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
The market is expected to remain directionless in the upcoming sessions. Below are some short-term trading ideas to consider.
While there may be some consolidation after the sharp run-up over the last two days, the overall trend seems to have turned in favour of the bulls. Below are some trading ideas for the near term.
On the indicator front, the momentum indicator relative strength index RSI (14) is showing a reading of 47 and Nifty is trading above its 200-day EMA at 18,331 which indicates strength.
As of December 28 close, the BSE Sensex is up about 15 percent while the BSE Midcap index has gained 19 percent and the Smallcap index 31 percent in the calendar year 2020.
There was plenty of stock specific action as nearly 130 stocks rose to a fresh 52-week high on the BSE.
“Last two-three years Maruti Suzuki has been outperforming the whole private vehicles (PV) pack, we think that momentum will continue. Though the numbers were slightly below estimate, 15 percent growth is good”, Awanish Chandra, Analyst - Auto & Auto Ancillaries at Centrum Broking told CNBC-TV18.
Hitesh Agarwal of Religare Securities has a buy on FIEM Industries and sees 23 percent CAGR with a target of Rs 1315.
Prakash Diwan of prakashdiwan.in likes Vinati Organics from the chemical space.
According to CA Rudramurthy of Vachana Investments, one may buy Camlin Fine Sciences and sell Tata Steel.
Rajat Bose of rajatkbose.com expects FIEM Industries to test Rs 685-698.
FIEM Industries is a multibagger, says Ashish Chugh, Investment Analyst. The company has got eight manufacturing plant located in Karnataka, Tamil Nadu, Haryana and Rajasthan. The company last year started its Alwar plant which is built on 10 acre and this plant caters exclusively to Hondo Motorcycle.
Ashish Chugh, author of Hidden Gems Shares is views on FIEM Industries and Alok Industries.
Fiem Industries may give 30-40% return in a years time frame, says Aashish Tater, Head of Research, Fort Share Broking.
FIEM Industries has intraday target of Rs 160, says Ashish Tater, Fort Share Broking.
Bull's Eye, the popular game show on CNBC-TV18, offer investors a chance to have a look at the stocks that can be added to their portfolio.
FIEM Industries has target of Rs 190, says Ashish Tater, Fort Share Broking.