NCC - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 3.8

📉 Optimal Entry Price: ₹200–₹205 (near RSI support and below 50 DMA)

📈 Exit Strategy (if holding): ₹225–₹230 (near 200 DMA and short-term resistance)

🔷 Positive

• 📊 Low P/E of 16.6: Undervalued compared to industry average of 22.2.
• 📈 ROCE (20.1%) and ROE (10.7%): Indicate solid operational and financial efficiency.
• 📈 MACD at 0.15: Suggests early bullish crossover.
• 📈 FII holding increased by 0.17%: Reflects mild foreign investor interest.
• 📉 PEG ratio of 0.62: Indicates attractive valuation relative to growth.

⚠️ Limitation

• 📉 RSI at 43.0: Neutral to weak momentum, not yet signaling a strong reversal.
• 📉 Trading below DMA 50 and 200: Reflects short-term technical weakness.
• 📉 Quarterly PAT declined 5.3%: From ₹242 Cr. to ₹190 Cr., showing earnings pressure.
• 📉 DII holding dropped by 0.85%: Indicates cautious domestic sentiment.
• 📉 52w Index at 22.9%: Suggests underperformance relative to yearly highs.

📉 Company Negative News

• 📉 Q2FY26 profit declined sequentially, raising concerns over project execution pace and margin compression.
• 📉 Analysts flagged delays in government infrastructure disbursements affecting order inflows.

📈 Company Positive News

• 📈 NCC continues to win new orders in roads, water, and urban infra, supporting long-term revenue visibility.
• 📊 Management remains optimistic about FY26 topline growth driven by a ₹50,000 Cr. order book.

🏗️ Industry

• 🏢 Operates in the infrastructure and construction sector, which benefits from government capex and urban development.
• 📈 Industry P/E of 22.2 suggests NCC trades at a discount, offering value for swing traders.

🧾 Conclusion

• ⚠️ NCC is a value-based swing trade candidate with improving technicals and strong fundamentals, though short-term earnings pressure and weak momentum warrant caution.
• 📌 Entry near ₹200–₹205 offers a low-risk setup if RSI stabilizes and MACD strengthens.
• 🚪 If already holding, consider exiting near ₹225–₹230, aligning with 200 DMA and resistance zone.

I can also chart NCC’s RSI and MACD trends to help you time your entry more precisely.