Top stock to watch: Oberoi Realty

Oberoi Realty is one of the leading companies in the Realty space of India. It has a wide presence in the field of residential, office space, retail, hospitality and social infrastructure. With a market capitalization of Rs 32616 crore, it is a strong growth midcap company. The company has successfully been able to generate increasing profits YoY and strong company management ensures investors’ trust in the company.

The stock is strongly supported by the institutions, and as a result, about 30% of the total stake of the company is held by the foreign and domestic institutional investors combined. Promoters hold a major stake in the company, which is about 67% and the rest is held by the public.

The stock is an integral part of the Nifty Realty index and was a prominent leader in the rally of the index last year. In the last one year, the stock delivered over 50% returns to its investors while in the short run of one month, it has generated nearly 5%. Thus, the stock is bullish in the short as well as medium term.

The stock has surged nearly 4% on the first trading session of 2022. The stock made a low of 801 on December 20, 2021, and has made a sharp recovery of over 11% since then. It crossed above its 50-DMA and trades above all the key moving averages. The RSI is in bullish territory and a rising MACD histogram indicates more uptrend to follow. The Elder Impulse System is giving a fresh buy signal and the Mansfield Relative Strength indicator indicates outperformance of the stock against the broader market. The stock is going strong for three consecutive weeks and thus bullishness is likely to follow as per the technical indicators.

The prior swing high is Rs 915, and any closing above this level will indicate a strong uptrend and the stock shall soar higher in a short period of time.