⚠ 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.

COHANCE - Swing Trade Analysis with AI Signals

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Rating: 2.7

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

Swing Trade Rating: 2.7

Stock Code COHANCE Market Cap 14,024 Cr. Current Price 367 ₹ High / Low 1,328 ₹
Stock P/E 37.8 Book Value 115 ₹ Dividend Yield 0.00 % ROCE 16.0 %
ROE 12.5 % Face Value 1.00 ₹ DMA 50 495 ₹ DMA 200 757 ₹
Chg in FII Hold -0.50 % Chg in DII Hold 0.76 % PAT Qtr 94.3 Cr. PAT Prev Qtr 58.6 Cr.
RSI 19.9 MACD -39.3 Volume 4,41,452 Avg Vol 1Wk 3,32,579
Low price 356 ₹ High price 1,328 ₹ PEG Ratio -1.83 Debt to equity 0.05
52w Index 1.17 % Qtr Profit Var -32.2 % EPS 12.0 ₹ Industry PE 29.1

📊 Based on the given parameters, COHANCE shows weak potential for swing trading at present. The stock is trading at 367 ₹, near its 52-week low of 356 ₹, reflecting heavy correction and bearish sentiment. Technical indicators (RSI 19.9, MACD negative) suggest oversold conditions but continued weakness. The optimal entry price would be closer to 360–365 ₹ for risk-managed buying. If already holding, consider exiting near 490–500 ₹ (around 50 DMA resistance zone) to avoid prolonged downside pressure.

✅ Positive

  • ROCE of 16.0% and ROE of 12.5% show moderate operational efficiency.
  • Debt-to-equity ratio of 0.05 indicates very low leverage, reducing financial risk.
  • Sequential PAT improvement (94.3 Cr. vs 58.6 Cr.) shows short-term recovery momentum.
  • DII holdings increased by 0.76%, reflecting domestic institutional support.

⚠️ Limitation

  • High P/E of 37.8 compared to industry average of 29.1, suggesting overvaluation.
  • PEG ratio of -1.83 indicates poor valuation relative to growth.
  • Quarterly profit variation of -32.2% shows earnings volatility.
  • RSI at 19.9 and negative MACD (-39.3) highlight strong bearish technical trend.
  • FII holdings decreased (-0.50%), showing reduced foreign investor confidence.
  • Dividend yield of 0.00% offers no income support.

📉 Company Negative News

  • Sharp decline in quarterly profits raises concerns about earnings sustainability.
  • Stock has corrected heavily from 52-week high of 1,328 ₹, weakening sentiment.

📈 Company Positive News

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

🏭 Industry

  • Chemicals and specialty materials sector remains supported by industrial demand, though cyclical pressures persist.
  • Industry P/E of 29.1 highlights COHANCE’s premium valuation despite correction.

🔎 Conclusion

COHANCE is currently a weak swing trade candidate due to bearish technicals, high valuation, and earnings volatility. Entry near 360–365 ₹ offers better risk-reward if momentum stabilizes. If already holding, exit near 490–500 ₹ (50 DMA resistance zone) is advisable. While low debt and recent PAT recovery provide some comfort, short-term swing trade outlook remains cautious.

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