High conviction Investment Ideas with a track record

Below are glimpses of recommendations made using Samco’s Giga Trading Engine. Subscribe to our affordable KyaTrade plans to receive unlimited fresh trading and investing ideas

Info Edge (India) Ltd
 +13.8%
BUY
Info Edge (India) Ltd
EQ

Reco. Date:05/06/2018

Reco. Price: 1,199

In 2018, Info Edge offered strong growth prospects and it traded at attractive valuations ranging between 1100-1200 levels. Based on SOTP-based valuation method, the fair value per share stood at 1,365 per share with a reasonable margin of safety. This resulted in the stock offering a strong upside from its CMP.

From a financial perspective, the company staged a massive turnaround from a loss of 426.9 million in FY17 to a net profit of 5009.49 million in FY18. This was achieved on account of higher revenue and keeping the total expenses under control. Info edge operates in the niche segment of offering Internet-based recruitment services which had rapidly picked up pace in 2017 due to introduction of Reliance Jio which enabled millions of Indians to access the Internet at very cheap prices. Adding more fuel to Info Edge's growth was the fact that India is the only country in the world having most of its population in the 25-34 age group which forms majority of Info Edge’s market.

Based on strong drivers from its robust financial strength, leadership in high-growth businesses and diversified interests in various startups, Info Edge made for a compelling Buy in 2018 given that it traded at a discount to its potential value.

Alok Industries Ltd
 +62.4%
SELL
Alok Industries Ltd
EQ

Reco. Date:07/07/2020

Reco. Price: 50.25

Alok Industries rallied from a low of Rs. 3 per share in March 2020 to Rs. 55.75 per share by July 2020 solely on news that Reliance Industries is buying a stake of 37.7% in the company. While the stock rallied, we realized that the financials of the company told a different story altogether with a weak balance sheet, a negative book value, piling losses due to its inability to service interest costs and auditors giving their qualified opinion on the accounts of Alok. We determined that the price rally was driven only by speculation and had no legs and would see its bubble burst soon. Therefore, we gave a short call on the stock.

Syngene International Ltd
 +55.6%
BUY
Syngene International Ltd
EQ

Reco. Date:05/06/2020

Reco. Price: 360

Syngene International was among the beneficiaries of the Pharma theme playing out due to COVID-19 and we saw a multi-year consolidation breakout after testing of the crucial support around 220. The stock started trading at all-time highs and witnessed robust price performance.

Biocon, Syngene’s parent company, also posted a breakout on multiple time frames along with the entire sector being the flavor of the market. Both these companies reported good set of earnings performance for the quarter which gave it the fundamental support to rally as well.

Bharat Forge Ltd
 +26.9%
BUY
Bharat Forge Ltd
EQ

Reco. Date:11/11/2020

Reco. Price: 520

Short term trend in Bharat Forge Ltd was strong and had broken out of a brief consolidation after making a big inverted head and shoulder pattern on the chart. The inverted head and shoulder pattern in Bharat Forge offered the potential of making a trend reversal on major time frames and hence we recommended buy on this stock.
Delta Corp Ltd
 +23.8%
BUY
Delta Corp Ltd
EQ

Reco. Date:11/11/2020

Reco. Price: 126

Delta Corp was in news since the Goa government allowed casinos to restart their operations from November 1, 2020, which were shut since March-end when the Covid-19 pandemic broke out in the country.

Delta's online poker asset – Adda52.com – led the online gaming space and witnessed a substantial jump in traffic, compensating in part for the loss in the casino business during the lockdowns. The announcement of re-opening of casinos coupled with a strong performance of online poker assets provided a strong upswing to the stock. Identifying these factors, we determined that Delta Corp was a strong bet with very low downside and strong scope to flourish. Very soon, the market realized the same and drove prices higher.

Tata Motors Ltd
 +13.6%
SELL
Tata Motors Ltd
EQ

Reco. Date:08/07/2020

Reco. Price: 110

After rallying almost 70 percent from the recent lows then, Tata Motors faced price rejection at the 112-115 range as the stock was in a long-term downtrend. Rejection due to supply pressure in that zone was seen along with two shooting star patterns which led to the subsequent price decline. This was also driven by subdued demand due to lockdowns which resulted in a sales slump and negatively impacted the company. Our short call generated decent returns on this stock.
Britannia Ltd
 -1.2%
BUY
Britannia Ltd
EQ

Reco. Date:14/01/2021

Reco. Price: 3,623

Britannia peaked at 4000 levels and fundamentally too, the Company had done well on the profitability front in the September quarter, despite slower than expected revenue growth.

From a technical perspective, the stock traded on the verge of a falling resistance line breakout then and saw early signs of an impulsive move. It was expected to witness a sustainable bullish move and rally into uncharted territory. While the signs of a reversal were present, the bearish pressure continued to push the prices down, making the stock more volatile. Yet, an effective stop-loss minimized the losses for those who invested.

Cadila Healthcare Ltd
 -1.4%
SELL
Cadila Healthcare Ltd
EQ

Reco. Date:19/06/2020

Reco. Price: 370

Cadila Healthcare became overbought and was facing hurdles at the resistance level of 370. The stock consolidated in the range of 358 to 375. While the stock did see some upward movement, the bullish force seemingly diminished as compared to momentum in the initial move.

The RSI indicator on daily chart also supported the thesis as it exhibited a negative divergence where stock made a higher high but RSI had made a lower high. Unfortunately, it hit the stop-loss before moving down.

The brains behind KyaTrade

The brains behind KyaTrade

The brains behind KyaTrade

Meet the brains behind our high performance research recommendations with a proven track record. Samco’s research team works on best trading principles along with a robust Giga trading engine that assists them with relevant insights and data points.

Giga trading also powers Samco’s Proprietary SRM 2.0 (stock rating matrix) which does not allow them to recommend any stock or calls below a particular risk threshold. Giga trading ending uses 100+ Parameters to filter quality stocks from the entire universe of stocks listed on exchange.