SYRMA - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Swing Trade Rating: 4.3

📊 Analysis Summary

SYRMA is exhibiting strong bullish momentum and is trading near its 52-week high, supported by solid earnings growth and improving institutional interest. However, its valuation is stretched, and technical indicators suggest it may be overbought, making it a good candidate for a momentum-based swing trade with caution.

✅ Strengths

MACD Strong Positive (44.3): Powerful bullish momentum.

RSI at 83.0: Extremely overbought — confirms strength but signals potential pullback.

Trading well above DMA 50 (₹614) & DMA 200 (₹535): Strong uptrend.

Quarterly Profit Growth (+158%): Excellent earnings momentum.

EPS of ₹11.3: Solid earnings base.

PEG Ratio (1.43): Reasonable relative to growth.

DII Buying (+1.41%) & FII Slightly Positive (+0.14%): Institutional support.

52w Index at 97.8%: Near yearly high — strong relative strength.

⚠️ Weaknesses

P/E (65.7) vs Industry PE (37.2): Highly overvalued.

ROCE (12.4%) & ROE (10.2%): Moderate efficiency — not exceptional.

Volume Below Average: Current volume (14.92L) vs 1-week average (27.74L).

RSI Overbought (83.0): High risk of short-term correction.

Dividend Yield (0.20%): Minimal income support.

Book Value (₹98.5) vs Price (₹746): High premium.

📈 Optimal Entry Price

Buy Zone: ₹700–₹715 Wait for a pullback from overbought levels — ideal entry if RSI cools to 70 and volume picks up.

📉 Exit Strategy (If Already Holding)

Target Exit: ₹770–₹790 Short-term resistance zone — consider booking profits near lifetime highs.

Stop Loss: ₹695 Below recent breakout level — exit if momentum fades.

🧠 Final Thoughts

SYRMA is a high-momentum swing trade candidate with strong earnings and trend strength. However, its overbought RSI and rich valuation suggest caution. Best suited for short-term traders looking to ride momentum with tight risk controls.

Want to explore similar electronics or manufacturing stocks with breakout setups but lower valuation risk?

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