Indian stock alert

INDIA

CLOSING UPDATE: ITC decreases gains by 0.2%, led Cigarettes, Tobacco products sector higher 21 September 2018 18:09 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 increased 1.4% to trade at Rs303.95 vs. the Cigarettes, Tobacco products sector which strengthened 919.4 points (or 1.3%) to 72,736.9. Representing a weighting of about 97.6% of the sector, the stock accounted for the gain. The shares have outperformed 85% of the market in the past three months. Trading volume was 1.4 times average at the end of the day. Compared with the BSE SENSEX Index which fell 279.6 points (or 0.8%) in the day, this represented a relative price increase of 2.2%.

Technical indicators complementing today's significant uptrend:

+ The positive 0.21 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ The 5.9% discount to 12-month high of Rs322.95 against the 23.9% premium to 12-month low of Rs245.32 suggests the stock continues to push for new highs.

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

Other Bullish Signals include:

+ Total Liabilities/EBITDA of 0.6 is comfortably below the Joseph Piotroski benchmark of <5.

+ Net profit margin has averaged 19.4% in the last 3 years. This is considered superior and suggests a high margin of safety.

+ The Brand Value represents 5.4% of the estimated Enterprise Value of Rs3,714.1 billion (US$51.7 billion).

+ As per the Du Pont analysis, Return on Equity is high at 20.9%.

Note

Bearish Signals:

The price dropped 3.0% in the last month.

Tobin's Q Ratio is 5.8. Compared with the rest of the market the stock is overvalued and ranks in the bottom 6% of stocks by value of Q Ratio.

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

Overvaluation:

Price/Earnings/Growth of 8.22 [4.2]

Year-on-Year Earnings Growth of 6.5% [7.8%]

TODAY'S ALERT

Afternoon Alert: ITC increases 1.7%, leads Cigarettes, Tobacco products sector higher

21 September 2018 13:03 IST

ITC Ltd. (NSE:ITC) has increased 1.7% to trade at Rs304.70 vs. the Cigarettes, Tobacco products sector which strengthened 1,138.4 points (or 1.6%) to 72,955.8. Representing a weighting of about 97.6% of the sector, the stock accounted for the gain. The shares have outperformed 87% of the market in the past three months. Trading volume was 1.2 times average so far today.

RECENT ALERTS

CLOSING UPDATE: ITC increases 0.4%, led Cigarettes, Tobacco products sector higher

18 September 2018 18:11 IST

ITC, India's largest cigarettes, tobacco products company by market capitalisation, has increased 0.4% to trade at Rs303.25 vs. the Cigarettes, Tobacco products sector which strengthened 196.7 points (or 0.3%) to 72,707.6. Representing a weighting of about 97.5% of the sector, the stock accounted for the gain. The shares have outperformed 83% of the market in the past three months. Trading volume was 70% of average at the end of the day. Compared with the BSE SENSEX Index which fell 294.8 points (or 0.8%) in the day, this represented a relative price increase of 1.2%.

Afternoon Alert: ITC increases 0.5% - outperforming 84% of stocks

18 September 2018 12:59 IST

ITC Ltd. (NSE:ITC) has increased Rs1.50 (or 0.5%) today to trade at Rs303.50 and has outperformed 84% of the market in the past three months. A price rise combined with a high relative strength is a bullish signal.

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

ISIN: INE154A01025

PermID: 4295872425

Source: www.BuySellSignals.com