Buy or Sell? Know which stock is best pick today, Sensex above 200 pts
At around 09:54 hours, Sensex was trading at 35,719.65, above by 206.51 points or 0.58%, whereas Nifty 50 was up by 50.40 points or 0.47%, trading at 10,736. In pre-market opening, the Sensex was trading between 35,500 to 35,600-level.
It was a very good start to the trading session today on Dalal Street with Sensex trading above by 200 points and Nifty 50 up 50 points. At around 09:54 hours, Sensex was trading at 35,719.65, above by 206.51 points or 0.58%, whereas Nifty 50 was up by 50.40 points or 0.47%, trading at 10,736. In pre-market opening, the Sensex was trading between 35,500 to 35,600-level. Meanwhile, the Indian Rupee was trading at 70.865 below 0.020 points or 0.04% against US dollar. Many would surely want to take advantage of such a soaring opportunity from benchmark indices. It needs to be noted that, apart from global peers, crude oil prices, rupee and Q2FY19 corporate performance, the Indian markets will also react on the back of India's GDP numbers, which will be presented this Friday for Q2FY19. The GDP numbers are seen to come in good during second fiscal of FY19, hence, one can expect the market to do well following a few days of trading session this week.
As an investor, here's a list of stocks where you should buy or sell stocks today, as per noted analysts.
Astral Poly - CLSA has maintained ‘Buy’ with a price target of Rs 1,225. According to the agency, Rex acquisition adds a new growth dimension. Adhesives operating leverage benefits to drive margin expansion. Pipes business showing steady growth.
Yes Bank - Analysts at UBS have maintained ‘Sell’ with a price target of Rs 150. The analysts believe NPL recognition has yet to take place and is not fully priced in. Catalysts are - RBI divergence report, track-record and pedigree of new CEO and next fund raising. Hence, it is believed the risk-reward is still unfavourable in Yes Bank.
Reliance Industries - Analysts at Jefferies have given underperform rating to RIL with target price of Rs 935. Analysts there believe that impressive telecom RMS Gains again but liability rising too. They add, gross debt in retail has also more than trebled since March 2018 and valuations are rich at 11.5x Adj FY19e EV/EBITDA.
RBL Bank - Motilal Oswal has maintained a Buy call with target price of Rs 600. According to Motilal Oswal, expect loan CAGR of 35% over FY18-20E; expect stable/improving margins due to improving asset mix & continued asset re-pricing. Also the bank has guided for FY19E exit RoE of 13.5% vs 11.6% in 2QFY19 which is a good sign.
On the other hand, another analysts from Kotak Institutional Equities have maintained a sell call on RBL Bank with target price of Rs 500. In Kotak's view, there is limited room to remain positive at CMP. Whereas risk unchanged with higher dependence on earnings via unsecured loans. Further, risk-reward is unfavorable though signs of a weak retail cycle not visible yet.
Arvind - In Axis Capital's view demerged Arvind’s revenue CAGR At 12%; fair value Rs 157. Expect 12% revenue & 20% EBIDTA CAGR Over FY19-21. Also demerged company may post FY19 Rev/EBIDTA/PAT Of Rs 7,400 Cr/`830 Cr/`320 Cr. Finally, demerged entity will now invest cash flows to grow textiles Biz.
India Commercial Vehicles - According to Citi research, expect 7-11 percent decline in commercial vehicle sales over FY20-21 as history is not on the side of the cycle.The agency has listed out few concerns. They are - rising interest rate, difficulty in getting credit, deceleration in toll road collection and duration of up-cycle, BS-VI transition, inability to push through fuel price hikes.
Retail sector - In Jefferies views, continue to prefer apparel retailers to grocery. Within strong execution bucket, Trent only buy, Hold on Avenue Supermart & V-Mart. Further, Buy call on AB Fashion, Future Life & Shoppers Stop is given. Amid rising complexity, maintain Hold on Future Retail.
Auto sector - CGS-CIMB Securities have upgraded sector to OW with Maruti as top pick. Easing macros (fuel price, Rs, NBFC liquidity crunch) could revive near-term vehicle demand, as cost of owning vehicle eases by 4% mom in Nov. Have add ratings on Mahindra, Tata Motors & Hero Motocorp.
If you are planning to buy or sell a stock, then it is advisable to take note of the above mentioned key factors.
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