Small-cap metal stock gives breakout. Experts see strong upside in short term

Multibagger stock: La Tim Metal shares are one of the multibagger stocks in 2021 and the stock is projected as one of the probable multibagger stocks for 2022 as well. The metal stock has surged from near ₹95 to ₹180 apiece levels, logging near 90 per cent rise in year-to-date (YTD) time. On chart pattern, this small-cap metal stock has given breakout above ₹155 and the stock is expected to go up to ₹300 apiece levels in next 2-3 months, say stock market experts. They said that rising metal prices and strong balance sheet of the company may also support La Tim Metal share price rally in short term.

Advising stock market investors to add this multibagger stock in one's portfolio; Sumeet Bagadia, Executive Director at Choice Broking said, "La Tim Metal share price has given breakout at above ₹155 apiece levels and it is one of the bullish multibagger stocks for 2022 in small-cap segment. One can initiate momentum buy in the metal stock and hold for immediate short-term target of ₹200 to ₹225 maintaining stop loss at ₹160 per share levels."

Expecting strong upside in this multibagger stock for 2022; Anuj Gupta, Vice President at IIFL Securities said, "La Tim Metal & Industries Ltd is in bullish momentum. On the weekly chart we have noticed a "cup and handle breakout" coupled with substantial volumes. Currently it is trading at ₹180 levels and has a potential to move further upside. It has a strong support at 150 and 107 levels. Investors can buy and hold this stock for the possible target of ₹230 to ₹260 levels. If the multibagger stock sustains above ₹260 levels, then we can expect it to test ₹300 levels as well in next 2-3 months."

On fundamental perspective of the stock, Anuj Gupta of IIFL Securities said that fundamentally, this metal company's standalone December 2021 net sale stands at ₹34.88 crore, logging 32.76 per cent Year-on-Year (YoY). He said that metal prices have shot up recently and hence it is expected to give margin benefit to all metal companies including La Tim Metal & Industries Ltd.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.