Home / Markets / Stock Markets /  Why HDFC Securities sees this multibagger IT stock to rise further in 3 months
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Zensar Technologies shares are in strong uptrend on Major time frame. After making a life high in September 2021, it started correcting and halted near 380 levels which also coincide with strong demand zone on weekly chart, highlighted HDFC Securities.

Sharing the IT stock as its top e-margin positional pick based on technical trends, the brokerage and research firm said that Zensar Tech shares have also taken support of 61.8% Fibonacci level drawn by connecting low(254) and high (587). 

Additionally, “bullish candle pattern is observed on the daily chart which suggests stock could resume its upward journey. The stock also took multiple support near lower band of Bollinger band on daily chart. RSI (Relative strength index) (14) on Weekly chart has taken support of 40 level," the brokerage stated in a note.

HDFC Securities has a Buy rating on the multibagger stock, that has surged over 115% in 2021, with a target price of 582 apiece and stop loss of 473 with time frame on upto three months. 

+DMI & ADX is well placed above 25 level is observed on the weekly chart which indicates that bulls are in control. Primary trend of the stock has been bullish as stock has been forming higher tops and higher bottoms on the weekly charts.

Another domestic brokerage house ICICI Securities also remains positive on the multibagger stock, and values Zensar Tech at 565 per share (target price) with a target period of around twelve months, it said in a December 29 note.

Driving deal momentum, annuity revenues, increasing investment in sales & talent, leadership and tuck-in acquisition to build capability bode well for long term revenue growth. Expect dollar revenue CAGR (compound annual growth rate) of 11% over FY21-23E which could act as key triggers for future price performance, as per ICICI Securities.

The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.

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