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Bharat Electronics breakout1. Buy or Sell at your own risk 2. Don't risk more than 1%-2% of your capital as stop loss 3. Position Size formula:- Stop Loss Amount/(Buy Price-Initial Stop Loss Price) 4. Sell on initial stop loss hit or daily RSI closing below 40 5. Some other ways to sell stocks can be a. 25% or 50% up in three weeks or less b. Weekly tailing tops with high volume c. Exhaustion gaps d. Heavy daily volume without further upside e. Largest one day price drop after a consolidation since November 2021, NSE:BEL has given a high volume breakout today. December quarterly sales were up 59% and December quarterly profit were up 114%. Buy with a stop just below Rs.216. Other fundamentals: 1. Average ROE call last 3, 5, 10 years have been greater than 15%. 2. Debt to equity at 0.00 (less than 1 is good), Interest Coverage at 559 (greater than 3 is good), FCF to CFO at 47%. 3. FII stake increased from 7.86% in June 2020 to 17.21% in December 2021. 4. press release issued on April 1 2022 states that Navratna Defence PSU Bharat Electronics Limited (BEL) has achieved a turnover of about Rs. 15000 Cr (Provisional & Unaudited), during the Financial Year 2021-22, against the previous year's turnover of Rs. 13,818 Cr, despite challenges posed by the COVID-19 pandemic and global semiconductors shortage. BEL's Order Book as on April 1, 2022, is around Rs. 57000 Cr. In the year 2021-22, BEL secured significant orders worth (approx.) Rs. 18000 Cr. Some of the major orders acquired during the year were Avionics Pack for Light Combat Aircraft (LCA), Advanced Electronic Warfare Suite for Fighter Aircraft, Instrumented Electronic Warfare Range (IEWR), Electronic Voting Machine (EVM) & Voter Verifiable Paper Audit Trail (WPAT), Cdr TI- T90 Tank, COMINT System, Radar Warning Receiver (RWR) & Missile Approach Warning System (MAWS) for C-295 Programme, Electronic Gun, IoT Gateway, etc. 5. Among the defensive stocks that are characterised by strong balance sheets, quality earnings, and reasonable growth, Bharat Electronics (BEL) offers a good value in the light of the volatility in the market and its attractive valuations. At the current market price of Rs 235, it is trading at 18 times its fiscal 2023 estimated earnings along with a dividend yield of close to 3 percent. Valuations also look reasonable in the light of improving business and growth opportunities.
NSE:BELLong
by akashbothra
BLS international breakout1. Buy or Sell at your own risk 2. Don't risk more than 1%-2% of your capital as stop loss 3. Position Size formula:- Stop Loss Amount/(Buy Price-Initial Stop Loss Price) 4. Sell on initial stop loss hit or daily RSI closing below 40 5. Some other ways to sell stocks can be a. 25% or 50% up in three weeks or less b. Weekly tailing tops with high volume c. Exhaustion gaps d. Heavy daily volume without further upside e. Largest one day price drop After a long consolidation since September 2017, NSE:BLS has given a high volume breakout yesterday. The breakout came after a rating update by CRISIL which has reaffirmed its ‘CRISIL A-/Stable/CRISIL A2+’ ratings on the bank facilities of BLS International Services Ltd (BLS; a part of the BLS International group). During the 3rd quarter 2021-22 quarterly sales went up by 51%, quarterly profit went up by 102%, TTM sales went up by 52% and TTM profit went up by 178%. NSE:BLS is a buy with a stop just below Rs.291. Other fundamentals: 1. BLS International Services Limited (BLS), a part of the four-decades-old BLS Group with a global presence and diversified range of services, counts amongst the top three global players in visa application outsourcing, with its presence in visa/ passport/ consular/ citizen services with 62 countries and 36 government clients and provides services through 2,325 offices worldwide. 2. BLS international expects a pickup in VISA demand with India deciding to resume international flight services and decline in COVID-19 cases. 3. Business risk profile continues to be driven by the strong market position with a presence in over 60 countries and presence in diversified revenue segment. Accordingly, an operating income growth is estimated in fiscal 2022 to over Rs 800 crore supported by addition of new orders and customers after experiencing a sharp decline of around 40% during FY21 on account of pandemic induced challenges on business demand. Improving scale is expected to support growth in operating margins to around 13% in FY22 (against 11.1% a year ago). 4. Overall, liquidity profile continues to remain supported by absence of debt obligations and healthy unencumbered cash and bank balances of over Rs 300 Cr as on 31st Dec, 2021. 5. CRISIL Ratings had upgraded its long-term rating on the bank facilities of BLS to ‘CRISIL A-/Stable’ from ‘CRISIL BBB+/Stable’ and reaffirmed the short-term rating at ‘CRISIL A2+’ on November 03, 2021. 6. The group offers services in visa processing, e-governance and banking correspondence. Apart from diversification into new business segments, addition of new clients in these segments has further strengthened the market position of the group. The group now covers over 46 missions, compared to only seven a few years back. In e-governance services, the group has three clients presently, compared to only one client two years ago; in the banking correspondent segment, Bank of Baroda has been added alongside the existing client - State Bank of India. 7. The financial risk profile remains robust supported by strong net worth of over Rs 500 Cr expected as on 31st Mar, 2022 and absence of debt in the capital structure resulting in expected nil gearing ratio. Debt protection metrics remained robust owing to low reliance on external debt, leading to expected interest coverage at over 60 times in fiscal 2022. In the absence of any debt funded capex plan, the financial risk profile is expected to remain robust over the medium term. 8. In the absence of any repayment obligation over the medium term, the entire cash accrual – projected at Rs 75-80 crore per annum – will aid financial flexibility. The fund-based bank limit was unutilised and the small limit is kept only for backup. Current ratio is estimated at around 11 times as on March 31, 2022, with healthy unencumbered cash balance at over Rs 300 crore as on December 31, 2021. 9. FII stake increased since September 2021 from 0.72% to 1.47%.
NSE:BLSLong
by akashbothra
Ganesh Benzoplast Breakout 1. Buy or Sell at your own risk 2. Don't risk more than 1%-2% of your capital as stop loss 3. Position Size formula:- Stop Loss Amount/(Buy Price-Initial Stop Loss Price) 4. Sell on initial stop loss hit or daily RSI closing below 40 5. Some other ways to sell stocks can be a. 25% or 50% up in three weeks or less b. Weekly tailing tops with high volume c. Exhaustion gaps d. Heavy daily volume without further upside e. Largest one day price drop After a consolidation since 2017, BSE:GANESHBE has given a high volume breakout on Friday. Buy with a stop at Rs.105. Other fundamentals: 1. According to a news report published on 11th March, Ganesh Benzoplast Limited along with Singapore based Golden Agri International Enterprises Pte. Ltd., K N Agri Resources Ltd and other investors, through– Bluebrahma Clean Energy Solutions Pvt Ltd. – has ventured into production of Ethanol and Extra Neutral Alcohol. ( www.livemint.com ) 2. 10 year sales CAGR at 10% and profit CAGR at 75%. 3. Debt to equity at 0.18 (less than 1 is good), Interest Coverage at 15.8 (greater than 3 is good), FCF to CFO at 60%. 4. From 287 crore in 2012, debt came down to 45 crores in September 2021. 5. Promoter holding has increased by 1.27% over the last quarter.
BSE:GANESHBELong
by akashbothra