EaseMyTrip hits a patriotic excessive! Straightforward Journey Planners shares surge amidst India-Maldives row, however must you purchase?

EaseMyTrip emerges winner amidst India-Maldives row! Straightforward Journey Planners, the father or mother firm of on-line journey tour operator easemytrip.com, has attracted the eye of merchants on Dalal Avenue as its inventory gained almost 27% previously 5 days. The surge in inventory worth got here after the corporate’s prime officers introduced that they won’t provide flights to Maldives, amidst the continuing dispute between New Delhi and Male.
Straightforward Journey shares soared by virtually 17% to Rs 51.81, making it one of many prime gainers on the BSE on Thursday. The corporate’s determination to launch an insurance coverage subsidiary, EaseMyTrip Insurance coverage Dealer, additionally contributed to the optimistic sentiment amongst market contributors, in accordance with an ET report.
Analysts consider that the corporate’s transfer to droop flight bookings to Maldives has piqued the curiosity of the market, which is in search of new funding alternatives. By not providing packages to the Maldives and capitalizing on the nationalistic sentiment, the corporate has positioned itself nicely, stated Arun Kejriwal, founding father of Kejriwal Analysis and Funding Companies. Nevertheless, he added that whereas the inventory may even see a 2-3% enhance, additional vital good points aren’t anticipated.The tensions between India and Maldives escalated following offensive feedback made by three Maldivian ministers about Prime Minister Narendra Modi and India. On January 8, Straightforward Journey’s CEO, Nishant Pitti, acknowledged on X, “In solidarity with our nation, @EaseMyTrip has suspended all Maldives flight bookings.”
In keeping with Ambareesh Baliga, an unbiased advisor, the feedback on the India-Maldives row have garnered consideration. Nevertheless, this stance just isn’t more likely to have a serious influence on the corporate’s revenues and earnings.

Kejriwal talked about that the introduction of the insurance coverage enterprise wouldn’t have considerably affected the inventory worth if it weren’t for the market’s fascination with the corporate following the Maldives remark.
Straightforward Journey, with a market capitalization of Rs 9,180.94 crore, underperformed on Dalal Avenue in 2023, with the inventory declining by roughly 25% in the course of the 12 months, whereas the BSE 500 index recorded good points of just about 25%.
Learn From ET |Straightforward Journey Planners inventory response
Market contributors advise warning regardless of the present momentum that might drive the share worth greater. Within the present market, the shares might attain Rs 60 as a result of momentum already gained, however they’re more likely to settle round Rs 47-48, stated Baliga. He suggested that buyers must be cautious about new purchases at these ranges, however ought to maintain their positions with a trailing cease loss.