Fundamental views:
1. Cupid is engaged in business of dealing, marketing and manufacture of rubber contraceptives and allied prophylactic products.
2. It is market leader of its industry with well known brand-named (durex).
3. Company has reduced debt and almost free from its debt.
4. Company is maintaining good ROE of 30% from last 3 years.
5. Company has been maintaining a healthy dividend payout of 23.62%.
6. Debtor days have improved from 85.89 to 64.92 days.
7. Company is consistently in profit.
8. P/E ratio is 11% where as industry P/E is 26.
9. P/B ratio is only 2.25.
10. Market cap to sales is only 1.91%
Technical views:
1. Stock price is sideways from last 5 years.
2. Stock is going to inverted head and shoulder pattern on monthly chart.
3. Monthly RSI is traded between range of 40-60 from last few years.
4. True strength indicator shows strength on monthly chart.
5. Volume is completely dried from last 4 months.
Hence we can say that this stock has great potential to become multibagger. stock price did not give any returns to its investor. Company has strong fundamentals and undervalued at that time. if stock breaks 250 level on monthly chart then it will go to the level of 500. Right shoulders of the pattern have completed their bars equal to the Left shoulder of the pattern. so it seems like completed their head and shoulder pattern on monthly chart. Long term investor can accumulate this stock from now and if it breaks 250 level then it may double its share price. or you can hold it long for multifold returns.
DISCLAIMER: This is my personal view only for educational purpose. i might have this stock in my portfolio. please do research your own or can consult with your financial advisor before investing and trading.
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