Up 184% in 1 year: This defence Miniratna PSU stock locked in 5% upper circuit

The defence PSU Cochin Shipyard are in focus in Monday's session (December 2) as the company bagged an order worth Rs 1,000 crore. On the development, shares of the Miniratna company were locked in 5 per cent upper circuit at Rs 1,655.75 per share.

The company has bagged an order for Short Refit and Dry Docking of a Large Indian Naval Vessel from the Ministry of Defence (MoD), Government of India.

The estimated duration for the project is around 5 months, said the company's filing with the exchange.

Also, none of the promoter/ promoter group / group companies have any interest in the entity that awarded the order. Further, the said order also does not fall under the purview of related party transactions, added the filing.

After a breather in the previous trading session on Friday, the stock is again showing resilience amid the recent correction the stock has fallen over 44 per cent from its 52-week high price of Rs 2,979.4 per share marked on July 8 this year.

Earlier, Mehul Kothari of Anand Rathi Securities has picked the stock for investors who are looking for scrips for the long term. The analyst said the multibagger stock is highly oversold and a good bounce is expected. He said that investors should buy this stock with a perspective of 9-12 months.

For the stock, the expert has recommended to keep a stop loss of Rs 1,200 per share.

The target anticipated for the stock is Rs 1,800, while the price range for buying the scrip is Rs 1,400 per share. At the current price, it means the stock can rise another over 14 per cent from the previous close.