SARDAEN - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.7
| Stock Code | SARDAEN | Market Cap | 20,849 Cr. | Current Price | 591 ₹ | High / Low | 640 ₹ |
| Stock P/E | 23.1 | Book Value | 181 ₹ | Dividend Yield | 0.25 % | ROCE | 16.6 % |
| ROE | 12.9 % | Face Value | 1.00 ₹ | DMA 50 | 551 ₹ | DMA 200 | 517 ₹ |
| Chg in FII Hold | -0.04 % | Chg in DII Hold | 0.39 % | PAT Qtr | 163 Cr. | PAT Prev Qtr | 240 Cr. |
| RSI | 59.1 | MACD | 17.6 | Volume | 2,92,180 | Avg Vol 1Wk | 5,81,392 |
| Low price | 402 ₹ | High price | 640 ₹ | PEG Ratio | -7.56 | Debt to equity | 0.23 |
| 52w Index | 79.6 % | Qtr Profit Var | -13.8 % | EPS | 25.7 ₹ | Industry PE | 22.6 |
Analysis: SARDAEN shows a moderately bullish setup with price (₹591) trading above both 50 DMA (₹551) and 200 DMA (₹517). RSI at 59.1 indicates neutral momentum, while MACD at 17.6 supports short-term upward bias. However, declining quarterly profits (-13.8%) and reduced FII holdings suggest caution. The valuation (P/E 23.1 vs Industry PE 22.6) is slightly stretched, and volume is below weekly average, showing weaker participation.
Optimal Entry Price: ₹560–₹570, near 50 DMA support.
Exit Strategy: If already holding, consider exiting near ₹630–₹640 resistance, or cut losses if price falls below ₹550.
✅ Positive
- Strong ROCE (16.6%) and ROE (12.9%) reflect efficient capital use.
- Low debt-to-equity ratio (0.23) ensures financial stability.
- Price trading above key moving averages indicates bullish momentum.
⚠️ Limitation
- Quarterly profit decline (-13.8%) raises concerns about earnings consistency.
- PEG ratio (-7.56) suggests weak growth prospects relative to valuation.
- Trading volume lower than weekly average, showing reduced market interest.
📉 Company Negative News
- PAT dropped from ₹240 Cr. to ₹163 Cr. in the latest quarter.
- FII holdings decreased (-0.04%), signaling reduced foreign investor confidence.
📈 Company Positive News
- DII holdings increased (+0.39%), showing domestic institutional support.
- Stock trading near 52-week high (79.6% of range), reflecting resilience.
🏭 Industry
- Industry PE at 22.6, close to SARDAEN’s PE (23.1), suggesting fair valuation.
- Sector stability supports medium-term swing opportunities.
🔎 Conclusion
SARDAEN is a fair candidate for swing trading with bullish technicals but weakening fundamentals. Entry near ₹560–₹570 offers a safer margin, while exit should be targeted around ₹630–₹640 resistance. Caution is advised due to declining profits and reduced foreign investor interest.