FUN-TECH Analysis of E.I.D. Parry- CMP - 405.95
Rs
Company Basic Information - East India
Distilleries Parry Limited is an Indian public company headquartered in
Chennai, Tamil Nadu that has been in business for more than 225 years. It has
many firsts to its credit, including the manufacturing of fertilizers for the
first time in the Indian subcontinent
Sector -
Agriculture
Industry - Sugar
Market Cap - 7193.01 Crore ( Small Cap )
Impacting
News
1.
Increasing
Capacity by 40% in Andhra Pradesh which cost 92.5 Crore
2.
5%
High net sales resulted in 115% jump in profit.
Technical Views
1.
Price
is consolidating from 11 Aug 2021.
2.
In a
Short Time frame , we get to see a Triangle pattern in formation which may
result in little downfall as of now , but in Longer Time frame the stock is
playing inside a parallel lines working as a harmonic pattern
3.
Volume
is contracting gradually
4.
Sugar
Industry is HOT right now and it would continue to do so
5.
Price
is in Median of Bollinger Band, RSI is looking bullish and MACD too molding
towards upside.
Fundamental
Views
1.
Market
price is less than its intrinsic value , which makes it undervalued right now.
2.
Its
Price Earning Ratio is 16.07 where as Industry's Price to Earning Ratio is
50.49.
3.
Its
Price to Book Ratio is 1.05 where as Industry's Price to Book Ratio is 9.34
4.
Mutual
Fund increased holding in last quarter by 1.54%.
5.
Over
the last 5 years free cash flow growth has been 80.65% vs Industry Average of
40.77.
1.
FY-18-19 - > -404.50
2.
FY-19-20 - > +1621.13
3.
FY-20-21 - > +4436.95
Forecasting For FY-21-22
1.
Return expectation - 30% Upside is expected
2.
Revenue Growth - 15% Upside is expected
3.
Earning Growth - 90% Upside is expected
Action Plan
1.
Investment - Buy some here and add in DIP till 370 and stop at 350, hold
it for 3-6 months for Target of 650 .
2.
Trading - Buy some here and add in DIP till 390 and stop at 350 ,
hold it for 1-1.5 months for Target of 450-475-500-530.
For Chart Study
- https://www.tradingview.com/x/QemuikZr/
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