stock market today Shares of the Tata group – Tata Communications and Tata Steel – are trading near their 52-week lows. The share price of Tata Steel has hit a new 52-week low today. 895.50 on NSE while Tata Communications share price is quoted today 872 each level, its 52-week low . Close 856.25 level. According to stock market experts, the share price of Tata Steel is capped and the ‘buy on dips’ strategy should be maintained by investors with long-term positions while the stock of Tata Communications is in a ‘downtrend’ and one should find new opportunities in the stock. The position should be avoided as it may go further down from the current levels.
to speak on tata steel share price outlook, Anuj Gupta, Vice President – Research, IIFL Securities said, “Tata Steel shares are in a tight range these days and have strong support. from 865 855 levels. Buying on dips is recommended for positional investors as the stock has declined drastically after the Government of India (GoI) imposed excise duty on steel exports. Now, the market has discounted that downside trigger and buying in the stock is expected at lower levels.”
However, Anuj Gupta of IIFL Securities said that Tata Communications Share are in a ‘downtrend’ and this trend is expected to continue further. “Buyers are advised to wait as Tata Communications share price may test from 800 790 levels.”
On Tata Communications share fundamentals, Ravi Singh, Vice President and Head of Research, Share India Securities said, “Tata Communications posted a weak set of numbers with low EBITDA, high D&A and taxes. Revenue growth was good But higher operating expenses led to lower EBITDA. The stock is trading in lower volumes and may undergo consolidation at current levels with a bearish bias.”
So, if we go by the views of experts, one can start accumulating Tata Steel shares from the current levels while maintaining the ‘Dips on Dips’ strategy, whereas the latest position in Tata Communications is not justified at the current levels. Because the stock is in bearish trend and may continue further. consolidate to from 800 790 levels.
Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of Mint.