Multibagger Cochin Shipyard Share Price Locked In Upper Circuit, Gains 22% In Five Sessions
On Thursday, Cochin Shipyard stock hit its 5% upper circuit limit for a fourth consecutive session, but it is still trading Rs 1,400 less than its all-time high of Rs 2,979.45, it hit on July 8.
Cochin Shipyard's share price was locked in its upper circuit limit on Thursday, continuing its gains for a fifth consecutive session to add nearly 22% during this rally and hit its highest level since Oct. 18.
On a year-to-date basis, the stock has risen 133.3% and 162.2% in the last 12 months. On Thursday, the stock hit its 5% upper circuit limit for a fourth consecutive session, but it is still trading Rs 1,400 less than its all-time high of Rs 2,979.45, it hit on July 8.
On Tuesday, JPMorgan said Indian defence sector is a promising avenue for long-term structural growth. The sector is still in its nascent stages of growth, noting a significant 46% compound annual growth rate in exports over the past seven years, alongside a strong upward trajectory in domestic production, the brokerage said. This underlines the sector's potential for long-term expansion.
JPMorgan expects significant revenue growth for defence companies as the government enhances procurement policies and reduces reliance on imports. The firm projects a 12-15% compound annual growth rate for the sector over the next five years. It also highlighted that recent stock price corrections present appealing entry points for investors looking to capitalise on the industry's long-term growth potential.
Cochin Shipyard Share Price
Share price of Cochin Shipyard rose as much as 5% to Rs 1,579.25 apiece, the highest level since Oct. 18. It was locked in its upper circuit as of 10:27 a.m. This compares to a 0.2% advance in the NSE Nifty 50.
Total traded volume so far in the day stood at 1.88 times its 30-day average. The relative strength index was at 60.30.
Of the five analysts tracking the company, three maintain a 'buy' rating, one recommends a 'hold' and one suggests 'sell', according to Bloomberg data. The average 12-month analysts' consensus price target implies a downside of 23%.
