Exceptional Growth: Mazagon Dock shares experienced a remarkable surge of 196.78% year-to-date, significantly amplifying investor wealth and nearly tripling returns during this period. Over the course of the year, the stock demonstrated an impressive ascent of 184.94%, outperforming the benchmark BSE 500 index, which posted returns of 23.90%.
Mazagon Dock Shipbuilders Ltd witnessed a stellar performance in 2023, with its shares surging by an impressive 196.78% year-to-date, almost tripling investor wealth. The stock outpaced the benchmark BSE 500 index, registering a remarkable 184.94% gain compared to the index’s 23.90% returns over the same period.
On the recent market activity, Mazagon Dock’s stock exhibited an intraday increase of 4.10%, reaching Rs 2382.55 on Wednesday, up from the previous close of Rs 2288.70 on BSE. The day saw 3.35 lakh shares traded, amounting to a turnover of Rs 77.86 crore. The market capitalization of Mazagon Dock soared to Rs 47,032 crore on BSE.
Mazagon Dock’s one-year beta of 0.2 indicates a low level of volatility during this period. From a technical perspective, the relative strength index (RSI) stands at 69.3, signaling that the stock is neither in the overbought nor oversold zone. Furthermore, Mazagon Dock shares are currently trading above various key moving averages, including the 10-day, 20-day, 30-day, 50-day, 100-day, 150-day, and 200-day averages.
Looking ahead to 2024, experts share their insights on Mazagon Dock’s stock outlook. Abhijeet from Tips2trades suggests a bullish trend with the next resistance at Rs 2356, advising investors to consider profit booking at current levels. Shiju Koothupalakkal from Prabhudas Lilladher notes a positive breakout above the resistance zone of Rs 2220, anticipating further upward momentum with a near-term target of Rs 2470. Vaibhav Kaushik, Research Analyst at GCL Broking, sees the stock ready for significant moves, recommending a buy near Rs 2270 with a stop loss of Rs 2190 and a target of Rs 2500 to 2600.
Ravi Singh, a Market Expert, highlights the strength in Mazagon Dock’s share price based on daily and weekly chart patterns. He points out positive indicators such as the 14-day RSI and MACD in the buy zone, along with short-term and long-term moving averages trading below the stock price, suggesting a robust uptrend. Singh anticipates support for the stock around Rs 2350 in the near term.
Fundamentally, Mazagon Dock reported a substantial 56% increase in consolidated net profit at Rs 333 crore in Q2, accompanied by a 7% YoY rise in revenue from operations to Rs 1,828 crore. The board approved an interim dividend of Rs 15.34 per share for the financial year 2023-24.
Mazagon Dock Shipbuilders Ltd specializes in shipbuilding, ship repairs, and offshore fabrication. Its diverse offerings include warships, merchant ships, submarines, support vessels, offshore platforms, passenger cum cargo vessels, trawlers, main and helidecks, and barges. The company’s Q2 performance showcased a robust financial position with significant growth in net profit, revenue, and EBITDA.
Imphal Commissioned: Mazagon Dock‘s Maritime Triumph
The latest addition to the Indian Navy’s formidable fleet is the Sealth Guided Missile Destroyer Imphal, set to be commissioned today. This state-of-the-art warship is a testament to the exceptional craftsmanship of Mazagon Dock Shipbuilders Ltd.
Mazagon Dock’s shares have been on a remarkable winning streak, showcasing gains in six out of the last seven trading sessions. Bolstering this positive momentum, the company recently secured a substantial contract worth ₹1,600 crore with the Ministry of Defence. Notably, this marks the third order win for Mazagon Dock in the last 10 days, involving the construction and delivery of six cutting-edge offshore patrol vessels for the Indian Coast Guard.
Adding to its list of achievements, Mazagon Dock inked a lucrative contract valued at $42 million with a European client on December 15. Furthermore, on December 11, the company announced another significant order win worth $1,142 crore from ONGC. This contract pertains to the comprehensive part replacement of a pipeline on a turnkey basis.
In an insightful interaction with CNBC-TV18 on November 9, Mazagon Dock CMD Sanjeev Singhal expressed optimism about the company securing orders from the export market within the next two months. Singhal also affirmed the company’s revenue growth guidance, maintaining it between 12% and 15% for the financial year 2024.
Highlighting Mazagon Dock’s stellar performance, the company’s shares have emerged as one of the most prolific wealth creators over the past three years. Surging an impressive 14 times from its IPO price of ₹144, the stock’s remarkable ascent underscores its significance as a strong performer in the market.
