IRB - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.1
| Stock Code | IRB | Market Cap | 25,134 Cr. | Current Price | 41.6 ₹ | High / Low | 54.4 ₹ |
| Stock P/E | 28.1 | Book Value | 25.2 ₹ | Dividend Yield | 0.72 % | ROCE | 7.21 % |
| ROE | 8.13 % | Face Value | 1.00 ₹ | DMA 50 | 41.7 ₹ | DMA 200 | 44.0 ₹ |
| Chg in FII Hold | -0.08 % | Chg in DII Hold | 0.39 % | PAT Qtr | 287 Cr. | PAT Prev Qtr | 188 Cr. |
| RSI | 50.8 | MACD | -0.01 | Volume | 60,91,577 | Avg Vol 1Wk | 77,49,860 |
| Low price | 37.0 ₹ | High price | 54.4 ₹ | PEG Ratio | 0.61 | Debt to equity | 0.78 |
| 52w Index | 26.7 % | Qtr Profit Var | -3.20 % | EPS | 1.47 ₹ | Industry PE | 15.5 |
📊 IRB stock shows moderate potential for swing trading. The RSI at 50.8 indicates neutral momentum, while the MACD (-0.01) suggests consolidation with no strong trend. The price is hovering around the 50 DMA (41.7 ₹) and slightly below the 200 DMA (44.0 ₹), showing sideways movement. Fundamentally, the company has improved profits (PAT up from 188 Cr. to 287 Cr.), but quarterly profit variation (-3.20%) signals inconsistency. Valuation is relatively high (P/E 28.1 vs industry 15.5), though the PEG ratio (0.61) suggests growth is reasonably priced. Debt-to-equity is moderate at 0.78, keeping leverage manageable.
💡 Optimal Entry Price: Around 40–42 ₹, close to current levels, with confirmation of upward momentum.
🚪 Exit Strategy (if already holding): Consider exiting near 47–50 ₹ if momentum strengthens, or cut losses if the price falls below 39 ₹ with strong volume.
Positive
- Quarterly PAT improved from 188 Cr. to 287 Cr.
- PEG ratio of 0.61 indicates growth is fairly priced.
- Debt-to-equity ratio at 0.78 is moderate.
- EPS of 1.47 ₹ supports earnings visibility.
Limitation
- P/E of 28.1 is higher than industry average (15.5).
- Quarterly profit variation (-3.20%) shows inconsistency.
- ROCE (7.21%) and ROE (8.13%) remain weak compared to peers.
- Price trading below 200 DMA indicates limited strength.
Company Negative News
- FII holdings decreased slightly (-0.08%), showing reduced foreign confidence.
- Quarterly profit variation negative despite PAT growth.
Company Positive News
- Strong PAT growth quarter-on-quarter.
- DII holdings increased (+0.39%), showing domestic investor support.
- 52-week performance shows 26.7% gain, reflecting investor interest.
Industry
- Industry P/E at 15.5 is much lower than IRB’s 28.1, suggesting sector peers are more reasonably valued.
- Infrastructure and road development sector remains cyclical, influenced by government projects and funding.
Conclusion
✅ IRB is a moderately good candidate for swing trading, supported by PAT growth and reasonable PEG ratio. However, high valuation and weak ROE/ROCE limit upside potential. Traders may enter around 40–42 ₹ with momentum confirmation and target exits near 47–50 ₹. If already holding, monitor closely and protect downside below 39 ₹.