⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.

SUNPHARMA - IntraDay Trade Analysis with Live Signals

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Rating: 4

Last Updated Time : 03 May 26, 09:02 am

IntraDay Trade Rating: 4.0

Stock Code SUNPHARMA Market Cap 4,33,872 Cr. Current Price 1,808 ₹ High / Low 1,851 ₹
Stock P/E 99.4 Book Value 99.2 ₹ Dividend Yield 0.88 % ROCE 16.8 %
ROE 17.8 % Face Value 1.00 ₹ DMA 50 1,724 ₹ DMA 200 1,713 ₹
Chg in FII Hold -0.18 % Chg in DII Hold 0.28 % PAT Qtr 872 Cr. PAT Prev Qtr 564 Cr.
RSI 63.0 MACD 2.98 Volume 49,60,661 Avg Vol 1Wk 1,49,37,644
Low price 1,547 ₹ High price 1,851 ₹ PEG Ratio 1.36 Debt to equity 0.56
52w Index 85.9 % Qtr Profit Var -24.6 % EPS 16.7 ₹ Industry PE 30.1

📈 Optimal Buy Price: 1,790–1,805 ₹ (near DMA50 support zone)

💰 Profit Exit Levels: 1,835–1,850 ₹ (short-term resistance, close to 52w high)

🛑 Stop-Loss: Below 1,775 ₹ (protect downside risk)

🔄 Intraday Exit Guidance: If RSI (63.0) fails to sustain above 60 or price action struggles near 1,835 ₹ with declining volume, consider booking profits. Exit intraday if volume remains below average despite MACD staying positive.

Positive

  • Strong ROE (17.8%) and ROCE (16.8%) indicate efficient capital use
  • PEG ratio at 1.36 suggests moderate valuation relative to growth
  • Trading well above DMA200 (1,713 ₹), confirming long-term strength
  • DII holdings increased (+0.28%), showing domestic institutional confidence

Limitation

  • Extremely high P/E (99.4) compared to industry average (30.1)
  • Sequential PAT decline (-24.6%) raises earnings concerns
  • FII holdings decreased (-0.18%), showing reduced foreign investor confidence
  • Volume below weekly average, indicating weaker participation

Company Negative News

  • Sharp decline in quarterly profits (872 Cr. vs 564 Cr. previously)
  • High valuation multiples may limit upside if growth slows

Company Positive News

  • Strong long-term profitability metrics (ROE and ROCE)
  • DII stake increased, reflecting domestic institutional support

Industry

  • Pharma sector PE at 30.1, much lower than Sun Pharma’s valuation
  • Industry supported by global healthcare demand and specialty drug growth

Conclusion

📌 SUNPHARMA is a fundamentally strong company but not ideal for aggressive intraday trading today due to weak volume and stretched valuations. Best entry lies between 1,790–1,805 ₹ with exits near 1,835–1,850 ₹. Intraday traders should maintain strict stop-loss discipline at 1,775 ₹ and monitor RSI and volume closely.

Would you like me to also prepare a sector overlay comparison (Sun Pharma vs Dr. Reddy’s, Cipla, Divi’s Lab) so you can benchmark intraday strength across peers?

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