FLUOROCHEM - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.5
| Stock Code | FLUOROCHEM | Market Cap | 41,215 Cr. | Current Price | 3,751 ₹ | High / Low | 4,054 ₹ |
| Stock P/E | 60.0 | Book Value | 620 ₹ | Dividend Yield | 0.08 % | ROCE | 11.0 % |
| ROE | 9.28 % | Face Value | 1.00 ₹ | DMA 50 | 3,334 ₹ | DMA 200 | 3,454 ₹ |
| Chg in FII Hold | -0.03 % | Chg in DII Hold | 0.67 % | PAT Qtr | 139 Cr. | PAT Prev Qtr | 195 Cr. |
| RSI | 74.3 | MACD | 76.7 | Volume | 4,89,672 | Avg Vol 1Wk | 2,90,210 |
| Low price | 2,917 ₹ | High price | 4,054 ₹ | PEG Ratio | -6.81 | Debt to equity | 0.22 |
| 52w Index | 73.4 % | Qtr Profit Var | -8.86 % | EPS | 61.4 ₹ | Industry PE | 29.0 |
FLUOROCHEM shows strong price momentum but weak fundamentals, making it a risky candidate for swing trading. The stock trades at a high P/E of 60.0 compared to the industry average of 29.0, while efficiency metrics like ROCE (11.0%) and ROE (9.28%) are modest. Technical indicators (RSI 74.3, MACD 76.7) suggest overbought conditions despite bullish momentum. The optimal entry price would be near the 50 DMA level of ₹3,330–3,350. If already holding, consider exiting around ₹3,950–4,050, close to recent highs and resistance levels.
✅ Positive
- Strong 52-week index (73.4%) reflects solid price performance.
- EPS of ₹61.4 supports earnings stability.
- DII holdings increased (+0.67%), showing domestic investor confidence.
- Low debt-to-equity ratio (0.22) ensures financial safety.
- Trading volume above 1-week average, indicating strong market interest.
⚠️ Limitation
- P/E ratio (60.0) is much higher than industry average (29.0).
- ROCE (11.0%) and ROE (9.28%) are modest compared to peers.
- Dividend yield is very low (0.08%), offering limited passive returns.
- PEG ratio (-6.81) indicates valuation concerns relative to growth.
📉 Company Negative News
- Quarterly PAT declined from ₹195 Cr. to ₹139 Cr. (-8.86%).
- Foreign institutional investors reduced holdings (-0.03%).
📈 Company Positive News
- Domestic institutional investors increased holdings (+0.67%).
- Strong long-term price momentum reflected in 52-week performance.
- EPS of ₹61.4 highlights earnings strength.
🏭 Industry
- Industry P/E is 29.0, much lower than FLUOROCHEM’s 60.0, suggesting overvaluation.
- Chemicals sector benefits from global demand but faces margin pressures and cyclical risks.
🔎 Conclusion
FLUOROCHEM is a momentum-driven but overvalued stock, making it a cautious swing trade candidate. Entry near ₹3,330–3,350 offers a safer setup, while profit booking should be considered around ₹3,950–4,050. Traders should monitor earnings consistency and institutional activity before committing heavily.