Buy Autoline Industries; target of Rs. 162: IIFL

Bangalore: IIFL is bullish on Autoline Industries and has recommended buy rating on the stock with a target of Rs. 162. According to IIFL, after trading sideways for almost 10 months, Autoline Industries has given breakout from falling channel last week after the stock successfully managed to close above the upper range of channel corresponding at Rs. 136 with good volumes.

Autoline Industries is medium sized engineering and auto ancillary Company, manufacturing sheet metal components, sub-assemblies and assemblies for large OEMs in the Automobile Industry. The company is engaged in manufacturing various auto parts / sheet metal components for passenger cars, Sports Utility Vehicles (SUV), commercial vehicles, two wheelers, three wheelers, tractors, etc.

IIFL says, the company's breakout from falling channel is likely to trigger positive momentum in the near term with upper range of resistance getting converted to support zone. IIFL is expecting buying momentum in the counter to remain upbeat in coming week and hence advise buying stock in range of Rs. 143-146 with stop of Rs. 140 for target of Rs. 162. With the recommendation target price Rs. 162, if the stock is bought at Monday's closing price of Rs. 145.20, the percentage of gain would be 10.37 percent.