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
Vinay Rajani of HDFC Securities recommends buying United Breweries with target at Rs 1,370 and stop loss at Rs 1230 and Tata Elxsi with target at Rs 1,390 and stop loss at Rs 1,240.
Mitessh Thakkar of mitesshthakkar.com recommends buying Page industries with a stop loss of Rs 24900 and target of Rs 27000 and Marico around Rs 335 with stop loss of Rs 327 and target of Rs 351.
As per the current weekly set-up, we believe that the stock will soon resume its northward journey and will recover prior damages. Thus long position can be initiated here for the target of Rs 1,000 with a stop loss of Rs 880.
On the higher side crossover of 10,850 levels would trigger for a swift move of 11,000 levels crossing the last month high.
A minimum target of Rs 997 is possible because it is 50 percent retracement of the entire fall from the top of Rs 1,108 to Rs 887.
Investors are advised to remain cautious and watch out for two levels: 10,770 on the upside and 10,550 on the down.
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.
“In the next few trading sessions, the Nifty is expected to hover between 10,500 and 10,800, with a bit of negative bias,” Aditya Agarwal, Head Technical Research at Way2Wealth Brokers, said
Rajesh Agarwal of AUM Capital recommends buying Indian Oil Corporation with stop loss at Rs 164 and target at Rs 174, a buy on Ujjivan Financial Services with stop loss at Rs 398 and target at Rs 417 and a buy also in Adani Transmission with stop loss at Rs 164 and target at Rs 176.
"We believe that slowdown is across the board and it’s better to be cautious considering a sharp rally we have seen in HCLTech’s counter. We have lowered down our targets to Rs 975," says Sumit Bilgaiyan, Founder of Equity99.
Top contrarian buy calls include Hero MotoCorp, Tech Mahindra, LIC Housing Finance, Hindustan Petroleum Corporation (HPCL) and NMDC.
"We expect revenue guidance for FY19 to be around 8-10 percent, OPM band of 18-20 percent. Currently, we have a buy rating on HCL Tech with a target price of Rs 1075," says Sumit Bilgaiyan, Founder of Equity99.
Mid-tier companies are expected to report 2-3% constant currency revenue growth sequentially despite seasonal weakness
Ashwani Gujral of ashwanigujral.com is of the view that one can sell Vedanta and Dewan Housing Finance and can buy HCL Technologies.
Ashwani Gujral of ashwanigujral.com is of the view that one can sell Jindal Steel & Power and can buy HDFC Bank and Motherson Sumi Systems.
Here is the list of 12 top stocks that can give upto 47% return over 12-15 months period.
Tata Sons, the holding company of the Tata Group is selling a small stake in its crown jewel Tata Consultancy Services (TCS). This will help Tata Sons raise around Rs 8,000 crore, which it can then use to invest in other group companies. In an interview with CNBC-TV18, Ravi Menon, Analyst-IT Services at Elara shared his views and outlook on the same.
After the recent correction, valuations of Indian market have come down to a reasonable level which should give motivation to investors to accumulate quality stocks on declines.
Mitessh Thakkar of miteshthacker.com recommends buying Castrol India with a stop loss of Rs 203.50 and target of Rs 214 and Cholamandalam Investment with a stop loss of Rs 1427 and target of Rs 1485.
Sudarshan Sukhani of s2analytics.com is of the view that one can buy Bata India, HCL Tech, NTPC and Lupin and can hold Yes Bank while one may avoid Tata Motors.
Ashwani Gujral of ashwanigujral.com recommends buying Tech Mahindra with a stop loss of Rs 614 and target of Rs 635 and has a buy also on Tata Consultancy Services with a stop loss of Rs 3000, target of Rs 3150.
Sudarshan Sukhani of s2analytics.com is of the view that one can buy HCL Technologies, Ashok Leyland and UPL and can sell Ujjivan Financial Services and Hindustan Petroleum Corporation.
"Any significant breach below 10,130 may drag Index further lower till 10,000 mark i.e. 78.60 percent Retracement level (Drawn from low of 9687 to high of 11,171) on daily scale which might work as strong support zone," says Rajesh Agarwal of AUM Capital.
HCL Tech, Bharat Forge, Sun Pharma and financials sector are being tracked by investors on Wednesday.