They are not really value stocks , they are what are popularly called as Value Traps . Stocks which appear attractive due to their low P/E or P/B ratio and other such ratios. Market has discounted them for several reasons right from lower growth projections or Corporate governance issues. That said there could be few stocks mostly small or mid caps hidden here or there which might not have come under the FII scanners yet.
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I dont think so, The stock does not participate in the rally does not mean it is a value stock. How did you arrive at such a conclusion, any other parameters you used?
Hi AstroGuru, whether its value or not, I did some ratio analysis. Tata Steel for example is a value scrip, according to my analysis. Also, if you see correlation of it with Nifty, it has not participated in the rally.
I am still new in the field of investing. Let me know what you think about the example mentioned above. Thanks…
In the Feb rate cut announcement something could really happen, which could further boost the markets. You would have witnessed the bull rally in banks due to this rate cut. On the other side, forecasts of Brent Oil seems to jeopardise Energy stocks again. The rate cut will mostly influence banking stocks while drop in oil could benefit manufacturers like paint, rubber etc.
I dont have idea on TATSTEEL sorry about that.
OK, thanks for the explanation mate. Gave a new perspective 