POLYMED - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.4
| Stock Code | POLYMED | Market Cap | 16,113 Cr. | Current Price | 1,590 ₹ | High / Low | 2,938 ₹ |
| Stock P/E | 46.2 | Book Value | 285 ₹ | Dividend Yield | 0.22 % | ROCE | 18.2 % |
| ROE | 14.2 % | Face Value | 5.00 ₹ | DMA 50 | 1,720 ₹ | DMA 200 | 1,956 ₹ |
| Chg in FII Hold | -0.36 % | Chg in DII Hold | 0.31 % | PAT Qtr | 89.0 Cr. | PAT Prev Qtr | 87.9 Cr. |
| RSI | 44.3 | MACD | -74.7 | Volume | 3,99,988 | Avg Vol 1Wk | 1,57,152 |
| Low price | 1,430 ₹ | High price | 2,938 ₹ | PEG Ratio | 1.49 | Debt to equity | 0.08 |
| 52w Index | 10.6 % | Qtr Profit Var | 2.10 % | EPS | 34.4 ₹ | Industry PE | 33.5 |
📊 POLYMED shows moderate fundamentals with weak technicals, making it a cautious candidate for swing trading. The stock is currently at ₹1,590, trading below both its 50 DMA (₹1,720) and 200 DMA (₹1,956), reflecting bearish sentiment. RSI at 44.3 is near oversold territory, while MACD at -74.7 indicates strong downward momentum. With fair valuation (P/E 46.2 vs industry 33.5) and decent ROCE/ROE, fundamentals provide some support. Optimal entry would be in the ₹1,540–₹1,570 range. If already holding, exit near ₹1,700–₹1,750, where resistance from the 50 DMA is expected.
✅ Positive
- ROCE (18.2%) and ROE (14.2%) show healthy efficiency.
- EPS of ₹34.4 supports valuation strength.
- DII holdings increased (+0.31%), showing domestic institutional support.
- Debt-to-equity ratio at 0.08 indicates low leverage risk.
- PEG ratio of 1.49 suggests reasonable valuation relative to growth.
- Quarterly PAT improved slightly (₹87.9 Cr. to ₹89.0 Cr.).
⚠️ Limitation
- High P/E of 46.2 compared to industry PE of 33.5 suggests overvaluation.
- Dividend yield of 0.22% offers negligible income return.
- Stock trading below both 50 DMA and 200 DMA shows technical weakness.
- 52-week index at 10.6% highlights underperformance relative to peers.
📉 Company Negative News
- FII holdings decreased (-0.36%), showing reduced foreign investor confidence.
- MACD strongly negative (-74.7), confirming bearish momentum.
📈 Company Positive News
- Quarterly PAT growth (+2.10%) shows operational improvement.
- DII inflows (+0.31%) reflect confidence from domestic institutions.
- Strong liquidity with volume above weekly average.
🏭 Industry
- Industry PE at 33.5 is lower than POLYMED’s 46.2, highlighting relative overvaluation.
- Medical devices and healthcare sector remains resilient, supported by rising demand and exports.
🔎 Conclusion
POLYMED is a moderate swing candidate with fair fundamentals but weak technicals. Entry near ₹1,540–₹1,570 offers margin of safety. Exit around ₹1,700–₹1,750 is advisable if already holding, as resistance is expected near the 50 DMA. Risk management is essential due to bearish momentum and valuation concerns, but fundamentals provide medium-term support.