On Thursday, the share price of ITD Cementation witnessed a remarkable surge, soaring 20% to reach its upper circuit limit following the announcement of a significant new contract. This boost in stock value coincided with the company’s successful bid for a commercial building project in Uttar Pradesh, propelling ITD Cementation shares to an impressive 52-week high of ₹644.40 on the Bombay Stock Exchange (BSE).
ITD Cementation announced that the total contract value amounts to ₹1,937 crore, inclusive of taxes and duties. This win underscores the company’s growing footprint in the construction sector.
In its official filing to the BSE, ITD Cementation stated, “We have secured a contract for the construction of a multistoried commercial building valued at approximately ₹1,937 crore, including taxes and duties, located in Uttar Pradesh.” This development reflects the company’s strategic initiatives to expand its project portfolio.
As the news spread, trading volumes for ITD Cementation shares surged on October 3. Approximately 1 crore shares were traded across both BSE and NSE, a significant increase compared to the one-month average trading volume of just 41 lakh shares. This surge in activity highlights investor interest and confidence in the company’s future prospects.
The upward trajectory of ITD Cementation’s stock is particularly noteworthy given the backdrop of a broader market downturn, with the Sensex and Nifty 50 indices both dropping more than 1.5% amidst global uncertainties. This divergence illustrates the stock’s resilience in a challenging economic environment.
ITD Cementation Share Price Outlook
The recent performance of ITD Cementation shares has been nothing short of exceptional, with a remarkable gain of over 17% in just one month. For investors, this small-cap stock has delivered outstanding multibagger returns, boasting nearly 126% year-to-date (YTD) appreciation and a striking increase of more than 187% over the past year.
Industry analysts, including Ruchit Jain, Lead Research Analyst at 5Paisa Capital, are optimistic about the upward trajectory of ITD Cementation’s shares. Jain noted the stock’s formation of higher tops and higher bottoms on the price chart, a technical indicator signaling positive momentum. Furthermore, robust buying interest driven by positive news is anticipated to sustain this momentum moving forward.
According to Jain’s analysis, the shares of ITD Cementation are expected to maintain their upward trend, bolstered by strong support around the ₹520 level. As long as this support holds, the prospects for continued growth remain favorable.
Jain further projected that the stock price of ITD Cementation has the potential to reach ₹725 in the near future, suggesting significant upside for investors strategically positioned in this small-cap stock.
As of 1:15 PM, ITD Cementation shares were firmly locked at the 20% upper circuit limit, maintaining a price of ₹644.40 on the BSE. The stock currently commands a market capitalization exceeding ₹11,000 crore, reinforcing its status as a formidable player in the construction industry.
Disclaimer: The insights and projections mentioned in this article represent the opinions of individual analysts and brokerage firms. Investors are advised to conduct their own due diligence and consult with certified experts before making any investment decisions.
