IKS - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.7
| Stock Code | IKS | Market Cap | 27,633 Cr. | Current Price | 1,609 ₹ | High / Low | 1,929 ₹ |
| Stock P/E | 63.7 | Book Value | 86.2 ₹ | Dividend Yield | 0.00 % | ROCE | 35.0 % |
| ROE | 32.3 % | Face Value | 1.00 ₹ | DMA 50 | 1,641 ₹ | DMA 200 | 1,638 ₹ |
| Chg in FII Hold | 0.54 % | Chg in DII Hold | 1.17 % | PAT Qtr | 138 Cr. | PAT Prev Qtr | 113 Cr. |
| RSI | 45.3 | MACD | -20.0 | Volume | 1,14,321 | Avg Vol 1Wk | 1,54,502 |
| Low price | 1,226 ₹ | High price | 1,929 ₹ | PEG Ratio | 3.67 | Debt to equity | 0.07 |
| 52w Index | 54.5 % | Qtr Profit Var | 50.2 % | EPS | 25.3 ₹ | Industry PE | 25.9 |
📊 IKS shows strong fundamentals with high ROCE (35.0%) and ROE (32.3%), low debt, and consistent profit growth. However, the stock is trading slightly below its 50 DMA (1,641 ₹) and 200 DMA (1,638 ₹), with RSI at 45.3 indicating neutral momentum and MACD at -20.0 showing bearish pressure. Valuation is expensive (P/E 63.7 vs. industry 25.9), which limits upside potential. Overall, it is a moderately good candidate for swing trading with cautious entry.
💡 Optimal Entry Price: Around 1,580 ₹ – 1,600 ₹ (near support zone).
🚪 Exit Strategy: If already holding, consider exiting near 1,650 ₹ – 1,670 ₹ (resistance at 50 DMA) or place a stop-loss below 1,560 ₹.
✅ Positive
- Strong ROCE (35.0%) and ROE (32.3%) highlight efficient capital use.
- Low debt-to-equity ratio (0.07) ensures financial stability.
- Quarterly PAT growth from 113 Cr. to 138 Cr. shows earnings momentum.
- Institutional interest rising with FII (+0.54%) and DII (+1.17%) increases.
⚠️ Limitation
- High P/E ratio (63.7) compared to industry average (25.9) indicates overvaluation.
- PEG ratio of 3.67 suggests limited growth relative to valuation.
- MACD at -20.0 signals bearish momentum.
- Trading volume lower than average (1.14 lakh vs. 1.54 lakh), showing reduced activity.
📉 Company Negative News
- Stock trading below 50 DMA and 200 DMA indicates short-term weakness.
- Current price significantly below 52-week high (1,929 ₹), reflecting loss of momentum.
📈 Company Positive News
- Quarterly profit variation of 50.2% highlights strong earnings growth.
- EPS of 25.3 ₹ provides earnings visibility.
- Institutional buying interest supports confidence in the company.
🏭 Industry
- Industry PE at 25.9 vs. IKS PE at 63.7 suggests overvaluation compared to peers.
- Sector outlook remains positive, but valuations are stretched.
🔎 Conclusion
IKS is fundamentally strong with rising profits and institutional support, but technicals show weakness and valuations are expensive. Swing traders may enter near 1,580 ₹ – 1,600 ₹ with a target around 1,650 ₹ – 1,670 ₹. Stop-loss below 1,560 ₹ is recommended. The stock offers moderate swing trade potential with a rating of 3.7.