FLUOROCHEM - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.6
| Stock Code | FLUOROCHEM | Market Cap | 36,933 Cr. | Current Price | 3,360 ₹ | High / Low | 4,098 ₹ |
| Stock P/E | 52.8 | Book Value | 620 ₹ | Dividend Yield | 0.09 % | ROCE | 11.0 % |
| ROE | 9.28 % | Face Value | 1.00 ₹ | DMA 50 | 3,378 ₹ | DMA 200 | 3,556 ₹ |
| Chg in FII Hold | -0.05 % | Chg in DII Hold | 0.08 % | PAT Qtr | 195 Cr. | PAT Prev Qtr | 185 Cr. |
| RSI | 54.1 | MACD | -96.0 | Volume | 80,444 | Avg Vol 1Wk | 1,29,071 |
| Low price | 2,917 ₹ | High price | 4,098 ₹ | PEG Ratio | -5.98 | Debt to equity | 0.22 |
| 52w Index | 37.6 % | Qtr Profit Var | 35.4 % | EPS | 63.7 ₹ | Industry PE | 27.4 |
📊 Fluorochem shows moderate fundamentals with decent earnings growth but high valuation compared to industry peers. Technical indicators (RSI ~54 neutral, MACD strongly negative, price below both 50 DMA and 200 DMA) suggest weak momentum. It is a cautious candidate for swing trading, suitable only with strict stop-loss levels.
💡 Optimal Entry Price: Around 3,300–3,340 ₹ (near support zone).
📈 Exit Strategy: If already holding, consider booking profits near 3,550–3,600 ₹ resistance, or exit if price falls below 3,250 ₹.
Positive ✅
- Quarterly PAT growth from 185 Cr. to 195 Cr. (+35.4% variation) shows earnings resilience.
- EPS of 63.7 ₹ supports profitability visibility.
- Debt-to-equity ratio of 0.22 indicates manageable leverage.
- Price trading close to 50 DMA (3,378 ₹) and 200 DMA (3,556 ₹), offering medium-term support.
- DII holdings increased (+0.08%), reflecting domestic institutional confidence.
Limitation ⚠️
- P/E of 52.8 significantly higher than industry average (27.4), indicating premium valuation.
- ROCE (11.0%) and ROE (9.28%) are modest compared to peers.
- Dividend yield of 0.09% is negligible.
- MACD negative (-96.0) signals bearish undertone.
- Trading volume (80,444) below 1-week average (1,29,071), suggesting weaker participation.
- PEG ratio of -5.98 highlights valuation concerns relative to growth.
Company Negative News 📉
- No major external negative news reported, but weak technical signals and high valuation are concerns.
Company Positive News 📈
- Quarterly profit growth (+35.4%) indicates operational strength.
- Slight increase in DII holdings shows domestic investor confidence.
Industry 🌐
- Industry P/E at 27.4 highlights sector trades at a premium compared to broader markets.
- Chemicals sector benefits from global demand in specialty and industrial applications.
Conclusion 📝
Fluorochem is a cautious swing trade candidate with decent earnings growth but high valuations and weak technical signals. Entry near 3,300–3,340 ₹ offers limited risk. Exit around 3,550–3,600 ₹ or below 3,250 ₹ if momentum weakens. Suitable for short-term trades, but investors should remain cautious due to premium valuation and bearish technical indicators.