Stock analysis is used by traders to make buy and sell call. It’s an approach to make informed decisions while investing in stocks. Stock analysis can be categorised into – fundamental analysis and technical analysis. Fundamental analysis is evaluation of data from sources, including financial records, economic reports, company assets, and market share. Analysts typically study the company’s financial statements – balance sheet, income statement, cash flow statement, and footnotes. These statements are made available to the investors in the form of quarterly earnings, disclosures to stock exchanges in compliance with the Securities and Exchange Board of India (Sebi) norms. In fundamental analysis, the analysts particularly check for a company's core income, income from other sources, profitability, guidance, assets and liabilities and debt ratio among other parameters. The other method, i.e. the technical analysis focuses purely on statistical data. It works on two assumptions; one, the stock price reflects the fundamentals. Second, the study of past and present movement in prices can help determine the future price trends. Technical analysis primarily deals with price, volume, demand and supply factors. This method is effective only when supply and demand forces influence the market. However, when outside factors are involved in a price movement, technical analysis may not be successful. More
It looks like the worst is over for Indian markets which is reasonably priced; however, stock picking has become difficult. Going forward, if we look at what is happening across the globe and back home, most investors have moderated their return expectations from the market, indicated Porinju Veliyath of Equity Intelligence India.
" The company sees huge headroom for growth in rural markets, and expects revenue contribution from rural only to increase to 30-35 percent (from 20 percent now) over coming 2-3 years," says Sumit Bilgaiyan, Founder of Equity99.
Nomura has initiated coverage with Buy call on Tejas Networks and set a target price at Rs 430 per share.
Sudarshan Sukhani of s2analytics.com is of the view that one can buy Ashok Leyland, Britannia Industries and Larsen & Toubro and can sell HPCL and Repco Home Finance.
Prabhudas Lilladher expects the Nifty to trade in a range of 9,640-10,500 in the near term.
“We believe, that the investor in the age bracket of 35-40 years should allocate at least 70-75 percent of his portfolio into equities/MFs, 20-25% in fixed income and the balance should be in cash,” Sandeep Chordia, Executive Vice-President - Strategy, Kotak Securities told Moneycontrol.
"The index has to cross 10490 levels decisively to move higher and if it fails to cross this level, weakness could be seen towards 10290 and 10150 levels," says Rajesh Agarwal of AUM Capital.
Sudarshan Sukhani of s2analytics.com suggests buying Britannia Industries, Havells India and IndusInd Bank.
Mitessh Thakkar of miteshthacker.com recommends buying Dabur India with a stop loss of Rs 319.90 and target of Rs 332, a buy on Motherson Sumi Systems with a stop loss of Rs 302 and target of Rs 324 and a sell on Pidilite Industries with a stop loss of Rs 886 and target of Rs 844.
Ashwani Gujral of ashwanigujral.com recommends buying NCC with a stop loss of Rs 126, target of Rs 138 and Indraprastha Gas with a stop loss of Rs 300, target of Rs 315 while he advises selling IDBI Bank with a stop loss of Rs 76, target of Rs 68, Canara Bank with a stop loss of Rs 300, target of Rs 285 and Axis Bank with a stop loss of Rs 546, target of Rs 524.
Mitessh Thakkar of miteshthacker.com recommends buying Axis Bank with a stop loss of Rs 529 and target of Rs 551 and Britannia Industries with a stop loss below Rs 4900 for target of Rs 5200.
Jay Thakkar of Anand Rathi Securities is of the view that one may buy NIIT Technologies with a target of Rs 862.
Sandeep Wagle of powermywealth.com advises buying HCL Tech and Britannia Industries.
Mitessh Thakkar of miteshthacker.com recommends buying Britannia Industries with stop loss of Rs 4785 for target of Rs 5000 and Infosys with a stop loss of Rs 1144 for target of Rs 1190.
Rakesh Bansal of RK Global advises buying Interglobe Aviation with a target of Rs 1330.
Britannia, cement and steel sectors, among others are on analysts’ radar on Thursday.
Earnings downgrade to upgrade ratio moderated on a sequential basis (QoQ) as 65 companies saw earnings cut of over 3 percent (58 in 2QFY18) and 43 companies saw earnings upgrades of over 3 percent (49 in 2QFY18).
Prakash Gaba of prakashgaba.com is of the view that one may buy Britannia Industries on dips.
Ashwani Gujral of ashwanigujral.com recommends buying Asian Paints, Britannia Industries and Sobha.
Mitessh Thakkar of miteshthacker.com is of the view that one can sell Nifty and can buy HCL Tech.
Prakash Gaba of prakashgaba.com is of the view that one can sell Britannia Industries, Bharti Infratel and Hindustan Unilever.
Kunal Saraogi of Equityrush advises selling Pidilite Industries with a target of Rs 845.
Ashwani Gujral of ashwanigujral.com recommends buying Sun Pharmaceutical Industries, RBL Bank and CG Power.
Sudarshan Sukhani of s2analytics.com is of the view that one can buy Yes Bank, Tata Elxsi and Sun Pharmaceutical Industries and can sell Mahanagar Gas and Berger Paints.
Mitessh Thakkar of miteshthacker.com recommends buying Escorts and Britannia Industries.