Shares of the multi-bagger shipbuilding firm Mazagon Dock Shipbuilders Ltd are trading in an overbought zone. The RSI stands at 80.7, indicating that the stock is heavily overbought. On 8 June last week, the large cap stock hit a 52-week high of 1080 on BSE.
In the current session, the Mazagon Dock stock was up 0.83% against the close of 1033.90 in the previous session. Mazagon Dock stock has risen to Rs 1042 and is trading 3.27% away from the 52 week high of Rs 1080 on June 8.
The firm's market cap was Rs 21,078 crore. The total share change hands of 1.14 lakh, resulting in a turnover of Rs11.91 crore on BSE. Mazagon Dock shares have surged 290% in a year and risen 31.69 percent in 2023. On June 20th, 2022, Mazagon Dock stocks hit a 52-week low of 229.55.
Mazagon Dock stock has a one-year beta of 1.5, indicating high volatility during the period. Mazagon Dock shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
For the past two weeks, the stock has been rising.
HDFC Securities has proposed a target of 1231 for the stock. Investors can invest in Rs. 1009-1050 band and add more on dips to Rs. 1050. 923 - 941 - Band 14 xFY 25 E EPS base case fair value is Rs 1131 17 xFY 25 E EPS and bull case fair value is Rs 1231 18.5 xFY 25 E EPS over the next two to three quarters. At the CMP of Rs 1029, the stock trades at 15.5 xFY 25 E EPS, the brokerage said.
ICICI Securities reaffirmed its sell call to the stock on 3 June.
Mazagon Dock Shipbuilders' MDL Q 4 FY 23 performance was 50% ahead of our estimates mainly on higher-than-expected revenue. Key points 1 Revenue grew 49% YoY 14.5% QoQ to Rs 20.8 Bn mainly led by the commissioning of 5th submarine under P 75 programme 2 EBITDA margin was 10.1% YoY Q 3 FY 23: 16.3% owing to higher cost of material consumed; 3 order book at Mar 23 ended was Rs 385 Bn, likely to get executed by FY 27. We expect peak execution through to FY25 E based on the current order book visibility. However, long gestation period entails free cash flow is likely to decline FY 25 E onwards with the unwinding of contract liability, leading to cash depletion. Our target price on the valuation methodology based on DCF remains the same at Rs 600. Maintain SELL on the stock. repeat orders of P - 17 A frigates or P - 15 B destroyers are a key risk to our thesis, the brokerage said in a statement.
Mazagon Dock stock price is overbought with strong resistance at 1079, said Abhijeet from Tips 2 trades. A daily close below support of 998 could lead to a fall until 880 in the near term. On a technical level, the stock is trading above Rs 890, which is 20 dema stocks appear Fantastic for a target of Rs 1270 to 1320, GCL Broking said. Therefore, a stop loss of Rs 885 on closing basis is kept at Rs 885 a day. Mazagon Dock Shipbuilders Ltd. MDS, a shipbuilding and offshore fabrication yard, is based in the port of Mazagon. The company's major activities include shipbuilding, ship repair, and manufacturing of offshore structures. Warships, merchant ships, submarines, support vessels, offshore platforms, passenger cum cargo vessels, trawlers, main and helidecks and barges.