AARTIDRUGS trade ideas
Aarti Drugs Dares To Move Up. X/2 Entry in Aarti Drugs can be taken after closing above 467 and second X/2 entry can be taken after closing above 475. Targets will be 489 and 510. Long term target in the company will be 531. Stop loss in the company can be maintained at a closing below 440. Aarti Drugs Ltd. is a manufacturer of APIs Pharma intermediates and specialty chemicals. Negative of Aarti Drugs are that they have declining net profits. Positives are such that they have Zero Promoter Pledge, Increasing Net Profit, FIIs are increasing stake and have Improving Cash Flow.
AARTIDRUGS Best Positional Buy LevelIt will be best to take positional buy entry on NSE:AARTIDRUGS once price reach at the level of 422. Stop Loss will be 400.
My expected upside target will be 457, 510 & 529. This could be low risk and high reward option.
Note: This is my personal analysis, only for learning. Thanks.
AARTIDRUGS ShortMonthly Trend: Down
Weekly Trend: Sideways
Daily Trend: Sideways
There is a Daily Trendline and Channel Pattern
Best opportunity is going to be when stock Breaks down from the Channel or Trendline.
Why will the price not go up?
My view is that the price has been consolidating after being in Downtrend
and is currently at Resistance and in Channel pattern. Target: 406
Aarti Drugs Target 485-520Market Expectation
At ₹432.55, the market expects Aarti Drugs to grow profits by 12.4% per year
If it grows profits by 15.4% per year, the stock should be priced at ₹488.23.
current share price is 11% Undervalued
Past Performance
Last year, profits declined by -21.6%
Profits over past 5 years grew by 26.3% per year
Forecast Range from 3 Analysts
To achieve the most bearish analyst forecast (₹460.00), profits would need to grow by 13.9% per year
To achieve the most bullish analyst forecast (₹485.00), profits would need to grow by 15.2% per year
Industry & Market Trend
Companies in the Pharmaceuticals industry grew profits by 4.4% last year
Companies in the India market grew profits by 30.8% last year
Company has delivered good profit growth of 21.37% CAGR over last 5 years
Company has a good return on equity (ROE) track record: 3 Years ROE 26.13%
Good Risk to Reward Show