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SUPREMEIND - Swing Trade Analysis with AI Signals

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Rating: 3.8

Last Updated Time : 05 Feb 26, 02:16 am

Swing Trade Rating: 3.8

Stock Code SUPREMEIND Market Cap 47,528 Cr. Current Price 3,741 ₹ High / Low 4,740 ₹
Stock P/E 60.1 Book Value 398 ₹ Dividend Yield 0.91 % ROCE 23.7 %
ROE 18.1 % Face Value 2.00 ₹ DMA 50 3,539 ₹ DMA 200 3,875 ₹
Chg in FII Hold -1.43 % Chg in DII Hold 1.16 % PAT Qtr 158 Cr. PAT Prev Qtr 193 Cr.
RSI 68.5 MACD 47.1 Volume 3,71,971 Avg Vol 1Wk 3,32,371
Low price 3,020 ₹ High price 4,740 ₹ PEG Ratio 27.7 Debt to equity 0.06
52w Index 41.9 % Qtr Profit Var -11.8 % EPS 62.2 ₹ Industry PE 21.8

📊 SUPREMEIND shows moderate potential for swing trading. The stock is trading above its 50 DMA (3,539 ₹) but slightly below its 200 DMA (3,875 ₹), indicating mixed technical momentum. RSI at 68.5 suggests the stock is nearing overbought territory, while MACD at 47.1 reflects strong bullish sentiment. Valuation is stretched with a P/E of 60.1 compared to the industry average of 21.8, and the PEG ratio of 27.7 signals overvaluation relative to growth. Fundamentals remain strong with ROCE at 23.7% and ROE at 18.1%, supported by low debt-to-equity (0.06). However, quarterly PAT has declined (-11.8%), raising caution for near-term performance.

✅ Optimal Entry Price: Around 3,600–3,650 ₹ (near 50 DMA support)

🚪 Exit Strategy: If already holding, consider booking profits near 3,950–4,000 ₹ resistance zone, or exit if price falls below 3,550 ₹ support.

Positive

  • Strong ROCE (23.7%) and ROE (18.1%) indicate efficient capital use
  • Low debt-to-equity ratio (0.06), showing financial stability
  • DII holdings increased (+1.16%), reflecting domestic institutional support
  • MACD positive, confirming bullish momentum
  • EPS of 62.2 ₹ supports earnings strength

Limitation

  • High P/E ratio (60.1) compared to industry average (21.8)
  • PEG ratio (27.7) suggests significant overvaluation
  • RSI at 68.5 indicates near overbought conditions
  • Dividend yield at 0.91% is modest

Company Negative News

  • Quarterly PAT declined (158 Cr vs 193 Cr)
  • FII holdings decreased (-1.43%), showing reduced foreign investor confidence

Company Positive News

  • Strong fundamentals with healthy ROCE and ROE
  • DII inflows indicate domestic investor trust
  • Stock trading above 50 DMA, showing technical support

Industry

  • Plastics and industrial products sector remains in demand
  • Industry PE at 21.8, showing SUPREMEIND trades at a premium
  • Sector outlook supported by infrastructure and consumer demand

Conclusion

⚖️ SUPREMEIND is a fair candidate for swing trading with short-term upside potential. Entry near 3,600–3,650 ₹ offers a favorable risk-reward setup, while profit booking should be considered around 3,950–4,000 ₹. High valuation and declining profits limit upside, but strong fundamentals and low debt provide medium-term stability.

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