⚠ 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.
BIOCON - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.7
| Stock Code | BIOCON | Market Cap | 59,763 Cr. | Current Price | 369 ₹ | High / Low | 425 ₹ |
| Stock P/E | 745 | Book Value | 120 ₹ | Dividend Yield | 0.14 % | ROCE | 2.09 % |
| ROE | 0.40 % | Face Value | 5.00 ₹ | DMA 50 | 379 ₹ | DMA 200 | 369 ₹ |
| Chg in FII Hold | 0.53 % | Chg in DII Hold | 2.07 % | PAT Qtr | 70.9 Cr. | PAT Prev Qtr | -8.30 Cr. |
| RSI | 43.1 | MACD | -4.67 | Volume | 19,32,501 | Avg Vol 1Wk | 39,01,623 |
| Low price | 291 ₹ | High price | 425 ₹ | PEG Ratio | -40.0 | Debt to equity | 0.16 |
| 52w Index | 58.0 % | Qtr Profit Var | 2,116 % | EPS | 5.51 ₹ | Industry PE | 29.1 |
📊 BIOCON shows weak fundamentals with extremely high valuations and poor capital efficiency. Although recent profit recovery is positive, technical indicators remain weak, making it a risky swing trade candidate.
💡 Optimal Entry Price: 350–360 ₹ (near 200 DMA support).
🚪 Exit Strategy: If already holding, consider exiting near 390–400 ₹ (resistance zone) or if RSI crosses 55 with weakening momentum.
✅ Positive
- Market cap of 59,763 Cr. reflects strong investor interest.
- Quarterly PAT recovery from -8.30 Cr. to 70.9 Cr. shows turnaround momentum.
- FII holdings increased (+0.53%) and DII holdings rose (+2.07%), indicating institutional support.
- Stock trading near 200 DMA (369 ₹), providing technical support.
⚠️ Limitation
- Extremely high P/E ratio (745) compared to industry average (29.1), suggesting severe overvaluation.
- Weak ROCE (2.09%) and ROE (0.40%) indicate poor capital efficiency.
- PEG ratio of -40.0 highlights unsustainable growth prospects.
- Dividend yield of 0.14% is very low, limiting investor returns.
- MACD at -4.67 shows weak momentum.
📉 Company Negative News
- Fundamentals remain weak despite profit recovery, with low ROE and ROCE.
- Trading volume lower than weekly average, showing reduced short-term momentum.
📈 Company Positive News
- PAT improved significantly from a loss (-8.30 Cr.) to a profit of 70.9 Cr.
- Institutional support strengthened with FII (+0.53%) and DII (+2.07%) increases.
🏭 Industry
- Biopharma sector has long-term growth potential driven by healthcare demand.
- Industry PE at 29.1 is far below BIOCON’s valuation, showing premium pricing.
🔎 Conclusion
BIOCON is a risky swing trade candidate with weak fundamentals and stretched valuations. Entry near 350–360 ₹ is favorable, with exit around 390–400 ₹. Traders should monitor RSI, MACD, and institutional flows closely before committing.