DBREALTY - Swing Trade Analysis with AI Signals

Last Updated Time : 20 Dec 25, 07:02 am

Swing Trade Rating: 2.8

📊 DBREALTY shows weak fundamentals with negative ROCE (-2.92%) and ROE (-3.29%), alongside negative EPS (-0.59 ₹). Technically, the stock is trading below both 50 DMA (137 ₹) and 200 DMA (156 ₹), indicating bearish momentum. RSI at 35.6 suggests oversold conditions, which may offer a short-term bounce. The recent quarterly PAT turnaround (55.2 Cr. vs -6.21 Cr.) is a positive, but sustainability remains uncertain.

✅ Optimal Entry Price: Around 105–115 ₹ (near support zone)

🚪 Exit Strategy (if already holding): Consider exit near 135–140 ₹ (close to 50 DMA resistance), or if RSI rises above 55.

Positive

• 📈 Quarterly PAT turnaround from loss (-6.21 Cr.) to profit (55.2 Cr.).
• 💰 Low debt-to-equity (0.03) ensures limited financial risk.
• 📊 High quarterly profit variance (162%) indicates strong short-term recovery momentum.
• 📉 Oversold RSI (35.6) may provide short-term bounce opportunity.

Limitation

• ⚠️ Negative ROCE (-2.92%) and ROE (-3.29%) reflect poor capital efficiency.
• 📉 Trading below DMA 50 & DMA 200 confirms bearish trend.
• 📊 Negative EPS (-0.59 ₹) signals weak earnings quality.
• 📉 52w Index at 15.1% shows underperformance compared to broader market.

Company Negative News

• 📉 FII holding decreased (-0.30%), showing reduced foreign investor confidence.

Company Positive News

• 📈 Quarterly PAT recovery highlights operational improvement.
• 📊 Stable DII holding indicates neutral domestic institutional stance.

Industry

• 🏭 Industry P/E at 34.1 suggests peers are valued higher, but DBREALTY lacks earnings to justify comparison.
• 📊 Real estate sector remains cyclical, with momentum tied to demand and policy support.

Conclusion

⚖️ DBREALTY is a high-risk swing trade candidate. While oversold RSI and recent PAT recovery offer short-term bounce potential, weak fundamentals and bearish technicals limit upside. Entry near 105–115 ₹ may provide tactical opportunity, but exit near 135–140 ₹ is advisable. Strict stop-loss discipline is essential due to volatility and poor earnings quality.

Would you like me to also prepare a sector scan overlay comparing DBREALTY with other real estate peers, so you can see relative strength and valuation positioning?