Analysis of 12 Media & Entertainment stocks. 6 shares to Buy now for 2019.
|Stocks||29/11/2018||Target 1||Target 2||Support||SL||PE||Price to Book|
|GTPL Hathway||87||115||78||70||18||1.4||Buy on dips|
|TV Today Network||382||350||340||16||3.15||Hold|
Top Media & Entertainment Stocks to buy for 2019:
The Indian Media and Entertainment (M&E) industry is a sunrise sector for the economy and is making high growth strides. Proving its resilience to the world, the Indian M&E industry is on the cusp of a strong phase of growth, backed by rising consumer demand and improving advertising revenues. Know more here.
GTPL Hathway; Share price 87; Target 115:
Promoters have increased stake and we expect the stock to pullback towards 200 EMA close to 110-115 in 3 months.
Sun TV; Share price 590; Target 780:
Increase in stake by Mutual funds and good growth seen forward; stock is available at good valuation. We expect the stock to pullback to 780 in 3 months. Stock also has good support at 550.
Inox Leisure; Share price 210; Target 250:
Strong increase in stake by Mutual funds in last quarter and stock is available at good discount compared to PVR and has good support at 190-200. Stock can go towards 250 in 3 months and 300 in a year.
Saregama; Stock price 570; target: 730:
Good product line and good growth in last few years are positive for the stock. Stock can be added on dips towards 500-530 for a target of 730. SL 440. 1 year.
Shemaroo Entertainment; Stock price 460; Target 560:
Strong recent quarterly results will move Shemaroo Entertainment to 560. Stock is available at good discount price among peers. Any dips towards 400-420 can be used to add more stocks. SL 360. Target 560. 6 months.
Earlier call on Shemaroo:
PVR is expensive range bound 1300-1600. Zee entertainment is range bound 480-530. TV today Network did not have a good quarter, so we would hold and wait for another quarter or until good technicals. UFO Movies and DB corp are attractive at current prices but are at 5 years low and has no support on down side, We would like them on any good quarterly result in coming months.
Music Broadcast looks expensive at with a PE of 34. Technically we like the stock above 350 for a target of 400 with SL of 320.
When you look at media and Entertainment stocks overall, do you think that they’re overvalued or Undervalued?
Average Trailing PE ratio of media and Entertainment stocks are close to 18 and it is due to the correction in the broad market. We would consider a PE ratio of 22-25 to be normal. Without considering Growth and results, stocks are 20% undervalued. Adding growth in EPS and Decent fundamentals we see the sector to be 30-40% undervalued.
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