Grasim Industries - Quant Pick - ICICI Securities

Recommendation

Buy Grasim in the range of Rs. 640-655
Target: Rs. 775
Stop Loss: Rs. 585
Time frame: Three months

Derivatives & Quantitative Outlook

Stocks from the infrastructure space started witnessing buying interest recently. Cement stocks have shown a move after a long consolidation. Grasim has been a relative underperformer and remains under pressure due to other businesses in recent months. However, with recent long additions, we believe that stock may start its fresh upward journey and can be bought on every decline.

Unlike most stocks, Grasim did not witness a sharp decline in open interest during the market declines in February and March. However, post that, the open interest in the stock has remained almost unchanged since April 2020 while the stock has seen a gradual recovery from Rs. 400 levels. In the August series, marginal fresh addition was seen in the stock. We expect continued accumulation to take the stock higher.

For details, click on the link below: https://www.icicidirect.com/mailimages/IDirect_QuantPick_Grasim_Aug20.pdf

Shares of GRASIM INDUSTRIES LTD. was last trading in BSE at Rs.664.95 as compared to the previous close of Rs. 667.6. The total number of shares traded during the day was 168685 in over 3193 trades.

The stock hit an intraday high of Rs. 671.4 and intraday low of 661.1. The net turnover during the day was Rs. 112145483.

Source : Equity Bulls

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