Shares of Uno Minda gained as much as 18% to hit a record high of ₹1,016 on Thursday. This is the first instance of the stock crossing the mark of ₹1,000. The stock has gained in three out of the four trading sessions this week.
The company announced on Wednesday that it has entered into a Technical License Agreement with China-based Suzhou Inovance Automotive Co. Ltd. for the manufacturing and sale of select high voltage category electric vehicle products.
The products will be applicable for both passenger and commercial vehicles in the Indian market. The products in question include Charging Control Unit (CCU), EV inverter, EV motors and next-generation 3-in-1 electric drive systems.
"This partnership will significantly expand Uno Minda's electric four-wheeler portfolio, enabling them to effectively cater to the growing Indian EV market," the statement from Uno Minda said.
Uno Minda also intends to strengthen this partnership further by transitioning this deal into a Joint Venture, but that is subject to necessary approvals.
With Thursday's surge, the stock is trading well above all of its short and long-term moving averages. On the charts, the Relative Strength Index (RSI) is at 79. An RSI reading above 70 indicates the stock is in overbought territory. The market capitalisation of the stock has also crossed ₹50,000 crore in today's trading session, having briefly crossed it on Monday.
Shares of Uno Minda are currently trading 15% higher at ₹990.95. The stock is now up 45% so far in 2024 and has risen 78% in the last 12 months.
