MIC Electronics share price jumped over 18% in early trade on Monday, extending the rally for the third consecutive session. The smallcap stock surged as much as 18.55% to ₹77.96 apiece on the BSE.
MIC Electronics shares have gained more than 51% in just three trading sessions amid positive sentiment over the recent GST rate cuts by the government.
The smallcap stock also saw robust trading volumes. Around 3 crore MIC Electronics shares changed hands on the stock exchanges on September 8 as compared with its one month average trading volumes of 45 lakh shares. In the previous session, the trading volumes in the stock spiked to 6 crore.
GST Rate Cut Boost
MIC Electronics is in the business of LED products, medical & other appliances, and automobiles. The rally in MIC Electronics share price comes after the GST Council cut the Goods & Services Tax (GST) rates on air conditioners and televisions from 28% to 18%.
The company is expected to benefit from the GST rate cut on electronics, which may reduce prices and boost sales and profit.
Along with the GST rate cut-driven rally, the company recently received a contract worth ₹1.73 crore from South Central Railway and Northern Railway for railway-related projects.
MIC Electronics Share Price Outlook
MIC Electronics share price has staged a strong breakout, ending a 135-day double bottom formation at the ₹68 level with solid institutional participation, noted Anshul Jain, Head of Research at Lakshmishree Investments.
“The breakout is being confirmed by robust follow-through buying in the current session, signaling growing confidence in the stock’s upward momentum. Such technical strength often suggests the start of a sustained rally rather than a short-lived spike. With momentum on its side, MIC Electronics looks well-positioned to climb higher, with near-term targets pointing towards the ₹95 zone,” Jain said.
He advises traders and investors to keep a close watch as MIC Electronics stock rides institutional support and strong price action.
11,000% Returns in 5 years
MIC Electronics share price has gained 69% in one month, and 14% in three months. The smallcap stock rallied 26% in six months and has fallen 10% on a year-to-date (YTD) basis. Over the long-term, MIC Electronics shares have delivered multibagger returns. The stock has jumped 153% in two years and has skyrocketed 11,000% in five years.
At 10:55 AM, MIC Electronics share price was trading 17.93% higher at ₹77.55 apiece on the BSE.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
