DALBHARAT - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.5
| Stock Code | DALBHARAT | Market Cap | 35,756 Cr. | Current Price | 1,906 ₹ | High / Low | 2,496 ₹ |
| Stock P/E | 247 | Book Value | 420 ₹ | Dividend Yield | 0.47 % | ROCE | 2.17 % |
| ROE | 1.84 % | Face Value | 2.00 ₹ | DMA 50 | 1,952 ₹ | DMA 200 | 2,034 ₹ |
| Chg in FII Hold | -0.77 % | Chg in DII Hold | 1.26 % | PAT Qtr | 74.8 Cr. | PAT Prev Qtr | 22.0 Cr. |
| RSI | 46.4 | MACD | 8.43 | Volume | 2,86,130 | Avg Vol 1Wk | 4,88,538 |
| Low price | 1,717 ₹ | High price | 2,496 ₹ | PEG Ratio | -26.5 | Debt to equity | 0.03 |
| 52w Index | 24.3 % | Qtr Profit Var | -2.88 % | EPS | 7.52 ₹ | Industry PE | 30.8 |
Analysis: Dalmia Bharat (DALBHARAT) shows weak fundamentals despite recent profit improvement. Current price (1,906 ₹) is below both DMA 50 (1,952 ₹) and DMA 200 (2,034 ₹), indicating bearish technicals. RSI at 46.4 suggests neutral to slightly oversold conditions, while MACD (8.43) signals mild bullishness. ROCE (2.17%) and ROE (1.84%) are very weak, reflecting inefficiency. Quarterly PAT improved (74.8 Cr. vs 22.0 Cr.), but profit variation (-2.88%) raises caution. Valuation is extremely stretched with P/E of 247 compared to industry PE of 30.8, and PEG ratio (-26.5) highlights poor growth prospects. Debt-to-equity ratio is low (0.03), which is a positive.
Optimal Entry Price: Around 1,850–1,870 ₹ (near support zone).
Exit Strategy if Holding: Consider booking profits near 1,950–2,000 ₹ unless momentum sustains above 2,050 ₹ resistance.
✅ Positive
- Low debt-to-equity ratio (0.03) ensures financial stability.
- Quarterly PAT improved significantly (74.8 Cr. vs 22.0 Cr.).
- DII holdings increased (+1.26%), showing domestic investor confidence.
⚠️ Limitation
- Extremely high P/E (247) compared to industry average (30.8).
- Weak ROCE (2.17%) and ROE (1.84%).
- Quarterly profit variation (-2.88%) raises caution.
- FII holdings decreased (-0.77%), showing reduced foreign interest.
📰 Company Negative News
- No major negative news reported, but weak efficiency metrics and stretched valuation are concerns.
🌟 Company Positive News
- Quarterly PAT improvement supports investor sentiment.
- Domestic institutional investors increased their stake.
🏭 Industry
- Industry P/E at 30.8 suggests Dalmia Bharat trades at a steep premium.
- Cement sector remains cyclical but benefits from infrastructure demand.
📌 Conclusion
Dalmia Bharat is a risky candidate for swing trading due to weak efficiency metrics and extreme valuation. Entry around 1,850–1,870 ₹ offers a safer setup, while exit near 1,950–2,000 ₹ is advisable unless momentum sustains above 2,050 ₹. Strong PAT improvement and low debt are positives, but stretched valuation warrants cautious optimism.
Would you like me to expand this with a technical chart outlook, peer comparison, or sector growth analysis?