GRANULES - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.9
| Stock Code | GRANULES | Market Cap | 14,160 Cr. | Current Price | 583 ₹ | High / Low | 627 ₹ |
| Stock P/E | 36.9 | Book Value | 146 ₹ | Dividend Yield | 0.26 % | ROCE | 10.9 % |
| ROE | 9.14 % | Face Value | 1.00 ₹ | DMA 50 | 575 ₹ | DMA 200 | 544 ₹ |
| Chg in FII Hold | -0.54 % | Chg in DII Hold | -0.44 % | PAT Qtr | 112 Cr. | PAT Prev Qtr | 121 Cr. |
| RSI | 52.3 | MACD | -5.17 | Volume | 21,19,490 | Avg Vol 1Wk | 8,45,118 |
| Low price | 412 ₹ | High price | 627 ₹ | PEG Ratio | -4.29 | Debt to equity | 0.29 |
| 52w Index | 79.5 % | Qtr Profit Var | 23.8 % | EPS | 16.3 ₹ | Industry PE | 29.1 |
📊 Granules shows moderate fundamentals with decent earnings growth, manageable debt, and strong trading volumes. Technical indicators (RSI ~52 neutral, MACD slightly negative, price above both 50 DMA and 200 DMA) suggest consolidation with potential upside. It is a fair candidate for swing trading, though valuations are slightly higher than industry average and institutional interest has declined.
💡 Optimal Entry Price: Around 570–580 ₹ (near 50 DMA support).
📈 Exit Strategy: If already holding, consider booking profits near 610–620 ₹ resistance, or exit if price falls below 545 ₹ (200 DMA support).
Positive ✅
- Quarterly PAT of 112 Cr. vs 121 Cr. shows stability despite slight decline.
- EPS of 16.3 ₹ supports profitability visibility.
- Debt-to-equity ratio of 0.29 indicates manageable leverage.
- Price trading above both 50 DMA (575 ₹) and 200 DMA (544 ₹), showing medium-term bullish support.
- Strong trading volume (21.2 lakh) compared to 1-week average (8.4 lakh), indicating active participation.
Limitation ⚠️
- P/E of 36.9 higher than industry average (29.1), suggesting premium valuation.
- ROCE (10.9%) and ROE (9.14%) are modest compared to sector leaders.
- Dividend yield of 0.26% is negligible.
- MACD negative (-5.17) signals weak short-term momentum.
- Decline in FII (-0.54%) and DII (-0.44%) holdings shows reduced institutional confidence.
- PEG ratio of -4.29 indicates valuation concerns relative to growth.
Company Negative News 📉
- No major external negative news reported, but institutional selling and weak MACD are concerns.
Company Positive News 📈
- Quarterly profit variation (+23.8%) indicates earnings resilience.
- Strong trading activity suggests investor interest in short-term moves.
Industry 🌐
- Industry P/E at 29.1 highlights sector trades at a fair valuation.
- Pharmaceutical sector benefits from steady demand and export opportunities.
Conclusion 📝
Granules is a moderately strong candidate for swing trading with stable earnings, manageable debt, and strong trading activity. Entry near 570–580 ₹ offers favorable risk-reward. Exit around 610–620 ₹ or below 545 ₹ if momentum weakens. Suitable for short-term trades, but investors should remain cautious due to premium valuation and declining institutional support.