Cholamandalam Investment records new 52-week high, gains nearly 6% on Thursday's trade; here's why

Shares of Cholamandalam Investment & Finance Company Ltd recorded a new 52-week high and surged nearly 6% during Thursday's session. The financial services company reported a healthy Q4FY23 operational performance on Wednesday.

According to an exchange filing, disbursements for Q4 FY 23 jumped 65% year-on-year to ₹21,020 crore as against ₹12,718 crore in Q4 of FY22. For FY23 it stood approximately at ₹66,532 crore as against ₹35,490 crore, 87% higher.

"The company continues to hold a strong liquidity position with ₹5,222 crore as cash balance as at end of March 23, with a total liquidity position of ₹6,750 crore. The asset-liability management is comfortable with no negative cumulative mismatches across all time buckets," said the financial services firm in an filing.

On the technical front, the stock on Thursday's session was trading at high day volume of 2.8 million. The stock price rose 11.1% and outperformed its sector by 4.9% in the past year.

"The stock is in strong momentum since last week, where it has bounced from its recent swing low of 709. today it has picked further momentum and has entered uncharted territory. Bias remains positive , dips should be considered as buying opportunity with 800 as support and 930 as resistance," said Rajesh Bhosale - Equity Technical and Derivative Analyst, Angel One.

According to a MintGenie poll, 31 analysts on an average recommend 'buy' for the stock.