NETWEB - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.6
| Stock Code | NETWEB | Market Cap | 18,485 Cr. | Current Price | 3,250 ₹ | High / Low | 4,480 ₹ |
| Stock P/E | 104 | Book Value | 102 ₹ | Dividend Yield | 0.08 % | ROCE | 32.4 % |
| ROE | 23.9 % | Face Value | 2.00 ₹ | DMA 50 | 3,306 ₹ | DMA 200 | 2,993 ₹ |
| Chg in FII Hold | -1.27 % | Chg in DII Hold | -0.27 % | PAT Qtr | 73.3 Cr. | PAT Prev Qtr | 31.4 Cr. |
| RSI | 46.6 | MACD | -19.5 | Volume | 9,73,843 | Avg Vol 1Wk | 11,66,834 |
| Low price | 1,252 ₹ | High price | 4,480 ₹ | PEG Ratio | 1.45 | Debt to equity | 0.03 |
| 52w Index | 61.9 % | Qtr Profit Var | 147 % | EPS | 31.4 ₹ | Industry PE | 21.9 |
Analysis: NETWEB trades at 3,250 ₹, slightly below its 50 DMA (3,306 ₹) but above its 200 DMA (2,993 ₹), showing mixed momentum. RSI at 46.6 suggests neutral strength, while MACD (-19.5) reflects bearish sentiment. The P/E of 104 is extremely high compared to the industry average (21.9), indicating overvaluation. Fundamentals are decent with ROCE (32.4%) and ROE (23.9%), while debt-to-equity is very low (0.03), showing financial stability. Quarterly PAT surged (73.3 Cr. vs 31.4 Cr.), reflecting strong earnings growth. Overall, NETWEB is a moderate-to-good swing trade candidate, supported by fundamentals but limited by valuation risks.
Optimal Entry Price: Around 3,200–3,250 ₹, near current support and close to the 200 DMA.
Exit Strategy (if already holding): Consider exiting near 3,400–3,450 ₹ (resistance zone). Place a stop-loss around 3,100 ₹ to protect against downside risk.
✅ Positive
- Strong ROCE (32.4%) and ROE (23.9%) highlight efficiency.
- Debt-to-equity ratio of 0.03 indicates near debt-free status.
- Quarterly PAT surged significantly (73.3 Cr. vs 31.4 Cr.).
- EPS of 31.4 ₹ reflects solid earnings power.
⚠️ Limitation
- Extremely high P/E (104 vs industry 21.9) signals overvaluation.
- Weak technical indicators (RSI neutral, MACD negative).
- Dividend yield is very low (0.08%), limiting income appeal.
📉 Company Negative News
- FII holdings decreased (-1.27%), showing reduced foreign confidence.
- DII holdings decreased (-0.27%), reflecting weaker domestic support.
📈 Company Positive News
- Quarterly PAT growth (+147%) shows strong earnings momentum.
- Debt-free status supports financial resilience.
🏭 Industry
- Industry P/E is 21.9, making NETWEB relatively expensive.
- Tech and IT infrastructure sector benefits from strong demand but faces valuation risks.
🔎 Conclusion
NETWEB shows strong fundamentals and earnings growth but is highly overvalued, making it a moderate swing trade candidate. Entry near 3,200–3,250 ₹ is safer, with exit around 3,400–3,450 ₹. Stop-loss at 3,100 ₹ is recommended. While debt-free status and profit growth provide support, high valuation and weak technicals limit short-term upside potential.