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 bullish breakout above 10,930 has resulted in a conclusion of a five-month-long triangular pattern, signalling fresh upsides in coming weeks for Nifty
Ashwani Gujral of ashwanigujral.com advises buying Raymond with a target Rs 780.
Mitessh Thakkar of mitesshthakkar.com suggests buying Aurobindo Pharma with a stop loss of Rs 615 and target of Rs 646, KPIT Tech with a stop loss of Rs 274 and target of Rs 292 and RBL Bank with a stop loss of Rs 558 and target of Rs 585.
Vinay Rajani of HDFC Securities said the Nifty is still trading below its 20-day daily moving average, which is currently placed at 10,745.
We recommend buying Sun Pharma for the upside target of Rs 600 and keep a stop loss placed at Rs 545, says Vinay Rajani of HDFC Securities.
Rajesh Agarwal of AUM Capital recommends buying Asian Paints with stop loss at Rs 1273 and target of Rs 1315, BEML with stop loss at Rs 795 and target of Rs 837 and Bank of Baroda with stop loss at Rs 110 and target of Rs 120.
The company should be able to gradually increase sales for the current portfolio, where it had lost market share. We are recommending a buy, says Sumit Bilgaiyan of Equity99.
Nifty is likely to remain volatile ahead of expiry due on Thursday. Experts say investors should look for stock-specific opportunities to take advantage of the upside momentum.
Rajesh Agarwal of AUM Capital recommends buying United Spirits with stop loss at Rs 670 and target of Rs 694, Mahindra & Mahindra with stop loss at Rs 898 and target of Rs 920 and RBL Bank with stop loss at Rs 545 and target of Rs 565.
Sudarshan Sukhani of s2analytics.com is of the view that one can sell Can Fin Homes with stop loss at Rs 348 and target of Rs 333 and also sell Ceat with stop loss at Rs 1322 and target of Rs 1262 while one can buy Godrej Consumer Products with stop loss at Rs 1155 and target of Rs 1185.
Dipen Sheth, Head-Institutional Research, HDFC Securities, said there is certainly some kind of bottom forming happening in the pharma space.
We believe Sun Pharma is the best play in pharma space and investors can add this stock in their long term portfolio, says Akash Jain of Ajcon Global.
It has made superb double bottom formation at Rs 435. After a smart move in short time, stock has strong hurdle near Rs 585-605 levels. Cross over will take it to Rs 650+ levels, says Sumit Bilgaiyan of Equity99.
Investors need to be careful while selecting stocks in midcap space as any unfavourable result in state elections would result in a drastic fall in midcaps and smallcaps
Sumit Bilgaiyan of Equity99 said the key factors such as rupee's movements against the US dollar and fluctuations in crude oil prices as well as developments on monsoon's progress will impact investors' risk-taking appetite.
“The Beats-to-misses (BTM) ratio for 4Q was 0.76x indicating that there were more misses than beats this quarter. After the largely positive surprises in 2Q which had a BTM of 1.42x, 3Q and 4Q have witnessed a sequential decline,” JM Financial said in a report.
"Weakness in the market may continue for the next few days," says Achin Goel, Head of Wealth Management and Financial Planning, Bonanza Portfolio
Rajat Bose of rajatkbose.com recommends buying Sun Pharmaceutical Industries with s stop loss below Rs 522 for target at Rs 548, a buy in Cadila Healthcare with a stop loss below Rs 407 and target at Rs 427 and a sell in Dabur India with stop loss above Rs 372 for target at Rs 363.
"Nifty is likely to retest 10,650-10,670 levels on upside i.e. Inner Trendline which might work as immediate hurdle zone," says Rajesh Agarwal of AUM Capital.
"Nifty has formed 'Dragon Fly' candlestick pattern around key hurdle zone i.e. 50 and 100 SMA which coincides at 10,440 levels and 38.20 percent Retracement levels on daily time frame. The Index has to close above 10,440 levels for further upmove," says Rajesh Agarwal of AUM Capital.
The consolidation is likely to continue for next 3-4 months. In fact, the entire calendar year is expected to be tough.
Sun Pharma, Vedanta, and Jubilant Foodworks, among others, are on investors’ radar on Thursday.
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.
HCL Tech, Bharat Forge, Sun Pharma and financials sector are being tracked by investors on Wednesday.
Sudarshan Sukhani of s2analytics.com is of the view that one can buy Voltas, Tata Consultancy Services, Sun Pharmaceutical Industries, NMDC, DLF, KPIT Technologies and Hexaware Tech and can short UltraTech Cement and Tata Motors.