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SEBI-registered analyst Ghansham Joshi sees fintech firm KFin Technologies' stock surging to ₹1,400 and advises investors to accumulate shares in the ₹850–₹880 range.
Joshi highlights a bullish engulfing candle on the daily chart and a relative strength index (RSI) rebound from oversold levels, signaling a potential trend reversal.
He also cites positive management commentary from the company's Jan. 31 earnings call as a key driver.
After a recent sharp correction due to profit-booking and sector-wide weakness, the stock has stabilized and shows signs of a strong rebound.
From a valuation standpoint, KFin Technologies trades at a price-to-book value (P/BV) of 12, below the industry average of 16.3. It boasts a high Piotroski score of 8, indicating strong financials.
Joshi has set three upside targets — ₹1,050, ₹1,200, and ₹1,400, with a stop-loss at ₹725. He believes a decisive close above ₹1,000–1,050 could fuel a stronger rally.
Brokerages are also bullish, with 8 out of 15 analysts rating it a 'Buy' and an average 12-month price target of ₹1,219, suggesting a 33% upside from current levels, according to data from InvestingPro.
KFin Technologies is down 42% YTD.