EMCURE - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 4.2
| Stock Code | EMCURE | Market Cap | 29,106 Cr. | Current Price | 1,535 ₹ | High / Low | 1,586 ₹ |
| Stock P/E | 43.8 | Book Value | 170 ₹ | Dividend Yield | 0.20 % | ROCE | 13.5 % |
| ROE | 11.6 % | Face Value | 10.0 ₹ | DMA 50 | 1,461 ₹ | DMA 200 | 1,373 ₹ |
| Chg in FII Hold | 0.30 % | Chg in DII Hold | 1.74 % | PAT Qtr | 282 Cr. | PAT Prev Qtr | 118 Cr. |
| RSI | 57.9 | MACD | 10.8 | Volume | 3,89,061 | Avg Vol 1Wk | 1,59,724 |
| Low price | 889 ₹ | High price | 1,586 ₹ | PEG Ratio | -3.23 | Debt to equity | 0.50 |
| 52w Index | 92.7 % | Qtr Profit Var | 462 % | EPS | 33.7 ₹ | Industry PE | 29.1 |
📊 EMCURE appears to be a strong candidate for swing trading. The fundamentals are decent with ROCE (13.5%) and ROE (11.6%), though not exceptional. The company has shown a massive quarterly profit jump (PAT from 118 Cr. to 282 Cr.), which boosts sentiment. Technically, the stock is trading above both 50 DMA (1,461 ₹) and 200 DMA (1,373 ₹), supported by bullish indicators: RSI at 57.9 and MACD positive (10.8). Volume is significantly higher than average, indicating strong trading interest. However, the high P/E (43.8 vs industry 29.1) and debt-to-equity ratio (0.50) suggest caution.
💡 Optimal Entry Price: Around 1,480–1,500 ₹ (near 50 DMA support).
🚪 Exit Strategy: If already holding, consider exiting near 1,570–1,580 ₹ (close to 52-week high and resistance zone).
✅ Positive
- Quarterly PAT surged from 118 Cr. to 282 Cr. (+462%).
- EPS of 33.7 ₹ shows strong profitability.
- Stock trading above both 50 DMA and 200 DMA, indicating bullish momentum.
- RSI (57.9) and MACD (10.8) support upward trend.
- FII (+0.30%) and DII (+1.74%) holdings increased, showing institutional confidence.
⚠️ Limitation
- High P/E ratio (43.8) compared to industry PE (29.1).
- Debt-to-equity ratio of 0.50 is relatively high.
- Dividend yield is low at 0.20%, offering limited passive returns.
- PEG ratio negative (-3.23), suggesting valuation concerns.
📉 Company Negative News
- Moderate ROCE (13.5%) and ROE (11.6%) compared to peers.
- High leverage compared to industry standards.
📈 Company Positive News
- Massive quarterly profit growth (+462%).
- Strong trading volume, well above weekly average.
- Institutional investors increasing stake.
🏭 Industry
- Industry PE at 29.1, lower than company’s PE, suggesting premium valuation.
- Pharmaceutical sector outlook remains positive with strong demand drivers.
🔎 Conclusion
EMCURE is fundamentally decent but technically strong, making it a good swing trade candidate. Entry around 1,480–1,500 ₹ offers a favorable risk-reward setup, with exit near 1,570–1,580 ₹. Traders should remain cautious of high valuation and debt levels but can benefit from strong momentum and institutional support.