MapMyIndia share price falls over 5% after a 16% jump in previous session. Opportunity to buy?

MapMyIndia share price declined over 5% on Tuesday after witnessing a sharp rally in the previous session. MapMyIndia shares plunged as much as 5.74% to ₹1,800.25 apiece on the BSE.

MapMyIndia, shares rallied more than 16% on Monday to close at ₹1,909.95 apiece on the BSE, after the company’s board of directors decided that the company will not invest in the outgoing CEO Rohan Verma's new venture.

CE Info Systems, the owner of MapMyIndia, said the Board and Management believe that the focus of the Company should remain on the B2B and B2B2C sectors which constitute over 99% of revenues and continues to represent a significant growth opportunity for the foreseeable future.

“MapmyIndia’s Board has reversed its decision to make any equity or debt investment in a proposed new company. The Board will continue to explore and evaluate various opportunities in respect to B2C, while re-calibrating its investments in B2C segment,” CE Info Systems said in a regulatory filing on December 9.

MapMyIndia Share Price Trend

MapMyIndia shares traded lower amid heavy volumes. Around 7 lakh equity shares of MapMyIndia changed hands on stock exchanges on Tuesday as compared with its one month average of 5 lakh shares. On Monday, the volumes spiked to 29 lakh shares when the stock jumped 16%.

MapMyIndia share price has fallen over 12% in one month and has declined 7% year-to-date (YTD). In the past one year, MapMyIndia shares have dropped 17%.

Opportunity to buy MapMyIndia shares?

MapMyIndia shares have been trading in a range and have not seen any technical breakout.

“On the weekly chart, MapMyIndia stock seems to be in oversold territory. The stock has made a double bottom at ₹1,595 level which can act as a support. One can buy MapMyIndia shares on dips, maintaining a stop loss at ₹1,590 level on a closing basis, with a target price of ₹1,980,” said Ganesh Dongre, Senior Manager - Technical Research at Anand Rathi.

At 10:30 am, MapMyIndia shares were trading 5.39% lower at ₹1,807.00 apiece on the BSE.

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