KNRCON - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 3.6

📉 KNR Constructions is technically oversold and fundamentally strong, making it a decent swing trade candidate with a cautious outlook.

🎯 Optimal Entry Price: ₹178–₹182

🚪 Exit Target (if already holding): ₹200–₹210

🔍 Positive

• 📈 ROCE of 27.4% and ROE of 20.5% reflect excellent capital efficiency.
• 📉 P/E of 7.70 is significantly below industry average (22.2), indicating undervaluation.
• 📉 PEG ratio of 0.29 suggests attractive valuation relative to growth.
• 📉 Debt-to-equity ratio of 0.00 shows zero leverage and strong financial discipline.
• 📈 FII holding increased by 0.46%, indicating foreign investor confidence.

⚠️ Limitation

• 📉 RSI at 28.9 indicates oversold conditions but also reflects weak momentum.
• 📉 MACD at -4.11 confirms bearish trend.
• 📉 Price below both 50 DMA and 200 DMA (₹194 and ₹225), showing technical weakness.
• 📉 DII holding declined by 3.59%, suggesting domestic institutional caution.
• 📉 Dividend yield of 0.14% is low for income-focused investors.

📉 Company Negative News

• 📉 Quarterly PAT dropped from ₹75.2 Cr to ₹51.3 Cr, a 61.7% decline.
• 📉 52-week Index at 0.35% shows minimal recovery from yearly lows.

📈 Company Positive News

• 📈 Strong EPS of ₹22.9 supports valuation and earnings potential.
• 📈 FII inflows and zero debt position provide downside protection.

🏗️ Industry

• 🏗️ Infrastructure and construction sector benefits from government spending and road development projects.
• 📉 Risks include project delays, regulatory hurdles, and input cost inflation.

✅ Conclusion

• 📉 KNR Constructions is moderately suitable for swing trading due to strong fundamentals and oversold technicals.
• 🎯 Entry near ₹178–₹182 with exit around ₹200–₹210 is recommended for short-term traders.
• 📊 Long-term investors should monitor project pipeline and earnings recovery for sustained upside.

I can also compare KNR Constructions with peers like PNC Infratech or HG Infra to identify stronger swing setups in the infrastructure space.