GAMMON INFRA PROJ LTD.

0.65 0.0 (0.0%) Buy

Profit booking on the minds of GAMMNINFRA investors as it shows marginal outperformance

13 min read

GAMMON INFRA PROJ LTD. is looking better than most other alternatives today. It lost 0.0% to close at 0.65. During the last week it lost 0.0% and saw a maximum drawdown of -7.14% before bouncing back.

[Themes containing GAMMNINFRA]

Buy-and-Hold investors in GAMMNINFRA experienced a maximum drawdown of -31.58% over the last three months. It lost -7.14% during this down trending period. There were both Long and Short signals during this period, where the short signals were significantly more profitable than the long signals.

Trend

GAMMNINFRA has been underperforming the NIFTY-50 index in recent time, after having outperformed till 1 Jan, 2016. Over the last 3 years and 1 month, GAMMNINFRA underperformed the NIFTY-50 index on 60% days.

During the last three months GAMMNINFRA delivered losses on 75% days. However, it still managed to end this period in a profit. It's best return during this period (of +9.09%) was on Tuesday, 30 Oct, 2018. While it's worst loss in the same period (of -8.33%) was on Thursday, 25 Oct, 2018. There was initially a bullish trend during this period which started on 14 Nov, 2018 and went on till 28 Nov, 2018. The bullish trend returned +47.52% to investors. This was followed by a bearish trend that started on 29 Nov, 2018 and ended on 5 Dec, 2018. This bearish trend lost -29.62% of investor capital.

GAMMNINFRA had 1 profitable and 11 loss making months over the last year. During the last year, GAMMNINFRA underperformed NIFTY-50 index on monthly return basis. GAMMNINFRA was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Jun 2018, returned -42.22% compared to -6.42% returned by NIFTY-50 index in Sep 2018. GAMMNINFRA had a longer winning streak of losing months than NIFTY-50 index. It went down in 8 straight months (from Feb 2018 to Sep 2018) during which period it delivered -165.33%. It is interesting to note that both GAMMNINFRA and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.

The stock market is a discounter of all known information.
-- Kenneth Fisher

GAMMNINFRA is becoming more 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 GAMMNINFRA's volatility from 22 Oct, 2018 to 4 Dec, 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 GAMMNINFRA has negative skewness in it's return distribution. This indicates that investors may need to stay invested through long periods of drawdown before expecting a recovery.

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

On a general note (since you are interested in GAMMNINFRA), three large cap instruments that deserve special mention are TORNTPHARM, BRITANNIA and BAJFINANCE. They have all outperformed the market and must be closely watched for investment opportunities.

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