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 Interim Budget for FY20 is likely to forecast a fiscal deficit of 3.3 percent of GDP whilst the actual fiscal deficit is likely to be 3.5 percent of GDP for FY20, suggest experts
Here are the top 10 stocks from brokerages which could give up to 60 percent returns
Prakash Gaba of prakashgaba.com recommends buying Dabur India with target at Rs 435 and stop loss at Rs 415 and Kajaria Ceremics with target at Rs 512 and stop loss at Rs 493.
Sudarshan Sukhani of s2analytics.com advises buying ICICI Bank with a stoploss of Rs 355 and target of Rs 368.
Mitessh Thakkar of mitesshthakkar.com recommends buying Ceat above Rs 1271 with stop loss of Rs 1255 for target of Rs 1300 and Godrej Industries with a stop loss of Rs 546 for target of Rs 565.
It took a strong support at 325-315 levels to reverse a bullish trend with minor consolidation and witnessed a positive volume trajectory in the same period to augur positive trend, says Dinesh Rohira of 5nance.com.
Technical experts feel that the week is likely to remain volatile due to November F&O expiry, but bulls will be able to take control only if Nifty closes above 10,700-level and 200-DMA.
On the weekly price chart, the Nifty index formed a solid bearish candlestick pattern coupled with the small bearish pattern on its daily price chart and therefore indicating a negative trajectory.
Rajesh Agarwal of AUM Capital recommends buying RBL Bank with stop loss at Rs 552 and target of Rs 567, Indoco Remedies with stop loss at Rs 194 and target of Rs 210 and Adani Gas with stop loss at Rs 105 and target of Rs 120.
Most analysts say investors should consider buying beaten-down stocks, but with a time horizon of 1-2 years..
Sudarshan Sukhani of s2analytics.com suggests buying ACC with stop loss at Rs 1505 and target of Rs 1580 and HCL Technologies with stop loss at Rs 1070 and target of Rs 1100.
Rajesh Agarwal of AUM Capital recommends buying CESC with stop loss at Rs 998 and target of Rs 1035, Kajaria Ceramics with stop loss at Rs 467 and target of Rs 482 and Wipro with stop loss at Rs 300 and target of Rs 320.
Traders can accumulate the stock in the range of Rs 440-450 for the target of Rs 500 with a stop loss below Rs 422.
Going forward, the trend is expected to remain positive. The Nifty may move towards 11,200 and higher; supports are visible at 11,070 and 11,000
The major reason that experts are expecting a sharp correction in broader markets is stretched valuations as the Nifty Midcap shot up 47 percent and BSE Smallcap index rallied 60 percent in 2017.
Prakash Gaba of prakashgaba.com advised selling Bajaj Auto with a target price of Rs 2,790 and stoploss at Rs 2,855.
UBS said the relative valuation of small and midcaps suggest that optimism may be priced but not the uncertainties, despite the recent corrections.
Reversal of the bearish view can be pegged above the recent high of 10,929, says Gaurav Ratnaparkhi of Sharekhan
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.
We believe the markets will see a consolidation in the range of 10,500 to 10,730 levels over the next week, Vikas Jain, Senior Technical Analyst Reliance Securities, said.
Mitessh Thakkar of miteshthacker.com recommends buying Nestle India and Bata India.
“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.
Ruchit Jain of Angel Broking is of the view that one may buy Glenmark Pharma with a target of Rs 585.
"The index has formed 'Spinning Top' candlestick pattern indicating lack of momentum on either side. Now Nifty has to close above 10,250 marks for further upside. The level 10,400 will work as immediate hurdle zone and support is seen around 10,130 mark," says Rajesh Agarwal of AUM Capital.