5.6 +0.1 (+1.82%) Sell

Joy for SABTN investors as it performed better than the broader market

13 min read

SRI ADHIKARI BROS. ranked among the best performers on Wednesday. It delivered +1.82% to close at 5.6. On a day when the overall market breadth was 70%, it closed higher than 8% of the market. In comparison, the benchmark NIFTY-50 index closed today at -0.0084%.

[Themes containing SABTN]

SABTN is currently in a bearish trend. Over the last three months 2 bearish signals have generated a profit of +4.95% for investors.


SABTN has been underperforming the NIFTY-50 index in recent time. It showed significant underperformance (compared to the NIFTY-50 index) from 17 Mar, 2016 to 28 Aug, 2018. Over the last 3 years and 1 month, SABTN underperformed the NIFTY-50 index on 53% days.

During the last three months SABTN was mostly loss making and delivered on average -0.25% per day. It's best return during this period (of +4.2%) was on Monday, 19 Nov, 2018. While it's worst loss in the same period (of -4.84%) was on Tuesday, 20 Nov, 2018. The longest stort-term trends during this period were 5 profitable and losing days. The bullish trend (which returned +5.25%) started on 11 Dec, 2018 and went on till 17 Dec, 2018 while the bearish trend (which returned -4.34%) started on 20 Dec, 2018 and went on till 27 Dec, 2018.

The last 12 months saw SABTN's investors making profits in 2 months and incurring losses in 10 months. SABTN was less consistent in delivering monthly returs than NIFTY-50 index. SABTN was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Jul 2018, returned -35.33% compared to -6.42% returned by NIFTY-50 index in Sep 2018. SABTN had a longer winning streak of losing months than NIFTY-50 index. It went down in 4 straight months (from Apr 2018 to Jul 2018) during which period it delivered -77.98%.

Be quick in cutting your loses but not profits
-- Abhishek Shukla

SABTN is currently seeing overall increase in volatility. In comparison, the NIFTY-50 index is seeing decrease in volatility. During the last three months, there was a significant surge in SABTN's volatility from 25 Oct, 2018 to 21 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 SABTN has positive skewness in it's return distribution. This indicates that investors can expect SABTN to make attempts to recover from drawdowns quickly. Which makes SABTN a good candidate for momentum based trading on short-term bullish trends or counter-trends.

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

Based on your interest in SABTN you may find it interesting to know that KARURVYSYA and CUB are both mid caps that have shown remarkable performance and deserve to be on every investors' watchlist.

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