HMA Agro Industries, a frozen meat exporter company, experienced a positive listing on the stock market, leading to an extended gain for its shares. The company’s stock listed at ₹615 per share on the Bombay Stock Exchange (BSE), and ₹625 on the National Stock Exchange (NSE), resulting in a 7% listing gain for investors. However, the stock continued to rise after listing and reached an intraday high of ₹670.45 on BSE and ₹667 on NSE, doubling the listing gain to nearly 14.50% against the upper price band of ₹585 per share.
Experts in the stock market have offered their insights on whether to buy, sell, or hold HMA Agro shares. For those with a short-term investment horizon, experts advise booking profits and exiting the stock. On the other hand, investors with a slightly longer view are encouraged to maintain a stop loss at ₹590 and hold the stock until the company announces its June 2023 quarterly results. The experts note that HMA Agro Industries is a market leader in frozen buffalo meat export in India, with limited competition. Any positive developments in the Q1FY24 results may trigger a fresh rally in the stock, potentially pushing it up to ₹750 per share within the next one to two months.
While the positive listing has generated returns for investors, experts caution that the company faces arbitration challenges and potential corporate governance issues. They advise investors to book profits and exit the stock on any rise, maintaining a stop loss at ₹590. However, those willing to take on some risk and have a horizon slightly longer than the short term are advised to hold the stock until the company announces its Q1FY24 results.
HMA Agro Industries’ position as a leading meat exporter in India provides it with a competitive advantage in the market. Analysts expect the company to release positive numbers in its upcoming quarterly reports, further supporting the recommendation to hold the stock until at least the Q1FY24 results are announced.
To summarize, experts have differing opinions on the investment strategy for HMA Agro shares. While short-term investors are advised to book profits and exit the stock, those with a slightly longer view are encouraged to hold the stock until the company announces its quarterly results for the current fiscal year. The prospects of positive developments in the company’s business and limited competition in the frozen buffalo meat export sector contribute to the rationale behind these recommendations.
