amankavi
Long

BEPL : Could be buy on dips

NSE:BEPL   BHANSALI ENG POLYM
Scrip can be seen taking crucial support at 158 and has formed cup and handle formation. Any pullback could be opportunity to buy fundamentally sound company. I think once it comes out of the formation after some pullback, Should surge up to greater highs

MACD bearish convergence can occur when the moving averages move towards each other and can pullback the scrip near support levels due to short selling or shortes

Pros:
1) Debt free (The company recently made announcement that the pledged equity shares of promotors have been released in tune of 5cr.)
We are also encouraged by recent promoter activity (sequential improvement in share holdings), debt pay-off (zero debt company) and the release of pledge shares.
https://www.bseindia.com/xml-data/corpfiling/AttachHis/54aa81b4-bc89-45ce-a733-67d147bde98c.pdf
2) Auto sector booming which would eventually benefit the company in long run
Bhansali Engineering Polymer's ( BEPL             ) improving earnings trajectory, strengthening balance sheet and traction in capacity expansion adds to our conviction on the stock.
https://www.moneycontrol.com/news/business/moneycontrol-research/bhansali-engineering-bhansali-engineering-accumulate-with-a-long-term-view-2549753.html

However, Higher other expenses (63% QoQ) due to a forex loss ( Rs             6.82 crore) and debtor write-off ( Rs             8.56 crore) dented net profit sequentially (-2% QoQ). but the company should recover for it in next quarter

Cons:
1) P/B on higher side: 13.99
2) Stock P/E: 37.28 on higher side
3) P/S on higher side
https://www.screener.in/company/BEPL/

however, seeing the growth history, The cons can be overshadowed by long term investors showing conviction in the company
Comment: Also, Some positive insights here about the company :

https://economictimes.indiatimes.com/markets/expert-view/indian-bull-market-is-not-over-but-it-hinges-on-investment-cycle-coming-back-chris-wood-clsa/articleshow/63797561.cms

https://www.valueresearchonline.com/stocks/snapshot.asp?code=510&utm_source=direct-click&utm_medium=stocks&utm_term=&utm_content=Bhansali+Engineering+Polymers&utm_campaign=vro-search

(Essential checks ratings show the company is safe to invest in terms of solvency and good performance in past 9 years)
Comment: *Past 1 year
Comment: Might see bearish crossover probably due to profit booking which can take the scrip towards crucial support levels - 165-170 henceforth, making it a great investment opportunity at right price levels

When the MACD is negative (comes below the zero line) this signals that the shorter term is below the longer, which suggests that the current price has downside momentum

Comment: I think it has started to come in right price entry range to enter :)
Trade active
Trade active: Can we see bullish reversal from here due to several signs --

1) Doji star candlestick at downtrend - Upon seeing a Doji in an overbought or oversold condition, an extremely high probability reversal situation becomes evident. When a Doji appears, it is demonstrating that there is indecision now occurring at an extreme portion of a trend.
2) Oversold situation - RSI
3) Histogram of MACD completing its formation from below

Trade active: As the scrip has cracked till crucial support levels however, last candlestick can be seen taking hammer alike position with bulls managing to push the price up although it has turned bearish.

Liked that Promoters have started buying good quantities from open market :

https://www.bseindia.com/stock-share-price/stockreach_insidertrade_new.aspx?scripcode=500052&expandable=2

EN English (IN)
EN English
EN English (UK)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
SV Svenska
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out