20% upside possible in TATA Group (FMCG) Stock in short termHello i hope you all will be doing good in your life and your trading as well, today i have brought a stock which is belongs from TATA Group and stock in from FMCG sector. Stock is forming narrow Contractions which comes in volume contraction Pattern. Soon stock can give breakout of the zones which i have marked above in chart. Stock is good to go as positionally for short term to medium term. I will explain about this VCP method in next paragraph.
The Volatility Contraction Pattern (VCP) is a technical chart pattern used in stock trading to help identify potential buying opportunities and market breakouts. It's based on the idea that a period of low volatility is likely to follow a prolonged consolidation phase.
What it is?
A chart pattern that indicates a stock is preparing for a breakout.
How it works?
A price consolidation phase, where the price moves within a narrow range, followed by a breakout or breakdown.
Characteristics?
A series of smaller contractions, each tighter than the last, ideally with 2-4 contractions.
How it's created?
A supply and demand characteristic, created by institutions accumulating within a base.
How it's used?
To identify potential entry points for trades.
Note:- I have taken help of Google to explain about this pattern.
Tata Consumer Products Ltd. is one of the leading companies of the Tata Group, with presence in the food and beverages business in India and internationally. It is the second largest tea company globally and has significant market presence and leadership in many markets. In addition to South Asia (mainly India), it has presence in various other geographies including Canada, UK, North America, Australia, Europe, Middle East and Africa.
Market Cap
₹ 1,20,297 Cr.
Current Price
₹ 1,216
High / Low
₹ 1,254 / 844
Stock P/E
90.6
Book Value
₹ 162
Dividend Yield
0.64 %
ROCE
10.6 %
ROE
8.32 %
Face Value
₹ 1.00
Industry PE
30.1
Debt
₹ 3,477 Cr.
EPS
₹ 11.5
Promoter holding
33.8 %
Intrinsic Value
₹ 188
Pledged percentage
0.00 %
EVEBITDA
46.1
Change in Prom Hold
0.29 %
Profit Var 5Yrs
27.0 %
Sales growth 5Years
16.0 %
Return over 5years
34.4 %
Debt to equity
0.22
Net profit
₹ 1,167 Cr.
ROE 5Yr
6.83 %
Profit growth
15.9 %
Earnings yield
1.81 %
PEG Ratio
3.36
Disclaimer:- Please always do your own analysis or consult with your financial advisor before taking any kind of trades.
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Thankyou.
