Hanung Toys Intraday Call

Hanung Toys can be bought for intraday trading on Monday. The stock gained 5 percent on Friday and ended at Rs 241.65 on National Stock Exchange. The stock also hit a 52-week high of Rs 248 on Friday.

For intraday, the stock can be touch targets of Rs 252 and 262. Traders should use 237 as a stop loss. The stock can be bought in the range of Rs 240 – 247 in opening trades.

Hanung Toys and Textiles came with IPO last year with a price band of Rs 85 and Rs 95 per equity share. The company has shown a good performance. The stock has moved up recently after crossing the resistance of Rs 200. The order pipeline for the company is impressive and one can expect decent growth in coming quarters. The stock may see some appreciation in long term as well, but that will depend on the market conditions as well.

With EPS of Rs 12.82, Hanung Toys is currently trading at a P/E of 18.88.

As the stock markets ended higher on Friday and overseas markets were also strong on the last trading day of past week, Technical analysts expect the pullback to continue in Indian Stock markets.