AKUMS - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 2.5
| Stock Code | AKUMS | Market Cap | 9,522 Cr. | Current Price | 605 ₹ | High / Low | 635 ₹ |
| Stock P/E | 81.7 | Book Value | 154 ₹ | Dividend Yield | 0.17 % | ROCE | 6.82 % |
| ROE | 4.93 % | Face Value | 2.00 ₹ | DMA 50 | 546 ₹ | DMA 200 | 510 ₹ |
| Chg in FII Hold | 0.24 % | Chg in DII Hold | -0.05 % | PAT Qtr | 17.1 Cr. | PAT Prev Qtr | 31.0 Cr. |
| RSI | 65.2 | MACD | 20.8 | Volume | 1,19,532 | Avg Vol 1Wk | 2,82,784 |
| Low price | 409 ₹ | High price | 635 ₹ | PEG Ratio | -4.02 | Debt to equity | 0.02 |
| 52w Index | 86.6 % | Qtr Profit Var | -38.1 % | EPS | 7.09 ₹ | Industry PE | 32.5 |
AKUMS shows weak fundamentals for swing trading. The company trades at a very high P/E of 81.7 compared to the industry average of 32.5, indicating overvaluation. ROCE (6.82%) and ROE (4.93%) are low, reflecting poor efficiency. Quarterly profit fell sharply (17.1 Cr. vs 31 Cr.), with a -38.1% variation, and EPS remains modest (7.09 ₹). While debt is minimal (0.02), the PEG ratio is negative (-4.02), signaling earnings contraction. Technically, RSI at 65.2 suggests the stock is approaching overbought territory, though MACD is positive, showing short-term momentum. Overall, risk outweighs reward for swing traders at current levels.
💡 Optimal Entry Price: Around 540–560 ₹, closer to DMA 50 (546 ₹) for safer entry.
📈 Exit Strategy: If already holding, consider exiting near 620–630 ₹ or on weakness if RSI drops below 55.
✅ Positive
- 📊 Very low debt to equity ratio (0.02).
- 📈 Trading above DMA 50 (546 ₹) and DMA 200 (510 ₹), showing short-term strength.
- 🌍 Slight increase in FII holding (+0.24%).
- 📉 RSI at 65.2 indicates momentum but not extreme overbought yet.
⚠️ Limitation
- 📉 Very high P/E ratio (81.7) vs industry average (32.5).
- 📊 Weak ROCE (6.82%) and ROE (4.93%).
- 📉 Negative PEG ratio (-4.02) signals poor earnings growth.
- 📉 Decline in DII holding (-0.05%).
📰 Company Negative News
- ⚠️ Quarterly profit dropped sharply (-38.1%).
- 📉 EPS remains low (7.09 ₹).
🌟 Company Positive News
- 🚀 Stock trading near 52-week high (635 ₹).
- 📊 Minimal debt provides financial stability.
🏭 Industry
- 📉 Industry P/E at 32.5, far lower than company’s 81.7, highlighting overvaluation.
- 🌍 Industry outlook stable, but AKUMS lags peers in efficiency.
📌 Conclusion
AKUMS is not an ideal swing trade candidate due to weak fundamentals, sharp profit decline, and stretched valuations. Entry is safer around 540–560 ₹ near DMA 50. If already holding, exit near 620–630 ₹ to lock in gains. Short-term traders should remain cautious as momentum may fade quickly given earnings contraction and low efficiency metrics.