Indian stock alert

INDIA

CLOSING UPDATE: ITC decreased 0.2%, led Cigarettes, Tobacco products sector lower all day 21 July 2017 17:53 IST

NEWS BITES - BRIC

This is an end of day Alert, produced after today's Indian market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

ITC, India's largest cigarettes, tobacco products company by market capitalisation, has decreased 0.2% to trade at Rs288.90 vs. the Cigarettes, Tobacco products sector which weakened 132.2 points (or 0.2%) to 69,439.5. Representing a weighting of about 96.8% of the sector, the stock accounted for the loss. The shares have underperformed 98% of the market in the past week. Trading volume was 1.1 times average at the end of the day. Compared with the BSE SENSEX Index which rose 56.4 points (or 0.2%) in the day, this represented a relative price change of -0.4%.

Technical indicators complementing today's significant downtrend:

+ The negative 3.29 MACD (Moving Average Convergence Divergence) indicator suggests a bearish signal.

+ The price plummeted 14.3% in the last week and tumbled 6.5% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

+ Price/Earnings/Growth of 7.36 [3.4]

Other Bearish Signals include:

+ Tobin's Q Ratio is 6.3. Compared with the rest of the market the stock is overvalued and ranks in the bottom 6% of stocks by value of Q Ratio.

Note

ITC today is at a discount of 21.4% to the 12-month high of Rs367.70 on 10 Jul, 2017. It is at a premium of 32.1% to the 12-month low of Rs218.70 on 26 Dec, 2016.

Bullish Signals:

In the last three months the stock has hit a new 52-week high eleven times, pointing to a significant uptrend.

Total Liabilities/EBITDA of 0.5 is comfortably below the Joseph Piotroski benchmark of <5.

Net profit margin has averaged 17.4% in the last 3 years. This is considered superior and suggests a high margin of safety.

The Brand Value represents 5.2% of the estimated Enterprise Value of Rs3,490.3 billion (US$54.1 billion).

As per the Du Pont analysis, Return on Equity is high at 22.6%. Also, this has improved from 22.3% last year.

TODAY'S ALERTS

Afternoon Alert: ITC decreases 0.2%, leads Cigarettes, Tobacco products sector lower

21 July 2017 13:01 IST

ITC Ltd. (NSE:ITC) has decreased 0.2% to trade at Rs288.90 vs. the Cigarettes, Tobacco products sector which weakened 138.9 points (or 0.2%) to 69,432.8. Representing a weighting of about 96.9% of the sector, the stock accounted for the loss. The shares have underperformed 99% of the market in the past week. Trading volume was 22% of average so far today.

Morning Alert: ITC increases 0.3%, leads CNX FMCG index higher

21 July 2017 10:18 IST

ITC Ltd. (NSE:ITC) has increased 0.3% to trade at Rs290.50 vs. the CNX FMCG index which strengthened 51.8 points (or 0.2%) to 25,814.8. Representing a weighting of about 34.7% of the index, the stock accounted for 60.0% of today's gain. Trading volume was 11% of average so far today.

RECENT ALERTS

CLOSING UPDATE: ITC decreased 0.7%, led market lower

20 July 2017 17:30 IST

ITC, India's largest cigarettes, tobacco products company by market capitalisation, has decreased 0.7% to trade at Rs289.50 vs. the BSE SENSEX Index which weakened 51.0 points (or 0.2%) to 31,904.4. Representing a weighting of about 6.6% of the index, the stock accounted for 27.5% of today's loss. The shares have underperformed 99% of the market in the past week. Trading volume was 1.4 times average at the end of the day. Compared with the BSE SENSEX Index which fell 51.0 points (or 0.2%) in the day, this represented a relative price change of -0.5%.

Afternoon Alert: ITC decreases 0.5%, leads CNX FMCG index lower

20 July 2017 12:58 IST

ITC Ltd. (NSE:ITC) has decreased 0.5% to trade at Rs289.85 vs. the CNX FMCG index which weakened 123.7 points (or 0.5%) to 25,792.0. Representing a weighting of about 34.8% of the index, the stock accounted for 39.8% of today's loss. The shares have underperformed 99% of the market in the past week. Trading volume was 30% of average so far today.

ITC Ltd. (NSE:ITC; BSE:ITC; NS:ITC; IN:ITC)

ISIN: INE154A01025

PermID: 4295872425

Source: www.BuySellSignals.com