Asian Paints declined 3.25% to Rs 1518.25 after a foreign brokerage reportedly downgraded the stock to 'sell' with a target price of Rs 1,111 per share.
The paint maker extended its losing streak to tenth consecutive session. The stock has fallen 18% in ten trading sessions from its previous closing high of Rs 1852.3 posted on 27 April 2020.The foreign brokerage has reportedly cited lower volume growth over the coming few years as the reason for downgrade.
On the technical front, the stock's RSI (relative strength index) stood at 32.542. The RSI oscillates between zero and 100. Traditionally, the RSI is considered overbought when above 70 and oversold when below 30.
The stock trades below its 50-day, 100-day and 200-day simple moving average (DMA) placed at 1711.5, 1761.98 and 1710.54 respectively.
Asian Paints is India's leading paint company and ranked among the top ten decorative coatings companies in the world. Asian Paints along with its subsidiaries have operations in 15 countries across the world with 26 paint manufacturing facilities, servicing consumers in over 60 countries.
On a consolidated basis, Asian Paints' net profit rose 20.23% to Rs 764.43 crore in Q3 December 2019 over Q3 December 2018. Revenue from operations increased by 3% to Rs 5,420.28 crore in Q3 December 2019 compared to Q3 December 2018.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
