INDIGO - IntraDay Trade Analysis with Live Signals

Last Updated Time : 20 Dec 25, 07:03 am

IntraDay Trade Rating: 3.4

📊 Analysis: Indigo is trading at ₹5,149, below both its 50 DMA (₹5,500) and 200 DMA (₹5,408), reflecting short-term weakness. RSI at 39.2 indicates weak momentum, while MACD (-217) confirms strong bearish pressure. Current volume (43.9L) is above the weekly average (32.2L), suggesting active intraday participation. Fundamentals show strong ROE (104%) and EPS (₹131), but the latest quarterly PAT turned negative (-₹2,614 Cr. vs ₹2,161 Cr. previous), raising concerns. High debt-to-equity (8.83) also adds risk. Intraday setup is moderately cautious with potential bounce trades near support.

💡 Optimal Buy Price: ₹5,120–5,150 (near support zone).

🎯 Profit-Taking Exit Levels: ₹5,200–5,250 (short-term resistance).

🛡️ Stop-Loss: ₹5,080 (below immediate support).

⏱️ If Already Holding: Exit intraday if price fails to sustain above ₹5,180 or RSI drops below 38 with declining volume.

Positive

• ✅ ROE (104%) highlights strong return on equity.
• ✅ EPS ₹131 supports earnings strength despite volatility.
• ✅ FII inflows (+1.13%) and DII inflows (+0.56%) reflect investor confidence.
• ✅ PEG ratio (0.92) suggests valuation is reasonable relative to growth.

Limitation

• ⚠️ RSI at 39.2 indicates weak momentum.
• ⚠️ MACD negative (-217) signals strong bearish trend.
• ⚠️ Trading below DMA 50 and DMA 200 highlights short-term weakness.
• ⚠️ High debt-to-equity (8.83) reflects leveraged balance sheet risk.

Company Negative News

• 📉 Quarterly PAT collapse from ₹2,161 Cr. to -₹2,614 Cr. (-164% variation).

Company Positive News

• 📈 FII inflows (+1.13%) reflect foreign investor confidence.
• 📈 DII inflows (+0.56%) show domestic institutional support.

Industry

• 🏭 Industry P/E (18.6) is much lower than Indigo’s P/E (39.2), highlighting valuation concerns.
• 🏭 Aviation sector remains cyclical, with demand recovery but high cost pressures impacting profitability.

Conclusion

🔎 Indigo shows weak intraday signals with bearish MACD, low RSI, and negative quarterly PAT, though strong ROE and EPS provide some support. Suitable only for cautious intraday trades near support with tight stop-loss, targeting resistance zones for quick exits.

Would you like me to extend this into a peer benchmarking overlay comparing Indigo with other aviation stocks like SpiceJet, Air India (if listed), and global airline peers to identify stronger intraday setups, or keep the focus strictly on Indigo’s intraday exit logic refinement?