5 Stocks to Buy Today: September 24, 2021
Every morning our analysts scan through the markets universe and chose the best momentum stocks to buy today. The stocks are recommended from a wider list of momentum stocks and only the best ones make it to the top 5 list. We also update on the performance of earlier recommendation every morning to help you with your trading journey. Read on to know the momentum stocks to buy today. The average holding period could be between 7-10 days on average.
List of 5 Stocks to Buy Today
1. Deepak Nitrite Ltd (DEEPAKNTR)
Deepak Notrite Stock Details for Today:
- Current Market Price: Rs.2,469
- Stop Loss: Rs.2,400
- Target 1: Rs.2,527
- Target 2: Rs.2,600
- Holding Period: 1 week
5paisa Recommendation: Our technical analysts analysed that the sideways move expected to end.
2. Alkem Laboratories Ltd (ALKEM)
Alkem Laboratories Ltd Stock Details for Today:
- Current Market Price: Rs. 3,963
- Stop Loss: Rs. 3,900
- Target 1: Rs. 4,015
- Target 2: Rs. 4,140
- Holding Period: 1 week
5paisa Recommendation: Our technical analysts observed positive momentum for this stock.
3. Apollo Hospitals Enterprise Limited (APOLLOHOSP)
Apollo Hospitals Enterprise Limited Stock Details for Today:
- Current Market Price: Rs. 5,084
- Stop Loss: Rs. 4,960
- Target 1: Rs.5,160
- Target 2: Rs. 5,380
- Holding Period: 1 week
5paisa Recommendation: Our technical experts expects further buying in the stock.
4. Dilip Buildcon Ltd (DBL)
Dilip Buildcon Ltd Stock Details for Today:
- Current Market Price: Rs. 554
- Stop Loss: Rs. 541
- Target 1: Rs. 567
- Target 2: Rs. 578
- Holding Period: 1 week
5paisa Recommendation: Recovery on Cards and thus making this stock as one of the best stocks to buy today.
5. STEL Holdings Ltd (STEL)
STEL Holdings Ltd Stock Details for Today:
- Current Market Price: Rs. 205
- Stop Loss: Rs. 199
- Target 1: Rs. 211
- Target 1: Rs. 222
- Holding Period: 1 week
5paisa Recommendation: Breakout on chart.
Share Market Today
SGX Nifty indicates flat to positive opening for Indian markets. SGX Nifty is at 17,848.20 levels, higher 6.20 points. (Updated at 7:52 AM).
US markets end with superb gains as markets see value buying coupled with short covering as events get discounted.
Dow Jones climbs 500 points while Nasdaq regains 15,000. Bond yields spurt to 1.43% even as the US$ index sees selling pressure to close at 93.08.
Asian markets opened in the green led by the Japanese 'Nikkei' which reopened after 2 days holidays to trade higher by over 500 points.
The rest of the region was muted as investors return after long holidays with Chinese macro news coupled with global volatility seeing low participation.
Disclaimer: The above report is compiled from information available on the public platforms.
Open Demat Account
Free Demat account, No conditions apply
- 0%* Brokerage
- Flat ₹20 per order
Weekly Stock Market Wrap Up - 20 - 24 September
Nifty closed on a positive note at 0.17% near 17853 levels on friday. The market breath was bearish with 20 advances against 30 declines. FMCG, MEDIA, METAL, PHARMA index ended the session on negative note while Nifty bank, AUTO, Financial services, IT, Realty ended the session in green zone.
Niftybank closed on a positive note near 37830.30 levels. ICICIBANK, hdfcbank, Kotak bank were top gainers while AUbank, IDFCFIRSTB, Bandhanbnk were top losers.
WEEKLY TOP3 GAINERS
WEEKLY TOP 3 LOSERS
Weekly Chart- Nifty50
Prices have continued to make higher highs higher lows formation from the last eight weeks and formed a bullish candle on the weekly chart for a second consecutive week. As long as we do not see a decisive close below the prior bars low the trend remains positive. Momentum indicators like RSI and MACD to stay positive and market breadth to improve, further strengthening a short-term bullish outlook.
Nifty has shifted its support zone to 17250, so any dip near mentioned support zone will be again fresh buying opportunity with keeping stop out level below 17250 zone & if said levels are held we may see the index march towards 18k mark, resistance is still placed around 18,000 zone where traders can lock some of their long gains.
Nifty find support near 17250 while 18000 will act as a psychological resistance.
WEEKLY CHART- BankNifty
20-day period Moving Average is acting as a brilliant support line and it has provided support at regular intervals. This suggest that one should be in the direction of the ongoing trend as far as this line is protected and any pullback towards the same should be utilized as buying opportunity.
Banknifty support is placed near 36200 while on higher side 38200 will act as an immediate resistance.
CALL FOR THE WEEK:
CALL : BUY WESTLIFE ABOVE 577 SL 555 TGT 610
WESTLIFE has been moving higher recently and intact in strong uptrend.
On the daily chart, in the previous session the stock formed a bullish candle. We can see rounding bottom pattern has formed. A close above 577 will confirm breakout of rounding bottom pattern. The stock is trading above the ichimoku cloud which indicates that the short term trend is bullish.
We have applied parabolic SAR which used to determine the price direction as well as draw attention to when the price direction is changing. A series of dots placed below the price which is deemed to be a bullish signal. Closest support is placed at 555.
In short, trend for this stock is positive. A break above 575 can lift price higher towards 610-615 as long as 555 holds on the upside.
Invesco wants EGM to Replace Punit Goenka from the Post of MD & CEO
The Zee Entertainment story appeared to have a happy ending last week after the merger announcement with Sony Pictures. The merger will give the combine a 27% market share of the Indian entertainment and sports market with a total of 75 plus channels.
However, the rift between the current management and its largest shareholder, Invesco, is far from over. That is, if you go by the latest letter written by Invesco to Zee.
The letter has called for an urgent EGM (extraordinary general meeting) of shareholders to decide on the removal of Punit Goenka from the post of MD and CEO of Zee. Invesco wants the EGM to be held before the conclusion of the Zee-Sony merger.
According to Invesco, the decision on an important aspect like merger should have been taken ahead of the merger announcement, which was not done.
In fact, Invesco has specifically pointed to the merger as a case of poor corporate governance. Invesco expected to be taken into confidence before announcing the merger. It felt structural management changes should have preceded the merger announcement.
When Invesco first wrote the letter to Zee Entertainment on 11th September, it had called for removal of non-independent directors and inducting 6 directors recommended by Invesco.
In the merged entity, Sony nominates majority of directors. For Invesco, the best way to prevent this happening is to insist on the EGM to vote on the proposal and the constitution of the board. Then Invesco wants the reconstituted board to consider the merger afresh.
Invesco had called for the removal of Punit Goenka and 3 other directors from the board. Invesco was of the view that with just 3.44% stake in the combined entity, the former promoter family was exercising influence disproportionate to the quantum of holdings.
Post-merger, Subhash Chandra's stake in the combine goes up to 4%, thanks to 2% non-compete payment to Zee promoters. The promoter family also has the leeway to enhance this stake from 4% to 20%. That is precisely what Invesco wants to avoid.
SEBI to Introduce Swing Pricing Mechanism for Debt Funds
In a move that was long awaited, SEBI rolled out swing pricing in the case of debt funds. The detailed process flow would be finalized by AMFI in consultation with the various asset management companies and placed for approval by SEBI. To understand the swing price mechanism, it is essential to understand how volatility will impact the NAVs of debt mutual funds and how it puts small retail investors at a disadvantage.
The new swing pricing framework will be officially effective from March 2022. To begin with, the facility of swing pricing would only be allowed in the event of large redemptions. In such cases, since the redemption is done at the previous dayâ€™s price the HNIs try and exit at an attractive NAV. This puts an additional burden on the existing unit holders as, quite often, the fund may have to sell less-liquid bonds at sub-market prices.
The whole purpose of Swing Pricing is to ensure that long term investors are not adversely impacted during big ticket redemptions. Normally, long term investment is recommended as the ideal strategy to investors in equity and debt funds. However, it has been observed that in the event of heavy redemptions the long term investors are the worst hit. Swing pricing will overcome this issue, but how will swing pricing work?
Here is how swing pricing works. For example, on the day of huge redemptions, some HNI investors may try and exit at the previous day's NAV. In the swing pricing mechanism, the exit NAV for the selling investor will be adjusted lower to reflect this loss so that the long term investors are not penalized. The idea is to avoid additional erosion for existing investors. If there is a huge cost in terms of liquidity, then outgoing investors bear the cost.
Swing pricing formula will only be applicable in the case of market dislocation. To begin with, the swing pricing mechanism will be introduced for all debt funds except money market funds, gilt funds and 10-year government security funds. SEBI will decide on what amounts to market dislocation while the AMFI will set the limits for triggering swing pricing.
Aditya Birla Sun Life AMC IPO : 7 Things to Know About
The Aditya Birla Sun Life AMC IPO opens on 29th September and closes on 01st October and will be an offer for sale of Rs.2,768.26 crore in the price band of Rs.695 to Rs.712. Since, there is no fresh issue, there will be no fresh funds coming into the company.
1) Out of the total IPO size of 388.80 lakh shares, Aditya Birla Capital will offer 28.51 lakh shares while Sun Life UK will offer 360.29 lakh shares. As a result, post the IPO, the holding of Aditya Birla Capital will be 50.01% while Sun Life holding 36.49%. The balance 13.50 lakh shares will be held by the public.
2) Aditya Birla Sun Life AMC is the fourth largest mutual fund in India in terms of AUM (Rs.2.76 trillion) and the largest non-bank sponsored AMC in terms of AUM size. Its average AUM has grown 14.55% CAGR over the last five years.
3) Aditya Birla Sun Life AMC operates through a network of 66,000 KYD-compliant mutual fund distributors and 240 national level distributors. The fund has an institutional AUM base of more than 50%, largely into debt and liquid schemes.
4) The fund offers a wide bouquet of 135 mutual fund schemes including 93 debt schemes, 35 equity schemes, 2 liquid schemes and 5 ETFs. It also has a strong presence in hybrids and passive funds, apart from Fund-of-Funds.
5) Net profit margins have expanded from 31.75% to 43.64% over the last two years on better cost management and lower asset impairment provisioning. However, top line has come under pressure due to SEBI insistence on lower expense ratios.
6) The fund will have a post-listing market cap of Rs.20,505 crore at the upper end of the price band of (Rs.695-Rs.712). This is at par with the valuation at which AMC deals have been done in the past.
7) Aditya Birla Sun Life AMC will be the fourth asset management company to list on the bourses after HDFC AMC, Nippon AMC and UTI Mutual Fund. The broad gains should come from the big trend toward financialization of savings.
Tata Group to Consolidate Airlines Under a Single Entity
Almost 73 years after Air India (formerly Tata Airlines) was taken away from the Tatas, the Tatas may be again chasing their dream of a consolidated national airline. The bidding for Air India is not over and Tata Group, Ajay Singh of SpiceJet and few PE funds are in the fray.
The verdict is not yet out, but the market is excited about the likely impact of a consolidated Tata airline. After the demise of Kingfisher and Jet Airways, there has been no competitive airline market in India.
If the Tatas win the bid for Air India, they could look at consolidation of airline interests under one head. Tata Sons currently holds 83.67% in Air Asia with the balance 16.33% held by Air Asia Malaysia Bhd, which plans to exit India fully by May 2022.
This stake in Air Asia India will be sold to the Tatas for $18 million. Of course, in the case of Vistara, Singapore Airlines owns 49% with Tata Sons holding the balance. Here the buy-in of Singapore Airlines will be required.
Why does the consolidation make business sense? If you look at the market share of airlines in India, the 3-month rolling average is 56% for Indigo, 12.5% each for Air India & Spice Jet, 9% for Vistara, 5.8% for Air Asia and 3.2% for Go Air.
Apart from Indigo, which leads the Indian market with its LCC model, other market shares are too dispersed. If the Tatas combine Vistara, Air Asia and Air India (subject to winning the bid), then the Tatas get a combined 27-28% of the Indian aviation traffic.
This puts them in a sweet spot to take on the leader, Indigo Airlines. Also, Tata Airlines will be the only airline to offer the complete bouquet of LCC and full service airlines under a consolidated banner. As part of its plan, the Tatas would like to get the buy-in of Singapore Airlines and also get them to partner the combined venture.
When Cathay Pacific, Thai Airways and Singapore Airline wanted to benchmark themselves on airline service standards 50 years ago, it was Air India, under JRD Tata, that they turned to. It is perhaps time to revive some of the glory.