Positional trading

POSITIONAL TRADING: SYMPHONY SHARE PRICE

Hello and welcome back to one more article wherein we would analyze Symphony share price in the best possible way through Business, Fundamental and Technical analysis.

So, the stock for today is Symphony Ltd.

Now we will have a deeper understanding of the business related to  Symphony Ltd.

BUSINESS ANALYSIS

Symphony Ltd is an Indian multinational company specialized in manufacturing of Air coolers.

Symphony Ltd manufacturers products like Domestic air cooler, Industrial air coolers.

Symphony Ltd has its operations in about 60countries.

Symphony Ltd also certified by the Guinness World Records Ltd for manufacturing the world’s largest functioning air cooler.

FINANCIAL ANALYSIS

The Market Capitalization of Symphony Ltd is Rs 7582Cr.

The Symphony Ltd has a price to earnings ratio is 67.7 which is greater than industry price to earnings ratio of 49.0.

The P/E ratio is greater but that doesn’t make the stock overvalued.

The return on capital employed of the stock is 16.5% which indicates the good profit plan of the company.

The return on equity of Symphony Ltd is 16.0%.

The debt to equity ratio of Symphony Ltd is 0.29 which indicates that the company is reducing their debt, and this has a major impact on growth of the company.

The company has a been maintaining a healthy dividend of 51.83%.

Based on market capitalization, Symphony Ltd stands tall at the 2nd position, operating in Consumer Durables Sector.

From the last 4 quarters (Jun 2020, Sep 2020, Dec 2020, Mar 2021) the sales of Symphony Ltd have increased from Rs 154 Cr to Rs 339 Cr.

The operating profit was -5Cr in June 2020 quarter due to Covid pandemic, but it has incredibly increased to Rs 84Cr in March 2021 quarter.

In the last 4 quarters (Jun 2020, Sep 2020, Dec 2020, Mar 2021) the net profit has drastically increased from Rs 2 Cr to Rs 62 Cr.

The earning per share value is Rs 8.86.

The expenses have also decreased from Rs 890 Cr to Rs 759 Cr from March 2020 to March 2021.

The share capital of the company is Rs 14 Cr from the last 5 years.

The Symphony Ltd have increased its reserves from Rs 598 Cr to Rs 745 Cr which shows the massive interest of investors in this company.

The net cash flow has increased to Rs 14 Cr in the year March 2021.

Promoters have a holding of 73.25% till June 2021.

The Flls have a 4.19% holding.

The Dlls have a 9.64% holding while only 12.92% is with the public.

The company is in safe hands and their growth is fantastic.

This is a brief overview of the financials of the Symphony Ltd which shows the dominance in their respective market.

Now let’s deep drive into the technical aspects of the Symphony Ltd.

For doing technical analysis we need to dwell into technical chart pattern as well as technical indicators. The technical indicators like moving averages and super trend helps to make an investors judgement more prominent.

CHART PATTERN ANALYSIS

If we take a closer look on the chart in a daily time frame, we can see that there is a rounding pattern formation.

The pattern is under formation and identifying such superb stocks in such initial phase is a great deal.

The Symphony share price on 19th July 2021 is Rs 1083 which would definitely change in the upcoming future.

The above image shows the chart pattern which is under formation.

MOVING AVERAGE

In Symphony share price analysis we are using 9 days and 21 days moving averages.

For Long term investing one should use a 200 days moving average which helps in understanding the trend of the stock in the long run.

The 9 days moving average has crossed the 21 days moving average and an uptrend in the stock is started.

9 days moving average is represented by the red line while the 21 days moving average is highlighted by blue line.

SUPER TREND

Super trend indicator is used for Buying and selling indications.

One should not decide based on the super trend instead should focus on the other aspects and decide wisely.

In the above chart of Symphony share price, a daily timeframe is taken to show the super trend analysis.

DISCLAIMER:

We don’t recommend or advice for buying or selling the stocks based on our analysis. Our intention is just to share our learnings and educate the audience for taking better decisions while investing or trading in stock market.

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