IRFC shares jump 10% to hit fresh one-year high; analysts see more upside in near term

Shares of Indian Railway Finance Corporation Ltd (IRFC) resumed their sharp upward climb in Friday's trade after a single-day halt. The stock surged 9.93 per cent to hit a fresh 52-week high of Rs 160.80. At this price, the scrip has gained around 60 per cent in January 2024 so far. That said, the multbagger counter has rallied over 380 per cent in a year.

The stock saw heavy trading volumes today as 3.10 crore shares were seen changing hands on BSE. The figure was way more than the two-week average volume of 2.32 crore shares. Turnover on the counter came at Rs 481.79 crore, commanding a market capitalisation (m-cap) of Rs 2,07,763.11 crore. There were 14,15,346 buy orders against sell orders of 11,08,476 shares.

A few technical analysts largely suggested that the stock may continue its upward run in the near term. Immediate support could be seen at Rs 148, followed by Rs 145 level. On the higher side, a decisive close above Rs 160 is required for further upside. Also, an analyst suggested booking profits at current levels.

Shiju Koothupalakkal, Technical Research Analyst at Prabhudas Lilladher, said, "The stock continued to gain further with much strength indicated. It is in a very strong uptrend. Next expected targets would be Rs 168-186 levels. The near-term support zone is maintained near Rs 148 zone. The stock can carry on with the positive move till the end of this month."

Osho Krishan, Senior Research Analyst - Technical & Derivatives at Angel One, said, "IRFC witnessed a strong spurt and continued its northward march into uncharted territory. Sacrosanct support lies around at the Rs 120-115 zone. As the counter is in an uncharted zone with no specific technical resistance, it is advisable to keep trailing profits regularly."

Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi Shares and Stock Brokers, said, "A decisive close above Rs 160 level may trigger a further upside till Rs 175. Expected trading range will be between Rs 130 and Rs 180 for a month."

AR Ramachandran from Tips2trades said, "IRFC is bullish but also extremely overbought on daily charts with next resistance at Rs 170. Investors should book profits at current levels as a daily close below support of Rs 149 could lead to target of Rs 136 in the near term."

DRS Finvest founder Ravi Singh said, "The stock may see an immediate resistance at Rs 162 level. Support is likely to be seen near the Rs 145 zone."

As of December 2023, promoters held 86.36 per cent stake in the 'Navratna' PSU.

 

(Disclaimer: Business Today provides stock market news for informational purposes only and that should not be construed as investment advice. Readers are encouraged to consult a qualified financial advisor before making any investment decisions.)

 

 

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