Shares of Mahindra Lifespace Developers Ltd. jumped on Tuesday after ICICI Direct Research said that it is poised for a strong growth in medium and long term.

The brokerage maintained its ‘buy’ rating with a price target of Rs 650 per share, citing strong parentage, management’s focus to scale up the operations and a comfortable balance sheet.

The real estate and infrastructure development business of the Mahindra Group intends to continue its scalability and aims to achieve five times its current sales in the next five years. It scaled up sales momentum in FY23 at Rs 1,812 crore, compared to Rs 695 crore in FY21.

Shares of the company jumped 8.73%, before paring gains to trade 4.42% higher at 1:19 p.m., compared to a 0.14% advance in the NSE Nifty 50.

The share price hit a record high of Rs 554.9 apiece. The stock has fallen nearly 46.7% year-to-date. Total traded volume stood at 21 times its 30-day average. The relative strength index was 70, implying that the stock may be overbought.

All eight analysts tracking the company maintain a ‘buy’ rating on the stock, according to Bloomberg data. The average calculated from the 12-month price target given by analysts implies a potential upside of 10.4%.