NETWORK18 - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 2.9

📉 Optimal Entry Price: ₹45–₹47 (near RSI support and below 50 DMA)

📈 Exit Strategy (if holding): ₹55–₹58 (near 200 DMA and short-term resistance)

🔷 Positive

• 📈 EPS of ₹24.7: Indicates potential earnings strength despite current losses.
• 📉 Debt-to-equity ratio of 0.63: Moderate leverage for a media company.
• 📈 Volume significantly above 1-week average: Suggests heightened market interest.
• 📉 RSI at 37.7: Near oversold zone, offering potential for technical rebound.

⚠️ Limitation

• 📉 Negative ROCE (-1.20%) and ROE (-9.29%): Reflect poor capital efficiency and profitability.
• 📉 No P/E or PEG ratio: Indicates current unprofitability and lack of valuation clarity.
• 📉 MACD at -1.32: Suggests bearish momentum.
• 📉 Trading below DMA 50 and 200: Reflects technical weakness.
• 📉 Dividend yield of 0.00%: No income return for investors.

📉 Company Negative News

• 📉 Q2FY26 PAT remained negative at ₹-70.1 Cr., continuing a trend of quarterly losses.
• 📉 FII and DII holdings declined, signaling reduced institutional confidence.

📈 Company Positive News

• 📈 PAT loss narrowed slightly QoQ, from ₹-70.8 Cr. to ₹-70.1 Cr., showing marginal improvement.
• 📊 Management is focusing on digital expansion and cost optimization to improve margins.

📺 Industry

• 📰 Operates in the media and broadcasting sector, which faces challenges from digital disruption and ad revenue volatility.
• 📉 Industry P/E of 43.9 suggests NETWORK18 trades at a steep discount due to its loss-making status.

🧾 Conclusion

• ⚠️ NETWORK18 is a speculative swing trade candidate with potential for technical rebound, but weak fundamentals and sustained losses make it high-risk.
• 📌 Entry near ₹45–₹47 offers a low-risk setup if RSI rebounds and MACD flattens.
• 🚪 If already holding, consider exiting near ₹55–₹58, aligning with 200 DMA and resistance zone.

I can also track NETWORK18’s RSI and MACD trends to help you time your entry more precisely.