Shares of Mankind Pharma continued to rise for the fourth straight session and hit a fresh record high of Rs 2,709.95 on September 24. With today's gains, the stock has charted a near 12 percent upmove in four sessions.
At 11.48 am, shares of Mankind Pharma were trading at Rs 2,663.90 on the NSE.
Optimism for the stock has been growing strong, driven by its upbeat growth prospects that have only increased with its plans to acquire Bharat Serums and Vaccines. Brokerage firm Investec, which recently initiated coverage with a 'buy' rating, believes that Mankind's strong execution capabilities and solid brand equity align well with Bharat Serums and Vaccines' expertise in super-specialties.
Additionally, Investec highlights that BSV's research and development strengths, combined with its sourcing capabilities, will help create a significant competitive edge, further supporting Mankind's long-term vision.
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The brokerage also believes the market is undervaluing BSV's specialty business in terms of its long-term growth potential and strategic significance, which will remain a key growth engine for Mankind Pharma.
Moreover, the technical charts of the stock also hint towards a bullish momentum in the counter. Pravesh Gour, Senior Technical Analyst at Swastika Investmart said that the stock has formed a bullish flag pattern on the technical charts, signaling further upside.
"The previous swing high near Rs 2,700 is the immediate resistance level, with Rs 2,800 as the next target. On the downside, the previous breakout level of Rs 2,600 serves as immediate support, with Rs 2,550 also acting as a strong demand zone," Gour added.
Anticipating more gains in the stock, Gour also suggested investors to buy the scrip with a target of Rs 2,810 and a stop loss of Rs 2,560.
Also Read | Mankind Pharma jumps to record high; gains 9% in two days after Investec's 'buy' tag
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
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