HAL share price: After consolidating for three months in a row, Hindustan Aeronautics Ltd (HAL) shares chose a day of a bloodbath on Dalal Street to stage a leap to unprecedented levels. And analysts say the stock, looking strong technically, may just be warming up for more upside. 

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The stock of HAL, an aerospace and defense company, surged to a record high of Rs 2,915 apiece on Monday, the day benchmark indices took heavy blows amid a sell-off across global financial shares thanks to the SVB crisis.  However, it reversed gains to close with a cut of two per cent at Rs 2,794 apiece.

Last week, the stock received a string of defense orders from the government, including a Rs 667-crore deal with the defense ministry.

What analysts say on HAL shares

According to ICICI Direct Research, the defense sector has regained momentum after forming a higher base over the past 3-4 months, and HAL has been a resilient candidate from the space. 

The brokerage believes the stock is poised to resume a primary uptrend.

Axis Securities pointed out that Hindustan Aeronautics has decisively broken out above a rounded bottom pattern at Rs 2,825 on the weekly chart, where it is forming higher highs and higher lows in a positive sign.

The HAL stock offers a fresh entry opportunity to ride the next leg of the upmove, said ICICI Direct Research analyst Dharmesh Shah.  

Axis Securities expects HAL shares to sustain momentum and head all the way towards Rs 3,240-odd levels.

Momentum indicator RSI appears to be in a bullish mode, say Axis Securities analysts, who see an upside of 10 per cent to Rs 3,005-3,085.

As of Monday, HAL shares have doubled investors' money in the past one year, a period in which the Nifty50 is left with a gain of 1.9 per cent. 

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