Technical Pick: Buy Advanced Enzyme Technologies Stock With a Target Price Of Rs. 380

Prabhudas Lilladher, a leading brokerage firm, has given trade on low-market cap stock from the pharmaceutical sector. The brokerage firm is bullish on Advanced Enzyme Technologies Ltd and has given a target price of Rs. 350.

The stock's price has seen a sharp fall in the previous months; however, in the previous few weeks, the stock is consolidating in a zone, and just recently, it has given a strong breakout with huge volume.

Here is a detailed breakdown of the position of Advanced Enzyme Technologies Ltd with the latest report of Prabhudas Lilladher.

Outlook of Advanced Enzyme Technologies Ltd

Advanced Enzymes is a research-focused business that leads the world in producing probiotics and enzymes. As the largest Indian enzyme company, it researches, develops, produces, and distribute 400+ exclusive products made from over 65 locally produced enzymes and probiotics.

According to the company's official website, the goal is to assist customers in obtaining side-effect-free healthcare, farmers in improving animal feed, and industries in switching from traditional thermal-chemical-mechanical processes to enzyme-passed procedures.

The current market price of the stock is around Rs. 295 with a market capitalization of Rs. 3297 Crores.

Buy Call Of Prabhudas Lilladher On Advanced Enzymes Technologies

Prabhudas Lilladher has given trade on the company's stock with a good risk-reward ratio. According to the latest report of a brokerage firm, "The stock has corrected from the level of Rs.503 to consolidate at around Rs. 250 levels, and with the positive candle pattern formed, the stock looks poised for an upside bounce. The RSI indicator is positive. We recommend a buy in this stock for an upside target of Rs.380, keeping a stop loss of Rs.280."

Technicals Of Advanced Enzyme Technologies Ltd

The stock is on an overall downtrend currently, but the recent breakout of the stock can lead to a possible trend reversal. Here are the positions of some of the technology in the chart of Advanced Enzyme on a daily time frame -

• The stock price has given a strong breakout from a trendline made in the recent trading sessions.

• The stock is traded with an unusual volume of more than 7.3 million shares and is up more than 15% on 20 September 2022.

• The position of RSI is looking good; previously, RSI has taken support on 40 and is going to the upside, which points to a trend reversal. RSI is currently above 70, which is a good sign.

• The price has given a breakout on the 200-day moving average and above the 50-day moving average.