Multibagger Stock: Due to the ethanol blending program of the Government of India (Government of India), most of the sugar stocks are moving north. Balrampur Chini Share is one of such sugar stocks. It is one of the multibagger stocks in 2021 to hit new lifetime highs recently After giving breakout at 515 per share 440 per share level. According to stock market experts, the stock has seen a retracement from its new peak but it is still looking positive on the chart pattern. He advised positional investors to buy the stock at current levels as Multibagger stock may climb to its new peak 525 in the short term.
Balrampur Chini share price expected to rise further; Avinash Gorakshakar, Head of Research, Profitmart Securities, said, “Ethanol blending in India has been announced by the Government of India with an aim to increase ethanol blending by oil manufacturing companies to 20-23 per cent, as against this currently around 8-3%. 9 per cent. This is due to demand-supply constraint. Hence, most of the ethanol produced by sugar companies is being consumed by oil manufacturing companies. Hence, this ethanol policy created new revenue opportunities for sugar manufacturing companies. In sugar in the form of deals in Balrampur sugar mill, they are also getting benefit of this policy of Government of India.
Avinash Gorakshakar further said that Balrampur Chini Mills is present in gas supply for white goods like refrigerators, air conditioners etc. As the demand for such white goods products is expected to increase in the next two quarters, this is expected to boost the business volume as well. of the company in the upcoming results sessions. The analyst at Profitmart Securities further added that Balrampur Chini Mills has a profitable business in the auto sector as well. They produce nylon tires for the auto sector which gives them a consistent business volume throughout the year. Since all these three business segments of the Chinese company are a profit making venture, Avinash Gorakshakar of Profitmart Securities advises positional investors to add this stock to their portfolio.
Expect this multibagger sugar stock to climb to a new peak; Mudit Goel, Senior Research Analyst, SMC Global Securities said, “Balrampur Chini stock has recently climbed to its new peak. After giving breakout at 515 440 each level. The Chinese stock recently went through some retracement from its new highs, but it still looks positive on the charts and one can buy this counter at current levels for an immediate short-term target. Maintaining a tight stop loss at 525 440 each level.”
Balrampur Chini is one of the multibagger stocks in 2021 as sugar stocks rise from 203 477 per share level, an entry close to 135 percent in the period.
Balrampur Chini Mills has recently declared Interim Dividend of 2.50 per equity share of Re 1 each of the company for the financial year 2021-22.
Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of Mint.
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