Linde India Shares Hit Record High After Bagging Large Order From Indian Oil

Shares of Linde India Ltd. hit an all-time high on Wednesday after the industrial-gas company won a large contract from Indian Oil Corp.

The company will be setting up an air separation unit for production and supply of instrument air, plant air and cryogenic nitrogen for IOC's expansion project of Panipat refinery in Haryana, according to an exchange filing on Tuesday. On completion, it will operate and maintain the facility for 20 years. The company will fund the capital expenditure by using internal accruals.

Linde's stock was trading 5.38% higher at Rs 6,070 apiece compared to a 0.05% advance in the benchmark NSE Nifty 50 as of 9:49 a.m. The stock advanced as much as 6.92% intra-day to hit a record high of Rs 6,165 apiece.

It has risen 76.7% on a year-to-date basis. The total traded volume stood at 39 times its 30-day average. The relative strength index was at 86, implying that the stock maybe overbought.

Three analysts tracking Linde maintain a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month analyst price targets implies a potential downside of 12.6%.