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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’...

Why Did Paytm Stock Fall Sharply On The First Day Itself?

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  India’s leading digital payments system company Paytm made history after successfully launching India’s biggest ever IPO in the current month. As per the sources, the total worth of this public offering was Rs 18,300 Crores with the fixed price band at Rs 2080 to Rs 2,150 for each share.  The company hit headlines when the shares of the company made their market debut after much anticipation on Thursday at a 9 per cent discount. Against the expectations, Paytm stock listed at Rs 1,955 dropped 9% from its issue price on the BSE. After some hours, the stock prices declined further and reached Rs 1,564 a share (a drop of 27.25%) & hit the lower circuit limit at the end of the day trade.  It has been seen that Paytm’s market capitalization dropped to about $13.6 billion from its IPO valuation of $20 billion.  Here comes a question: How did India’s greatest IPO fail to give an outstanding performance? Let’s figure it out. High Valuation  Led to Losses for the I...

This Festive Season: Unlock Celebrations by Investing in These Stocks

  As the Indian stock market experienced a great surge after witnessing a correction in the last week,   stock market research   company Swastika suggested some of the greatest stock picks that investors should be looking forward to. According to research analysts, these stocks are likely to give outstanding returns to the investors as they feel the stocks perform well during the festive season due to the high demand for their products this time.  Hindustan Unilever Limited:  About Company Hindustan Unilever Limited is a well-known consumer goods company that is headquartered in Mumbai. The company is a subsidiary of Unilever. Since it’s a consumer goods company, its products include food, beverages, personal care products, cleaning agents, water purifiers and other consumer goods.  Some of the famous brands of HUL are Lux, Lifebuoy, Pears, Dove, Lakme, Lyril, Comfort, Surf excel, Clinic Plus, Glow and Lovely, Vaseline, Pepsodent and many tea brands such as...