43.1 -0.59 (-1.37%) Sell

ALEMBICLTD investors looking to exit as part of sectoral rotation

15 min read

ALEMBIC LIMITED ranked among the worst performers today. It delivered -1.37% to close at 43.1. During the last week it delivered -3.36% and saw a maximum drawdown of -3.36%.

[Themes containing ALEMBICLTD]

Buy-and-Hold investors in ALEMBICLTD experienced a maximum drawdown of -12.04% over the last three months. It surged by +9.11% during this bullish trending period. There were both Long and Short signals during this period, while the long signals were significantly more profitable than the short signals. The net profit from Long signals was +3.62%.


ALEMBICLTD has been underperforming the NIFTY-50 index in recent time. It showed significant underperformance (compared to the NIFTY-50 index) from 24 Jan, 2018 to 23 Jul, 2018. Over the last 3 years and 1 month, ALEMBICLTD underperformed the NIFTY-50 index on 55% days.

ALEMBICLTD returned losses on 62% days in the last three months. During this time, it delivered on average +0.16% per day. It delivered it's best daily return of +6.75%, during this period, on Friday, 28 Dec, 2018. The longest stort-term trend during this period was 10 losing days, which started on 31 Dec, 2018 and ended on 11 Jan, 2019. This bearish trend lost -8.67% of investor capital.

The last 12 months saw ALEMBICLTD's investors making profits in 5 months and incurring losses in 7 months. During the last year, ALEMBICLTD delivered profits in more months than NIFTY-50 index. ALEMBICLTD was also a more risky investment than NIFTY-50 index as it's worst month in the last year, May 2018, returned -21.78% compared to -6.42% returned by NIFTY-50 index in Sep 2018. ALEMBICLTD and NIFTY-50 index, both had periods of 2 consecutive profitable months. It is interesting to note that both ALEMBICLTD and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.

If you live for having it all, what you have is never enough.
-- Vicki Robin

ALEMBICLTD is currently seeing overall fall in volatility. In comparison, the NIFTY-50 index is seeing decrease in volatility. During the last three months, there was a significant surge in ALEMBICLTD's volatility from 26 Oct, 2018 to 5 Nov, 2018. While there was a significant fall in the NIFTY-50 index's volatility from 31 Oct, 2018 to 5 Dec, 2018.

Advanced/professional short-term investors should note that ALEMBICLTD has significant negative skewness in it's return distribution. This indicates that ALEMBICLTD is very risky for short-term investment and can significantly underperform for long durations.

NIFTY-50 index has more chance of extreme outcomes than ALEMBICLTD. Therefore, NIFTY-50 must receive a lower allocation than ALEMBICLTD in your portfolio. NIFTY-50 index usually has shorter drawdown period than ALEMBICLTD.

Based on your interest in ALEMBICLTD you may find it interesting to know that SHILPAMED, ADVANIHOTR and TIMETECHNO have all performed similar to ALEMBICLTD and qualify as alternative investment candidates that must be evaluated for diversification.

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