INDIACEM - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.7
| Stock Code | INDIACEM | Market Cap | 14,365 Cr. | Current Price | 464 ₹ | High / Low | 490 ₹ |
| Book Value | 310 ₹ | Dividend Yield | 0.00 % | ROCE | -5.85 % | ROE | -9.32 % |
| Face Value | 10.0 ₹ | DMA 50 | 440 ₹ | DMA 200 | 390 ₹ | Chg in FII Hold | 0.30 % |
| Chg in DII Hold | 0.55 % | PAT Qtr | 2.00 Cr. | PAT Prev Qtr | -6.86 Cr. | RSI | 55.4 |
| MACD | 4.10 | Volume | 3,22,152 | Avg Vol 1Wk | 5,11,305 | Low price | 239 ₹ |
| High price | 490 ₹ | Debt to equity | 0.14 | 52w Index | 89.8 % | Qtr Profit Var | 101 % |
| EPS | -3.29 ₹ | Industry PE | 30.8 |
📊 India Cements shows moderate potential for swing trading. The stock is priced at ₹464, close to its 52-week high of ₹490, and trading above both 50 DMA (₹440) and 200 DMA (₹390), indicating bullish momentum. Technical indicators (RSI 55.4, MACD positive) suggest strength. However, fundamentals remain weak with negative ROCE (-5.85%), negative ROE (-9.32%), and EPS (-₹3.29). Recent profit turnaround and institutional inflows provide some optimism, but valuation concerns persist.
💡 Optimal Entry Price: Around ₹445–455 (near 50 DMA support).
📈 Exit Strategy: If already holding, consider exiting near ₹485–490 resistance levels, or maintain a stop-loss around ₹440.
✅ Positive
- Stock trading above both 50 DMA and 200 DMA, showing bullish momentum.
- Quarterly PAT improved from -₹6.86 Cr. to ₹2.00 Cr., signaling turnaround.
- Institutional holdings increased (FII +0.30%, DII +0.55%), reflecting confidence.
- Debt-to-equity ratio of 0.14 indicates low leverage risk.
⚠️ Limitation
- Negative ROCE (-5.85%) and ROE (-9.32%) highlight poor efficiency.
- EPS of -₹3.29 reflects continued weakness in profitability.
- Dividend yield is 0%, offering no income support.
- Trading volume (3.22 lakh) is below weekly average, showing reduced participation.
📉 Company Negative News
- Persistent weak fundamentals with negative returns on capital and equity.
- EPS remains negative despite profit turnaround.
- Low trading activity compared to average volume.
📈 Company Positive News
- Quarterly profit turnaround (+101% variation) boosts sentiment.
- Institutional inflows (FII and DII) show renewed confidence.
- MACD at 4.10 indicates bullish crossover momentum.
🏦 Industry
- Industry P/E at 30.8 highlights growth potential, but India Cements’ lack of profitability makes comparison unfavorable.
- Cement sector benefits from infrastructure demand and government spending, offering long-term tailwinds.
🔎 Conclusion
India Cements earns a swing trade rating of 3.7. Entry near ₹445–455 offers a safer risk-reward setup, while profit booking should be considered near ₹485–490. Traders should remain cautious due to weak fundamentals and negative returns, but technical strength and institutional support provide short-term trading opportunities.