Rakesh Jhunjhunwala portfolio stock hits 52-week high. Buy, sell or hold?
3 min read . Updated: 25 Nov 2022, 12:40 PM IST
Premium- Rakesh Jhunjhunwala owns 1.48% stake in this banking stock
Rakesh Jhunjhunwala portfolio: Amid Bank Nifty hitting record high on second successive sessions, a good number of banking stocks have hit fresh highs or 52-week in early morning deals on Friday. Banking stocks like Punjab National Bank, ICICI Bank, Bank of Baroda, etc. have hit fresh 52-week high today, Among these banking stocks, one Rakesh Jhunjhunwala-backed banking stock has also climbed to a new 52-week high today and the stock we are talking is Canara Bank shares. Canara Bank share price today opened downside but soon caught bulls' interest and went on to hit a new 52-week high of ₹333.95 apiece on NSE.
According to stock market experts, Canara Bank shares are expected to maintain uptrend as the PSU bank is at lower valuations compared to its peers and its margins are expected to improve on three reasons — improving margins due to hawkish interest rate regime, lowering provisioning and rise in corporate lending. They said that Canara Bank share price may go up to ₹360 apiece levels in short term.
Speaking on the reason for continuous rise in Canara Bank shares, Saurabh Jain, AVP — Research at SMC Global Securities said, "Canara Bank and other PSU banks are standing at lower valuations and they are on a continuous rise due to expected buzz about rise in their margins due to hawkish interest rate regime. Apart from this, the PSU bank is expected to get benefit of lowering provisions that used to impat their quarterly numbers to a larger extent in recent quarters."
Advising positional investors to buy Canara Bank shares, Sumeet Bagadia, Executive Director at Choice Broking said, "Canara Bank shares are in continuous uptrend and it has formed higher high higher low on chart that signals further upside in the scrip. One can buy the stock in current rally for immediate target of ₹350 to ₹360 apiece." However, he advised investors to maintain strict stop loss at ₹319 apiece levels.
Rakesh Jhunjhunwala shareholding
According to share holding pattern of Canara Bank for July to September 2022 quarter, Rakesh Jhunjhunwala owns 2,68,47,400 Canara Bank shares, which is 1.48 per cent of total paid up capital of the bank.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.
