AMBUJACEM - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.9
| Stock Code | AMBUJACEM | Market Cap | 1,03,828 Cr. | Current Price | 420 ₹ | High / Low | 625 ₹ |
| Stock P/E | 29.0 | Book Value | 206 ₹ | Dividend Yield | 0.48 % | ROCE | 8.80 % |
| ROE | 8.77 % | Face Value | 2.00 ₹ | DMA 50 | 498 ₹ | DMA 200 | 538 ₹ |
| Chg in FII Hold | -0.11 % | Chg in DII Hold | 0.23 % | PAT Qtr | 227 Cr. | PAT Prev Qtr | 1,571 Cr. |
| RSI | 26.4 | MACD | -25.1 | Volume | 28,31,852 | Avg Vol 1Wk | 40,86,182 |
| Low price | 418 ₹ | High price | 625 ₹ | PEG Ratio | 1.40 | Debt to equity | 0.02 |
| 52w Index | 0.82 % | Qtr Profit Var | -87.1 % | EPS | 13.7 ₹ | Industry PE | 27.0 |
📊 AMBUJACEM shows weak technicals and modest fundamentals, making it a risky candidate for swing trading. The RSI at 26.4 indicates oversold conditions, while MACD remains negative (-25.1), confirming bearish momentum. The stock is trading well below both its 50 DMA (498 ₹) and 200 DMA (538 ₹), reflecting sustained weakness. Fundamentals are modest: P/E (29.0) is slightly above industry average (27.0), but ROCE (8.80%) and ROE (8.77%) are low. PAT dropped sharply (227 Cr vs. 1,571 Cr), and EPS stands at 13.7 ₹. Institutional activity is mixed, with FII holdings down (-0.11%) but DII holdings up (+0.23%).
💡 Optimal Entry Price: Around 418–425 ₹ (near support zone).
📈 Exit Strategy if Holding: Consider exiting near 495–500 ₹ (close to 50 DMA resistance) unless momentum reverses strongly.
✅ Positive
- Reasonable P/E (29.0) compared to industry average (27.0).
- Dividend yield of 0.48% provides modest returns.
- Debt-to-equity ratio at 0.02 indicates very low leverage.
- DII holdings increased (+0.23%), reflecting domestic institutional support.
⚠️ Limitation
- Stock trading below both 50 DMA and 200 DMA confirms bearish trend.
- Weak ROCE (8.80%) and ROE (8.77%) highlight poor efficiency.
- Quarterly PAT declined sharply (227 Cr vs. 1,571 Cr).
- Quarterly profit variance (-87.1%) raises concerns about earnings stability.
- Volume lower than average, reducing short-term momentum.
📉 Company Negative News
- Sharp decline in quarterly profits highlights operational weakness.
- FII holdings decreased (-0.11%), showing reduced foreign investor confidence.
📈 Company Positive News
- DII holdings increased (+0.23%), showing domestic institutional support.
- Low debt levels provide financial stability despite weak earnings.
🏭 Industry
- Industry P/E at 27.0 is slightly lower than AMBUJACEM’s 29.0, suggesting peers may be better valued.
- Cement sector remains cyclical, with demand linked to infrastructure and construction activity.
🔎 Conclusion
AMBUJACEM is technically weak and fundamentally modest, making it a high-risk swing trade candidate. Entry near 418–425 ₹ may offer a short-term rebound opportunity, but exits should be considered around 495–500 ₹. Caution is advised due to sharp profit decline and weak efficiency metrics.