Pricol shares pare gains after rallying over 6% in morning trade

Pricol share price: Shares of Pricol, an auto components and equipment maker, rose over 6 per cent on the BSE after a promoter bought 16.82 lakh shares of the company, gaining for the second session and recording the day’s high of Rs 252.3 apiece in Monday’s trading session. The stock finally settled at Rs 238.90, up 0.65 per cent. The Coimbatore-based auto component maker’s shares have gained over 30 per cent since listing.

Analysts' view on Pricol

Zee Business analyst Kushal Gupta is bullish on Pricol in the spot market for a target of Rs 246 apiece with a stop loss of Rs 235 apiece.

"Pricol has been the talk of the town in the last few months due to the attempted hostile takeover by Minda, who bought roughly 1.38 crore shares from a clutch of 11 institutional investors. On the business front, the company derives more than 60 per cent of its revenue from the two-wheeler and more than 50 per cent from the instrument cluster, which is used in two wheelers," said Aman Soni, Head of Operations, Prudent Equity.

The company is currently undertaking capex of Rs 600 crore in a phased manner and targets to achieve Rs 4,000 crore of revenue in FY2025, which is a doubling of its FY23 sales. The company has a diverse product portfolio and has the necessary capabilities to achieve this target," Soni added.

So far in 2023, the shares of Pricol have risen nearly 26 per cent and in the last one month, they have soared over 3 per cent.

Catch the latest stock market updates here. For more news on sports, politics follow Zee Business