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NUVOCO - Swing Trade Analysis with AI Signals

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Rating: 3.7

Last Updated Time : 04 Feb 26, 02:09 am

Swing Trade Rating: 3.7

Stock Code NUVOCO Market Cap 12,285 Cr. Current Price 344 ₹ High / Low 478 ₹
Stock P/E 41.6 Book Value 260 ₹ Dividend Yield 0.00 % ROCE 3.26 %
ROE 0.43 % Face Value 10.0 ₹ DMA 50 357 ₹ DMA 200 374 ₹
Chg in FII Hold -0.19 % Chg in DII Hold 0.00 % PAT Qtr 56.2 Cr. PAT Prev Qtr 32.5 Cr.
RSI 48.6 MACD -3.69 Volume 2,35,494 Avg Vol 1Wk 2,15,934
Low price 287 ₹ High price 478 ₹ PEG Ratio -4.58 Debt to equity 0.49
52w Index 29.7 % Qtr Profit Var 227 % EPS 8.27 ₹ Industry PE 30.1

📊 NUVOCO shows moderate potential for swing trading. The stock is trading at ₹344, below both its 50 DMA (₹357) and 200 DMA (₹374), reflecting short-term weakness. RSI at 48.6 is neutral, while MACD is negative (-3.69), suggesting limited momentum. However, strong quarterly profit growth (227% variance) provides a positive trigger. Optimal entry would be in the ₹320–₹330 range for risk-managed trades. If already holding, exit near ₹370–₹380, where resistance from DMA levels is expected.

✅ Positive

  • Quarterly PAT growth from ₹32.5 Cr. to ₹56.2 Cr. (+227%).
  • EPS at ₹8.27 shows improving earnings trend.
  • Volume above weekly average indicates active participation.
  • Debt-to-equity ratio at 0.49 is manageable.

⚠️ Limitation

  • High P/E of 41.6 compared to industry PE of 30.1.
  • Weak ROCE (3.26%) and ROE (0.43%) show poor efficiency.
  • Dividend yield at 0% limits investor returns outside price appreciation.
  • MACD negative, RSI neutral — momentum not strongly supportive.

📉 Company Negative News

  • Decline in FII holdings (-0.19%) indicates reduced foreign investor confidence.
  • Stock trading below both 50 DMA and 200 DMA signals bearish sentiment.

📈 Company Positive News

  • Quarterly profit jump of 227% shows operational improvement.
  • EPS growth supports valuation stability despite high P/E.

🏭 Industry

  • Industry PE at 30.1 is lower than NUVOCO’s, suggesting overvaluation.
  • Cement sector demand remains cyclical but supported by infrastructure growth.

🔎 Conclusion

NUVOCO is a moderate swing candidate with improving earnings but weak efficiency ratios. Entry near ₹320–₹330 offers margin of safety. Exit around ₹370–₹380 is advisable if already holding, as resistance is expected near DMA levels. Risk management is essential due to high valuation and weak ROE/ROCE.

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