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
In the latest week, Aditya Birla Capital has given a breakout of Rounding pattern, indicating a continuation of the trend to the upside.
Gujarat Ambuja Exports experienced a remarkable surge in April after consolidating around multi-month lows of Rs 230. On the daily chart, prices have broken out of a range after a brief pause over the last few sessions.
Nestle India was the third biggest gainer in the futures & options segment, rising 4 percent to Rs 20,244, the highest closing level since December 22 last year and formed long bullish candlestick pattern on the daily timeframe with strong volumes.
With the rate pause, there will be some respite for large debt companies, growth stocks, small and mid-cap space companies, and specific sectors like consumer durables and real estate in the medium term
Varun Beverages has retested the falling trend line on the daily chart before going higher. On the higher end, the index has found resistance at the 14DMA (Rs 1,334.65) during the day's trade on March 22.
Oberoi Realty seems to be breaking out from a bullish Inverse Head and Shoulders pattern which emerged following a corrective move. The stock has crossed above the 200-DMA (daily moving average) which stands at Rs 876 and this DMA was almost acting as a proxy neckline for this formation.
Varun Beverages shares rallied 4 percent to end at record closing high of Rs 1,319 on last Friday and formed long bullish candle on the daily charts with above average volumes.
The banking index remains in a buy-on-dip mode as long as the mentioned support levels are held. The momentum oscillators are in the buy zone which will confirm the strength of the index.
Aditya Birla Capital has broken down from the upward sloping trendline on the daily chart, adjoining the lows of May 16 and May 26, 2022. The stock price is forming lower top lower bottom formation on the weekly chart.
After a short-term correction, Dr Reddy's Laboratories has formed higher bottom reversal formation. The stock is consistently taking support near the 50 and 20 day SMA (Rs 4,192, Rs 4,227)
Aditya Birla Capital is showing strength as the stock broke above the previous week high in Monday's session. The stock is moving higher after taking support at the cluster of 20 day SMA (simple moving average - Rs 112) and 200 day SMA (Rs 113).
Brokerages see opportunities in companies including Star Health, Data Patterns, Cipla, Aditya Birla Capital and KPIT Technologies
Karan Pai of GEPL Capital believes that Nifty50 might continue to hover around the 20-week SMA (17,344) and might remain rangebound between 17,200 (multiple touch point levels) and 17,800 (3-week high).
Rajat Bose of rajatkbose.com recommends buying Ashok Leyland with stop loss below Rs 80.75 for target of Rs 90 and Aditya Birla Capital with stop loss below Rs 103.30 for target of Rs 112 and Rs 114.
However, this period could also offer opportunities to cherry pick some quality equity investment.
Morgan Stanley said in its view, the existence of the NBFC/HFC business model is not under threat as these companies lend to diverse sections of the economy.
Angel remains overweight on discretionary consumption theme with stocks like Safari Industries, Bata, Blue Star and Parag Milk Foods.
Centrum Wealth Research said if Indian corporate earnings can experience long term mean-reversion to those levels at 5.30 percent, robust earnings uptick can be expected.
Rajesh Agarwal of AUM Capital recommends buying Kotak Mahindra Bank with target of Rs 1240 and stop loss at Rs 1185, a buy in Selan Exploration Technology with target at Rs 270 and stop loss at Rs 252 and a buy also on IRB Infrastructure Developers with target at Rs 295 and stop loss at Rs 272.
IDFC Securities has Outperform call on Tata Steel with a target price at Rs 873 per share, saying the strategy to create a long-term JV with Thyssenkrupp is a long-term positive.
On a month-on-month (MoM) basis, the weight of PSU Banks, Oil & Gas, Telecom, Consumer, Infrastructure and Real Estate increased, while that of Private Financials, Technology and Metals showed signs of moderation, Motilal Oswal said in a report
Gaurang Shah of Geojit Financial Services is of the view that one may prefer L&T Finance Holdings.
Prakash Gaba of prakashgaba.com is of the view that one may buy Aditya Birla Capital at Rs 210.
In an interview to CNBC-TV18, SP Tulsian of sptulsian.com in which he shared his readings and outlook on market and specific stocks.
In an interview to CNBC-TV18's Anuj Singhal and Surabhi Upadhyay, SP Tulsian of sptulsian.com shared his views and outlook on the fundamentals of the market and specific stocks.