Stock market today: SBI Small Cap Fund-owned Elgi Equipments share price jumps 12%. Do you own?

Stock market today: ELGI Equipments share price has been in an uptrend since early morning deals. ELGI Equipments share price today opened upside and went on to touch an intraday high of ₹664 apiece level on NSE, logging around 12 percent rise during the intraday trade session. 

According to stock market experts, SBI Small Cap Fund-owned stock is on the cusp of giving a fresh breakout above ₹700 apiece level, which looks possible as the company deals in pressure, pumps, and diesel engines that have a positive outlook in the current infra-focused economy. They said that the stock may go up to ₹725 apiece level in the short term and any dip should be seen as buying opportunity till ELGI Equipments share price sustains above ₹625.

Trigger for ELGI Equipments share price rally

On why ELGI Equipments share price is skyrocketing, Avinash Gorakshkar, Head of Research at Profitmart Securities said, "ELGI Equipments Ltd deals in compressors, pumps and diesel engines. After the robust GST collection and GDP outlook, the market is expecting infrastructure projects to gain momentum and ELGI Equipments Ltd is expected to benefit from this. So, this is a portfolio stock, and those who have this in their portfolio are advised to hold and wait for medium to long-term."

ELGI Equipments share price target

Expecting further upside in ELGI Equipments share price, Sumeet Bagadia, Executive Director at Choice Broking said, 'ELGI Equipments share price has made a strong base at ₹625 apiece level. So, medium to long-term investors are advised to hold the scrip for more upside as the scrip is on the cusp of giving a fresh breakout above ₹700. On breaching ₹700 per share levels on a closing basis, ELGI Equipments share price may soon touch ₹725 per share levels."

On the suggestion to fresh investors, Sumeet Bagadia of Choice Broking said, "Fresh investors can maintain a buy-on-dips strategy maintaining stop loss at ₹625 per share level. The stock may soon touch ₹700 and ₹725 per share levels."

SBI Small Cap Fund shareholding

According to the shareholding pattern of ELGI Equipments Ltd for the October to December 2023 quarter, SBI Small Cap Fund owns 1,00,77,641 Elgi Equipments shares, which is 3.18 percent of the total paid-up capital of the company.

Disclaimer: The views and recommendations above are those of individual analysts, experts, and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decisions.