apollo tricoat tubes ltd. having best fundamentals in steel sector.
fundametals views :
1. company is almost debt free.
2. company has delieverd good profit groth over the last 5 year of 537% CAGR.
3. company has good ROE and ROCE of above 25% over the last 3 years.
4. positive cash flow is there from last couple of years.
5. debtors days are decreased.
6. unpledged share holding is above 50%
7. company is trading at 14 times of its book value, which is little bit expensive.
8. company EPS is more than industry PE so its a expensive bet at that time.
Technical views :
1. company gives multifold return in last 2 years which is of more than 10 times.
2. weekly and mothly RSI is above 60.
3. true strength indicator is postive in daily, weekly and monthly timeframe.
4. volumes are contract but prices are increasing which shows correction in near term.
5. near term support is on 850 level.
hence we can say that company is outperforming its peer group. but at that level it is preety much expensive. fundamentals are too strong, it can be a multibeggar.
In SHORT TERM, stock may take support on 850 level. in upside resistance at level of 950.
For LONG TERM prospective, stock may take support on 640 to 670 level. if anyone finds that stock on 640-670 level grab that for longterm. it has the potential to be multibeggar.
DISCLAIMER : this stock we discussed here is only for educational purpose. i don't have any personal interest. i may or may not have this stock in my portfolio. please do research your own or consult with your financial advisor before investing.