ALKYLAMINE - Swing Trade Analysis with AI Signals

Last Updated Time : 20 Dec 25, 07:00 am

Swing Trade Rating: 2.5

📊 ALKYLAMINE currently shows weak swing trading potential. The RSI at 22.5 indicates the stock is deeply oversold, which could trigger a short-term bounce. However, the MACD (-56.2) reflects strong bearish momentum, and the price is trading below both the 50 DMA (1,752 ₹) and 200 DMA (1,906 ₹), confirming a downtrend. Optimal entry would be near 1,520–1,540 ₹, close to the support zone. If already holding, consider exiting near 1,700–1,750 ₹, where resistance from the 50 DMA exists.

✅ Positive

• 📈 ROCE (18.7%) and ROE (14.0%) show moderate efficiency in capital use.
• 💰 Debt-free balance sheet (Debt-to-equity ratio 0.00) provides financial stability.
• 📊 Institutional interest with FII (+0.18%) and DII (+0.28%) holdings increasing.
• 💹 Dividend yield of 0.64% adds shareholder value.

⚠️ Limitation

• 📉 P/E of 45.2 is significantly higher than industry average (26.6), suggesting overvaluation.
• 📉 Negative PEG ratio (-7.50) signals poor valuation relative to growth.
• 📉 Quarterly profit declined (-9.52%), showing earnings weakness.
• 📉 Price below DMA 50 & DMA 200, confirming bearish trend.

🚨 Company Negative News

Quarterly profits fell by 9.52%, raising concerns about earnings stability. Technical indicators remain weak with strong bearish MACD and price below key moving averages. Valuation is stretched compared to peers.

🌟 Company Positive News

Debt-free balance sheet provides resilience. Institutional investors have increased holdings, showing cautious confidence. Dividend yield adds shareholder returns, and oversold RSI suggests potential for a short-term rebound.

🏭 Industry

The chemical industry trades at an average P/E of 26.6, while ALKYLAMINE trades at 45.2, making it relatively expensive. Sector demand remains steady, but valuation concerns limit near-term attractiveness.

📌 Conclusion

ALKYLAMINE is a weak candidate for swing trading due to bearish technicals and declining profits. Entry near 1,520–1,540 ₹ may offer a short-term rebound opportunity. Exit strategy should target 1,700–1,750 ₹, but traders should remain cautious given stretched valuations and weak momentum.

I can also outline a stop-loss level around 1,480 ₹ to help manage downside risk if you'd like.