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Showing posts from January, 2022

Why Should Traders Consider a Plough Back Ratio Before Investing?

  When a company makes net profits, a portion of the net profits is paid out to the shareholders in dividends. This is usually referred to as paying some or all of your profits back to shareholders. Paying out dividends to shareholders of a company will normally receive a portion of those dividends as cash income. Ploughing back profits is the opposite of paying out dividends. When a company makes net profits, a portion of the net profits is paid out to the shareholders in dividends. On the other hand, ploughing back profits involves investing its money into its operations rather than distributing it to the shareholders. Example of Plough Back Ratio of X Ltd and Y Ltd X Ltd Amount Y Ltd Amount Total Equity Rs.10,00,00,000 Total Equity Rs.10,00,00,000 Net Profits 2017-18 Rs.3,30,00,000 Net Profits 2017-18 Rs.3,30,00,000 Dividend Paid Rs.66,00,000 Dividend Paid Rs.33,00,000 Dividend Ratio 20% Dividend Ratio 10% Plough Back Ratio 80% Plough Back Ratio 90% Market Capitalization Rs.52.8...

Open-High and Open-Low Strategy in Intraday Trading

  What is Open-High and Open-Low Strategy in Intraday Trading In India, people often choose to trade in the  stock market  whether it is long term or short term. This is because it allows them to uplift their wealth to an upper level. As per the new economic survey, it has been found that the participation of the retail sector in the stock market is rising as the number of investors in the stock market has grown up by a whopping 142 Lakh in FY 21. It has also been recorded that new accounts have opened up with 122. 5 Lakh new accounts in CDSL and 19.7 Lakh in NSDL. If we talk about trading in India, then  Intraday  trading is something that is considered one of the most challenging yet electrifying forms of stock market trading. Also, many traders prefer intraday trading over others because they find it the best way to achieve profit within one trading day. To book profits within a single day, traders use numerous tools such as charts and patterns to measure sto...

Potential Stocks to Look Out for Amid Omicron Outbreak

A new variant of Covid 19 has been identified which was named Omicron by the World Health Organization (WHO). Many  share trading  analysts suggested that this new variant tends to spread quicker than the Delta variant and is much more infectious than other covid variants. Also, they said that the vaccines available now are less effective against this new variant. As we are trying to recover from the second wave, this omicron variant caused precariousness in the market. If we talk about the current week, then we will get to know that the GDP for the July-Sept quarter of FY 2022 showed a total growth of 8.4%, which is the fourth consecutive quarter of positive growth post the major contraction. If India wants to remain in the position of the fastest-growing economy in the year 2023, all restrictions are lifted and the growth continues to rise. As said above, if the new strain emerges again, the government will take the necessary steps to bring back the restrictions. Government’...