Nitin Fire Protection fighs correction, rises 5% intraday
Nitin Fire Protection Ltd. is doing just that, with its shares firefighting the broad market weakness.
By INDIATIMES NEWS NETWORK |
MUMBAI: Nitin Fire Protection Ltd. is doing just that, with its shares firefighting the broad market weakness. The stock today surged to a high of Rs 431, reversing the correction of last week that saw it slip to Rs 411.
“The correction in the stock is getting reversed,” said Ajay Parmar of Emkay Shares and Stock Brokers.But the share ended the day at Rs 414.40, only 0.63% higher as the Bombay Stock Exchange's Sensex ended 20 points higher at 14083, off the day’s high of 14268.91.
Nitin Fire Protection listed at Rs 332.50 on Tuesday, premium of 75% to the issue price of Rs 190 per share. It had touched a high of Rs 530 on the second day.Nitin Fire Protection is a good story for the long term, according to Parmar. “People consider this stock as an alternate to Everest Kanto. Therefore, it is attracting buying,” he said.
Shares of Everest Kanto, the market leader in the fire extinguishers, ended up 0.15% at Rs 1050.30. Analysts feel Nitin Fire Protection is the next ‘Everest Kanto’.
Nishit Master of Anand Rathi Securities feels the stock is attracting buying from funds. According to him, the stock will continue to attract buying at Rs 400-410 levels. “The June-September quarter results will determine what lies ahead for the stock (Nitin Fire Protection),” Parmar said.
In the quarter ended March, the company posted a 100% jump in net profit to Rs 10.21 crore as against Rs 5.12 crore in the same quarter previous year.The company is raising money for its Vishakhapatnam plant, the first phase of which will be completed in June. The second phase is expected to be completed in October.
“My immediate target for the stock is Rs 480, which is before the second phase of the production comes in. After that, the company will again get re-rated higher,” said Nishit Master.
The company’s IPO was subscribed 48.48 times.
“The correction in the stock is getting reversed,” said Ajay Parmar of Emkay Shares and Stock Brokers.But the share ended the day at Rs 414.40, only 0.63% higher as the Bombay Stock Exchange's Sensex ended 20 points higher at 14083, off the day’s high of 14268.91.
Nitin Fire Protection listed at Rs 332.50 on Tuesday, premium of 75% to the issue price of Rs 190 per share. It had touched a high of Rs 530 on the second day.Nitin Fire Protection is a good story for the long term, according to Parmar. “People consider this stock as an alternate to Everest Kanto. Therefore, it is attracting buying,” he said.
Shares of Everest Kanto, the market leader in the fire extinguishers, ended up 0.15% at Rs 1050.30. Analysts feel Nitin Fire Protection is the next ‘Everest Kanto’.
Nishit Master of Anand Rathi Securities feels the stock is attracting buying from funds. According to him, the stock will continue to attract buying at Rs 400-410 levels. “The June-September quarter results will determine what lies ahead for the stock (Nitin Fire Protection),” Parmar said.
In the quarter ended March, the company posted a 100% jump in net profit to Rs 10.21 crore as against Rs 5.12 crore in the same quarter previous year.The company is raising money for its Vishakhapatnam plant, the first phase of which will be completed in June. The second phase is expected to be completed in October.
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“My immediate target for the stock is Rs 480, which is before the second phase of the production comes in. After that, the company will again get re-rated higher,” said Nishit Master.
The company’s IPO was subscribed 48.48 times.
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