokerage.
NBCC stock hit a record high of Rs 198.25 on July 9, 2024 and fell to a 52 week low of Rs 48.55 on August 25, 2023. NBCC shares are trading higher than the 5 day, 10 day 20 day, 50 day, 100 day, 150 day, and 200 day moving averages.
On Friday, NBCC stock ended 1.90% lower at Rs 178.35 against the previous close of Rs 181.80 on BSE. Market cap of the firm fell to Rs 32,103 crore. Total 3.75 lakh shares of the firm changed hands amounting to a turnover of Rs 6.78 crore in the previous session.
The multibagger stock has been highly volatile with a beta of 1.5 during the last one year.
NBCC (India) Limited provides value added services. The company operates through three segments: Project Management Consultancy (PMC), Real Estate Development, and Engineering Procurement and Construction (EPC). PMC segment is engaged in civil construction projects, infrastructure works for the national security, infrastructure projects for the civil sector, and project implementation for Pradhan Mantri Gram Sadak Yojna (PMGSY) and developmental work in Northeastern Region.