This Dolly Khanna stock slips 21% from 52-week high: Buy, sell or hold?

Shares of Prakash Pipes have lost 21 per cent from their 52-week high amid the ongoing market turmoil. The stock closed at Rs 165.50 on BSE in the previous session compared to the yearly high of Rs 209.25 hit on April 28, 2022, translating into a decline of 20.90 per cent during the period.

The stock forms part of ace investor Dolly Khanna's portfolio. She held 2.39 per cent stake or 5.72 lakh shares in the firm at the end of March 2022 quarter. Dolly Khanna bought 1.35 per cent stake in the company in the October- December quarter of last fiscal.

On the other hand, big bull Rakesh Jhunjhunwala sold out his 1.31 per cent stake in the company during Q3FY22. Jhunjhunwala's name was missing from the list of individual shareholders who own 1 per cent or more stake in the company.

In the current session, the stock was trading 1 per cent higher at Rs 167.15 on BSE.

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The stock trades higher than 5-day and 200-day moving averages but lower than 20-day, 50-day and 100-day moving averages. The shares have gained 29.28 per cent since the beginning of this year and lost 8.55 per cent in one year.

The market cap of the firm stood at Rs 401.83 crore on BSE. Total 3,637 shares changed hands amounting to a turnover of Rs 6.04 lakh on BSE.

The stock hit a 52-week low of Rs 124.50 on December 20, 2021 and a 52-week high of Rs 209.25 on April 28, 2022.

In Q4 of the previous fiscal, 72,047 public shareholders held 55.91 per cent in the firm. 39 promoters held 44.09 per cent stake or 1.05 crore shares in the last quarter.

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69,285 shareholders held 71.38 lakh shares of the firm, amounting to a stake of 28.80 per cent with an individual share capital of up to Rs 2 lakh. 23 public shareholders held 14.18 lakh shares of the firm, amounting to a stake of 5.93 per cent with an individual share capital of over Rs 2 lakh.

The firm reported a 29.70 per cent rise in Q4 net profit. It reported a standalone net profit of Rs 13.19 crore for the fourth quarter ended March 31, 2022 against a net profit of Rs 10.17 crore in the year-ago period.

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Sales in the January-March period of 2021-22 rose to Rs 174.76 crore against Rs 134.64 crore in the same period of 2020-21.

Here's a look at what analysts said about the prospects of the stock.

Manoj Dalmia, founder and director, Proficient Equities

"Prakash Pipes has entered a sideways to volatile phase. Investors can hold if they have existing positions and buy at Rs 129 levels. Heavy buying is not recommended as there is no clear trend visible. Buying at dips can be the solution."

Ravi Singh, vice President and head of Research, Share India

"Prakash Pipes stock seems under accumulation at current levels with an uptrend bias. The stock is forming bullish pattern on momentum indicators and can see some buying thrust. Investors may take buy positions at current levels for the target of Rs 180 levels in coming trading sessions."

AR Ramachandran, Co-founder & Trainer, Tips2Trades

"Even though fundamentally, the company has done quite well with negligible debt, a recent sell off in mid & small cap stocks has led to a sharp correction in Prakash Pipes as well. Technically, till the stock doesn't close above Rs 179, trend will remain bearish. Strong support will be at Rs 150- Rs 152 levels."

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