Fundamental & technical analysis bec bagalkot
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Transcript of Fundamental & technical analysis bec bagalkot
FUNDAMENTAL & TECHNICAL ANALYSIS ON AUTOMOBILE & STEEL SECTOR
PRESENTED BY:
BABASAB PATIL (2BA09MBA07)
Company Profile
Geojit, a joint venture with Kerala State Industrial Development
Corporation Ltd.
Geojit Securities Limited was a partnership firm, with two partners Mr.
C.J. George and Mr. Ranjit, under the name and style of Geojit & in
1988 the Company established.
Geojit’s shares are listed on the Bombay Stock Exchange.
More than 1000 professionals are operating through over 250 offices
across the country provide services to Prominent institutional clients
include banks, mutual funds and other institutions such as UTI and
insurance companies
Research MethodologyTITLE OF THE PROJET: Fundamental & Technical Analysis On Automobile
& Steel Sector.
OBJECTIVES OF THE STUDY:
To analyze individual company scrips by considering the factors relating to the
economy, industry and the respective company.
To know which securities to be bought and which securities not to be bought
To know which securities to be sold and which securities not to be sold.
To study the movement of the stock price of the companies selected for the study.
Predicting the future value of the stocks of the companies selected for the study
.
CONT……
PRIMARY DATA :
Primary data is collected through direct interactions with the Branch
Manager, Employees and clients of Geojit BNP PARIBAS, Ltd
SECONDARY DATA :
Secondary data is collected from the annual reports of the company,
relevant text books on the subject matter and company’s official
website.
TOOLS:Moving Average Method.Candlestick Charting.
Fundamental Analysis
CONSISTS OF 3 STEPS
ECONOMIC ANALYSIS
INDUSTRY ANALYSIS
COMPANY ANALYSIS
Key financial ratios analysis of MARUTI-SUZUKI
Key financial ratios analysis of TATA MOTORS
Key financial ratios analysis of TATA STEELS
Key financial ratios analysis of JINDAL STEELS
Technical AnalysisTECHNICAL ANALYSIS [ 10 DAYS MOVING AVERAGE METHOD]
Company: Maruti-Suzuki.
Sector: Automobile
Interpretation:
In this Graph, we can see that the moving average of MARUTI-SUZUKI has been
decreased on May,Augast & March this shows the buy signal and on June &
September prices are moved up it’s better to sell. The cross over is at below the closing
price the moving average is continuing in the down trend so, it is giving clear picture of
future upward movement of the scrip. This Graph provides a message to the share
holders that it is a right time to buy the Stock of MARUTI-SUZUKI.
TECHNICAL ANALYSIS [ 10 DAYS MOVING AVERAGE METHOD]
Company: Tata Motors.Sector: Automobile
Interpretation:
In this Graph, we can observe that moving Average of TATA MOTORS
Stock has been increased on July to January. So it’s right time to sell and on
May & February price is falling down with the moving average, it is giving
clear picture of future movement of the scrip. This Graph provides a message
to the holders that it is a right time to buy the Stock of TATA MOTORS
because the scrip closing price crossing the moving average from below.
TECHNICAL ANALYSIS: [10 DAYS MOVING AVERAGE METDHOD]Company: TATA steelsSector: Steel Sector
Interpretation:
Here, the Moving Average is almost equal to the Actual line. In this Graph, we
can observe that moving Average of TATA STEEL Stock has been decreased on
June, September & on March. This indicates the buy signal to the investors and
on July to October right time to sell the stock So. This Graph provides a message
to the investor that it is a right time to buy the Stock of TATA STEEL because of
downward trend of moving average
TECHNICAL ANALYSIS: [10 DAYS MOVING AVERAGE METHOD]
Company: Jindal steels
Sector: Steel Sector
Interpritation:
In this Graph, we can observe that moving Average of JINDAL STEEL
stock has been decreased. So, it is giving clear picture of future movement of
the scrip. This Graph provides a message to the investor that it is a right time to
buy the Stock of JINDAL STEELS on June. July & in March, and, sell on
September to October if we observe the trend of this graph then we can also
notice that Moving Average line has been decreasing, so it is also a right time
to buy the stock.
Candlestick ChartTECHNICAL ANALYSIS: [By Using Candle Stick Charting]
Company Name: MARUTI-SUZUKI
Interpretation:
In the above Candle Stick Chart it is clear that Stock Price of MARUTI-
SUZUKI is in the fluctuating. Simply Share Prices of MARUTI-SUZUKI is
moving up & down. It indicates that the investors are becoming both bullish &
bearish. Here, as far as MARUTI-SUZUKI is concerned,. It is a right time to buy
the Scrip.
TECHNICAL ANALYSIS: [By Using Candle Stick Charting]
Company Name: TATA MOTORS
Interpretation
In the above Candle Stick Chart it is clear that Stock Price of TATA MOTORS
has been decreasing. Simply Share Prices of TATA MOTORS is moving down. It
indicates that the investors are becoming more bearish than bullish. Here, as far
as TATA MOTORS is concerned, bearish market trend is taking place. It is a
right time to buy the Scrip.
TECHNICAL ANALYSIS: [By Using Candle Stick Charting]
Company Name: TATA STEEL
Interpretation:
From the above Candle Stick Chart it is clear that Stock Price of TATA
STEEL is moving down. Here, we can observe lot of volatility in stock price.
The Bearish trend is taking place. It indicates that the investors are becoming
more bearish than bullish. At present Situation Bearish Trend is going on. It is a
right time to buy the Scrip
TECHNICAL ANALYSIS: [By Using Candle Stick Charting]
Company Name: JINDAL STEEL
Interpretation:
From the above Candle Stick Chart it is clear that Stock Price of JINDAL
STEEL is falling down. Here, we can observe lot of volatility in stock price.
The Bearish Trend. It indicates that the investors are becoming more bearish
than bullish. At present Situation Bearish Trend is going on. It is a right time
to buy the Scrip.
Findings• Fundamentally, financial performance of these companies in respect of sales and
profit is good.
• A profit of MARUTI-SUZUKI 1,189.10, TATAMOTORS 1,528.88, TATA
STEEL 5,046.8, JINDAL STEEL 856.53 & TATA STEEL Net Sales is
24,940.65..
• MARUTI SUZUKI Intrinsic value of company stock is undervalued that is 0.25
• Intrinsic value of TATA Motors stock is undervalued that is 0.31.
• Intrinsic value of TATA Steel company stock is undervalued that is 0.18.
• Jindal steel ratio indicates that, the intrinsic value is and the current market price
of the share is it shows that company’s stock is undervalued that is 1.06.
• 10 days moving Average of MARUTI SUZUKI Stock has been
decreased. .The moving average is continuing in the down trend
TATA MOTORS 10 days moving Average trend is decreasing and. The moving
average is continuing in the down trend
10 days moving Average of TATA STEEL chart shows a message to the investor
that its right time to buy the Stock of TATA Steel because of downward trend of
moving average
By the analysis 10 days moving Average of JINDAL STEEL Stock has been
decreased. So it is giving clear picture of future movement..
Candle stick chart of MARUTI SUZUKI. We can see that the stock price has been
decreasing. Simply Share Prices of Maruti-Suzuki is moving down. It indicates that
the investors are becoming more bearish than bullish. And also the TATA
MOTORS, TATA STEELS & JINDAL STEELS stocks are in the downward trend.
Here also the investors are becoming more bearish than bullish.
Suggestions It is better to go for Long term Investment rather than the Short term Investment.
Because it is less risky and also provides sufficient return
Holders of share may reduce risk by selling the stock when the moving average
trend is start to moving downwards
And investors have to analyze the crossover between the closing price & moving
average trend. Whether crossover of moving average is on below the closing price or
on above the closing price.
All four companies moving average in the downward trend and so it’s right time to
buy the shares of all four.
And also the candle stick charts of all four companies are showing the bearish trend
than the bullish.
ConclusionAs we all know India is one of the fastest growing economies in the
world. India is consistently achieving growth in automobile sector as well
as steel. Today due to advancements in technology there is higher growth
for steel industry because in India Infrastructure Sector is booming. The
Indian Steel Industry plays a significant role in Indian Economy.
The Indian automobile industry is going through a phase of rapid change
and high growth. With new projects coming up on a regular basis, the
industry is undergoing technological change. The major players are
expanding their plants and focusing on mass customization, mass
production.
THANK YOU