After a fall on Thursday, equity benchmark indices Sensex and Nifty rebounded in early trade on Friday amid buying in frontline stocks. Amid this volatility, brokerage firm Anand Rathi has picked a smallcap stock - MIC Electronics - for the short term.

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According to the brokerage firm, the counter has undergone a sharp correction after touching the level of around Rs 115 in September 2024. 

"The stock has undergone a sharp correction, dropping approximately Rs 34 - equivalent to a 29 per cent decline. This substantial pullback has brought the price down to a critical technical level, where it has formed Bullish BAT pattern between S3 & S4 camarilla pivot which aligns with previous demand zone on daily chart," the brokerage said.

Share Price Target

The brokerage said that investors may consider buying or accumulating the stock within the range of Rs 81-83 with a potential upside target of 90. 

"To manage risk, it is recommended to maintain a stop-loss at 77.5 on a daily closing basis," the brokerage said.

As per BSE analytics, the Hyderabad-headquartered MIC Electronics Limited's shares have delivered a solid return of 71 per cent in the last six months. On a YTD basis, the stock has delivered a multibagger return of 150 per cent to its investors. The stock has sprinted 638 per cent in the last two years.

MIC Electronics shares have a 52-week range of Rs 114.74 - Rs 31.95. The market capitalisation of the company is Rs 2,019.92 crore.

Meanwhile, equity benchmark indices Sensex and Nifty rebounded in early trade on Friday amid buying in frontline stocks Reliance Industries and HDFC Bank.

The BSE benchmark Sensex climbed 216.18 points to 79,259.92 in early trade. The NSE Nifty went up by 78.6 points to 23,992.75.

From the 30-share Sensex pack, Mahindra & Mahindra, Adani Ports, Bharti Airtel, Larsen & Toubro, Reliance Industries, Bajaj Finserv, Bajaj Finance and HDFC Bank were the biggest gainers.