Gati Shares Surge Over 14% To One-Month High As Q2 Volumes Rise
Total volumes of the company were up 18% year-on-year to 3,33,000 metric tonnes, on account of strong pre-festive ordering.
Shares of Gati Ltd. surged over 14% to a one-month high on Monday after the total volumes of the cargo distribution and logistics support business rose in the quarter ended September.
The company's total volume rose 18% year-on-year to 3,33,000 metric tonne on account of strong pre-festive ordering. Also, the company's Bengaluru trans-shipment hub is now online, according to an exchange filing.
Total volume, including surface and air express, rose 8% year-on-year to 1,09,000 metric tonne in September 2023. However, this was 3% lower compared to August 2023. The growth momentum continued despite a high base in the same month last year.
Shares of the company jumped 14.18%, the highest level since Sept. 15, before paring gains to trade 11.47% higher at 10:42 a.m. This compares to a 0.03% advance in the benchmark NSE Nifty 50.
The stock has risen 14% on a year-to-date basis. The total traded volume so far in the day stood at 12 time its 30-day average. The relative strength index was at 62.
All three analysts tracking the company maintain a 'buy' rating, according to Bloomberg data. The average of 12-month analyst price targets implies a potential upside of 21.7%.
