GRAVITA - IntraDay Trade Analysis with Live Signals

Last Updated Time : 20 Dec 25, 07:02 am

IntraDay Trade Rating: 4.2

📊 Analysis: GRAVITA shows strong intraday potential with RSI at 55.9 and positive MACD (28.6), indicating bullish momentum. Current price (1,817 ₹) is above both 50 DMA (1,755 ₹) and 200 DMA (1,761 ₹), reflecting technical strength. Volume (1.27L) is below average weekly volume (1.80L), which slightly reduces conviction but still supports intraday participation. Fundamentals are solid (ROCE 21.4%, ROE 18.5%), and quarterly PAT growth (+72.4%) adds confidence. Valuation is stretched (P/E 51 vs industry PE 20), but earnings momentum supports short-term trades.

💹 Optimal Buy Price: 1,810–1,820 ₹ (near DMA support).

🎯 Profit-Taking Exit Levels: 1,840–1,860 ₹ (short-term resistance zone).

🛡️ Stop-Loss / Loss Protection: 1,795 ₹ (below DMA support).

⏱️ If Already Holding: Exit intraday if price fails to sustain above 1,840 ₹ with volume confirmation, or if RSI dips below 53 with weakening MACD. Hold only if momentum continues above 1,860 ₹, targeting 1,880–1,900 ₹.

Positive

• ✅ Strong ROCE (21.4%) and ROE (18.5%) reflect efficient capital use.
• ✅ Quarterly PAT growth from 68 Cr. to 87.2 Cr. (+72.4%) shows earnings momentum.
• ✅ EPS at 35.6 ₹ supports valuation strength.
• ✅ Low debt-to-equity (0.11) ensures financial stability.
• ✅ DII holding increased (+0.46%), showing domestic investor support.

Limitation

• ⚠️ Volume below average reduces intraday conviction.
• ⚠️ FII holding decreased (-0.44%), showing foreign investor caution.
• ⚠️ High P/E (51) compared to industry PE (20) indicates overvaluation.
• ⚠️ PEG ratio (0.76) suggests valuation concerns.

Company Negative News

• ❌ No major external negative news reported, but valuation risks and lower FII interest are concerns.

Company Positive News

• 🌟 Strong quarterly profit growth boosts investor sentiment.
• 🌟 DII inflows support long-term confidence.

Industry

• 🏭 Industry PE at 20.0 is lower than GRAVITA’s PE (51.0), suggesting premium valuation.
• 🏭 Sector outlook stable, supported by demand in recycling and industrial materials.

Conclusion

📌 GRAVITA is a good candidate for intraday trading with bullish momentum indicators, strong earnings growth, and technical support above DMA levels. While valuation is stretched and volume is slightly below average, fundamentals and momentum favor short-term trades. Suitable for cautious intraday traders with tight stop-loss discipline, aiming for quick scalps near resistance zones.

Would you like me to extend this into a peer benchmarking overlay against other recycling and industrial material stocks (like Hindustan Zinc, Nalco, Rain Industries) to compare intraday strength and rotation opportunities?