Nazara Technologies share price hit a fresh record high of Rs 2087.35, rising 8.5 per cent on BSE intraday. In the previous session too, this Rakesh Jhunjhunwala-owned stock rallied 7.6 per cent. This information technology (IT) software products company stock surpassed its previous high of Rs 2,026.90 touched on listing day, 30 March 2021. In the past one month Nazara Technologies has outperformed BSE Sensex, rallying 20.34 per cent. BSE Sensex gained just 5 per cent during the same period. Analysts say a strong small-cap rally coupled with strong growth projections for the mobile gaming market in India with competition only from unlisted players has led to a bullish trend in Nazara Technologies.
Nazara Technologies stock had hit a record low of Rs 1,421.50 apiece on 12 April 2021, since then the stock has rallied 47.5 per cent. Technically, a closing above today’s high should lead to a target of 2230 in the coming days, AR Ramachandran said. “However, if the stock closes below 1975, investors are advised to book profits and look for re-entry near 1720.” Ramachandran, Co-founder & Trainer, Tips2Trades, told Financial Express Online.
In traded volume terms, 67,000 stocks have exchanged hands on BSE, while a total of 13.66 lakh units have traded on NSE, so far in the day. Analysts say that Nazara Technologies has bright future prospects as the gaming industry in India is expected to grow at a rapid pace.
It has seen revenue growth of 84% in the last financial year. “NazaraTechnologies is viewed as a platform for making strategic acquisitions throughout the gaming ecosystem,” Ashis Biswas, Head of Technical Research at CapitalVia Global Research, told Financial Express Online. Biswas also said that this strategic acquisition across the segment has made it very lucrative and has strengthened its strategic position in the market segment and hence fueled the recent rally in the stock. Biswas expects Nazara Technologies to hit a target of Rs 2,350 apiece by the end of this financial year.
Last month, Nazara Technologies announced the 100 per cent acquisition of Hyderabad-based skill gaming company OpenPlay for a total consideration of Rs 186.4 crore. As per the June 2021 shareholding pattern, Big bull Rakesh Jhunjhunwala held a 10.82 per cent stake or 32.94 lakh shares of Nazara Technologies.
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