Friday, May 25, 2018

Equity Tips Expert: The Mid-Cap After The Decline From High Levels

Equity Tips Expert says After reaching higher valuations, mid-cap stocks have been sold. In the year 2018, the BSE mid-cap index has come down by 12 percent. In the meantime, the stocks included in the index have been corrected up to 80 percent. Experts say that many mid-cap stocks are still expensive, but there are some quality stocks, which are on good valuation. 




There is hope for good growth in the economy, which is not showing much trouble for investment by the DII at home. Demand for a better monsoon is expected to increase further. In such cases, there are opportunities for investment in mid-term stocks in the long term. Can get good returns in Karnataka Bank, Petronet LNG, Crompton Greaves, Concore, Cholamandalam Investment and Finance.

Why has come fall

Last year, many mid-cap stocks had emerged as multi-baggers. Due to the better macro economy, investment in the stock market continued to increase Due to which the mid-cap and clerk stocks gained momentum. But due to good profits on high valuation and the good investment in domestic investors, there is pressure on mid-cap and small-stock stocks. 

Rudra Investment Equity Tips Expert says that the quarter results have weakened the sentiment of investors due to the weakening of expectations. At the same time, due to the high valuation, the weakness in the midcap and the smallcap index is showing. According to Sandeep Jain, head of research head of Trade Swift, in the Earning Season, mid-cap stocks have not seen earnings as expected, due to which the sale was seen. But right now the good correction has come so that the valuations are looking attractive.

Economy Growth Estimates

Equity Tips Expert says that there is good growth in the economy. Estimates of better monsoon have been estimated. There is no problem with the Consumption Theme. The impact of GST is over. There is hope to improve the forward sentiment on the domestic level. In such a situation, the sluggishness of the domestic investors will be eliminated, which will benefit the Midcap and their earnings growth can also be better. Focus can be done in the current round of companies with composition and rural economy. Stocks of private financial companies are also looking good.

What stocks invest in

Karnataka Bank
Return estimates: 41%
Karnataka Bank's profit has declined in the fourth quarter but business growth is 17.59 percent. Credit growth is 27 percent on yearly basis. At the same time, the bank has identified its most stranded loan, through which it is working to clean its book. The operating profit growth of the bank is about 48 percent. rudra investment advised investment in the stock with a target of Rs 163. For the current price of the stock, 116 is expected to percent1 per cent.

Petronet LNG
Return estimates: 50%

Petronet LNG is a fast-growing world class company in the energy sector. The company is the Biggest Importer of Liquefied Gas. The company started the country's first LNG Resizing and Regassification Terminal in Dahej. The companythe is doing business of profits. In the fourth quarter, the company has recorded a profit of Rs 523 crore. 

The capacity of the company's capability utility has increased. The Kochi plant has an impression. The company is in profit from lower cast strategy. 

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