⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.

NCC - Swing Trade Analysis with AI Signals

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Rating: 3.8

Last Updated Time : 05 May 26, 03:59 pm

📊 Swing Trade Rating: 3.8

Stock Code NCC Market Cap 10,449 Cr. Current Price 166 ₹ High / Low 242 ₹
Stock P/E 16.3 Book Value 121 ₹ Dividend Yield 1.32 % ROCE 20.1 %
ROE 10.7 % Face Value 2.00 ₹ DMA 50 154 ₹ DMA 200 176 ₹
Chg in FII Hold 0.62 % Chg in DII Hold 1.10 % PAT Qtr 106 Cr. PAT Prev Qtr 102 Cr.
RSI 66.5 MACD 5.37 Volume 28,91,984 Avg Vol 1Wk 39,25,400
Low price 130 ₹ High price 242 ₹ PEG Ratio 0.61 Debt to equity 0.28
52w Index 32.3 % Qtr Profit Var -42.6 % EPS 9.37 ₹ Industry PE 19.0

NCC shows moderate potential for swing trading. The RSI (66.5) and MACD (5.37) indicate bullish momentum. The current price (₹166) is above the 50 DMA (₹154) but below the 200 DMA (₹176), suggesting short-term strength but long-term resistance. Fundamentals are decent with ROCE (20.1%) and ROE (10.7%), while valuation (P/E 16.3 vs industry 19.0) is fair. However, quarterly profit variation (-42.6%) raises caution.

Optimal Entry Price: Around ₹160–165, near 50 DMA support.

📤 Exit Strategy: If already holding, consider profit booking near ₹180–185, or exit if price falls below ₹155 support.

🌟 Positive

  • Reasonable valuation (P/E 16.3 vs industry 19.0).
  • Strong ROCE (20.1%) indicates efficient capital use.
  • FII (+0.62%) and DII (+1.10%) holdings increased, showing investor confidence.
  • PEG ratio of 0.61 suggests undervaluation relative to growth.

⚠️ Limitation

  • Quarterly profit variation (-42.6%) highlights earnings volatility.
  • ROE (10.7%) is modest compared to peers.
  • Stock trading below 200 DMA shows weak long-term trend.

📰 Company Negative News

  • Quarterly PAT growth slowed (₹106 Cr vs ₹102 Cr), reflecting limited earnings momentum.

📈 Company Positive News

  • Stable fundamentals with strong ROCE and fair valuation.
  • Healthy trading volumes (28.9 lakh vs avg 39.2 lakh) indicate active participation.

🏭 Industry

  • Industry P/E at 19.0 shows NCC trades at a slight discount.
  • Construction and infrastructure sector is cyclical, driven by government projects and capital expenditure trends.

✅ Conclusion

NCC is a fair candidate for swing trading with entry near ₹160–165 and exit around ₹180–185. Strong fundamentals and valuation discount support upside potential, but earnings volatility and long-term resistance require cautious risk management. Suitable for short-term traders with disciplined stop-loss strategy.

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