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
Trends on SGX Nifty indicate a flat opening for the broader index in India, a fall of 2.5 points or 0.02 percent. Nifty futures were trading around 10,789-level on the Singaporean Exchange.
"We are structurally positive on Thomas Cook and expect strong contribution from Sterling Holidays in coming years which would lead to likely rerarting of the stock and may trade at premium multiples," says Akash Jain, Vice-president, Equity Research at Ajcon Global Services.
"The management is confident of 50 percent+ YoY growth for the foreseeable future: 20 percent organic and 30 percent from acquisitions. Directionally, EBITDA margin of 8 percent is the objective. Our immediate price target is Rs 1200," says Shailendra Kumar, Chief Investment Officer at Narnolia Securities.
Return on Equity indicates profitability of a company by measuring how much the shareholders earned for their investment in the company. The higher the percentage, the more efficiently equity base has been utilized, indicating better return to investor.
The top three stocks which could give up to 17 percent return in 3-4 weeks include Mcleod Russel India, Praj Industries and Quess Corp.
NTPC, IndiGo and Quess Corp, among others, are on investors’ radar on Tuesday.
The earnings growth which is still languishing in single digits thanks to demonetisations and the implementation of the goods & services tax (GST) could see a double-digit growth in FY18.
Traders should be very cautious at these higher levels whereas any dip should be treated as an opportunity of going long.
From the last few sessions, Nifty is showing sideways moves but with positive bias along with the addition of decent open interest.
Mehraboon Irani of Nirmal Bang Securities likes Ruchira Papers, Dalmia Bharat, Sterlite Technologies and Quess Corp.
Vijay Chopra of enochventures.com is of the view that one may buy Chenai Petro with a target of Rs 230.
In an interview to CNBC-TV18's Anuj Singhal and Sonia Shenoy, SP Tulsian of sptulsian.com shared his reading and outlook on the market and also gave recommendations on various stocks.
CA Rudramurthy BV of Vachana Investments advises buying Cairn India with a target of Rs 166.
In an interview to CNBC-TV18, SP Tulsian shares his views on metal stocks and Quess Corp's stellar IPO listing.
In an interview to CNBC-TV18, Prakash Diwan, Investment Evangelist at prakashdiwan.in shared his readings and outlook on specific stocks and sectors.