Tata Power shares up 7% in five sessions; check target price, support level & other details

Tata Power Company Ltd shares extended their gains for the fifth straight session in Thursday's trade. The stock rose 2.45 per cent to hit a day high of Rs 265.50. At this price, the scrip has gained 7.08 per cent in five trading days. And, it has ascended by 26 per cent in the last six months.

The power firm recorded a growth in its profit for the 16th consecutive quarter. It said consolidated PAT (profit after tax) during the quarter ended on September 30 this year (Q2 FY24) grew by 9 per cent to Rs 1,017 crore on a year-on-year (YoY) basis. Revenue also rose by 9 per cent to Rs 15,442 crore, YoY, largely driven by higher revenue from core businesses of generation, transmission and distribution.

During the quarter, Tata Power said a significant 84 per cent contribution in the company's PAT came from the core businesses, while the contributions from overseas joint ventures, including coal mining operations, continued to decline.

On technical setup, analysts said support on the counter could be seen around Rs 250 level. On the higher side, immediate resistance may be found above Rs 270 level.

Shiju Koothupalakkal, Technical Research Analyst at Prabhudas Lilladher, said, "The stock has indicated a decent pullback from a low made near 230 zone. Next target on the counter is Rs 275. If it manages to hold the said level, then a further up move could be expected. One can hold the stock with near-term support maintained near Rs 248."

Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi Shares and Stock Brokers, said support on the counter is expected near Rs 250. It may witness resistance above Rs 270 level, Patel added.

AR Ramachandran from Tips2trades said, "Tata Power is bullish on daily charts with next resistance at Rs 272. A daily close above this resistance could lead to a target of Rs 289 in the near term. Support will be at Rs 257."

DRS Finvest founder Ravi Singh suggested a near-term target price of Rs 275 for the stock.

As of September 2023, promoters held 46.86 per cent stake in the company.

 

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

 

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