Now Reading: Ratnaveer Precision dips after breakout; experts see buy
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Ratnaveer Precision dips after breakout; experts see buy
Ratnaveer Precision Engineering shares have retraced after hitting a 52-week high of Rs 223.75 on the NSE. The small-cap stock, with a market cap of around Rs 1,500 crore, gave a technical…
The Story in Brief
Ratnaveer Precision Engineering shares have retraced after hitting a 52-week high of Rs 223.75 on the NSE. The small-cap stock, with a market cap of around Rs 1,500 crore, gave a technical breakout on its weekly chart in the Rs 190-195 zone, reports livemint.com. The iron and steel metal product maker has sustained above that zone, making it a 'buy-on-dips' stock. Analysts from KC Securities and Anand Rathi recommend high-risk investors buy at current levels or on dips, with strict stop-losses below Rs 170-180, targeting Rs 250-280 over one to two months. Low-risk investors should wait for the stock to fall below Rs 200.
The Indian Opinion
The expert advice on Ratnaveer Precision Engineering breathes the usual bullish air that accompanies a technical breakout. But such calls often gloss over the high risk in small-caps, especially after a sharp run-up from Rs 190 to a 52-week high of Rs 224. The recommendations come with wide stop-losses of 15-20%, which could wipe out significant capital if the breakout fails. Investors must ask: what are the company's earnings and valuations? Without that, a breakout is just a chart pattern. Watch the next quarterly results to see if the rally has fundamental backing.
Source: livemint.com
This story was synthesised by AI from the source linked above.
