Shares of CG Industrial Power hit a fresh 52-week high in an otherwise weak market today. CG Power stock hit a yearly high of Rs 307.8, rising 4.45% against the previous close of Rs 294.70 on BSE. CG Power stock is trading higher than the 5-day, 20-day, 50-day, 100-day and 200-day moving averages. In 2023, CG Power stock has gained 11.54% and risen 62.54% in a year.
Total 1.15 lakh shares changed hands amounting to a turnover of Rs 3.49 crore on BSE. Market cap of CG Power rose to Rs 46,118 crore. The stock hit a 52 week low of Rs 154 on March 8, 2022.
Pravesh Gour, Senior Technical Analyst at Swastika Investmart has given a buy call with a target of Rs 324. Stop loss can be placed at Rs 270.
"On the daily chart, the counter has formed a V-shaped recovery, as well as higher highs and higher lows. It is in a classical upward move, and the structure of the counter is also very lucrative. All the important moving averages are supporting the trend. On the upside, Rs 300 is acting as a psychological level. Above this level, the Rs 324 level will be the short-term target levels. On the downside, Rs 270 is the major support level, " said Gour.
The firm will announce its Q3 earnings on January 24.
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In the second quarter of the current fiscal, the firm reported a 5% fall in net profit to Rs 178.98 crore against Rs 188.20 crore in the corresponding quarter of the previous fiscal. However, sales grew 16.68% to Rs 1696.27 crore in the September quarter against Rs 1453 crore sales in the corresponding quarter of the previous fiscal.
In terms of technicals, the relative strength index (RSI) of CG Power stands at 67.1, signaling the stock is neither overbought nor oversold. The stock has a one-year beta of 0.8, indicating low volatility during the period.
CG Power and Industrial Solutions is engaged in providing end-to-end solutions to utilities, industries and consumers for the management and application of electrical energy. The company offers products, services and solutions through two segments: Power Systems and Industrial Systems. Its power systems segment includes transformers, switchgear, automation and turnkey projects. Its industrial systems segment includes electric motors, alternators, drives, traction electronics and supervisory control and data acquisition systems (SCADA).