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This Rakesh Jhunjhunwala portfolio stock gives breakout

28 Jun , 2021   By : Kanchan Joshi


This Rakesh Jhunjhunwala portfolio stock gives breakout

Rakesh Jhunjhunwala portfolio in 2021 witnessed heavy overhaul when the 'Warren Buffett of India' decided to change his share holdings in 12 stocks. However, the 'Big Bull' continued with his conviction in other 25 stocks and Federal Bank shares were one of them. This positive conviction is now paying dividends to the marquee investor as the banking stock has delivered around 27 per cent return in the last 6 months while it delivered more than 66 per cent return in the last one year. According to experts, Federal Bank share price has given a breakout at Rs82 and it may go up to Rs112 in next 3 to 4 months.


Highlighting the strong fundamentals that may fuel Federal Bank share price rally, Partha Mazumder, Research Analyst at Ashika Stock Broking Ltd said, "Despite FY21 being a challenging year, Federal Bank finished on a strong note and reported lower hiccups on asset quality and maintained high provision coverage. Granularity in loan book has stood the test of time and the bank is better placed to tide over 2nd wave. Thus, we hold our positive view on Federal Bank with target of Rs98 and stop loss of Rs80 in short-term time-horizon."


Speaking on the technical chart pattern of this Rakesh Jhunjhunwala portfoliw stock Kapil Goenka, Director, C. M. Goenka Stock Brokers said, "Looking into the chart pattern of Federal Bank stock, the stock seems giving a breakout at 82 levels and now immediate target will be Rs96-98 and mid-view target is 112 in 3 to 4 months time-horizon."


Kapil Goenka added: "Federal Bank board recently approved Rs916 crore fund raise from International Finance Corporation (IFC). The Bank further decided to raise up to Rs4,000 crore by issuing equity shares or other instruments through various modes and Rs8,000 crore by issuance of debt securities in Indian or foreign currency. These fund raise are expected to put positive impact on the stock from fundamental perspective."


Rakesh Jhunjhunwala net worth in Federal Bank


As per the shareholding pattern of Federal Bank for March 2021 quarter, Rakesh Jhunjhunwala holds 4,72,21,060 shares of Federal Bank which is to the tune of 2.40 per cent of the net company shares. In December 2020 quarter too, the marquee investor used to hold same 2.40 per cent stake in Federal Bank.


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