The shares of Larsen Toubro L&T went up for the fourth straight session today. The stock surged by 2.38 per cent to hit a day high and also its 52 week high of Rs 2,173. It settled 206 per cent higher at Rs 2,167. A total of 76,000 shares changed hands on the BSE today, making it a turnover of Rs 16.30 crore. The company's market capitalisation or m-cap was Rs 3,04, 584.57. The stock has gone up 3.45 per cent in the last five sessions. It has jumped 12.59 per cent on a year-to-date YTD basis.
Analysts were largely positive on the counter and suggested a strong upward trend. One analyst said that the stock is overbought and investors should book profits at current levels. Osho Krishan, Sr. Analyst- Technical Derivative Research, Angel One Ltd, said that L&T is in a cycle of higher highs and higher lows and is at its all-time high. Since its breakout near the Rs 2,000 odd levels, the stock has seen a strong rally and has managed to surpass the benchmark index. The stock has strong support near Rs 2,050 on the technical front, and any short-term blip towards the same could be considered healthy and could be good for the bullish players, as it has strong support near the big up move. The stock looks promising to continue its northward journey in uncharted territory. Also read | Bank of India vs Bank of Baroda: Stocks hit 52 week highs today, here's what analysts say.
Kunal Shah, Senior Technical Derivative Analyst at LKP Securities, suggested buying the stock at Rs 2,125 levels, while keeping a stop loss at Rs 2,050, for a target price of Rs 2,200 -- 2,240.
Shah said that L&T has been trading in an uptrend on the daily chart. The momentum oscillators are in a strong buying zone, which confirms the strength of the stock. Mahesh Prakot, Technical Research Analyst, Bonanza Portfolio Ltd, said that the stock has been rising in a well-channelized way since March 2020. Every time the price has touched the channel's upper and lower trend line, the price has kept it up with the channel's upper and lower trend line. The MACD Moving Average Convergence Histogram shows a positive trajectory that points to a strong momentum on the momentum front. The RSI 14 momentum indicator has crossed 70 marks, confirming the internal strength. Pavitraa Shetty, a trader from Tips 2 Trades, said: Excellent Q 2 FY 23 results with improving sentiment towards Indian equities has led to a strong rally in Larsen Toubro. The stock is currently overbought and investors should book profits at current levels and wait for a dip near 1,980. On the earnings front, L&T posted a 23 per cent year-on-year YoY rise in its consolidated net profit, at Rs 2,228. 97 crores, during the September quarter Q 2 Also Read | Venky s India stock zooms 16%, rises after four sessions.
Indian equity benchmarks settled on a higher note today, led by gains in state-owned lenders.