IRB - Swing Trade Analysis with AI Signals
Back to ListHere’s a structured swing trade analysis for IRB Infrastructure (IRB) based on the provided parameters
Swing Trade Rating: 3.9
| Stock Code | IRB | Market Cap | 25,859 Cr. | Current Price | 21.4 ₹ | High / Low | 25.5 ₹ |
| Stock P/E | 25.7 | Book Value | 13.2 ₹ | Dividend Yield | 0.72 % | ROCE | 7.31 % |
| ROE | 6.55 % | Face Value | 1.00 ₹ | DMA 50 | 21.2 ₹ | DMA 200 | 21.7 ₹ |
| Chg in FII Hold | 0.52 % | Chg in DII Hold | 0.05 % | PAT Qtr | 390 Cr. | PAT Prev Qtr | 287 Cr. |
| RSI | 53.4 | MACD | -0.05 | Volume | 1,50,66,954 | Avg Vol 1Wk | 1,23,81,808 |
| Low price | 18.5 ₹ | High price | 25.5 ₹ | PEG Ratio | 0.66 | Debt to equity | 0.74 |
| 52w Index | 41.7 % | Qtr Profit Var | 40.0 % | EPS | 0.83 ₹ | Industry PE | 17.4 |
📊 IRB shows moderate potential for swing trading. The stock is trading around its 50 DMA (21.2 ₹) and 200 DMA (21.7 ₹), indicating consolidation near support. RSI at 53.4 suggests neutral momentum, while MACD (-0.05) shows weakness in trend. Fundamentals are mixed: P/E (25.7 vs industry 17.4) is slightly high, but PEG ratio (0.66) indicates fair valuation relative to growth. Quarterly PAT growth (+40%) is a strong positive.
💡 Optimal Entry Price: Around 20–21 ₹ (near DMA support zone).
📈 Exit Strategy (if already holding): Consider booking profits near 24–25 ₹ (resistance zone close to recent high of 25.5 ₹). Use a stop-loss around 19 ₹ to manage risk.
Positive
- ✅ PAT growth of 40% quarter-on-quarter (287 Cr. → 390 Cr.).
- ✅ EPS at 0.83 ₹ shows improving earnings trend.
- ✅ Increase in FII (+0.52%) and DII (+0.05%) holdings.
- ✅ PEG ratio of 0.66 indicates reasonable valuation relative to growth.
- ✅ Dividend yield of 0.72% adds investor confidence.
Limitation
- ⚠️ P/E ratio (25.7) higher than industry average (17.4).
- ⚠️ ROCE (7.31%) and ROE (6.55%) are relatively weak.
- ⚠️ MACD negative (-0.05), showing lack of strong bullish trend.
- ⚠️ EPS remains low compared to peers.
Company Negative News
- ❌ Weak ROE and ROCE highlight limited efficiency.
- ❌ Stock consolidating near DMA levels, showing indecision.
Company Positive News
- ✅ Strong quarterly PAT growth (+40%).
- ✅ Institutional investors increased holdings (FII +0.52%, DII +0.05%).
Industry
- 🏗️ Industry P/E at 17.4, lower than IRB’s 25.7, suggesting slight overvaluation.
- 📈 Infrastructure sector benefits from government spending and long-term projects, but faces cyclical risks.
Conclusion
🔎 IRB is a moderately attractive swing trade candidate. Entry near 20–21 ₹ offers a safer margin, with exit around 24–25 ₹. Strong PAT growth supports momentum, but weak ROE/ROCE and neutral technicals limit upside. Risk management is essential.
Would you like me to extend this into a sector overlay or a peer benchmarking to refine the swing trade outlook?