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COCHINSHIP - Swing Trade Analysis with AI Signals

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Rating: 3.2

Last Updated Time : 05 Feb 26, 02:16 am

Swing Trade Rating: 3.2

Stock Code COCHINSHIP Market Cap 39,583 Cr. Current Price 1,504 ₹ High / Low 2,547 ₹
Stock P/E 55.6 Book Value 219 ₹ Dividend Yield 0.65 % ROCE 20.4 %
ROE 15.8 % Face Value 5.00 ₹ DMA 50 1,595 ₹ DMA 200 1,674 ₹
Chg in FII Hold -0.48 % Chg in DII Hold -0.01 % PAT Qtr 138 Cr. PAT Prev Qtr 101 Cr.
RSI 42.5 MACD -17.5 Volume 6,25,563 Avg Vol 1Wk 17,03,215
Low price 1,180 ₹ High price 2,547 ₹ PEG Ratio 4.33 Debt to equity 0.18
52w Index 23.7 % Qtr Profit Var -25.3 % EPS 27.0 ₹ Industry PE 42.0

📊 Based on the given parameters, COCHINSHIP shows limited potential for swing trading at present. The stock is trading at 1,504 ₹, well below its 52-week high of 2,547 ₹, reflecting significant correction. Technical indicators (RSI 42.5, MACD negative) suggest bearish momentum. The optimal entry price would be closer to 1,450–1,480 ₹ for risk-managed buying. If already holding, consider exiting near 1,590–1,600 ₹ (around 50 DMA) to avoid further downside pressure.

✅ Positive

  • ROCE of 20.4% and ROE of 15.8% indicate decent operational efficiency.
  • Debt-to-equity ratio of 0.18 shows low leverage, reducing financial risk.
  • Quarterly PAT improved to 138 Cr. from 101 Cr., showing sequential growth.
  • Industry PE of 42.0 vs company PE of 55.6 highlights growth premium.

⚠️ Limitation

  • High P/E of 55.6 compared to industry average, suggesting overvaluation.
  • PEG ratio of 4.33 indicates poor valuation relative to growth.
  • Quarterly profit variation of -25.3% shows earnings volatility.
  • RSI at 42.5 and negative MACD (-17.5) highlight weak technical trend.
  • Trading volume significantly below weekly average, suggesting reduced participation.
  • FII holdings decreased (-0.48%), showing reduced foreign investor confidence.

📉 Company Negative News

  • Recent profit decline raises concerns about earnings sustainability.
  • Stock has corrected heavily from 52-week high, weakening investor sentiment.

📈 Company Positive News

  • Sequential PAT growth in the latest quarter indicates operational improvement.
  • Low debt levels provide financial stability and flexibility.

🏭 Industry

  • Shipbuilding and defense sector supported by government contracts and infrastructure push.
  • Industry valuations are lower, suggesting COCHINSHIP trades at a premium despite correction.

🔎 Conclusion

COCHINSHIP is currently a weak swing trade candidate due to bearish technicals and high valuation. Entry near 1,450–1,480 ₹ offers better risk-reward if momentum stabilizes. If already holding, exit near 1,590–1,600 ₹ (50 DMA resistance zone) is advisable. Strong fundamentals and low debt provide long-term comfort, but short-term swing trade outlook remains cautious.

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