IREDA shares down 19% from record high; price targets, stop loss, resistance and more

Shares of Indian Renewable Energy Development Agency (IREDA) are down 19% from their record high in the last two sessions. The stock, which hit a record high of Rs 310 on July 15, 2024 fell to an intra day low of Rs 251.85 today, losing 19.03% during the period. The fall in two sessions can be attributed to profit-booking, said analysts. Market cap of IREDA slipped to Rs 69,304 crore. IREDA shares saw the highest turnover of Rs 175.76 crore as 175.76 lakh shares changed hands on BSE today.

IREDA stock fell 7.49% intra day in the current session.

In terms of technicals, the relative strength index (RSI) of the stock stands at 72, signaling it's trading in the overbought zone. IREDA shares are trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day and 150 day moving averages.

It fell to a 52 week low of Rs 49.99 on November 29, 2023. The stock listed at a premium of 56.25% over the IPO issue price of Rs 32 in the same session.

The multibagger stock listed at Rs 50 last year.

Shiju Koothupalakkal, Technical Research Analyst, Prabhudas Lilladher said, "The stock has witnessed a decent rally since the last one month racing from Rs 175 level to hit the peak rate of Rs 310 level where it had resisted and with some profit booking has slipped down. The near-term support lies near Rs 248-250 zone from where we can expect a pullback to improve the bias once again and once a confirmation above Rs 280 zone is sustained, then we can anticipate for further rise to retest the previous peak zone of Rs 310 levels and further ahead. At the same time, a decisive breach below Rs 240 zone shall weaken the bias and thereafter, can expect for further slide."

Ganesh Dongre, Senior Manager - Technical Research Analyst, Anand Rathi Shares and Stock Brokers said, "On the daily chart, the stock appears to be in the oversold zone. Other technical indicators, such as the Relative Strength Index (RSI), also suggest that the stock is near the oversold territory. The upcoming support level for this stock is anticipated to be around the 240-245 range. Should we observe further price reversal action, there could be an upward bounce in the stock in the upcoming weeks, potentially reaching the resistance level of Rs 290-300. Given this analysis, traders may consider buying this stock on dips, with a closing stop loss set at Rs 240, aiming for a target price of Rs 295."

IREDA is a Mini Ratna (Category - I) government enterprise. It is administratively controlled by the Ministry of New and Renewable Energy (MNRE). IREDA has been actively promoting, developing, and extending financial assistance for new and renewable energy projects, as well as energy efficiency and conservation projects for over 36 years.