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
Experts expect stock-specific activity to continue and as it is a 'buy of dips' market, recommend buying quality stocks for better returns
Nifty will face major hurdles around its lifetime high of 12,103 marks. Once Nifty sail above the lifetime high, 12,300 will be the new target to watch out for.
The equity market may trade with a negative bias in the short-term, but the broader market will maintain its positive bias in the long-term, Vinod Nair of Geojit Financial Services says.
Lower side support is maintained around 10,700-10,800 levels.
Nifty continued to remain volatile as it couldn’t manage to hold gains. The index has immediate support at 10,970.
The market is near strong support and we may see a pullback rally. Our advice, therefore, would be to avoid going short from here.
Infosys has strong resistance at Rs 760 and a fresh up move is expected only if this level is held
A bullish trend could push the Nifty towards 11,950. Going forward, a sustained trade above 11,950 may induce a rally towards 12,100-12,250 levels
But, comparatively, more companies have seen an EPS downgrade than an upgrade
As long as Nifty is trading above 11,600, we maintain buy on dip strategy, said Shabbir Kayyumi of Narnolia
Bank Nifty options data for upcoming weekly expiry depicts 31,000 as strong support as aggressive Put writing is seen at 31,000 and on upside the highest Call OI is at 32,000, which can act as strong resistance
Credit Suisse maintained its outperform rating on Tech Mahindra while Jefferies maintained its buy rating on Tech Mahindra with a target price of Rs 880
On the higher side, any decisive move above 11,850 in Nifty can add further follow up buying into the index.
Both TCS and Infosys hold 27 percent each in the index weight and they are likely to take leadership alternatively to help index inch up
Sudarshan Sukhani of s2analytics.com recommends buying Tech Mahindra with stop loss at Rs 800 and target of Rs 814, Hexaware Tech with stop loss at Rs 341 and target of Rs 350 and Hindustan Unilever with stop loss at Rs 1735 and target of Rs 1760.
CLSA said strong growth in US is positive for most firms, but more for Infosys & Cognizant while strong growth in CMT is positive for Tech Mahindra, Wipro & HCL Technologies
Jimeet Modi, Founder & CEO, SAMCO Securities & StockNote, feels investors should now start adding top quality stocks to their portfolio at lower levels
Mitessh Thakkar of mitesshthakkar.com recommends buying Allahabad Bank with a stop loss of Rs 45 and target of Rs 49, Bajaj Auto with a stop loss of Rs 2790 and target of Rs 2875 and Steel Authority of India with a stop loss of Rs 47.9 and target of Rs 51.5.
The domestic brokerage firm expects the Nifty EPS to grow 9 percent in FY19 and 27 percent in FY20.
CLSA expects NASSCOM, the trade association of Indian IT-BPM industry, to guide for 8-10 percent growth for the industry in FY20
Sudarshan Sukhani of s2analytics.com recommends buying Tech Mahindra with stop loss at Rs 800 and target of Rs 820 and Interglobe Aviation with stop loss at Rs 1050 and target of Rs 1180.
Derivative data indicates that heavy put writing in the strike prices of 10,700-10,800 should lend support.
Mitessh Thakkar of mitesshthakkar.com recommends selling UltraTech Cement with a stop loss of Rs 3525 and target of Rs 3300, Hindalco Industries with a stop loss of Rs 204.25 and target of Rs 190 and Indian Bank with a stop loss of Rs 214 and target of Rs 191.
Mitessh Thakkar of mitesshthakkar.com recommends buying Shriram Transport Finance with a stop loss of Rs 1050 and target of Rs 1098, Tech Mahindra with a stop loss of Rs 740 and target of Rs 774 and IndusInd Bank with a stop loss of Rs 1524 and target of Rs 1585.
Ashwani Gujral of ashwanigujral.com recommends buying RBL Bank with a stop loss of Rs 588, target of Rs 610, Kotak Mahindra Bank with a stop loss of Rs 1260, target of Rs 1295 and HDFC Bank with a stop loss of Rs 2080, target of Rs 2140.