SYRMA - Swing Trade Analysis with AI Signals

Last Updated Time : 20 Dec 25, 07:02 am

Swing Trade Rating: 3.6

📊 SYRMA shows a moderately favorable outlook for swing trading. The stock is priced at ₹729, below its 50 DMA (₹787) but above its 200 DMA (₹696), indicating short-term weakness but medium-term support. RSI (31.7) suggests oversold conditions, while MACD (-29.7) indicates bearish momentum. Fundamentals are mixed: strong quarterly profit growth (+84.9%) and rising institutional holdings (FII +0.68%, DII +7.23%) support sentiment, but high P/E (77.4 vs industry 33.2) and low ROCE (6.34%) limit valuation comfort.

✅ Optimal Entry Price: Around ₹710–720, near support levels.

🚪 Exit Strategy: If already holding, consider exiting near ₹780–800 (resistance zone) or on weakness below ₹700.

Positive

• 💡 Quarterly profit growth (+84.9%) shows strong earnings momentum.
• 💡 DII holdings increased (+7.23%), reflecting strong domestic institutional confidence.
• 💡 EPS of ₹9.83 supports earnings consistency.
• 💡 Low debt-to-equity (0.10) ensures financial stability.

Limitation

• ⚠️ High P/E (77.4) compared to industry average (33.2).
• ⚠️ Low ROCE (6.34%) and ROE (4.54%) indicate modest efficiency.
• ⚠️ Trading below 50 DMA signals short-term weakness.
• ⚠️ PEG ratio of 2.59 suggests limited growth-adjusted valuation.

Company Negative News

• 📉 High valuation metrics make the stock expensive relative to peers.
• 📉 Weak capital efficiency with low ROCE and ROE.

Company Positive News

• 📈 Strong quarterly PAT growth from ₹53.8 Cr. to ₹65.4 Cr.
• 📈 Institutional confidence with both FII and DII holdings rising.
• 📈 52-week gain of 67.4% highlights strong sector performance.

Industry

• 🏭 Industry P/E at 33.2 highlights SYRMA’s premium valuation.
• 🏭 Electronics manufacturing sector remains in growth mode, supported by rising demand.

Conclusion

🔎 SYRMA is a moderately suitable candidate for swing trading. Entry near ₹710–720 offers a favorable risk-reward setup, while upside is capped around ₹780–800 due to stretched valuations and weak efficiency metrics. Best suited for traders looking to capitalize on oversold conditions and strong institutional support rather than aggressive momentum plays.

I can also outline stop-loss and trailing exit levels to refine SYRMA’s swing trade plan if you’d like.