In this report we focus on FII stocks that are in derivative segments have fundamental, shareholding data and technical all aligned for a sell/short.
For these stocks the fundamentals have been worrying compared to the valuations the stocks have been trading at compared to 5 year average PE.
The announcement of surcharge in the budget has just created the ripe environment for such stocks to get de-rated.
The stocks mentioned have fundamental stress that we do not believe will reverse soon and they can be in stress for next two or three quarters.
We will be doing a series of such flash report that we include three stocks having all factors aligned for a short/sell.
The technical data and chart is been analyzed and reported by Hemen Kapadia (Chart Pundit).