Trendlyne Blog: The Baseline, Latest on stock market and finance in India and the world.

20 Aug 2020

Five Interesting Stocks

1. Chemicals company Atul Limited hit its lifetime high today.

2. Granules India: This API pharma company is up over 200% in the past year. The firm's share price started gaining steam in May 2020.

3. Jubilant Foodworks: This food company, which is behind several recognizable fast food brands including Dominos Pizza, is gaining in share price ahead of its June quarter results announcement.

4. Ruchi Soya: This edible oils company saw its Managing Director Acharya Balkrishna resign. The company had a stratospheric jump in share price until the end of June 2020, before its rapid decline in recent weeks.

5. Essel Propack: This Blackstone Group owned packaging company has gained over 50% in the past month.

The Baseline

21 Jul 2020

Five Interesting Stocks Today

1) Delta Corp: Both Rakesh Jhunjhunwala and Goldman Sachs have bought more shares in this casino stock.

2) Larsen & Toubro Infotech: Midcap IT company L&T Infotech has been rising since Q1 results, and is near its all time high.

3) Oriental Aromatics: This chemicals company has hit its all time high today. The stock has risen sharply in the past few weeks and is now entering the sell zone.

4) AllCargo Logistics: After a sharp fall in March, AllCargo Logistics is back on the rise. The company is in the buy zone in its PE, but June results are not yet out.

5) ACC Limited: This cement company has been rising today post June results, and HDFCSec is optimistic on its prospects due to lower cost impacts.

The Baseline

16 Jul 2020

Five Interesting Stocks Today

1) Godrej Properties: This realty company has been rising steadily over the past month and has zero promoter pledges.

2) Bajaj Finance: This NBFC stock, still a multibagger despite sharp falls since Feb 2020, gained 35%+ over the past month.

3) Dhanuka Agritech: The management has been bullish about strong June quarter results. It is set to declare these results coming Wednesday.

4) Kotak Mahindra Bank: This banking stock has entered the BUY zone in terms of historical PE, after falling in share price over the past year. Recent analyst reports have been bullish on the bank while expressing caution about NPA slippage.

5) Maximus International: This microcap company hit its lifetime high in share price today. Keep in mind that the volumes here are really small.

The Baseline

09 Jul 2020

Five Interesting Stocks Today

1. Escorts Ltd is now the auto stock on everyone's watchlist. The company is near its ten year high in share price, after falling nearly 40% between February and March 2020.

2. Electrical cables company KEI Industriesis looking to gain market share post Covid in an industry with a large unorganized segment. With recent price declines, the company's historical PE is in the buy zone, and investors are noticing.

3. Apollo Tyres management is frank about its business outlook, with CFO Gaurav Kumar saying that "we will probably have a sales decline in FY’21 compared to FY’20, because the OE business is still looking fairly weak and there is no promising outlook as well."

4. Similar name, different outlook: structural tubes company APL Apollo Tubes says it was the first company in its industry to start facilities post lockdown, and had a strong June quarter with 60% of pre-lockdown volume returning.

5. Behemoth HDFC's recent declines in share price has put the company in the buy zone in terms of its historical PE. The company has been using money made from stake sales to increase provisions. HDFC is the only housing finance company to have total provisions in excess of gross non performing loans.

The Baseline

25 Jun 2020

Five Interesting Stocks Today

1) Pharma company Hikal Limited has gained since recent results - rising 8% over the week. Management says that gross margin has improved, and will continue to rise due to better product mix.

2)Garware Polyester is seeing a sharp uptick in share price and rising delivery volumes ahead of results. Screener tracking increasing delivery volumes ahead of results is here.

3) Edible oils companyRuchi Soya hits another all-time high in share price today. This stock coming out of the bankruptcy process has surprised observers, rising 8000% since trading restarted in Jan. Some in the press are now urging a SEBI investigation.

4) Agrochem company Pi Industries has seen enthusiasm in recent research coverage, with analysts giving recos ranging from Hold - Buy.

5) Chemicals company Deepak Nitrite sees rising momentum, and current PE compared to historical PE is in the buy zone.

The Baseline

17 Jun 2020

Five Interesting Stocks Today

1. Construction company NCC Limited, where promoter AVSR Holdings has acquired 15.7 million shares in the market via an SAST transaction.

2. Indian Energy Exchange, which is among stocks seeing the highest increases in mutual fund holdings last month. 13 Mutual Funds bought more shares in IEX in May. (See screener tracking MF monthly holding changes)

3. Agrochem company Dhanuka Agritech, which is rising sharply since results, after management said in its earnings call that "due to good monsoon projection and availability of water in the reservoirs Dhanuka is expecting very good growth in the first quarter of FY21."

4. Manaksia Aluminum, which has gained 140%+ in the past month, ahead of its results on June 18. The stock is in the list of stocks with highest returns over five years.

5. Automotive component manufacturer Endurance Technologies, where recent fall in share price has placed the stock in the buy zone according to historical PE. It's share price has gained 30% in the past month, and Motilal Oswal was a buy on the stock in March.

The Baseline

16 Jun 2020

Five Interesting Stocks Today

1. Mahindra & Mahindra: After its Q4 results were announced last week, five brokerages have come out with recommendations on the stock ranging from HOLD to BUY.

2. Morepen Labs has seen rising delivery volumes ahead of its results on June 22, and soared in share price today. Screener: stocks seeing rising delivery volumes before results.

3. Polycab India seeing FIIs increase their shareholding in the company in the March quarter. The QoQ increase in FII shareholding in this electric cables company was also substantial, as per this stock screener.

4. Galaxy Surfactantsis a financially strong stock that broke past its third resistance today.

5. Best AgroLife is now at its lifetime high.

The Baseline created a screener Affordable Performers

02 Jun 2020

Affordable Performers

Stocks which have good Durability Scores, are in the Buy Zone in Historical PE, and have buying interest from MFs/Institutions

The Baseline

19 May 2020

Top Gainers in the News: Bharti Airtel, Inox Leisure, ONGC, Shriram Transport Finance, Oil India

by Ritmbarah Arora

Bharti Airtel: The share price of Bharti Airtel rose 9.3% to Rs 588.2 while around 34.6 million shares in volume have been traded so far. The stock price is up 9.6% since the last week and 17% since the last month, per Trendlyne data.

Bharti Airtel has reported a consolidated loss of Rs 5,237 crore for Q4FY20 on account of provisions for paying statutory dues. The company however posted strong average revenue per users (ARPU) after the recent tariff hike and fall-off of low value subscribers from the platform, as well as good 4G subscriber additions. Motilal Oswal said, “Subscriber adds were flat quarter on quarter at 284 million, but 4G subs grew 10% quarter on quarter to 136 million with 12.5 million fresh adds, garnering healthy >40% estimate incremental market share." Bharti Airtel is listed in 48 screeners on Trendlyne.

INOX Leisure: The stock price of INOX Leisure skyrocketed 8.3% to Rs 178.9 as of now. Around 2.2 million shares in volume have been traded so far. The share price has fallen 12.1% since the last week and 24% since the last month. The jump is primarily owing to the Moderna vaccine news, in anticipation of cinema halls reopening in the near future.

The Delhi High Court has imposed a cost of Rs 5 lakh on INOX Leisure for indulging in ‘judicial adventurism’ by filing a lawsuit against PVR, seeking to restrain it from interfering in its existing and future land contracts. INOX Leisure is listed in 33 screeners on Trendlyne.

Oil & Natural Gas Corporation: The share price of Oil & Natural Gas Corporation jumped 7.6% as of this writing. Around 24.1 million shares in volume have been traded so far. The stock price gained 1.8% since the last week and 2.8% since the last month. The company is listed in 34 screeners on Trendlyne.

Shriram Transport Finance Company: The shares of Shriram Transport Finance Company rallied 7.1% to Rs 617 while around 3.9 million shares in volume have been traded so far. The stock price is down 16.2% since the last week and 23.1% since the last month.

Shriram Transport Finance Company plans to fundraise Rs 3,000-4,000 crore via a qualified institutional placement (QIP) or preferential allotment to augment liquidity, per LiveMint. The company is listed in 32 screeners on Trendlyne.

Oil India: The stock price of Oil India surged 6.6% to Rs 84 and around 1.3 million shares in volume have been traded so far. The share price decreased 4.4% since the last week and 9.5% since the last month. Shares of the oil & gas companies were trading with gains today morning amid signs that producers are cutting output as demand picks up. Oil India is listed in 40 screeners on Trendlyne.

The Baseline created a screener Relative Strength Index (RSI) …

18 May 2020

Relative Strength Index (RSI) bearish with good durability, low debt

Technical Analysis: Stocks with Relative Strength Index (RSI) below 30 are considered oversold. This implies that stock may rebound. Some traders, in an attempt to avoid false signals from the RSI, use more extreme RSI values as buy or sell signals, such as RSI readings above 80 to indicate overbought conditions and RSI readings below 20 to indicate oversold conditions.