GRAPHITE - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 4.1

📈 Analysis: GRAPHITE presents a strong swing trade setup with bullish technicals and improving fundamentals. The current price of ₹613 is above both the 50 DMA (₹566) and 200 DMA (₹538), confirming an upward trend. RSI at 64.2 and MACD at 17.2 reflect strong momentum, though nearing overbought territory. The company has low debt (0.02), a healthy dividend yield (1.80%), and a significant jump in PAT from ₹62 Cr. to ₹145 Cr. Despite a negative PEG ratio (-3.98) and modest ROCE/ROE, the stock shows signs of accumulation with rising FII interest and strong price action.

🎯 Optimal Entry Price: ₹600–₹610 (on minor pullback near 50 DMA)

🚪 Exit Strategy (if holding): Consider exiting near ₹640–₹650 (recent high zone) or if RSI crosses 70 with MACD flattening.

✅ Positive

• 📈 Price above 50 & 200 DMA — strong bullish trend
• 📊 PAT growth from ₹62 Cr. to ₹145 Cr. — earnings momentum
• 📈 FII holding increased (+1.61%) — foreign investor confidence
• 💸 Low debt-to-equity ratio (0.02) — strong financial structure
• 💰 Dividend yield of 1.80% — attractive for income investors

⚠️ Limitation

• 📉 PEG ratio of -3.98 — poor growth valuation
• 📉 ROCE (10.3%) and ROE (8.26%) — modest capital efficiency
• 📉 DII holding decreased (-0.51%) — domestic investor caution
• 📉 Volume below weekly average — reduced trading interest

📰 Company Negative News

• No major public negative news, but valuation and DII reduction are cautionary signals

🌟 Company Positive News

• Quarterly PAT more than doubled, and FII interest surged — indicating strong institutional confidence

🏭 Industry

• Industry P/E is 39.9 — GRAPHITE trades below, offering valuation comfort
• Electrode and graphite sector benefits from industrial demand and global steel production cycles

🧾 Conclusion

GRAPHITE is a technically strong swing trade candidate with improving fundamentals. Entry near support offers a tactical opportunity. Exit near resistance or on RSI/MACD reversal is advisable.

I can also help you compare GRAPHITE’s setup with peers like HEG or Rain Industries to refine your swing strategy.