IRCON - Swing Trade Analysis with AI Signals
Back to ListHere’s a structured swing trade analysis for IRCON International based on the provided parameters
Swing Trade Rating: 3.6
| Stock Code | IRCON | Market Cap | 13,092 Cr. | Current Price | 139 ₹ | High / Low | 208 ₹ |
| Stock P/E | 21.2 | Book Value | 70.5 ₹ | Dividend Yield | 1.90 % | ROCE | 12.4 % |
| ROE | 9.61 % | Face Value | 2.00 ₹ | DMA 50 | 141 ₹ | DMA 200 | 154 ₹ |
| Chg in FII Hold | 0.24 % | Chg in DII Hold | 0.07 % | PAT Qtr | 192 Cr. | PAT Prev Qtr | 91.2 Cr. |
| RSI | 50.2 | MACD | -1.51 | Volume | 23,79,008 | Avg Vol 1Wk | 25,20,512 |
| Low price | 114 ₹ | High price | 208 ₹ | PEG Ratio | -2.92 | Debt to equity | 0.02 |
| 52w Index | 26.5 % | Qtr Profit Var | -12.0 % | EPS | 6.58 ₹ | Industry PE | 17.4 |
📊 IRCON shows moderate potential for swing trading. The stock is trading slightly below its 50 DMA (141 ₹) and 200 DMA (154 ₹), reflecting short-term weakness. RSI at 50.2 indicates neutral momentum, while MACD (-1.51) suggests bearish undertone. Fundamentals are stable with low debt-to-equity (0.02), decent ROCE (12.4%), and ROE (9.61%). However, valuation is slightly stretched (P/E 21.2 vs industry 17.4) and quarterly profit variation (-12%) raises caution.
💡 Optimal Entry Price: Around 135–137 ₹ (near support zone).
📈 Exit Strategy (if already holding): Consider booking profits near 150–155 ₹ (resistance zone close to 200 DMA) unless momentum strengthens.
Positive
- ✅ Strong ROCE (12.4%) and ROE (9.61%).
- ✅ Dividend yield of 1.90% adds stability.
- ✅ Debt-to-equity ratio at 0.02 shows financial strength.
- ✅ Sequential PAT improvement (₹91.2 Cr → ₹192 Cr.).
- ✅ Increase in FII (+0.24%) and DII (+0.07%) holdings.
Limitation
- ⚠️ Current price below both 50 DMA and 200 DMA.
- ⚠️ MACD negative (-1.51) confirms weak momentum.
- ⚠️ RSI at 50.2 indicates neutral trend, lacking strong bullishness.
- ⚠️ P/E ratio (21.2) higher than industry average (17.4).
Company Negative News
- ❌ Quarterly profit variation at -12%.
- ❌ Valuation slightly stretched compared to peers.
Company Positive News
- ✅ PAT doubled sequentially (₹91.2 Cr → ₹192 Cr.).
- ✅ Institutional support with FII and DII increases.
- ✅ Debt-free balance sheet enhances stability.
Industry
- 🏗️ Industry P/E at 17.4, lower than IRCON’s 21.2.
- 📈 Infrastructure sector benefits from government spending and long-term projects.
Conclusion
🔎 IRCON International is a moderately attractive swing trade candidate. Strong fundamentals like low debt and efficiency metrics support the stock, but weak technicals and stretched valuation limit upside. Entry near ₹135–137 with exit around ₹150–155 is advisable, with risk management given recent profit decline.
Would you like me to extend this into a peer benchmarking report comparing IRCON with IRB and NBCC to highlight relative swing trade opportunities?