Five Tata Group stocks eye up to 25% upside; Tata Chemicals top pick

Tata Chemical sees 25 per cent upside on Golden Cross breakout, while Tata Investment and Indian Hotels can surge up to 20 per cent each.

Shares of Tata group were in spotlight on Friday after the multinational steel-major Tata Steel announced merging all its group metal companies with itself.  

Tata Steel Long Products, The Tinplate Company of India, Tata Metaliks, TRF Limited, the Indian Steel & Wire Products, Tata Steel Mining and S&T Mining Company are the seven entities approved by the board of directors for amalgamation into Tata Steel. READ MORE

Among the listed players of the conglomerate Tata group, TRF has surged 160 per cent, and by far has delivered highest returns in 2022 within the group. Tata Investment Corporation and Indian Hotels have soared 88 per cent and 84 per cent, respectively. Tata Elxsi  has vaulted 54 per cent, while Tata Chemicals, which, hit a historic peak recently has gained 29 per cent so far this calendar yera. .

Meanwhile, here’s a technical outlook on select Tata group stocks:- 

Tata Investment Corporation (TATAINVEST)

Likely target: Rs 2,800 and Rs 3,000

Upside potential: 12% to 21%

The sharp upside so far this month, despite  some erratic moves, has helped the stock hop over the barrier of Rs 1,700 with aggressive momentum, and now points towards further bullishness ahead. The overall trend seems to have resumed the next leg of upside, inching towards Rs 2,800 initially then to Rs 3,000 mark. CLICK HERE FOR THE CHART

Indian Hotels Co. Ltd (INDHOTEL) 

Likely target: Rs 400

Upside potential:  20%

Shares price of the Hotel major has risen sharply in last the two months. The stock has rallied 47 per cent so far this year, and was explicitly trading over the upper Bollinger Band signalling a robust strength. Moreover, the stock hs observed no major decline in the overbought category of the Relative Strength Index (RSI) exhibiting firm resilience. The immediate support for the stock is seen at Rs 300 and Rs 280 levels, while on the upside the stock eyes a rally towards the Rs 400 mark. CLICK HERE FOR THE CHART

Tata Elxsi Ltd (TATAELXSI) 

Likely target: Rs 10,000

Upside potential:  12%

As long as shares of Tata Elxsi honour the cushion at 50-day moving average (DMA) set at Rs 7,555 mark, the bull trend shall proceed with a strong sentiment. In addition, the “Higher High, Higher Low” patterns sees accumulative stance on every decline, shows the weekly chart. The positive outlook seems to regain ground soon and head towards Rs 10,000 mark. CLICK HERE FOR THE CHART

Tata Chemicals Ltd (TATACHEM)

Likely target: Rs 1,500

Upside potential: 25%

The stock price of Tata Chemicals, to an extent, seems to be struggling to cross the Rs 1,200 mark, shows the daily chart. There is a “Golden Cross” formation and if the stock manages to cross Rs 1,200 level, this pattern would instil firm upside rally. The immediate support for the stock is seen at Rs 1,050 and a rally towards Rs 1,500 cannot be ruled out upon the Golden Cross breakout. CLICK HERE FOR THE CHART

Nelco Limited (NELCO)

Outlook: Requires absorbing selling pressure near Rs 1,000

Shares of Nelco are making efforts to absorb all the selling pressure occurring close to Rs 1,000 level, shows the weekly chart. As and when the stock succeeds in overcoming this barrier decisively, the trend breakout could see an upswing to Rs 1,200 mark. On the downside, immediate support for the stock exists at Rs 890, which is the trendline connected from last year’s October high to January 2022 peak. The Moving Average Convergence Divergence (MACD) has risen above the zero line signalling a bullish momentum. CLICK HERE FOR THE CHART