Fundamentally Stock looks over valuated (288crs TTM Profits *20 times) 4560crs vs Market Cap 6,740crs Even at 30x Market Cap should be around 6840crs Technically Stock has shown Flag and Pole Breakout on Monthly chart. Target - 870 Stoploss – 625 (Weekly Close)
Disc. : Views Shared for Education Purpose only. Consult your Financial Advisor before taking any position.
What a superb analysis. I had this stock at 718 level. By seeing your post got confidence that it will reach near 800. Exited it at around 786.
Thank you so much
SagirKazi
⋅
@bneelblrea7cfab621d04ab0, You are Welcome :)
drdc11
⋅
FOR VALUATION WHEATHER UNDER OR OVERVALUED,WHICH FORMULA YOU USED? MULTIPLYING BY 20??CAN YOU ELABORATE .THANKS & REGARDS
SagirKazi
⋅
@drchalkar, I prefer using PE valuation method.
Pharma Sector has Industry PE of 19.8 hence i used 20pe with its TTM Profits.
These are just guide lines . there is no hard and fast rule that stock cannot trade above or below this level.
Technically Stock has given Flag & Pole Breakout hence same view was shared.
Thank you so much