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The first-rule of trading, which everyone tries to-follow or implement, is to buy at-a-lower price and sell at a higher price. But this is easier said
than done. It is difficult to time the market, which means it is hard to predict the bottom or top of the market. The same rule applies to stocks as well.
To make the job simpler, Morgan Stanley in a recent strategy report highlighted 13 stocks in which growth is available at reasonable prices. At a time
when most companies are struggling to show a consistent growth track record, these 13 stocks are priced to perfection at current levels in comparison
to their return on capital employed (RoCE). However, one should note that these are not 'buy or sell' recommendations from the global investment bank.
The list includes companies like Asian Paints, BPCL, Dabur India, Godrej Consumer Products, Havells India, India Oil Corporation, Infosys, ITC, JSW Steel,
Petronet LNG & Mphasis. Why is growth, EPS or RoCE so important? Growth is a predominant factor why the stock price of a company rises or falls. This
is the untold truth of the market. At the same time, efficiency of capital is equally important, which is measured by calculating RoCE. Theory suggests
that earnings per share is the portion of a company's distributable profit allocated to each outstanding share of common stock. "Generally, any company
with more than 15 percent EPS is considered to be a great investment bet. If the RoCE of the company also supports EPS, then the company will offer better
than done. It is difficult to time the market, which means it is hard to predict the bottom or top of the market. The same rule applies to stocks as well.
To make the job simpler, Morgan Stanley in a recent strategy report highlighted 13 stocks in which growth is available at reasonable prices. At a time
when most companies are struggling to show a consistent growth track record, these 13 stocks are priced to perfection at current levels in comparison
to their return on capital employed (RoCE). However, one should note that these are not 'buy or sell' recommendations from the global investment bank.
The list includes companies like Asian Paints, BPCL, Dabur India, Godrej Consumer Products, Havells India, India Oil Corporation, Infosys, ITC, JSW Steel,
Petronet LNG & Mphasis. Why is growth, EPS or RoCE so important? Growth is a predominant factor why the stock price of a company rises or falls. This
is the untold truth of the market. At the same time, efficiency of capital is equally important, which is measured by calculating RoCE. Theory suggests
that earnings per share is the portion of a company's distributable profit allocated to each outstanding share of common stock. "Generally, any company
with more than 15 percent EPS is considered to be a great investment bet. If the RoCE of the company also supports EPS, then the company will offer better
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