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
Stocks like Dr Reddy's and Sun Pharma gained around 5 percent on Wednesday. Major Indian pharma companies earn around 15-50 percent revenue from the US market.
According to Sandeep Wagle of powermywealth.com, one can buy Dr Reddy's Labs, Canara Bank and GAIL India.
Rahul Mohindar of viratechindia.com is of the view that one may see 5-6 percent downside in OMCs including HPCL and BPCL.
Sudarshan Sukhani of s2analytics.com is of the view that one can sell Canara Bank and Tata Motors DVR and buy Himatsingka Seide and Dr Reddy's Labs.
Amit Gupta of ICICIdirect recommends buying Dr Reddy's Labs for target of Rs 3500 and short Nifty.
Rajat Bose of rajatkbose.com recommends buying Dr Reddy's Laboratories and Maruti Suzuki.
Sudarshan Sukhani of s2analytics.com is of the view that one can buy Bajaj Finance, Dr Reddy's Laboratories and Aditya Birla Nuvo.
Sanjiv Bhasin of IIFL is of the view that Dr Reddy's Labs is the top pick on decline along with Cipla.
Morgan Stanley is underweight on Wipro with target price at Rs 460 per share stating that growth is weakest among large peers that may keep valuation low.
Ashwani Gujral of ashwanigujral.com recommends buying Indraprastha Gas and ICICI Bank and advises selling Tata Motors and Reliance Industries.
Rajat Bose of rajatkbose.com is of the view that one can sell Axis Bank and buy Dr Reddy's Laboratories and Bharat Financial Inclusion.
In an interview to CNBC-TV18, Deven Choksey of KRChoksey Investment Managers shared his reading and outlook on the market and specific stocks.
Mitesh Thacker of miteshthacker.com is of the view that one can sell Dr Reddy's Lab and Siemens and buy GAIL India.
Bank of America Merrill Lynch reiterates buy with a target of Rs 1590 per share, stating it has potential for a re-rating.
Prakash Gaba of prakashgaba.com is bullish on Reliance Industries and advises buying on dips.
Rajat Bose of rajatkbose.com is of the view that one can prefer pharma stocks.
Here are brokerage firms' views on 16 stocks. Bank of America Merrill Lynch has initiated buy rating with target at Rs 1450 percent indicating 23 percent potential upside. It says Kesh King-led drag behind; upside risk from the global business. The stock is re-rated over time and robust growth to provide support.
In an interview to CNBC-TV18's Latha Venkatesh, Sonia Shenoy and Anuj Singhal, Rahul Arora, CEO, Nirmal Bang Institutional Equities and Abneesh Roy, Associate Director of Edelweiss Securities shared their readings and outlook Jubilant Foodworks. Rahul Arora also spoke on various stocks.
Amit Gupta of ICICIdirect is of the view that Glenmark Pharma should start performing with a traget of Rs 980.
Rajat Bose of rajatkbose.com feels that Dr Reddy's Laboratories may test Rs 3350.
Nuvaring is the largest of the eight products that Dr Reddy's has bought from Teva in June 2016. DRL acquired a portfolio of eight abbreviated new drug applications (ANDAs) in the US for USD 350 million as part of the divestment process in Teva's acquisition of Allergan's generic business.
CLSA reiterates buy rating on Tata Motors with target increased to Rs 635 from Rs 545 per share. It says forex losses impact JLR‘s margins but should bounce back. It expects a strong rebound in JLR‘s margins in balance FY17 & FY18 and a strong 21 percent EPS CAGR over FY16-19.
Vijay Chopra of enochventures.com is of the view that one may keep HDFC in portfolio.
Rajat Bose of rajatkbose.com is of the view that one may prefer HDFC.
Sanjiv Bhasin of IIFL recommends buying Dr Reddy's Labs, Cipla and Biocon.