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
Ashwani Gujral of ashwanigujral.com is of the view that one can buy Gujarat State Fertilizers & Chemicals and Britannia Industries and sell Wipro.
Sandeep Wagle of powermywealth.com is of the view that one can buy NMDC and Ajanta Pharma and sell Wipro.
Sudarshan Sukhani of s2analytics.com is of the view that one can buy Bharat Heavy Electricals, NTPC and Oil India and sell Wipro and Ceat.
Nomura has downgraded the stock to reduce and lowered target price to Rs 450 per share from Rs 490. It is cautious on slow growth, weak margin trends and no signs of turnaround.
Sudarshan Sukhani of s2analytics.com is of the view that one can buy TCS, Infosys, HUL, Rural Electrification Corporation and Shriram Transport Finance and sell JSPL.
Morgan Stanley is underweight on Wipro with target price at Rs 460 per share stating that growth is weakest among large peers that may keep valuation low.
AK Prabhakar of IDBI Capital recommends investing in Wipro.
Prakash Gaba of prakashgaba.com is of the view that one can buy Wipro and expects levels closer to Rs 550.
Nomura reiterates buy on YES Bank with a target price of Rs 1510 per share. Retail momentum building plus asset quality performance better than peers
Sandeep Wagle of powermywealth.com is of the view that one can buy Tata Chemicals, NMDC and Wipro.
Ashwani Gujral of ashwanigujral.com recommends buying Power Grid and Wipro and advises selling Apollo Tyres.
Mitesh Thacker of miteshthacker.com recommends buying Larsen & Toubro, State Bank of India and Wipro.
According to Mitesh Thacker of miteshthacker.com, one can buy Apollo Tyres, Balrampur Chini and Berger Paints.
Preferred play is HCL Technologies where there appear to be signs of RoE bottoming, she says, adding the brokerage house has an outperform rating on HCL Technologies.
Krish Subramanyam of Altamount Capital suggests straddle strategy in IDFC and Wipro.
Mitesh Thacker of miteshthacker.com recommends buying Bharti Infratel, Wipro, Edelweiss Financial and Insecticides India.
Sudarshan Sukhani of s2analytics.com is of the view that one can buy Exide Industries and DHFL and sell Wipro.
Things are not rosy for the IT sector and analysts warn that pain is going to linger. Stating that 9 of 11 companies have moderated growth outlook, Nomura says demand slowdown is broad-based and distributed across verticals, with concerns related to macro, uncertainty due to Brexit and discretionary pullbacks being commonly cited.
Citi has a sell rating on TCS with a target at Rs 2447 per share on premium valuations in the sector context.
According to Gautam Shah of JM Financial, one may avoid IT space.
In an interview to Latha Venkatesh and Anuj Singhal on CNBC-TV18, Mehraboon Irani of Nirmal Bang Securities spoke about the current market trends and specific stocks and sectors.
Prakash Gaba of prakashgaba.com likes Amara Raja Batteries and feels that Wipro can slide to Rs 735.
SP Tulsian of sptulsian.com tells CNBC-TV18 why he is positive on only select information technology stocks and why his take on Trident as trouble brewing for its competitor Welspun might mean more business for the company.
Mitesh Thacker of miteshthacker.com recommends buying LIC Housing Finance, M&M Financial Services, NMDC and Amara Raja Batteries and advises selling Wipro.
Mitesh Thacker of miteshthacker.com is of the view that one can buy Cipla and sell Wipro and GAIL India.