Rupa, Lux, Dollar & Jockey: Innerwear Stocks Fall To 52-Week Lows, Should You Buy?

Markets have been moving in a tight range for the last few trading sessions. The conclusion of the Union Budget has lessened volatility considerable. Going ahead investors expect the market to continue to trade in a range.

Rupa, Lux, Dollar & (Page) Jockey: Stocks fall to 52-week lows

Name of company	52-week lows hit On Feb 10, 2023
Rupa & Company	Rs 251
Lux Industries	Rs 1311
Page Industries (Jockey)	Rs 37,170
Dollar Industries	Rs 363

Interestingly, all of the innerwear stocks have fallen to 52-week lows on the same day.

Should you buy the stocks of Rupa, Lux, Page and Dollar Industries?

We do not give, buy, sell or hold calls, but, let give some insight into these stocks. Some of the reasons for the sharp fall has been the rise in cotton prices, which has hit margins. Will cotton prices continue to stay elevated for long? Not really!. In fact, we are seeing softening in cotton prices, which should benefit some of these companies. As far as buying is concerned, Emkay Global had recently recommended buying the stock of Page Industries, the licensee for Jockey in India and other certain countries in the Asian region. The brokerage has set a price target of Rs 48,800 on the stock. For the other stocks there was not too many recommendations for a buy.

Equity markets start correcting

The equity markets continued in the corrective mode after the Fed and the RBI announced further hike in the base rate. "What was surprising was the firmer tone of both the central banks regarding inflation containment, as both sounded quite determined to hike rates again if data points favor the same. The corrective downward movements would render the domestic markets less expensive in terms of valuations, and greater participation is expected of investors through graduated investments in the coming months. The trajectory of the US Dollar especially the Dollar Index is being tracked by investors and analysts alike to deduce the prospects for local currencies as it is crucial for overseas investors," Dr. Joseph Thomas, Head of Research, Emkay Wealth Management.

Disclaimer

The above article is for informational purposes only. We have highlighted the stocks that have hit 52-week lows from the innerwear sector. These are not buy recommendations from our end. Investors should seek professional advise before investing.