After strong IPO listing, Tonbo Imaging shares rally for 2nd session today | Should you book profits? Target, stop loss

Tonbo Imaging share price continued its upward rally for second session straight on Tuesday. The stock opened at ₹1,222 per share on NSE today, as compared to previous close of ₹1,212.85 on Monday and surged over 4% to touch an intraday high of ₹1,275 on 27 October.

Tonbo Imaging shares jumped over 17% during the intraday session on Monday after strong listing on Friday last week. The stock delivered a strong debut on 23 October, listing at ₹1,160 on the NSE, a 65.71% premium over its issue price of ₹700 per share. On the BSE, it opened at ₹1,162, registering a 66% premium.

The stock has since surged nearly 90% above its IPO price, highlighting robust investor interest following its listing.

According to Mahesh M Ojha, VP Research & Business Development at Kantilal Chhaganlal Securities, Tonbo Imaging’s valuations appear to be on the higher side, which may limit near-term upside.

“The company’s long-term prospects look positive, supported by its growth potential. Investors with a two- to three-year investment horizon can consider buying and holding the stock, as the company appears well-positioned for growth over the long term. That said, investors should remain mindful of the elevated valuations and the risks associated with them,” Ojha added.

The IPO was offered in a price band of ₹665–700 per share and comprised an offer for sale (OFS) of 1.22 crore equity shares by promoters and existing shareholders. Since the issue was entirely an OFS, the company will not receive any proceeds from the IPO.

Tonbo Imaging specialises in designing and manufacturing sensing, processing, communication and guidance systems used in surveillance, reconnaissance, targeting and control applications. Its product range includes thermal imaging cores, weapon sights, targeting systems, missile seekers, fire control systems and missile guidance systems.

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.

Vaamanaa covers business and stock market news. Started in 2020, she has been producing news on digital platforms for over 4.5 years now. She writes on markets, commodities, IPOs, and industry. She has worked for news channels like Jagran New Media and Business Insider India. You can reach out to her at vaamanaa.sethi@htdigital.in.

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