MarketsmithIndia Articles

Is This A Good Time To Buy Navin Fluorine ?

September 15 2021 | Reading Time: 5 minutes
Navin Fluorine Inter stock has broken out of a 5-week, 14% deep Flat Base 2-weeks ago. However, the stock is still worth watching as the current price is only 0% away from the ideal buy price of INR 4015.
The stock closed in red for the week, but on a lower volume. It was down -3.2% on a -28% lower volume than the 10-week average. You want to see a strong close on heavy volume before initiating a position. That signals institutional buying. But do not conclude anything just based on this week’s action. A prudent approach would be to watch the price volume momentum in the coming trading sessions.
The key trend lines, 10 and 40-week moving averages are at a comfortable position. The current trends of both the averages are upward and the 10-week moving average is trending above the 40-week moving average. The current price of the stock is trading around 4.18% away from the 10-week moving average.
In the last twelve months, Navin Fluorine Inter has rallied nearly 102.3% as compared to 52.6% for the Nifty500. It has a Relative Strength Rating of 63. We definitely would like to see improvement in the rating. At this point we are taking a step back and focusing on the RS Line.
The Relative Strength Line of the stock is offering a lot of encouragement to investors. It has been making good progress in the last four weeks. The overall long term trend of the line is also trending upward. If Navin Fluorine Inter can maintain this outperformance, it could make sense as a CANSLIM trade.
Another key part of the jigsaw is institutional sponsorship. Navin Fluorine Inter has an Accumulation/Distribution Rating of 'B+'. This represents heavy institutional buying over the past 13 weeks. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
On the earnings front, Navin Fluorine Inter has an EPS Rank of 53, which is okay but fails to impress a growth stock investor. The earnings and sales for the stock have grown by 48% and 15%, respectively over the past three years. Its 3-years earnings stability is 37, on a 0 to 99 scale (lower the better). Over the past five years, the earnings and sales for the stock have grown by 26% and 10%, respectively. The 5-years earnings stability is 36. The return on equity for the last reported year is 17%.
The stock belongs to the industry group of Chemicals-Specialty, which is exhibiting a fair amount of strength in the current market environment. The current industry group rank is 38. The current price of Navin Fluorine Inter is -5% off from its 52-week high price and 107% above its 52-week low price.
The stock appears on our idea lists: Minervini Trend Template

What do you think? Please email us any questions or comments.

Disclaimer: Information contained herein is not and should not be construed as an offer, solicitation, or recommendation to buy or sell securities. It is for educational purposes only.For more information, see our Legal disclosures here.

Related Article