SURYALAKSHMI COT MIL LTD

40.3 -0.54 (-1.35%) Sell

SURYALAXMI is a falling knife, continues to bleed every investor trying to catch it

13 min read

SURYALAKSHMI COT MIL LTD has destroyed investor wealth on Wednesday. It fell by -1.35% to close at 40.3. On a day when the overall market breadth was 70%, it closed higher than 20% of the market. In comparison, the benchmark NIFTY-50 index closed today at -0.0084%.

[Themes containing SURYALAXMI]

Buy-and-Hold investors in SURYALAXMI experienced a maximum drawdown of -9.74% over the last three months. It increased by +5.77% 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.

Trend

SURYALAXMI has been underperforming the NIFTY-50 index in recent time. It showed significant underperformance (compared to the NIFTY-50 index) from 20 Jul, 2016 to 28 Aug, 2018. Over the last 3 years and 1 month, SURYALAXMI underperformed the NIFTY-50 index on 57% days.

During the last three months SURYALAXMI delivered losses on 55% days. However, it still managed to end this period in a profit. It's best return during this period (of +7.6%) was on Tuesday, 30 Oct, 2018. While it's worst loss in the same period (of -4.93%) was on Friday, 16 Nov, 2018. The longest stort-term trends during this period were 4 profitable and losing days. The bullish trend (which returned +3.81%) started on 7 Dec, 2018 and went on till 12 Dec, 2018 while the bearish trend (which returned -8.09%) started on 18 Jan, 2019 and went on till 23 Jan, 2019.

During the last year SURYALAXMI had 3 profitable months and 9 loss making months. SURYALAXMI returned profits in fewer months than NIFTY-50 index. SURYALAXMI was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Mar 2018, returned -20.0% compared to -6.42% returned by NIFTY-50 index in Sep 2018. SURYALAXMI had a longer winning streak of losing months than NIFTY-50 index. It went down in 6 straight months (from Feb 2018 to Jul 2018) during which period it delivered -61.51%. It is interesting to note that both SURYALAXMI and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.

Buy when everyone else is selling and hold until everyone else is buying. That's not just a catchy slogan. It's the very essence of successful investing.
-- J. Paul Getty

SURYALAXMI 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 fall in SURYALAXMI's volatility from 1 Nov, 2018 to 16 Jan, 2019. 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 SURYALAXMI has significant negative skewness in it's return distribution. This indicates that SURYALAXMI is very risky for short-term investment and can significantly underperform for long durations.

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

Based on your interest in SURYALAXMI you may find it interesting to know that ~MUTHOOTGRP, ~CHEMICALS and NIFTY-GS-15YRPLUS have all shown remarkable performance and qualify to be on every investor's watchlist.

Want to improve your Portfolio's performance?

Spotalpha's Portfolio optimizer is all you need to improve your returns and reduce your risk.
Optimize Portfolio NOW
If you liked what you read here ...

... we have a small favour to ask. Help us bring the power of algorithmic trading strategies to individual investors.

All content in this article was automatically generated by algorithms. This ensures that there are no human biases in the analysis provided. This approach to investing is not new and has been around for more than three decades. Yet, it has been available to only the most affluent or elite investors leaving individual investors to trade on emotions (such as fear and greed), intuition and poor analysis from third-parties. We want to change this.

We want to empower investors with all the tools and analysis required by them to make a rational investment decision.

If you found Spotalpha useful, consider making a contribution. For as little as $5 you can support our efforts and it takes less than a minute. Thank you. Contribute
Share with friends   WhatsApp   Facebook   Twitter