This Low PE Small Cap stock surged 16 per cent after breakout: Do you own it?
Stock is available at the PE of 10.2, which is less than its peers.
On Thursday, Nifty opened flat but unfortunately, the opening level also marked the highest point of the day, signaling an immediate downward pressure from the bears. But one company from printing and stationery industry grabbed investors’ attention by rallying 16 per cent with explosive volumes.
The stock is S Chand and Company Ltd (NSE CODE: SCHAND), a 766-crore market cap company currently trading at Rs.216, which is engaged in publishing and distribution of books. It is available at 10.2 PE which is less than its peers.
After the previous breakout rally, stock is in consolidation from September 2022 in the range of Rs.204 – Rs.156 making lower highs and equal lows close to 200DMA on daily timeframe.
From the last few trading sessions, the stock picked up momentum with volume and registered a breakout of this consolidation range today. Around 20 lakh shares were traded in first half of the day which is one of the highest since September 2022 where the consolidation started.
Interestingly, a closing around day’s high will form bullish Marubozu candle on daily charts, thus suggesting strong momentum and start of fresh up move.
Add this stock to your watch list and don’t miss the opportunity.