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SUNDRMFAST - Swing Trade Analysis with AI Signals

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Rating: 4

Last Updated Time : 05 May 26, 04:46 pm

Swing Trade Rating: 4.0

Stock Code SUNDRMFAST Market Cap 18,535 Cr. Current Price 881 ₹ High / Low 1,080 ₹
Stock P/E 32.7 Book Value 193 ₹ Dividend Yield 0.82 % ROCE 17.8 %
ROE 14.7 % Face Value 1.00 ₹ DMA 50 837 ₹ DMA 200 920 ₹
Chg in FII Hold 1.23 % Chg in DII Hold -1.44 % PAT Qtr 158 Cr. PAT Prev Qtr 130 Cr.
RSI 65.8 MACD 7.74 Volume 3,76,460 Avg Vol 1Wk 1,66,197
Low price 730 ₹ High price 1,080 ₹ PEG Ratio 4.74 Debt to equity 0.11
52w Index 43.1 % Qtr Profit Var 26.3 % EPS 27.6 ₹ Industry PE 27.6

📊 SUNDRMFAST shows decent potential for swing trading. The RSI at 65.8 suggests the stock is nearing overbought territory, while MACD at 7.74 indicates bullish momentum. The ROCE of 17.8% and ROE of 14.7% highlight solid efficiency, and the debt-to-equity ratio of 0.11 reflects strong financial stability. Quarterly PAT improved from ₹130 Cr. to ₹158 Cr., showing earnings growth. However, the P/E of 32.7 is higher than the industry average of 27.6, and the PEG ratio of 4.74 signals expensive growth prospects. The stock is trading above its 50 DMA (₹837) but below its 200 DMA (₹920), suggesting short-term strength but long-term resistance.

💡 Optimal Entry Price: Around ₹850–870, closer to the 50 DMA support.

📈 Exit Strategy (if already holding): Consider booking profits near ₹950–970, just below the 200 DMA resistance.

Positive

  • Quarterly PAT growth of 26.3% shows strong earnings momentum.
  • EPS of ₹27.6 indicates solid profitability.
  • ROCE (17.8%) and ROE (14.7%) reflect efficient capital use.
  • FII holdings increased by 1.23%, showing foreign investor confidence.
  • Low debt-to-equity ratio (0.11) ensures financial stability.

Limitation

  • P/E of 32.7 is higher than industry average (27.6), suggesting overvaluation.
  • PEG ratio of 4.74 indicates expensive growth prospects.
  • DII holdings decreased by 1.44%, showing reduced domestic investor interest.
  • Stock trading below 200 DMA (₹920), signaling long-term resistance.

Company Negative News

  • No major negative news reported, but valuation concerns remain.

Company Positive News

  • Quarterly PAT improved from ₹130 Cr. to ₹158 Cr.
  • Strong foreign investor interest with FII stake increase.

Industry

  • Auto components sector remains stable with demand supported by vehicle production growth.
  • Industry PE at 27.6 is lower than SUNDRMFAST’s, suggesting relative overvaluation.

Conclusion

✅ SUNDRMFAST earns a swing trade rating of 4.0. Entry near ₹850–870 offers a favorable risk-reward setup, while profit booking should be considered around ₹950–970. Strong fundamentals, earnings growth, and low debt support upside potential, but high valuation and resistance near the 200 DMA warrant cautious optimism.

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