Shares of public sector lender UCO Bank have gained nearly 47 per cent in the last five sessions. The stock has gained 36% in three sessions alone due to heavy volumes. UCO Bank stock today rose 14.11% to 52-week high of Rs 21.35 against previous close of Rs 18.71 on BSE. The stock closed at Rs 14.54 on November 15, 2022. In five sessions, the stock jumped 46.83% and in one month climbed 68.37%.
In the current trading session, the stock opened 3.15% higher at Rs 19.30. UCO Bank stock is trading above 5-day, 20-day, 50-day, 100-day and 200-day moving averages. The rise in the stock price can be attributed to the trading of shares in huge volumes on the exchanges.
At 3:00 pm, 2.02 crore shares of the firm changed hands on BSE for a turnover of Rs 42.02 crore. The market cap of the lender rose to Rs 24,952 crore. On the NSE, 19.40 crore shares of the lender changed hands for a turnover of Rs 400.70 crore. The market cap of the firm rose to Rs 24,987.95 crore.
UCO Bank shares surged 12.64% to hit a 52-week high of Rs 21.35 on the NSE.
The turnover has been high in the last two sessions as well. On 21st November, 16,682 trades took place on BSE in which 1.77 crore shares were changed and the turnover was Rs 31.35 crore on BSE. On November 18, 78.48 lakh shares changed hands with a turnover of Rs 12.27 crore on BSE.
The lender reported a more than two-fold increase in profit at Rs 505 crore in the second quarter as against Rs 204.4 crore in the corresponding quarter of the previous fiscal. Provisions in the second quarter fell over 50% to Rs 406 crore as against Rs 1,019 crore in the comparable quarter. The bank declined in the fresh slippage. In the September quarter, loans worth Rs 578 crore turned NPA as compared to the quarterly average of Rs 1500 crore seen in the previous financial year. Advances grew 17% year-on-year to Rs 1.42 lakh crore at the end of the September quarter. Total deposits increased by 10% to Rs 2.35 lakh crore.
From the perspective of the stock, Abhijeet Tips2trade said, “Good Q2FY2023 results led to one of the best quarterly profits for UCO Bank on account of rise in other income, leading the stock to trade at 52-week highs.” However, the stock is overbought and investors are advised to book profits at current levels. Investors can only look at Rs 15.5- Rs 16.5 levels again for a higher target of Rs 21-23.5 in the near term. Can enter from
Tirthankar DasTechnical & Derivatives Analyst, Retail, Aashika Stock Broking said, “Buying demand emerged from key support area of Rs 10, pullback rally led the prices to marginally close from overbought area, thus creating a favorable risk reward.” offered a new entry opportunity with the set-up. It recently generated a breakout above the downward-sloping trend line since 2014. Earlier, several attempts to overcome the Rs 18-19 resistance area But it failed to do so. Currently, the breakout seems real as the volume trend has shown an accumulation indicating an uptrend to push the price higher. Immediate resistance seen around Rs 23-23.50 As it lies at the swing high of January 2019, continuous violation of which may further rally towards Rs 32.-33 in the near term. However, on the oscillator front, the stock is citing an overbought position Which may be a cause for concern in the short term.
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