Indian Energy Exchange (IEX) shares rose over 3 per cent in Friday’s trade ahead of the company’s board meeting to consider the share buyback plan. Brokerage Prabhudas Lilladher (PL) sees strong momentum on the stock and expects the IEX share to reach 175 in near future.
Vaishali Parekh, Vice President, Technical Research at PL said that the stock was in consolidation for some time now but has indicated a triangular breakout. The trend has further improved further with 50EMA moving above the crucial level of Rs 146, he added, adding that the stock will witness further upside in the coming days.
“With the charts looking good, which is quite in the oversold zone, we see immense upside potential. This could continue with a positive move. The RSI indicator is well placed and rising to signal strength. We recommend a buy in the stock for an upside target of Rs 175 while keeping a stop loss at Rs 144,” she said in a note.
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The stock rose 2.78 per cent to hit an intraday high of Rs 151.15 on the BSE.
Market veteran Shyam Shekhar recently wondered in a tweet whether the company board was failing minority shareholders. Shekhar suggested that the recent 2:1 bonus issue of IEX diluted shareholder value. The bonus issue has failed, he said, wondering if the buyback would also fail.
This is what he said recently: