A technical stock analysis is an evaluation of the tendencies which the stocks of a particular company have displayed over a period of time. This means considerable and minute understanding of the stock market, investor behaviour, financial conditions and stock performance. The report must be demonstrated in the form of graphs which can then be used to highlight the conclusions found in the report. A technical stock analysis must be done by someone capable of the job and there should be no errors.

Sample Technical Stock Analysis

Technical stock analysis created by: Denver Group Pvt. Ltd.

Technical stock analysis created for: Jason Murberry and Associates Pvt. Ltd.

Date of submission of technical stock analysis: 1ts June 2012

Period for which the analysis has been conducted: September to December 2011

Please check the attached histogram with this document to compare the results mentioned there with the “Findings Obtained” tab in this document.


Findings Obtained:

  • The stock performance of Jason Murberry and Associates Pvt. Ltd. for the period mentioned above shows decent growth. EPs growth by 75% is a good sign.
  • Operating profit too has consequently increased with the increase in EPS.
  • However, ROE or Return on Equity levels have not breached the 15% cap which is not a good sign and indicates the presence of prohibitive factors which must be identified and rectified.

Factors

September

October

November

December

Growth of EPS 75% 70% 75.44% 67.66%
Increase in revenue 55% 56.55% 65.44% 74.44%
ROE 15% 14.46% `4.66% 10.5%
DER [debt to equity ratio] 1.51 1.56 1.34 1.45

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