Sona BLW Breakout with good volumeSona BLW Breakout with good volume.
It breaks the supply zone.
Could be a good candidate for swing.
Sonablw
Sona BLW Precision can be a good decision. Sona BLW Precision Forging Ltd. CMP – 578.75
Market Capitalization Rs 33,940.3Cr
Red Flags:🟥
High Valuation (P.E. = 73.3)
MFs are decreasing stake
Green Flags:🟩
No debt
Zero promoter pledge
FIIs are increasing stake
Improving annual net profit
Improving cash from operations annual
Previous Happy Candles Number – 57/100
New Happy Candles Number – 70/100
Fresh Entry/ averaging / compounding after closing above 582
Targets:604 and 626
Long term target: 663
Stop loss: Closing below 540
The above information is provided for educational purpose, analysis and paper trading only. Please don't treat this as a buy or sell recommendation for the stock. We do not guarantee any success in highly volatile market or otherwise. Stock market investment is subject to market risks which include global and regional risks. We will not be responsible for any Profit or loss that may occur due to any financial decision taken based on any data provided in this message.
Sona Looking SolidSona BLW Precision Forgings Ltd. is an automotive system and components manufacturer with 9 plants spread across India, China, Mexico and USA. The company offers highly engineered, mission critical automotive system and components such as differential gears, conventional and micro hybrid starter motor, BSG systems, EV Transaction motors and much more. Sona BLW Precision Forgings CMP is 516.35. Negative aspects of the company are high valuation (P.E. = 76.5) and promoter decreasing stake. Positive aspects of the company are no debt, improving annual net profits, improving cash from operations, MFs are increasing stake, FIIs are increasing stake and zero promoter pledge. Entry after closing above 520. Target of the call will be 532 and 545. Long term targets in the stock will be 570+. Stop loss in the stock should be maintained at closing below 490.
SONACOMS Trend AnalysisSona BLW is among the Top 10 Global Differential Bevel Gear Suppliers, Among the Top 10 Global Starter Motor Suppliers for PVs,
and the Largest manufacturer of differential gears for PVs, CVs & Tractors in India.
Sona Comstar has 8.7% market share in the global market in Battery Electric Vehicle (BEV) Differential Assembles,
5% in Differential Bevel Gear, and 3% market share in Starter Motor.
Company has 9 manufacturing and assembly facilities - 6 in India and 3 facilities in China, USA and Mexico.
Also, company has 8 warehouses across India, USA, Germany and Belgium.
Company has started a 7-year collaboration with IRP Nexus Group (Israel) on 30th September 2021 to develop,
manufacture and supply magnet-less drive motor and matching controller for 2-wheelers and 3-wheelers,
using a environment friendly approach that does not use rare earth elements.
Technically bearish trend will continue as there is a strong hidden bearish divergence in RSI.
Best levels to accumulate is around 410-430 for the following targets:
Short term swing target @ 580 (38% ROI with 4 R:R)
Medium term swing target @ 715 (70% ROI with 7.38 R:R)
Long term positional target @ 1175 (180% ROI with 18.88 R:R)
Stop loss @ 380
Strong fundamentals while PE is at steeper side as one can expect for fast growing companies.
Further fall in price with rise in EPS can keep the forward PE around 60.
Estimated capex for next three years is 900-1000 crores based on the order book.
Do your own due diligence before taking any action.
Peace!!
SONA BLWSONA BLW formed Bullish Cypher pattern. Expected for a big up move.
Disc: Only for Learning Purpose & not a trading or buy recommendation.
SONACOMS - Breakout in Hourly chartRounding bottom breakout on hourly charts of recently listed SONACOMS, new high is possible.
Disclaimer - This is just for educational purpose and not a trading or investment advise
