Tata Power shares hit record high: Price targets, support, stop loss and more

Shares of Tata Power Ltd hit their record high on Friday despite an across-the-board crash in the stock market. Tata Power shares surged to a high of Rs 470.85 against the previous close of Rs 464.35 on BSE. Market cap of Tata Power crossed the Rs 1.5 lakh crore mark on BSE. A total of 12.53 lakh shares of the firm changed hands amounting to a turnover of Rs 58.04 crore. Tata Power stock declined to a 52-week low of Rs 228.10 on August 16, 2023.

The power sector stock has gained 39.43% in 2024 and risen 95.52% in a year.

In terms of technicals, the relative strength index (RSI) of Tata Power stock stands at 65.3, signaling the stock is trading neither in the oversold nor in the overbought zone. Tata Power shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.

 Analysts are mostly bullish on the Tata Group stock.  

Shiju Koothupalakkal, Technical Research Analyst, PL Capital - Prabhudas Lilladher said, "The stock has witnessed a decent pullback from the recent low made near the 400 zone and has moved past the significant 50EMA level at Rs 432 zone and currently has indicated a breakout above the long-term trendline at Rs 455 zone to further strengthen the bias. The RSI is on the rise indicating strength and with much upside potential visible, we anticipate further rise for next higher targets of Rs 495 and Rs 522 levels in the coming days. Rs 442 zone is the important support level."

Kushal Gandhi, Technical Analyst, StoxBox is bullish on the Tata Power stock with a price target of 520.

"Tata Power shares have experienced a substantial increase of over 100% from the October 2023 lows, followed by a subsequent consolidation phase within a 20% range. This indicates steadfast support from committed investors, preventing drawdowns beyond 20% and suggesting ongoing accumulation to reinforce the prevailing trend. The emergence of a bullish double-bottom breakout from the consolidation phase is a positive development. The stock has shown improved earnings per share (EPS), price strength, and heightened buyer demand. Notably, Tata Power is scheduled to disclose its quarterly earnings on August 6. We recommend initiating a purchase of Tata Power shares with a target price of Rs 520 and a stop loss set at Rs 441," said Gandhi.

Jigar S Patel, manager at Anand Rathi said, "Support will be at Rs 450 and resistance at Rs 471. A decisive close above the Rs 471 level may trigger a further upside to Rs 485. The expected trading range will be between Rs 440 and Rs 480 for short-term."