This Tata Group stock lost multibagger tag in a year; here are the price targets for 2024

Shares of multibagger Tejas Networks Ltd have delivered negative returns in the last three months. The Tata Group stock has lost Rs 36.55 or 4.08% during the period. On the other hand, Tejas Networks shares gained 47.59% in a year and zoomed 531.07% in three years. The stock has lost multibagger tag during the last one year. In two years, Tejas Networks stock surged 102.13%. 

In comparison, BSE 500, the parent index rose 12.26% in three months. Tejas Networks designs and manufactures wireless networking products. Tejas Networks shares closed 0.62% higher at Rs 863.50 on Friday. In the current session, Tejas Networks shares were trading on a flat note at Rs 860.15. 

Around 0.13 lakh shares of Tejas changed hands amounting to a turnover of Rs 1.12 crore on BSE. Market cap of the Tata Group firm stood at Rs 14,620 crore. The stock hit a 52 week high of Rs 939.90 on October 18, 2023 and a 52-week low of Rs 510 on January 30, 2023.    

Tejas Networks has a one year beta of 0.6, signaling low volatility during the period.   

In terms of technicals, the relative strength index (RSI) of Tejas Networks stands at 60.2, signaling it's trading neither in the oversold or overbought territory. Tejas Networks shares stand higher than the 10 day, 20 day, 50 day, 100 day and 200 day moving averages.    

Domestic brokerage firm Emkay Global has initiated coverage on Tejas Networks with a 'Buy' rating and assigned a target price of Rs 1,050 per share. 

Emkay has projected a strong revenue surge for this Tata Group firm, with anticipations of it peaking in the fiscal year 2025. Furthermore, the brokerage expects the firm’s revenue to settle at a level of five times that of the fiscal year 2024.  

"We see revenue peaking in FY25 and settling at 5 times of FY24 levels," Emkay said in its research note.  

Shiju Koothupalakkal - Technical Research Analyst, Prabhudas Lilladher expects the stock to reach Rs 940 mark post a decisive breach above Rs 888 zone.  

“The stock has witnessed some profit booking after resisting near Rs 888 zone and currently is showing slight weak bias with near-term support at Rs 825 levels. At the same time, on the upside a decisive breach above Rs 888 zone is necessary to improve the bias and then anticipate for further rise for next target of Rs 920-940 levels. The overall trend would turn only a decisive breach below Rs 780 zone is confirmed.” 

Abhijeet from Tips2trades said,"Tejas Network is bearish on the Daily charts with strong resistance at Rs 888. A daily close below support of Rs 847 could lead to a target of Rs 778 in the near term." 

Tejas Networks produces optical and data networking products.  It designs,  develops  and sells high-performance  and  cost-competitive networking products  to telecommunications service providers,  internet service providers,  utilities,  defence  and  government entities in over  75 countries.  

 Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.     

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