Tata Elxsi Medium Term positional call

Tata Elxsi Limited Medium Term Techno-Funda call

NSE: TATAELXSI

CMP: 977, Closing based SL 879, Targets 1050 1080 1125

Technicals:

* Swing High Breakout
* Cup and Handle Breakout
* Volume breakout
* Trading above important Moving averages
* Resistance breakout

Fundamentals:

• Company is able constantly maintain their return on capital employed 5 years average is 49.79 compared to return on capital employed is 53.41.
• Current ROCE is higher than that is ROCE 53.41 is greater than price to earning that is 30.03.
• Company is able constantly maintain their return on net worth 5 years average is 34.84 compared to return on net worth is 36.69.
• Steady debtors turnover ratio shows company is able manage to their receivable steadily.
• Average OPM of 5 years is at 20.25% compared to that current OPM is at 23.45% which shows over the period management has been able to hold on to their Margin.
• Price to Book value ratio shows company is overvalued.

Disclaimer: All the levels are for education purpose only.