Home-grown electrical equipment manufacturer Orient Electric Ltd. shares on Wednesday settled 3.32% higher at ₹268.90. At this price, the counter has gained 30% over the last six months.

Despite the mentioned rally, the scrip has declined 34% from its all-time high value of ₹408, a level seen back in November 30, 2021.

Technical research analyst Manas Jaiswal said that a flat pattern is forming, which means that after the rally, we are seeing consolidation.

After the stock rallied from ₹190 to ₹290, it has been consolidating for about 10-12 weeks, Jaiswal said while answering a view query on CNBC Awaaz.

“This is actually positive for the stock because a breakout from this flat pattern, once the stock moves above 290, could lead to an upward move of ₹70 to ₹80,” the analyst said.

Therefore, Jaiswal recommended investors to stay invested in the stock, with a stop loss set below ₹250.

For the April-June quarter, Orient Electric reported a 27% fall in profit, as higher expenses outweighed the rise in sales of fans and coolers as the country battled with scorching heat.

Orient Electric, which also sells mixer-grinders and switchgears, said profit decreased to ₹14.34 crore in the quarter, from ₹19.69 crore a year earlier.

Revenue from operations grew by 7% to ₹755 crore.