Orient Cement Ltd shares on Thursday continued their strong upward move for the third straight session. The stock rose 4.32 per cent to hit a day-high value of Rs 342.50. At this price, it has surged 17.11 per cent in three trading days.
The scrip has been witnessing high trading volume on BSE. Today, around 98,000 shares changed hands at the time writing this story. The figure was higher than the two-week average volume of 60,000 shares. Turnover on the counter came at Rs 3.31 crore, commanding a market capitalisation (m-cap) of Rs 6,825.20 crore. In terms of market depth, there were 6,19,521 buy orders against sell orders of 37,092 shares.
Some buying activity is taking place in Orient Cement due to the recent M&A activity in the cement space, said Kranthi Bathini, Director of Equity Strategy at WealthMills Securities. "We need to see how things are going to pan out. Investors need to monitor whether it is a speculation or a potential acquisition target," the market expert suggested.
Technically, support on the counter could be seen at Rs 325, followed by Rs 303 level. On the higher end, it may climb up to Rs 358 in the near term.
"Orient Cement can hit an upside target of Rs 350 in the near term. Keep stop loss placed at Rs 325," said Ravi Singh, Senior Vice-President (Retail Research) at Religare Broking.
"The stock is presenting a favourable risk-to-reward ratio for the short term. We recommend purchasing Orient Cement for a target price of Rs 380 with a stop loss at Rs 303," said Kushal Gandhi, Technical Analyst at StoxBox.
"Orient Cement stock price is bullish on daily charts with strong support at Rs 303.8. A daily close above resistance of Rs 343 could lead to an upside target of Rs 358 in the near term," said Sebi-registered research analyst AR Ramachandran.
The counter traded higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). The scrip's 14-day relative strength index (RSI) came at 64.79. A level below 30 is defined as oversold while a value above 70 is considered overbought.
As per BSE, the company's stock has a price-to-equity (P/E) ratio of 38.54 against a price-to-book (P/B) value of 3.86. Earnings per share (EPS) stood at 8.52 with a return on equity (RoE) of 10.01. Promoters held a 37.90 per cent stake in Orient Cement as of September 2024.