Beaten-down stock of 2021: Amara Raja Batteries becomes one of the top F&O gainers today
Amara Raja Batteries is one of the top F&O gainers; up by 2.14 per cent today.
Markets are trading volatile after Sensex plunged over 500 points at one point of time in today’s trading session. Thereafter, it recovered almost all its losses and is now trading in green.
Amara Raja Batteries is one of the top F&O gainers; up by 2.14 per cent today. The stock also features amongst the top F&O gainers along with Indiabulls Housing Finance, Torrent Pharma, Muthoot Finance and SAIL, which are up by 5.38 per cent, 3.42 per cent, 2.52 per cent and 2.48 per cent, respectively. Besides, long built-up is seen in Amara Raja Batteries, which may enthuse investors.
Amara Raja Batteries has underperformed markets and is down by more than 16 per cent in 2021. In one year period, the stock is up by nearly 20 per cent. Trading at a PE of 20, the stock is not considered expensive and has very good return ratios. The management has been able to reduce debts in the recent quarter and adopted a consistent dividend payout strategy. The promoters have reduced their stakes in the past three quarters.
The underperforming stocks can be expected to do the catch up in the coming weeks. Amara Raja Batteries could be one of those candidates.