Three Computer-Tech Services Stocks To Watch Now: L&T Infotech, Infosys, and Hcl Technologies

Posted Date: March 18 2021

L&T Infotech

L&T Infotech appears on our Long Term Leaders list. The stock is worth watching as the stock is forming a 9-week, 20% deep Double Bottom base. The current price is only 5% away from its ideal buy price of INR 4380.

Aggressive investors could use any tight area breakout inside the base as an opportunity to initiate a small position. A conservative approach may be to add the stock to your watchlist so that you are ready to pounce if it breaks out to the traditional entry point.

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 4.6% away from the 10-week moving average.

L&T Infotech has been an outperforming stock as compared to the broader market. It has a strong Relative Strength Rating of 81. In the last twelve months, the stock has rallied over 149.4% as compared to 65.6% for the Nifty500.

The Relative Strength Line of the stock is offering a lot of encouragement to investors. It has been making good progress in the last three weeks. The overall long term trend of the line is also trending upward. If L&T Infotech can maintain this outperformance, it could make sense as a CANSLIM trade.

Another key part of the jigsaw is institutional sponsorship. L&T Infotech has an Accumulation/Distribution Rating of 'A'. 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, L&T Infotech has an excellent EPS Rank of 93, which indicates consistency in earnings. The earnings and sales for the stock have grown by 15% and 20%, respectively over the past three years. Its 3-years earnings stability is 5, on a 0 to 99 scale (lower the better). Over the past five years, the earnings and sales for the stock have grown by 16% and 18%, respectively. The 5-years earnings stability is 4. The return on equity for the last reported year is 28%.

The stock belongs to the industry group of Computer-Tech Services. You would still want to see some improvement in the industry group rank for the group. The current industry group rank is 78. The current price of L&T Infotech is -7% off from its 52-week high price and 244% above its 52-week low price.

The stock appears on our idea lists: Trend Template - 5 MonthsLong Term Leaders.

Infosys 

This Long Term Leader is worth watching as the stock is forming a 9-week, 12% deep Flat Base. The current price is only 1% away from its ideal buy price of INR 1393.

Aggressive investors could use any tight area breakout inside the base as an opportunity to initiate a small position. A conservative approach may be to add the stock to your watchlist so that you are ready to pounce if it breaks out to the traditional entry point.

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 6.4% away from the 10-week moving average.

In the last twelve months, Infosys has rallied nearly 117.8% as compared to 65.6% for the Nifty500. It has a Relative Strength Rating of 75. 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 Infosys can maintain this outperformance, it could make sense as a CANSLIM trade.

Infosys stock has a strong institutional support. The Accumulation/Distribution Rating of 'B-' represents heavy institutional buying over the past 13 weeks. Although the shares held by institutions dropped in the last quarter, the number of institutions holding the stock increased at the same time. This shows increasing interest among the institutions.

On the earnings front, Infosys has an excellent EPS Rank of 87, which indicates consistency in earnings. The earnings and sales for the stock have grown by 7% and 12%, respectively over the past three years. Its 3-years earnings stability is 4, on a 0 to 99 scale (lower the better). Over the past five years, the earnings and sales for the stock have grown by 8% and 10%, respectively. The 5-years earnings stability is 3. The return on equity for the last reported year is 25%.

The stock belongs to the industry group of Computer-Tech Services. You would still want to see some improvement in the industry group rank for the group. The current industry group rank is 78. The current price of Infosys is -1% off from its 52-week high price and 175% above its 52-week low price.

The stock appears on our idea lists: Trend Template - 5 MonthsLong Term Leaders.

Hcl Technologies

Hcl Technologies stock is a Long Term Leader and is worth watching as the stock is forming a 10-week, 16% deep Consolidation Base. The current price is only 5% away from its ideal buy price of INR 1067.

Aggressive investors could use any tight area breakout inside the base as an opportunity to initiate a small position. A conservative approach may be to add the stock to your watchlist so that you are ready to pounce if it breaks out to the traditional entry point.

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 5.3% away from the 10-week moving average.

In the last twelve months, Hcl Technologies has rallied nearly 98.5% as compared to 65.6% for the Nifty500. It has a Relative Strength Rating of 68. 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 three weeks. The overall long term trend of the line is also trending upward. If Hcl Technologies can maintain this outperformance, it could make sense as a CANSLIM trade.

On the earnings front, Hcl Technologies has an excellent EPS Rank of 91, which indicates consistency in earnings. The earnings and sales for the stock have grown by 16% and 16%, respectively over the past three years. Its 3-years earnings stability is 3, on a 0 to 99 scale (lower the better). Over the past five years, the earnings and sales for the stock have grown by 13% and 15%, respectively. The 5-years earnings stability is 6. The return on equity for the last reported year is 22%.

The stock belongs to the industry group of Computer-Tech Services. You would still want to see some improvement in the industry group rank for the group. The current industry group rank is 78. The current price of Hcl Technologies is -5% off from its 52-week high price and 169% above its 52-week low price.

The stock appears on our idea lists: Trend Template - 5 MonthsLong Term Leaders.

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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.
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