Buy, Sell or hold: What should investors do with MRPL, ONGC and PB Fintech?

The Indian market fell for the third straight session on Tuesday ahead of RBI MPC meeting outcome. Benchmarks Nifty50 and the Sensex ended with 0.92% and 1.02% cuts as the former closed near 16,400 and the latter shed over 550 points to end around 55,100. 

"The volatility in the market is forcing investors to stay sidelined ahead of the RBI’s policy announcement. The market has factored a hike up to 50bps of repo rate & CRR, but any further stricter measures to clamp liquidity due to lingering inflation will have ramifications on the market trend," said Vinod Nair, Head of Research at Geojit Financial Services. 

Meanwhile, following benchmarks, Nifty midcap and small cap more than half per cent as India VIX closed above 20-mark.  

On the sectoral front, Consumer Durables, IT, FMCG and Realty stocks declined the most, while banking and financial indices too were seen under pressure ahead of RBI MPC announcements. Energy and auto stocks gained in an otherwise negative market. 

Meanwhile, certain stocks came in focus on Tuesday. These were Mangalore Refinery and Petrochemicals Limited (MRPL), ONGC and PB Fintech. On Tuesday, MRPL closed with nearly 20% gains, ONGC ended higher by more than five per cent and PB Fintech declined over 11%.  

Here is what Akhilesh Jat, Category Manager - Equity Research, suggests investors should do with these stocks when the market resumes trading on Wednesday. 

Mangalore Refinery and Petrochemicals Limited: 
Buy: 103 
SL: 96 
TGT: 115 

As on 7thJune 2022 shares price of MRPL hit its 20% upper circuits to hit its multi-year high despite the selling in broader market. The rise in gross refining margin (GRM) to a record high of $25.2 lead the counter to trade near to its’ four years high. The stock is trading in Higher-High & Higher-Low formation and has gained over 151% of its market value on NSE in Calendar year 2022, so far. 

ONGC: 
Buy: 163 
SL: 160 
TGT: 167 
 

Shares of ONGC surged over 5 per cent to on the NSE in Tuesday’s intra-day trade, as Brent crude oil prices raised after Saudi Arabia hiked prices for its crude sales in July. On the technical front Stock is trading above its 21, 50 & 200-Days Exponential Moving Averages, momentum oscillator RSI head upwards and read at 55 which indicate price may continue its upward trend. On the upside the stock is having an immediate resistance level at 163; above this, we can expect a run-up towards 168+ levels in the near term. 

PB Fintech Limited: 
Avoid
 

Share price of PB Fintech Limited (POLICYBZR) tanked over 13 per cent intraday on Tuesday after CEO Yashish Dahiya's Stake Sale Plan. Stock price trading 41 percent down from its issue price and today’s downside movement came after the news that the company informed about its Chairman & CEO Yashish Dahiya's plans to offload over 37.69 lakh shares. From last couple of weeks prices are trading in range between 540-713 and sustaining below the 20 & 50 DEMA suggesting the downside movement in the prices.