GRSE shares are down 45% from record high, price targets for the multibagger stock

Shares of Garden Reach Shipbuilders & Engineers Ltd (GRSE) have risen 76% this year. However, the multibagger stock has lost 45.54% from their record high. On July 5, 2024, the stock hit a record high of Rs 2834.60. In the current session, Garden Reach Shipbuilders stock closed 0.13% higher at Rs 1543.50 on Tuesday against the previous close of Rs 1541.55 on BSE. Market cap of the firm rose to Rs 17,681 crore. 

On BSE, around 0.37 lakh shares changed hands amounting to a turnover of Rs 5.76 crore. 

The multibagger defence stock has climbed 108% in a year and risen 203% in two years. Garden Reach Shipbuilders stock has a one-year beta of 1.5, indicating high volatility during the period. Shares of Garden Reach Shipbuilders fell to their 52-week low of Rs 674.25 on October 26, 2023. 

In terms of technicals, the relative strength index (RSI) of Garden Reach Shipbuilders stood at 40.4, signaling it's trading neither in the overbought nor in the oversold zone. 

Prabhudas Lilladher Capital is bullish on the stock with a price target of Rs 2,770. It assigned a buy call to the defence stock. 

"The stock has witnessed a decent erosion from the peak zone of 2833 and recently has found consolidation near the Rs 1700 zone with stability maintained. With recent low made near Rs 1510
level, it has indicated a pullback with currently having a positive candle formation with significant volume participation to improve the bias and anticipating for further rise in the coming days. The RSI has indicated a positive trend reversal from the highly oversold zone to signal a buy and has much upside potential to carry on with the positive move further ahead. With the chart technically looking very attractive, we suggest to buy the stock for an upside positional target of Rs 2770 keeping stop loss of Rs 1420."

Anand Rathi has assigned price target of Rs 2425 to Rs 2650. 

"Between March 2024 to July 2024, GRSE surged over 300 points from the low of Rs 700. After that, since many months, most of the shipping related stocks have been trading in a corrective mode.  If we talk about GRSE then the stock has eroded around 45% of its price from the top. At this juncture, we are witnessing that the stock is turning from its 200 DEMA and 61.8% retracement level. In addition, the stock is about to confirm a change of trend by making higher top and higher bottom formation. Investors/Traders can accumulate the stock with a time frame of around 1 year," said Anand Rathi. 

Garden Reach Shipbuilders & Engineers is mainly engaged in the construction of warships.