CERA - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 4.0

📈 Current Price: ₹6,272

📊 RSI: 60.9 (Bullish but nearing overbought)

📈 MACD: 6.89 (Positive momentum)

📈 DMA 50 / 200: ₹6,207 / ₹6,487 (Price above 50 DMA, below 200 DMA)

📉 Volume: 14,199 vs 1Wk Avg 16,185 (Slightly below average)

💰 Market Cap: ₹8,152 Cr

📉 Qtr Profit Decline: -0.94%

📉 FII Holding: -1.35%

📈 DII Holding: +1.49%

📌 Optimal Entry Price

🎯 Entry Range: ₹6,200–₹6,250 (Near 50 DMA and support zone)

📤 Exit Strategy

💡 Exit if: Price approaches ₹6,700–₹6,800 or RSI crosses 70 with declining volume.

✅ Positive

• Strong ROCE (22.4%) and ROE (18.3%) indicate efficient capital use
• Low debt-to-equity ratio (0.05) reflects financial stability
• EPS of ₹189 shows strong earnings
• MACD and RSI suggest bullish momentum
• DII holding increased significantly (+1.49%)

⚠️ Limitation

• Stock P/E (33.0) is high relative to book value (₹1,038)
• Price below 200 DMA may face resistance
• Volume slightly below weekly average
• PEG ratio of 1.92 suggests moderate overvaluation

📰 Company Negative News

• Quarterly PAT declined from ₹86.8 Cr to ₹46.5 Cr
• FII holding dropped by 1.35%

📈 Company Positive News

• DII holding increased by 1.49%
• MACD and RSI show positive technical setup

🏭 Industry

• Industry P/E: 33.0 (same as stock P/E)
• Sanitaryware and home improvement sector remains resilient with urban demand growth

🔚 Conclusion

CERA offers a solid swing trade opportunity with strong fundamentals and bullish technical indicators. Entry near ₹6,200–₹6,250 is favorable, with an exit target around ₹6,700–₹6,800. A stop-loss below ₹6,100 is recommended to manage downside risk.

I can also monitor RSI and MACD trends for CERA to help you time your exit more precisely.