Price volume breakout: Gujarat Gas rises with heavy volumes
On a flat market day heavy buying was seen in Gujarat Gas on Wednesday.
On a flat market day heavy buying was seen in Gujarat Gas on Wednesday. According to data recorded at BSE, the stock saw spurt in volumes by more than 10.30 times. Gujarat Gas shut shop on bourses on Wednesday as Rs 567.95 per share, up by 5.10 per cent. The stock closed just below the 52-week high of Rs 580.50 per share it made in April this year.
The stock is expected to witness buying momentum in coming sessions owing to excellent quarterly results declared this season. The stock is on investors radar due to expectations of volume growth of over 21 per cent in FY21-FY23E and is also considered cheap valuation wise in the current market condition where excess liquidity is driving valuations to unsustainable levels.
The stock has appreciated by more than 50 per cent on YTD basis while in over one year the stock is up by more than 111%. This low dividend yielding mid-cap buzzer is trading at a PE multiple of 33.20 and is expected to get rerated owing to strong industrial demand for its products.