These Chandrababu Naidu-linked multibaggers surge up to 230% in a year. Is there still time to ride these bulls?
Chandrababu Naidu-linked stocks, Amara Raja Energy & Mobility and Heritage Foods, whose prices have increased by 124% and 230% respectively in the last one year and have come into limelight as TDP won the assembly elections.
Heritage Foods has experienced a remarkable surge of over 105% in its stock price over the past 12 trading sessions alone while Amara Raja Energy, whose Managing Director Jay Dev Galla was a former MP from TDP (Telugu Desam Party), has seen its shares rally over 20% post Naidu-led TDP securing a win in the assembly elections.
Analysts say the stock has more upside left notwithstanding the rally seen in the past few days. Here is what they have to say:
Amara Raja Energy & Mobility
“The battery-related stock has witnessed strong traction in the last few months, and we believe the bullish tone will continue ahead. This stock has witnessed a multi-year breakout from the consolidation range on the back of strong volumes, which indicates a bullish tone to continue,” said Rohan Shah,Technical Analyst at Religare Broking.
Technically, Shah stated that by applying the Fibonacci retracement tool, stock has more upside steam left and has the potential to test Rs 1,600 levels in the coming weeks. Thus, he feels that any dips towards the support zone of the Rs 1,350- Rs 1,330 zone should be considered a fresh buying opportunity with a stop below Rs 1,280 levels on a closing basis.
While being cautious about the risks associated with the sector, Arun Agarwal, VP & Analyst, Fundamental Research, Kotak
