RELINFRA - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.5
| Stock Code | RELINFRA | Market Cap | 3,086 Cr. | Current Price | 75.7 ₹ | High / Low | 425 ₹ |
| Book Value | 595 ₹ | Dividend Yield | 0.00 % | ROCE | -1.41 % | ROE | -8.12 % |
| Face Value | 10.0 ₹ | DMA 50 | 116 ₹ | DMA 200 | 200 ₹ | Chg in FII Hold | -1.35 % |
| Chg in DII Hold | -0.21 % | PAT Qtr | -166 Cr. | PAT Prev Qtr | -152 Cr. | RSI | 27.0 |
| MACD | -10.8 | Volume | 30,17,683 | Avg Vol 1Wk | 33,25,269 | Low price | 74.6 ₹ |
| High price | 425 ₹ | Debt to equity | 0.03 | 52w Index | 0.30 % | Qtr Profit Var | -75.2 % |
| EPS | -10.0 ₹ | Industry PE | 24.3 |
📊 Reliance Infrastructure (RELINFRA) shows very weak fundamentals and bearish technical indicators, making it a poor candidate for swing trading. The RSI at 27.0 indicates oversold conditions, while MACD (-10.8) confirms strong bearish momentum. The stock is trading far below both its 50 DMA (116 ₹) and 200 DMA (200 ₹), signaling severe weakness. With negative ROCE (-1.41%), negative ROE (-8.12%), and consistent losses, the outlook remains unfavorable despite low debt levels.
💡 Optimal Entry Price: Around 74–78 ₹ (near current support)
💡 Exit Strategy (if already holding): Consider exiting near 115–120 ₹ (50 DMA resistance) if recovery occurs, but risk remains high.
🌟 Positive
- Book value of 595 ₹ provides some valuation cushion.
- Debt-to-equity ratio of 0.03 indicates very low leverage.
- High trading volume shows liquidity in the stock.
⚠️ Limitation
- No meaningful P/E ratio due to negative earnings.
- Weak ROCE (-1.41%) and ROE (-8.12%) show poor efficiency.
- Dividend yield is 0.00%, offering no income support.
- Stock trading far below both 50 DMA and 200 DMA.
📉 Company Negative News
- Consistent quarterly losses (PAT -166 Cr. vs -152 Cr.).
- EPS of -10.0 ₹ reflects negative profitability.
- FII holdings declined (-1.35%) and DII holdings declined (-0.21%).
- Quarterly profit variation of -75.2% shows worsening performance.
📈 Company Positive News
- Low debt-to-equity ratio provides some financial stability.
- Book value remains significantly higher than current price.
- Stock near 52-week low may attract speculative interest.
🏭 Industry
- Industry P/E at 24.3, while RELINFRA has no valid P/E due to losses.
- Infrastructure sector benefits from government projects but requires strong financial health.
- Competition remains strong, and weak fundamentals limit RELINFRA’s ability to capitalize.
✅ Conclusion
Reliance Infrastructure is fundamentally weak and technically bearish, making it a poor swing trade candidate. Entry near 74–78 ₹ is possible only for high-risk traders, with an exit target around 115–120 ₹ if recovery occurs. Long-term investors should remain cautious due to persistent losses, weak efficiency, and declining institutional confidence.