Positional setup for Bharat Wire Ropes Ltd (NSE: BHARATWIRE)

72
Technical Setup (Daily Chart Analysis)
CMP: ₹223.89

Zone: Price testing a major horizontal resistance at ₹224–228 zone — acting as a neckline from past multiple swing highs.

Structure: Cup & Handle formation on higher timeframe (bullish continuation pattern).

EMAs (5/9/20): Trending above all short-term EMAs (215–216 zone), showing strength.

RS Line: Outperforming the index recently, relative strength turning up.

Volume: Spike on recent green candles — accumulation visible.

🔔 Positional Trade Plan
Breakout Entry: Above ₹229

Stop-loss: ₹209 (below handle base)

Target 1: ₹255

Target 2: ₹280

Risk–Reward: 1:2+ if breakout sustains

🧾 Fundamental Snapshot
Metric Value
Market Cap ~₹1,300 Cr
P/E (TTM) 22.6x
ROCE ~16.5%
ROE ~15.8%
Debt-to-Equity ~0.66
Sales Growth (3Y CAGR) 30%+
Net Profit (FY24) ₹61 Cr
Promoter Holding 44.3%
Cash Flows Positive and growing

🔹 Business: Manufacturer of wire ropes, specialty wires, and other lifting products, catering to infra, railways, cranes, mining, and oil & gas sectors.
🔹 Positives: Robust profit growth, healthy margins, and strong revival in earnings. Debt has been reducing steadily.
🔹 Tailwinds: Infrastructure, logistics, and defense investments boost medium-term prospects.

Penafian

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