150% return in one year: Brokerage suggests buying this Navratna PSU stock for 2-3 days, check target

BSE Sensex and Nifty50 closed almost flat today, May 15. The BSE Sensex was down by 0.16 per cent or 117.6 points to 72,987 while NSE Nifty50 closed at 22,200.6, down by 0.08 per cent or 17.30 points.

Meanwhile, let's take a look at brokerage Motilal Oswal's call on buying this Navratna PSU stock from a short-term perspective. 

PSU Stock to buy

The brokerage suggested buying Navratna PSU stock National Mineral Development Corporation (NMDC) for 2-3 days.

Motilal Oswal has chosen state-run iron ore producer NMDC as a technical pick from a 2-3 day perspective. The target has been kept at Rs 285. On May 15, 2024, the shares of the company closed at Rs 267.7 each, up little over one per cent from its previous close. In this way, the stock can rise 6-7 per cent from the current price.

NMDC stock performance

NMDC shares started trading in green on Wednesday. The stock was trading up by more than half a per cent in the afternoon trade. The stock gave good returns to investors in the last one year. It has jumped more than 150 per cent in a year, and 55 per cent in the last 6 months. So far in 2024, the stock has increased by 25 per cent. The 52-week high of the stock on BSE is 273.10 and the low is 103.75. The market cap of the company is more than Rs 78,159 crore.

The company is yet to share its fourth quarter (January-March) results for the financial year 2024. Meanwhile, let's take a look at its Q3 earnings of FY24.

NMDC Q3 earnings

NMDC reported a standalone net profit of Rs 1,492.7 crore for the October-December period (Q3 FY24), an increase of 67.7 per cent compared with the corresponding period a year ago, which was better than analysts' expectations.
 
The PSU's revenue grew to Rs 5,409.9 crore for the fiscal third quarter from Rs 3,720 crore a year ago, according to a regulatory filing.

Disclaimer: The views/suggestions/advices expressed here in this article are solely by investment experts. Zee Business suggests its readers consult their investment advisers before making any financial decision.