Breakout Stock to Watch: Rekha Jhunjhunwala’s Multibagger Stock Sees Cup-and-Handle Breakout; Do You Own It?

After a sharp sell-off in the previous session, the Indian equity benchmarks rebounded on Tuesday, the weekly expiry day for Nifty. The index, which had slipped to a fresh two-month low on Monday, was seen trading above the 23,200 mark around 9:35 am, gaining nearly half a per cent.

Broader markets showed stronger momentum, with the Nifty Midcap and Nifty Smallcap indices trading higher by more than 1 per cent each. With stock-specific action likely to remain in focus, Fortis Healthcare is one stock worth tracking.

Rekha Jhunjhunwala Portfolio Stock

Fortis Healthcare is part of Rekha Jhunjhunwala’s portfolio. She holds a 4.02 per cent stake in the company, equivalent to 3,03,50,152 shares.

Fortis Healthcare is an integrated healthcare services provider with a presence across hospitals, diagnostics, day care and specialty healthcare facilities. The company operates both owned and managed hospitals. Its diagnostics business, Agilus, is among the leading diagnostic chains in India. Fortis also has four hospitals accredited by the Joint Commission International and 26 hospitals accredited by the National Accreditation Board for Hospitals.

Fortis Healthcare Cup and Handle Breakout

Fortis Healthcare has witnessed a breakout from a 65-day cup and handle-like pattern. The breakout was supported by strong price action and higher volume on Monday, adding credibility to the move. The stock also closed above the 61.8 per cent retracement level of the previous decline, which further strengthens the bullish setup.

Its relative strength line has moved to a new high, indicating outperformance against the broader market. The stock is trading comfortably above all key moving averages and is currently 9.86 per cent above its 50-DMA. The moving average ribbon also remains in an uptrend, supporting the positive price structure.

The Bollinger Bands have started expanding across multiple time frames, suggesting improving momentum. On the indicator front, the MACD is close to giving a fresh bullish signal, while the 14-period daily RSI has moved back into the bullish zone.

The Stochastic RSI has also generated a fresh bullish signal. In addition, the Elder Impulse system has formed a strong bullish bar. Overall, the stock has registered a bullish breakout with improving momentum.

multibagger Stock: Fortis Healthcare Share Price Performance

Fortis Healthcare has delivered strong returns over the past few years. The stock has jumped more than 250 per cent in the last three years, delivering multibagger returns. Over the last five years, it has gained 331 per cent.

On a year-to-date basis, the stock is up 10.43 per cent, while in the last one year, it has delivered a return of 29.63 per cent.

Disclaimer: The article is for informational purposes only and not investment advice.