Mazagon Dock shares jump nearly 5% - Buy, Sell or Hold?
Mazagon Dock share price NSE, BSE: The surge in price comes as the company has announced that it has signed a contract worth Rs 1,600 crore with the acquisition wing of the Ministry of Defence.
Mazagon Dock share price NSE, BSE: Shares of Mazagon Dock, a public sector undertaking (PSU) managed by the Ministry of Defence, jumped nearly 5 per cent in the morning trade today i.e. on December 21. The counter opened at Rs 2103.50, with a gain of 2.8 per cent, today and went on to hit a high of Rs 2144.90 on the BSE. This is a jump of around 4.82 per cent from the previous close of Rs 2046.25.
The surge in price comes as the company has announced that it has signed a contract worth Rs 1,600 crore with the acquisition wing of the Ministry of Defence.
The contract is for the construction and delivery of six next-generation offshore patrol vessels (NGOPVs) for the Indian Coast Guard (ICG).
Mazagon Dock shares: Buy, Sell or Hold?
According to Vikas Sethi, managing director -Sethi Finmart Pvt Ltd, investors should buy shares of Mazagon Dock with a target price of Rs 2,925. "The company has received a big order and therefore it will recover today," he said.
Sethi suggested that investors can keep a stoploss at Rs 2020.
"1st vessel delivery is TO + 41 months and delivery of contract(s) is to be executed subsequent vessels at intervals of Five (05) months, where TO is the date of release of advance payment by the Buyer to the Seller," the company said in an exchange filing.
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