Dilip Buildcon shares jump 10%; will this strong upmove continue?

Shares of Dilip Buildcon Ltd rose sharply in Thursday's trade. The stock surged 10.31 per cent to hit a day high value of Rs 469. At this price, it has slipped 7.03 per cent from its one-year high of Rs 504.45, a level seen last month on February 19. Despite the mentioned drop, the multibagger scrip has gained 193.68 per cent compared to its 52-week low price of Rs 159.70, hit on May 19, 2023.

Technical analysts largely remained positive on the counter for the near term. Support could be seen at the Rs 455-450 zone. And, a decisive close above its resistance level of Rs 470 is required for further upside.

Ravi Singh, Senior Vice-President (Retail Research) at Religare Broking, said, "The counter looked strong on daily charts. It has potential to hit an upside target of Rs 480 in the near term. Keep stop loss placed at Rs 455."

Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi Shares and Stock Brokers, said, "Support will be at Rs 450 and resistance at Rs 470. A decisive close above the Rs 470 level may trigger a further upside till Rs 490. Expected trading range will be between Rs 440 and Rs 500 for a month."

The infrastructure company said its PAT (profit after tax) increased by 19.87 per cent to Rs 95.3 crore in the third-quarter (Q3 FY24) against Rs 79.5 crore in the year-ago period. Revenue from operations rose 8.08 per cent to Rs 2,571.1 crore in Q3 FY24.

Dilip Buildcon is one of the leading full-service infrastructure companies with construction capabilities in roads and bridges, mining water, sanitation, sewage, dams, irrigation, industrial, commercial and residential buildings.