Breakout stock: JSW Infra share price jumps over 5% amid heavy volumes, may see 26% more upside. Check target price

JSW Infrastructure share price jumped nearly 6% on Friday amid heavy volumes and buying interest in the stock. JSW Infra shares rallied as much as 5.9% to a high of ₹274.50 apiece on the BSE.

The volumes in JSW Infrastructure shares reached 93 lakh on May 17 as compared to its one week average of 36 lakh shares.

Technically, JSW Infrastructure shares saw a major breakout above ₹265 mark and the stock was trading around ₹273 apiece.

“JSW Infra stock underwent a sharp rally towards ₹275 and then it witnessed a correction to retest the breakout zone. After that, the stock was moving in a band of ₹265 - 235. Now there is a fresh breakout above ₹265 which is accompanied with decent volumes,” brokerage firm Anand Rathi said. 

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It advises traders to go long in the JSW Infrastructure stock near ₹265 – 270 with a stop loss of ₹240 for the upside target of ₹326 in the coming 1 - 3 months. JSW Infra share price target implies an upside of nearly 26% from its Thursday’s closing price.

JSW Infrastructure provides maritime-related services including, cargo handling, storage solutions, and logistics services. The company’s cargo volumes handled in FY24 grew 15% year-on-year (YoY) to 106.5 MMT.

Recently, the company signed a concession agreement with the Karnataka Maritime Board to develop a 30 MTPA greenfield port in Keni, Karnataka.

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According to Anand Rathi, key catalysts for growth for JSW Infrastructure include increasing demand for steel in India, necessitating a steady supply of raw materials, and transportation of iron ore exports and thermal coal for coastal power plants. 

Meanwhile, the company’s management aims to maintain volume CAGR of ~15% over the long term. It has guided for a capex of ₹30,000 crore over FY25-30, the brokerage house noted.

JSW Infra shares have rallied 15% in the past one month and more than 23% in three months. The stock is up over 30% year-to-date (YTD).

At 1:15 pm, JSW Infrastructure shares were trading 5.21% higher at ₹272.60 apiece on the BSE.

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