Unconventional setup & high risk trade
Fundamental View
DB Corp has said to be the third largest newspaper brand in India. During covid, newspaper distribution was a huge problem & many paper-print-based companies saw disruption in their business operations. Now when we are getting back to our normal routine, these media houses can see a re-rating because of the following reasons:
=> End of pandemic = more sales of newspaper
=> Pick-up in advertisements (push-marketing) as economic growth is slowing down across the globe.
=> Positive management commentary
=> High dividend payout
Major Investors: Promoter group, Nalanda, HDFC small cap fund (Source: Screener.in)
Graham Number: Rs 163
P/E: 9.48
Latest transcript:
bseindia.com/xml-data/corpfiling/AttachHis/e76717df-bc08-4e00-ae3f-3d810562d0b1.pdf
Technical
=> The stock has been in a downtrend since 2018 & has formed a "falling wedge" on the weekly chart
=> In 2020, after the free fall of markets, the stock had made a bottom & has been making potential rounding bottom patters (These rounding bottoms look small but are made over a period of a month)
=> The stock has also witnessed extraordinary volumes from 2021, which indicates, probable accumulation by strong hands
=> 115 can act as short-term resistance
Trade:
High-Risk Trade: DB corp can be bought at CMP, i.e: Rs 105, SL of 20% & target of Rs 160 & can be revised later.
(Daily time frame analysis with - low risk, will be shared shortly )
DB Corp has said to be the third largest newspaper brand in India. During covid, newspaper distribution was a huge problem & many paper-print-based companies saw disruption in their business operations. Now when we are getting back to our normal routine, these media houses can see a re-rating because of the following reasons:
=> End of pandemic = more sales of newspaper
=> Pick-up in advertisements (push-marketing) as economic growth is slowing down across the globe.
=> Positive management commentary
=> High dividend payout
Major Investors: Promoter group, Nalanda, HDFC small cap fund (Source: Screener.in)
Graham Number: Rs 163
P/E: 9.48
Latest transcript:
bseindia.com/xml-data/corpfiling/AttachHis/e76717df-bc08-4e00-ae3f-3d810562d0b1.pdf
Technical
=> The stock has been in a downtrend since 2018 & has formed a "falling wedge" on the weekly chart
=> In 2020, after the free fall of markets, the stock had made a bottom & has been making potential rounding bottom patters (These rounding bottoms look small but are made over a period of a month)
=> The stock has also witnessed extraordinary volumes from 2021, which indicates, probable accumulation by strong hands
=> 115 can act as short-term resistance
Trade:
High-Risk Trade: DB corp can be bought at CMP, i.e: Rs 105, SL of 20% & target of Rs 160 & can be revised later.
(Daily time frame analysis with - low risk, will be shared shortly )
Trade ativo
Now trading at Rs 133, may book partial profit (First P&F target)Next target Rs 160, Sl can be trailed now as per avg buying price.
Trade ativo
Now trading at 305+ Level, the Next target should be all-time high.
Aviso legal
As informações e publicações não devem ser e não constituem conselhos ou recomendações financeiras, de investimento, de negociação ou de qualquer outro tipo, fornecidas ou endossadas pela TradingView. Leia mais em Termos de uso.
Aviso legal
As informações e publicações não devem ser e não constituem conselhos ou recomendações financeiras, de investimento, de negociação ou de qualquer outro tipo, fornecidas ou endossadas pela TradingView. Leia mais em Termos de uso.