BIOCON - Swing Trade Analysis with AI Signals

Last Updated Time : 19 Sept 25, 2:15 pm

Swing Trade Rating: 2.6

📉 Technical & Fundamental Snapshot

⚠️ Weak Fundamentals

P/E of 3,939 vs industry 33.4 — extremely overvalued due to depressed earnings.

PEG ratio -211 — signals negative growth outlook.

EPS ₹5.01, ROCE 2.09%, ROE 0.40% — poor profitability metrics.

Qtr Profit Var -1,022% and PAT Qtr -₹8.3 Cr. — severe earnings deterioration.

Book Value ₹96 vs CMP ₹368 — high price-to-book ratio.

Dividend yield 0.14% — negligible income support.

✅ Technical Positives

Price above DMA50 (₹363) and DMA200 (₹352) — short-term trend intact.

RSI at 55.2 — neutral, with room to trend higher.

Volume spike (94.3L vs 34.8L avg) — strong participation.

FII (+0.37%) and DII (+7.10%) holding increased — institutional interest.

🧭 Trend Context (September 2025)

Broker consensus places Biocon’s short-term price target around ₹367.20, suggesting minimal upside from current levels

1

. Forecast models indicate a narrow trading range between ₹334.8 and ₹408 for the current year

2

. Despite long-term optimism, the current valuation is considered “very expensive” and earnings volatility remains a concern

2

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🎯 Optimal Entry Price

Ideal entry: ₹355–₹360, near DMA200 and volume shelf.

Confirm entry only if MACD flattens and RSI crosses 58 with volume >50L.

🚪 Exit Strategy (If Already Holding)

Target zone: ₹390–₹405 (near recent high and resistance band).

Stop-loss: ₹345 (below DMA200 and recent swing low).

Exit trigger: RSI > 65 or MACD divergence near ₹405.

This setup is technically stable but fundamentally fragile. If you're basket-optimizing across pharma or biotech, I can scan for peers with stronger PEG and earnings momentum. Just say the word.

1

trendlyne.com

2

www.stocks-buy.com

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