Go Digit attempts 'breakout' in weak market; what is the next price target?

Go Digit share price: Go Digit made its stock market debut on May 23, 2024 with a 5 per cent premium over the IPO price of Rs 272 per share

Go Digit share price advanced 6 per cent in stock market today, defying weak market trend on Friday, February 14, 2025. Go Digit share hit an intraday high of Rs 314.95 per share each on the BSE and NSE.

 

The stock, however, pared gains later to trade around 1.3 per cent higher at Rs 300.8 per share on the BSE as against a 0.6-per cent decline in the benchmark BSE Sensex index at 11:42 AM.

 

The rally in the digital insurance company’s stock came on the back of heavy volume. Around 3.92 lakh shares have changed hands on the BSE, thus far in the session, as against a two-week average volume of 28,000 shares.

 

Combined with the volume on the NSE, roughly 9.329 million shares have changed hands on the Go Digit counter.  Go Digit made its stock market debut on May 23, 2024 with a 5 per cent premium over the IPO price of Rs 272 per share.

 

Go Digit share price target

With today's intraday high, Go Digit stock tested the higher end of the Bollinger Band on the daily chart, placed at Rs 317 per share. The company’s stock also attempted to breakout from the month-long consolidation range, which began on January 13, 2025.

 

With momentum indicators like MACD and Slow Stochastic flashing bullish signs, and the RSI-14 indicator well below the ‘Overbought’ zone, the stock may see positive momentum ahead.

 

The stock’s next resistance is placed at Rs 330 level, its 100-day moving average (100-DMA).

 

On the weekly charts, a positive breakout may push Go Digit stock towards Rs 328 (20-WMA), Rs 377.5 (higher end of the Bollinger Band on weekly scale), and Rs 395 (super trendline resistance).

 

That said, given the stock's moving averages have negative crossovers, the uptrend may not see a one-way rally.

 

Go Digit Q3 Results

In the October-December quarter of the current financial year (Q3 FY25), Go Digit reported a net profit of Rs 118.5 crore, a surge of 74.1 per cent from Q3FY24 profit of Rs 43 crore.

 

Its gross written premium (GWP) for the December 2024 quarter was Rs 2,677 crore, up 10.2 per cent year-on-year (Y-o-Y) from Rs 2,428 crore of Q3 of FY24.

 

That apart, the combined ratio reduced to 108.1 per cent in Q3FY25 from 110.3 per cent in the third quarter of FY24.

 

As at December 31, 2024, the company's assets under management stood at Rs 18,939 crore, compared to Rs 15,764 crore as at March 31, 2024. This is a growth of 20.1 per cent.

 

Go Digit is based out of Bengaluru and is a digital insurance company offering motor, health, travel, property, marine, liability and other insurance products. The company customises its insurance policies to cater to the specific needs of an individual.