POLYMED - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.3
| Stock Code | POLYMED | Market Cap | 12,573 Cr. | Current Price | 1,240 ₹ | High / Low | 2,938 ₹ |
| Stock P/E | 36.2 | Book Value | 285 ₹ | Dividend Yield | 0.28 % | ROCE | 18.2 % |
| ROE | 14.2 % | Face Value | 5.00 ₹ | DMA 50 | 1,430 ₹ | DMA 200 | 1,788 ₹ |
| Chg in FII Hold | -0.36 % | Chg in DII Hold | 0.31 % | PAT Qtr | 83.4 Cr. | PAT Prev Qtr | 89.0 Cr. |
| RSI | 39.2 | MACD | -46.7 | Volume | 1,28,527 | Avg Vol 1Wk | 1,48,847 |
| Low price | 1,210 ₹ | High price | 2,938 ₹ | PEG Ratio | 1.17 | Debt to equity | 0.08 |
| 52w Index | 1.75 % | Qtr Profit Var | -2.04 % | EPS | 33.8 ₹ | Industry PE | 33.2 |
📊 POLYMED shows moderate potential for swing trading. Fundamentals are decent with ROCE 18.2%, ROE 14.2%, and EPS of ₹33.8, while debt levels are very low (0.08). Valuation is slightly stretched (P/E 36.2 vs industry 33.2, PEG 1.17), but still reasonable. Technical indicators are weak: RSI at 39.2 is near oversold, MACD is negative, and the stock trades below both 50 DMA and 200 DMA. The optimal entry price would be near ₹1,220–₹1,240, close to support levels. If already holding, consider exiting around ₹1,420–₹1,450, where resistance from the 50 DMA is expected.
✅ Positive
- Reasonable valuation: P/E 36.2 is close to industry average (33.2).
- PEG ratio at 1.17 suggests growth is aligned with valuation.
- Debt-to-equity ratio at 0.08 indicates minimal leverage risk.
- DII holdings increased (+0.31%), showing domestic institutional support.
- EPS at ₹33.8 reflects consistent earnings power.
⚠️ Limitation
- ROCE (18.2%) and ROE (14.2%) are moderate compared to stronger peers.
- Dividend yield at 0.28% offers limited passive income.
- Stock trading below both 50 DMA (₹1,430) and 200 DMA (₹1,788), signaling bearish trend.
- FII holdings decreased (-0.36%), showing reduced foreign investor confidence.
📉 Company Negative News
- Quarterly PAT declined from ₹89 Cr. to ₹83.4 Cr. (-2.04%).
- MACD negative (-46.7), indicating weak momentum.
- Stock has fallen sharply from its 52-week high of ₹2,938.
📈 Company Positive News
- RSI near oversold zone (39.2), which may indicate potential for a short-term bounce.
- DII inflows provide institutional backing.
- Strong book value of ₹285 provides valuation support.
🏭 Industry
- Industry P/E at 33.2 is close to POLYMED’s 36.2, suggesting fair valuation.
- Medical devices and healthcare industry has strong long-term demand, driven by rising healthcare infrastructure and innovation.
📝 Conclusion
POLYMED is a moderately good swing trade candidate with fair valuation but weak technicals and declining profits. Entry is advisable near ₹1,220–₹1,240, with exit around ₹1,420–₹1,450 if already holding. Long-term investors may benefit from its healthcare industry growth prospects, while short-term traders should wait for technical confirmation before aggressive positioning.