it is the leading company of its sector and have a strong brand name.
Fundamental views :
1. company is almost debt free.
2. company gives health dividend to its investor.
3. company has good ROE and ROCE more than 15%.
4. company has positive cash flow.
5. company is trading 9 times from its book value.
6. sales growth is poor.
Technical views :
1. RSI shows the divergence on weekly chart.
2. on daily chart RSI crosses below the 60 level.
3. true strength indicatior is trading below 0.
4. volumes are shrinking when price moves in upward direction.
so we can that company has strong fundamentals with its brand name but valuation are high. from the technical prospective it is not showing the strength in upward direction. if you found this stock near 1000 level then that will be the good time to enter in stocks. if someone hold this for trading purpose then one should exit this stock once at this level.
strong resistance = 1275
strong support = 1020-1000 level.
DISCLAIMER : this is my personal view only for educational purpose. please do research your own or consult with your financial advisor before investing and trading.
