Let’s understand the reason behind the rally of this Food delivery Company.
Fueling the Zomato Fire:
Strong Earnings Boost: Zomato’s Q2 performance surpassed expectations, showing significant loss reduction. This sparked investor confidence and excitement. Zomato announced its July-September quarter results for Fiscal 2023-24 (Q2FY24) on Friday, November 3, reporting a net profit of ₹36 crore, against a net loss of ₹251 crore in the corresponding period last year.
Upward Vision: The company’s increased revenue guidance for the year sent a clear message: Zomato expects to keep growing.
Market Winds in Favor: November saw buoyant Indian markets, with many stocks riding a wave of gains. Zomato joined the party, buoyed by the overall positive sentiment.
Zomato stock price went up today, 18 Dec 2023, by 4 % closing on Rs.128.00 per share on NSE. This rally in stock witnessed despite Soft bank sell 1.1% stake in the company. Recently, news of further rate reduction by Federal Reserve, will likely benefit the stock in near future.
Zomato’s recent breakout holds promise, but the road ahead isn’t without its roadblocks. Investors should carefully consider both the positives and potential challenges before making any decisions.
Zydus Lifesciences has been on a strong upward trajectory recently, hitting a 52-week high of Rs.680 on December 18th, 2023.
This bullish run can be attributed to several factors, including:
Strong financial performance: The company reported better-than-expected earnings for Q2 FY24, with a 78.25% year-on-year growth in profit.
Rally in Chemical Sector: The Indian pharmaceutical sector has been performing well, driven by increasing healthcare spending and favorable government policies.
USFDA approvals: Recent USFDA approvals for key drugs like Lacosamide Tablets have boosted investor confidence.
- Bollinger Bands on the daily chart are currently expanding, indicating increased volatility but also potentially more room for the stock to climb.
- The Relative Strength Index (RSI) is at 69.31, which is above the overbought threshold of 70. This suggests there may be some profit-taking in the short term.
Moving averages like the 50-day and 200-day MA are still trending upwards, providing technical support for the stock.
Zydus Lifesciences has displayed strong fundamentals and momentum in recent times. However, investors should be aware of the potential risks and consider their own risk tolerance before making any investment decisions. It’s crucial to conduct thorough research, seek professional advice if needed, and diversify your portfolio.
- Shyam Metallics Limited, a leading Indian manufacturer of ferroalloys, steel billets, and sponge iron, maintains a robust presence in the power generation sector. The company holds a significant market share in the Indian ferroalloys market, particularly in manganese and chrome alloys. Its recent strategic focus on value-added products like stainless steel and TMT bars indicates exciting growth prospects.
Riding the wave of positive sentiment in the metals
sector, Shyam Metallics’ stock has soared over 20% since November. This
favorable tailwind bodes well for continued upswing in the near future.
The company is trading at price of Rs.536.00 up 4.36% on Monday’s trading session.