Shares of state-run ITI Ltd on Tuesday continued to garner gains for the second consecutive session. The stock jumped 9.35 per cent to hit a record high of Rs 413.95. It eventually settled 1.97 per cent higher at Rs 386. At this price, the scrip has ascended by 17.68 per cent in two trading days.
On BSE, the stock saw high trading volume today as around 29.18 lakh shares changed hands. The figure was higher than the two-week average volume of 4.13 lakh shares. Turnover on the counter came at Rs 114.07 crore, commanding a market capitalisation (m-cap) of Rs 37,090.24 crore.
Technically, immediate support on the counter could be seen at Rs 360. An analyst suggested booking profits within the Rs 380-390 range.
Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi, said, "ITI is approaching its resistance zone. This makes the Rs 380-390 range a critical area where profit booking is advisable. A decisive breakout above Rs 415 could invalidate this resistance, potentially triggering further upward momentum toward the Rs 425 level. Traders should wait for confirmation of the breakout before entering new long positions. Until then, it is prudent to lock in profits within the Rs 380-390 zone and monitor price action closely for any signs of sustained strength or reversal near the key levels."
"A breakout above Rs 415 zone is likely to trigger further momentum in the coming period. On the lower end, Rs 360 is likely to act as intermediate support, followed by the sacrosanct support around Rs 335-odd zone from a short-term point of view," said Osho Krishan, Senior Research Analyst - Technical & Derivatives at Angel One.
The scrip traded higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). The stock's 14-day relative strength index (RSI) came at 66.27. A level below 30 is defined as oversold while a value above 70 is considered overbought.
As per BSE, the stock has a negative price-to-equity (P/E) ratio of 73.95 against a price-to-book (P/B) value of 23.35. Earnings per share (EPS) stood at (-)5.22 with a return on equity (RoE) of (-)31.60.
ITI is a central PSU under the ministry of communication. Last checked, the government held a 90 per cent stake in the state-owned firm.