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
Mitessh Thakkar of mitesshthakkar.com is of the view that one can buy Dabur India with a stop loss of Rs 387.8 and target of Rs 405 and sell DLF with a stop loss of Rs 196.2 and target of Rs 182.
Rajesh Agarwal of AUM Capital recommends buying Tech Mahindra with stop loss at Rs 699 and target of Rs 733, PVR with stop loss at Rs 1350 and target of Rs 1389 and Dabur India with stop loss at Rs 387 and target of Rs 403.
At a time when most companies are struggling to show a consistent track record of growth, these 13 stocks are priced to perfection at current levels in comparison to return on capital employed (RoCE).
Mitessh Thakkar of mitesshthakkar.com is of the view that one can sell DCB Bank with a stop loss of Rs 181.50 and target of Rs 172 and buy Hindustan ZInc with a stop loss of Rs 295 and target of Rs 317 and United Breweries with a stop loss of Rs 1249 and target of Rs 1310.
On the upside, the market needs to cross and sustain above 10,765 on a tradable basis for the uptrend to resume, says Ashish Chaturmohta of Sanctum Wealth Management
We recommend buying this stock at current levels for a target of Rs 427 over the next one month, and the stop loss should be fixed below Rs 364.
Investors are advised to remain cautious and watch out for two levels: 10,770 on the upside and 10,550 on the down.
Mitessh Thakkar of mitesshthakkar.com is of the view that one may buy Bajaj Auto with a target of Rs 2980.
At this juncture, markets are clearly experiencing their corrective phases (price wise as well as time-wise) and hence, one should not venture into it aggressively.
Traders can buy the stock in dips around Rs 377-380 with a stop loss below Rs 364 (closing) for a target of Rs 408.
As per the options data, the support level for Nifty has shifted higher in the May expiry compared to last week. Immediate support is seen around 10,600 and 10,500 levels, whereas 10,800 will act as stiff resistance.
Prakash Gaba of prakashgaba.com is of the view that one can buy United Spirits with target at Rs 3430 and stop loss at Rs 3330 and sell Hindustan Unilever with target at Rs 1554 and stop loss at Rs 1574.
Factors fuelling rural growth in FY18 are a normal monsoon, low base effect, increase in MSP, an increase in rural allocation in recent budgets.
Prakash Gaba of prakashgaba.com recommends buying Dabur India with target at Rs 385 and stop loss at Rs 374, Exide Industries with target at Rs 266 and stop loss at Rs 252 and a buy also in Hindalco Industries with target at Rs 255 and stop loss at Rs 237.
"The stock can be bought at current level and on dips up to Rs 370 with a stop loss below Rs 360 for target of Rs 410 levels," says Ashish Chaturmohta of Sanctum Wealth Management.
“Nifty’s previous support of 10,600 will act as immediate resistance. Any bounceback is likely to be capped at 10,670-10,700 levels,” says Ashish Chaturmohta of Sanctum Wealth Management.
The market’s focus will increasingly shift to macros and earnings. India’s macros have weakened considerably in the past few months. It will have to likely contend with a weaker macro in CY18/FY19 versus CY17/FY18 given the likely higher inflation/interest rates and possibly higher current account deficit/weaker currency, Kotak Institutional Equities said in a recent note.
Rajat Bose of rajatkbose.com recommends buying Sun Pharmaceutical Industries with s stop loss below Rs 522 for target at Rs 548, a buy in Cadila Healthcare with a stop loss below Rs 407 and target at Rs 427 and a sell in Dabur India with stop loss above Rs 372 for target at Rs 363.
"Dabur India is fairly valued at current valuations. We do not expect any major upside. Investors may avoid it as it has already discounted next 2 years earnings growth," says Akash Jain, Vice-president, Equity Research at Ajcon Global Services.
"Nifty has formed 'Dragon Fly' candlestick pattern around key hurdle zone i.e. 50 and 100 SMA which coincides at 10,440 levels and 38.20 percent Retracement levels on daily time frame. The Index has to close above 10,440 levels for further upmove," says Rajesh Agarwal of AUM Capital.
Here is a list of top 10 technical trading ideas which could give up to 11% return in the short term.
Anand Rathi is bullish on growth in ANH in the next 5 years. Hence, it has upgraded the rating to a Buy and values the stock at 35x FY20e to arrive at a revised target of Rs 400.
Mitessh Thakkar of miteshthacker.com is of the view that one can sell Engineers India and buy Mahindra & Mahindra.
"The Nifty has formed 'Hammer' candlestick pattern indicating a short term reversal. Furthermore, on hourly scale, oscillators like RSI & MACD has given positive crossover which is a bullish sign," says Rajesh Agarwal of AUM Capital.
Ashwani Gujral of ashwanigujral.com recommends buying Titan Company with a stop loss of Rs 810, target of Rs 840, Reliance Industries with a stop loss of Rs 900, target of Rs 925 and a buy also on Jubilant Foodworks with a stop loss of Rs 1990, target of Rs 2050.