Buy Aurobindo Pharma, target Rs 720: Nagaraj Shetti

Nagaraj Shetti of HDFC Securities has a buy call on Aurobindo Pharma with a target price of Rs 720.

The current market price of Aurobindo Pharma is Rs 662.35.

Time period given by the analyst is up to three weeks when Aurobindo Pharma price can reach the defined target.

Nagaraj Shetti recommended keeping a stop loss at Rs 615.

"This Pharma stock, as per weekly timeframe chart has witnessed an excellent upside breakout during last week. After moving into a consolidation pattern in the last couple of months, the stock price has moved above the key hurdle of Rs 635 levels in last week and closed above it. We observe a formation of consistent higher highs, which is indicating an accumulation on the rise. Volume expanded during last week’s upside breakout, and weekly 14 period RSI is showing positive indication. One may look to buy Aurobindo Pharma at the current market price and add more on dips down to Rs 630, hold for the upside target of Rs 720 over the next 2-3 weeks," Shetti said in a report.