1663.9 +9.35 (+0.56%) Buy

Profit booking on the minds of CRISIL investors as it ranks better than it's peers but, has not managed to breakout

13 min read

CRISIL LTD managed to marginally outperform the broader market on Friday. It gained +0.56% to close at 1663.9. On a day when the overall market breadth was 71%, it closed higher than 31% of the market. In comparison, the benchmark NIFTY-50 index closed today at +0.02%.

[Themes containing CRISIL]

CRISIL is currently in a up trend. The current bullish signal has generated a profit of +5.86% for CRISIL's investors in the last three months.


CRISIL has been outperforming the NIFTY-50 index in recent time. Over the last 3 years and 1 month, CRISIL underperformed the NIFTY-50 index on 51% days.

CRISIL was profitable on 53% days in the last three months. During this time, it delivered on average +0.21% per day. It delivered it's worst daily return of -4.5%, during this period, on Monday, 22 Oct, 2018. There was initially a bullish trend during this period which started on 24 Oct, 2018 and went on till 2 Nov, 2018. The bullish trend returned +10.93% to investors. This was followed by a bearish trend that started on 19 Nov, 2018 and ended on 21 Nov, 2018. This bearish trend lost -0.93% of investor capital.

On monthly basis, CRISIL delivered losses in more months over the last year, than profits. CRISIL delivered profits less regularly than NIFTY-50 index. CRISIL was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Oct 2018, returned -15.25% compared to -6.42% returned by NIFTY-50 index in Sep 2018. CRISIL had a longer winning streak of losing months than NIFTY-50 index. It went down in 4 straight months (from Jul 2018 to Oct 2018) during which period it delivered -17.52%. It is interesting to note that both CRISIL and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.

It's good to have money and the things that money can buy, but It's good, too, to check up once in a while and make sure that you haven't lost the things that money can't buy.
-- George Lorimer

CRISIL is becoming less volatile overall. In comparison, the NIFTY-50 index is seeing a fall in volatility. During the last three months, there was a significant fall in CRISIL's volatility from 19 Oct, 2018 to 28 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 CRISIL has significant negative skewness in it's return distribution. This indicates that CRISIL is very risky for short-term investment and can significantly underperform for long durations.

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

On a general note (since you are interested in CRISIL), CUB is a mid cap that deserves to be closely tracked for investment opportunities.

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