This Broking Company Shares Rally 83% In Just 7 Trading Sessions Of May

Shares of Angel Broking continued with their winning run on the bourses in Tuesday's trade (May 11, 2021) and traded higher by over 6%. The stock made an intra-day high of Rs. 678.35 which is also its all time high price since listing on the bourses on October 5, 2020.

This Broking Company Shares Rally 83% In Just 7 Trading Sessions Of May

On Monday, the stock climbed to its previous 52-weeks high price of Rs. 612.5, surging as much as 10% with only buyers in the counter. Taking into account Angel Broking's closing price as on April 30 of Rs. 370.3, the scrip of Angel broking has climbed almost 83% in just 7 trading sessions of May month.

Strong Q4 FY21 Results with net profit surging 39% q-o-q

The sharp spike in the share price of Angel Broking is on account of the company's strong March quarterly numbers, wherein it posted a good 39 percent quarter on quarter increase in its consolidated net profit at Rs. 102 crore, driven by robust operational income.

The company's total income also registered an increase of 33 per cent quarter-on-quarter to Rs. 419 crore. Earnings before depreciation and amortisation and tax (EBDAT) margin stood stable at 49 per cent in Q4FY21 as compared to Q3FY21 despite substantially higher client additions, the company said.

On the gross client addition front for the March ended quarter, the company registered 29 percent sequential growth.

Also, the stock of Angel Broking has more than doubled in price in comparison to its IPO issue price of Rs. 306 apiece.

Furthermore both mutual funds and foreign portfolio investors (FPIs) have increased their stake in the company to 11.91% and 5.01% in Mar 2021 qtr, respectively.

Brokerages take on Angel Broking stock

The stock of Angel Broking is given a 'Hold' recommendation with a target price of Rs. 700 in the near term. Positively poised technical indicators signal that undergoing rally will continue suggests analyst at Reliance Securities. The stock has been the top performer within the broking space.

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