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
Given the weak sentiment, the benchmark indices may extend their southward journey in the upcoming session. Below are some trading ideas for the near term.
What a classic setup we are having in City Union Bank, precise Bullish Crab pattern on 4-hour chart with N wave formation near potential reversal zone of Rs 115-120.
Nifty made a rounding top pattern on the daily charts and retraced back towards 50 percent Fibonacci retracement levels of the swing seen from 11,930 to 12,430.
The index has a string of resistances placed between 10,700 and 10,800 levels which could act as a crucial resistance level in the May series. Hence, technical experts advice investors to remain stock specific as trading in benchmark indices could turn rangebound.
Here is a list of top three stocks which could give up to 21 percent return in 6 months.
"We expect the stock to maintain positive bias and head towards Rs 259 levels being the 138.2 percent retracement of the previous decline (Rs229 -157)," says Dharmesh Shah, Head Technical, AVP at ICICI Direct.com Research.
Prakash Gaba of prakashgaba.com recommends buying Hindustan Unilever with target at Rs1480 and stop loss at Rs 1452 and Tata Global Beverage with target at Rs 295 and stop loss at Rs 286.
Here is the list of 20 stocks that could give up to 50 percent return over a period of one year.
The higher occupancy ratios could trigger a sharp rise in average room rates (ARRs) and EBITDA margin for the company in FY19, ICICI Securities said.
CA Rudramurthy BV of Vachana Investments advises buying Royal Orchid Hotels with a target of Rs 95.