Stock to Buy: 15% upside seen from current levels; buy ABB India on dips, says this analyst

Stock to Buy: ABB India - Technology company ABB India Limited shares jumped nearly 10 per cent on Thursday following strong results posted by the company. This was despite benchmarks BSE Sensex and Nifty50 ending almost flat.

ABB India shares ended at Rs 2224 on the BSE and were up over Rs 200 from the Wednesday closing price.

On Wednesday, ABB India posted over two-fold jump in its net profit to Rs 370 crore in the March quarter compared to the year-ago period mainly on the back of higher revenues. The net profit of the company was Rs 151 crore in the quarter ended on March 31, 2021, a company statement said.

The company follows January to December financial year.

Also Read: Q1 Results 2022: ABB India, Bombay Dyeing announce March quarter results; here are key highlights!

The ABB India stock has outperformed the Sensex by over 47 per cent over the last 12 months. While, in the Year-to-date (YTD) period, it has given negative returns (0.6%), it has managed to hold against the latter which has declined over per cent during this period.

While, the stock opened with a gap up, the momentum accelerated as the trading session progressed. Today’s gains were on the back of a consecutive two-day correction.

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At least two analysts, Zeebiz Web Team spoke to, were bullish on this stock and saw an upside over a positional term view.

ABB India: Buy on Decline| LTP: Rs 2224| Target: Rs 2500| Stop Loss: Rs 2000| Upside 3-4%

Technical analyst Nilesh Jain recommends a ‘buy on decline’ in this stock. The right levels to enter the stock is below Rs 2150, he said attributing today’s gains as the prime reason for not buying it at current levels. Jain said that the company is good and investors must hold on to it for targets of Rs 2500. It has multiple support at Rs 2000, he added.

Jain is Assistant Vice President (AVP), Equity Research Technical and Derivatives at Centrum Broking. He has a view of 2-3 months on ABB India shares.

ABB India: Buy on Decline| Target: Rs 2300| Upside 3-4%

Another analyst Anuj Gupta is also bullish on this stock and recommends a hold for targets of Rs 2300. He said that the trends in this stock are positive. Reiterating Jain’s views, Gupta said that buying is advised only on declines. He said that the risks-to-reward are favourable at levels around Rs 2080.

Gupta, who is Vice President, Research at IIFL Securities has a 1 month view on the stock.

(Disclaimer: The views/suggestions/advises expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)