Asset: EPL Ltd (EPL)
Breakout Level: 238
Potential Target: 290
Stop Loss: 228 (~4%)
Timeframe: Short to Low Medium term
Risk to Reward ratio : 1:5
Rationale:
Fundamentals -
Fundamentally decent stock with the following attributes:
* ROCE - 17.5%
* ROE - 16.3%
* Debt to Equity - 0.34
* Stock PE 18.9 / Industry PE - 22 || Stock PBV 3.19 / Industry PBV 2.32 - Company is slightly underpriced
* EPS / Revenue - Increasing
Technicals -
* Structure of the stock is showing potential to move up
* Price went above the 200 DMA although 200 DMA is sloping down
* The 10 DMA is above the 20 DMA although these are below the 200 DMA still
* Price is surfing the moving averages
* 50 DMA is sloping up
* Pull backs are on low volumes whereas the up moves are on higher volumes relatively
* ADR / RS / Momentum all seem ready to pick up
*
Market analysis
* Forecast to move up by ~42%
* FIIs are increasingly picking up this stock
*
Cons
* Promoter holding has dropped from 51% to 26% in one quarter
* Retail has picked up the stock to the tune of ~46%
This analysis is for educational purposes only and should not be considered as financial advice. Trading and investing in financial markets involve significant risk, and past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any trading or investment decisions. The author is not responsible for any financial losses or damages that may result from the use of this information.
Breakout Level: 238
Potential Target: 290
Stop Loss: 228 (~4%)
Timeframe: Short to Low Medium term
Risk to Reward ratio : 1:5
Rationale:
Fundamentals -
Fundamentally decent stock with the following attributes:
* ROCE - 17.5%
* ROE - 16.3%
* Debt to Equity - 0.34
* Stock PE 18.9 / Industry PE - 22 || Stock PBV 3.19 / Industry PBV 2.32 - Company is slightly underpriced
* EPS / Revenue - Increasing
Technicals -
* Structure of the stock is showing potential to move up
* Price went above the 200 DMA although 200 DMA is sloping down
* The 10 DMA is above the 20 DMA although these are below the 200 DMA still
* Price is surfing the moving averages
* 50 DMA is sloping up
* Pull backs are on low volumes whereas the up moves are on higher volumes relatively
* ADR / RS / Momentum all seem ready to pick up
*
Market analysis
* Forecast to move up by ~42%
* FIIs are increasingly picking up this stock
*
Cons
* Promoter holding has dropped from 51% to 26% in one quarter
* Retail has picked up the stock to the tune of ~46%
This analysis is for educational purposes only and should not be considered as financial advice. Trading and investing in financial markets involve significant risk, and past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any trading or investment decisions. The author is not responsible for any financial losses or damages that may result from the use of this information.
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.