Patanjali Foods shares rise on acquisition news

Patanjali Foods' share price rose by 1.52% to ₹1,736 on March 17 after Jefferies initiated coverage with a 'buy' rating. The firm set a target price of ₹2,050, indicating a potential 19% increase. The stock has declined over 4% in the past month, despite a 20% rise over the last year. Jefferies noted Patanjali's expansion into high-margin products, which significantly contribute to its earnings. Patanjali Ayurved recently acquired a stake in Magma General Insurance for ₹4,500 crore, giving it a 98% ownership. This move aims to capitalize on growth opportunities in India's general insurance market, pending regulatory approval.