Tata Power Company Ltd shares have been trading around their all-time high level lately. On Thursday, the stock settled 0.59 per cent higher at Rs 452.20. At this price, it was 2.61 per cent away from its record high value of Rs 464.30 -- a level seen last month on May 3. With that being said, the Tata Group stock has turned multibagger in the past one year by rallying 101.83 per cent.
On technical setup, the counter traded higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). The counter's 14-day relative strength index (RSI) came at 56.88. A level below 30 is defined as oversold while a value above 70 is considered overbought.
For Tata Power's stock, support could be seen at Rs 445, followed by Rs 430 and 420 level. On the higher end, immediate resistance may be found at Rs 460 and a decisive close is required for further upside.
Osho Krishan, Senior Research Analyst - Technical & Derivatives at Angel One, said, "Tata Power has been consolidating near its lifetime high zone for quite some time. The counter is facing stiff resistance around the Rs 460 zone, and a decisive breakthrough could only trigger the next leg of the rally towards Rs 480 on an immediate basis. On the lower end, strong support is placed around Rs 430-420, and any dips towards the same are likely to augur well for the buyers."
Ravi Singh, Senior Vice-President (Retail Research) at Religare Broking, said, The stock looked strong on daily charts. It has potential to hit an upside target of Rs 470. Keep stop loss placed at Rs 445."
Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi Shares and Stock Brokers, said, "Support will be at Rs 445 and resistance at Rs 460. A decisive close above Rs 460 level may trigger a further upside towards Rs 475. The expected trading range will be between Rs 435 and Rs 485 for a month."
The company's stock has a price-to-equity (P/E) ratio of 53.67 against a price-to-book (P/B) value of 9.10. Earnings per share (EPS) stood at 8.38 with a return on equity of 16.95.
As of March 2024, promoters held a 46.86 per cent stake in the Tata Group firm.