New Delhi: Kaynes Technology, after its bumper debut on the bourses on Tuesday, witnessed some profit booking.
The industrial electronics player got listed at Rs 778, a premium of 33%, on the National Stock Exchange (NSE), whereas on BSE, it debuted at a premium of 32% at Rs 775. The stock was issued at Rs 587 apiece.
Following the debut, shares of Kaynes Technology made an intraday high of Rs 787 on BSE before dropping to Rs 675 as investors took some money off the table.
Market participants majorly remain positive on the counter in the long run and suggest considering it as a long-term play. However, a few have recommended to partially book profits in the counter.
Pravesh Gour, Senior Technical Analyst,
said allottees who applied for the public issue for listing premium are advised to maintain a stop loss of Rs 710 and wait for further upside.
He remains positive on the counter in the long term and suggests that medium to long-term investors can hold the stock, maintaining a stop loss at Rs 680.
The initial public offering (IPO) of Kaynes Technologies received a strong subscription of 34.16 times between November 10-14. The company raised Rs 858 crore by selling its share in the range of Rs 559-587 apiece.
The quota reserved for qualified institutional buyers (QIBs) was subscribed 98.47 times while the one reserved for non-institutional investors (NIIs) and retailers was subscribed 21.21 times and 4.1 times, respectively.
Ravi Singh, Vice President and Head of Research, Share India said Kaynes Technology saw some profit booking after strong listing gains.
“Investors may book half the profits at the listing prices and place a stop loss of Rs 650 levels for the remaining position,” he suggested. “The stock is a good bet for the long term.”
After a strong listing pop, Manoj Dalmia, Founder and Director, Proficient Equities said investors can hold it with a mid-term to long-term perspective.
Echoing a similar tone, Ravi Singhal, CEO, GCL Securities said the stock still looks good for long-term play. Investors can keep a target of Rs 1,000 apiece, whereas stop loss shall be put at Rs 688.
(Disclaimer: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of Economic Times)
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