00:00Hello friends, welcome back to our channel FinStock
00:10Today we are with yet another video
00:13In this video, we are going to analyze some good stocks in the market
00:23And then we will take a technical and fundamental decision
00:30The stock we are discussing is BBQ Nation Hospitality Limited
00:37As you know, BBQ Nation is present in every big city
00:42They run a fine dining restaurant
00:46And they serve you live grills and live food
00:52This company started in 2006 under the name BBQ Nation
00:59And they provide you live grills embedded in dining tables
01:04The market capitalization of this company is 2594 crores
01:10This is a small cap company
01:13Current price is 667
01:1650 WK High is 770 and Low is 461
01:19So, it is trading in the middle
01:22Book value is 101
01:24Price to book ratio is 6.63
01:29If we look at the debt to equity
01:32Currency ratio is 1.74
01:35Currency ratio is 1.74
01:38Profit growth is also negative
01:41These are all concerning factors
01:44Operating profit margin is 17.5%
01:48If we look at the statement of profit and loss
01:56It is available since 2016
01:58Sales of 403 crores has increased to almost 1200 crores
02:03Which is 3 times
02:05Profit of 6 crores has increased to 19
02:10So, this company is fundamentally weak
02:20If we look at the promoters and shareholding pattern
02:24Promoters are 33.7%
02:27Which is not a healthy promoter holding
02:30If promoter holding is above 50%
02:33Then it is a healthy promoter holding
02:36But FIIs and DIIs hold a large percentage
02:40Which is 17.5% and 23.06%
02:43Promoters FIIs and DIIs hold around 75%
02:55If promoters are holding such a large percentage
02:58Then there can be some issues in the company
03:01Public shareholding was 37% in 2021
03:07Which has reduced to 25%
03:10This means that people have sold their shares
03:14And FIIs and DIIs have bought
03:17So, when these people are buying
03:19They see something in it
03:22Fundamentally, this company has very weak fundamentals
03:27Now we will go to the chart and see
03:29Why we have sold the stock
03:31And how we can trade it
03:33Or keep it for investment purpose
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03:49If we come to the trading view
03:53We have opened the weekly chart of Barabian Nation
03:57You will see that its listing was in April 2021
04:01Which was around 496500
04:04From there it showed a very good run up
04:07Which went up to around 1600 and then came down
04:13And now it has come down to its IPO level
04:18And now it is trading here
04:22So if you see
04:24This is a region from April 23
04:28Now this is April-October 2021
04:32Almost 1.5 years
04:34In this, the price has gone into consolidation mode
04:37That is, the price is trading in one range
04:40If you look at the upper range, it is around 750
04:43And the lower range is around 490
04:46So this price is in consolidation mode
04:51So now we see a very good opportunity in this
04:54Because if you look at it, then RSI
04:56It is slowly coming up to 60
04:59Means momentum is being generated in the stock
05:02Or it has happened
05:04So if we make a position in this
05:07Our first target is 884
05:10Which can give a return of around 31%
05:14Then the second target will come
05:16Which is 78%
05:18And the third target will be 142%
05:21But against this, if we look at our stop-loss
05:25Then the actual level of stop-loss should come
05:27Which is 25%
05:29Which is a very big stop-loss
05:31If you take such a big stop-loss in one stock
05:33Then you will run out of almost one-fourth capital
05:36So for this, if we keep the stop-loss below the swing low
05:41Then it comes to 10-12%
05:43Which is quite a comfortable stop-loss
05:46So we have to keep this stop-loss
05:48Which will be around 590
05:50So if we want to make a position in this
05:52Then we have to make it with a stop-loss of 590
05:54Our first target will be 880
05:56The second target will be 1180
05:59And then the third target will be around 1620
06:05So according to this, we have to make a position in this
06:08But as this is a small cap company
06:11So we have to be very careful
06:13If anyone makes a position in this
06:15Then we have to follow the stop-loss strictly
06:17And if the stop-loss comes
06:19Then we have to take the stop-loss and get out of it
06:21And then we have to keep a watch on it
06:23If there is a chance again
06:25If it goes above 660 or 670
06:27Then we can enter it again
06:29But if the stop-loss comes
06:32Then we have to take the stop-loss
06:34So that's all for now friends
06:36Thank you
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